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Report Date : |
18.11.2013 |
IDENTIFICATION DETAILS
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Name : |
CHAU SHAN TRADING LTD. |
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Registered Office : |
Shop 68, LG/F., Houston Centre, 63 Mody Road, Tsimshatsui, Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
01.02.2013 |
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Com. Reg. No.: |
60960070 |
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Legal Form : |
Private Limited Company |
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LINE OF BUSINESS : |
IMPORTER,
EXPORTER AND WHOLESALER OF ALL KINDS OF DIAMONDS AND JEWELLERY |
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No. of Employees : |
3.
(Including associates) |
RATING & COMMENTS
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MIRA’s Rating : |
NB |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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---- |
NB |
New Business |
---- |
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Status : |
New Company |
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Payment Behaviour : |
Unknown |
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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 – March, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Hong Kong |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
hong kong - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international
trade and finance - the value of goods and services trade, including the
sizable share of re-exports, is about four times GDP. Hong Kong levies excise
duties on only four commodities, namely: hard alcohol, tobacco, hydrocarbon
oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open
economy left it exposed to the global economic slowdown that began in 2008.
Although increasing integration with China, through trade, tourism, and
financial links, helped it to make an initial recovery more quickly than many
observers anticipated, it again faces a possible slowdown as exports to the
Euro zone and US slump. The Hong Kong government is promoting the Special
Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization.
Hong Kong residents are allowed to establish RMB-denominated savings accounts;
RMB-denominated corporate and Chinese government bonds have been issued in Hong
Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion
quota set by Beijing for trade settlements in 2010 due to the growth of
earnings from exports to the mainland. RMB deposits grew to roughly 9.1% of
total system deposits in Hong Kong by the end of 2012, an increase of 59% from
the previous year. The government is pursuing efforts to introduce additional
use of RMB in Hong Kong financial markets and is seeking to expand the RMB
quota. The mainland has long been Hong Kong's largest trading partner,
accounting for about half of Hong Kong's exports by value. Hong Kong's natural
resources are limited, and food and raw materials must be imported. As a result
of China's easing of travel restrictions, the number of mainland tourists to
the territory has surged from 4.5 million in 2001 to 34.9 million in 2012,
outnumbering visitors from all other countries combined. Hong Kong has also
established itself as the premier stock market for Chinese firms seeking to
list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the
firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of
the Exchange's market capitalization. During the past decade, as Hong Kong's
manufacturing industry moved to the mainland, its service industry has grown
rapidly. Growth slowed to 5% in 2011, and less than 2% in 2012. Credit
expansion and tight housing supply conditions caused Hong Kong property prices
to rise rapidly and inflation to rise 4.1% in 2012. Lower and middle income
segments of the population are increasingly unable to afford adequate housing.
Hong Kong continues to link its currency closely to the US dollar, maintaining
an arrangement established in 1983.
|
Source
: CIA |
CHAU
SHAN TRADING LTD.
ADDRESS: Shop 68, LG/F., Houston Centre, 63 Mody Road,
Tsimshatsui, Kowloon, Hong Kong.
(Formerly located at:
c/o Gurung & Shum Business Solutions Ltd.
Room 406B, 4/F., Mirror Tower, 61 Mody Road, Tsimshatsui East, Kowloon,
Hong Kong. )
PHONE: Not Available
Managing Director: Mr.
Ramjee Prasad Paudel
Incorporated on: 1st February, 2013.
Organization: Private
Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$1.00
Business Category: Diamond & Jewellery Trader.
Employees:
3. (Including associates)
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
CHAU SHAN TRADING
LTD.
Registered Head
Office:-
Shop 68, LG/F., Houston Centre, 63 Mody Road, Tsimshatsui, Kowloon, Hong
Kong.
Associated
Companies:-
Basilica Jewelry Ltd.
Room 505, 5/F., Beverley Commercial Centre, 87-105 Chatham Road South,
Tsimshatsui, Kowloon, Hong Kong.
Cornell Trading (HK) Ltd., Hong Kong.
Nippon Incorporation Ltd., Hong Kong.
P. K. Impex, Hong Kong.
Pal Gems, India.
Rose Jewels Ltd., Hong Kong.
Swift Trading Ltd., Hong Kong.
60960070
1859956
Managing Director: Mr. Ramjee
Prasad Paudel
Contact Person: Mr. Vision
Nominal Share Capital: HK$10,000.00
(Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$1.00
(As per registry dated 01-02-2013)
|
Name |
|
No. of share |
|
Vijen Girishchandra JHAVERI |
|
1 = |
(As per registry dated 01-05-2013)
|
Name (Nationality) |
Address |
|
Ramjee Prasad PAUDEL |
2/F., 3 Swatow Street, Wanchai, Hong Kong. |
Ramjee Prasad PAUDEL (As per registry dated 01-05-2013)
The subject was incorporated on 1st February, 2013 as a private limited
liability company under the Hong Kong Companies Ordinance.
Formerly the subject’s registered address was located at Room 406B,
4/F., Mirror Tower, 61 Mody Road,
Tsimshatsui East, Kowloon, Hong Kong where was the operating office of a
commercial service provider Gurung & Shum Business Solutions Ltd. It moved to the present address with effect
from 1st May, 2013.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of diamonds and jewellery.
Employees: 3. (Including associates)
Commodities Imported: India, etc.
Markets: Hong
Kong, China, other Asian countries, UAE, etc.
Terms/Sales:
COD or as per
contracted.
Terms/Buying: L/C,
T/T, etc
.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$1.00
Profit or Loss: Too early to offer an opinion.
Condition: Business
is under development.
Facilities: Making
fairly active use of general banking facilities.
Payment:
Met trade
commitments as required.
Commercial Morality: Satisfactory
Bankers:-
The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong.
Hang Seng Bank
Ltd., Hong Kong.
Standing:
Small.
Having issued just one ordinary share of HK$1.00, Chau Shan Trading Ltd.
is wholly owned by Mr. Vijen Girishchandra Jhaveri who is an Indian.
Ramjee Prasad Paudel is the only director of the subject. He is a Hong Kong ID Card holder and has got
the right to reside in Hong Kong permanently.
The subject’s old address was located at Room 406B, 4/F., Mirror Tower,
61 Mody Road, Tsimshatsui East, Kowloon, Hong Kong where was the operating
address of a commercial service provider known as Gurung & Shum Business
Solutions Ltd. The subject moved to the
present address in May 2013.
Including its associates, the subject has 3 employees in Hong Kong.
We can reach Contact Person Mr. Vision, who is an Indian, at his Hong
Kong mobile phone number 852-6952 6805.
He is a representative of the subject.
He is also the representative of another firm Al Saba General Trading
FZE Ltd., a Hong Kong-registered firm located at a different address.
The subject has had a number of associated companies in Hong Kong.
Jhaveri is also the owner and director of another firm which is
registered in Hong Kong known as Basilica Jewelry Ltd. [Basilica]. It has got another associated companies Rose
Jewels Ltd. [Rose] and Nippon Incorporation Ltd. [Nippon]. Nippon and Basilica are also located at the
same address as the subject.
The subject also has got an affiliated company in India known as Pal
Gems. This firm is a diamond importer,
exporter and wholesaler. It is engaged
in manufacturing loose diamonds like marquise, pears, tappers, buggets and rose
cut diamonds. The subject imports loose,
polished and cut diamonds from India.
Pal Gems seems to be its main supplier.
Vijen Girishchandra Jhaveri can be reached at his mobile phone number at
86-138288 53805 which is a China line.
According to VG Jhaveri, he has had an associated factory in Shenzhen
Special Economic Zone, China. Employing
about 60 persons, the Shenzhen factory is engaged in manufacturing all kinds of
diamond jewellery.
The subject imports loose diamonds from India, and after processing in
China, finished jewellery products are exported to India, the other Asian
countries, Europe, etc. Business is
under development.
Besides the subject, VG Jhaveri also has set up another firm known as
Cornell Trading (HK) Ltd. [Cornell] which is also a Hong Kong-registered
firm. Incorporated on 1st February,
2013, Cornell is also a diamond and jewellery trader. Cornell and the subject are engaged in the
same lines of business, more or less.
The subject’s business is chiefly handled by Jhaveri and Mr.
Vision. History is just over nine month
in Hong Kong.
On the whole, since the history of the subject is short, consider it
good for normal business engagements on L/C basis.
DIAMOND INDUSTRY – INDIA
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From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business enterprises
include spirit of entrepreneurship, mutual trust lowers transaction costs,
small, nimble and quick to react, information as a source of advantage and
philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
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The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.06 |
|
|
1 |
Rs.101.15 |
|
Euro |
1 |
Rs.84.95 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.