Is the Major Exporter Scheme Worth It? 6 Steps to Decide
Is the Major Exporter Scheme worth it? Our view: yes, if you pass IRAS's test with room to spare, most of your imports are non-dutiable goods you own, and someone will reconcile MES permits against your records. IRAS's test is zero-rated supplies above 50% of total supplies, or above S$10 million, over a 12-month period (IRAS).
In return, GST on your non-dutiable imports is suspended at import instead of paid up front. You also answer for every permit your authorised declaring agents declare.
If your question is "We re-export most of our imports. Is MES worth it, and what changes on our permits?", the answer turns on those two parts: the test and the permits. Under normal rules, you pay GST up front on imports and get it back from IRAS after you file your GST return (IRAS). If most of your sales are exports, that import GST is cash out with no output tax to offset it.
This guide is built from IRAS's e-Tax guide on the scheme, eighteenth edition, published on 3 August 2026, and from Singapore Customs' MES page, last updated on 24 February 2026. It covers the qualifying test, what changes on each import permit, who may file those permits, and what the scheme asks of you. For the scheme in brief, see our Major Exporter Scheme service page.
KEY TAKEAWAYS
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In this article |
Key takeaways
IRAS's test: zero-rated supplies above 50% of total supplies, or above S$10 million, over a 12-month period (e-Tax guide).
The period can be your latest financial year, or any run of 12 consecutive months inside the last 18.
MES suspends GST on non-dutiable imports. You still charge 9% GST when you sell MES goods locally (e-Tax guide).
Under MES you take up an ME permit, with the place of receipt code "ME".
You can authorise up to 20 declaring agents, and you're accountable for every permit they declare.
IRAS gives its decision within one month. Approval usually lasts 3 years; renewals run up to 5 years.
What does the Major Exporter Scheme change for your cash flow?
It suspends import GST instead of collecting it up front. With MES, the GST on non-dutiable goods is held in suspension when they're imported, and again when they come out of a Zero-GST warehouse (IRAS). IRAS's guide says MES businesses may bring in non-dutiable goods with no GST paid to Singapore Customs.
IRAS explains why the normal rule hurts exporters. No GST is collected on zero-rated supplies, so nothing offsets the cash paid out on imports.
Import GST is charged at the prevailing rate, worked out on the goods' CIF (cost, insurance and freight) value plus any duty that applies (Singapore Customs). The standard rate is 9% (IRAS). On a non-dutiable import with no relief or suspension scheme applying, that's 9% of the CIF value paid up front, until your GST return brings it back. Our breakdown of what customs clearance costs, GST included shows where that payment sits among the other charges.
Two limits matter. First, MES covers non-dutiable goods. For dutiable goods imported for local consumption, Customs says both GST and duty are payable (Singapore Customs).
Second, when you supply MES goods locally, you must still charge and account for GST at the prevailing rate. IRAS's guide gives that rate as 9% for local sales (e-Tax guide). MES changes what happens at import. It doesn't change what you charge a local customer.
Does "we re-export most of our imports" mean you qualify?
Not on its own. IRAS writes its condition in supplies, not imports. It reads: "Your zero-rated supplies must account for more than 50% of the total supplies or the value of your zero-rated supplies is more than S$10 million for a 12-month period" (IRAS e-Tax guide).
Zero-rated supplies include exported goods and international services. Total supplies are your standard-rated, zero-rated and exempt supplies added together. IRAS lets you measure over your latest financial year, or over any 12 consecutive months inside the last 18. If you make largely exempt supplies, IRAS says you're not eligible.
Some exempt supplies are allowed. IRAS may still grant MES status when they stay within its De Minimis limit: on average no more than S$40,000 a month, and no more than 5% of your total supplies for the period (IRAS e-Tax guide).
Our reading: the share of your imports that leaves Singapore again is a useful first signal. It isn't the figure IRAS checks. Start from your sales for the period, split into zero-rated, standard-rated and exempt.
The full list of conditions in IRAS's guide, in brief:
Condition | What IRAS says |
GST registration | Registered for GST. |
Solvency | Still trading, and financially solvent. |
Purpose | Your imports are for your business. |
Supplies test | Over 50% of total supplies zero-rated, or zero-rated supplies above S$10 million, across 12 months. |
Controls | Good internal controls, with proper accounting records kept. |
Compliance record | Good compliance records with Singapore Customs and with IRAS. |
Self-review | An ASK declaration form, certified by a tax professional holding Singapore Chartered Tax Professionals (SCTP) accreditation. |
Guarantee | IRAS may ask for a guarantee from a financial institution before it approves. |
Passing every row still isn't a promise. The guide keeps the Comptroller of GST's right to turn an application down to protect revenue.
What changes on each import permit once you're approved?
The permit type changes. Without MES, a non-dutiable import goes on what IRAS's guide calls a GST payment permit. Under MES, you take up an ME permit, which Customs calls the In-Non-Payment (Approved Premises/Schemes) permit, and declare the place of receipt code as "ME" (Singapore Customs).
Here's one import permit, before and after approval:
On the permit | Without MES | With MES |
Permit type | GST payment permit | In-Non-Payment (Approved Premises/Schemes) permit (ME permit), place of receipt code "ME" |
Import GST on non-dutiable goods | Paid up front, then recovered after you file your GST return | Suspended at the point of import |
Who may file it | You, or a declaring agent you appoint | You, or a declaring agent you have authorised through IRAS |
In your GST return | The GST paid is claimed back | Value in Box 5 and Box 9; no input tax claimed |
Postal imports at the SingPost Centre | GST must be paid | Present the ME permit to get the suspension; without it, GST must be paid |
Customs also requires the ME permit before goods are removed from a Free Trade Zone, an entry point or a Zero-GST warehouse under the scheme. All permit applications go through TradeNet.
What if a permit goes out wrong under MES?
Two errors have set routes. If a shipment goes out on a GST payment permit by mistake, IRAS's guide lets you recover that GST in your GST return. Hold on to the import permit: it's your proof of payment for the claim. Our view: nothing is lost, but that shipment is back to pay first, claim later.
If you under-declared an MES import's value, IRAS says no extra permit is needed to cover the shortfall. For other permit fixes, see our guide to correcting or cancelling an approved permit.
Questions about a permit? WhatsApp the declaration desk on +65 8786 3987 and tell us what you're trying to work out. We'll tell you what we can do for you. |
Who can file MES permits for you, and who answers for them?
Only declaring agents you have authorised. Customs says a declaring agent can obtain these permits only if the MES business has authorised it through IRAS's "Apply for Declaring Agents" e-Service. You can authorise up to 20 declaring agents, and a change takes effect in the next two working days. You're accountable for all permits your declaring agents declare (IRAS).
There's one group you don't authorise yourself. IRAS's guide names the air express companies permitted to act as your declaring agents. You don't need to authorise them. If you don't want them to use your MES status, you must notify them in writing.
If you file your own permits, IRAS's guide says you can clear non-dutiable goods using MES permits once you activate your Customs Account and subscribe to TradeNet. Our guide to filing TradeNet permits in-house covers that set-up.
Need help with a permit or customs clearance? Talk to a Declaration Nexus declaring agent on WhatsApp for a quick answer. or call +65 6589 8122 · email enquiry@declarationnexus.com |
What can your MES status be used for?
Goods that belong to you or to your overseas principal, and nothing else. You can use it only for approved purposes, and it isn't transferable.
IRAS's answer is "No" when asked whether a related company can use your MES status to import its goods.
IRAS advises that you exercise due care and don't appoint more declaring agents than necessary. Its guide also suggests two habits:
Tell overseas shippers to show the rightful importer as the "sold-to" or "bill-to" party on their commercial invoices.
Review periodically: get a complete listing of MES permits taken up under your status and reconcile it to your own import records.
How appointing an agent works in general is covered in who files your permits: forwarder or declaring agent.
What does MES ask of you in return?
Paperwork at the start, and discipline for as long as you hold the status. To apply, you submit Form GST F10 with your trading figures for a 12-month period. You also submit a certified ASK declaration form, unless you have committed to the GST Assisted Compliance Assurance Programme (ACAP) (IRAS e-Tax guide).
When you can apply: once you're GST-registered and already trading, not before. A newly incorporated business gives a projection of its trading figures in the GST F10. A guarantee may be required.
Decision: IRAS informs you of the outcome within one month of submission.
How long does MES approval last, and how is it renewed?
Usually 3 years for a new approval, and up to five years after a successful renewal (IRAS).
Renewal: when your status is due for review and you still qualify, IRAS sends a letter inviting you to renew. You file Form R1 online via myTax Portal with the certified ASK. Your MES stays valid while IRAS reviews it.
Ongoing: the status is revoked if you stop meeting any qualifying condition. If a material change means you no longer qualify, you must tell the Comptroller of GST straight away.
Is the Major Exporter Scheme worth it for your business?
Our verdict: it's worth applying for when three things line up:
You pass IRAS's supplies test with room to spare.
Most of your imports are non-dutiable goods you own.
Someone in your business will reconcile MES permits against your import records every period.
If one of those is missing, the cash-flow gain comes with a control job you may not be set up to do.
Your situation | Our view | What the rules say |
Trader whose sales are mostly exports, importing non-dutiable goods it owns | Strong candidate | Zero-rated supplies above 50% of total supplies, or above S$10 million; GST on non-dutiable imports is suspended |
Exports hover around half of sales | Possible, but watch the margin | The status is revoked if you stop meeting any qualifying condition |
Mostly dutiable goods for the local market | Little to gain on those lines | GST and duty are both payable on dutiable goods imported for local consumption |
Newly started exporter | Possible, with projections | Apply after GST registration and first trading; a guarantee may be required |
Group wanting one MES status for all its companies | No | Status covers goods owned by you or your overseas principal only |
Our judgement, three calls:
If you work with many declaring agents, cut the list before you apply. IRAS already advises against more agents than necessary. Each one files permits you answer for.
If your zero-rated share sits near the 50% line in IRAS's test (e-Tax guide), don't build your cash plan on MES until a full 12-month period supports it.
If your goods sit in storage before you decide where to sell them, ask IRAS or your tax adviser whether the Zero-GST warehouse scheme fits better. Goods stored in a Zero-GST warehouse enjoy suspension of import GST. Customs also lists MES alongside the Approved Import GST Suspension Scheme (AISS) and the Import GST Deferment Scheme (IGDS).
How to decide and apply: 6 steps
Run the supplies test. Take your last financial year, or any 12 continuous months within the past 18. Compare zero-rated supplies with total supplies. Then check whether zero-rated supplies pass S$10 million.
Check your import mix. Separate non-dutiable goods, which MES covers, from dutiable goods imported for local consumption, where GST and duty are both payable.
List who files your permits today. Decide which declaring agents you'll authorise. The limit is 20.
Arrange the certified ASK. The certifier must be a tax professional with SCTP accreditation, unless you're committed to ACAP.
Submit GST F10. Include 12 months of trading figures. IRAS replies within one month and may ask for a guarantee.
Switch the permits once approved. Authorise your agents through myTax Portal; the authorisation takes effect in the next two working days. Brief them on ME permits and the "ME" place of receipt code. Then start the periodic permit reconciliation.
"Our agent already files our permits. Why change anything?" Because approval changes what that agent may file for you. Customs says a declaring agent can obtain these permits only once you've authorised it through IRAS. IRAS holds you accountable for every permit that agent declares.
The agent can keep filing for you. It just files a different permit, under your authorisation.
For how permits are filed day to day, see our Singapore customs declaration guide.
Talk to a declaring agent about your permits
Still asking "is the Major Exporter Scheme worth it for us?" Confirm eligibility with IRAS or your tax adviser.
Declaration Nexus is a Singapore customs broker and declaring agent. We prepare and file the TradeNet permit. Send us the product description, the HS code if you have one, and the supplier's invoice, and tell us what you're trying to work out. We'll tell you what we can do for you.
WhatsApp +65 8786 3987 or call +65 6589 8122. You can also start from our import and export permit service, our re-export permits page, or our overview of how customs clearance works in Singapore.
Need a declaring agent in Singapore?
Speak to a Declaration Nexus declaring agent about your next permit or clearance. Call: +65 6589 8122 WhatsApp: +65 8786 3987 Email: enquiry@declarationnexus.com Office: 60 Paya Lebar Road, Unit 07-54 Paya Lebar Square, Singapore 409051 |
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Frequently asked questions
What are the requirements to qualify for the Major Exporter Scheme?
Your business must be registered for GST, still trading and solvent, and importing for its business. Zero-rated supplies must exceed 50% of total supplies, or S$10 million, over a 12-month period (IRAS e-Tax guide). You also need good internal controls, good compliance records with Customs and IRAS, and a certified ASK declaration form.
What is the MES scheme?
The MES scheme is IRAS's Major Exporter Scheme. It's designed to ease cash flow for companies that re-export a substantial share of their imports, by suspending GST on their non-dutiable imports.
What permit do I declare under the Major Exporter Scheme?
You take up an ME permit with Singapore Customs. Customs calls it the In-Non-Payment (Approved Premises/Schemes) permit, and you declare the place of receipt code as "ME". The ME permit is required before goods are removed from a Free Trade Zone, an entry point or a Zero-GST warehouse under the scheme.
Can our related company use our MES status?
No. IRAS limits MES status to goods you own, or goods belonging to your overseas principal. A related company that isn't under MES can't import its goods on your status. The status also can't be transferred to a new owner of your business.
How is MES different from the Zero-GST warehouse scheme?
The Zero-GST warehouse scheme covers non-dutiable goods stored in a customs-approved warehouse. Import GST is suspended there. It becomes payable only when goods are released for local sale, and it is zero-rated if they're re-exported. MES is an IRAS scheme that suspends GST on your non-dutiable imports themselves.
What if our agent filed a GST payment permit by mistake?
You can recover the GST in your GST return. IRAS's guide puts the import value in Box 5 and the GST in Box 7. Keep the import permit, because it's your proof of payment for that input tax claim.
Do postal imports get GST suspension under MES?
Yes, if you present the paperwork. At the SingPost Centre, Customs says MES traders collecting postal imports need to show their ME permit to get GST suspension. Without it, GST must be paid.
This guide to the question "is the Major Exporter Scheme worth it" summarises public guidance from IRAS and Singapore Customs as at 30 September 2026. It is general information, not tax advice. Confirm your eligibility with IRAS or your tax adviser.
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PUBLISHED BY Declaration Nexus Team Declaring agent and customs broker at Paya Lebar Square, Singapore |
WRITTEN BY · SEO & GEO BY  SingRank Team Written by the SingRank Team together with the Declaration Nexus team. SEO & GEO by SingRank.com · singrank.agency |
Last updated 3 October 2026. Have a customs question? WhatsApp the Declaration Nexus team at +65 8786 3987. |
