Gul Ahmed Textile Mills Ltd

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GUL AHMED TEXTILE MILLS LTD.

Presented By:

M. Qamar Aziz


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TEXTILE INDUSTRY SITUATION IN PAKISTAN

Pakistan's textile sector export in March 2011exhibited robust growth, augmenting by 44 percent,while the food group posted a 56.4 percentincrease compared to the same month in the last

fiscal year.

Sources stated that the country's export of textileand 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.


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Pakistan's exports continued to strengthen, asevident from the latest trade data. Figures revealedthat exports during March, 2011 stood at $2.5billion, 41.1 percent higher than that of March lastyear. Cumulative exports, in July-March 2011,aggregated to $17.8 billion as against $14.1 billionin the corresponding period of last year, an increase

of 26.5 percent. Export figures, for July-March,depicted a similar picture.


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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 28.6percent respectively. Bed wear, cotton yarn andreadymade garments were items that, each,crossed the $1.0 billion mark during the nine

months of the fiscal year 2010-11.


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

Established capacity: The textile industry ofPakistan has a total established spinning capacityof 1550 million kgs of yarn, weaving capacity of4368 million square metres of fabric and finishingcapacity of 4000 million square metres. Theindustry has a production capacity of 670 millionunits of garments, 400 million units of knitwear and53 million kgs of towels.


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The industry has a total of 1221 units engaged in

ginning and 442 units engaged in spinning. Thereare around 124 large units that undertake weavingand 425 small units. There are around 20600 powerlooms in operation in the industry. The industry alsohouses around 10 large finishing units and 625

small units.


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Pakistan's textile industry has about 50 large and2500 small garment manufacturing units. Moreover,it also houses around 600 knitwear-producing unitsand 400 towel-producing units.

Contribution to exports: According to recent figures,the Pakistan textile industry contributes more than60% to the country's total exports, which amountsto around 5.2 billion US dollars. The industry

contributes around 46% to the total outputproduced in the country.

In Asia, Pakistan is the 8th largest exporter of textileproducts.


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The contribution of this industry to the total GDP is8.5%. It provides employment to 38% of the work forcein the country, which amounts to a figure of 15 million.

However, the proportion of skilled labor is very less ascompared to that of unskilled labor.

All Pakistan Textile Mills Association is the chieforganization 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 inexports from Pakistan.


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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


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INTRODUCTIONTHECOMPANY

The Gul Ahmed Group began trading in textiles inthe early 1900s.

In 1953, the group decided to enter the field ofmanufacturing under the name Gul Ahmed TextileMills Limited, and was incorporated as a privatelylimited company.

In 1972, it was listed on the Karachi StockExchange.

Since then, the company has made rapid progressand is currently one of the leading composite textilehouses in the world.


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PRODUCTS

Gul Ahmed's fine textile products represent a unique fusion of thecentury old traditions of the east and the latest textile technology of thewest.

The purest of cotton fibers, produced from the fertile lands of the IndusValley, are spun, woven and processed into the finest quality cotton andblended products through a combination of latest technology, skills andcraftsmanship of this traditional industry.

Bed Linen

Quilt covers ,duvet covers, flat and fitted sheets, pillow covers, valancesheets, bolster case with all sorts of fancy confectioning, embroidery andembellishments, packed to buyers' specific requirement.

Curtains & Quilted CurtainsReady made curtains lined, un-lined and taptop curtains, plain or fullyaccessorized with tiebacks, pelmets, cushion covers, in different styles ofconfectioning and embroidery, packed to buyers' specific requirement.


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Coated Fabrics

Running meter fabrics, packed to specificrequirement.

Cotton Yarn, Polyester Yarn, Rayon Yarn andother Man made fibers Yarn

Gul Ahmed specializes in medium-to-fine-count

cotton yarns and is also capable of producing yarnsusing a wide variety of synthetic fibers includingpolyester, rayon and other man-made fibers


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OPERATIONS

Gul Ahmed is a network of composite mills whichmanufacture goods from yarn to finished products.In order to achieve and maintain high quality controland to retain strict focus on specialization, the

production units have been decentralized into thefollowing units:

Spinning

Weaving

Pretreatment, Printing, Dyeing, Finishing Design & Style

Hemming House Hold Textile

Quality Control


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1. SPINNING

Gul Ahmed has two spinning units. The machineryused 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 of130,296 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.


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2. WEAVING

The units have 223 air jet looms. The air jet loomscome from Tsudakoma of Japan. The latestinstallation of air jet looms operate in a new custombuilt weaving facility supported by the most modern

yarn preparation equipment and are comparablewith the finest available yarn preparation equipmentanywhere in the world.

These units produce fine quality lawns, sheetings,

twills, drills, dobbies, satins, and other fancy fabricswith a width of up to 330 cms.


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3. PRETREATMENT, PRINTING, DYEING,FINISHING

The wet processing unit is equipped with a widerange of state of the art machines which gives GulAhmed a flexible processing possibility and an edgeover its competitors.

Gul Ahmed has 4 sophisticated rotary printingmachines Capable of printing up to 21 colours onfabrics as wide as 320 cm.


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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


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The first installation of a laser engraver, waxengraver, film plotter, colour scanner, & CAD/CAMsystem in Pakistan was made at Gul Ahmed.

In the finishing section, modern stenters are fittedwith the most sophisticated electronic weftstraighteners which achieve perfect finishes. Finaltouch to the fabrics is given on different calendersaccording to the requirements of the buyers.

An automated and computerized colour kitchenenables production of exact colour shades eachtime from the use of recipes which are stored in thecomputer's memory station.


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4. DESIGN & STYLING

Gul Ahmed's design studios are staffed withexperienced artists with capabilities to meet the moststringent requirements in design and to adapt todifferent colourways to meet the requirements of each

individual country. The company also employs leading European designers

who constantly develop new designs for specificgeographical areas.

A top French designer works full time for Gul Ahmed andspends 2 months in Pakistan and 2 months in Paris on arotational basis throughout the year.

The designing team visits major international exhibitionsto keep abreast of current market trends.


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5. HEMMING - HOUSE HOLD TEXTILE

These units, equipped with high speed stitchingmachines and an intensive labour force, arecapable of making all of the different product sizeand style requirements of each individual country.


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6. QUALITY CONTROL

Gul Ahmed maintains strict quality control andpossesses computerized testing for strength ofyarn, density of cloth and fastness of colours. Fullyequipped labs are installed separately in areas of

spinning, weaving and wet processing.

The quality control personnel conduct pre-inspection of goods at different stages to maintain

international standards and to ensure customersatisfaction on a regular basis.


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MANAGEMENT POLICIES Quality Policy

Maintenance of Quality Systems on the guidelines of ISO 9000 series ofstandards.

Customer satisfaction through employee participation & innovativetechnology 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 refreshersand 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.


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Environmental Policy

Gul Ahmed Textile Mills Limited pursue long term corporateobjectives towards conservation in the use of electricity, gas andwater for setting up an environmental management system. We planto 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 committeeare:

Technical Directors.

General Manager Maintenance.

Processing Manager. Management Representative (Health & Safety).

Stitching Managers.

Admin, Security & Fire chief.


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IDEAS BYGULAHMED

Ideas by Gul Ahmed is the retail venture of Gul Ahmed TextileMills Ltd. Visualizing the needs of customers and the growingtrend towards the retail industry, the company decided todiversify into the retail sector in 2003.

At Ideas, GulAhmeds tradition of quality and style provides

an elegant taste of creatively designed home textile ranges ina vibrant palette of colors, fabrics, patterns, textures andembroidery styles. The store also features limited edition lawnand 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 isset to develop an extensive chain of stores across the country,aiming to bring its customers an unbeatable shoppingexperience.


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IDEAS VISION

Ideas strives to be an international brand that caresfor its customers and fulfills their home andpersonal needs.

Consumer and professional channels will recognizeus as the leader in exclusive, high quality, moderndesigns as well as impeccable service withcourteous, informed and well-groomed salesconsultants.

Our aim is to provide a distinctive cozy shoppingenvironment with attractive dcor, a consistentavailability of high quality products and new productinnovations.


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Documents

Gul Ahmed Textile Mills Ltd