S’pore food manufacturers to get boost in digital solutions under refreshed plan amid AI advances

SINGAPORE - More than 1,500 food manufacturers in Singapore will get a boost under a refreshed plan aimed at helping them identify digital solutions that align with their operational goals and needs.

Enterprise Singapore (EnterpriseSG) and the Infocomm Media Development Authority said the refreshed Food Manufacturing Industry Digital Plan (IDP), which was launched in 2021, comes as advances in artificial intelligence (AI) have expanded the range of digital solutions available to food manufacturers.

This is even as businesses face challenges such as rising operational costs, manpower constraints and productivity pressures, they added.

The launch of the refreshed plan was announced on Feb 9 by Ms Low Yen Ling, Senior Minister of State for Trade and Industry, in Senoko Crescent, where soya sauce and condiments manufacturer Kwong Cheong Thye (KCT) has opened its new factory.

This new factory is twice the size of the current one, she said.

“It features state-of-the-art machinery and robotics, including automated guided vehicles. It will increase KCT’s production capacity by six times. KCT is also committed to sustainability, with 30 per cent of the facility’s operations powered by renewable energy, such as solar,” she added.

Summarising the IDP, Ms Low said: “In 2021, I launched the first Food Manufacturing IDP to guide our food manufacturers on their digitalisation journey.

“Since then, we have seen significant progress, with more than 90 per cent of companies adopting at least one sector-specific digital solution in 2025, up from 75 per cent in 2023.”

The refreshed IDP will highlight how food manufacturers can leverage AI solutions to enhance customer experience, improve operational efficiency and accelerate business growth.

It organises solutions around three business outcomes, one of which is the digitalisation of tedious processes for businesses, allowing them to automate routine administrative tasks and focus on easy-to-adopt business solutions.

The solutions will also help businesses looking to gain deeper insights and improve their production processes to optimise manufacturing.

For businesses looking to scale up production and expand operations overseas, a newly added solution, the logistics control tower, enables businesses to monitor their global supply chain operations in real-time from their Singapore headquarters, reducing the complexity and risks associated with international expansion.

One example of the use of AI is an AI-enabled automated ordering management solution, which automatically captures orders from messaging platform WhatsApp and syncs them with existing systems. This helps businesses reduce manual workload and improve order accuracy.

Toh Thye San Farm, a poultry distributor, implemented this solution and achieved a 20 per cent improvement in order accuracy, saving up to eight hours of labour per mistake avoided while freeing staff for higher-value tasks.

The AI solutions also include AI chatbots, allowing businesses to enhance customer satisfaction while reducing operational costs by providing round-the-clock automated support for customer service and internal operations.

Manufacturing analytics also enable businesses to boost productivity and reduce downtime through AI-powered insights into production optimisation and predictive maintenance.

KCT implemented one of the IDP’s solutions to monitor critical fermentation variables such as temperature and humidity. The system helped to streamline scheduling and multi-batch planning, and is expected to increase soya sauce yields from 70 per cent to 90 per cent.

Beyond digital solutions, EnterpriseSG is working with industry partners to support food manufacturers in addressing operational challenges, raising productivity and scaling sustainably.

Food manufacturers can access personalised advisory services on digitalisation at the SME Centre@SMF (Singapore Manufacturing Federation). Business advisers equipped with food manufacturing industry knowledge will help to assess businesses’ digital readiness and provide guidance on suitable solutions tailored for food manufacturers.

Businesses will also be able to tap a talent development programme that will be launched in the second half of 2026. This programme will connect computing and information technology students from institutes of higher learning with food manufacturers through internships. The students will provide technical expertise to support food manufacturers with digital solution adoption and integration, allowing businesses to nurture a pipeline of skilled talent while addressing digital challenges.

“Whether you are taking your first steps in digitalisation or preparing to scale internationally, support is available. I encourage food manufacturers to explore the refreshed IDP and engage SME Centre@SMF for tailored guidance,” said Ms Low.

“Together, we can build a food manufacturing sector that serves Singapore well and competes confidently on the global stage.”