Global Trader Programme (GTP) — concessionary tax — Documents required and templates
The Global Trader Programme is a Singapore incentive that offers approved international trading companies a concessionary corporate tax rate on qualifying trading income, in return for real trading substance based in Singapore. This guide covers what documents you must prepare, who qualifies, the fees in S$ and the realistic 2026 timeline from application to award.
Raffles Corporate Services works with a panel of corporate and employment law firms; this article is general information, not legal advice.
What the Global Trader Programme is
The Global Trader Programme is administered by Enterprise Singapore and grants a concessionary tax rate on qualifying income from physical trading, brokering and related activities in approved commodities and products. The concessionary treatment is anchored in the Income Tax Act 1947, which provides the statutory basis for reduced tax rates on approved trading income for a defined award period. In plain terms, a qualifying trader pays tax on eligible trading profits at a rate below the headline corporate rate, provided it maintains the trading functions and spend that Enterprise Singapore requires.
Who the programme is for
The programme is built for companies that trade globally with Singapore as the transaction hub: commodity traders in energy, metals, agricultural products and minerals, as well as traders in industrial and consumer products with meaningful cross-border flows. If you are incorporating a trading company for the first time, start with a clean corporate base, as set out in this guide to Singapore Pte Ltd registration for foreigners, then build the trading substance the award requires. For the wider commodity ecosystem, see our overview of Singapore as a regional commodity trading hub.
Eligibility and requirements for the Global Trader Programme
Enterprise Singapore assesses commitment and substance rather than a single threshold. Reviewers look for a strong track record in international trade, a credible plan to grow annual turnover routed through Singapore, local business spending, professional trading and support headcount based here, and use of Singapore’s banking, logistics and risk-management services. The award is discretionary and negotiated, so the quality of the plan and the seriousness of the commitments drive the outcome.
Directors remain responsible for governance once trading begins. Section 157A(1) of the Companies Act 1967 provides that a company’s business is managed by, or under the direction of, its directors, so the Singapore board should genuinely oversee the trading operation the award rewards, not merely lend its name.
Documents required and templates
Prepare an evidence pack that shows both history and intent. In practice this includes: the group structure chart and ownership details; audited financial statements for the last two to three years; a business plan projecting Singapore-routed turnover, headcount and local spend over the award period; a schedule of the commodities and activities to be covered; sample trade contracts and counterparty lists that demonstrate genuine flows; banking and trade-finance arrangements; and the Singapore company’s incorporation documents. Keep templates ready for the trading activity schedule, a headcount and remuneration plan and a transfer-pricing memorandum, because pricing between related trading entities will be tested.
Cost, fees and timeline (2026)
Separate the setup cost from the incentive advisory cost. Incorporation with ACRA is S$315 in statutory fees (S$15 for the name and S$300 for incorporation), and a corporate service provider typically charges from S$800 to S$2,500 for incorporation and first-year secretarial support. Building the GTP application case with professional advisers commonly costs from S$10,000 to S$35,000, reflecting the depth of the substance and transfer-pricing work involved.
On timing, incorporation completes within 1 to 3 working days once due diligence is clear. The Enterprise Singapore negotiation typically runs 3 to 6 months, driven by how quickly you can evidence trading substance and agree the turnover and headcount commitments. Corporate tax obligations begin from the first year of assessment, so align the accounting and transfer-pricing files early.
Common mistakes and gotchas
The first mistake is booking trades outside Singapore while claiming the concession here: the qualifying income must genuinely flow through the Singapore entity. The second is understaffing the trading desk, because Enterprise Singapore wants to see traders, risk and operations based locally, and relocating them needs the right work passes, as covered in this Singapore work pass employer guide. The third is weak transfer pricing, where intercompany margins invite IRAS adjustments. The fourth is customs and documentation slippage, since physical trading still touches import, export and free-trade-zone rules even when Singapore is only a transaction hub.
How the Global Trader Programme process works, step by step
First, incorporate the Singapore trading entity and appoint a locally resident director. Second, open trade-finance banking and begin routing genuine trades through Singapore. Third, hire the core trading and support team to create visible substance. Fourth, prepare the evidence pack and open the Enterprise Singapore conversation. Fifth, negotiate the award, including the concessionary rate, the qualifying activities and the turnover and spend commitments. Sixth, put transfer-pricing documentation in place and operate against the commitments, reporting annually.
Verify current parameters with the regulators before you sign. Confirm scheme terms with Enterprise Singapore, the tax treatment with IRAS, and the import and export controls with Singapore Customs, since scheme details and customs procedures are updated from time to time.
FAQs
What rate does the Global Trader Programme give? It grants a concessionary corporate tax rate on qualifying trading income for a fixed award period, below the headline corporate rate. The exact rate is negotiated and confirmed by Enterprise Singapore.
Does the programme cover services or only physical goods? It centres on physical trading and brokering in approved products and commodities, with related income treated according to the award terms. Confirm the covered activities in your specific award.
Do I need an existing trading track record? A credible track record and a serious commitment to grow Singapore-routed turnover strengthen the case considerably, as the award is discretionary.
Will free-trade-zone and customs rules still apply? Yes. Even with a tax concession, physical movement of goods engages Singapore’s customs and free-trade-zone framework, so factor that into operations.
How long before the award is granted? Incorporation is days; the Enterprise Singapore negotiation typically takes 3 to 6 months depending on how quickly substance is evidenced.
Related guides
See also: Singapore Pte Ltd registration for foreigners, Singapore work pass employer guide and Singapore as a regional commodity trading hub.
Need help with this? Call, SMS or WhatsApp +65 8501 7133, or email [email protected]. Raffles Corporate Services works with a panel of corporate and employment law firms; this article is general information, not legal advice.