GUL AHMED TEXTILE MILLS LTD.

Presented By: M. Qamar Aziz

TEXTILE INDUSTRY SITUATION IN PAKISTAN

Pakistan's textile sector export in March 2011 exhibited robust growth, augmenting by 44 percent, while the food group posted a 56.4 percent increase compared to the same month in the last fiscal year. Sources stated that the country's export of textile and clothing, which are major export sectors and possess 50 percent share in total export, stood at $1,249 million in March, 2011 in contrast with $867.253 million during the same month in 2010.

Pakistan's exports continued to strengthen, as evident from the latest trade data. Figures revealed that exports during March, 2011 stood at $2.5 billion, 41.1 percent higher than that of March last year. Cumulative exports, in July-March 2011, aggregated to $17.8 billion as against $14.1 billion in the corresponding period of last year, an increase of 26.5 percent. Export figures, for July-March, depicted a similar picture.

The textile sector was the major driver of exports. Knitwear and cotton cloth were top export products, as their export grew by 32.7 percent and 28.6 percent respectively. Bed wear, cotton yarn and readymade garments were items that, each, crossed the $1.0 billion mark during the nine months of the fiscal year 2010-11.

The textile industry is one of the most important sectors of Pakistan. It contributes significantly to the country's GDP, exports as well as employment. It is, in fact, the backbone of the Pakistani economy.

Established capacity: The textile industry of Pakistan has a total established spinning capacity of 1550 million kgs of yarn, weaving capacity of 4368 million square metres of fabric and finishing capacity of 4000 million square metres. The industry has a production capacity of 670 million units of garments, 400 million units of knitwear and 53 million kgs of towels.

The industry has a total of 1221 units engaged in ginning and 442 units engaged in spinning. There are around 124 large units that undertake weaving and 425 small units. There are around 20600 power looms in operation in the industry. The industry also houses around 10 large finishing units and 625 small units.

Pakistan's textile industry has about 50 large and 2500 small garment manufacturing units. Moreover, it also houses around 600 knitwear-producing units and 400 towel-producing units. Contribution to exports: According to recent figures, the Pakistan textile industry contributes more than 60% to the country's total exports, which amounts to around 5.2 billion US dollars. The industry contributes around 46% to the total output produced in the country. In Asia, Pakistan is the 8th largest exporter of textile products.

The contribution of this industry to the total GDP is 8.5%. It provides employment to 38% of the work force in the country, which amounts to a figure of 15 million. However, the proportion of skilled labor is very less as compared to that of unskilled labor.
All Pakistan Textile Mills Association is the chief organization that determines the rules and regulations in the Pakistan textile industry. The world demand for textiles is rising at around 2.5%, due to which there is a greater opportunity for rise in exports from Pakistan.

GUL AHMED TEXTILE MILLS LTD. (OVERVIEW)

Type: Public Industry: Textile, Retail Founded: April 1, 1953 Founder: Haji Ali Mohammad Headquarters: Karachi, Pakistan Area served: Worldwide Products: Fabrics, bedding, yarn,apparel, accessories Revenue: US$235 million (2010) Employees: 7000 Parent: Gul Ahmed Group Divisions: Ideas by Gul

INTRODUCTION THE COMPANY

The Gul Ahmed Group began trading in textiles in the early 1900s. In 1953, the group decided to enter the field of manufacturing under the name Gul Ahmed Textile Mills Limited, and was incorporated as a privately limited company. In 1972, it was listed on the Karachi Stock Exchange. Since then, the company has made rapid progress and is currently one of the leading composite textile houses in the world.

PRODUCTS
Gul Ahmed's fine textile products represent a unique fusion of the century old traditions of the east and the latest textile technology of the west. The purest of cotton fibers, produced from the fertile lands of the Indus Valley, are spun, woven and processed into the finest quality cotton and blended products through a combination of latest technology, skills and craftsmanship of this traditional industry.

Bed Linen Quilt covers ,duvet covers, flat and fitted sheets, pillow covers, valance sheets, bolster case with all sorts of fancy confectioning, embroidery and embellishments, packed to buyers' specific requirement.
Curtains & Quilted Curtains Ready made curtains lined, un-lined and taptop curtains, plain or fully accessorized with tiebacks, pelmets, cushion covers, in different styles of confectioning and embroidery, packed to buyers' specific requirement.

Coated Fabrics Running meter fabrics, packed to specific requirement. Cotton Yarn, Polyester Yarn, Rayon Yarn and other Man made fibers Yarn Gul Ahmed specializes in medium-to-fine-count cotton yarns and is also capable of producing yarns using a wide variety of synthetic fibers including polyester, rayon and other man-made fibers

OPERATIONS

Gul Ahmed is a network of composite mills which manufacture goods from yarn to finished products. In order to achieve and maintain high quality control and to retain strict focus on specialization, the production units have been decentralized into the following units:

Spinning Weaving Pretreatment, Printing, Dyeing, Finishing Design & Style Hemming House Hold Textile Quality Control

1. SPINNING
Gul Ahmed has two spinning units. The machinery used in these units is made in the U.K., Japan, Germany & the U.S.A. Ring Spinning
The ring spinning operation comprises of a total of 130,296 spindles. A wide range of yarns are produced in these units: 100% cotton from 50 NM for knitting and weaving, up to 135 NM for light weight dress fabrics. Poly Cotton, Poly viscose and 100% viscose yarns are also produced from 7 Ne to 100 count.

2. WEAVING
The units have 223 air jet looms. The air jet looms come from Tsudakoma of Japan. The latest installation of air jet looms operate in a new custom built weaving facility supported by the most modern yarn preparation equipment and are comparable with the finest available yarn preparation equipment anywhere in the world. These units produce fine quality lawns, sheetings, twills, drills, dobbies, satins, and other fancy fabrics with a width of up to 330 cms.

3. PRETREATMENT, PRINTING, DYEING, FINISHING

The wet processing unit is equipped with a wide range of state of the art machines which gives Gul Ahmed a flexible processing possibility and an edge over its competitors. Gul Ahmed has 4 sophisticated rotary printing machines Capable of printing up to 21 colours on fabrics as wide as 320 cm.

Processing and Finishing Machinery

Computerized Colour Kitchen Calender CAD/CAM System Colour Scanner Dyeing Range Embroidery Machine (20 head 9 colour) Film Plotter Laser Engraver Mercerizing Rotary Printing including 21 colour and upto 280 cm width Singeing & Desizing Stentor Sanforizing Washing and Drying Range Wax Engraver

The first installation of a laser engraver, wax engraver, film plotter, colour scanner, & CAD/CAM system in Pakistan was made at Gul Ahmed. In the finishing section, modern stenters are fitted with the most sophisticated electronic weft straighteners which achieve perfect finishes. Final touch to the fabrics is given on different calenders according to the requirements of the buyers. An automated and computerized colour kitchen enables production of exact colour shades each time from the use of recipes which are stored in the computer's memory station.

4. DESIGN & STYLING

Gul Ahmed's design studios are staffed with experienced artists with capabilities to meet the most stringent requirements in design and to adapt to different colourways to meet the requirements of each individual country. The company also employs leading European designers who constantly develop new designs for specific geographical areas. A top French designer works full time for Gul Ahmed and spends 2 months in Pakistan and 2 months in Paris on a rotational basis throughout the year. The designing team visits major international exhibitions to keep abreast of current market trends.

5. HEMMING - HOUSE HOLD TEXTILE

These units, equipped with high speed stitching machines and an intensive labour force, are capable of making all of the different product size and style requirements of each individual country.

6. QUALITY CONTROL

Gul Ahmed maintains strict quality control and possesses computerized testing for strength of yarn, density of cloth and fastness of colours. Fully equipped labs are installed separately in areas of spinning, weaving and wet processing. The quality control personnel conduct preinspection of goods at different stages to maintain international standards and to ensure customer satisfaction on a regular basis.

MANAGEMENT POLICIES

Quality Policy Maintenance of Quality Systems on the guidelines of ISO 9000 series of standards. Customer satisfaction through employee participation & innovative technology application. Training of employees on quality awareness, ISO 9000 concepts & system documentation including: procedures, work instructions, specification etc. Training should be an on-going process and refreshers and reviews are a part of training. Social Policy Gul Ahmed Textile Mills Limited has striven to become one of the leading companies to actively participate in the social and economical growth of the country. The company will endeavor to address following issues: Enforcement of minimum age of employee of eighteen (18) years without any discrimination. Relaxed environment for employees. Practical measures related to health and safety. Equal opportunity.

Environmental Policy

Gul Ahmed Textile Mills Limited pursue long term corporate objectives towards conservation in the use of electricity, gas and water for setting up an environmental management system. We plan to meet global environmental challenges in all areas.

Health and Safety Policy

Gul Ahmed has a H&S manual and a permanent committee to ensure safety of staff and workers. The members of the committee are: Technical Directors. General Manager Maintenance. Processing Manager. Management Representative (Health & Safety). Stitching Managers. Admin, Security & Fire chief.

IDEAS BY GUL AHMED

Ideas by Gul Ahmed is the retail venture of Gul Ahmed Textile Mills Ltd. Visualizing the needs of customers and the growing trend towards the retail industry, the company decided to diversify into the retail sector in 2003. At Ideas, Gul Ahmeds tradition of quality and style provides an elegant taste of creatively designed home textile ranges in a vibrant palette of colors, fabrics, patterns, textures and embroidery styles. The store also features limited edition lawn and cotton designs in fresh trendy colors. Gul Ahmed has been an exporter of textiles for the past many years and with its vast experience and reach the company is set to develop an extensive chain of stores across the country, aiming to bring its customers an unbeatable shopping experience.

IDEAS VISION
Ideas strives to be an international brand that cares for its customers and fulfills their home and personal needs. Consumer and professional channels will recognize us as the leader in exclusive, high quality, modern designs as well as impeccable service with courteous, informed and well-groomed sales consultants. Our aim is to provide a distinctive cozy shopping environment with attractive dcor, a consistent availability of high quality products and new product innovations.