kohinoor mills limited
TRANSCRIPT
A TERM REPORT OF
INTERNATIONAL BUSINESS
Kohinoor Mills Limited
SUBMITTED TO:
MR. SAJID NAQVI
SUBMITTED BY:
TANVEER AKHTAR MES-08-08
M. YASIR IFTIKHAR MES-08-17
AFIFA TANVEER MES-08-14
RAHEELA KAUSAR MES-08-26
HAFIZA SHABANA MES-08-15
Bahauddin Zakariya University Sub Campus Sahiwal
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www.bzu.edu.pk
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Preface
Textile industry is considered to be the world’s fastest growing industries with global revenue in billions and trillions per annum. The sector is basically focuses on consumer likes and preferences, with activities purifying the needs for the consumer.
The aim to write this report besides entertaining our study requirements. We suppose that this report might become helpful for an M.B.A student in the future while carrying out their research studies. This might help them as a source of secondary data. Keeping both these aspects in mind, we have tried our level best to put
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In The Name Of Allah Subhanahu, the Most Gracious the Most Merciful…
precise, accurate and easily understandable matter in this report. For this purpose we have kept our mind open to the suggestions and guidance from our friends and seniors.
We hope that report would not only fulfill the requirements of my teachers but shall also be proved helpful for future readers.
Acknowledgement
All our praises for ALLAH THE ALMIGHTY, who bestowed potentially upon us to accomplish this present report successfully. With all our sincerity, we express. Our gratitude to the HOLY PROPHET (P.B.U.H) and his fellows, who are the source of enlighten guidance and wisdom for the humanity.
We have deep sense of gratitude to our honorable teacher Mr. Sajid Naqvi for his generous guidance for this report.
We would also like to appreciate the praise-worthy efforts and the assistance of some people who have kindly helped us out in the completion of this report. They definitely include our parents, teachers and friends.
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INTRODUCTION:-
Kohinoor Mills Limited Formerly known as Kohinoor Weaving Mills Limited. The Company's principal activities are to manufacture and market textiles, covering weaving, and knitting, bleaching, dyeing and stitching. It also deals in yarn, bed linen, home furnishing, socks, cloth and other goods and fabrics made from raw cotton and synthetic fiber. The Company's manufacturing plant is located in Kasur, Pakistan.
Company Name: Kohinoor Mills LimitedTicker: KML
Exchanges: KAR2008 Sales PKR: 6,130,600,000Major Industry: Apparel & Textiles
Sub Industry: Apparel FabricsCountry: PAKISTAN
Employees: 4300
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Kohinoor Mills Limited was incorporated as a Public limited Company on December 21st, 1987 and is located at 8th K.M., Manga Raiwind Road, District Kasur. The Company produces greige cloth from cotton, blended and synthetic yarns. The project was initially established with 48 Sulzer Ruti shuttle-less looms of 153" width from Switzerland with modern ancillary machinery to produce high quality fabric for export markets. Further expansions saw the installation of an additional 96 Tsudakoma air jet looms from Japan in 1990 and a third shed comprising 60 state of the art Picanol Omni 340 cm wide looms was installed in July 1998, twelve with batching motions. Another twelve Picanol Omni 340 cm wide looms were installed in 1999. In 2000-2001 old 48 Sulzer Ruti looms were replaced by 48 lated Picanol Omni Plus 380cm looms. In addition to that latest Picanol Omni Plus Jacquard Looms were also added as well as a yarn conditioning machine from Zorella was also installed. The entire manufacturing process from warping to fabric inspection is monitored through an on-line process control system from Barco. The marketing strategy is to explore new markets both in quota and non-quota countries.
Company Information:- Board of Directors:- Mr. Aamir Fayyaz Sheikh Mr. Asad Fayyaz Sheikh Mr. Ali Fayyaz Sheikh Mr. Rshid Ahmad Mr. Aamir Ameen Mr. Salman Akram Raja Syed Mohsin Raza Naqvi
Chief Financial Officer:- Syed Mohsin Raza Naqvi
Head of Internal Audit:- Mr. Zeeshan Khurram
Company Secretary:- Mr. Muhammad Rizwan Khan
Auditors:- M/s Riaz Ahmad & Company Chartered Accountants List of Key Persons:-
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KOHINOOR WEAVING KOHINOOR HOSIERYName :Aamir Fayyaz Sheikh - Chief Executive Officer Name :Asad Fayyaz Sheikh - Chief Executive OfficerPhone :92-42-5391941-45 Phone :92-42-5391941-45Fax :92-42-5391946 Fax :92-42-5393456e-mail :[email protected] e-mail :[email protected]
Name :Tahir Bashir Solehria - General Manager Name :Muhammad Shafiq - General ManagerPhone :92-42-5391941-45 Phone :92-42-5391941-45Cell :92-333-4998800 Cell :92-333-4998846Fax :92-42-5391946 Fax :92-42-5391946e-mail :[email protected] e-mail :[email protected]
Name :Sohail Chaudhry - Marketing Manager Name :Amer Faruqi - General Manager (Marketing)Phone :92-42-5391941-45 Phone :92-42-5391941-45Cell :92-333-4998887 Cell :92-332-8465051Fax :92-42-5391946 Fax :92-42-5391946e-mail :[email protected] e-mail :[email protected]
KOHINOOR APPAREL Name :Bushra Siddiq - Marketing ManagerName :Haroon Asaf - General Manager Phone :92-42-5391941-45Phone :92-42-5391941-45 Cell :92-334-4333211Cell :92-333-4998822 Fax :92-42-5391946Fax :92-42-5391946 e-mail :[email protected] e-mail :[email protected]
KOHINOOR DYEINGName :Shahan Nasir - Marketing Manager Name :Mohsin Naqvi - Managing DirectorPhone :92-42-5391941-45 Phone :92-42-5391941-45Cell :92-333-8447525 Fax :92-42-5391946Fax :92-42-5391946 e-mail :[email protected] e-mail :[email protected]
Name :Muhammad Aamir Alam Qureshi - Marketing Manager
KOHINOOR GENERTEK Phone :92-42-5391941-45Name :Sheharyar Bokhari - Dy. General Manager Cell :92-333-4998840Phone :92-42-5391941-45 Fax :92-42-5391946Cell :92-333-4998869 e-mail :[email protected] :92-42-5391948e-mail :[email protected]
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Main Functions of Kohinoor Mills Limited
Kohinoor Mills limited have five different section, details are as follows,
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Kohinoor Weaving:-
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Kohinoor Weaving is the flagship company of Kohinoor Mills Ltd. and is engaged in producing greige cloth from cotton, blended and synthetic yarns.
Machinery and Equipments:-
COMPANY
Date
Incorporated 21st December 1987
Production
Started 1st July 1990
Production
40 million m² Annually
Fabric
Flexibility to Produce Fabrics up to 143"
WEAVING SECTION
MAKE
CAPACITY
SPECIFICATION
NO. OF
MACHINES
Air Jet Looms
TyodaZA2051 209i R/S 190 CM
75"Air Jet Looms
72
TsudakomaZA2051 205i R/S 190 CM
110"12
ZA205i R/S 280 CM 110" 12
Weaving Looms
PicanolPicanol Omni Plus 380 CM
150"Picanol Weaving Machine Looms
48
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Jacquard Sets Jacquard
LX-3201 For Picanol Omni Plus Jacquard Sets for Picanol
Omni Plus
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LX-1600 For Picanol Omni Plus
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INSPECTION &
FOLDING
MAKE CAPACITY
SPECIFICATION
No. of
Machines
Cloth Rolling
HJ-RI3200 MM DIA 1000
MMAutomatic Cloth Rolling Machine 3
Cloth Inspection
Al-Hadeed Engineering
75" - 110" - 130"
Cloth Inspection Machines10
Nazer Industries75" - 150" - 86" - 110"
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WARPING
MAKE CAPACITY
SPECIFICATION
No. of
Machines Auto Coner Savio 60 Spindles Savio Automatic Cone Winder Machine 1
Warping
Benninger ZELL ZCR-1800
Warping Machines
1
ZB 24 TKD (Bentronice-3800)
Dia 1016 MM 2
Benninger 1
SIZING
MAKE CAPACITY
SPECIFICATION
No. of
Machines
SizingZB 24 TKD Dia 1016 MM
Sizing Machines1
TKD – TKD CT 4/4/4 UB 1
BARCO
MAKE CAPACITY
SPECIFICATION
No. of
Machines Connected
Warping
Barco, Belgium
Warping - Sizing -
Weaving - Inspection
Stocks - WIP - Spares -
Efficiency - Downtime - Production Planning
Barco Production Monitoring System (Computer Integrated
Manufacturing.
3
Sizing 2
Looms 256
Inspection Frames
25
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BEAM STACKER
MAKE
CAPACITY
SPECIFICATION
No. of
Machines
Genkinger ULD-4W
145,000 KGYarn Conditioning Machine (Net Weight = 40,000 KG - Load Per Rod 1,800 KG)
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LABORATORY
Uster Tensorapid
Uster 4SX with Hairiness Tester
Schroder Analog Elmendorf Tear Tester
Zweigle semi-automatic twist tester
Sartorious Moisture Analyzer
Zweigle N265 Fast Count System
Temperature control: 20 C +/- 2 Humidity: 65% +/- 2% through LUWA air-conditioning
Products:-
Kohinoor Weaving has the expertise to weave fabric ranging Thread Count from 150 to 850. Its product range mainly includes Plain (T-150 to T-300), Sateen (T-150 to T-850), Twill (T-150 to T-350), Dobby (T-150 to T-700), Jacquard (T-600 to T-700), Panama / Oxford (T-300 to T-500).
Compliance:-
ISO 9001 - 2000 Certified by Lloyds Register Quality Assurance UK
ISO 14001 Implementation Work in Progress
Kohinoor Apparel:-
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Kohinoor Apparel commenced its commercial production in March 2008 with production capacity of 1.8 Million pieces per annum.
With our vertical integration advantage of weaving and dyeing we deliver quality products to our customers. We have state of the art equipment with complete automation from design to product engineering and production. Our core strength is our experienced team trained by apparel consultants with hands on experience in garment manufacturing and operations. We specialize in woven bottom wear garments ranging from the very basic pants to high fashion slacks, shorts and cargos.
The focus is to create a seamless interface throughout the manufacturing process addressing delivery, cost and quality issues by providing the right product the first time, and at the right time.
Lead time follow up from order placement to delivery of goods to the customer is the focal point of the apparel division. With extensive investment into systems right from order taking and procurement through to production and delivery, efficient planning is being done to achieve better lead times to the satisfaction of the ever growing customer demand. The support from in-house fabric weaving and dyeing gives a new concept and satisfaction to the customer for attaining quality under the same roof a better production lead time making us able to deliver the full package.
Apparel Division places the highest emphasis on manufacturing its apparel products with consistent by incorporating efficient and flexible processes to ensure customer satisfaction. Total Quality management is achieved through effective control and continuous improvement of every process.
Machinery and Equipments:-
CUTTING
Gerber SpreaderManual Cutter
End CutterTape Cutter
Make Gerber Spreader (SY251) Manual Cutter (Eastman 629X)
End Cutter (Computerized)Tape CutterCapacity 2000 Meter/Hour
Type GERBER Technology Fabric Cutting M/C
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Specification
Straight knife cutting machine with automatic sharpener (10")
No. of Machines
1 3 3 1
STITCHING
ETON Unit Production System
Make ETON Unit Production System
Capacity 12000 ~ 15000 Sets/Day
Specification
Complete Eton Basic Production System
Stitching Machines
JUKI SROOBA BROTHER
Specification
Juki Single Needle Juki Double NeedleSrooba Single Needle
Brother Single NeedleBrother Double Needle
(DDL-5550N-7-WB/SV500/CP150)
(LH-3168SF) (Sarooba) (S-737-405)(Tn875 b 045)
(DDL-8300)(LH-3128SF) Fix Bar
- - -
(8500) - - - -
No. of Machines
95 + 20 + 10 27 + 2 28 52 9
Other Machines
BUTTON MACHINESZIG ZAG/SAFETY/PIN STITCH
FLAT LOCK/OVER LOCK/LOOP MACKING
WAIST BAND/WRINKLE/RIVET/TAGGING/STRIPPING
MOCK STITCH/FUSSING/AUTO WELTING ETC.
Specification
Button Machine (LK 1903 ASS)
Safety Machine Pegasus (EX3216-42P2/233-3x4)
Flat Lock Machine (W1562-013) Pegasus
Waist Band Kansai (1508)Mock Stitch Brother (BAS2361)
Button Machine TK 373
Safety Machine Zoje (ZJ 732-85)
Wrinkle Machine (Local)
Fussing Machine Haseema (HP450MS)
Safety Machine Zoje (ZJ 732-38A)
Over Lock King Tex
Rivet Stud (Local)
Pocket Crassing VBE MACE (001-V)
Button Hole Machine (LBH-1790)
Ziz Zag Machine Zig (LZ-2290A-SS-7) Loop Making
Kansai (2000)
Dennison Plastic Tagging Soked (SM9700)Auto Welling Machine Reace (7000)
Eye Let Button Hole Machine (RH 9820)
Pin Stitch Machine Pin (MP-200 N)
Stripping Machine Royal (SP-1)
No. of Machines
3 + 1 + 2 + 3 30 + 6 + 4 + 5 + 1 1 + 6 + 3 4 + 1 + 5 + 4 + 21 + 2 + 1 + 1
FINISHING
CLEANING/VACUUM TABLE
IRON TOPPER PRESS
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Specification
Spot Cleaning Najishing (NS 3301)
Iron Namto (ASL621)
Toper Press Macpi (319e-00321e-00)
Bobtail Press Silver Star (ES300)
Steam Press Dragon (ASK-7)
Vacuum Table Namto (FB-700)
Products:-
Kohinoor Apparel is producing a wide range of bottom wear products including Basic work ware, Chinos, Multi Pocket Trousers, Jeans, Shorts, etc.
Compliance:-
WRAP & SA 8000 Certified by World Wide Responsible Apparel Production
Kohinoor Hosiery:-
Kohinoor Hosiery is engaged in the production of high quality socks with a capacity of 9.6 million dozen per annum. Its core product is 108 needle sports/casual socks.
Kohinoor Hosiery is designed to cater high volume customers with short through put time. Driven by market trends and customer requirement it has developed a wide range of performance socks. It has a Product Tracking System coupled with Effective Management Information System catering with both customer and management requirements. Further to which customer can access its order and shipment status through Customer Service
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Portal. Strict Quality Assurance right from procurement till dispatch of goods enables Kohinoor Hosiery to stay up to customer satisfaction level.
Workforce: -
The Company enjoys the services of professionals in its various departments with a total workforce of 1900 individuals.
Turnover: -
It has a total annual sales turnover of US$ 32.16 Million.
Kohinoor Machinery and Equipment:-
KnittingMachine Type No. of Machines LONATI
108 Needle 4" Dia 252132 Needle 4" Dia 13884 Needle 5" Dia 24144 Needle 4" Dia 18
MATIC 108 Needle 4" Dia 48 Total 480ADDITIONAL CYLINDERS 108 Needle 4" Dia 132CAPACITY 800,000 Dozen per Month
Linking
Machine Type No. of
Machines Automatic Liner Linking Machine for Socks with Rosso Ultra turn 35 Conti Complett Linking Machine Digitronic 4 Rosso Truning Devices 40 Total 79CAPACITY
960,000 Dozen per Month * Fully Computerized Machines That Produce Neat Toe Finish
Bleaching & DyeingMachine Type No. of Machines
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Continuous Bleaching Tunnel Machine with Auto Dozing & Auto Dryers from Kannegiesser Germany
1
Rotary Dryers Pmt Italy 4 Rotary Dryers Poly Craft 1 Rotary Dyeing Machines Reb Impianti Italy 2 Poly Craft Bleaching Machines 12 Hydro Extractors 4 Poly Craft Washing Machines 4 Total 28CAPACITY Bleaching 23,000 KGS 900,000 Dozen Dyeing 5,000 KGS 210,000 Dozen
Boarding & Packing
Machine Type No. of
Machines
Automatic Boarding Machines Tecnopea Italy (Electric)
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Automatic Boarding Machines Tecnopea Italy (Electric / Steam)
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Manual Press Machines 14 Total 47CAPACITY Boarding 960,000 Dozen per month Packing 900,000 Dozen per month * Online Packing: Chain system at boarding for reduced handling time. * Offline Packing: Specialized in band/tag and assorted packing.
Kohinoor Products:-
Kohinoor Hosiery's product range comprises on Sports / Casual, Performance, Work wear and Medical Socks.
Compliance:-
Our Social Compliance Audit are conducted byo C.S.C.Co VF Corporationo JC Pennyo Targeto Kmart/Searso Wal-Marto Fruit of the Loom etc.
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Kohinoor Dyeing:-
Kohinoor Dyeing is specialized in bottom weight apparel Fabrics. It has its expertise in processing Apparel Fabrics in 100% Cotton, Poly cotton blends and Stretch articles of Twills, Drills, Canvases, BFC, Oxford, Herring Bones, Dobby and Jacquard designs.
Kohinoor Dyeing has state of the art Dyeing & Finishing plant producing, Dyed, White & PFGD Fabrics with a capacity of 3.0 Million meters per month. Equipped with most modern Dyeing & Finishing range it has its expertise in using Reactive, Disperse, VAT & Sulpher dyes for fabrics ranging 90 – 600 GSM with a working width of 1.80 Meters. Automated recipe storage and re-call system and automated chemical and dyestuff dosing system enables precision processing and best reproducibility. Through Strict process control and quality assurance, Kohinoor Dyeing is able to reduce shortfalls and B-Grade percentage, resulting in increased level of customer satisfaction.
Kohinoor Dyeing is renowned throughout the world for its remarkable Finishes and Nice hand-feels. Special Finishes like Teflon’s, soil release, stain repellant, water repellant, fire retardant, Nanotex, anti-microbial, lubricant, Pre-cure are produced on regular basis. Kohinoor dyeing is using all the Okotex certified dyes and chemicals for all of its products. Kohinoor Dyeing is also processing Organic cotton fabrics to meet the changing need of its customers.
Kohinoor Dyeing has a diversified customer base spread over different continents. It has long-term professional relationship with most of the High Street Labels and famous chain stores:
U.S.A: Banana Republic, GAP, LEVI’S, Target, Tommy, VF, PVH, Ann Taylor, Liz Claiborne, Hagger, Arrow, Wal-Mart, K-Mart, White Stag, etc.,
Europe: Next, Mango, Zara, Brushka, C&A, British Home Store, Hema, Carrefour, Rose By, French Connection, Harveys, Argos, Farah UK, Tema, Amadues Jeans, and many more.
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Australia: Yakka, King Gee, Charles Parsons, Farah.
South Africa: Wools Worth
Machinery and Equipments:-
PLANT DETAILS
Capacity 3 million meters per month Fabric weight Range 100gsm – 500gsm Fabric cotton/poly cotton/Lycra Blends
PRE-TREATMENT SINGING & DESIZING
TWO STAGE BLEACHING
ONE STAGE BLEACHING
MERCERIZING Make Capacity 1.8 METER 1.8 METER 1.8 METER 1.8 METER
Type Singing & Desizing Machine
Two Stage Continuous Bleaching Range
One Stage Bleaching Range
Mercerizing Range
Year of Manufacture
2001 2001 2006 2001
Manufacturer OSTHOFF & BRUGMAN [HOLLAND]
BRUGMAN [HOLLAND]
JIANGSU SAGA [CHINA]
BRUGMAN [HOLLAND]
No. of Machines 1 1 1 1
DYEING PAD THERMOSOL
PAD STEAM PAD STEAM PAD BATCH Make Capacity 1.8 METER 1.8 METER 1.8 METER 1.8 METER
Type PAD THERMOSOL
PAD STEAM PAD STEAM PAD BATCH
Year of Manufacture
2001 2001 2004 2001
Manufacturer MONFORTS [GERMANY]
BRUGMAN [HOLLAND]
BENNINGER [GERMANY]
BRUGMAN [HOLLAND]
No. of Machines 2 1 1 1
FINISHING
STENTERS SANFORIZINGCURING EMERIZING EMERIZING Make Capacity 1.8 METER 1.8 METER 1.8 METER 1.8 METER 1.8 METER
Type STENTERSSANFORIZING RANGE
CURING RANGE
EMERIZING MACHINE
EMERIZING MACHINE
Year of Manufacture
2001 2001 2001 20012003 - 2004 -2005 - 2006
Manufacturer MONFORTS [GERMANY]
MONFORTS [GERMANY]
MONFORTS [GERMANY]
SUCKER MULLER [GERMANY]
LAFER [ITALY]
No. of Machines 2 1 1 1 1 + 1 + 1 + 1
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LABORATORY
Make Model APPROVED STANDARDS Machines
Crock Meter Atlas Chicago CM-5
AATCC 08AATCC 165BS 1006 D02ISO 105 X 12ISO 105 D02
Random Tumble Pilling Tester
Atlas Chicago PT-2 ASTM 3512
Universal Wear Tester
Atlas Chicago PT-2
ASTMD 3885-3886,AATCC 119, ASTM D 3514 (Frosting flat Abrasion Screen wire),AATCC 120
Weather-O-meter Atlas Chicago Ci 3000+
AATCC 16 EAATCC 169(s)ISO 105 B-06ISO 105 B-02ISO 105 B-04ISO 11341G 26(A)G 26(C)ISO 4892-02
Crease Recovery Angle Tester
James H. Heal England AATCC 66BS EN 22313ISO 2313, M&S P22
Wrinkle Recovery Tester
James H. Heal England AATCC 128ISO 9867, M&S P123
Tear Tester Thwing Albert’s USA Pro Tear ASTMD 1424
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Tensile Strength Tester
Thwing Albert’s USA EJA-1000
ASTM 5034ASTM 5035ASTM D5733 ASTM D751ASTM 2594ASTM D3107MTL S1005 – 1995BS4162BS25776ISO 9073-3BHS1ISO 5081ISO 5082ASTM 1683ASTM D4034BHS 4aBHS4bBS 3320ISO 13963-1ISO 13963-2ASTM D2261BHS 16BS 4303BS ISO 9073-4BS 2062ASTM D1335A
Nu. Martindale Abrasion & Pilling Tester
James H. Heal England 406
ASTM 4970ASTM 4966BS 3424BS 5690M&S P19/P1913
Delta Moist with Roller Probe
James H. Heal England 345
Launder O meter ATLAS LEF
AATCC 61AATCC 86AATCC 132AATCC 151ISO 105 C01-C06,M&S C4,M&S C10A
Wascator James H. HealEngland
FOM 71MP. Lab 316
AATCC 135BS EN 26330ISO 6330BS4923M&S P1A
Quick Wash Plus Raitech Partner of ATLAS AATCC 1870-2000 Whirlpool Washing James H. Heal AATCC 135
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Machine England
AATCC 88BAATCC 88C AATCC 124AATCC 130AATCC 142
Prespirometer ATLAS
AATCC 15AATCC 107AATCC 106BS 1006ISO 105 E01ISO 105 E03ISO 105 X 10
Tumble Dryer Whirl Pool, James H. HealEngland
AATCC135AATCC88BAATCC124AATCC88CAATCC130AATCC142AATCC143AATCC150AATCC179
Steam Press James H. Heal England Fast
Light Box veri vide,Macbeth
CAC-150(1), CAC-60(4),Spectra light III(1)
Assessment cabinets for color matching.
Incubator 1 Large1 Small
James H. Heal England
Contact Heat James H. Heal England AATCC 117 Padder Roaches England EVP 350 Pad Steam Roaches England For color matching / Lab dips Pad-dry-Thermosol Roaches England For color matching / Lab dips
Color Matching Software
Data Color
DCI Match Standard Level, Color Tools – QC Software For Textile
Spectrometer Data ColorSF600 plus CT
Products:-Kohinoor Dyeing product range comprises of dyed Cotton, Poly Cotton, Lycra, Poplin, Canvas, Twill, Sateen and Dobby Fabric.
Kohinoor Genertek:-
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Kohinoor Genertek is a power generation plant, engaged in power generation and distribution since 1995. Its has the generation capacity of 29.28 MW and comprises of the following types of Generation equipment.
A Turbo mach 31.23 MW Gas Turbine with a waste heat recovery boiler, producing 14 Tons of steam/hour, which is used in textile production such as Processing, Dying and Weaving. Its also planned to recover the heat from hot water circuit and generate 800 R/T of chilled water for Textile and Office use.
Three Caterpillar G3520C Gas Generators with a capacity of 1.95MW each. A duplex Waste Heat Recovery Boiler is also fitted with these engines, producing 3 Tons of steam per hour. A third Gas Genset will be added in near future to enhance the generation capacity of the Power Plant.
Three Dual Fuel, furnace oil plus Gas, fired Niigata 18V32 engines with a combined capacity of 17.88MW. These Niigata engines are also fitted with Waste Heat Recovery Boilers to add 4 tons of steam per hour into the steam circuit.
Workforce: -
The company enjoys the services of professionals in its various departments with a total workforce of 65 individuals.
Turnover: -
It has a total turnover of US$ 10 million.
Machinery and Equipment:-
PLANT DETAILS
Details Characteristics
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Capacity 5.96 * 3 + 7.5 + 1.95 * 2 = 29.28 MW
Generation Voltage 11000V
No. of Units 6 Frequency 50 Hz Type of Facility
Thermal Generation Power factor 0.8 Lagging
Type of Technology
Diesel Electric Automatic Generation control Provided
Production Year
1996 Ramping Rate 1.0% / Second
Fuel Type Furnace Oil - Diesel - Natural Gas
Alternative fuel Light Diesel Oil
Auxiliary Consumption 4251330 KWh During 2005
POWER PLANT
Model Manufacturer SpecificationCommissioning Year
CapacityNo. of Gen Sets
Fuel Type
Niigata Engines
18 V 32 CLX
Niigata Engineering co. Ltd
4 Cycle, Compression Ignition Water Cooled, Turbo charger type with charger Air Cooler, Rated Output is 8250 PS for 5860 K w/h generated at 45Ċ or less Ambient Temperature
1995 - 1996
5.96 MW Each 8250 PS for 5860 K w/h generated at 45Ċ orless Ambient Temperature
3HSD - HFO - GAS
Gas Turbine
Turbo mach TBM-T70
Turbo mach
LEROY SOMER GENERATOR-typeLSA 56BMBL 13-4P, 7.5 MW, Φ0.8, 9000KVA,RPM 1500, AMB TEMP 40Ċ
2005 7.50 MW 1GAS - HSD
Caterpillars Gas Engines
CAT G3520-C
Caterpillar
Cylinder And Arrangement 60 Degree V 20, Bore 170 mm (6.7 inch), Stroke 190 mm (7.5 inch), Total Displacement 86.2 L (5262
2006 1.95 MW 2GAS - HSD
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in3), Compression Ratio 11.3:1, Aspiration TA with SCAC (1), Rotation (Fly wheel end) Counter Clock wise, Firing Order 1-2-11-12-3-4-15-16-7-8-19-20-9-10-17-18-5-6-13-14
FUEL & LUBRICANTS
Fuels Lubricants
Fuel Type HFO - HSD - Natural Gas
Preslia 46 (imported) NGEO-350Aurelia XL 4040Grealed Oil 320Lube Oil TLX 404Corena AS 46Mobile Parus SHC 1026
PURIFIERS
Lube Oil Purifiers HFO Purifiers
Make Alfa Laval MOPX 207 Type Alfa Laval MFPX 307 Type
Specification Centrifugal type with electric heater, Automatic Operation for Sluge Discharge
Centrifugal type with electric heater, Automatic Operation for Sluge Discharge
Capacity 1800 Liter/Hour2700 Liter/ H for 380 CST at 50Ċ class Fuel
No. of Purifiers
3 4
Products: - Kohinoor Genertek is producing un-interrupted Electricity and quality Steam for Kohinoor Mills.
Export Business Countries and Leading International Brands: -
Kohinoor Mills Limited has a diversified customer base spread over different continents. It has long-term professional relationship with most of the High Street Labels and famous chain stores. Details are as follows,
United States of America:
Brands:
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Banana Republic
LEVI’S
Tommy
Wall Mart
K-Mart
Hagger
White Stag
Europe:
Brands:
Next
Mango
Zara
C&A
British Home Store
Rose By
French Connection
Hervey’s
Farah UK
Amadeus Jeans
Australia:
Brands:-
Yakka
King Gee
Charles Parsons
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Farah
South Africa:-
Brands:-
Wools Worth
Documents Used by the Organization for Export:-
1- Packing List2- Commercial Invoice3- Certificate of Origin4- Certificate of Inspection5- Bill of Lading
i- Shipping Documentsii- Airway Bill
6- E-Form7- Bill of Exchange
Purpose of Documents Used by Organization for Exports:-
Packing List: - Packing list is detail of goods packed according to complete specification of product.
Commercial Invoice: - Issued by the exporter for the full realizable amount of goods as per trade term.
Certificate of Origin: - It is required to certify on the invoice that the goods are of a particular origin or manufactured/ packed at a particular place and in accordance with specific contract.
Packing List: - It shows the details of goods contained in each parcel / shipment.
Certificate of Inspection: – This document describes the condition of goods and confirming that their quality & quantity is according to order.
Bill of Lading: - Bill of Lading is of different types but Kohinoor mills mainly using two types of transportation sources i-e Sea and air cargo.
Shipping Documents: - when company sends through sea then use shipping documents.
Airway Bill- when company use air cargo then airway bill of consignment.
E-Form: -E-form issued by bank. It is the requirement of state bank of Pakistan to fill E-form and submit to state bank for record and any subsidy.
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Bill of Exchange: - An unconditional order issued by Kohinoor Mills which directs the recipient to pay a fixed sum of money of their consignment to their bank at future date. The future date may be either fixed or negotiable.
Certificate of Shipment: - It signifies that a certain lot of goods have been shipped.
Shipping Order: - Issued by the Shipping (Conference) Line which intimates the exporter about the reservation of space of shipment of cargo through the specific vessel from a specified port and on a specified date.
Cart/ Lorry Ticket: - It is prepared for admittance of the cargo through the port gate and includes the shipper's name, cart/ lorry No., marks on packages, quantity, etc.
Shut out Advice: - It is a statement of packages which are shut out by a ship and is prepared by the concerned shed and is sent to the exporter.
What is Letter of Credit?
A Letter of Credit is a binding document that a buyer can request from his bank in order to guarantee that the payment for goods will be transferred to the seller. Basically, a letter of credit gives the seller reassurance that he will receive the payment for the goods. In order for the payment to occur, the seller has to present the bank with the necessary shipping documents confirming the shipment of goods within a given time frame. It is often used in international trade to eliminate risks such as unfamiliarity with the foreign country, customs, or political instability.
Types of Letter of Credit Used by Company:-
Kohinoor mills limited only accepts the Confirmed LC, LC at Sight
Role of Bank:-
Banks have played a tremendous role in promoting exports from Pakistan. They have been financing export bills. They have given credit for boosting in the past. They have provided guidance to exporters. They have encouraged potential exporters to identify areas and countries for exports. They have implemented the directives of the government of Pakistan by giving subsidized credit to exports
Banks provide an important role in exports,
1- Bank issued export form to the organization.2- Bank perform medium of correspondent between organizations for collection of Funds3- Banks provide its services of negotiating, collection of funds on behalf of organization.4- Banks provide Finance Facilities for exports
i- FAPC-1ii- FAPC-IIiii- FBP
i- FAPC-1:-
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Banks provide loans to the exporting firms are called Finance against packing Credit. This facility based on the funds required to complete particular export order.
ii- FAPC-II:-
This facility is a subsidized finance facility provided by the state bank of Pakistan to exporting firms through commercial banks. If a firm has annual exports more than $300 million. A running finance facility of 50% of total sales of company allocated 9% from which 7.5 % is financial charges of state bank and 1.5% is service charges of commercial bank.
iii- FBP:-
Banks also provide Foreign bill purchase finance facility to export oriented units. In this facility banks provide loans to cover the gap between Shipping products and receipt of payment.
Custom Procedure for Exports:- Exports play a vital role in the development of any economy. One of
the initiatives taken by the Government of Pakistan to enhance & boost exports is to provide various export incentives as well as streamlining export processes. Among other steps taken by Government, the simplification of the export clearance procedure is considered to be a vital step in the facilitation of the exporter. The following procedure has been explained in terms of various stages of inspection, clearance and documentation required.
The Role of Clearing Agents in Export of Products:- Once the consignment to be exported arrives at
the port, usually a clearing agent’s services are sought so as to facilitate the procedure of clearing the consignments. The documents to be provided by an exporter to the clearing agent are as follows:
a) Packing listb) Invoicec) Form ‘E’ 1(State Bank form)d) Letter of Credit or Contracte) Certificate of Origin
Provided the above mentioned documents are complete, the clearing agent prepares the shipping bill and files the documents with Custom department. A “machine number” is allotted to the Shipping Bill, and the case is forwarded to the Port Gate. The consignment is allowed to enter the port vicinity, and is registered at the gate according to the allotted number. The Deputy Superintendent (D.S.) marks the consignment for examination to the inspector of the examination hall. Once the inspector has examined the consignment, the case is marked to the D.S. for approval. 2% Export Development. Surcharge (EDS) of the invoice value shall be deducted through receiving banks upon remittance of export proceeds against the Export Development Fund (EDF). However, EDS has been waived off for small exporters and those who exceeded their exports more than 10%. Provided the D.S. approves the case, it is forwarded to the Superintendent with the examination report for final approval. The case if approved by the Superintendent is marked to the D.S. for “Out of Charge”. The container is given a final physical check and is sealed by the bonded carriers or the port customs authority. The loading programme is obtained from the shipping firm/cargo carrier for the country to which the consignment is being exported. Loading programme lists the schedule of various ships leaving port for the export destination along with the availability and 1 4 copies of Form E are issued by the intermediary, one copy is handed to the exporter and one copy is retained by the bank. The remaining two copies are required to be sent to the State Bank of Pakistan and
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the Customs department respectively.
Methods of Receiving Payments:-
1- Advance Payments2- Letter of Credit Company can receive its payments depends in which currency company maintaining its account in
Bank. If company is maintain its account in US $, dollars will be credited in account upon realization of payment. If company is maintaining its account in PKR then bank will change the US $ into PKR on that day exchange rate and PKR will be credited in the account.
Role of Chamber of Commerce:-
The Chamber's basic function is to protect and promote the interest of trade commerce and industry. It strives hard to espouse the cause of private enterprise and to redouble its contribution in the socio-economic development to the country. Chamber of commerce played following important roles for export oriented units,
To issue Measurement Certificates as well as Certificates of Origin for the export cargoes and attestation of commercial documents.
The Foreign Exchange is issued on Chamber's recommendations.
It organizes Pakistan's Pavilions in the international fairs abroad to promote export.
It also organizes Seminars, Training courses, Conferences on various opportunities available for Pakistani exporters to promote exports.
It invites Minister's and Government functionaries to the Chamber to identify the problems being faced by trade and industry.
A number of foreign trade delegations, dignitaries and diplomats visit the Chamber and exchange views on matters of mutual interest.
It publishes Trade Directories, Statistical Data and other publications for the benefit of the export business community.
Chamber of Commerce and Industry urged the government to provide Research and Development (R&D) support to all export-oriented industrial sectors.
Chamber of Commerce provides Export Development Fund (EDF) relating to promotion of exports in various sectors.
Exporters could obtain qualified export counseling and make a master international marketing plan before exporting business.
Trade Missions in foreign countries are not equipped with proper information and material about Pakistani exportable products and chamber of commerce stressed that they should develop brochures and information material and provides it to our Foreign Missions abroad for better marketing of Pakistani products.
Chamber of Commerce with TDAP conducts exhibitions in foreign countries so that exports could be increased by providing first hand knowledge and experience to buyers.
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Chamber of Commerce with the help of Ministry of Finance and technology building a comprehensive profile of countries containing e- commerce legal and regulatory data. It should follow-up consultations with department of Commerce's staff of global experts.
Chamber of Commerce working to highlight the importance of Electronic commerce in boosting exports. Pakistan can improve its conditions by using E-commerce. Internet could play a dramatic role in boosting exports. All types of companies have the excess to internet through which they can increase trade internationally. The Internet is a power full tool revolutionizing all aspects of business. However, few firms are using the internet effectively to generate or support international orders because they are familiar with export requirements. Even developed country like America is the global scope of electronic commerce and build support for a private-sector led approach the e-commerce policy, both nationally and internationally.
Findings:-
Political environment susceptible law and order situation of the country, sharp rise in interest rate, on going recession in U.S economy and its repercussions on the rest of the world economy massive sui gas and electricity load shedding coupled with increased cost of doing business in Pakistan, shifting of textile industry to Bangladesh and India exerted pressure on the overall performance of the company. Further, sharp devaluation in the Pakistani currency, company may incur a heavy exchange loss being only an export oriented unit.
As the major exports of the company to the U.S and England, the purchasing power of their people has been reduced significantly resulting they reduce in the international model. And company is not utilizing economic capacity of their plant which may effect on the financial performance of the company.
Weaving division of the company is not fulfilling the demand of yarn of other divisions which could result the delay in completion of orders and increase the overall cost. It can also be harmful for the quality of final product.
Despite the intense competition and rapidly changing market conditions the dyeing division show good progress, gained momentum in the capacity utilization of dyeing division.
With the diversification of customer base, addition of new marketing channels and entry in European market by establishing hosiery division firm has reasonably increased its exports.
The firm newly established apparel division started its stitching operations of institutional work wear, bottom wear apparels and casual trousers in line with vertical integration of company. Currently this division has not working at full capacity; however this new addition of apparel division will definitely generate more revenues in long run.
The company has their on Genertek division which is mainly operating on sui gas but during the load shedding of sui gas they are using HFO- Fired back-Up NIIGATA Engines to generate electricity which is a source of heavy cost for the firm.
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Suggestions:-
o The company should develop a detailed strategy to overcome the grim economic conditions. addition of new narrow width looms in weaving division and backward integration, meeting in house demand of weaving production in dye house will not only bring synergy in inspection and packing cost, but will also bring in saving in respect of commission, taxation and transportation cost.
o Company should find more new marketing channels to increase the sales of apparel division to use the economic capacity of apparel division.
o The firm should make arrangements of electricity from LESCO in case of gas load shedding to reduce the cost of their Genertek division.
o China has closed their textile industry, which was a largest exporter of textile products. The company should focus to receive the orders of China from international buyers.
Reference:-
www.kml.com
SMEDA
Karachi Chamber of Commerce
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