MIRA INFORM REPORT

 

 

 

 

Report Date :

26.11.2014

 

IDENTIFICATION DETAILS

 

Name :

UNIQUE GEMS

 

 

Registered Office :

Flat A, 10/F., Windsor Mansion, 29-31 Chatham Road, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

13.02.2008

 

 

Com. Reg. No.:

38938528-000-02

 

 

Legal Form :

Sole Proprietorship

 

 

Line of Business :

Importer, exporter and wholesaler of all kinds of polished diamonds and jewellery products

 

 

No. of Employees :

02

 

 

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

(30.06.2013)

Current Rating

(30.09.2013)

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 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

Company name and address

 

UNIQUE GEMS

 

ADDRESS:       Flat A, 10/F., Windsor Mansion, 29-31 Chatham Road, Tsimshatsui, Kowloon, Hong Kong.

 

PHONE:            852-2316 2470,  2316 7844

 

FAX:                 852-2366 3620

 

E-MAIL:                        uglhkg@hksnet.com

 

 

MANAGEMENT

 

Manager:  Mr. Pradeep Mohandas Karmiyani

 

 

SUMMARY

 

Establishment:                          13th February, 2008.

 

Organization:                 Sole Proprietorship.

 

Capital:                         Not disclosed.

 

Business Category:        Diamond Trader.

 

Employees:                   2.  (Including associate)

 

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

 

Banking Relation:           Satisfactory.

 

ADDRESS

 

Head Office:-

Flat A, 10/F., Windsor Mansion, 29-31 Chatham Road, Tsimshatsui, Kowloon, Hong Kong.

 

Mailing Address:-

P.O. Box 92107, Tsim Sha Tsui Post Office, Kowloon, Hong Kong.

 

Associated Company:-

Unique Gems Ltd., Hong Kong.  (Same address)

 

 

BUSINESS REGISTRATION NUMBER

 

38938528-000-02

 

 

MANAGEMENT

 

Manager:  Mr. Pradeep Mohandas Karmiyani

 

 

SOLE PROPRIETOR

 

Name:  Mr. Pradeep Mohandas KARMIYANI

Residential Address:      8/14, Old Barrack, Mulund Colony, Mulund (W), Mumbai, India.

 

 

HISTORY

 

The subject was established on 13th February, 2008 as a sole proprietorship concern owned by Mr. Pradeep Mohandas Karmiyani under the Hong Kong Business Registration Regulations.

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

 

 

OPERATIONS

 

Activities:          Importer, Exporter and Wholesaler.

 

Lines:               All kinds of polished diamonds and jewellery products

 

Employees:       2.  (Including associate)

 

Commodities Imported:   India, Belgium, other European countries, etc.

 

Markets:                       US, Japan, South Korea, Europe, Thailand, Taiwan, Middle East, etc.

 

Terms/Sales:                 L/C, T/T, etc.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Capital:                         Not disclosed.

 

Profit or Loss:                Made very small profits in past two years.

 

Condition:                      Business is fairly active.

 

Facilities:                      Making fairly active use of general banking facilities.

 

Payment:                      Slow but correct.

 

Commercial Morality:     Satisfactory.

 

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

 

Standing:                      Small.

 

 

GENERAL

 

Unique Gems is a sole proprietorship set up and owned by Mr. Pradeep Mohandas Karmiyani who is an Indian.  He is an India passport holder and does not have the right to reside in Hong Kong permanently.

The operating office of the subject is in a residential building located at Flat A, 10/F., Windsor Mansion, 29-31 Chatham Road, Tsimshatsui, Kowloon, Hong Kong.  It is likely that this is also the residence of Pradeep Mohandas Karmiyani who is the manager of the subject.

 

The subject is engaged in manufacturing diamonds of various Shapes, Purity and Colour.  The shapes of the products are Round, Pear, Marquise, Princess, Emerald, Cushion, Heart and Oval.  The purity criteria from IF to I8 and the colour ranges from D to P.  The subject is trying to make itself as a significant supplier of rough and polished diamonds.

 

Established in February 2008, the subject shares the same operating office with Unique Gems Ltd. [UGL] which is a Hong Kong-registered firm.  UGL was incorporated on 20th September, 1994.

UGL is a member of Goenka Group which is an India-based Group of companies.  The main company of the Group is Goenka Diamonds & Jewels Ltd. which is also an India-based firm.

 

UGL is engaged in the same lines of business as the subject, more or less.  The Chief Executive Officer of UGL is Nand Lal Goenka who is also Chairman of the Group.

The subject imports polished diamonds from India and Israel and exports to the United States, Japan, South Korea, Europe, Thailand, Taiwan, the Middle East, etc.

The subject also trades in emerald, ruby jade, gem sets, semi-precious stones, blue or coloured sapphire, Tanzanite, etc.

 

Goenka Group is a family run business in India.  It is a significant diamond and jewellery trader and manufacturer.  It is likely that Goenka Group is the chief supplier of the subject.

 

The subject’s business is chiefly handled by Mr. Pradeep Mohandas Karmiyani himself.

The history of the subject is over five years in Hong Kong.  On the whole, since the subject’s registered address is in a residential building, consider it good for normal business engagements on L/C basis or in very 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.61.92

UK Pound

1

Rs.97.12

Euro

1

Rs.76.93

 

 

INFORMATION DETAILS

 

Report Prepared by :

SHG

 

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