The ties between Singapore and China are very close and strategic already, and they are looking to be getting even closer.

Vice Premiere Wu Yi's visit here last week highlighted the growing importance and significance of the relationship.

Talk about a Free Trade agreement in the works will be beneficial to just about everyone in my opinion, even investors.

For companies that are based here in Singapore, China represents a growing market for their products and technologies, helping to boost the top and bottom lines, something that is obviously good for investors.

You can only imagine the accessibility and possibilities that a Free Trade Agreement will create for companies here in Singapore, and also for companies in China. For shareholders in companies in both countries, a free trade agreement opens up accessibility for those companies to markets where there is already a lot of trade.

I've always been in the school of thought that Free Trade agreements between two countries are the hallmark and staple of great bilateral relations. Achieving Free Trade agreements is one of the goals you could say of every bilateral relationship. Navigating the waters of negotiating one is where things get tricky and why you see very few Free Trade agreements around these days (the United States for instance only has FTA's with a handful of countries).

FOne can only imagine the benefits of a Singapore-China FTA for Singaporean companies, and, how it will be beneficial to shareholders as well.

Curtis Bergh

Labels: Free Trade Agreements