Singapore launches 'Singapore Premium Food Gifts'

Visitors to Singapore who have fallen in love with the Lion City's food need not leave with regrets. The Singapore Tourism Board (STB) and SPRING Singapore, together with the Singapore Food Manufacturers' Association (SFMA), have banded together to introduce more than 30 exciting and innovative premium food gifts that are sold at retail outlets island-wide.

Showcasing the best that Singapore has to offer in local fare, the range of food gifts is a tribute to the nation's rich and diverse culinary heritage. Tourists, expatriates and Singaporeans going overseas will be delighted with  the variety -- from the distinctive local kopi-o (local dialect for coffee) and tasty kaya made from coconuts, eggs and pandan leaves that is spread on toasts;  to ready-to-serve fish ball noodles and the auspicious Yu Sheng salad to usher in the Lunar New Year; to the rich and spicy laksa and chicken rice mixes.

Some of these delectable foods were first made available in a pilot scheme in February 2002. The aim was to package local favourite foods as gifts for visitors who wish to bring home the unforgettable flavours of Singapore, and for Singaporeans travelling overseas to share a taste of Singapore with  friends, or simply to recreate a scrumptious Singaporean meal at home.

Building on the success of the pilot scheme, the Singapore Premium Food Gift launches with an increase in the number of participating food manufacturers from 4 to 16; participating retail chains from 2 to 8; and food gifts from 7 to 37 products. A 'Singapore Premium Food Gifts' logo has also been developed to  promote the attributes of these food gifts.

Priced from $4 to $80, the food gifts are available at selected Bee Cheng Hiang outlets, selected NTUC supermarkets, Chinatown Heritage Centre, DFS at Scottswalk and Changi Airport (Terminal 2), Faber Forest Gifts Shop, Mustafa Centre, Sentosa Cable Car Shop, Straits Shop at Takashimaya Department Store and Yue Hwa. They can also be purchased online at Singapore Food Industries' e-mart at www.e-mart.com.sg.

The idea was first mooted by SPRING, who then worked with STB, SFMA and food manufacturers to develop the food gifts. With its intimate knowledge of  the food industry cluster and networking with the companies, SPRING played a key role in bringing the programme to the industry-wide level. SPRING,  together with STB, held in-depth discussions with food companies to identify products that could be developed to suit the requirements of tourists, expatriates and Singaporeans. Retailers were also brought in to ensure ample distribution channels to reach out to the target customers. A strategic marketing plan was developed to raise public awareness of the food gifts and to optimise their sales potential. 

Mr Lee Suan Hiang, Chief Executive of SPRING, said, "The Singapore Premium Food Gift programme is part of SPRING's efforts to help local enterprises upgrade and compete successfully. By introducing innovative  products, Singapore food manufacturers can create substantial value and capture new customers. By packaging traditional food products into attractive food gifts, new market opportunities are created. The collaboration by various  players in the industry, with the support of government agencies, also show that the industry can reap substantial benefits by working together. If I may put it this way, the world is their oyster now."

STB was instrumental in providing the market information and potential for tourists. Food companies, being new to the tourist market, benefited from numerous brainstorming sessions with STB which provided product ideas and assisted with the design and packaging to make the food gifts appealing and convenient for travellers. It also partnered SPRING to develop the marketing and retail channels for the food gifts.

Mr Lim Neo Chian, Deputy Chairman and Chief Executive of STB, said, "Owing  to its multi-racial roots, Singapore has an abundant and diverse culinary heritage. There are many dishes which are unique to Singapore such as the Yu Sheng, kaya, chilli crab, bak kwa and Hainanese Chicken Rice created by our forefathers who have come from shores afar. There is no better time than now with the launch of Singapore Premium Food Gifts for our cuisine to evolve and develop an identity not unlike the Japanese, Thai or  French cuisine. In so doing, Singapore food can carry an internationally recognised stamp and create a big upside market potential for our food industry players."

There is a vast potential still untapped in the food gift market and this initiative supports Singapore's position as the key shopping and retail hub of Asia.  Between 1997 and 2002, tourist spending on food gifts grew by an average of 6.8% annually, from $87 million to $121 million. The main spenders are from Asian countries. Among them, South Koreans and Indians registered the highest spending, with an annual growth of 20%, while the mainland Chinese had 19% annual growth. Based on the sales performance of food gifts in the  pilot scheme, it is estimated that the Singapore Premium Food Gifts will generate some $4 million worth of sales from tourists per year. Besides  tourists, there are other potential markets, which include Singaporeans living overseas, the export market for 'Made-in-Singapore' food products and Singaporeans going on overseas visits, missions and conferences.

The 16 food companies have come together to seize the opportunities presented by this vast potential market. Together, they pooled a total of  $80,000 to develop an advertising and promotion programme. Besides in-store promotions, the companies are marketing to the expatriate community. They have organised visits to various expatriate clubs, like the Japanese Association, and are looking to conducting promotions in conjunction with  selected airport events. STB and SPRING assisted with over $300,000 to help the food manufacturers in their marketing efforts and develop packaging for the food gifts.

By working together, the companies have created an impact far beyond what  any of them could have done on their own. As a combined force, the Singapore food industry has created a niche and is set to open up new markets overseas.