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Report Date : |
18.09.2014 |
IDENTIFICATION DETAILS
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Name : |
DIAGEMS TRADING LTD. |
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Registered Office : |
Room 706, 7/F., |
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Country : |
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Date of Incorporation : |
22.02.2012 |
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Com. Reg. No.: |
59441047 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
·
Importer, Exporter
And Wholesaler Of Loose Diamond, Gemstone And Jade. Subject’s Cut And Polished Diamonds Bear The Brand Name Of “Dtc”. |
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No. of Employees : |
03 (Including associate) |
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 01, 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 Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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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.
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Source
: CIA |
DIAGEMS TRADING LTD.
ADDRESS: Room 706, 7/F., Hart Avenue Plaza, 5-9A Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2376 2781, 2376 0427
FAX: 852-2376 2357
E-MAIL: dgtc@biznetvigator.com
Managing Director: Mr. Amishkumar Ramniklal Sheth
Incorporated on: 22nd February, 2012.
Organization: Private Limited Company.
Capital: Nominal:HK$10,000.00
Issued: HK$100.00
Business Category: Diamond and Gem Trader.
Annual Turnover: HK$55-60 million. (Including associate)
Employees: 3. (Including associate)
Main Dealing Banker: Hang Seng Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Room 706, 7/F., Hart Avenue Plaza, 5-9A Hart Avenue, Tsimshatsui, Kowloon, Hong Kong.
Mailing Address:-
P.O. Box 95305, Tsimshatsui, Kowloon, Hong Kong.
Associated
Companies:-
Diagems Trading Co., Hong Kong. (same address)
Samkit Diamonds Exporters, India.
59441047
1708695
Managing Director: Mr. Amishkumar Ramniklal Sheth
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$100.00
(As per registry
dated 22-02-2014)
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Name |
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No. of shares |
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Amishkumar Ramniklal SHETH |
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76 |
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Rakeshkumar Arvindlal PATEL |
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24 |
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––– |
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Total: |
100 === |
(As per registry dated 22-02-2014)
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Name (Nationality) |
Address |
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Amishkumar Ramniklal SHETH |
Unit A, 8/F., Hang Wan Building, 42-44 Granville Road, Tsimshatsui, Kowloon, Hong Kong. |
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Rakeshkumar Arvindlal PATEL |
Flat F, 12/F., Block B, Hilton Tower, 96 Granville Road, Tsimshatsui, Kowloon, Hong Kong. |
(As per registry dated
22-02-2014)
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Name |
Address |
Co. No. |
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Banco Pacific C&S Ltd. |
Room 1607, 16/F., Dominion Centre, 43 Queen’s Road East, Wanchai, Hong Kong. |
0683285 |
The subject was incorporated on 22nd February, 2012 as a private limited liability company under the Hong Kong Companies Ordinance.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Diamond and Gem Trader.
Lines: All kinds of diamonds.
Employees: 3. (Including associate)
Commodities Imported: India, Thailand, other Asian countries, Europe, etc.
Markets: US, the Philippines, Taiwan, Singapore, Indonesia, Switzerland, Central & South America, etc.
Annual Turnover: HK$55-60 million. (Including associate)
Terms/Sales: L/C or as per contracted.
Terms/Buying: L/C, T/T, D/P, etc.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)
Issued Share Capital: HK$100.00
Profit or Loss: Made a very small profit in 2013.
Condition: Business is normal.
Facilities: Making fairly active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
Hang Seng Bank Ltd., Hong Kong.
Industrial & Commercial Bank of China (Asia) Ltd., Hong Kong.
Standing: Small.
Having issued 100 ordinary shares of HK$1.00 each, Diagems Trading Ltd. is jointly owned by Mr. Amishkumar Ramniklal Sheth, holding 76% interests, and Mr. Rakeshkumar Arvindlal Patel, holding 24%. They are also directors of the subject. They are Hong Kong ID Card holders and have got the right to reside in Hong Kong permanently.
The subject has had an associated company Diagems Trading Company [DTC] located at the same address. Founded on 1st April, 1981 DTC and the subject are engaged in the same lines of business.
DTC is a sole proprietorship owned by Amishkumar Ramniklal Sheth who is a shareholder of the subject. Sheth joined in DTC in March 1999.
Business commenced in April 1981, DTC is one of the oldest diamond trading companies in Hong Kong. It is a loose diamond, gemstone and jade importer, exporter and wholesaler. Most of its products carried are pear, tapered, marquise and baguette princess cut diamonds, marquise cut semi‑precious stones
Currently, the subject is manufacturing the following commodities and offering customers with the following services:-
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Product/Service |
Product/Service
Remarks |
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Fine Jewellery |
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Diamond |
Cut and polished diamonds, from 0.005cts to 0.50 cts, size shapes: brilliant, tapper, bugget, princess, marquise, pears (Importer) Cut and polished diamonds, from 0.005 cts to 0.50 cts, size shapes: brilliant, tapper, bugget, princess, marquise, pears (Exporter) Cut and polished diamonds, from 0.005 cts to 0.50 cts, size shapes: brilliant, tapper, bugget, princess, marquise, pears (Wholesaler) |
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Gemstones and Jade |
Fine jewellery: white 6 yellow gold with diamonds (Importer) Fine jewellery: white 6 yellow gold with diamonds (Exporter) Fine jewellery: white 6 yellow gold with diamonds (Wholesaler) |
The subject’s cut and polished diamonds bear the brand name of “DTC”. Prime markets are the United States, the Philippines, Taiwan, Singapore, Indonesia, Switzerland, Central & South America, etc.
In order to penetrate the international market further, DTC 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. Its booth No. is 3E-C29.
The annual sales turnover of the subject and DTC ranges from HK$55 to 60 million. Making a small profit every year. Business is rather active. Regular suppliers and a number of foreign customers have been maintained.
The subject is an associated company of Samkit Diamonds Exporters [Samkit], an India-based firm also trading in diamonds and jewellery. It is likely that Samkit is one of the subject’s suppliers in India.
The subject’s business is chiefly handled by the two shareholders of the subject.
Since the history of the subject in Hong Kong is just over two years, on the whole, consider it good for normal business engagements on L/C basis or in small 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.60.95 |
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1 |
Rs.99.32 |
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Euro |
1 |
Rs.78.96 |
INFORMATION DETAILS
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Report Prepared
by : |
PDT |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.