Singapore, e-commerce and logistics
With excellent international trade and strong links to the rest of the Asian market,
Singapore is an ideal location to expand your international customer base. Could this be your new global trading destination? What is the best way to deliver your parcels there from the UK? And how can you keep it as cheap as possible? Read on to find out.
Why ship to Singapore?
Singapore is a small, but wealthy city-state with an open and trade-driven economy. It is a leading financial, shipping, and trade hub and the government has a pro-business economic and trade policy.
On top of this, you’ll be pleased to learn that Singapore has a high GDP per capita. Thanks to its digitally savvy population and commerce focused government-backed initiatives, Singapore’s global e-commerce market looks poised for growth.
- 8 bn USD
- E-commerce gross merchandise value (GMV)
- GMT +8
- Singapore Standard Time
- Shopee
- Leading e-commerce retail site
The e-commerce landscape
Though one of the smallest e-commerce markets in Southeast Asia, Singapore is one of the most affluent. The size of the average e-commerce order value in Singapore between 2020 and 2023 amounted to 137.4 USD.
Singaporeans also shopped online frequently, with more than half purchasing items online at least once a week. Online shoppers are also prepared to diversify their online shopping antics and don’t just limit themselves to domestic e-commerce sites. Singapore is fast becoming a cross- border e-commerce hub in Southeast Asia. 1
Opportunities
Since the post-pandemic market has become more stabilised, the focal point of e-commerce competition in Singapore has shifted from not just increasing the number of users, but also enhancing spending behaviour.
Many e-commerce businesses are focusing on user experience and engagement. Integration with an online shopping platform can help enhance your shop front and create a seamless shopping experience that will go a long way to securing customer loyalty.
E-commerce sales comparison as a % of retail in Singapore
E-commerce sales comparison as a % of retail in Singapore
Logistics
Goods shipped from the UK will need to go through customs clearance in Singapore. As the importer, you will need to ensure that certain documents are submitted, such as the commercial invoice, packing list, and bill of lading/ airway bill. The type of goods being imported will also determine if any other permits are required.
The essentials
| Transit Times | From 4 to 8 working days |
| Maximum Dimensions | L<1.4, (L + 2W + 2H) <3m |
| Maximum Weight | 30kg per parcel |
| Maximum Container Value | N/A |
| Low-Value Limit | SGD 400 |
| GTS | 8% GTS must be collected by retailer at point of sale for all LV goods of they are an OVR vendor. 8% GTS will be collected at point of importation for HV goods. |
| Duty | N/A |
| DDP Available | Yes |
| DDP Fee | As agreed |
| Clearance Fee | As agreed |
Keep in mind
Goods shipped from the UK to Singapore are subject to a standard 9% Goods and Services Tax (GST). As a business, you must register for a Goods and Services Tax (GST) when your taxable turnover exceeds $1 million. You may also be liable for GST registration under the Reverse Charge and Overseas Vendor Registration regimes. 2
Good to know
Under the Singapore Free trade Agreement (UKSFTA), preferential rates for importing UK goods into Singapore may be enjoyed with an origin declaration by an approved exporter authorised by the UK customs authorities, or in any consignment consisting parcels or packets containing UK-originating imports with total value of less than €6,000. 3
What our experts say:
“Ambitious e-commerce businesses can expand into new Singaporean markets by leveraging the best shopping platforms and international shipping rates.”
Simon Perkins, Commercial Director, SAMOS.