Hawker Grants & Schemes
Source: Straits Times (https://www.straitstimes.com/lifestyle/food/students-get-a-taste-of-hawker-life)
Despite the republic’s hawker food culture gaining international attention for its endless choice of gastronomical delights and affordability, our famed hawker centres are under threat due to rising business costs and succession problems.
In response, the government has set aside some S$90m through grants and initiatives to lower the barrier and counter rising costs for aspiring and current hawkers.
Here are some of the government grants to assist you in your hawker journey.
1. Incubation Stall Programme
To counter succession problems, NEA launched the Incubation Stall Programme to encourage aspiring hawkers to join the hawker trade.
- Successful applicants would be offered the stall at half the market rate for six months.
- Basic equipment (stainless-steel shelves, worktops fridges etc) is provided free
- During the six months, aspiring hawkers would have the opportunity to learn the ropes of being a hawker and decide whether they are suited for the hawker trade.
It can be very risky especially if you are a first-timer. Applying for the Incubation Stall Programme will help you get started in your first step to becoming a successful hawker.
The Hawkers’ Productivity Grant provides stallholders funding support for the purchase of kitchen automation equipment which can help them achieve higher productivity.
- Eligible stallholders can claim 80% of the equipment unit cost (excluding GST) on a reimbursement basis, capped at S$5,000
- Equipment that has been funded by other grant schemes will not be supported.
- Equipment that qualifies for the grant is listed in this equipment list.
This fund is managed by the Employment & Employability Institute (e2i), which funds up to 50% of productivity improvement costs and can be used for multiple projects, subject to a cap of up to $300,000 per project.
These projects include:
- Automation & equipment costs
- Process re-engineering and training costs directly associated with the productivity improvement projects.
4. Productivity Solutions Grant
Source: SME Portal (https://www.smeportal.sg/content/tech-depot/en/psg.html)
With PIC (Productivity & Innovation Credit Scheme) ending, a new grant called the Productivity Solutions Grant (PSG), has emerged.
- Up to 70% funding support
- There will be a pre-approved list of off-the-shelf productivity-enhancing tech or equipment that you must choose from
This scheme will also help boost your productivity while reducing costs that is like IGP. For more information, you can refer to this step by step guide.
Source: NEA Website (https://www.nea.gov.sg/our-services/hawker-management/programmes-and-grants/hawkers-development-programme)
A new programme to encourage younger hawkers to join the trade was officially launched on Monday (Jan 20).
There are three stages in the Hawkers’ Development Programme:
- The first stage, which will last for five days, is meant for aspiring and existing hawkers. They will learn basic food safety and hygiene, basic cooking techniques and business and marketing techniques on social media and food delivery apps.
- The second stage is where aspiring hawkers will be apprenticed to experienced hawkers for two months. After this stint, they can apply to NEA’s Incubation Stall Programme or bid for a stall in NEA’s monthly tender.
- The third stage will allow aspiring hawkers to test their business plans and cooking either through the Incubation Stall Programme or stalls released through NEA’s monthly tender. The Incubation Stall Programme offers a 40 per cent average rental rebate for 15 months. Experienced hawkers will also offer support in the first three months.
There are challenges that make people hesitate – long hours, hard work, business risks. So just passion alone, although it is a very good starting point, is not enough.
– Minister for Education Ong Ye Kung
This scheme will help to address some of these problems and make it easier for young hawkers to enter the trade permanently.
Conclusion
These grants and programmes by the government are just one of the many programmes which aim to sustain the hawker trade.
Other agents such as NTUC Foodfare, Fei Siong and Koufu also similar programmes to encourage more people to join the trade.
Even private campaigns such as the Tiger Street Food Support Fund by Tiger Beer is offering new hawkers who fit the bill up to S$10,000 in reimbursements via cheque to alleviate costs.
With new hawker centres slated for construction, the demand for hawkers is sure to grow and utilizing these subsidies is crucial.