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* Adopted abbreviations :
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SC - Subject Company (the company enquired by you)
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N/A - Not Applicable
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EXECUTIVE SUMMARY
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REGISTRATION NO.
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:
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52812669-E
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COMPANY NAME
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:
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SHELL EASTERN CHEMICALS (S)
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COMMENCEMENT DATE
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:
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20/12/1995
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REGISTRATION DATE
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:
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20/12/1995
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EXPIRY DATE
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:
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20/12/2013
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BUSINESS CONSTITUTION
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:
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SOLE PROPRIETORSHIP
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BUSINESS ADDRESS
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:
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SHELL HOUSE, 83 CLEMENCEAU AVENUE, 04-00, 239920, SINGAPORE.
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TEL.NO.
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:
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65-63848737
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FAX.NO.
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:
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65-63848454
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WEB SITE
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:
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WWW.SHELL.COM.SG
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CONTACT PERSON
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:
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KARAN RAI SINGH ( MANAGER )
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PRINCIPAL ACTIVITY
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:
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MANUFACTURER AND MARKETER OF PETROCHEMICALS FOR INDUSTRIAL,
AGRICULTURAL, AUTOMOTIVE AND PHARMACEUTICAL APPLICATIONS
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STAFF STRENGTH
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:
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1,000 [2013]
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LITIGATION
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:
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CLEAR
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PAYMENT
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:
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N/A
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MANAGEMENT CAPABILITY
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:
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AVERAGE
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COMMERCIAL RISK
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:
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MODERATE
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CURRENCY EXPOSURE
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:
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MODERATE
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GENERAL REPUTATION
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:
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SATISFACTORY
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INDUSTRY OUTLOOK
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:
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MATURE
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HISTORY / BACKGROUND
The SC commenced its business on 20/12/1995 as a SOLE PROPRIETORSHIP.
The SC is a sole proprietorship, that is, it has a single owner whose
liabilities are unlimited. In case the SC is unable to meet all its obligations,
the creditors can claim on the owner's personal assets. The sole
proprietorship ceases upon the death of the owner or any time at the
discretion of the owner. The ownership is non-transferable. Under the law,
the SC has to file in its information with Registrar of Business but it is
not required to file in its financial statements.
The SC is principally engaged in the (as a / as an) manufacturer and
marketer of petrochemicals for industrial, agricultural, automotive and
pharmaceutical applications.
The owner of the SC are shown as follows :
Name
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Address
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IC/PP/Loc No
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Shareholding
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(%)
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SHELL EASTERN TRADING (PTE) LTD
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83, CLEMENCEAU AVENUE, 04-00, , 239920, SINGAPORE.
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198902087
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100.00
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100.00
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---------------
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------
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100.00
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100.00
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============
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=====
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+ Also Director
OWNERS
OWNER(S) 1
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Name Of Subject
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:
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SHELL EASTERN TRADING (PTE) LTD
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Address
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:
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83, CLEMENCEAU AVENUE, 04-00, 239920, SINGAPORE.
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IC / PP No
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:
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198902087
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Date of Appointment
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:
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14/12/1995
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Shareholding
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:
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100%
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MANAGEMENT
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1)
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Name of Subject
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:
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KARAN RAI SINGH
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Position
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:
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MANAGER
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AUDITOR
No Auditor found in our databank
BANKING
Banking relations are maintained principally with :
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1)
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Name
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:
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STANDARD CHARTERED BANK
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The SC enjoys normal banking routine with above mentioned banker(s).
No adverse record was found during our investigation.
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LEGAL CHECK AGAINST SC
* A check has been conducted in our databank againt the SC whether the
subject has been involved in any litigation.
No legal action was found in our databank.
PAYMENT RECORD
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SOURCES OF RAW MATERIALS:
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Local
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:
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YES
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Overseas
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:
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YES
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CLIENTELE
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Local
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:
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YES
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Domestic Markets
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:
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SINGAPORE
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Overseas
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:
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YES
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Export Market
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:
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ASIA PACIFIC
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Credit Term
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:
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AS AGREED
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Payment Mode
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:
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CHEQUES
TELEGRAPHIC TRANSFER (TT)
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OPERATIONS
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Products manufactured
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:
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PETROCHEMICALS FOR INDUSTRIAL, AGRICULTURAL, AUTOMOTIVE AND
PHARMACEUTICAL APPLICATIONS
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Total Number of Employees:
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YEAR
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2013
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2012
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GROUP
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N/A
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N/A
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COMPANY
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1,000
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1,000
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Other Information:
The SC is principally engaged in the (as a / as an) manufacturer and marketer
of petrochemicals for industrial, agricultural, automotive and pharmaceutical
applications.
Background of Shell:
Shell was established in Singapore more than a century ago in 1891. Since
then, Shell, which employs about 2000 staff, has become one of Singapore's
largest foreign investors. Assets held by Shell companies in Singapore in
petroleum, petrochemicals and other activities are in excess of us$6 billion.
Total petrochemicals investments alone amount to US$2.5 billion.
Shell's long-standing relationship with Singapore includes the setting up of
Singapore's first oil refinery for which the company was awarded "pioneer
certificate no. 1" by the Singapore government in 1961. On its centenary
in 1991, Shell received Singapore's first "distinguished partner in
progress" award in recognition of its contributions to Singapore. In
September 2000, Shell was awarded the prestigious one-time millennium trade
award in recognition of the company's significant contribution to the
nation's international trade development over the years.
Shell International Eastern Trading Company (SIETCO) handles the trading of
exports manufactured by the Bukom refinery and other oil products. SIETCO is
a vital link in Shell's global trading network and a major market player
across the whole of Asia Pacific.
The SC's products and services:
* blowing agents
* chemicals: polyurethane
* chemicals: urethane
* elastomers
* epoxy resin diluents
* liquefied petroleum gas
* resins: epoxy
* solvents
Trade names/ brands:
* Caradol - Chemicals
* Cariflex - Chemicals
* Dutrex - Chemicals
* Epikure - Chemicals
* Epon - Chemicals
* Kraton - Chemicals
* Neodol - Detergents
* Shellflex - Process Oils
* Shellsol - Chemicals
* Styrocell - Chemicals
* Teepol - Detergents
The SC is also a member of following entities:
* Singapore Manufacturers' Federation
CURRENT INVESTIGATION
Latest fresh
investigations carried out on the SC indicated that :
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Telephone Number Provided By Client
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:
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N/A
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Current Telephone Number
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:
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65-63848737
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Match
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:
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N/A
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Address Provided by Client
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:
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SHELL HOUSE 83 CLEMENCEAU ARENNE SINGAPORE 234420
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Current Address
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:
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SHELL HOUSE, 83 CLEMENCEAU AVENUE, 04-00, 239920, SINGAPORE.
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Match
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:
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NO
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Other Investigations
We contacted one
of the staff from the SC and she provided some information on the SC.
The address provided is incomplete.
FINANCIAL ANALYSIS
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We are unable to comment on the SC financial position as the SC is not
required by the law to file its financial statement in the Registrar of
Business.
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Overall financial condition of the SC : N/A
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SINGAPORE ECONOMIC / INDUSTRY
OUTLOOK
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Major Economic Indicators :
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2006
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2007
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2008
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2009
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2010
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Population (Million)
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4.40
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4.58
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4.84
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4.98
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5.08
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Gross Domestic Products ( % )
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8.7
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8.8
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1.5
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<0.8>
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14.5
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Consumer Price Index
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1.0
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2.1
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6.6
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0.6
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2.8
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Total Imports (Million)
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378,924.1
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395,979.7
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450,892.6
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356,299.3
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423,221.8
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Total Exports (Million)
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431,559.2
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450,627.7
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476,762.2
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391,118.1
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478,840.7
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Unemployment Rate (%)
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2.7
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2.3
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2.2
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3.2
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2.2
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Tourist Arrival (Million)
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9.75
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10.28
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10.12
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9.68
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11.64
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Hotel Occupancy Rate (%)
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85.2
|
87.0
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81.0
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75.8
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85.6
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Cellular Phone Subscriber (Million)
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1.05
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1.22
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1.31
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1.37
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1.43
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Registration of New Companies (No.)
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21,495
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25,903
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25,327
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26,414
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29,798
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Registration of New Companies (%)
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10.2
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20.5
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<2.2>
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4.3
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12.8
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Liquidation of Companies (No.)
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8,980
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9,226
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10,493
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22,393
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15,126
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Liquidation of Companies (%)
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28.1
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2.7
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13.7
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113.4
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<32.5>
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Registration of New Businesses (No.)
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24,219
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24,762
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24,850
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26,876
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23,978
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Registration of New Businesses (%)
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3.17
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2.24
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0.36
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8.15
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<10.78>
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Liquidation of Businesses (No.)
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26,843
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21,322
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21,150
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23,552
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24,211
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Liquidation of Businesses (%)
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<52.3>
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<20.6>
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<0.8>
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11.4
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2.8
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Bankruptcy Orders (No.)
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2,983
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2,767
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2,326
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2,058
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1,537
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Bankruptcy Orders (%)
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15.8
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<7.2>
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<15.9>
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<11.5>
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<25.3>
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Bankruptcy Discharges (No.)
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1,634
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1,626
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1,500
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3,056
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2,252
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Bankruptcy Discharges (%)
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<2.9>
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<0.5>
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<7.7>
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103.7
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<26.3>
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INDUSTRIES ( % of Growth ) :
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Agriculture
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Production of Principal Crops
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3.91
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5.26
|
<0.32>
|
3.25
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<0.48>
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Fish Supply & Wholesale
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1.33
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<3.91>
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<6.31>
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<1.93>
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<10.5>
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Manufacturing *
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73.5
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77.9
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74.6
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71.5
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92.8
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Food, Beverages & Tobacco
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79.1
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88.0
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94.8
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90.4
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96.4
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Textiles
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233.3
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194.5
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180.1
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145.9
|
122.1
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Wearing Apparel
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533.9
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466.2
|
334.6
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211.0
|
123.3
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Leather Products & Footwear
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151.7
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151.3
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128.2
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79.5
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81.8
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Wood & Wood Products
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159.1
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148.6
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132.0
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101.4
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104.0
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Paper & Paper Products
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94.6
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102.2
|
101.0
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95.4
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106.1
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Printing & Media
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119.4
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122.2
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118.2
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100.9
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103.5
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Crude Oil Refineries
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112.2
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112.0
|
113.1
|
96.4
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95.6
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Chemical & Chemical Products
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83.4
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88.8
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84.5
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80.3
|
97.6
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Pharmaceutical Products
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48.1
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47.1
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43.7
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49.1
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75.3
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Rubber & Plastic Products
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130.6
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130.4
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120.1
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101.2
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112.3
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Non-metallic Mineral
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131.3
|
116.2
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96.5
|
91.9
|
92.5
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Basic Metals
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99.9
|
90.9
|
109.8
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92.6
|
102.2
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Fabricated Metal Products
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104.4
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106.5
|
101.3
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90.8
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103.6
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Machinery & Equipment
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56.0
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66.7
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65.0
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57.3
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78.5
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Electrical Machinery
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82.3
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83.2
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81.7
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86.8
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124.1
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Electronic Components
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96.9
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99.7
|
93.1
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85.2
|
113.6
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Transport Equipment
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80.5
|
94.3
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102.0
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96.0
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94.0
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Construction
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46.60
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45.60
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45.90
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<36.9>
|
14.20
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Real Estate
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12.9
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40.8
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<11.2>
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1.4
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21.3
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Services
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|
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Electricity, Gas & Water
|
<5.3>
|
11.00
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<1.3>
|
1.70
|
4.00
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Transport, Storage & Communication
|
6.00
|
8.50
|
11.60
|
3.90
|
12.80
|
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Finance & Insurance
|
6.40
|
41.50
|
<5.9>
|
<16.4>
|
<0.4>
|
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Government Services
|
13.50
|
3.80
|
17.40
|
4.50
|
9.70
|
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Education Services
|
1.10
|
1.80
|
0.50
|
0.10
|
<0.9>
|
|
|
|
|
|
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* Based on Index of Industrial Production (2011 = 100)
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(Source : Department of Statistics)
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INDUSTRY ANALYSIS
|
INDUSTRY :
|
MANUFACTURING
|
|
|
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|
The manufacturing sector contracted by 1.1% in the fourth quarter of 2012,
led by declines in the electronics and precision engineering clusters.
These clusters were weighed down by weak global demand for semiconductors
and semiconductor-related equipment. For the whole year of 2012, the
manufacturing sector grew by 0.1%, significantly lower than the 7.8%
recorded in 2011 when the sector was boosted by a surge in the growth of
the biomedical manufacturing cluster.
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Output of the biomedical manufacturing cluster grew by 2.4% in the fourth
quarter. The expansion was driven by the medical technology segment which
grew by a healthy 9.2%, benefitting from robust export demand for medical
devices. The pharmaceuticals segment also grew by a modest 1.1%. For 2012,
the biomedical manufacturing cluster expanded by 9.9%.
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|
Output of the transport engineering cluster expanded by 4.9% in the fourth
quarter. The aerospace segment grew by 6.2%, supported by higher demand for
repair jobs from commercial airlines. Similarly, the marine & offshore
engineering segment expanded by 5.0%, on the back of higher contributions
from oil rig projects and oilfield equipment components. In the year 2012,
the transport engineering cluster surged by 11%.
|
|
The output of the precision engineering cluster shrank by 1.3% in the
fourth quarter. The decline was led by the 5.3% contraction in the
machinery & systems segment, which saw weak export demand for
semiconductor-related equipment. On the other hand, the precision modules
& components segment grew by 2.9%, supported by higher production of
optical instruments & photographic equipment and electronic connectors.
In 2012, the precision engineering cluster expanded by 1.3%.
|
|
The general manufacturing cluster's output grew by 1.2% in the fourth
quarter, driven by the 6.4% growth in the miscellaneous industries segment.
The segment's growth was supported by higher production of batteries and
constructionrelated materials. By contrast, the printing and food,
beverages & tobacco segments declined by 6.4% and 1.3% respectively.
For 2012, the general manufacturing cluster grew by 2.0%.
|
|
The chemicals cluster's output grew by 7.7% in the fourth quarter. The
petrochemicals and petroleum segments registered growth of 9.3% and 6.3%
respectively, partly due to the low base from plant shutdowns in end of
2011. The specialty chemicals segment also expanded by 8.0% on the back of
higher regional demand. For the year 2012, the chemicals cluster declined by
0.4%, primarily due to weak regional demand for specialty chemicals in the
second and third quarter of 2012.
|
|
Output of the electronics cluster contracted by 10% in the fourth quarter,
led by the semiconductors and computer peripherals segments which
contracted by 13% and 15% respectively. By contrast, the data storage
segment grew by 7.8%, mainly due to the low base in end of 2011 when floods
in Thailand had disrupted the supply chain for data storage products. For
the whole of 2012, the electronics cluster contracted by 11%.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : MATURE
|
CREDIT RISK EVALUATION & RECOMMENDATION
|
Incorporated in 1995, the SC is a Sole Proprietorship, focusing on manufacturer
and marketer of petrochemicals for industrial, agricultural, automotive and
pharmaceutical applications. With its long establishment in the market, the
SC has received strong support from its stable customers base. Its business
position in the market is quite stable and it is expected to enjoy better
market shares over its rivals.
|
|
Over the years, the SC has penetrated into both the local and overseas
market. The SC has positioned itself in the global market and is competing
in the industry. Its stable clientele base will enable the SC to further
enhance its business in the near term. Being a large entity, the SC has a
steady workforce of 1,000 personnel to support its business operations. Its
future prospects seem to be fairly good as its business operations are
running relatively stable. Overall, we regard that the SC's management
capability is average. This indicates that the SC has greater potential to
improve its business performance and raising income for the SC.
|
|
As the SC is registered as a sole-proprietorship, its financial statement
are not available for analysis. As such, we are unable to ascertain the
SC's financial health. The SC's ability to meet its obligations is very
much dependent on the owner's financial strength.
|
|
The SC's supplier are from both the local and overseas countries. This will
eliminates the risk of dependency on deliveries from a number of key
suppliers and insufficient quantities of its raw materials. Overall the SC
has a good control over its resources.
|
|
The industry has reached its optimum level and is generally stable. It is
saturated and very competitive. Thus, the SC's growth prospect is very much
depends on its capacity in sustaining its performance in the market.
|
|
In view of the above, we recommend credit be granted to the SC with close
monitoring.
|
|