MIRA INFORM REPORT

 

 

Report Date :

25.01.2012

 

IDENTIFICATION DETAILS

 

Name :

EMIRATES REFINING CO LTD (ERCO)

 

 

Registered Office :

Berth No. 8, Khalid Sea Port PO Box 6906 Sharjah

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

14.06.1989

 

 

Com. Reg. No.:

18807, Sharjah

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Manufacture, refining and marketing of edible oils, fats and margarine

 

 

No. of Employees :

1,100

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 1,000,000

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

UAE

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

SUMMARY

 

Company Name                                     : EMIRATES REFINING CO LTD (ERCO)

Country of Origin                                    : Sharjah, United Arab Emirates

Legal Form                                            : Limited Liability Company - LLC

Registration Date                                   : 14th June 1989

Commercial Registration Number            : 18807, Sharjah

Trade Licence Number                            : 3412

Chamber Membership Number                : 23063

Issued Capital                                        : UAE Dh 2,000,000

Paid up Capital                                      : UAE Dh 2,000,000

Total Workforce                                     : 1,100

Activities                                               : Manufacture, refining and marketing of edible oils, fats and margarine

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Recommended Credit Limit                     : US$ 1,000,000

Person Interviewed                                 : Niraj Jain, Finance Manager

 

COMPANY NAME

 

EMIRATES REFINING CO LTD (ERCO)

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : Berth No. 8, Khalid Sea Port

 

PO Box             : 6906

 

Town                 : Sharjah

Country             : United Arab Emirates

 

Telephone         : (971-6) 5029000 / 5282966 / 5286565 / 5029219

Facsimile          : (971-6) 5029188 / 5286100 / 5283544 / 5029201

Mobile               : (971-50) 6779466

Email                : rsubramanian@iffco.com / erco@iffco.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are owned and located in the Suburban Business Area of Sharjah.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Syed Rizwan Ahmed                                                                         Managing Director

 

·       Niraj Jain                                                                                          Finance Manager

 

·       Horuban Bebi                                                                                    Commercial Manager

 

·       Jihanger Minhas                                                                                Production Manager

 

·       Eric Nigel                                                                                         Operations Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 14th June 1989

 

Legal Form                  : Limited Liability Company - LLC

 

Commercial Reg. No.  : 18807, Sharjah

 

Trade Licence No.       : 3412

 

Chamber Member No. : 23063

 

Issued Capital              : UAE Dh 2,000,000

 

Paid up Capital            : UAE Dh 2,000,000

 

Name of Shareholder (s)

 

·       International Foodstuff Co (Iffco)

     Sharjah Industrial Area

     PO Box: 29220

     Sharjah

     Tel: (971-6) 5334969 / 5029000

     Fax: (971-6) 5029190

 

·       Emirates Industrial & Trading Co Ltd (EITCO)

     Sharjah Port

     PO Box: 4115 / 6906

     Sharjah

     United Arab Emirates

     Tel: (971-6) 5334696

     Fax: (971-6) 5333180

 

 

AFFILIATED COMPANIES

 

Subject is a member of the IFFCO group of companies that consists of the following concerns:

 

·       International Packaging Co LLC

     New Industrial Area

     PO Box: 2990

     Ajman

     United Arab Emirates

     Tel: (971-6) 7436814

     Fax: (971-6) 7435503

     Email: ipc@iffco.com

 

·       Intergulf Services Ltd

     PO Box: 6131

     Sharjah

     United Arab Emirates

     Tel: (971-6) 281391

 

·       Allana International Ltd

Jebel Ali Free Zone

PO Box: 16787

Dubai

United Arab Emirates

Tel: (971-4) 816120

 

·       Delmon Products Ltd

Jebel Ali Free Zone

PO Box: 16787

Dubai

United Arab Emirates

Tel: (971-4) 816504

 

·       Seville Products Ltd (LLC)

Al Ramool Industrial Area

PO Box: 10596

Dubai

United Arab Emirates

Tel: (971-4) 850066

Fax: (971-4) 850066 / 855724

 

·       Al Ain National Juice & Refreshment Co

PO Box: 15937

Al Ain

United Arab Emirates

Tel: (971-3) 7216555

Fax: (971-3) 7215208

 

·       Gateway Chemicals LLC

PO Box: 10596

Dubai

United Arab Emirates

Tel: (971-4) 3386116

Fax: (971-4) 3384416

 

·       IFFCO Egypt SAE

Street 262, Villa 10B

New Maadi

Cairo

Egypt

Tel: (20-2) 7545841 / 7545842 / 7545843 / 7545847

Fax: (20-2) 5164554

 

·       Civil Product Ltd

Dubai

       United Arab Emirates

     Tel: (971-4) 2850066

 

·       Unipex Dairy Products Co Ltd

Sharjah Industrial Area No. 2

PO Box: 5646 & 77

Sharjah

Tel: (971-6) 5337864 / 5326339 / 5321146 / 5337434

Fax: (971-6) 5336312

Email: unipex@emirates.net.ae

 

·       Tiffany Foods Ltd

Al Liya Area, Sharjah Seaport

PO Box: 6597 & 4115

Sharjah

Tel: (971-6) 5285195

Fax: (971-6) 5080504 / 5324100

Email: tiffany@emirates.net.ae

 

·       Dubai Meat Packers Ltd

 

 

OPERATIONS

 

Activities: Engaged in the manufacture, refining and marketing of edible oils, fats and margarine, shortening, butter, vegetable oils, soya, butter blend, milk fat replacer, ice cream fat, hydrogenated oils, chocolates substitute, sunflower oil, corn oil, and canola oil.

 

Import Countries: Germany and India

 

Export Countries: Saudi Arabia, Kuwait, Oman, India, Sri Lanka, Pakistan, Turkey, Tanzania and Bulgaria

 

Brand Names: NOOR, HAYAT, TRISTAR, MAHAM, BALADI, JAWAHAR, ALFA, SHAHI, SAHA, & GOLDEN MAIZE

 

Operating Trend: Steady

 

Subject has a workforce of approximately 1,100 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/09:                Year Ending 31/12/10:

 

Total Sales                                UAE Dh 132,600,000                  UAE Dh 137,000,000

 

Local sources consider subject’s financial condition to be Good.

 

The above figures were provided by Mr Niraj Jain, Finance Manager

 

 

BANKERS

 

·       ABN Amro Bank

Al Zayani Building

PO Box: 1971

Sharjah

Tel: (971-6) 5355021

 

·       HSBC Bank Middle East

Al Arooba Street

PO Box: 25

Sharjah

Tel: (971-6) 5537222

Fax: (971-6) 5537880

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Emirates Refining Co Ltd (ERCO) has been in business since 1989 and specialises in the manufacture, refining and marketing of edible oils, fats and margarine.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.97

UK Pound

1

Rs.77.74

Euro

1

Rs.65.09

 

 

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

Capability to overcome financial difficulties seems comparatively below average.

 

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

--

NB

                                       New Business

 

--

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.