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Report Date : |
15.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
ZARRA INTERNATIONAL |
|
|
|
|
Registered Office : |
c/o C. L. Liu
& Co. Room 1302, 13/F., Wah Kit Commercial Centre, 302 Des Voeux Road,
Central |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
14.02.2011 |
|
|
|
|
Com. Reg. No.: |
53743748-000-02 |
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|
|
|
Legal Form : |
Sole Proprietorship Concern |
|
|
|
|
LINE
OF BUSINESS : |
IMPORTER, EXPORTER AND WHOLESALER OF ALL
KINDS OF DIAMONDS |
|
|
|
|
No. of Employees : |
Not Available |
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 : |
Moderate |
|
|
|
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Payment Behaviour : |
Unknown |
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|
|
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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 – December 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
Hong Kong |
A2 |
A2 |
|
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 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 |
ZARRA
INTERNATIONAL
c/o C. L. Liu
& Co.
Room 1302, 13/F.,
Wah Kit Commercial Centre, 302 Des Voeux Road, Central, Hong Kong.
PHONE: 852-2543 3505
FAX: 852-2815 2074
Manager: Ms. Bhavna Pankajkumar Rangani
Establishment: 14th February, 2011.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Diamond Trader.
Employees: Nil.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory
ZARRA
INTERNATIONAL
Company ADDRESS:
Head
Office:-
c/o C. L. Liu
& Co.
Room 1302, 13/F., Wah
Kit Commercial Centre, 302 Des Voeux Road, Central, Hong Kong.
Affiliated
Companies:- (Same address)
D. N. Diamonds
(HK) Ltd., Hong Kong.
Pansun Diamonds,
Hong Kong.
Pansuriya Impex
(HK) Ltd., Hong Kong.
Triple X Diamonds,
Hong Kong.
53743748-000-02
Manager: Ms. Bhavna Pankajkumar Rangani
Name: Ms. Bhavna Pankajkumar RANGANI
Residential
Address:
A4, 4/F., Prat
Mansion, 26-36 Prat Avenue, Tsimshatsui, Kowloon, Hong Kong.
The
subject was established on 14th February, 2011 as a sole proprietorship concern
owned by Ms. Bhavna Pankajkumar Rangani under the Hong Kong Business
Registration Regulations.
Formerly
the registered address of the subject was located at A4, 4/F., Prat Mansion,
26-36 Prat Avenue, Tsimshatsui, Kowloon, Hong Kong. moved to 13/F., Wah Kit
Commercial Centre, 302 Des Voeux Road Central, Hong Kong on 21st June,
2011; to Flat 1303, 13/F., Hart Avenue, 5-9 Hart Avenue, Tsimshastui, Kowloon,
Hong Kong in January, 2012, moved to the present address in February, 2012.
Apart
from these, neither material change nor amendment has been ever traced and
noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds.
Employees: Nil.
Commodities Imported: India, etc.
Markets: Hong Kong, other Asian countries, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Capital: Not disclosed.
Profit or Loss: Made a very small profit in 2013.
Condition: Business is under development.
Facilities: Making fairly active use of general banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
Zarra
International is a sole proprietorship set up and owned by Ms. Bhavna
Pankajkumar Rangani who is an India businesswoman.
The
subject’s registered office is in an accountant firm located at ‘Room 1302,
13/F., Wah Kit Commercial Centre, 302 Des Voeux Road, Central, Hong Kong’ known
as ‘C. L. Liu & Co.’ which is handling its correspondences and
documents. She is a Hong Kong ID Card
holder and has got the right to reside in Hong Kong permanently. She is also manager of the subject.
The
subject has no employees in Hong Kong.
The
subject is a diamond trader. The
operating office of the subject is in the residence of B. P. Rangani.
The
subject is a supplier, importer and exporter of a versatile range of diamonds
in a wide variety like rose cut diamonds, rose cut heart, rose cut round, rose
cut pear, rose cut oval, rose cut marquise, fancy cut and fancy colour
diamonds, briollets beads, old mine cut diamonds round brilliant cut diamonds,
marquise, pears, oval, heart, emeralad, etc.
The subject also trades in GIA diamonds and other certified
diamonds. Most of the commodities are
imported from India. Finished products,
cut and polished diamonds are marketed in Hong Kong or re-exported to other
Asian countries. Business is still under
development.
B.
P. Rangani has a family member Mr. Pankajkumar Punabhai Rangani in Hong Kong
who is also a diamond trader. He is
operating a diamond trading company known as Pansun Diamonds.
The
business of the subject is chiefly handled by B. P. Rangani herself. History in Hong Kong is just about three
years.
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
-
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.
-
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.
-
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.
-
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.
-
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.
-
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.62.27 |
|
|
1 |
Rs.103.66 |
|
Euro |
1 |
Rs.85.17 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.