MIRA INFORM REPORT

 

 

Report Date :

20.11.2014

 

IDENTIFICATION DETAILS

 

Name :

MIDWEST TRADE INTERNATIONAL FZE

 

 

Registered Office :

E 44F-39, Hamriyah Free Zone, 52712, Sharjah

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

30.06.2014

 

 

Date of Incorporation :

03.03.2013

 

 

Legal Form :

Free Zone Establishment - FZE

 

 

Line of Business :

Engaged in the import and distribution of polymers, plastics, solvents and industrial chemicals.

 

 

No of Employees :

5

 

 

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

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

UAE

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

UAE - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

 

 

SUMMARY

 

Company Name                                     : MIDWEST TRADE INTERNATIONAL FZE

Country of Origin                                    : Sharjah, United Arab Emirates

Legal Form                                            : Free Zone Establishment - FZE

Registration Date                                   : 3rd March 2013

Trade Licence Number                            : 10454

Issued Capital                                        : UAE Dh 350,000

Paid up Capital                                      : UAE Dh 350,000

Total Workforce                                     : 5

Activities                                               : Distributors of polymer, plastic, solvents and industrial chemicals

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                 : Amir Javed, Commercial Manager

COMPANY NAME

 

MIDWEST TRADE INTERNATIONAL FZE

 

 

ADDRESS

 

Registered & Physical Address

 

Location            : E 44F-39, Hamriyah Free Zone

PO Box             : 52712

Town                 : Sharjah

Country             : United Arab Emirates

 

Facsimile          : (971-6) 5614194

Mobile               : (971-55) 5161557 / 1555786

Email                : mwtint@hotmail.com/  info@midwestco.ae

 

Please note that subject’s previous address was, E LOB Office No. E2-117 F-51, Hamriyah Free Zone, Sharjah.

 

Premises

 

Subject operates from a small suite of offices that are rented and located in the Hamriyah Free Zone Area of Sharjah.

 

 

KEY PRINCIPALS

 

     Name                                               Nationality                                 Position

 

·       Dr Zuhoor Illahi Cheema                     Pakistani                                   Managing Director

 

·       Amir Javed                                               -                                        Commercial Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 3rd March 2013

 

Legal Form                  : Free Zone Establishment - FZE

 

Trade Licence No.       : 10454 (Expires 02/03/2015)

 

Issued Capital              : UAE Dh 350,000

 

Paid up Capital                        : UAE Dh 350,000

 

Name of Shareholder (s)                                            Percentage

 

·       Dr Zuhoor Illahi Cheema                                             100%

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of polymers, plastics, solvents and industrial chemicals.

 

Import Countries: Saudi Arabia, Pakistan and China.

 

International Suppliers:

 

·       Gulf Chemicals                                             Saudi Arabia

·       Saudi Dunes Recycling Oil Factory                 Saudi Arabia

·       International Petrochemical Pvt Ltd                 Pakistan

·       Nawah Chemical Factory                               Saudi Arabia

·       Zainhou Petrochemical Ltd                             China

 

Subject has a workforce of 5 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                            Period 01/01/14 - 30/06/14:

 

Total Sales                                            UAE Dh 32,000,000

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr Amir Javed, Commercial Manager

 

 

BANKERS

 

·       Abu Dhabi Commercial Bank

Mina Road

PO Box: 4377

Sharjah

Tel: (971-6) 5737000

Fax: (971-6) 5725331

 

·       Mashreq Bank Plc

Al Boorj Avenue

Sharjah

Tel: (971-6) 5351366 / 5354873

Fax: (971-6) 5372903

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.83

UK Pound

1

Rs.96.56

Euro

1

Rs.77.42                       

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

SMN

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.