|
Report Date : |
28.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
NASAA GEM AND JEWELLERY COMPANY |
|
|
|
|
Registered Office : |
Flat D, 9/F., Lising Court, 34-36 Granville Road,
Tsimshatsui, Kowloon |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
14.09.2006 |
|
|
|
|
Com. Reg. No.: |
37151931-000-09 |
|
|
|
|
Legal Form : |
Sole Proprietorship |
|
|
|
|
Line of Business : |
Importer and Exporter of all kinds of diamonds and gem
stones |
|
|
|
|
No of Employees : |
1. (Including
associate) |
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 – September 30, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
Hong Kong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
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 |
NASAA GEM
AND JEWELLERY COMPANY
ADDRESS: Flat D, 9/F.,
Lising Court, 34-36 Granville Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2301
3888, 2301 2680
FAX: 852-2312
7888
E-MAIL: aakash@ctimail3.com
Manager: Mr. Sagar Mukesh Modi
Establishment: 14th September, 2006.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Diamond
and Gem Trader.
Employee: 1.
(Including associate)
Main Dealing Banker: Hang Seng
Bank Ltd., Hong Kong.
Banking Relation: Satisfactory
NASAA GEM
AND JEWELLERY COMPANY
Head Office:-
Flat D, 9/F., Lising Court, 34-36 Granville Road, Tsimshatsui, Kowloon,
Hong Kong.
Affiliated
Companies:-
N Kirtikumar & Company, India.
N. R. Gem Exports, Hong Kong.
(Same address)
37151931-000-09
Manager: Mr. Sagar Mukesh Modi
Name: Mr. Sagar Mukesh MODI
Residential Address: Flat D,
9/F., Lising Court, 34-36 Granville Road, Tsimshatsui, Kowloon, Hong Kong.
The subject was established on 14th September, 2006 as a sole
proprietorship concern owned by Ms. Nimisha Mukesh Modi under the Hong Kong
Business Registration Regulations.
On 26th May, 2008, Mr. Sagar Mukesh Modi joined in and replaced
Ms. Nimisha Mukesh Modi as the sole proprietor. Ms. Nimisha Mukesh Modi retired on 27th May,
2008.
The subject remains to be a sole proprietorship.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer
and Exporter.
Lines: All
kinds of diamonds and gem stones.
Employee: 1.
(Including associate)
Materials/Commodities: Imported
from India, other Asian countries, Europe, etc.
Markets: Hong
Kong, Southeast Asia, North America, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Capital: Not
disclosed.
Profit or Loss: Making
a very small profit in past three years.
Condition: Business is normal.
Facilities: Making rather active use of general
banking facilities.
Payment: Met trade commitments as required.
Commercial Morality: Satisfactory.
Banker: Hang Seng Bank Ltd., Hong Kong.
Standing: Small.
Nasaa Gem And Jewellery Company is a sole proprietorship owned by Mr. Sagar
Mukesh Modi who is an Indian. He is a
Hong Kong ID Card holder and has got the right to reside in Hong Kong
permanently. He is also manager of the
subject.
The subject’s registered address, located at Flat D, 9/F., Lising Court,
34‑36 Granville Road, Tsimshatsui, Kowloon, Hong Kong, is also the
residence of the sole proprietor.
Business is normal.
The subject is a diamond and jewellery product trader. Loose diamonds, polished and cut diamonds are
imported from India, Belgium and the other European countries.
The subject is trading in the following commodities:
Different kinds of loose diamonds, Fancy loose diamonds, Polished white
diamonds, Polished coloured diamonds, etc.
Finished products and polished diamonds are marketed in Hong Kong and
exported or re-exported to Taiwan, the Philippines, China, other Asian
countries, the United States, Europe, etc.
The subject has got an affiliated company N. R. Gem Exports that is also
located at the subject’s address.
Established on 10th May, 1995, N. R. Gem Exports is jointly owned by Ms.
Nimisha Mukesh Modi and Mr. Mukesh Babulal Modi. The former was the old sole proprietor of the
subject. The business of N. R. Gem
Exports is chiefly handled by Mr. Mukesh Babulal Modi. The subject and N. R. Gem Exports are owned
and operated by the Modi family.
The subject also has got a related firm in India known as N Kirtikumar
& Company which seems to be the subject’s principal supplier. This India firm is significant for its loose
diamonds.
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. 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 took part in “HKTDC Hong
Kong International Diamond, Gem & Pearl Show 2014” which had been held in
Hong Kong Convention and Exhibition Centre, Wanchai, Hong Kong during the
period of 3rd to 7th March, 2014. In
2015, the subject will take part in the same show which will be held in the
same centre in Wanchai, Hong Kong.
The subject’s history in Hong Kong is over seven years.
Since the subject does not have its own operating office and has no
employees in Hong Kong, consider it good for business engagements on L/C basis
or in small credit amounts.
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. 59.05 |
|
|
1 |
Rs. 99.61 |
|
Euro |
1 |
Rs. 80.60 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUB |
|
|
|
|
Report Prepared
by : |
DPT |
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.