ECONOMIC SIGNIFICANCE OF SINGAPORE'S MARINE SECTOR : A REASSESSMENT

Abstract

Singapore has enjoyed good economic growth since the beginning of the 1960s.ln the process of achieving economic progress, there has been intensive use of the land-based resources especially in the 1960s and 1970s. However, as land-based resources become scarce and act as a limit to growth, policymakers have taken action to develop marine resources to aid in the economic development of Singapore into the 21st century. Although Singapore possesses no natural resources, it makes use of coastal resources to meet developmental needs economically and socially. Despite being called a "geographically disadvantaged state" (GDS), its strategic location together with deep surrounding waters have led to the development of Singapore's port as the busiest port in the world in terms of tonnage. The country is also situated between the oil sources in the Middle East and the expanding markets for oil products in Asia. It is now the third largest refining centre in the world. There is also a need for supporting services such as shipbuilding, shiprepairing, oil rig construction etc. As the country becomes more affluent, more expensive fish will be imported. Besides, the development of marine-based tourism ties in with the increased demand for recreation and a higher quality of life desired by the affluent Singaporeans. The aim of this exercise is to examine the shipping and marine industries, the petroleum industry, the fishing and marine-based tourism industries' contributions to Singapore's economic development through the use of disaggregated data on Gross Domestic Product (GDP)