MIRA INFORM REPORT

Report Date :

15.12.2014

IDENTIFICATION DETAILS

Name :	VARSA INTERNATIONAL
Registered Office :	Room A, 15/F., Golden Crown Court, 66-70 Nathan Road, Kowloon
Country :	Hong Kong
Date of Incorporation :	11.05.1988
Com. Reg. No.:	11821772-000-05
Legal Form :	Sole Proprietorship
LINE OF BUSINESS :	IMPORTER, EXPORTER AND WHOLESALER OF PLYWOOD, WOOD LODGE & CEMENT.
No of Employees :	01

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Small Concern
Payment Behaviour :	Slow but correct
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, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
Hong Kong	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
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 has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: 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, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. 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 12% of total system deposits in Hong Kong by the end of 2013. 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 total trade 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. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. 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. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

Source : CIA

Company name & address

VARSA INTERNATIONAL

ADDRESS: Room A, 15/F., Golden Crown Court, 66-70 Nathan Road, Kowloon, Hong Kong.

PHONE: 852-2739 3295

FAX: 852-2739 2617

E-MAIL: varsa@netvigator.com

MANAGEMENT

Manager: Mr. Narain Durgadas Haridasani

SUMMARY

Establishment: 11th May, 1988.

Organization: Sole Proprietorship.

Capital: Not disclosed.

Business Category: Importer, Exporter and Wholesaler.

Employee: 1.

Main Dealing Banker: The Hong Kong & Shanghai Banking Corp. Ltd., Hong Kong.

Banking Relation: Satisfactory.

Name

VARSA INTERNATIONAL

ADDRESS

Head Office:-

Room A, 15/F., Golden Crown Court, 66-70 Nathan Road, Kowloon, Hong Kong.

Mailing Address:-

P. O. Box 97714, Tsimshatsui, Kowloon, Hong Kong.

BUSINESS REGISTRATION NUMBER

11821772-000-05

MANAGEMENT

Manager: Mr. Narain Durgadas Haridasani

SOLE PROPRIETOR

Name: Mr. Narain Durgadas HARIDASANI, Nick

Residential Address: Room J 3/F., Star Mansion, Minden Row, Kowloon, Hong Kong.

HISTORY

The subject was established on 11th May, 1988 as a partnership concern jointly owned by Mr. Narain Durgadas Haridasani and Mr. Harjani Khami under the Hong Kong Business Registration Regulations.

The subject became a sole proprietorship as the latter retired on 9th September, 1990.

At the very beginning, the subject was located at Room J 3/F., Star Mansion, Minden Row, Kowloon, Hong Kong, moved to Room B-1, 15/F., Golden Crown Court, 66-70 Nathan Road, Kowloon, Hong Kong in August 1993 and further moved to Room A, 15/F. of the same building in June 2001.

Apart from these, neither material change nor amendment has been ever traced and noted.

OPERATIONS

Activities: Importer, Exporter and Wholesaler.

Lines: Plywood, wood lodge, cement

Employee: 1.

Commodities Imported: China, other Asian countries

Markets: Southeast Asia, Japan

Terms/Sales: L/C or as per contracted.

Terms/Buying: L/C or as per contracted.

FINANCIAL INFORMATION

Capital: Not disclosed.

Profit or Loss: Making a very small profit every year.

Condition: Keeping in a normal manner.

Facilities: Making rather active use of general banking facilities.

Payment: Met trade commitments as required.

Commercial Morality: Satisfactory.

Banker: The Hong Kong & Shanghai Banking Corp. Ltd., Hong Kong.

Standing: Small.

GENERAL

Varsa International is a sole proprietorship set up on and owned by Mr. Narain Durgadas Haridasani, Nick. He is a Hong Kong ID holder and manager of the subject.

The subject’s registered address is in a private building located at Room A, 15/F., Golden Crown Court, 66-70 Nathan Road, Kowloon, Hong Kong. This is the latest residential address of Mr. Haridasani.

Mr. Haridasani can be reached at his Hong Kong mobile phone number 852‑9189 7940.

The residential building is not trespassed by outsiders. The subject has one employee in Hong Kong.

Business commenced in May 1988, the subject is trading in all kinds of plywood, wood lodge, cement, other materials for building and construction. However, the subject is significant for its plywood bearing different specifications. Commodities are imported from China and the other Asian countries. Prime markets are Japan and Southeast Asia, etc. Business is normal. Making a small profit every year.

The business of the subject is chiefly handled by Mr. Haridasani himself. History in Hong Kong is over 26 years and seven months.

Since the registered office of the subject is in a residential building, on the whole, consider it good for normal business engagements in small credit amounts.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.44
UK Pound	1	Rs.98.15
Euro	1	Rs.77.38

INFORMATION DETAILS

Analysis Done by :	SUM
Report Prepared by :	TPT

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%)

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