The European Union (EU) and Singapore concluded on Friday the negotiations of the investment part of the EU-Singapore Free Trade Agreement (EUSFTA).
An EU statement said this marks the successful conclusion of the negotiations of the entire EUSFTA, following the initialling of the other parts of the agreement in September 2013.
"The conclusion of this chapter marks a very important step in our partnership with Singapore, strengthening our investment relations," said EU Trade Commissioner Karel De Gucht.
"Now, we have a comprehensive agreement which is a gateway to this important region in Asia. It will help boost economic growth, investment and job creation in the EU. It will help opening the door for Europe to the ASEAN market with 600 million consumers," he added.
Singapore exporters of electronics, pharmaceuticals, chemicals and processed food products in particular will benefit from the removal of the EU's tariffs, while EU exporters will be granted immediate duty-free access to the Singaporean market for all products.
Businesses from both sides will also be able to gain access to each other's services markets in a wide range of sectors.
The EU and Singapore are important trading and investment partners. In 2013, the EU accounted for close to 10 percent of Singapore's global trade and was Singapore's 3rd largest trading partner.