Reliance Weaving Mills Ltd.

EXECUTIVE SUMMARY

RELIANCE WEAVING MILLS LTD is located in Multan.

Reliance weaving Mills Ltd. (RWML) is part of the Fatima Group.
Fatima Group established RWML on April 7, 1990 as a public limited
company and obtained certificate for commencement of business on
May 14, 1990.

I visited RELIANCE WEAVING MILLS LTD times for my report and was
always warmly welcomed by their management and employees. All machinery installed
in the mill is American. Plans and strategies are made in the head Office. Raw materials
purchase decision is also made in the Head Office. Employees work in three shifts,
whereas these are both permanent and on daily wages.
The mills units is supported by different facilities as canteen, store room, laboratory,
godown, and many others. The production process is divided into two sections:
Export sales cover major portion of total sales due to good quality. They contain very low
portion of local market. Centralized decision-making is one of the weaknesses of the
RWML, but good management covers this weakness in an appreciable manner. So for as
Account department is concerned though there is a little bit workload on the employees,
but inside friendly environment helps a lot to cover these tasks without fatiguenes and
boredom.

Internship Report

Reliance Weaving Mills Ltd.

Finally I have given some recommendations to cover these threats. My suggestions were
highly appreciated by the management of RWML.

Internship Report

Reliance Weaving Mills Ltd.

Internship Report

Reliance Weaving Mills Ltd.

RELIANCE

WEAVING

MILLS

LIMITED

MULTAN
GROUP PROFILE
The company has been sponsored by FATIMA GROURP in Multan. The sponsors are
already engaged in the field of manufacturing Sugar, Cotton lint yarn, Grey cloths. Their
company, RELIANCE COMMODITY PVT. LTD has been awarded Best Performance
Trophies for the years 1997-98 to 99-00 in the field of export of Molasses declared the
top 5 company of the Pakistan. The sponsors have also taken up the managing control of
a band new spinning unit at Rawat Distt. Rawalpindi form UBL through bidding.
Following are the companies included in the group:
Sr. #

Company Name

1.

FATIMA SUGAR MILLS LTD.

2.

RELIANCE WEAVING MILLS LTD.

3.

RELIANCE COTTON PVT. LTD.

4.

RELIANCE COMMODITIES PVT. LTD.

5.

RELIANCE EXPORT LTD.

6.

RELIANCE FIBRES LTD.

7.

FATIMA FERTILIZER COMPANY LTD.

8.

FAZAL CLOTH MILLS LTD.

9.

AHMED FINE TEXTILE MILLS LTD

Internship Report

Reliance Weaving Mills Ltd.

COMPANY PROFILE
Reliance weaving Mills Ltd. (RWML) is part of the Fatima Group. Fatima Group
established RWML on April 17, 1990 as a public limited company and obtained
certificate for commencement of business on May 14, 1990.
Authorized capital of RWML at the time of incorporation was Rs.250 million and
presently RWML has authorized and paid up capital of Rs.700million which has
gradually increased and at present subscribed share capital of company stands at Rs.
308109370 , listed at Karachi and Lahore Stock Exchanges and also inducted into Central
Depository Company (C.D.C). The company has issued 1st tranche of Term Finance
Certificate (TFCs) of Rs. million in February 2002, which has been fully subscribed.
These TFCs are listed at Karachi Stock Exchange and has also been declared as eligible
security in C.D.C.
The principal business of the Company is manufacture and sale of cotton yarn and grey
woven fabric. RWML production capacity consists of two main segments, Weaving and
Spinning, both are ISO-9002 Certified for its quality. Today Reliance weaving Mills
Limited is the 3rd largest weaving mill in Pakistan with modern and technologically
advanced greige weaving plant. The we4aving units are situated at Multan and the
Spinning unit at Rawalpindi. The details are as under:

Internship Report

Reliance Weaving Mills Ltd.

Weaving units:
Weaving unit is situated at Fazalpur; Khanewal Road, Multan commenced its commercial
production on May 01, 1993 with 96 Tsudakoma air jet weaving machines imported from
Japan along with modern auxiliary machinery to produce high quality cloth for export
markets. Further and additional 20 Tsudakoma air jet weaving machines form Japan were
installed in 1999 coupled with yarn doubling and twisting machines to produce value
added fabrics. The installed production capacity of the unit is approximately 16.085
million meters per annum. Further more, a captive power plant consisting of 2.5 MW
Capacities are also installed in the weaving unit-1 by which the company is saving
power cost and production losses.
During the last financial year, the company has implemented and expansion project for its
weaving unit at a cost of a about Rs.500 million, comprising 108 Tsudakoma air jet
weaving machines from Japan along with modern auxiliary machinery to produce high
quality cloth for export markets. The project started its commercial production from
October 01, 2001. The installed production capacity of the unit is approximately 21.70
million meters per annum.
Another 48 air jet looms expansion plan in existing weaving unit # 2 is at advance stage,
which will result in increase in production approximately by 9.00 million meters per
annum. Now weaving unit comprise of 295 Tsudakoma with production capacity of 57.6
million meters of grey cloth annually.

Spinning Unit:
The spinning unit of the RWML is located at Mukhtarabad, Rawat, and District
Rawalpindi in the province of Punjab. The unit commenced its commercial production on
October 01, 1999 with 14400 spindles with a very good combination of European and
Internship Report

Reliance Weaving Mills Ltd.

Japanese machinery with allied accessories. It produces high quality yarn for in-house
consumption and for export markets. The installed capacity after conversion into 20/s
count is approximately 4.849 million kgs.
The spinning unit has 35,520 spindles with an installed capacity of 12.30 million kgs of
yarn converted at 20/s count. Cotton yarn produced is used in weaving units for
manufacturing of fabric being sold in local and export market.

ORGANIZATIONS (RWML) HIERARCHY

CHAIRMAN

CHIEF EXECTIVE

C.F.O.

FINANCE
MANAGER

MKTING
MANAGER

PURCHASE
MANAGER

ACCOUNTS
MANAGER

INTERNAL
AUDITOR

CHIEF
CHIEF
ACCOUNTANT
ACCOUNTANT

DCA

Internship Report

ASSISTANT
ACCOUNTANT

Reliance Weaving Mills Ltd.

VISION STATEMENT
The company is interested to install complete textile finishing plant including bleaching,
dyeing, mercerizing, calendaring, folding, printing plant in the existing weaving units at
Multan to make it a complete composite unit, which can explore local and international
market of high value products. The company would keep its emp0hasis on product and
market diversification, values addition and cost effectiveness. We want to fully equip the
company to play a meaningful role on the sustainable basis in the economic development
of the country.

MISSION STATEMENT
The mission of the company is to operate state of the are textile plants capable of
producing yarn and fabrics.
The company will conduct its operations prudently assuring customer satisfaction and
will provide profits and growth to its shareholders through:

Manufacturing of yarn and fabrics as per the customers requirements and

market demand.

Exploring the global market with special emphasis on Europe

and USA.

Enhancing the profitability by improved efficiency and cost controls.

Recruiting, developing, motivating and retaining the personnel having

exceptional ability and dedication by providing them good working

Internship Report

Reliance Weaving Mills Ltd.

conditions, performance based compensation, attractive benefit program and
opportunity for growth.

Protecting the environment and contributing towards the economic strength of

the country and function as a good corporate citizen.

THE PROJECT
The project of setting up 96 looms was successfully completed and the company
commenced commercial production on May 01, 1993. The capacity of the project is
15.50 million Mtrs. Grey Cloth per year. In addition to further 20 looms was a installed in
1997 along with doubling machine and self power generation plant of 2.5 MW was
installed in 1999.

COST OF PROJECT AND MEANS OF FINANCE

ESTIMATED COST
Pak. Rs. In (Million)

Imported machinery

Import incidentals

25.20

Local machinery

13.50

Land, Building, Others

44.80

Total Estimated cost

210.50

294.00

ACTUAL COST

Imported machinery

199.00

Imported incidentals

22.40

Local machinery

15.60

Land, building, others

47.00

Total actual cost

Internship Report

284.00
9

Reliance Weaving Mills Ltd.

The company has successfully completed the project within the projected cost by saving
at least 11.00 (m) from the imported machinery due to forward booking of US $ on L/Cs
through speculation with the bank.

FINANCING
The project has been financed through;
P
ak.Rs. In (M)

Share holders equity

Redeemable capital

FC loan I.BR.D Line world bank

146.45

Local Bank Loan

13.60

Directors Loan

4.80

Local suppliers

6.60

Actual project cost

Internship Report

109.55
3.00

284.00

10

Reliance Weaving Mills Ltd.

COMMERCIAL PRODUCTION
The company has commenced commercial production from May 1, 1993.

FINANCIAL YEAR
The financial year of the company is from October 1st to September 30th.

RAW MATERIAL
The basic raw material for the company is cotton yarn, which is easily available in
Pakistan.

LABOUR AND TEACHNICAL KNOW-HOW

The textile industry, being the oldest and largest industry in the country, there is cheap
labor available, both skilled as well as unskilled. The company has hired
experienced team, which is engaged in the running of existing manufacturing
facilities.

PROCESS OF WEAVING UNIT

RWML UNIT-2 is engaged in the following functions.

WEAVING
Different types of the cloths are produced in the Weaving department. Weaving process
includes the following steps.

Yarn receiving and issuing

Doubling/twisting

Loading on sizing

Sizing

Loom shed

Internship Report

11

Reliance Weaving Mills Ltd.

Cutting/Folding and Packing

Yarn Receiving and Issuing

Following is the process of yarn receiving and issuing:

Yarn receive

Yearn tested through lab

Yarn record maintained in computer

Yarn requisition/issuing

Yarn Receive
First of all in weaving unit yarn received by yarn clerk from the spinning unit. Yarn clerk
check and count the bags and arrange its stacking in very arrange manner.

Yarn Tested In Lab

After receiving the yarn at least 2 cones are send to the lab to check the weight/quality
count and length.

Yarn Record
After receiving the correct result of the yarn from lab, it is recorded in stock register
maintained in computer.

Yarn Requisition/Issuing
Yarn is issued to warping department after receiving the requisition from the General
Manager/Production Manager.

RWMLS PRICING STRATEGIES

RWML adopts following pricing strategies:

Direct selling

Through agent selling.

Direct selling
If co. sells directly then price components will be as follows;
Fixed cost+variable cost+Desired profit

Internship Report

12

Reliance Weaving Mills Ltd.

Through agent selling
Through agent selling pricing components are:
Fixed cost+variable cost+Desired profit + Middlemans commission

Pricing Procedure in Local Market

RWML sells only extra quality left from the foreign order in the local market.
They call tenders when they want to sell the production in the local market. They
sell to those person whose tender price will be high.

Pricing Procedure for Export

Pricing procedure for export is different from the local procedure they charging
the price in foreign factors before charging the mind certain factors before
charging the price in foreign market. When any customers want to purchase the
products after negotiation they fix the price. Some important factors are inland
freight, sea freight clearing charges etc.

1.

PLACE ( Distribution Channels)

RWML exports more than 90% of its product. They are using two types of
distribution channels in export.

Direct channel.
RWML====Customer

Indirect Channel.

RWML==Middleman=====Customer

Internship Report

13

Reliance Weaving Mills Ltd.

Mostly RWML exports its products through ship. They are alos using other modes
of transportation as well:

Trucking

Shipping

Air line

Major export countries are as under;

1. Japan
2. Korea
3. Hong Kong
4. USA

Internship Report

14

Reliance Weaving Mills Ltd.

ADMINISTARATION DEPARTMENT
This is very important department of the organization as named shows, this dept. has to
administer all the operations of the organization. Sections of this department are divided
into offices as under;

Labor office

Security guard office

Gate office

Time office

LABOR OFFICE
As required by labor dept of the govt. of Pakistan, this office has been setup to deal with
all the matters that are related with labor. The dept. is under the labor officer. He is
responsible to resolve all the disputes, conflicts, misunderstandings and any other kind of
matter, which may arise from time to time with the labor and the immediate supervisor or
with any other person in the organization.
It is the duty of the labor officer to inform the legal requirements concerning the labor
and company affairs as well as any changes in rather labor laws.
It is the duty of the labor officer to satisfy itself regarding payment bonus, gratuity, and
other benefits to labor and to keep their morale and motivational level high.

SECURITY GUARD OFFICE

The main objective of the security office is to safe handling of the goods from /to the mill
premises. For the achievement of such objective a team of security guards has been
employed by the company. All the keys relating to the mills office, labor colony,
(quarters) are lying into the responsibility of the security officer
No out side visitor can enter in the mills premises without the permission of the Admin
Manager.

Internship Report

15

Reliance Weaving Mills Ltd.

a) Whenever any visitor wants to enter into the mill, security guard firstly
contact with the authority in the mill top grant the permission to enter into
the mills premises.
b) They are the guardians of the every thing of the co.
c) They are in uniform of dark army color.
d) They sere and check the outward going pass of certain things when these
going to out of the mills premises.

GATE OFFICE
This office has been made to keep the record of each and every thing coming in and
going out of the Mills gate.
For this purpose gate office clerk maintains two type of registers called;
1)

Outward going pass register

2)

Inward coming pass register

When every thing including raw material, stores supplies, or any other things comes into
the mills premises a document named as I.G.P is made in which information like date of
supplier, description, quantity of the material and any other remarks are written. In the
same way O.G.P is prepared for out going things etc. and they made a summary on daily
basis and fax to head office.

TIME OFFICE
1. It keeps the attendance records, which is than used to calculate the salary
to be paid to the workers on monthly basis.
2. It keeps the records of the over time single as well as double, leaves,
number of days worked of all the workers and than calculate their over
time on the basis of the gross salary of each workers.
3. It keeps the records of gratuity, bonus, pensions and other benefits
including CPL (cash paid leave ) to each employee.
4. It keeps the records of Social Security, DOBI, Education Cess etc. of all
employees.
Internship Report

16

Reliance Weaving Mills Ltd.

5. This office keeps and maintain the time record of all the workers.

Internship Report

17

Reliance Weaving Mills Ltd.

Accounts Department
PREPARATION OF ACCOUNTS
Following accounts are prepared in the Accounts Department of RELIANCE
WEAVING MILLS LTD.
1.

Store Creditor/Purchases

2.

Export Debtor/Realization

3.

Store Consumption

4.

Fuel and Power

5.

Salary and Wages

6.

Site Expansions

7.

Inter Unit

8.

Administration Expenses

9.

Selling Expenses

10. M/up on T.F.C.

11. Social security/E.O.B.I
12. Banks

HBL

FBL

FBL (LOAN)

ABL

SPCB

PETTY CASH FUND

Cash is given to the cashier (the site cashier) for meeting the different site expenses and
these are;

Yarn freight

Store freight

Internship Report

18

Reliance Weaving Mills Ltd.

Building capitalized/repair and maintenance

Labor welfare charges

The balance is maintained up to Rs. 100000 minimum every time.

PURCHASE PROCESS
First of all purchase requisition is issued to the different suppliers. Then the quotations
are received from the different supplier and evaluated by the purchase manager then a
purchase order is made. Three copies are maintained for the purchase order;

One to the supplier

One to the accounts department

One is remained with the purchase department

Purchase includes;

Raw material (Local)

Starch

Beveloid

(Local)

Softner-52

(Local)

Chemical PVA imported (Duepont USA)

Yarn (Australia)

(Local)

MAJOR MARKET OF RWML

Major market of RWML is differentiated on the basis of sale;
Export sale (85%)
Export sale is made to;

Europe

Hong Kong

Internship Report

19

Reliance Weaving Mills Ltd.

MY LEAARNING ARE AS FOLLOWS

1. How we have to respond and quote prices upon difference inquires from the
customer.
2. How the working is being done.
3. Issuance of selling contract to customers
4. After looking on contract, how we have to proceed further in order to fulfillment
of desired requirement.
5. How correspondence has to against different orders and different customers.
6. The important matter is to understand the perception from customer and his
expectation because it differs from customer to customer and to order.
7. Push up the processing team to help in making timely shipment.
8. Preparation of different sorts of reports
9. How to respond to the assignments given by the CEO.
10. Purchase of yarn and its recording in the books of accounts
11. Payment of petty cash expenses and their recording.

Internship Report

20

Reliance Weaving Mills Ltd.

BALANCE SHEET

ASSETS:

2014

2013

(Rupees )

in %

Non-current assets
Property, Plant and equipment 1,906,640,987
1,033,593
Intangible assets

1,963,229,490

(56,588,503)

-2.88

-----------

1,033,593

100

Long-term investment

69,999,586

69,999,586

-----------

-----

Long-term deposits

2,421,340

2,421,340

------------

-----

Stock-in-trade

103,050,338

92,855,401

10,194,937

10.98

Trade debts

772,397,644

746,643,801

25,753,843

3.45

Loan and Advances

157,754,493

229,707,309

(71,952,816)

-31.32

Trade deposits and payments

187,188,985

142,601,992

44,586,993

31.267

Short term Investment

1,122,041

5,804,422

(4,682,381)

-80.67

Mark-up accrued

125,667,584

523,546

125,615,238

23993

Other receivables

7,088,261

7,088,261

------------

-------

from 8,289,791

1,612,193

6,677,598

414.19

45,560,675

49,793,062

(4,232,387)

-8.50

41,794,462

32,572,103

9,222,359

28.31

Current assets
Stores, spares and loose tools

Tax

refunds

due

government
Cash and bank balances

Total Current assets

TOTAL ASSETS

Internship Report

1,449,914,274 1,309,202,090 140,712,184 10.75

3,430,009,780 3,344,852,506 85,157,274 2.546

21

Reliance Weaving Mills Ltd.

(Rupees)
EQUITY

In %

AND

LIABILITIES:

Share

capital

and

reserves
Authorized

Capital

30,000,000 ordinary shares of

30,000,000

-------------

---

Issued, subs and paid-up capital 308,109,370

246,487,500

61,621,870

24.99

Reserves

395,081,250

395,081,250

--------------

-------

Unappropriate profit

165,798,067

195,501,910

70,296,157

35.96

868,988,687

837,070,660

31,918,027

3.81

988,791,218

(276,877,550)

-28

36,875,000

26,500,000

71.86

30,000,000

Rs 10 each

Non-current liabilities
Long term Finance & other711,913,668
Capital
63,375,000
Subordinated loans

8,589,216

16,238,327

(7,649,111)

-47

Deferred liabilities

783,877,884

1,041,904,545

(258,026,661)

-24.76

Current liabilities

128,588,478

124,134,603

4,453,875

3.59

Trade and other payables

56,488,753

43,259,876

13,228,877

30.58

Interest and mark-up accrued

1,336,646,814

1,174,824,009

161,822,805

13.77

123,658,813

131,760,351

106.55

1,465,877,301

311,265,908

21.23

Finance

under

markup

arrangement

255,419,164

Current portion of non-current1,777,143,209

liabilities

Total

Liabilities

and3,430,009,780 3,344,852,506 85,157,274

2.546

Equity

Internship Report

22

Reliance Weaving Mills Ltd.

Profit and Loss Account

2014

2013
(Rupees)

Sales

in %

3,122,414,478
(2,699,848,853)

278,583,883
354,744,842

8.92

Cost of sales

3,400,998,361
(3,054,593,695)

Gross profit

346,404,666

422,565,625

(76,160,959)

-18

Other operating income

39,344,127

17,840,572

21,503,555

120

Administrative expenses

(50,282,001)

(48,421,073)

1,860,928

3.84

Distribution and selling costs

(49,671,260)

(39,031,369)

10,639,891

27.25

Other operating expenses

(6,048,989)

(9,584,861)

(3,535,872)

36.89

Finance costs

(232,381,335)

(199,406,645)

32,974,690

16.54

Profit / (loss) before taxation

47,365,208

143,962,249

(96,597,041)

-67.10

Provision for taxation

(15,447,181)

(20,433,058)

(4,985,877)

-24.40

Profit for the year

31,918,027

123,529,191

(91,611,164)

-74.16

Earnings per share

Internship Report

1.04

13.21

4.01

23

Reliance Weaving Mills Ltd.

Ratio Analysis
We have to analyze firm from five point of view.

Liquidity Analysis

Activity Analysis

Debt Analysis

Profitability Analysis

Marketability Analysis

LIQUIDITY ANALYSIS
FORMULAS
i. Current Ratio

ii. Acid test ratio or quick ratio

Current Asset- Inventory

Current Liabilities

i. Inventory turn Over

Cost of goods sold

Inventory

ii. Average Age of Inventory

Inventory turn over

No. of working days

iii. Average collection period

Account Receivable
Average Sale per day

iv. Account receivable turn over

Current Asset
Current Liabilities

ACTIVITY ANALYSIS
FORMULAS

No. of working days

Average Collection period

v. Account Payable turn over

vi. Fixed asset turn over

Internship Report

No, of working days

Average Payment Period
Net sale
24

Reliance Weaving Mills Ltd.

Net fixed Asset

PROFITABILITY RATIOS
FORMULAS
i) Gross Profit Ratio on Sale

G.P

x 100
Net Sale

ii) Gross profit ratio on cost

G.P
C.G.S

x 100

iii) Operating Profit ratio

operating Profit x100

Sale

iv) Net Profit ratio

Net Profit after taxes x100

Net sale

v) Return on asset (ROA)

Net Profit after taxes x100

Total asset

MARKET ABILITY RATIOS

FORMULAS
i) Earning Per Share (EPS)

ii) Dividend Pay out ratio

Internship Report

N.P.A.T. - Divto P. share

Out Standing Stock
Dividend P.S x100
EPS

25

Reliance Weaving Mills Ltd.

CALCULATION OF RATIOS
LIQUIDITY ANALYSIS
It shows the firm ability to pay its short-term obligation on time.

CURRENT RATIO
2014
1: 0.74times

2013
1: 0.84times

2012
1: 0.98times

The ratios show that the companys current liabilities and current assets are almost equal.
So the co. is in a position to meet its current liabilities on time.

QUICK OR ACID TEST RATIO

2014
1: 0.75times

2013
1: 0.59times

2012
1: 0.48times

The companys quick ratio has increased. So the company is liquid position is very
strong.

ACTIVITY ANALYSIS
Activity analysis shows the speed through which various current accounts are converted
into cash and measures the efficiency of management that how productively it is utilizing
assets to generate desire results.

INVENTORY TURNOVER RATIO

2014
3.2times

2013
4.8times

2012
6.0times

The co. is converting the inventory 6.0 times into cash against the conversion of 4.8times
of and 3.2times in. It means that the sale of the co. has been increased.

DEBTOR COLLECTION PERIOD

2014
Internship Report

2013

2012
26

Reliance Weaving Mills Ltd.

92 days

87days

44days

Companys credit collection performance is depended upon L/C by the buyer. So the
companys debtor collection period mostly depends upon the opening of letter of credit.

CREDITORS TURNOVER RATIO

2014
10.3 times

2013
11.50times

2012
12.20times

This ratio shows that the co. is making payment to the creditors within reasonable time
period.

FIXED ASSETS TURNOVER RATIO

2014
0.93times

2013
1.24 times

2012
2.02 times

PROFITABILITY ANALYSIS
The efficiency of the firm can be analyzed through its profits.

GROSS PROFIT RATIO

2014
2013
2012
16.32%
15.59%
15.30%
Cost of goods sold has remain more or less constant while conversion rate of $ is being
higher therefore G.P. is very ideal.

NET PROFIT RATIO

2014
1.40%

2013
1.57%

2012
2.7%

The company profit is increasing with the passage of time. It is because of its 90%
exports.

OPERATING PROFIT RATIO

2014
10.57%

Internship Report

2013
10.70%

2012
10.85%

27

Reliance Weaving Mills Ltd.

There is little increase in profit of the co. It is because of hiring of new employees which
increases the salaries of the co.

RETURN ON ASSETS
2014
2.69%

2013
3.48%

2012
7.49%

Return on assets ratio has increased because of increase in profits.

MARKETABILITY ANALYSIS
EARNING PER SHARE
2014
Rs.2.48

2013
Rs.2.67

2012
Rs.2.82

DIVIDEND DECLARATION
2014
6.7%

2013
7.50%

2012
7.50%

LEVERAGE ANALYSIS
Leverage analysis is used to measure the degree of indebt ness (up to what extent
the firm is in debtness).

DEBT RATIO
2014
57%

2013
68.78%

2012
76%

DEBT-EQUITY RATIO
2014
186%

2013
322%

2012
220%

RWML is heavily depending on the outsiders financing.

COVERAGE RATIO ANALYSIS

Coverage ratio is used to see the ability of a firm to pay its fixed financial cost.i-e.

Interest payment

Internship Report

28

Reliance Weaving Mills Ltd.

Lease payment t

Dividend to preferred stockholders

TIME INTEREST EARNED RATIO

2014
1.27times

2013
1.36times

2012
1.56times

RWML is paying interest 1.56times in a year, which is greater than previous

years.

Internship Report

29

Reliance Weaving Mills Ltd.

COMMENTS AND SUGGESSIONS

After a short careful analysis, I come to know that the financial position of
the co. is much better than the other weaving units in textile industry.

There is tough competition in textile exports. Buyers are demanding

quality and economy in their purchase contracts. They are becoming
quality conscious. RWML has vast markets of Japan, USA, Taiwan, H.K
therefore co. is going to the installation of 200 looms with complete back
up process as well.

RWML is saving a huge cost in the field of marketing because its Chief
Executive is extra vigilant. In this respect co. is saving more of less.

RWML has no marketing department to promote and introduce its

products in international market. There is a crucial need for having
disciplined and coordinated program of marketing to boost up the exports.

There is a need of searching the new customers in international market. So

that they can enhance their sale volume because of going to its expansion
as double capacity.

Internship Report

30