MIRA INFORM REPORT
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Report No. : |
346647 |
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Report Date : |
27.10.2015 |
IDENTIFICATION DETAILS
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Name : |
SINOCHEM AGRO CO., LTD. |
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Registered Office : |
17-19/F, New Shanghai City Plaza, No. 33, South He’nan Road, Huangpu District, Shanghai 200002 Pr |
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Country : |
China |
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Financials (as on) : |
30.09.2014 |
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Date of Incorporation : |
14.08.1992 |
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Com. Reg. No.: |
310101000052600 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Importing and exporting commodities and technologies; property
management; selling pesticide and fertilizer; chemical raw materials and products
business; grain, oil, grease and by-products; importing metal materials, fuel
oil, autos and parts; warehousing (limited to operating in Branch) (Any
project that needs to be approved by law can only be carried out after
getting approval by relevant authorities). |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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China |
A2 |
A2 |
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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 |
CHINA - ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2014 stood as the largest economy in the world, surpassing the US for the first time in modern history. Still, China's per capita income is below the world average.
After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid-2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. In 2014 the People’s Bank of China (PBOC) doubled the daily trading band within which the RMB is permitted to fluctuate.
The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2014 more than 274 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development.
Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China also implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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Source
: CIA |
Company
Name & address
SINOCHEM AGRO CO., LTD.
17-19/F, NEW SHANGHAI CITY PLAZA, NO. 33, SOUTH HE’NAN ROAD,
HUANGPU DISTRICT, SHANGHAI 200002 PR CHINA
TEL: 86 (0) 21-63289888/61381888/63265787 FAX:
86 (0) 21-63283968
EXECUTIVE
SUMMARY
INCORPORATION DATE :
AUG. 14, 1992
REGISTRATION NO. :
310101000052600
REGISTERED LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
CHIEF EXECUTIVE :
MR. LI DAJUN (CHAIRMAN)
STAFF STRENGTH :
N/A
REGISTERED CAPITAL :
CNY 680,000,000
BUSINESS LINE :
INTERNATIONAL TRADE
TURNOVER :
CNY 1,177,521,000 (CONSOLIDATED, JAN. 1-SEP. 30, 2014)
EQUITIES :
CNY 1,073,722,000 (CONSOLIDATED, AS OF SEP. 30, 2014)
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : WELL-KNOWN
EXCHANGE RATE :
CNY 6.35= USD 1
Adopted abbreviations:
ANS - amount not stated NS
- not stated SC - subject company (the
company inquired by you)
NA - not available CNY
- China Yuan Ren Min Bi
Note: SC’s complete address should be the heading one.
SC was registered as a One-person Limited Liability Company at local Administration
for Industry & Commerce (AIC - The official body of issuing and renewing
business license).
Company Status: One-person
Limited Liability Company Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes importing and exporting
commodities and technologies; property management; selling pesticide and
fertilizer; chemical raw materials and products business; grain, oil, grease and
by-products; importing metal materials, fuel oil, autos and parts; warehousing
(limited to operating in Branch) (Any project that needs to be approved by law
can only be carried out after getting approval by relevant authorities).
SC is mainly engaged in selling pesticides.
Mr. Li Dajun has been the legal representative and chairman of SC since
Apr. of 2015.
SC’s management declined to disclose its staff strength.
SC is currently operating at the above stated address, and this address
houses its operating office in the commercial zone of Shanghai. The detailed
information of the premise is unspecified.
http://www.sinochemsh.com/
The design is professional and the content is well organized. At present the
web site is in Chinese and English versions.
E-mail: sinochemargo@sinochem.com
SC passed the quality audit ISO9001: 2000 issued by BSI in December of 2000
and passed the reexamination every year. In years of 2000 and 2003, SC won the
bronze award of Shanghai Top 500 companies.
History & Honor
2005
No.99 among top 100 export enterprises in Shanghai Bronze Prize of
Shanghai Foreign Economy & Trade Contribution
2004
Top 50 chemicals export & import enterprises in China
No.60 among top 100 export enterprises in Shanghai
Bronze Prize of Shanghai Foreign Economy & Trade Contribution prize
for 3 years
2003
Award for excellent management system by Shanghai Foreign Economic
Relation & Trade Commission
2001
Grade A by Shanghai Municipal Administration of Taxation (State &
Local Together)
2000
No. 42 among top 100 export & import enterprises in Shanghai
1999
Honorable title of AA company by the Customs General Administration
Honorable title by the State Administration for Foreign Exchange to
enjoy import preference
Changes of its
registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2009 |
SC’s company name |
Sinochem Shanghai Corporation |
Sinochem Shanghai Co., Ltd. |
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Registered no. |
3101011023743 |
Present one |
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Registered legal form |
State-owned enterprise |
One-person limited liability company |
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Registered capital |
CNY 122,847,913 |
CNY 344,811,290 |
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|
Unknown |
Legal representative |
Liu Jianping |
Hu Hanchun |
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2012-9 |
Company name |
Sinochem Shanghai Co., Ltd. |
Present one |
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Registered legal form |
One-person limited liability company |
Limited liabilities co. |
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Legal representative |
Hu Hanchun |
Li Bin |
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Registered capital |
CNY 344,811,290 |
Present amount |
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Shareholders |
China Sinochem Group Corporation 100% |
China Sinochem Group Corporation 51% Shenyang Research Institute of Chemical Industry Co., Ltd. 49% |
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2013-8 |
Shareholders |
China Sinochem Group Corporation 51% Shenyang Research Institute of Chemical Industry Co., Ltd. 49% |
Sinochem Corporation 51% Shenyang Research Institute of Chemical Industry Co., Ltd. 49% |
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2015-4-2 |
Legal form |
Limited liabilities co. |
Present one |
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Shareholders |
Sinochem Corporation 51% Shenyang Research Institute of Chemical Industry Co., Ltd. 49% |
Present one |
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Legal representative |
Li Bin |
Present one |
Organization Code: 132205956
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Sinochem Crop Protection Co., Ltd. (Literal Translation) 100
Incorporation date: 2011-1-7
Registration no.: 310115001779088
Legal representative: Li Dajun
Legal
Representative and Chairman:
Mr. Li Dajun, born in 1964, with MBA
degree. He is currently responsible for the overall management of SC.
Working Experience(s):
From Apr. of 2015 to present Working in SC as legal representative and
chairman;
Also working in Sinochem International Corporation as vice general
manager and in Sinochem Crop Protection Co., Ltd. as legal representative
Directors:
Qin Jinke
Bi Dongdong
Supervisor:
Gu Weihua
SC is mainly engaged in selling pesticides.
SC’s products mainly include: insecticides, herbicides, fungicides and
intermediates of pesticides.
Trademarks & patents
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Registration No. |
13331292 |
13331268 |
13331281 |
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Registration Date |
2015-01-21 |
2015-01-21 |
2015-01-21 |
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Trademark Design |
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SC sources its materials 95% from domestic market, and 5% from the
overseas market. SC sells 30% of its products in domestic market, and 70% to
the overseas market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T, Check, L/C and Credit of 30-60 days.
Note: SC’s management declined to release its major suppliers and
clients.
Invested companies:
Sinochem Assets Management (Shanghai) Co.,
Ltd.
----------------------------------------
Registered no.: 310113000049681
Establishment date:
Legal representative: Xu Xingbin
Shenyang Sciencreat Chemicals Co., Ltd.
--------------------------------------------------
Registered no.: 210100400016292
Legal representative: Yu Bing
Registered capital: CNY 488,730,900
Date of incorporation:
Related companies:
Shanghai Zhenchen Storage Co., Ltd.
---------------------------------------------
Registered no.: 310000400381535
Establishment date:
Legal representative: Hu Hanchun
Registered capital: CNY 1,150,000
Shanghai Changhua Industries Co., Ltd.
------------------------------------------------
Registered no.: 310115400003663
Establishment date:
Legal representative: Chen Yanping
Registered capital: CNY 11,683,140
Sinochem International Corporation
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It is a listed company in Shanghai Stock Exchange Market with the code
of 600500.
Web: http://www.sinochemintl.com/
Sinochem Agro Argentina S.A.
Sinochem Agro Brazil Company
Overall payment appraisal: ( ) Excellent
( ) Good
(X) Average ( ) Fair
( ) Poor (
) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment experience: SC did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
Delinquent payment record: None in our database.
Debt collection record: No overdue amount
owed by SC was placed to us for collection within the last 6 years.
Bank of China Shanghai Branch
AC#：436459214544
Relationship: Normal.
Consolidated
Balance Sheet
Unit: CNY’000
|
|
As of Dec. 31, 2013 |
As of Sep. 30, 2014 |
|
Cash & bank |
117,445 |
/ |
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Notes receivable |
16,834 |
/ |
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Inventory |
290,223 |
/ |
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Accounts receivable |
266,156 |
/ |
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Other receivables |
19,926 |
/ |
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Advances to suppliers |
13,801 |
/ |
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Other current assets |
1,064 |
/ |
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------------------ |
------------------ |
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Current assets |
725,449 |
/ |
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Fixed assets net value |
464,758 |
/ |
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Projects under construction |
23,916 |
/ |
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Long term investment |
9,922 |
/ |
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Investment real estate |
99,589 |
/ |
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Financial assets available for sale |
41,004 |
/ |
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Intangible assets |
144,452 |
/ |
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Deferred tax asset |
7,383 |
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Other assets |
35 |
/ |
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------------------ |
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Total assets |
1,516,508 |
1,558,240 |
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|
============= |
============= |
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Short loans |
24,997 |
/ |
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Accounts payable |
136,020 |
/ |
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Bills payable |
116,088 |
/ |
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Advances from clients |
42,360 |
/ |
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Other payable |
109,182 |
/ |
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Interest payable |
270 |
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Accrued payroll |
25,302 |
/ |
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Taxes payable |
-8,001 |
/ |
|
Other current liabilities |
0 |
/ |
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------------------ |
------------------ |
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Current liabilities |
446,218 |
/ |
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Long term liabilities |
20,963 |
/ |
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|
------------------ |
------------------ |
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Total liabilities |
467,181 |
484,518 |
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Equities |
1,049,327 |
1,073,722 |
|
|
------------------ |
------------------ |
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Total liabilities & equities |
1,516,508 |
1,558,240 |
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|
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Consolidated
Income Statement
Unit: CNY’000
|
|
As of Dec. 31, 2013 |
Jan. 1 – Sep. 30, 2014 |
|
Turnover |
1,504,376 |
1,177,521 |
|
Cost of goods sold |
1,217,344 |
/ |
|
Taxes and additional of main operation |
2,294 |
/ |
|
Sales expense |
62,540 |
/ |
|
Management expense |
156,254 |
/ |
|
Finance expense |
12,271 |
/ |
|
Investment income |
523 |
/ |
|
Non-operating income |
11,745 |
/ |
|
Non-operating expense |
1,399 |
/ |
|
Asset impairment loss |
16,444 |
/ |
|
Profit before tax |
48,098 |
64,621 |
|
Less: profit tax |
9,792 |
14,248 |
|
Profits |
38,306 |
50,373 |
Note: SC’s management declined to release its detailed financial information
for Sep. 30, 2014.
Important Ratios
=============
|
|
As of Dec. 31, 2013 |
As of Sep. 30, 2014 |
|
*Current ratio |
1.63 |
/ |
|
*Quick ratio |
0.98 |
/ |
|
*Liabilities to assets |
0.31 |
0.31 |
|
*Net profit margin (%) |
2.55 |
4.28 |
|
*Return on total assets (%) |
2.53 |
3.23 |
|
*Inventory /Turnover ×365 |
71 days |
/ |
|
*Accounts receivable/Turnover ×365 |
65 days |
/ |
|
*Turnover/Total assets |
0.99 |
0.76 |
|
* Cost of goods sold/Turnover |
0.81 |
/ |
PROFITABILITY:
AVERAGE
The turnover of SC appears good in
its line.
SC’s net profit margin is average.
SC’s return on total assets is average.
SC’s cost of goods sold is average in 2013, comparing with its turnover.
LIQUIDITY: AVERAGE
The current ratio of SC is maintained in a normal level in 2013.
SC’s quick ratio is maintained in a normal level in 2013.
The inventory of SC appears average in 2013.
The accounts receivable of SC appears average in 2013.
The short term loan of SC appears average in 2013.
SC’s turnover is in a fair level, comparing with the size of its total
assets.
LEVERAGE: FAIRLY
GOOD
The debt ratio of SC is low.
The risk for SC to go bankrupt is average.
Overall financial condition of the SC: Fairly stable.
SC was established in 1992, taking into consideration of SC’s general
performance, reputation as well as market conditions we would rate SC as an
average credit risk company.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.96 |
|
|
1 |
Rs.99.55 |
|
Euro |
1 |
Rs.71.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
|
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 |
|
|
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 |
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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.