MIRA INFORM REPORT

 

 

Report Date :

08.10.2013

 

IDENTIFICATION DETAILS

 

Name :

MINSKIY TRAKTORNYI ZAVOD RUP

 

 

Registered Office :

Dolgobrodskaya Street 29, Minsk 220009

 

 

Country :

Belarus

 

 

Date of Incorporation :

29.05.1946

 

 

Legal Form :

Republican Unitary Enterprise

 

 

Line of Business :

Importers, exporters and manufacturers of 24 types of tractors under the trade mark "Belarus" and spare parts as well as equipment and instruments

 

 

No. of Employees :

20,000 (subject)

30,000 (group)

 

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

 

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 – March 31st, 2013

           

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Belarus

C1

C1

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


Belarus ECONOMIC OVERVIEW

 

As part of the former Soviet Union, Belarus had a relatively well-developed industrial base; it retained this industrial base - which is now outdated, energy inefficient, and dependent on subsidized Russian energy and preferential access to Russian markets - following the breakup of the USSR. The country also has a broad agricultural base which is inefficient and dependent on government subsidies. After an initial burst of capitalist reform from 1991-94, including privatization of state enterprises, creation of institutions of private property, and development of entrepreneurship, Belarus' economic development greatly slowed. About 80% of all industry remains in state hands, and foreign investment has been hindered by a climate hostile to business. A few banks, which had been privatized after independence, were renationalized. State banks account for 75% of the banking sector. Economic output, which had declined for several years following the collapse of the Soviet Union, revived in the mid-2000s thanks to the boom in oil prices. Belarus has only small reserves of crude oil, though it imports most of its crude oil and natural gas from Russia at prices substantially below the world market. Belarus exported refined oil products at market prices produced from Russian crude oil purchased at a steep discount. In late 2006, Russia began a process of rolling back its subsidies on oil and gas to Belarus. Tensions over Russian energy reached a peak in 2010, when Russia stopped the export of all subsidized oil to Belarus save for domestic needs. In December 2010, Russia and Belarus reached a deal to restart the export of discounted oil to Belarus. Little new foreign investment has occurred in recent years. In 2011, a financial crisis began, triggered by government directed salary hikes unsupported by commensurate productivity increases. The crisis was compounded by an increased cost in Russian energy inputs and an overvalued Belarusian ruble, and eventually led to a near three-fold devaluation of the Belarusian ruble in 2011. In November 2011, Belarus agreed to sell to Russia its remaining shares in Beltransgaz, the Belarusian natural gas pipeline operator, in exchange for reduced prices for Russian natural gas. Receiving more than half of a $3 billion loan from the Russian-dominated Eurasian Economic Community Bail-out Fund, a $1 billion loan from the Russian state-owned bank Sberbank, and the $2.5 billion sale of Beltranzgas to Russian state-owned Gazprom helped stabilize the situation in 2012; nevertheless, the Belarusian currency lost more than 60% of its value, as the rate of inflation reached 53% in 2011 and 59% in 2012.

 

Source : CIA


Company NAME

 

Minskiy Traktornyi Zavod RUP (Correct)

MINSK TRACTOR WORKS REPUBLICAN UNITARY ENTERPRISE (Requested)

 

 

Company ADDRESS

 

Street   :                       Dolgobrodskaya Street 29

Town     :                       Minsk 220009

Country  :                      Belarus

Telephone:                    (375 17) 246 6009 / 246 6117 / 246 6251 / 230 1864 / 246 6040 / 230 8427 / 230 6333 /

230 6541 / 214 9492 / 246 6137 (HR) / 230 2572 (Vladimir Leonidovich Karpushenko)

Fax      :                        (375 17) 230 8548 / 230 6291

E-Mail   :                       oneaip@mail.ru  / sales@tractors.com.by  / sales@belarus-tractor.com

Website  :                     www.belarus-tractor.com

 

Extended Name : Minskiy Traktornyi Zavod Respublikanskoe Unitarnoe Predpriyatie

 

Shortform Name : RUP MTZ

 

English Translation : Republican Unitary Enterprise Minsk Tractor Works

 

 

SENIOR COMPANY PERSONNEL

 

   Name                                                            Position

 

1. Vladimir Fedorovich Volchok                           General Director

 

2. Sergey Pertovich Pahomchik                           First Deputy General Director /

                                                                                    Marketing Director

 

3. Nina Petrovna Primshits                                  Deputy General Director

 

4. Igor Vyacheslavovich Emelyanovich                 Deputy General Director /  Technical Director

 

5. Sergey Stepanovich Patskevich                       Deputy General Director / Commercial Director

 

6. A. V. Paturaev                                               Deputy General Director /

                                                                                    Production Director

 

7. Anatoliy Stepanovich Vorobyev                        Deputy General Director /

                                                                                    Quality Control Director

8. Natalya Vitalyevna Gromyko                           Chief Accountant

 

9. Vladimir Leonidovich Karpushenko                   Head of Economic Analysis Department

 

10.Margarita Ivanovna Shvorob                             Head of Planning Department  

 

11.Olga Valeryevna Ignatyeva                              Head of Forecasting Department

 

Total Employees :          20,000 (subject)

                                    30,000 (group)

 

 

PAYMENTS

 

No complaints have been heard regarding payments from local suppliers or banks.

 

Subject is a member of PO Minsky Traktorny Zavod (Minsk Tractor Works

Production Association) which employs 30,000 people.

 

We consider it is acceptable to deal with subject for LARGE amounts,

although it is normal accepted practice for international suppliers

to deal on secured terms with Belarus importers.

 

Trade risk assessment : Normal

 

 

PRINCIPAL BANKERS

 

NAME     : BELARUSBANK OJSC

Branch   : Myasnikova Street 32

Town     : Minsk 220050

Telephone: (375 17) 289 3830

Fax      : (375 17) 226 4750

 

The Company also has an accounts with the following banks : 

 

1.  AKB Belvneshekonombank

    Myasnikova Street 32

    Minsk 220050

    Telephone: (375 17) 209 2944

    Fax      : (375 17) 226 4809

 

2.  Bank Moscow-Minsk JSC

    Kommunisticheskaya Street 49/1

    Minsk 220002

    Telephone: (375 17) 237 9797

    Fax      : (375 17) 239 1709

 

 


FINANCIAL INFORMATION

 

State owned companies in Belarus are not required to publish or

disclose balance sheets. However, the subject interviewed offered

the following information (latest available) :

 

Sales Turnover          : B ROUBLE 2,652,259,000,000 - 2009 - exact

                        : B ROUBLE 3,399,259,000,000 - 2010 - exact

                        : B ROUBLE 6,454,178,000,000 - 2011 - exact

 

Net Profit                    : B ROUBLE    69,748,000,000 - 2009 - exact

                        : B ROUBLE   177,304,000,000 - 2010 - exact

                        : B ROUBLE 1,024,227,000,000 - 2011 - exact

 

Foreign Trade Turnover  : US DLRS      1,034,000,000 - 2010 – exact

 

Export Amount           : US DLRS        367,077,500 - 2004 - exact

                        : US DLRS        446,366,300 - 2005 - exact

                        : US DLRS        590,695,000 - 2006 - exact

                        : US DLRS        894,024,800 - 2007 - exact   

                        : US DLRS      1,048,550,000 - 2008 – exact

                        : US DLRS        561,059,000 - 2009 – exact

                        : US DLRS        617,000,000 - 2010 – exact

 

Import Amount           : US DLRS        417,000,000 – 2010 - exact

 

Financial year ends 31 December.

 

 

LEGAL STATUS AND HISTORY

 

Date Started : 29 May 1946

 

Tax No. : UNP 101483199 

 

Statistical No. : OKPO 057862065000

 

Authorised & Paid up Capital : B ROUBLE 921,917,228

 

Respublikanskoye Unitarnoye Predpriyatye (republican unitary

enterprise) fully responsible for its own undertakings.

 

Subject is responsible to Ministry of Industry of the Republic of Belarus.

 

Affiliated companies of Minsky Traktorny Zavod RUP :

 

Associates

 

1. Smorgonsky Agregatny Zavod

 

2. Bobruisky Zavod Traktornykh Detalei i Agregatov

 

3. Vitebsky Zavod Traktornykh Zapchastei

 

4. Minsky Zavod Spetsinstrumenta i Tekhnologicheskoi Osnastki

 

5. Minsky Zavod Shesteren

 

6. Lepelsky Elektromekhanichesky Zavod

 

7. Gomelsky Zavod Gidroprivod

 

8. Zavod Gidroapparatury v g. Khoiniki

 

9. Norovlyansky Zavod Gidroapparatury

 

10.Lepelskiy Remontno-Mekhanichesky Zavod

 

11.Mozyrsky Mashinostroitelnyi Zavod

 

 

ACTIVITIES

 

The Company is involved in the following activities :

 

Importers, exporters and manufacturers of 24 types of tractors under

the trade mark "Belarus" and spare parts as well as equipment and

instruments.

 

NACE code: 2830.

 

Production Capacity : 24,700 tractors - 2002

                      27,000 tractors - 2003

                      34,594 tractors - 2004

                      42,205 tractors - 2005

                      50,058 tractors - 2006

                      60,537 tractors - 2007

                      66,538 tractors – 2008  

                      46,688 tractors – 2009

                      44,193 tractors – 2010

                      10,000 tractors – 2011*

 

* 2 Months results (January – February).

 

The group also trades in pharmaceuticals, food products, consumer

goods and provides transportation services.

 

Imports from Russia, Ukraine, Germany and other European countries.

 

Exports to Russia (47%), UK, Denmark, Hungary, Poland, USA, Canada,

Latin America countries and CIS states.

 

 

FACILITIES

 

The Company has the following facilities :

 

Manufacturing plant, extensive storage facilities and administrative

offices located at the heading address.

 

REGISTERED OFFICE

 

Dolgobrodskaya Street 29

Minsk 220009

 

 

SPECIAL NOTE

 

You enquired on : MINSK TRACTOR WORKS REPUBLICAN UNITARY ENTERPRISE. Please note that this name applies to an English translation of the subject’s name. Subject’s correct registered name is as per heading.

 

Interviewed : Olga Valeryevna Ignatyeva (Head of Forecasting Department).


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.78

UK Pound

1

Rs.99.06

Euro

1

Rs.83.84

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.