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Report Date : |
28.02.2014 |
IDENTIFICATION DETAILS
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Name : |
M B IMPEX |
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Registered Office : |
Unit 1008, 10/F., Guardforce Centre, |
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Country : |
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Date of Incorporation : |
15.12.2011 |
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Com. Reg. No.: |
21310844-000-10 |
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Legal Form : |
Partnership Concern |
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Line of Business : |
Importer, Exporter and Wholesaler of Polished and cut diamonds, jewellery |
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No. of Employees : |
04 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
No complaints |
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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 – September 30, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Hong Kong |
A2 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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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 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
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Source
: CIA |
M B IMPEX
ADDRESS: Unit 1008, 10/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
PHONE: 852-2994 8832
FAX: 852-2311 3443
E-MAIL: mbimpex@netvigator.com
Manager: Mr. Manishkumar Savjibhai Patel
Establishment: 16th October, 1997.
Organization: Partnership.
Capital: Not disclosed.
Business Category: Diamond Trader.
Annual Turnover: HK$100~120 million.
Employees: 4.
Main Dealing Banker: Hang Seng Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
Head Office:-
Unit 1008, 10/F., Guardforce Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong.
Associated/Affiliated
Companies:-
D. Goldi B.V.B.A., Belgium.
Jewel Goldi (NY) Inc., USA.
Jewel Goldi, India.
M B Impex Ltd.,
Hong Kong. (Same address)
R. Goldi (Shanghai) Diamond Co. Ltd., China.
S. Goldi (Asia) Ltd., Hong Kong.
S.Goldi, Hong Kong. [Operated by Mr. Manishkumar Savjibhai Patel]
Shree Ramkrishna Export, India.
V. Goldi Ltd., Israel.
21310844-000-10
Manager: Mr. Manishkumar Savjibhai Patel
Name: Mr. Manishkumar Savjibhai PATEL
Residential Address: 7/F., Ocean View Court, 27A Chatham Road, Tsimshatsui, Kowloon, Hong Kong.
Name: Mr. Nileshkumar Mohanbhai PATEL
Residential Address: Flat E, 2/F., Luna Court, 53-59 Kimberley Road, Tsimshatsui, Kowloon, Hong Kong.
The subject was established on 16th October, 1997 as a sole proprietorship concern owned by Mr. Manishkumar Savjibhai Patel under the Hong Kong Business Registration Regulations.
The following table shows the changes of the partners:-
|
Name |
Incoming Date |
Outgoing Date |
|
Manishkumar Savjibhai Patel |
16-10-1997 |
- |
|
Jayeshbhai Mohanbhai Patel |
01-06-2001 |
31-03-2002 |
|
Nileshkumar Mohanbhai Patel |
05-01-2005 |
- |
Initially the subject was located at 7/F., Ocean View Court, 27A Chatham Road, Tsimshatsui, Kowloon, Hong Kong where is the residential address of the partner, moved to Flat B, 10/F., Ocean View Court, 43 Mody Road, Tsimshatsui, Kowloon, Hong Kong in November 1997; to Flat F, 14/F., Block B, Hilton Towers, 96 Granville Road, Tsimshatsui East, Kowloon, Hong Kong in May 2002; to Room 502, 5/F., Lee Kar Building, 4‑4A Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong in August 2002; to 13/F., Fullcorp Centre, 53-55 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong in June 2005. In December 2005, Fullcorp Centre was renamed Katherine House. The subject moved to Unit L1, 13/F., Kaiser Estate, Phase 2, 47-53 Man Yue Street, Hunghom, Kowloon, Hong Kong in May 2007 and further to the present address in September 2012.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: Polished and cut diamonds, jewellery
Employees: 4.
Commodities Imported: Belgium India, Israel, other Asian countries, etc.
Markets: Belgium, USA, other Asian countries.
Annual Turnover: HK$100~120 million.
Terms/Sales: As per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
MEMBERSHIP: Hong Kong Jewellery & Jade Manufacturers Association, Hong Kong.
Hong Kong Jewelry Manufacturers’ Association, Hong Kong.
Japan Jewellery Association, Japan.
Capital: Not disclosed.
Profit or Loss: Making a small profit every year.
Condition: Business is active.
Facilities: Making active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
Hang Seng Bank Ltd., Hong Kong.
Bank of Baroda (Hong Kong) Ltd., Hong Kong.
Standing: Normal.
M B Impex is a partnership concern jointly owned by Mr. Manishkumar Savjibhai Patel and Mr. Nileshkumar Mohanbhai Patel. The two Patels are Indian and belong to the same family.
The subject, established in 1997, is one of the prestigious establishments for polished diamonds in Hong Kong. The supply comes from its India factory directly in order to provide stable and reliable sources to support the jewellery production. According to the subject, wide range of products are well finished with high quality tapers, baguettes, princess and other fancy shapes by skilful craftsmen in the Greater China region.
The subject’s in-house design team creates over a thousand designs. The products include rings, earrings, pendants, bracelets and necklaces which are set in 18K gold and platinum with diamonds and gemstones. The subject also produces ODM products according to the requirements of its customers.
The followings are the main products of the subject:-
Diamond Jewellery
White Diamond Jewellery (such as diamond ring, microset diamond ring)
Colour Diamond Jewellery (such as Bi-colour diamond ring)
Gem Set Jewellery
Emerald Jewellery
Ruby Jewellery
Sapphire Jewellery
Gold Jewellery
18K Gold Jewellery (such as 18K white gold Onyx pendant)
Platinum Jewellery
Pt 900 Platinum Jewellery
The subject has actively participated in major international jewellery shows to explore the venturing market worldwide. For instance, the subject has taken part in the following fairs and shows:-
The United States
JCK Las Vegas Show
Italy
Vicenzaoro First
Vicenzaoro Charm
Vicenzaoro Choice
Turkey
Istanbul Jewelry Show I
Istanbul Jewelry Show II
Hong Kong
HK Int’l Jewellery Show
HK Jewellery & Gem Fair
HK International Jewelry Manufacturers’ Show
Thailand
Bangkok Gems & Jewelry Fair
Middle East
Mid-East Watch & Jewellery, Sharjah, UAE
Jewellery Arabia, Bahrain
Dubai Int’l Jewellery Week, UAE
In order to penetrate the international market further, the subject has taken part in fairs and exhibitions held in Hong Kong and other foreign large cities. For instance, it is going to take part in “HKTDC Hong Kong International Jewellery Show 2014” which will be held in Hong Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the period of 5th to 9th March, 2014.
The subject’s main markets are Belgium, other European countries, the Middle East, the United States, and other Asian countries. Annual sales turnover of the subject ranges from HK$100 to 120 million. Business is rather profitable and active.
Besides operating the subject, Manishkumar Savjibhai Patel is also operating a sole proprietorship S. Goldi which is also a diamond trader. Located at the same building, S. Goldi has got an affiliated company S. Goldi (Asia) Ltd. [S. Goldi] which is a Hong Kong-registered firm located at its operating address. S. Goldi has had affiliated companies in Belgium, the United States, India, China and Israel.
S. Goldi (Asia) Ltd., the Asia marketing affiliate of India-based Shree Ramkrishna Export, was set up in 2004 and is directed by Mr. Mansukh Budheliya Patel. This firm possesses an efficient and knowledgeable sales team and this marketing affiliate deals effectively in the sales of diamonds ranging mainly from 0.01 to 3.00 carats. These diamonds are available in qualities from IF to I3 and colours from D to all colours. All the products include certified as well as non-certified stones i.e. GIA dossier and GIA certified stones up to 3.00 carats. Venturing into the upper segment of the market in South East Asia, S.Goldi (Asia) Ltd. provides reliable services to wholesalers, jewellery manufacturers, jewellery retailers and the end consumers.
The history of the subject in Hong Kong is over sixteen years.
On the whole, consider it good for normal business engagements.
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.
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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.
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Excerpts from Times of India dated 30th October 2010 is as under
–
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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.61.94 |
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|
1 |
Rs.103.31 |
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Euro |
1 |
Rs.85.11 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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.