Ahead of RTS Link, S’pore industry groups pitch ways to boost spend, ease retail and F&B pressures

To support business owners through the period when the RTS Link opens, the study recommends greater flexibility in foreign manpower policies.

SINGAPORE – An influx of tourists from Johor Bahru is expected in Singapore once the Johor Bahru-Singapore RTS Link starts passenger service in January 2027, creating opportunities for local retailers and food and beverage (F&B) operators to capture the crowd and get them to loosen their purse strings.

Here are three broad areas where businesses and policymakers can help, as outlined in a study by the Singapore Business Federation (SBF), the Restaurant Association of Singapore (RAS) and the Singapore Retailers Association (SRA).

The study, titled Impact Of RTS On Singapore Retail And F&B Sector and jointly commissioned by SBF, RAS and SRA, found that Singaporeans spend the most on groceries in JB, followed by pharmaceuticals, dining and beauty.

To support domestic spending, the study suggests introducing time-bound consumption vouchers to boost local retail and F&B spending amid rising RTS Link-induced outbound expenditure, and partnering businesses and trade associations and chambers to amplify voucher impact and maximise local spending through promotions, loyalty programmes and shopping festivals.

As the Government already supports the local economy and retailers through the CDC voucher scheme, the call is to expand the eligibility and quantum of these vouchers to include more businesses affected by outbound spend, such as pharmacies, convenience stores and F&B operators.

A second broad suggestion is to review policy and enhance support for retail and F&B businesses, enabling them to offer unique products and services that help them stand out to consumers.

This can be done by adopting more flexible sourcing and accreditation frameworks to facilitate culinary innovation and cost competitiveness; reviewing regulatory barriers and policy frameworks to enable value-added services and enhance customer experience; and leveraging trade associations and chambers to facilitate pilot and experimental projects, as well as sector-wide collaboration.

Big-name acts like American singers Taylor Swift and Lady Gaga, who performed in Singapore over several nights at the National Stadium in 2024 and 2025 respectively, drew huge regional crowds and generated billions in tourism spend.

Replicating such mega-events is ideal, and the suggestion is to leverage them by involving more retailers and F&B merchants outside the central region and in the heartland.

To do this, the study recommends stronger inter-agency coordination and earlier information-sharing with retailers, mall operators and industry associations, alongside stronger support to develop Singapore-first product launches and destination-exclusive collections.

Another suggestion is to draw crowds beyond Kallang Basin and Marina Bay Sands – where the National Stadium and Sands Expo and Convention Centre are located – to the eastern and northern regions of Singapore.