The takeup rate among food manufacturers here for one of government's productivity enhancement schemes - the Innovation and Capability Voucher - is only 10 per cent.
Minister of State for Trade and Industry Teo Ser Luck said a lack of awareness about existing schemes is one of the issues the government's new small and medium sized enterprise (SME) work group will look into.
The committee, to be chaired by Mr Teo, will also engage SMEs directly to find out more about the challenges they are facing.
It will be made up of representatives from industry, various government agencies and unions, among others.
More details about the work group, which was announced at the Prime Minister's National Day Rally on Aug 18, will be released next week.