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1.Corporate History of CNI Group

CNI Corporation was established in 1986 in Indonesia. From a one product based company, CNI has today grown into a multimillion dollar organization operating in Indonesia, Malaysia, Singapore, Brunei, Hong Kong, Philippines, China, Taiwan, India, Nigeria and Nepal.

CNI’s mascot represented by the ANT embodies values such as commitment, care, love, enthusiasm and creativity. CNI works closely with its business partners and associates to ensure that the group is able to contribute to the society in a meaningful way. This makes CNI’s business more than just a business. Head quartered at Shah Alam, Malaysia, CNI Corporation is the parent company of CNI operations world wide.

2. Business model of CNI Group

CNI’s businesses encompasses its core Multi Level Marketing (‘MLM’) businesses in the countries mentioned above. The main manufacturing facilities are located in Malaysia, Indonesia and China. CNI also follows contract manufacturing in various countries to cater to local needs. With the emergence of the Licensing business model, today CNI’s business operations at Philippines, Taiwan, Nepal and Nigeria are being operated by entrepreneurs as Licensees of those countries. CNI group sees great future in MLM and Licensing business model.

3. Establishment of CNI India

CNI Enterprise (India) Private Limited (‘CNI India’) is a 100% wholly owned subsidiary of CNI Corporation and was incorporated in the year 2002.

CNI Corporation has eminent personalities on its Board of Directors who bring with them great skills, knowledge and business acumen in the MLM business.

4. Business Registrations and Direct Selling License

Following the initial market survey, consulting firm, KPMG was engaged to register CNI India and to take care of regulatory approvals. CNI India was officially given the Direct Selling License to start its business activities by the Foreign Investment Promotion Board, Government of India.

Due to the influx of fly by night businesses, the Indian government is very cautions in issuing direct selling licenses and rightly so. In this respect, the Indian government’s granting of a Direct Selling License is a vote of confidence in CNI’s business credibility and authenticity.

5. Trademark Registrations

Reputed legal firm, Dua Associates was given the task of handling CNI’s Intellectual Property and trademark registrations in India. Today, all required trademarks have been successfully registered with the government of India. For the future growth and development of CNI business in India, there will be no hindrances in the form of duplication and piracy of CNI’s products and specific services.

6. Product Registrations

All products currently imported or contract manufactured in India have been duly registered with the relevant authorities for free sales in all states of territories of India. Products under contract manufacturing are manufactured at GMP - ISO certified companies. Every care is taken to ensure that product quality is maintained at its highest level at all times from the sourcing of raw materials right up to the offerings to the end consumers.

7. Indian Direct Selling Association ( IDSA ) Membership

CNI is a full member with IDSA since 2007. An active role is played by the Company in attending to IDSA meetings and participating in the decision making process.

8. Business Model of CNI India

CNI India’s core business is in Multi Level Marketing or Direct Selling. The main advantage of MLM model adopted by CNI vis-à-vis other selling models is that it eliminates middleman in product supply chain and thus it ensures best quality for the value to consumers and to provide employment. Backed by a strong parent, a strong product portfolio of over 300 products of international quality, CNI’s business development plan ensures steady growth in the income of its business partner. The business development plan works on “earn as you work” concept and is rewarding for those who are able to sponsor, educate, mentor and train their business partners.

9. Distribution Channel

Distributor Strength today totals a strong 30,000 plus spread throughout the Country. The areas of concentration are in Kerala, Karnataka and the North Eastern states. Product Portfolio comprises of more than 40 SKUs being marketed in India. These products range from Food & Beverages, Food Supplements, Personal Care, Oral Care, Beauty Care and Color Cosmetics. Today, the products are very well established and are given thumbs up by the consumers.

10. Contract Manufacturing

Approximately 70% of the products are manufactured in Bangalore. This manufacturing is done primarily by way of tie ups with contract manufacturers. While most of the raw materials used are sourced locally, specific raw materials that are the key to the uniqueness of the products are developed at the company’s R & D centre in Shah Alam, Malaysia. These are then imported and incorporated in to the products manufactured locally.

Following are the products manufactured or sourced locally:

Products Imported from Malaysia includes the following:

More food supplements are in the process of evaluation to provide a solution to the health needs of the consumers.

11. Export Potential

With the licensing of CNI in Nepal and developments in Sri Lanka, Qatar, Nigeria and other SARCC countries, it is envisaged that products manufactured in India will be exported to these countries. This will provide a revenue stream and enhance the international brand image of CNI India.

12. Legal and Regulatory Compliance

All the requisite legal and regulatory compliances have been carried out on a timely and effective basis. The Company has maintained credible image and has also undertaken corporate social activities to help the underprivileged in the field of education.