Singapore: A Memorandum of Understanding (MoU) having great investment and business potential for Singapore-based Indian origin companies was signed on Monday between leading industry chambers representing Indian and Chinese firms here.

The deal will benefit more than 400 Singapore-based Indian origin companies.
 The MoU was signed between the Singapore Indian Chamber of Commerce and Industry (SICCI) and the Singapore Chinese Chamber of Commerce and Industry (SCCCI) to tap into the latter's resources in exploring new business and investment opportunities in China.

 SICCI Chief Executive Harnek Singh said, "It is a step in the right direction in furthering businesses with China” after signing the MoU at SICCI's Biennial India-Singapore-China conference held on Monday.

He added, “The MoU would be furthering the scope of business and investment opportunities with Singapore as the bridge to develop commerce and trade between India and China.”

More than 4,000 India-based companies and 3,000 China-based businesses have offices in Singapore supporting their operations in Asian markets.

The Indian companies have the potential to invest in China's automobile and biotech industries, education and information technology sector, energy projects, infrastructure development, material supply chain and logistics.

Singapore's Senior Minister of Trade and Industry, S Iswaran said, "India's need for the financing and development of infrastructure presents opportunities for collaboration between China and Singapore, in terms of capabilities and access to capital markets.”

He added, “Indian and Chinese pharmaceutical companies involved in drug discovery could find Singapore an ideal location to combine their intellectual property and take it further through further R&D and clinical development, before eventual sale to global markets.”