The diversified, multi-billion dollar Hinduja Group had its origins in the trading activities started by the Founder, the late Parmanand D. Hinduja in 1919. He was a visionary who anticipated opportunities and changes years before they happened. His legendary flair for business has been passed on to his second and third generations, who have extended the Group’s activities to the five continents. The Group trades internationally in practically all products and commodities excepting tobacco, meat and alcohol and markets specialist technical services to several infrastructure sectors.
To simplify the complexities of international trade transactions, most clients require a partner to provide a broad solution to all its trade needs while being sensitive to the unique characteristics of each transaction. The Hinduja Group plays the role of such a partner and provides ‘tailor-made’ solutions to its clients.
Backed by its worldwide network of offices and professionals, the Group has the infrastructure and expertise to structure and execute any type of trade transaction. Our professionals bring to this task a combination of pertinent information about local conditions, along with the knowledge and experience of how the global community does business.
Supported by the expertise of its trading division, the Group has the agility to convert the challenges of the fast-moving global business environment into opportunity.
Finance / Service
In the world of trade, financial services are becoming as important as conventional services. The Hinduja Group offers alternative forms of financing to suppliers and customers. In addition to handling standard trade practices like documentary credit operations, cash management, disposition of financial means and hedging against fluctuations in exchange and interest rates, the Group facilitates new methods of financing such as export financing, management of trust accounts and project financing based on counter-trade in co-operation with international banks. These financing models are becoming increasingly important and complement traditional trading functions.
Counter-trade is inherently an ad-hoc activity which varies according to local regulations and requirements, the nature of the goods to be exported and the current priorities of the parties involved. Counter-trade consists of transactions, which have a basic linkage, between exports and imports of goods or services in addition to, or in place of, financial settlements. Counter-trade can be used as an effective international business tool.
With many years of experience in this activity, the Group can assist large multinationals in fulfilling their counter-trade obligations.
The Group uses counter-trade aggressively as a marketing tool and regards offset and counter-purchase as an opportunity (to make money through trading) rather than as an inconvenience.
Imbalances in long-term bilateral trading agreements sometimes lead to the accumulation of uncleared credit surpluses in one or other country. Third countries can sometimes tap these surpluses for enhancing their exports. Such transactions are known as ‘switch' or ‘swap' deals.
The Group has the expertise and experience to structure such complex switch and swap deals.
The Group is extensively involved in trade finance, providing finances to buyers and sellers as the case may be. We are not only into providing financing solutions, but also into managing risks of political, credit or performance nature.
The Hinduja Group believes that trading in modern times goes well beyond the traditional activity of direct buying and selling.
Trading skills have to keep pace with the changing world of instant communications and varied requirements of customers for mutual benefit. One such method is to enter into two-way trade with the customer whereby against supply of certain goods to a customer, the customer supplies his own goods in lieu of payment for his purchase.
The Group assists countries in clearing outstanding State debts. The Group acts as a principal on both sides – buying the debt, buying goods from debtor countries, selling these in the international market and finally paying off the debt to the creditor countries. In the process the Group has helped to mediate, catalyse and consolidate bilateral relations between countries.