Deputy Prime Minister HE Korn Dabbaransi

Minister for Science and Technology Mr Pinij Jarusombat

Distinguished guests

Ladies and Gentlemen

I am delighted to join all of you this afternoon for the opening of PSB Corporation’s first overseas testing centre at the Thailand Science Park. The Centre will be a testing hub for Thailand-based companies seeking to export their products to Asia and the rest of the world. We are honoured by the kind presence of DPM Korn Dabbaransi and Minister Pinij Jarusombat.

Globalisation forces all of us to think globally. With free trade, a product must not only be good enough for local consumption, it must also meet international standards. Otherwise, local products will lose out to imported products. It is very important for ASEAN products to meet international standards so that we can sell to the world and achieve economies of scale. Thus, the harmonisation of standards and testing to these standards in ASEAN are key elements in our drive to develop our national economies.

According to an OECD report, 80% of global merchandise trading is affected by standards or regulations that embody standards. Standards help to reduce situations where products are hindered by technical barriers to trade. By adhering to international standards, exporters enjoy better overseas market access for products and services. Standardisation enables our manufacturers and traders to act with greater confidence and increase their ability to react quickly to changed market situations.

Because of the increasing demand for quality and safe goods, conformity testing and the mutual recognition of testing results have become very important. Government to government mutual recognition agreements (MRAs) on conformity testing are established to help reduce costs to industry in having to meet different regulatory requirements in export markets. Without such agreements, it is estimated that re-testing in the export market countries can add between 2 to 10% to production costs. For example, APEC’s mutual recognition arrangement for electrical and electronic equipment could potentially result in up to US$12.5billion in savings a year for the region’s exporters.

PSB Corporation’s large network of MRAs, PSB Test Thailand will be a useful facility for Thai manufacturers. PSB Corporation has already established formal MRAs with more than 20 organizations overseas. These MRAs open up significant markets for Thai products. One good example is the APEC Telecommunications MRA which is the world's first multilateral MRA covering telecommunications equipment. In place since 1999, the Agreement reduces the need for replication of testing and certification procedures throughout the APEC region.

I am pleased that PSB Corporation has chosen Thailand as its first overseas testing base. It exemplifies the strong and growing relations between Thailand and Singapore. Sitting on 700 square metres of land in Thailand Science Park, PSB Test Thailand will serve local industries here and help them expand overseas.

Recently, the Singapore and the Thai Prime Ministers made a joint declaration for enhanced economic cooperation between our two countries, under the Singapore-Thailand Enhanced Economic Relationship agreement or STEER. A steering committee was formed with two study groups focusing on the food, agriculture and the automotive sectors.

It is therefore a good move by PSB Test Thailand to focus on food, chemical, electronics and electromagnetic compatibility testing in its first phase of development.

I congratulate PSB Corporation on the successful establishment of its first overseas testing centre and wish it great success.

Thank you.

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