SINGAPORE - Aircraft maintenance and inspection in Singapore are no longer humdrum operations.

Workers wear augmented reality headsets and glasses. These overlay graphics of maintenance records and assembly instructions on actual equipment.

Such technology has the potential to improve productivity by up to 30 per cent.

Speaking of an exciting industry that is already in a good place, Minister for Trade and Industry S. Iswaran on Monday (Feb 5) painted a picture of the future of the aerospace sector that will be driven by innovation and technology in Singapore.

Already, more than 70 per cent of workers in the industry here are in high-skilled areas, such as precision engineering and electronics, said Mr Iswaran at the fifth A*Star Aerospace Technology Leadership Forum.

This points to the knowledge and technology-intensive nature of the sector that employs more than 20,000 workers here, he said at the forum held at the Resorts World Sentosa convention centre.

Singapore is also strongly positioned as it controls more than 25 per cent of the Asian maintenance, repair and overhaul (MRO) market, as well as 10 per cent of the global MRO market, Mr Iswaran added.

The future also looks bright. Asia and Oceania are expected to account for a third of all aircraft deliveries over the next 20 years, he said at the event being held in conjunction with the biennial Singapore Airshow.

"We must continue to position ourselves to benefit from the opportunities arising from these trends, not only in MRO but also other segments like aerospace manufacturing and aftermarket services," Mr Iswaran said.

He noted, for example, that Singapore was well placed to tap the trend of airlines seeking to differentiate themselves by transforming in-flight cabin and customer experiences and refurbishing aircraft.

But he stressed that the future would be driven by innovation and technology. The Government, he said, would do its part by helping the players here upgrade to the most advanced technologies.

At the same time, it was vital that local small and medium-sized enterprises (SMEs) in the sector also undertake more higher-value activities such as product development and innovation, said Mr Iswaran.

He added that partnerships between the public and private sectors could speed up the development of solutions based on real industry needs.

He cited the example of satellite-based communication and data services provider Addvalue Technologies.

The SME last year established a joint laboratory with the Agency for Science, Technology and Research's (A*Star) Institute for Infocomm Research to develop Internet of Things solutions for satellite communications.

The lab will conduct research to bridge gaps in existing inter-satellite communication links.

The Government, for its part, would keep strengthening the links between the private and public sectors in this high-flying industry, Mr Iswaran said.