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MIRA INFORM REPORT
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Report No. : |
506795 |
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Report Date : |
03.05.2018 |
IDENTIFICATION DETAILS
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Name : |
CARGILL JAPAN LIMITED |
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Registered Office : |
Kokusai Bldg 4F, 3-1-1 Marunouchi Chiyodaku Tokyo100-0005 |
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Country : |
Japan |
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Financials (as on) : |
31.05.2017 |
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Date of Incorporation : |
November 1946 |
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Com. Reg. No.: |
0100-01-034873 |
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Legal Form : |
Limited Company |
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Line of Business : |
Trading house specializing in foodstuffs |
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No. of Employees : |
224 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A+ |
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Credit Rating |
Explanation |
Rating Comments |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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Maximum Credit Limit : |
Yen 8,366.6 million |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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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
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Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Japan |
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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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
JAPAN - ECONOMIC
OVERVIEW
Over the past 70 years, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (slightly less than 1% of GDP) have helped Japan develop an advanced economy. Two notable characteristics of the post-World War II economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features have significantly eroded under the dual pressures of global competition and domestic demographic change.
Measured on a purchasing power parity basis that adjusts for price differences, Japan in 2017 stood as the fourth-largest economy in the world after first-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. For three postwar decades, overall real economic growth was impressive - averaging 10% in the 1960s, 5% in the 1970s, and 4% in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the aftereffects of inefficient investment and the collapse of an asset price bubble in the late 1980s, which resulted in several years of economic stagnation as firms sought to reduce excess debt, capital, and labor. Modest economic growth continued after 2000, but the economy has fallen into recession four times since 2008.
Japan enjoyed an uptick in growth since 2013, supported by Prime Minister Shinzo ABE’s “Three Arrows” economic revitalization agenda - dubbed “Abenomics” - of monetary easing, “flexible” fiscal policy, and structural reform. Led by the Bank of Japan’s aggressive monetary easing, Japan is making modest progress in ending deflation, but demographic decline – a low birthrate and an aging, shrinking population – poses a major long-term challenge for the economy. The government currently faces the quandary of balancing its efforts to stimulate growth and institute economic reforms with the need to address its sizable public debt, which stands at 235% of GDP. To help raise government revenue, Japan adopted legislation in 2012 to gradually raise the consumption tax rate. However, the first such increase, in April 2014, led to a sharp contraction, so Prime Minister ABE has twice postponed the next increase, which is now scheduled for October 2019. Structural reforms to unlock productivity are seen as central to strengthening the economy in the long-run.
Scarce in critical natural resources, Japan has long been dependent on imported energy and raw materials. After the complete shutdown of Japan’s nuclear reactors following the earthquake and tsunami disaster in 2011, Japan's industrial sector has become even more dependent than before on imported fossil fuels. However, ABE’s government is seeking to restart nuclear power plants that meet strict new safety standards and is emphasizing nuclear energy’s importance as a base-load electricity source. In August 2015, Japan successfully restarted one nuclear reactor at the Sendai Nuclear Power Plant in Kagoshima prefecture, and several other reactors around the country have since resumed operations; however, opposition from local governments has delayed several more restarts that remain pending. Reforms of the electricity and gas sectors, including full liberalization of Japan’s energy market in April 2016 and gas market in April 2017, constitute an important part of Prime Minister Abe’s economic program.
Under the Abe Administration, Japan’s government sought to open the country’s economy to greater foreign competition and create new export opportunities for Japanese businesses, including by joining 11 trading partners in the Trans-Pacific Partnership (TPP). Japan became the first country to ratify the TPP in December 2016, but the United States signaled its withdrawal from the agreement in January 2017. In November 2017 the remaining 11 countries agreed on the core elements of a modified agreement, which they renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Japan also reached agreement with the European Union on an Economic Partnership Agreement in July 2017, and is likely seek to ratify both agreements in the Diet this year.
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Source
: CIA |
Company
summery
CARGILL JAPAN LIMITED
REGD NAME: Cargill Japan KK
MAIN OFFICE: Kokusai Bldg 4F, 3-1-1 Marunouchi Chiyodaku
Tokyo100-0005 JAPAN
Tel: 03-3285-0800 Fax: 03-3211-8934
URL: http://www.cargill.co,jp/
E-Mail
address: info@cargill.co.jp
ACTIVITIES: Trading house specializing in foodstuffs
BRANCHES: Osaka, Kobe, Okayama
OVERSEAS: London, Bangkok, Vancouver, China, other
(Tot 13)
OFFICER(S): HIROTO SASAKI, PRES Tatsuo Ishii, dir
Miyoji
Saito, dir Shun’ichi
Chiba, dir
Yen Amount: In million Yen, unless otherwise stated
SUMMARY: FINANCES FAIR A/SALES Yen 169,410 M
PAYMENTS REGULAR CAPITAL Yen 2,800 M
TREND SLOW WORTH Yen
109,522 M
STARTED 1946 EMPLOYES 224
COMMENT
TRADING HOUSE SPECIALIZING IN FOODSTUFFS, WHOLLY OWNED BY
CARGIL INC GROUP, USA.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT
LIMIT: YEN 8,366.6 MILLION, 30 DAYS NORMAL TERMS
HIGHLIGHTS
The
subject company was established originally as Tokyo Food Products Co Ltd as a
trading house specializing in foodstuffs.
Renamed as Toshoku Ltd in Jan 1961.
In Dec 1997, Toshoku Ltd went into financial difficulties and filed for
court protection under the Corporate Reorganization Law. In Oct 1998, Cargill Inc, USA became the
Toshoku’s sponsor company. On June 01
2007, merged with Cargill Japan Ltd into its subsidiary and renamed as
captioned. This is a specialized
trading firm of foodstuffs with 4 core divisions: Grain & Oil Div, Food
Material Div, Processed Food Div, and Food Engineering Div.
FINANCIAL
INFORMATION
The sales volume for May/2017 fiscal term amounted to Yen
169,410 million, a 10% fall from Yen 189,999 million in the previous term. The recurring profit was posted at Yen 6,395
million and net profit at Yen 6,310 million, respectively, compared with Yen
3,019 million recurring profit and Yen 1,935 million net profit, respectively,
a year ago.
For the current term ending May 2018 the recurring profit is
projected at Yen 6,500 million and the net profit at Yen 6,450 million,
respectively, on a 3% rise in turnover, to Yen 174,500 million.
The financial situation is considered maintained FAIR and
good for ORDINARY business engagements.
Max credit limit is estimated at Yen 8,366.6 million, on 30 days normal
terms.
REGISTRATION
Date Registered: Nov 1946
Regd No.: 0100-01-034873 (Tokyo-Chiyodaku)
Legal Status:
Limited Company (Kabushiki Kaisha)
Authorized:
200,000 shares
Issued:
56,000 shares
Sum: Yen 2,800
million
Major shareholders (%):
Cargill Asia Pacific Ltd (72.3), Cargill Inc (27.7)
Number
of shareholders: 2
Nothing
detrimental is known as to the commercial morality of executives.
OPERATION
Activities:
A trading house for import, export, wholesale of: foodstuffs,
other, having 4 divisions: Grain &
Oil Div, Food Materials Div, Processed Food Div & Food Engineering Div., (--100%):
Overseas trading ratio: about 50%.
Clients: [Food processors, wholesalers]
Ministry of Agriculture, Nichiwa Sangyo, Itoen Ltd, QP Corp, Key Coffee Inc,
Meiji Cacao, Mitsui Foods, Kyodo Shiryo, Nichiwa Sangyo, Tokan Co, Nippon Corn
Starch, Kewpie Co, Showa Sangyo Co, Nisshin Oilio Group, Sanwa Starch, other.
No. of
accounts: 500
Domestic
areas of activities: Nationwide
Suppliers: [Mfrs, wholesalers] Cargill group
firms, Key Coffee, UCC Ueshima Coffee, Nissin Food Products, Nissin Oillio Group,
Hokuren Federation of Agricultural Coops, Marubeni Corp, J Oil Mills, Mitsui Sugar, Tsuji Oil
Mfg, other.
Payment record:
Regular
Location:
Business area in Tokyo. Office premises
at the caption address are leased and maintained satisfactorily.
Bank References:
SMBC (Nihombashi)
J P Morgan (Tokyo)
Relations: Satisfactory
FINANCES
(In Million Yen)
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Terms Ending: |
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31/05/2018 |
31/05/2017 |
31/05/2016 |
31/05/2015 |
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Annual Sales |
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174,500 |
169,410 |
187,999 |
179,405 |
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Recur. Profit |
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6,500 |
6,395 |
3,019 |
4,893 |
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Net Profit |
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6,450 |
6,310 |
1,935 |
3,017 |
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Total Assets |
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133,249 |
124,182 |
129,621 |
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Net Worth |
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109,522 |
92,289 |
90,093 |
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Capital, Paid-Up |
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2,800 |
2,800 |
2,800 |
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Div.P.Share(¥) |
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0.00 |
0.00 |
0.00 |
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<Analytical Data> |
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(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
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3.00 |
-9.89 |
4.79 |
9.38 |
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Current Ratio |
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.. |
.. |
.. |
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N.Worth Ratio |
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82.19 |
74.32 |
69.50 |
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N.Profit/Sales |
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3.70 |
3.72 |
1.03 |
1.68 |
Notes:
Forecast (or estimated) figures for the 31/05/2018 fiscal term.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 66.66 |
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1 |
INR 90.66 |
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Euro |
1 |
INR 80.01 |
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YEN |
1 |
INR 0.61 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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DIV |
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Report Prepared
by : |
TRU |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
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Payment
record
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Litigation
against the subject
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Industry
scenario / competitor analysis
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Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.