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Report Date : |
06.10.2014 |
IDENTIFICATION DETAILS
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Name : |
JEBEL GEMS INT. |
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Registered Office : |
Flat A, 10/F., Peninsula Apartments, 16 Mody
Road, Tsimshatsui, |
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Country : |
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Date of Incorporation : |
11.02.1999 |
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Com. Reg. No.: |
22270273-000-02 |
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Legal Form : |
Sole Proprietorship |
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Line of Business : |
Importer, Exporter and Wholesaler of All kinds of Diamonds, Gems, Sapphires,
Ruby and Other Precious Stones. |
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No of Employees : |
1 |
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 : |
Small Company |
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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 – June 1, 2014
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Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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Hong Kong |
A1 |
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.
|
Source
: CIA |
JEBEL GEMS INT.
ADDRESS: Flat A,
10/F., Peninsula Apartments, 16 Mody Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2367
0173
FAX: 852-2367
0175
Manager: Mr. Avinash
Chandrakani Bhurke
Establishment: 11th February, 1999.
Organization: Sole Proprietorship.
Capital: Not disclosed.
Business Category: Importer,
Exporter and Wholesaler.
Employee: 1.
Main Dealing Banker: Industrial
& Commercial Bank of China (Asia) Ltd., Hong Kong.
Banking Relation: Satisfactory.
JEBEL GEMS INT.
Head Office:-
Flat A, 10/F., Peninsula Apartments, 16 Mody
Road, Tsimshatsui, Kowloon,
Hong Kong.
Associated/Affiliated Companies:-
*# A.T. Gems, Hong Kong.
* AB Jewellery
Ltd., Hong Kong. [Dissolved by
Deregistration]
* Akshar
Gems, Hong Kong.
# Anitadiam, Hong Kong.
* D and V International,
Hong Kong.
*# Indigo Star, Hong Kong.
* S.K. Gems, Hong Kong.
(* Same owner
#
Same address)
22270273-000-02
Manager: Mr. Avinash
Chandrakani Bhurke
Name: Mr. Avinash
Chandrakani BHURKE
Residential Address: Flat C, 5/F.,
Hong Sun Building, 45-47 Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong.
The subject was originally established on 11th February, 1999 as a sole
proprietorship concern of Mr. Avinash Chandrakani Bhurke under the
Hong Kong Business Registration Regulations. On 17th May, 2000, Mr. Sonal Vithalbhai Patel joined in
and since then the subject had become a partnership concern. However, Mr. Sonal Vithalbhai Patel retired on 10th December, 2007 and
the subject became a sole proprietorship again.
At the very beginning, the subject was located at Flat C, 5/F., Hong Sun
Building, 45-47 Carnarvon Road, Tsimshatsui,
Kowloon, Hong Kong, moved to Flat 1, 7/F., 1 Hanoi
Road, Tsimshatsui, Kowloon,
Hong Kong in October 2003, moved to Flat A, 16/F., Peninsula Apartments, 16 Mody Road, Tsimshatsui, Kowloon, Hong Kong in November 2010, and further moved to
Flat A, 10/F. of the same building in August, 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,
gems, sapphires, ruby and other precious stones.
Employee: 1.
Materials/Commodities: Imported
from Europe, India, other Asian countries
Markets: Southeast Asia,
China, Europe
Terms/Sales: L/C or as per
contracted.
Terms/Buying: L/C, T/T, D/P
Capital: Not disclosed.
Profit or Loss: Operation is
profitable.
Condition: Business is normal.
Facilities: Making rather active use
of general banking facilities.
Payment: Met trade commitments as
contracted.
Commercial Morality:
Satisfactory.
Banker: Industrial &
Commercial Bank of China (Asia) Ltd., Hong Kong.
Standing: Small.
Jebel Gems Int. was a partnership jointly owned
by Mr. Avinash Chandrakani Bhurke and Mr. Sonal Vithalbhai Patel, both of whom are Indian. Now, it is solely owned by the former as the
latter has retired.
Bhurke has been in Hong Kong for a very long
time. He is a Hong Kong ID holder and has
got the right to reside in Hong Kong permanently.
The subject’s registered address in a private building is not accessed
by outsiders. Formerly it was located at
Flat A, 16/F., Peninsula Apartments, 16 Mody
Road, Tsimshatsui, Kowloon,
Hong Kong, now has moved to Flat A, 10/F. of the same building in August
2012. The subject’s new registered
address is likely to be the new residence of Bhurke.
The subject is trading in all kinds of diamonds, gems, sapphires, ruby
and other precious stones. It also imports
polished or cut diamonds, other loose diamonds from Europe, India, other Asian
countries, etc. Finished products are
marketed in Hong Kong, exported to China, Southeast Asia, Japan, Europe, etc. Business is steady. Regular suppliers and overseas customers have
been maintained.
The subject has had three more associated firms located at the same
address, namely, A.T. Gems, Indigo Star and Anitadiam. All are diamond trading firms and have
registered with the Hong Kong Government.
A.T. Gems and Indigo Star are also owned and operated by Bhurke.
Bhurke is also operating other firms, namely, Akshar Gems, D and V International, and S.K. Gems. Also trading in diamonds, all these firms are
located at a different address. They are
also registered in Hong Kong.
Formerly Bhurke also had operated another firm
known as AB Jewellery Ltd. Incorporated on 17th August, 2006, AB Jewellery Ltd. was wholly-owned by Bhurke
who was also the only director of this firm.
This firm was a jewellery trader. However, it has been dissolved by
deregistration since 25th March, 2011.
The subject’s business is chiefly handled by Bhurke
himself. Business is normal.
As the history of the subject in Hong Kong is over fifteen years and
seven months, on the whole, consider it good for business engagements in small
to moderate credit amounts.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.61.75 |
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1 |
Rs.100.07 |
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Euro |
1 |
Rs.77.95 |
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
TPT |
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 |
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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 |
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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.