islenska` 31.03.06 it all started with_____2dilligence
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Sunday, April 22, 2007

Dawn and the Idiots
Dawn Lee 02 Celine Lim 13 Mandes Sim 14 Gwendolyn Ng 16 Priyadarshini 36

Effects of Suez Canal
The Suez Canal in Egypt was opened in 1869. The shipping canal is 171 km long and connects the Mediterranean at Port Said with the Red Sea.
The opening of the Suez Canal in 1869 and the advent of telegraph and steamship increased Singapore’s importance as a centre for expanding trade between East and West. It also launched an era of prosperity for Singapore as transit trade expanded throughout Southeast Asia. The opening of the Suez canal helped enhance relationships and lifted shipping and trade, and with it profitability of Singapore yards. Singapore’s success as a major port connecting key trading routes between East Asia and Europe was assured. The Suez Canal accelerated the switch from sailing ships to steamships and reinforced the economic importance of the Straits of Malacca and Singapore. European countries are now able to come to Singapore at a faster rate. This helped promote trade to Singapore as the Asian countries will come to Singapore as a trading post. European Countries will also come to Singapore rather than go to these other Asian countries which are too far. Mails from Europe also travel faster too.




Trade and economy
During the subsequent decades, Singapore grew to become one of the most important ports in the world. Several events during this period contributed to its success. British intervention in the Malay peninsula from the 1820s onwards culminated, during the 1870s, in the formation of British Malaya. During this period, Malaya became an increasingly important producer of rubber and tin, much of which was shipped out through Singapore. Singapore also served as the administrative center for Malaya until the 1880s, when the capital was shifted to Kuala Lumpur. By 1880, over 1.5 million tons of goods were passing through Singapore easier, with around 80% of it transported by steam ships. The main commercial activity was entrepot trade which flourished under no taxation and little restriction. Many merchants houses were set up in Singapore mainly by European trading firms, but also by Jewish, Chinese, Arab, Armenian, American and Indian merchants. There were also many Chinese middlemen who handled most of the trade between the European and Asian merchants.
With the opening of the Suez Canal in 1869, there was an increase in trade. This led to a dramatic increase in vessels. But luckily, they all docked at Keppel Harbour, which had deep waters. The prosperity attracted immigrants from areas around the region. By 1860, the population had grown to 80,792.
The opening of the Suez Canal also led to faster post services from Europe and the USA. Technological advancement brought to Singapore easily through the Suez Canal. Singaporeans could keep up with the world, Europe and Singapore were brought closer.

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