MIRA
INFORM REPORT
|
Report Date : |
29th
June, 2006. |
IDENTIFICATION
DETAILS
|
Name : |
Z P
INTERNATIONAL |
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Registered Office : |
13,
Basement, Masjid Road, Jangpura, Bhogal, New Delhi – 110 014, India. |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
2004* |
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Legal Form : |
Partnership
Concern with an Unlimited Liability of the Partners. |
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Line of Business : |
Manufacturer
and Exporter of Shawls, Scarves, Stoles, Pareos. |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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Maximum Credit Limit : |
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Status : |
Moderate |
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Payment Behaviour : |
Slow
but Correct |
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Litigation : |
Clear |
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Comments : |
Subject
is a small and unknown concern having moderate track. Its payments are
reported as slow. The
concern can be considered for small to mediocre business dealings at usual
trade terms and conditions with some caution. |
LOCATIONS
|
Registered Office : |
13,
Basement, Masjid Road, Jangpura, Bhogal, New Delhi – 110 014, India. |
|
Tel. No.: |
91-11-32406816/
41824565 |
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Fax No.: |
91-11-41824565 |
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E-Mail : |
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Website : |
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Area : |
1500
sq. ft. approx |
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Location : |
Owned |
PARTNERS
|
Name : |
Mr.
Ubaid Ansari |
|
Designation : |
Partner |
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Date of Birth/Age : |
25
Years |
|
Experience : |
5
Years |
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Mobile No.: |
91-9335705057/
9313625979 |
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|
|
|
Name : |
Mr.
Wais Ansari |
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Designation : |
Partner |
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Date of Birth/Age : |
55
Years |
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Experience : |
30
Years |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
and Exporter of Shawls, Scarves, Stoles, Pareos. |
|
|
|
|
Products : |
v
Shawls
v
Scarves
v
Stoles
v
Quilts v
Mufflers v
Throws v
Cushion
Covers v
Fancy
Bags v
Belts v
Jewellery |
|
|
|
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Production Unit: |
Barabankhi,
Uttar Pradesh |
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|
|
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Exports to : |
Middle
East, Spain, Netherlands, Germany, France, Italy, Canada, Malaysia,
Singapore, Japan and Australia. |
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Terms : |
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Selling : |
L/C at
Sight/ TT Basis |
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|
|
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Purchasing : |
Credit
(15 – 30 Days) |
GENERAL
INFORMATION
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Customers: |
Wholesalers,
Retail Showrooms |
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|
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No. of Employees : |
25 |
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|
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Bankers : |
ICICI
Bank Limited |
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Facilities : |
-- |
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|
|
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Banking Relations : |
Unknown |
CAPITAL STRUCTURE
|
Capital
Investment : |
|
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Owned : |
Rs.
0.450 Millions |
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Borrowed : |
-- |
|
Total : |
Rs.
0.450 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
|
Particulars |
|
31.03.2005 |
31.03.2004 |
|
Net Worth |
|
0.450 |
0.375 |
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|
|
|
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Sales Turnover |
|
3.000 |
2.500 |
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|
|
|
|
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Profit/(Loss)
Before Tax |
|
0.128 |
0.094 |
|
Provision
for Taxation |
|
0.023 |
0.013 |
|
Profit/(Loss)
After Tax |
|
0.105 |
0.081 |
KEY
RATIOS
|
PARTICULARS |
|
|
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
|
3.50 |
3.25 |
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Net
Profit Margin (PBT/Sales) |
(%) |
|
4.25 |
3.75 |
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Return
on Investment (ROI) (PBT/Networth) |
|
|
23.33 |
21.67 |
The
projected turnover for the financial year ended 31.03.2006 shall be to the tune
of Rs. 4.000 Millions as claimed by the subject.
NOTE:
The
subject is a Non-incorporated business entity and thus not obliged to file any
information on itself with any Official Authority (Registrar of Company) open
for public inspection. The above mentioned information is obtained directly for
the subject itself but the subject could not substantiate it by providing
audited financial statement like Balance sheet and Profit & Loss A/C.
LOCAL AGENCY
FURTHER INFORMATION
Subject reportedly exports Handloom &
Hand Woven fabric, Shawls, Scarves, Stoles, Quilts, Mufflers
Throws,
Cushion Covers to Middle East, Spain, Netherlands, Germany, France, Italy,
Canada, Malaysia, Singapore, Japan and Australia.
The
Subject is not importing and purchasing the raw materials; fabrics and other
items form the domestic market. The subject can manufacturing the products
according to the customer’s specifications and the selling terms are flexible
on mutual terms.
Industry Overview:
India exports 41% (US$ 1988 million) garments to USA,
52% (US$ 2576 million) to European Union, 3% (US$ 179 million) to Canada and 4
% to Non-quota countries. The major countries in European Union are United
Kingdom (US$ 588 million), France (US$ 532 million), Germany (508 million),
Benelux (316 million), Italy US$ 214 million, Spain (US$ 149 million), Denmark
(US$ 117 million), Sweden (US$ 67 million). The major non-quota countries are
UAE (US$ 43.6 million), Saudi Arabia (US$ 304 million), Switzerland (US$ 21.8
million), Norway (US$ 15.7 million), Japan (US$US$ 18.8 million), Mexico (US$
15.6 million), Brazil (US$ 5.58 million), Australia (US$ 5 million), Chile (US$
4.9 million) and South Africa (US$ 4.8 million).
India's top items of exports are Ladies Blouses (US$
909 million), T-shirts (US$ 882 million), Gents Shirts (US$ 570 million),
Trousers and Shorts (US$503 million), Ladies Dresses (US$ 289 million), Night
Dresses (US$ 289 million), Sweater/Pullovers/Cardigans (US$ 255 million),
Skirts (US$ 244 million), Overcoats, Coats, Blazers (US$ 222 million) and
Babies Garments (US$ 180 million).
The Unit Value Realization in the year 2003-04 has gone
up by 7.81% from US$ 3.71 per piece to US$ 4.00 per piece.
|
COUNTRY |
2002-03 |
2003-04 |
%
INCREASE/DECREASE |
|
|
Value:
USD Million |
|
|
|
USA |
2107.50 |
1988.10 |
-5.67 |
|
EU |
2177.90 |
2576.90 |
+18.32 |
|
CANADA |
202.40 |
179.20 |
-11.42 |
|
TOTAL RESTRICTED
COUNTRIES |
4487.80 |
4744.20 |
+5.71 |
|
TOTAL OBA
COUNTRIES |
282.20 |
206.70 |
-26.75 |
|
GRAND TOTAL |
4770.00 |
4950.90 |
+3.79 |
VERTICAL INTEGRATION :
India's textile industry is truly vertically integrated
from raw material to finished product, including fiber production, spinning,
knitting and weaving, and apparel manufacture. Business and cultural linkages
with neighboring countries Bangladesh, Sri Lanka, and Nepal, Thailand, Myanmar,
PR China provide a platform for sourcing from them as well.
PRODUCTION VARIETY :
Raw material production includes cotton, silk, wool,
linen and manmade fibers such as polyester, viscose, acrylic, and
polypropylene. Indian companies have built global scale even in non-traditional
areas.
Fabric production includes fine dress fabrics,
shirting, fabrics for trousers/shorts worsted suiting , denim, fleece, jersey,
flat/woolen knits, technical fabrics, and more. Apparel production includes
active sportswear, outerwear, foundation garments, suits, socks, infantwear
etc. Production of made-ups includes a wide variety of bed, bath, and table
linens, kitchen accessories etc.
LABOR FORCE :
India's textile and apparel industry directly and
indirectly employs 35 million people. The country has an abundant, low-cost
base of labor which has long-term sustainability and very high skill in
fabric-and garment making.
CAPACITY :
India's
industry has consistently remained flexible in terms of production quantity and
lead time and thus presents the possibility of producing quantities as low as a
few hundred pieces. A large base of European and American customers are already
served from India, with almost 35% of apparel exports headed to EU.
OPERATING ENVIRONMENT :
The textile and apparel industry is an important one to
India, contributing 1.6% of industrial production and 30 % of total exports.
Import duties on capital equipment are low (the majority of the capital
equipment used by the apparel industry, like sewing machines, can be imported
at 5% basic customs duty), fabrics can be imported duty-free if made up into
garments and re-exported, and import duties on fabrics and other raw materials
are duty free for export production. The apparel industry can import duty free
specified trimmings and embellishments like Fasteners, Rivets, Garment Stay,
Laces, Badges, Sewing Thread, Sequin, Tape & others for export production.
India has a structured, multi-tiered administrative, political and legal system
that would be familiar in nature to European and American investors.
The Indian garment exporters have given main emphasis
on new fabrics and presentations like Romantic line meant for top designer,
which is not available in budget stores. There is an introduction of new
fabrics like poly satin, viscose, ply chiffon, heavier georgette, tie and dye
fabrics, chifley fabrics, embroidery and hand knitted garments.
The exporters have chosen to revisit the prints and
have taken those floral prints where flowers of other countries have taken
place in place of Indian flowers.
The exporters have been using various kinds of washes
like natural wash, vintage wash and laser wash to give a new look to the
garments. Hippie/frills and lot of sparkling bead works have also been
demonstrated. Geometric designs have also been projected as per the new fashion
trends. Some exhibitors have made their collection by using lycra and have
presented with different kinds of embroidery to reach high fashion community.
The uniqueness of Indian garment exports is quick
turn-around time, factory compliance, factory personally looked after by
Presidents/CEOs of the company and undertaking even small size orders.
The
handicrafts industry is one of the largest employers of economically weaker
sections of the society in the interiors of the country and also one of the
largest foreign exchange earners. The handicrafts sector has tremendous
potential in the world market. Export of handicrafts in 2004-05 crossed
Rs.130327.000 Millions that is 2.9 billion US dollars registering growth of
24.53% in rupee term and 29.07% in dollar term. The growth in the current year
is also impressive witnessing achievement of 16.01% in the month of September
2005 in dollar terms. The world trade in handicrafts is of the order of US $
235 billion but India’s share in the same is only 1.6%. and most of the buyers
are from countries like USA, Germany, UK, France, Switzerland, Denmark, Italy,
Spain, Greece, Portugal, Cyprus, Israel, Hong Kong, Japan, Australia, New
Zealand, Saudi Arabia, and South Africa
AS PER WEBSITE:
About Us
Z. P.
International is a manufacturer & exporter of Shawls, Scarves, Stoles,
Pareos, Pashmina Shawls etc. chiefly in handwoven fabrics. They have a wide
collection of Dobby Design, Acrylic wool, Viscose fabrics and are known for
providing the excellent quality & world class weaving & knitting
techniques.
Their products are known for its
finest quality, natural grace, bold & vibrant weave, variance and
attractive designs. They are the fusion of Indian tradition & international
fashion trends.
Established in 2004, they have
covered almost all the known corners of the world including USA, Europe and
Middle East and have proven theirselves worldwide with 80% export of their
total production in a considerably short span of time. They can say that almost
all their products, including Creative handloom & hand woven fabric,
shawls, Scarves, Stoles, Mufflers, Quilts, Throws, Cushion Covers, Fancy
Bags, Belts, Jewellery and women Accessories. etc. are all better than the
others.
Organizational Strategy
Z. P. International believes in
providing value to the customers with their finest & world class quality of
fabrics with the help of international manufacturing techniques & ever
progressive mindsets.
Customer satisfaction & excellence in quality are the two scales with which
they measure ouirselves as a business organization. They intend to provide you
better than you want and finer than you seek.
Their Products
They are known
for their finest quality of fabrics with natural grace, bold & vibrant
weave, variant and attractive designs.
Their variant product range includes:
- Attractive & Graceful
Shawls
- Scarves
- Stoles
- Pareos
- Pashmina Shawls
“Internationally accredited technology,
world class quality & 100% Customer satisfaction are their focal points”
Infrastructure
Their Corporate
office is loacted in the capital of India, New Delhi and their factory is
located in Barabanki U.P. (India). Their craftman are highly skilled and
display their experience in creating a wide array of new vibrant products.
Quality
They at Z. P.
International use methods of continuos improvement to provide customers with
high quality products, services and values.
They constantly
review and upgrade their business processes to achieve and retain international
quality standards.
Client Base
At Z. P. Internationa,
they encourage innovative ideas and creativity, which has brought forth an
array of captivating products, which are not only, contemporary but also
international in standards and style.
Commitment to
Customer service translates to customer satisfaction; this is the most
important endorsement that customers around the globe give us… and it continues
to be the reason for their existence. Their customer base spans across Europe
(Spain, Netherlands, Germany, France, Italy, Hungary & Romania) and Canada,
U.S., Malaysia, Singapore, Japan and Australia.
CMT REPORT [Corruption, Money
laundering & Terrorism]
The
Public Notice information has been collected from various sources including but
not limited to: The Courts, India Prisons Service, Interpol, etc.
1] INFORMATION
ON DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court
Declaration :
No records exist to suggest that subject is or was the subject of any
formal or informal allegations, prosecutions or other official proceeding for
making any prohibited payments or other improper payments to government
officials for engaging in prohibited transactions or with designated parties.
3] Asset
Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction registered
against subject: None
5] Records
on Violation of Anti-Corruption Laws :
Charges or investigation registered
against subject: None
6] Records
on Int’l Anti-Money Laundering Laws/Standards :
Charges or investigation registered
against subject: None
7] Criminal
Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation
with Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation
Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA
INFORM as part of its Due Diligence do provide comments on Corporate Governance
to identify management and governance. These factors often have been predictive
and in some cases have created vulnerabilities to credit deterioration.
Our
Governance Assessment focuses principally on the interactions between a
company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject
is not known to have contravened any existing local laws, regulations or
policies that prohibit, restrict or otherwise affect the terms and conditions
that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US
Dollar |
1 |
Rs.46.40 |
|
UK
Pound |
1 |
Rs.84.50 |
|
Euro |
1 |
Rs.58.32 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
|
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit
history (10%) Market
trend (10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and principal
sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
|
<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |