By Lee U-Wen

China's richest province, Guangdong, has released 150 new projects in a bid to woo Singapore companies to invest there.

The projects, which cover many sectors including pharmaceutical, tourism, services and electronics, are set to enhance Guangdong's reputation as one of the top three foreign direct investment destinations for Singapore companies in China.

Businesses from both sides have been urged to step up collaboration and make full use of the latest opportunities such as these, said Guangdong's top leader, Communist Party secretary Wang Yang, who is in town for a four-day official visit.

Mr Wang, here at the invitation of Deputy Prime Minister Wong Kan Seng, is accompanied by a 400- strong business delegation from 200 companies from the southern province to learn more about Singapore's development experience. It is Mr Wang's first visit here since he took up his current appointment last year.

Speaking at the opening of the Guangdong-Singapore Business Conference yesterday, Mr Wang, who is also a member of his party's decision-making political bureau, highlighted manufacturing, services, and science and technology among several key areas in which cooperation between both sides should be deepened.

'In the next five years, Guangdong will invest over US$150 billion in over 200 key projects covering electricity, energy, highways, inter-city transport and other major infrastructure industries,' he said. 'Singapore enterprises are very welcome to invest in Guangdong and take part in the construction of the modern industrial system.'

At the conference yesterday, 23 contracts worth a combined US$4.4 billion were signed. Among them is a two-year framework agreement between Guangdong Jingshi Oil Products and Guan Sheng Oil Singapore, worth US$1.7 billion, on the imported supply of processed oil and fuel oil.

Keppel Seghers, meanwhile, signed a S$1.2 million deal with Guangdong GuangYe Environmental Protection Industrial Group for the joint development and investment in environmental infrastructure projects in Guangdong.

Trade between Singapore and Guangdong grew more than 20 per cent to US$13.7 billion in 2007. Last year, Singapore was Guangdong's fifth-largest foreign investor. Since 2002, the value of two-way trade has grown by an annual average rate of 20.3 per cent.

Also at the conference yesterday was Minister in the Prime Minister's Office Lim Swee Say, who said the recent conclusion of discussions for the historic China-Singapore Free Trade Agreement will 'bring trade and investment flows between the two countries to the next level'.

'Singapore can be a springboard for Guangdong companies to expand into South-east Asia and beyond,' he said. 'Many Guangdong companies have already seen the benefits of using Singapore's capital markets to raise funds for further expansion.'

Of the 143 Chinese companies listed on the Singapore Exchange in April this year, about one in six are based in Guangdong.

This article was first published in The Business Times on September 17, 2008.