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Report No. : |
339223 |
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Report Date : |
03.09.2015 |
IDENTIFICATION DETAILS
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Name : |
GLOBAL TRADERS |
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Registered Office : |
Room 406A, 4/F., Hankow Centre, 5-15 Hankow Road, Tsimshatsui, Kowloon |
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Country : |
Hong Kong
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Date of Incorporation : |
01.03.1990 |
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Com. Reg. No.: |
06773716-001-08 |
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Legal Form : |
Sole Ownership |
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Line of Business : |
Importer, Exporter and Wholesaler of All Kinds of Diamonds and Pearls.
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No. of Employees : |
3 [Including Associates] |
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
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Hong Kong |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
|
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 40.7 million
in 2013, 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 48.5% of
the firms listed on the Hong Kong Stock Exchange and accounted for about 56.9%
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. As of year-end 2014, the Democracy protests
that began in late September probably will have some adverse effects on
economic growth, particularly retail sales.
|
Source
: CIA |
GLOBAL TRADERS
ADDRESS: Room 406A, 4/F., Hankow
Centre, 5-15 Hankow Road, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2369 2879
FAX: 852-2311 1109
E-MAIL: shankarf@glostar.com.hk
MANAGEMENT:
Manager: Mr. Shankar Manjani
Establishment: 1st March, 1990.
Organization: Sole Ownership.
Capital Provider: Provided by Sole Owner.
Business Category: Importer,
Exporter and Wholesaler.
Annual Turnover: HK60~65 million.
Employees: 3. (Including associates)
Main Dealing Banker: The Hong
Kong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
GLOBAL TRADERS
Head Office:-
Room 406A, 4/F., Hankow Centre, 5-15 Hankow Road, Tsimshatsui, Kowloon,
Hong Kong.
Operated by:-
Glostar Ltd., Hong Kong. (Same
address)
Associated Companies:-
Glostar Corp., Philippines.
Infinity Traders, Hong Kong.
(Same address)
06773716-001-08
Manager: Mr. Shankar Manjani
(Mobile: 852-9272 4800)
SOLE OWNER: Glostar Ltd., Hong
Kong. (See attachment)
The subject was established on 1st March, 1990 as a sole ownership firm
with Glostar Ltd. as the proprietor under the Hong Kong Business Registration
Regulations.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of diamonds and pearls.
Employees: 3. (Including associates)
Commodities Imported: Europe,
China, India, Europe.
Markets: Hong
Kong, other Asian countries, Europe, North America.
Annual Turnover: HK60~65
million.
Terms/Sales: As per contracted.
Terms/Buying: L/C, T/T, D/P.
Capital Provider: Provided
by Sole Owner.
Profit or Loss: Making
a small profit every year.
Condition: Keeping in a satisfactory
condition.
Facilities: Making active use of general
banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Bankers:-
The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Bank of India, Hong Kong Branch.
Standing: Normal.
Global Traders is operated by Glostar Ltd. [Glostar] which is a
Hong Kong‑registered company located at the same operating address.
Business commenced in March 1990, the subject is engaged in the same
lines of business as Glostar.
The manager of the subject Shankar Manjani is also the director of
Glostar. Currently, Glostar is trading
in the following commodities:-
Jewellery - Diamond;
Fresh Water Pearl (From Japan & China);
South Sea Pearl, Diamond (Diamond from India, Belgium, Israel);
Watches (Optical frames, from Japan);
Calculators (From Japan);
Spectacle Frame - Metal (From Korea, Italy, France, Germany &
China); &
Spectacle Frame - Plastic (From Korea, Italy, France, Germany & China)
Commodities are sourced from Japan, China, India, South Korea, Western
Europe, etc. Most of the products are
re-exported to Southeast Asia, India, the other Asian countries, Europe, etc.
It is worthwhile to note that the subject is a member of The Cosmetic
& Perfumery Association of Hong Kong Ltd.
Glostar was incorporated on 14th August, 1980. Formerly was jointly owned by
Mr. Shankar Manjani, holding 65% interests, and Mr. Sawatri Shankar
Manjani, holding 35%. However, the
latter has passed away. Now, Glostar is
jointly owned by Shankar Manjani, holding 65% interests while the other 35% is
equally held by Jeevan Manjani, Kumar Manjani and Kiran Manjani.
Jeevan Manjani is also the owner of Glostar Corporation which is based
in the Philippines.
Glostar Corporation has had an associated company known as Glostar
Jewels which is not registered in Hong Kong.
The subject has had an associated company Infinity Traders located at
its operating address.
Infinity Trader [IT] is a sole proprietorship set up and owned by Mr.
Kumar Shankar Manjani. IT commenced
business in October 2010.
The subject and IT are engaged in the same lines of business, more or
less.
The annual sales turnover of the subject, IT and Glostar ranges from
HK$60 to 65 million. Making a small
profit every year.
The business of the subject is chiefly handled by Mr. Shankar
Manjani who is also the individual secretary of Glostar. He is a Hong Kong ID holder and has got the
right to reside in Hong Kong permanently.
The subject, IT and Glostar are owned by the Manjani family who have
been in Hong Kong for a very long time.
All the directors of Glostar are Hong Kong ID holders and have got
the right to reside in Hong Kong permanently.
The history of the subject in Hong Kong is over 34 years and ten months.
On the whole, consider it good for normal business engagements.
GLOSTAR LTD.
(Trading as GLOBAL
TRADERS)
ADDRESS: Room 406A, 4/F.,
Hankow Centre, 5-15 Hankow Road, Tsimshatsui, Kowloon, Hong Kong.
06773716
0085376
14th August, 1980.
HK$1,000,000.00
(As per registry dated 14-08-2014)
|
Name |
|
No. of shares |
|
Shankar MANJANI |
|
650,000 |
|
Jeevan MANJANI |
|
116,667 |
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Kumar MANJANI |
|
116,667 |
|
Kiran MANJANI |
|
116,666 |
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|
–––––––– |
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Total: |
1,000,000 ======= |
(As per registry dated 14-08-2014)
|
Name (Nationality) |
Address |
|
Shankar MANJANI |
8/F., 37 Mody Road, Tsimshatsui, Kowloon, Hong Kong. |
|
Jeevan MANJANI |
8/F., 37 Mody Road, Tsimshatsui, Kowloon, Hong Kong. |
|
Kiran Shankar MANJANI |
8/F., 37 Mody Road, Tsimshatsui, Kowloon, Hong Kong. |
|
Kumar Shankar MANJANI |
8/F., 37 Mody Road, Tsimshatsui, Kowloon, Hong Kong. |
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 –
-
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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.16 |
|
|
1 |
Rs.101.22 |
|
Euro |
1 |
Rs.74.61 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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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 |
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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.