Tata Intl to locate strategic functions in Singapore

Tata International announced that they are planning to relocate their strategic global market and agri-commodity functions to Singapore. This may help in encouraging more global traders to fasten their core business in Singapore.

S. Iswaran, Minister of Trade and Industry said that Tata’s decision was based on Singapore’s advantages as a city that has “low-cost finance and structured financing tools, availability of experienced traders’, an efficient infrastructure for running a business and high concentration of bulk shipping.” Singapore is home to 120 global traders and Iswaran hoped that more global traders could be encouraged in the metal and mineral industry to anchor their business activities.

More than 70 percent of the mineral and mining companies and more than 30 percent of steel companies are based in Singapore.

This provides market intelligence, which would help in informing the market players to build relationships along with different participants along the supply chain to create value and needs.

Talking about the increasing volume of derivative contracts of iron ore, he highlighted the role of the Singapore exchange. Currently, over 90 per cent of the globally traded iron ore derivatives are being cleared, with a volume of 1.1 billion tonnes in 2015.