project report on welspun textile LALIT MORYANI ,POSWAL JITENDRA

A
Project rePort on industriAl visit
At
WelsPun textile ltd.

SUBMITTED BY:- GUIDED BY:-
Miss Dipty Humbal
Name:-LALIT J. MORYANI.
Year:-F.Y B.B.A
Roll no:- 10 BBA 20

SUBMITTED TO:-

DNV INTERNATIONAL EDUCATION ACEDAMY,

KRANTIGURU SHYAMJI KRISHNA VERMA KACHCHH

UNIVERSITY, BHUJ

Academic year (2010-2011)

WelsPun indiA liMited

certiFicAte
THIS IS TO CERTIFY THAT
Mr./Miss…………………………………………………………………
Of …………………………Class, Roll No,…......................................
Exam No,…………………………………………….has satisfactorily
Completed his/her term work
In……………………………………………………………………for
The term ending in……………………………………… 2010 -2011
Date :-………………..

Signature

PreFAce

DNV INTERNATIONAL EDUCATION ACADEMY Page 2


This report is on the industrial visit conducted at Welspun
India Ltd. (Textile). By the collage as it is included in the syllabus of
F.Y B.B.A.

This is to fulfill the purpose of feeding the practical knowledge
to the students. By this report students could know that how any
industry works in practice in day-to-day routine.

We the students are very much thankful to the concerned
faculty Ms. Dipty Humbal for her kind effort to make out the proper
arrangement for industrial visit and preparation of this report.

AcKnoWledMent

I would like to say heartly thanks to Ms. Dipty Humbal.



Who always gave valuable suggestions and guidance for completion of
our project. She helped my to understand and remind important details
of the project that we I would have completed.

I also special thanks to my friends, Rajendra, Jitendra, Mahesh.

index


SR.NO. PARTICULARS PAGE NO.
Industrial profile
WelsPun indiA liMited 7
Company profile 11
1. General Information 14
1.1 Reasons for selection of location 16
1.2 Mission Statement, Vision of Company 16
1.3 Establishment Year, Market Share 18
1.4 Product Profile 19
2. Manufacturing/ Production/ Processing Department 23
2.1 No. of Employees in This Department 24
2.2 Production Process 24
2.3 Use of Technology or Machinery 36
2.4 Quality Control during Production Process 37
2.5 Raw Materials 38
2.6 Measures taken for Pollution Control 38
3. Purchasing And Store Department 39
3.1 Selection of Raw Material Suppliers 40
3.2 Storage of Raw Materials 40
3.3 Steps Taken for Safety of Raw Materials 40
4. Personal Department 41
4.1 Recruitment and selection 42
4.2 Sources of recruitment 42
4.3 Training welfare and motivation 43
4.4 Management level 45
4.5 Working hours 45
4.6 Attendance and identity card 46
5. Marketing Department 47
5.1 Umbrella of Products, Brand Name & Positioning 48
5.2 Segmentation and Targeting 48
5.3 Market Research 49
5.4 Marketing Strategy 50
6. Finance Department 51
6.1 Cash flow 52
6.2 Profit and loss A/C 53
6.3 Balance sheet 55
8. S.W.O.T ANALYSIS 58


industriAl ProFile
India Textile Industry

India Textile Industry is one of the leading textile industries in the world. Though was
predominantly unorganized industry even a few years back, but the scenario started changing after
the economic liberalization of Indian economy in 1991. The opening up of economy gave the
much-needed thrust to the Indian textile industry, which has now successfully become one of the
largest in the world.

India textile industry largely depends upon the textile manufacturing and export. It also plays a
major role in the economy of the country. India earns about 27% of its total foreign exchange
through textile exports. Further, the textile industry of India also contributes nearly 14% of the
total industrial production of the country. It also contributes around 3% to the GDP of the
country. India textile industry is also the largest in the country in terms of employment
generation. It not only generates jobs in its own industry, but also opens up scopes for the other
ancillary sectors. India textile industry currently generates employment to more than 35 million
people. It is also estimated that, the industry will generate 12 million new jobs by the year 2010.

vArious cAtegories



Indian textile industry can be divided into several segments, some of which can be listed as
below:

• Cotton Textiles
• Silk Textiles
• Woolen Textiles
• Readymade Garments
• Hand-crafted Textiles
• Jute and Coir

India textile industry is one of the leading in the world. Currently it is estimated to be around US$
52 billion and is also projected to be around US$ 115 billion by the year 2012. The current
domestic market of textile in India is expected to be increased to US$ 60 billion by 2012 from the
current US$ 34.6 billion. The textile export of the country was around US$ 19.14 billion in
2006-07, which saw a stiff rise to reach US$ 22.13 in 2007-08. The share of exports is also
expected to increase from 4% to 7% within 2012. Following are area, production and productivity
of cotton in India during the last six decades:

Year Area in lakh hectares Production in lakh bales of 170 kegs Yield kegs per hectare

2000-01 85.76 140.00 278

2001-02 87.30 158.00 308

2002-03 76.67 136.00 302

2003-04 76.30 179.00 399

2004-05 87.86 243.00 470

2005-06 86.77 244.00 478

2006-07 91.44 280.00 521

2007-08 94.39 315.00 567



2008-09 93.73 290.00 526

Though during the year 2008-09, the industry had to face adverse agro-climatic conditions, it
succeeded in producing 290 lakh bales of cotton comparing to 315 lakh bales last year, yet
managed to retain its position as world's second highest cotton producer.

textiles

 lAst uPdAted: noveMber 2010.

The Indian textile industry contributes about 14 per cent to industrial production, 4 per cent to the
country's gross domestic product (GDP) and 17 per cent to the country’s export earnings,
according to the Annual Report 2009-10 of the Ministry of Textiles.

The industry provides direct employment to over 35 million people and is the second largest
provider of employment after agriculture.

According to the Ministry of Textiles, the total cloth production increased by 10.2 per cent during
September 2010 as compared to September 2009. The highest growth was observed in the
powerloom sector (13.2 per cent), followed by hosiery sector (9.1 per cent). The total cloth
production during April-September 2010 has increased by 2.1 per cent compared to the same
period of the previous year.

As per the latest data released by the Directorate General of Commercial Intelligence and
Statistics (DGCI&S), Kolkata, the total textile exports during April-July 2010 (provisional) were
valued at US$ 7.58 billion as against US$ 7.21 billion during the corresponding period of the
previous year, registering an increase of 5.20 per cent in rupee terms. The share of textile exports
in total exports was 11.04 per cent during April-July 2010, according to the Ministry of Textiles.



As per the Index of Industrial Production (IIP) data released by the Central Statistical
Organization (CSO), cotton textiles has registered a growth of 8.2 per cent during April-
September 2010-11, while wool, silk and man-made fibre textiles have registered a growth of 2.2
per cent while textile products including wearing apparel have registered a growth of 3 per cent.

As per a Ministry of Textiles press release dated November 2, 2010, India has the potential to
increase its textile and apparel share in the world trade from the current level of 4.5 per cent to 8
per cent and reach US$ 80 billion by 2020.

technicAl textile segMent.

According to the Ministry of Textiles, technical textiles are an important part of the textile
industry. The Working Group for the Eleventh Five Year Plan has estimated the market size of
technical textiles to increase from US$ 5.29 billion in 2006-07 to US$ 10.6 billion in 2011-12,
without any regulatory framework and to US$ 15.16 billion with regulatory framework. The
Scheme for Growth and Development of Technical Textiles aims to promote indigenous
manufacture of technical textile to leverage global opportunities and cater to the domestic
demand.

Further, the government is set to launch US$ 44.21 million mission for promotion of technical
textiles, while the Finance Ministry has cleared setting up of four new research centers for the
industry, which include products like mosquito and fishing nets, shoe laces and medical gloves.

As per a joint study of the Ministry of Textiles and an industry body, the global technical industry
is estimated at US$ 127 billion and its size in India is pegged at US$ 11 billion.

governMent initiAtive.

According to the Ministry of Textiles, investment under the Technology Upgradation Fund
Schemes (TUFS) has been increasing steadily. During the year 2009-10, 1896 applications have
been sanctioned at a project cost of US$ 5.23 billion. The cumulative progress as on December
31, 2009, includes 27,477 applications sanctioned, which has triggered investment of US$ 45.5
billion and amount sanctioned under TUFS is US$ 18.9 billion of which US$ 16.4 billion has
been disbursed so far till the end of April, 2010. The Ministry of Textile has sanctioned a total of
US$ 133 million under TUFS during September 2010.

Moreover, in May 2010, the Ministry of Textiles informed a parliamentary panel that
it proposes to allocate US$ 785.2 million for the modernization of the textile industry.

World textile MArKet

Currently, the global textile and apparel trade is estimated to be over US$ 450 billion3.The global
market for textile trade includes yarns, fabrics, apparel and non-apparel finished products. Wels



pun estimates that the global home textiles market is around US$ 22- 27 billion, accounting for
5-6% of the total global textile market. The home textiles market includes:

1. Household textiles: Rugs, bed linen, table linen, bathroom and kitchen linen, etc.

2. Furnishing textiles: Curtains, bedspreads and other furnishing articles for home interiors, etc.

Post the expiry of the Agreement on Textiles and Clothing in 2005, India's share of textile
imports into the EU and the US has significantly increased. India is among the top3 leading
suppliers of bed and bath linen in the EU4. India along with China and Pakistan is amongst the
top 3 suppliers of textile globally.

coMPAny ProFile
Wels pun India, the flagship company of Wels pun group was incorporated in the
year 1985. Wels pun India Ltd is the largest producer of Terry Towel in Asia and one of the 10
leading in the world, possessing a state-of-the-art, fully integrated terry towel unit at Vapi,
Gujarat. The Company's Plant with state-of-the-art technology, has got ISO 9002 accreditation.
Being an environment friendly manufacturing process company, it has been awarded the
OKOTEX certification. The Company transferred the Spinning division with its assets and
liabilities to Wels pun Cotton Yarn Ltd. WIL continues to manufacture terry towels, but the yarn
spinning is carried out by the new company - Wels pun Cotton Yarn Ltd (WCYL). The demerger
involved equity swapping in the ratio of 7:3. For every 10 shares of WIL, shareholders were
issued seven shares of WIL and three shares of WCYL.

In order to give impetus to the market share, the Company has embarked upon direct
marketing. The Company has set up a wholly owned subsidiary in the name of Wels pun USA
Inc. in New York to focus on the US markets. It has started using Egyptian Cotton Yarn &
American Pima Cotton in the manufacture of premium quality towels and above same was
registered trademark user of 'Egyptian Cotton' & 'Supima'. The company has started direct



marketing by way of 100% subsidiary in USA and has made grounds for tie-ups with the best in
the market for floating the products in the market. The company chalked out a expansion plan by
setting up a 20 looms at an capital outlay of Rs. 35 corers which is under implementation and out
of which 11 looms have been installed and production has commenced. With this expansion the
capacity has been enhanced to 10800 MTPA.

The company has amalgamate Glofame Cotspin Industries Ltd with itself during May 2005. According
to the scheme of amalgamation, Wels pun India will issue 10 Equity Shares of Rs. 10/- each for every 33
Equity Shares of Rs. 10/- each held by the shareholders of Glofame Cotspin Industries Ltd. The Scheme
became effective from 1st April 2004. During 2004-05 the company has set up a new plant at Anjar,
Gujarat at an investment of Rs.5.75 Billion. This plant was set up for the new product category bed linens
with a capacity of 35 million meters per annum. Further the company also undertook a capital
expenditure for construction of a commercial building and installation of processing equipments and
Diesel Generator Sets at Vapi at a cost of Rs. 6002.8 million. The company has also commenced its
commercial production of Toweling facility in March 2005, the spinning facility commenced its
commercial production in June 2005. The bed sheeting facility has commissioned and scheduled to
commence its commercial production at full capacity by September 2005. The company has increased
the installed capacity of Cotton Terry Towels by 12000 MTPA during 2004-05 and with this expansion the
total installed capacity of Cotton Terry Towels has increased to 23500 MTPA.

WhAt is WelsPun..?

Welspun is a public company. Which provided the yarn and iron pipes business.
Welspun India Ltd. (WIL) started its activities in 1985 as Welspun Winilon Silk Mills Pvt. Ltd, a
synthetic yarn business which went on to become Welspun Polyesters (India) Ltd. and finally,
Welspun India Limited emerged in the year 1995.

Today, WIL is Asia's largest and the 2nd largest Terry Towel producers in the World.
Welspun’s facilities are located in India (Anjar and Vapi at Gujarat), Mexico, Portugal and in UK.
The Company recently demerged its Sales & Marketing and Investment divisions to two separate
Companies - Welspun Global Brands Ltd. and Welspun Investments Ltd respectively.



WIL is Asia 's largest and amongst the top 2 Terry Towel producers in the World.
Business is spread across continents and a distribution network in 32 countries, like U.S.A. , U.K,
Canada , Australia , Italy , Sweden and France . 94% of the total products are exported.

Offers a variety of Products like Towels in different sizes and qualities, Bed linen using
state of the art technology and the best quality of Egyptian cotton, Bath Rugs and Bath Robes.
Launched organic products utilizing the benefits of Soya, Seaweed, milk and Bamboo.

Today Welspun City houses a state-of-the-art Line Pipe mill which is capable of producing Spiral
Arc Welded (SAW) Pipes – both Helical and Longitudinal pipes of the finest grades and
international standards. This is in addition to the ERW pipes which it manufactures.



The one-of-its-kind Textile Mill produces Terry Towels and Bed linen of the finest and
the best quality in the World. These products are mostly exported to the top retailers of the Globe
which includes most of the Fortune 100 Companies like Wal Mart, Target and J.C. Penny
amongst others.
Wels pun City takes pride in housing one of the only three Plate-cum-coil mills of its kind
in the World. This mill with a capacity of producing plates up to 4.5 meters width and Coil up to
2.8 meters wide is all set to improve Wels pun operational capabilities.



generAl
inForMAtion

coMPAny inForMAtion

Name :- WELSPUN TEXTILE INDIA LTD.

Address :- Welspun City, Taluka Anjar,
Kutch,
Gujarat -370110

Tel: 02836-661111 Fax: 02836-279010
Email: CompanySecretary_WIL@welspun.com
Website: http://www.welspuntowels com.

Chairman :- B.K. Goenka, (Chairman and Managing Director)

Board of directors : - B.K. Goenka, R.R. Mandawewala, Mr. Murarilal Mittal,



Mr. Atul Desai, Mr. Raj Kumar Jain, Mr. M.K. Tandon
Auditors :- Price Waterhouse & Co-Company, Pannalal Silk

Mills Compound

Bankers :- Bank of Baroda, State Bank of Bikaner & Jaipur

Company secretary : - Mr. Sunil Zore Asst. Company Secretary

Units :- Vapi and Anjar

Type of company :- Public company

Type of Industry :- Textile Company

Main promoters :- B.K. Goenka, R.R. Mandawewala, and Dipali Goenka

Location :- International

The visualization depicts the flight to greater heights at the same time remaining in touch
with ground Our Logo
realities.

1.1
reAsons The insignia is a creative visualization of a flying pair of sea gulls.
For selecting this locAtion:-

Located near two crucial ports, Kandla and Mundra on the Western coast of India; Kutch offers
several location advantages besides its abundant natural resources. Easily available cotton and
skilled manpower are a few to begin with. The two international ports and national highways are
connected with a well development bank and World Bank, Kutch is ready to emerge as an
industrial capital.



1.2 Mission stAteMent, vision oF coMPAny:-

 Mission Statement
 Our Mission

We endeavor to reach the leadership position in each Segment / Sector of our Product /
Service.
We are committed to satisfy our customers by providing best quality and service, which gives
the highest value for money.

We believe that employees are our most important asset through which we can reach the top
in each category of our Product / Service. Therefore, we will emphasize on their continuous
improvement through upgrading relevant knowledge and training.

We commit ourselves to continuous growth, so as to fulfill the aspirations of our Customers,
Employees and Shareholders

 vision oF coMPAny.

 Vision – By the year 2012

Welspun India Limited envisions to become a fully integrated home textile Company (Bed
and Bath) – and provide one-stop-shop solution to customers across the World.

Welspun is the leader in terms of embracing new technologies, product innovations,
market intelligence etc. and offering competitive end-to-end solutions to customers at globally
competitive prices with effective supply chain management. It aims to become the preferred
partner in Home Textiles for any global initiative. It targets Cost Optimization and aims to also
become the lowest cost producer of home textiles globally.

We aim to…



Emerge as a global leader…

Preferred by every home serve…

With passion grow…. @ speed innovate…

With quality excel… with ethics delighting all stakeholders…

We are… WELSPUN

 our Motto.
'Dare To Commit'
It is the vigour and commitment of all at Welspun that has brought it so far and helped to reach
the zenith of success in whichever business they are in. It is through this quality that the motto of
Welspun is ‘Dare to Commit’. Welspun doesn’t create products, it engineers satisfaction. Within
Welspun, quality of product and service is of paramount importance. Welspun's state-of-art
manufacturing facilities reaffirm world-class quality products and nothing less. Each and every
project is treated as an opportunity and every achievement as a platform to set new goals. This
strategy has enabled Welspun to have delighted customers in 50 Countries.
“We dare to commit and deliver on our promises.”

1.3 estAblishMent yeAr, MArKet shAre.

• Establishment Year :- Welspun India Ltd. (WIL) started its activities in 1985 as
Welspun Winilon Silk Mills Pvt. Ltd, a synthetic yarn business which went on to become
Welspun Polyesters (India) Ltd. and finally, Welspun India Limited emerged in the year
1995.
• Market Share: - Market, which contributes 30% of home textile demand from 17% to
24%



In Terry towel segment and from 15% to 20% in cotton sheet segment over 2003-2008. We feel
India to be preferred supplier for international vendors therefore increasing its market share
further. Being largest exporter we expect Welspun to be major beneficiary of this scenario, which
accrues global share: After witnessing 1.4% demand slump in 2008, $34bn home textile industry
is back on revival path. India is the Largest beneficiary of the consolidation in the Western world
as home Textile manufacturing capacities in those counties have shrunk at a CAGR of 25% over
2003-2009. India has increased its market share in the US around 90% topline through exports.

1.4 Product ProFile

 Product ProFile : - WelsPun Products

Welspun has a wide ranging portfolio of home textile products comprising terry towels,
bed sheets, bath robes, bath rugs, basic bedding and decorative bedding.

1. terry toWel

Welspun manufactures terry towels in different shapes and sizes. Some of the towels are
intended for use in a particular setting, such as beach towels, or for a particular purpose,
such as kitchen towels and baby hood towels, or in sizes convenient for a special use, such
as hand towels, face towels and bath sheets. Being woven out of 100% cotton yarn, these
fabrics acquire significant hygroscopic property, which is a prime reason for using terry
fabrics in home textiles in general and towels and bath robes in particular.

2. bed sheets

Wels pun manufactures bed sheets in different shapes and sizes based on different bed sizes
and mattress depth. Our bed sheets are made from cotton or various blends, such as polyester
cotton, cotton bamboo and cotton eucalyptus. The main reason for using blends is the cost and
ease of maintenance of the product by the consumer.



3. bAth robes

Wels pun manufactures bath robes in different designs, shades and weights as per
customer requirements. It has the ability to make piece dyed, yarn dyed, jacquard and
velour bath robes. The bath robes are manufactured in different styles such as “kimono",
"hood", "zipper", and "shawl". Welspun specializes in the manufacture of a specific
category of bath robes called “wraps". It also provides embellishments, embroidery and
prints as per customer requirements. The fabric for our bath robes is similar to the fabric
of our towels, which enables us to leverage the product development and innovation
undertaken in the production of terry towels.

4. bAth rugs

Wels pun is able to make rugs of various designs using its multi-level cut loop machine
to create multiple fiber lengths within a rug. Our bath rugs are generally made of cotton,
nylon or micro fiber and can be latex-backed, depending on consumer preferences. Based
on customer requirements, we make rugs of different sizes and weights including
reversible rugs.

5. bAsic bedding And decorAtive bedding

Our basic bedding products includes mattress pads, blown and garneted pillows and basic
comforters while our decorative bedding products includes comforters, bed skirts, shams,
decorative pillows and bolsters. Most of these products are made of polyester fiber fill wadding.
The fill we use for each product varies according to customer requirements. Since the decorative
products provide the look and feel to the bedroom, the products are design-oriented.

6. " vAlue Added" Products

In addition to these products, Welspun also manufactures "value added" products such as
"quick dry towels" and "the perfect sheet". Welspun believes that these product offerings are
examples of how consumer research-driven innovation can enhance functionality in its product
offerings.



terry toWel

bed sheets.



bAth robes

bAth rugs.



bAsic bedding And decorAtive bedding.

2. MAnuFActuringAnd
Producting Process



2.1 no. oF eMPloyees in this dePArtMent:

- The Number Of Employees In The Manufacturing And Production Department Are 5 –
6Thousand. They work in the three shifts.

2.2 Production Process:-

there Are Five stAges.

1 cultivAting And hArvesting

2 PrePArAtory Processes

3 sPinning

4 WeAving

5 Finishing

1. cultivAting And hArvesting

Cotton is grown anywhere with long, hot dry summers with plenty of sunshine and low
humidity. Indian cotton, gossypium arboreum, is finer but the staple is only suitable for hand
processing. American cotton, gossypium hirsutum, produces the longer staple needed for machine
production. Planting is from September to mid November and the crop is harvested between
March and May. The cotton bolls are harvested by stripper harvesters and spindle pickers that



remove the entire boll from the plant. The cotton ball is the seed pods of the cotton plant, attached
to each of the thousands of seeds are fibers about 2.5 cm long.

• ginning

The seed cotton goes in to a Cotton gin. The cotton gin separates seeds and removes the
"trash" (dirt, stems and leaves) from the fiber. In a saw gin, circular saws grab the fiber and pull it
through a grating that is too narrow for the seeds to pass. A roller gin is used with longer staple
cotton. Here a leather roller captures the cotton. A knife blade, set close to the roller, detaches the
seeds by drawing them through teeth in circular saws and revolving brushes which clean them
away.

The ginned cotton fiber, known as lint, is then compressed into bales which are about 1.5 m
tall and weigh almost 220 kg. Only 33% of the crop is usable lint. Commercial cotton is priced by
quality, and that broadly relates to the average length of the staple, and the variety of the plant.
Longer staple cotton (2½ in to 1¼ in) is called Egyptian, medium staple (1¼ in to ¾ in) is called
American upland and short staple (less than ¾ in) is called Indian.

The cotton seed is pressed into cooking oil. The husks and meal are processed into animal
feed, and the stems into paper.

• issues

Cotton is farmed intensively and uses large amounts of fertilizer and 25% of the world’s
insecticide. Native Indian variety was rainwater fed, but modern hybrids used for the mills need
irrigation, which spreads pests. The 5% of cotton-bearing land in India uses 55% of all pesticides
used in India. Before mechanization, cotton was harvested manually and this unpleasant task was
done by the lower castes and in the United States by slaves of African origin

2. Processes- PrePArAtion oF yArn

• oPening And cleAning



Platt Bros. Picker

Cotton mills get the cotton shipped to them in large, 500 pound bales. When the cotton comes
out of a bale, it is all packed together and still contains vegetable matter. The bale is broken open
using a machine with large spikes. It is called an Opener. In order to fluff up the cotton and
remove the vegetable matter, the cotton is sent through a picker, or similar machines. A picker
looks similar to the carding machine and the cotton gin, but is slightly different. The cotton is fed
into the machine and gets beaten with a beater bar, to loosen it up. It is fed through various
rollers, which serve to remove the vegetable matter. The cotton, aided by fans, then collects on a
screen and gets fed through more rollers till it emerges as a continuous soft fleecy sheet, known as
a lap.

• blending, Mixing & scotching

Scotching refers to the process of cleaning cotton of its seeds and other impurities. A
scotching machine for cotton was first invented in 1797, but didn't get much attention until it was
introduced in Manchester in 1808 or 1809. By 1816 it had been generally adopted. The scotching
machine worked by passing the cotton through a pair of rollers, and then striking it with iron or
steel bars called beaters. The beaters, which turn very quickly, strike the cotton hard and knock
the seeds out. This process is done over a series of parallel bars so as to allow the seeds to fall
through. At the same time a breeze is blown across the bars, which carries the cotton into a cotton
chamber.

• cArding



Carding machine

Carding: the fibers are separated and then assembled into a loose strand (sliver or tow) at
the conclusion of this stage.

The cotton comes off of the picking machine in laps, and is then taken to carding
machines. The carders line up the fibers nicely to make them easier to spin. The carding machine
consists mainly of one big roller with smaller ones surrounding it. All of the rollers are covered in
small teeth, and as the cotton progresses further on the teeth get finer (i.e. closer together). The
cotton leaves the carding machine in the form of a sliver; a large rope of fibers.

Note: In a wider sense Carding can refer to these four processes: Willowing- loosening the
fibers; Lapping- removing the dust to create a flat sheet or lap of cotton; Carding- combing the
tangled lap into a thick rope of 1/2 in diameter, a sliver; and Drawing- where a drawing frame
combines 4 slivers into one- repeated for increased quality.

• Combing is optional, but is used to remove the shorter fibers, creating a stronger yarn.

A Combing machine

• drAWing



The fibers are straightened several slivers are combined. Each sliver will have thin and
thick spots, and by combining several slivers together a more consistent size can be reached.
Since combining several slivers produces a very thick rope of cotton fibers, directly after
being combined the slivers are separated into roving’s. These roving’s (or slubbings) are then
what are used in the spinning process.

Generally speaking, for machine processing, a roving is about the width of a pencil.

• Drawing frame: Draws the strand out

• Slubbing Frame: adds twist, and winds on to bobbins

• Intermediate Frames: are used to repeat the slubbing process to produce a finer yarn.

• Roving frames: reduces to a finer thread, gives more twist, makes more regular and even
in thickness, and winds on to a smaller tube.

3. sPinning- yArn MAnuFActure

• sPinning

The spinning machines take the roving thins it and twists it, creating yarn which it winds onto a
bobbin.

In mule spinning the roving is pulled off a bobbin and fed through some rollers, which are feeding
at several different speeds. This thins the roving at a consistent rate. If the roving was not a
consistent size, then this step could cause a break in the yarn, or could jam the machine. The yarn
is twisted through the spinning of the bobbin as the carriage moves out, and is rolled onto a cop as
the carriage returns. Mule spinning produces a finer thread than the less skilled ring spinning.

The mule was an intermittent process, as the frame advanced and returned a distance of 5ft.It was
the descendant of 1779 Crompton device. It produces a softer less twisted thread that was favored
for fines and for weft.



The ring was a descendant of the Arkwright water Frame 1769. It was a continuous process; the
yard was coarser, had a greater twist and was stronger so was suited to be warp. Ring spinning is
slow due to the distance the thread must pass around the ring, other methods have been
introduced. These are collectively known as Break or Open-end spinning.

Sewing thread was made of several threads twisted together, or doubled.

• checKing

This is the process where each of the bobbins is rewound to give a tighter bobbin.

• Folding And tWisting

Plying is done by pulling yarn from two or more bobbins and twisting it together, in the
opposite direction that in which it was spun. Depending on the weight desired, the cotton may or
may not be plied, and the number of strands twisted together varies.

• gAssing

Gassing is the process of passing yarn, as distinct from fabric very rapidly through a series of
Bunsen gas flames in a gassing frame, in order to burn off the projecting fibers and make the
thread round and smooth and also brighter. Only the better qualities of yarn are gassed, such as
that used for voiles, poplins, venetians, gabardines, many Egyptian qualities, etc. There is a loss
of weight in gassing, which varies' about 5 to 8 per cent., so that if a 2/60's yarn is required 2/56's
would be used. The gassed yarn is darker in shade afterwards, but should not be scorched.

Mule spinning

Ring spinning



Measurements

• Cotton Counts: The number of pieces of thread, 840 yards long needed to make up 1 lb
weight. 10 count cotton means that 10x840 yd weighs 1 lb. This is coarser than 40 count
cotton where 40x840 yards are needed. In the United Kingdom, Counts to 40s are coarse
(Oldham Counts), 40 to 80s are medium counts and above 80 is a fine count. In the United
States ones to 20s are coarse counts.

• Hank: A length of 7 leas or 840 yards

• Thread: A length of 54 in (the circumference of a warp beam)

• Bundle: Usually 10 lb

• Lea: A length of 80 threads or 120 yards

• Denier: this is an alternative method. It is defined as a number that is equivalent to the
weight in grams of 9000m of a single yarn. 15 denier is finer than 30 denier.

• Tex: is the weight in grams of 1 km of yarn.

• The worsted hank is only 560 yd

4. WeAving-FAbric MAnuFActure
The weaving process uses a loom. The lengthways threads are known as the warp, and the
cross way threads are known as the weft. The warp which must be strong needs to be presented to
loom on a warp beam. The weft passes across the loom in a shuttle, that carries the yarn on a pirn.
These pirns are automatically changed by the loom. Thus, the yarn needs to be wrapped onto a
beam, and onto pirns before weaving can commence.



• Winding

After being spun and plied, the cotton thread is taken to a warping room where the winding
machine takes the required length of yarn and winds it onto warpers bobbins

• WArPing or beAMing

A Wrapper

Racks of bobbins are set up to hold the thread while it is rolled onto the warp bar of a loom.
Because the thread is fine, often three of these would be combined to get the desired thread count.

• sizing

Slasher sizing machine needed for strengthening the warp by adding starch to reduce breakage
of the yarns .

• drAWing in, looMing

The process of drawing each end of the warp separately through the dents of the reed and the
eyes of the healds, in the order indicated by the draft.

• Pirning (Processing the WeFt)

Pirn winding frame was used to transfer the weft from cheeses of yarn onto the pirns that
would fit into the shuttle

• WeAving



At this point, the thread is woven. Depending on the era, one person could manage anywhere
from 3 to 100 machines. In the mid nineteenth century, four was the standard number. A skilled
weaver in 1925 would run 6 Lancashire Looms. As time progressed new mechanisms were added
that stopped the loom any time something went wrong. The mechanisms checked for such things
as a broken warp thread, broken weft thread, the shuttle going straight across, and if the shuttle
was empty. Forty of these Northrop Looms or automatic looms could be operated by one skilled
worker.

The three primary movements of a loom are shedding, picking, and beating-up.

• shedding: The operation of dividing the warp into two lines, so that the shuttle can pass
between these lines. There are two general kinds of sheds-"open" and "closed." Open Shed-
The warp threads are moved when the pattern requires it-from one line to the other. Closed
Shed the warp threads are all placed level in one line after each pick.

• PicKing: The operation of projecting the shuttle from side to side of the loom through the
division in the warp threads. This is done by the Over pick or under pick motions. The over
pick is suitable for quick-running looms, whereas the under pick is best for heavy or slow
looms.

• beAting-uP: The third primary movement of the loom when making cloth, and is the
action of the reed as it drives each pick of weft to the fell of the cloth.

A Draper loom in textile museum, Lowell, Massachusetts



The Lancashire Loom was the first semi-automatic loom. Jacquard looms and Dobby
looms are looms that have sophisticated methods of shedding. They may be separate looms, or
mechanisms added to a plain loom. A Northrop Loom was fully automatic and was mass
produced between 1909 and the mid 1960s. Modern looms run faster and do not use a shuttle:
there are air jet looms, water jet looms and rapier looms.

 MeAsureMents

• Ends and Picks: Picks refer to the west, ends refer to the warp. The coarseness of the cloth
can be expressed as the number of picks and ends per quarter inch square, or per inch
square. Ends is always written first. For example: Heavy domestics are made from coarse
yarns, such as 10's to 14's warp and weft, and about 48 ends and 52 picks.

5. Finishing- Processing oF textiles

The grey cloth, woven cotton fabric in its loom-state, not only contains impurities, including
warp size, but requires further treatment in order to develop its full textile potential. Furthermore,
it may receive considerable added value by applying one or more finishing processes.

1. design

Depending on the size that has been used, the cloth may be steeped in a dilute acid and then
rinsed, or enzymes may be used to break down the size.

2. scouring

Scouring, is a chemical washing process carried out on cotton fabric to remove natural wax
and non-fibrous impurities (e.g the remains of seed fragments) from the fibers and any added
soiling or dirt. Scouring is usually carried in iron vessels called kiers. The fabric is boiled in an
alkali, which forms a soap with free fatty acids. (saponification). A kier is usually enclosed, so the
solution of sodium hydroxide can be boiled under pressure, excluding oxygen which would
degrade the cellulose in the fiber. If the appropriate reagents are used, scouring will also remove
size from the fabric although desizing often precedes scouring and is considered to be a separate



process known as fabric preparation. Preparation and scouring are prerequisites to most of the
other finishing processes. At this stage even the most naturally white cotton fibers are yellowish,
and bleaching, the next process, is required.

3. bleAching

Bleaching improves whiteness by removing natural coloration and remaining trace impurities
from the cotton; the degree of bleaching necessary is determined by the required whiteness and
absorbency. Cotton being a vegetable fiber will be bleached using an oxidizing agent, such as
dilute sodium hypochlorite or dilute hydrogen peroxide. If the fabric is to be dyed a deep shade,
then lower levels of bleaching are acceptable, for example. However, for white bed sheeting’s and
medical applications, the highest levels of whiteness and absorbency are essential.

4. Mercerizing

A further possibility is mercerizing during which the fabric is treated with caustic soda solution to
cause swelling of the fibers. This results in improved luster, strength and dye affinity. Cotton is
mercerized under tension, and all alkali must be washed out before the tension is released or
shrinkage will take place. Mercerizing can take place directly on grey cloth, or after bleaching.

Many other chemical treatments may be applied to cotton fabrics to produce low flammability,
crease resist and other special effects but four important non-chemical finishing treatments are:

5. singeing

Singeing is designed to burn off the surface fibers from the fabric to produce smoothness. The
fabric passes over brushes to raise the fibers, then passes over a plate heated by gas flames.

6. rAising

Another finishing process is raising. During raising, the fabric surface is treated with sharp
teeth to lift the surface fibers, thereby imparting hairiness, softness and warmth, as in flannelette.



7. cAlendAring

Calendaring is the third important mechanical process, in which the fabric is passed between
heated rollers to generate smooth, polished or embossed effects depending on roller surface
properties and relative speeds.

8. shrinKing (sAnForizing)

Main article: Sanforization finally, mechanical shrinking (sometimes referred to as
sanforizing), whereby the fabric is forced to shrink width and/or lengthwise, creates a fabric in
which any residual tendency to shrink after subsequent laundering is minimal.

9. dyeing

Finally, cotton is an absorbent fiber which responds readily to coloration processes. Dyeing,
for instance, is commonly carried out with an anionic direct dye by completely immersing the
fabric (or yarn) in an aqueous dyebath according to a prescribed procedure. For improved fastness
to washing, rubbing and light, other dyes such as vats and reactives are commonly used. These
require more complex chemistry during processing and are thus more expensive to apply.

10.Printing

Printing, on the other hand, is the application of color in the form of a paste or ink to the
surface of a fabric, in a predetermined pattern. It may be considered as localized dyeing. Printing
designs on to already dyed fabric is also possible

econoMic, environMentAl And PoliticAl consequences oF cotton
MAnuFActure.

The growth of cotton is divided into two segments i.e. organic and genetically modified.
Cotton crop provides livelihood to millions of people but its production is becoming expensive
because of high water consumption, use of expensive pesticides, insecticides and fertilizer. GM
products aim to increase disease resistance and reduce the water required. The organic sector was
worth $583 million. GM cotton, in 2007, occupied 43% of cotton growing areas. The
consumption of energy in form of water and electricity is relatively high, especially in processes



like washing, de-sizing, bleaching, rinsing, dyeing, printing, coating and finishing. Processing is
time consuming. The major portion of water in textile industry is used for wet processing of
textile (70 per cent). Approximately 25 per cent of energy in the total textile production like fiber
production, spinning, twisting, weaving, knitting, clothing manufacturing etc. is used in dyeing.
About 34 per cent of energy is consumed in spinning, 23 per cent in weaving, 38 per cent in
chemical wet processing and five per cent in miscellaneous processes. Power dominates
consumption pattern in spinning and weaving, while thermal energy is the major factor for
chemical wet processing.

The techniques used to process these fibers in yarn are essentially the same as with natural
fibers, modifications have to be made as these fibers are of great length, and have no texture such
as the scales in cotton and wool that aid meshing.

2.3 use oF technology or MAchinery:

EDI & RFID in Welspun USA.
SAP R/3 - Integrates operations, marketing supply chain.
Reverse auction HNS.
Welspun is a leading practitioner of safety and have received the safety
certification of OHSAS - 18001 (HSE) and the ISO 14001 for environment
consciousness.
Preserving the ecological balance - Effluent treatment plants and the Waste
dispersal plants located in and around the Welspun City.
Integration with Customers Market Intelligence: Conducts Grid analysis of
top retailers with respect to Product range.
Ongoing Market Research for evaluation of:



F
as
t
M
o
vi
n
g
It
e
m
s
b
es
t
se
lli
n
g
S
K
U
s.

P
ro
fi
t
m
ar
gi


2.4 quAlity control during Production Process: -

Quality control is the more traditional way that business have used to manage quality. Quality
control is concerned with checking and reviewing work that has been done. Under traditional
quality control, inspection of products and services takes place during and at the end of operation
process.

There are three main points during the production process when inspection is performed:

1. When raw materials are received prior to entering production.

2. Whilst the products are going through production process.

3. When products are finished – inspection or testing takes place before products are
dispatched to customers.

The problem with this sort of inspection is that it doesn’t work very well!

There are several problems with inspection during traditional quality control:

1. The inspection process does not add any “value”. If there were any guarantees that no
defective output would be produced , then there would be no need for an inspection
process in the first place.

2. Inspection is costly , in terms of both tangible and intangible cost. For example material,
labour, time, employee morale, customer goodwill and lost sales.

3. It is sometime done to late in the production process. This results into defective and non
acceptable actually being received by customers.

4. It is usually done by wrong people – e.g. by a separate “quality control inspection team”
rather than by the workers themselves.

5. Inspection is not often compatible with more modern production techniques.

6. Working capital tied up in stock which cannot be sold.



7. This is often disarrangement as to what constitutes a “quality products”. For example to
meet quotas , inspectors may approve goods that don’t meet 100% confirmation giving the
message to workers that it doesn’t matter if their work is a bit sloppy.

As result of above problems , many businesses focused their efforts on improving quality by
implementing quality management techniques which emphasizes the role of quality assurance.

As Deming wrote:

“ Inspection with the aim of finding bad ones and throwing them out is too late, inefficiently and
costly. Quality comes not from inspection but from improvement of the process.”

2.5 rAW MAteriAls: - The First step in production process is of Buying Cotton from the
other firms they Import Cotton from many firms all over the world. Specially Nepal, Pakistan,
China etc. From India they import cotton from SANKAR firm. The Cotton which has been
brought from these areas has been in much quantity & has been refreshed or cleaned by other
heavy machines with proper under guidance of the supervisors. The Cotton which is brought is
loaded in Spleasles.

Cleaning has been done with the help of employees.

2.6 MeAsures tAKen For Pollution control: - Welspun City is additionally a prime
example of continuous efforts of protecting the environment with a strong emphasis on a-
forestation. The township is in the process of turning itself in the creation of the largest green belt
in the area, with a veritable forest of about 500,000 trees which includes the Jatropha tree, the
drought resistant perennial whose seeds is used to produce bio-diesel.



3.PurchAseAnd
store dePArtMent

3.1 selection oF rAW MAteriAl suPPliers:

 selF suFFiciency oF rAW MAteriAls



India has a vast pool of raw materials for textiles, both natural and man-made11.Cotton
textiles and clothing account for approximately one-third of global textile trade. China, India and
US accounts for approximately two thirds of global cotton production. Further, India is a country
which has a surplus cotton production as a result of its increased productivity in the last few
years. Other Asian countries such as China, Bangladesh, Pakistan, Thailand and Indonesia are net
importers of cotton. India's self sufficiency in cotton provides it a strong competitive advantage in
global textile and clothing trade

3.2 storAge oF rAW MAteriAls: - Material is mainly stored in a huge
warehouses which are situated at near the production plant so it can be easily transported for
processing in the plant

3.3 stePs tAKen For sAFety oF rAW MAteriAls: -

Industrial center is your comprehensive source for safety and environmental product and
supplier information. You can view the latest safety and environmental product
information, articles, events, research and associations. Also search our Online Supplier
Directory, which is broken down into alarms, anti-fatigue,

Emergency response, ergonomics, eye protection, fall protection, foot protection, gates,
hand protection, head protection, hearing protection, lockout, tag out, machine guarding,
mats, medical equipment, first aid, monitoring equipment, protective clothes, rails,
respiratory protection and safety software subcategories.

It’s all here to help you streamline your buying process, increase productivity, save time
and save money.



4.PersonAl
dePArtMent



 Wels Pun city , A 2500 Acre toWnshiP set uP in the heArt oF AnjAr is the
bAcKbone oF Wels Pun. it WAs estAblished in 2004 With An initiAl
investMent oF rs. 13,500 Million.

4.1 recruitMent And selection: -

The process of recruitment has been undertaken for the appointment of the
employees. They give advertisement in newspapers or magazine or a journal with full information
like person required for the particular post with special knowledge & Experience in that field, &
then select accordingly.

External Forces Internal Forces

 Supply and  Recruitment
Demand Policy

 Unemployeemen  HRP
t rate
Recruitment  Size of the
 Labour Market firm

 Image  Cost

 Political and  Growth and
Social expansion

4.2 sources oF recruitMent : -

The Welspun Company specially prefer to use the direct method of
requirement. So the main direct methods are as follows:-

WAiting list: -



This company maintains the application files in which applications received from casual
applicants are kept pending. Similarly when the number of candidates found to be fit for job
exceeds the number of vacancies, surplus candidates are also kept on waiting list. Such
records are useful whenever the vacancies arise.
(i) Friends & relAtives oF Present eMPloyees:-

This company prefer to use to get recommendation from their employees, the names of
their friends & relatives for employment. This method is the convenient method for labour
supply & helpful also in maintain goodwill and moral of the present employees.

When Experiences employees are not available through other sources, companies resort to
advertising. In this case, the most appropriate newspaper or journal can be used for the post
concerned.

4.3 WelFAre, MotivAtion oF eMPloyees And trAining.

 Welfare and Motivation of Employees:-

The Company provides the safety for the workers like as Helmet, Mask, Hand Glows etc.

Company also not forgets about the Employees Welfare. It provides In its sincere efforts to
improve the lives of children “Welspun Vidya Mandir”, a school up to class 10, affiliated under
the Central board of Secondary Education, India (CBSE) and “Welspun Anganvadi”, a pre-
primary school for children has been set up for children of Welspun employees and local families.
It also provides the Canteen facility, Medical Facility, and also provides the Insurance Facility.

1. Fair wages or salary has been provided to the employees working in various
departments.
2. They has been provided good working condition, like airy area with proper ventilation,
noise control instrument etc.
3. Employees’ safety measures have also been taken care like providing mask at a non-
conditioning department.
4. Helmets & Shoes has been given to the people for their safety.
5. Big Canteen facility has been given to the employees.
6. Proper & with regular time gap Interval has been made in various departments.



7. Quarters has been given to the people who are working in the top level of the company.
8. Regular PF has been taken from the employee’s salary for the future welfare.
9. BUS service has been provided to the employees who are living far from the Industry.

MotivAtionAl Policy oF the coMPAny:-

o PROVIDENT FUND

o BONUS

o RETIREMENT BENEFIT

o MEDICAL FACILITY

o EMPLOYEMENT INSURANCE SCHEME

o CHILD EDUCATION SCHEME

 trAining oF eMPloyees.

The employees which are selected & then they had been given the training
according to the work handled over to them like training to machine operators who are standing
over the machine, training to the person who checks the pieces produced, supervisors are also
given training to see that all the product had been finished without any default.

There is various other training like give knowledge of economics, human relation,
& Administration to the employees working over there.

4.4 MAnAgeMent levels: -



Management Level:-

Top Level Middle Level Labour Level
Director
Labour
CEO Welspun
] (Contractor)

4.5 WorKing hours

Daily three shift of 8 hours per shift

First shift 08:00 am to 04:00 pm

Second shift 04:00 pm to 12:00 am

Third shift 12:00 am to 08:00 am

In between every shift they provide recess of one 1 hour

 Flexi timing policy (for corporate office)

o This policy is provided to staff members on need basis and will be considered on
case to case basis.

o The flexibility provided above should be used in consultation with immediate
superior without affecting the work and with a prior sanction from HR department.
All the employees are however required to be present in the office during the core
time mentioned above.



4.6 Attendence And identity cArd

The company provides identification cum punching card. Apart from the company’s name and
address, the card has necessary details like employees’ name and code no. etc. This card is the
purpose for identity and security. In case of any damage or loss of the card by any employee
he/she will have to inform HR Dept. so that a duplicate card will be issued on extra charge.

In case any employee resigns or terminated from the service company. He/she has to return the
card to HR Dept.



5MArKeting
dePArtMent

5.1uMbrellA oF Products, brAnd nAMe & Positioning

In Welspun there is one of the kind textile mills which produce 2 products they
are:-



(1) Terry Towels.
(2) Bed Linen.

These 2 products are the finest & the Best quality in the world. These products are
mostly exported to the top retailers of the Globe which includes most of the Fortune 100
companies like Wal-Mart, Target & P.C Penny almost others.

5.2 segMentAtion And tArgeting

 Warehouse & Dispatch:-

All the finished products have been stored in warehouse & have been dispatched
at the time of requirement. These all products has been exported to the other countries by method
of transporting.

In this plant generally 24 tons product has been made in 24 hours. Welspun
generally does not Export their product in the general market but they export their product in
USA, JAPAN, CHINA, and various other countries of the world.

5.3 MArKet reseArch, MArKeting strAtegy

A. MArKet structure

 consuMers.

A majority of purchases in the home textiles segment are made for replacement purposes
and are discretionary in nature. The purchase of home textiles, therefore, gets deferred during



periods of economic slowdown and a subsequent economic upturn tends to be steeper than the
normal rate of consumption growth. Consumption patterns of households vary substantially
across geographies due to differences in culture, traditions and tastes. In the household textiles
sector, Welspun believes that brand awareness among consumers is limited, as can be derived
from the high market shares for interior department stores, specialty chains and variety chains
operating with their own private label and textile discounters, while super and hyper markets sell
unknown or fancy brand names.

Importers purchase products from manufacturers abroad and we estimate that they
generally add a 30-40% mark-up to cover commissions, credit risk, after-sales service and the cost
of carrying a local inventory to meet small orders. In contrast to the agent, this importer holds his
own stocks at his own risk.

 coMPetition.

Welspun's efforts to sharpen competitive edge

Welspun has followed its defined strategy, improved product mix and optimized
utilization of assets. It has been successful in the optimization of raw material cost and major
input cost.

Welspun is further expanding/modernizing its manufacturing capacities with an objective
to attain increase in volume with lower overhead, better quality and replacement /up gradation of
old technology with the world class technology.

Welspun targets cost optimization with an aim to become the lowest cost producer of
home textiles globally and further aims to become the preferred partner in home textiles for global
initiative with its business model.

5.4 MArKet strAtegy

 overvieW oF the indiAn econoMy

 indiA's gdP groWth trend



Despite a challenging global economic environment, India's GDP grew at 7.2% in FY10,while the
manufacturing sector grew at 8.9%. It is expected to grow further at 8.5% inFY118 as per the
Economic Survey of India.

 gdP groWth trend in indiA

The overall macro-economic trends have resulted in rising per capita income, increased
consumerism and higher consumer spending. A large proportion of this higher consumer spending
is towards textiles, apparel and lifestyle products. The chief reason for this has been India's
changing demographic profile. The disposable income in India is also expected to increase
significantly over the next decade. Welspun believes that the above factors strongly suggest an
ongoing structural shift in the demand pattern for textiles within the domestic markets. This
indicates that the textile industry is on the threshold of higher consumer demand and consequently
higher growth.

India's economy is on the fulcrum of an ever-increasing growth curve. With positive
indicators such as stable 8-9 percent overall annual growth, rising foreign exchange reserves and
rapidly expanding FDI inflows, India has emerged as the second fastest growing major economy
in the world after China.



6.FinAnce
dePArtMent

6.1 cAsh FloW

Particulars Mar'10 Mar'09 Mar'08 Mar'07 Mar'06

Profit Before Tax 170.46 26.47 41.45 82.48 63.28

Net Cash Flows from Operating Activity 142.31 127.73 119.99 47.15 34.54

Net Cash Used in Investing Activity -64.91 -156.64 -233.92 -379.57 -384.50

Net Cash Used in Financing Activity -83.20 25.66 41.99 415.40 351.06



Net Inc/Dec in Cash and Cash Equivalent -5.80 -3.24 -71.94 82.98 1.10

Cash and Cash Equivalent - Beginning of the
88.81 92.05 163.99 81.01 79.90
Year

Cash and Equivalent - End of the Year 83.01 88.81 92.05 163.99 81.01

6.2 ProFit And loss stAteMent

Profit & Loss – Welspun India Ltd.

Mar'10 Mar'09 Mar'08 Mar'07 Mar'06

12 Months 12 Months 12 Months 12 Months 12 Months

INCOME:

Sales Turnover 1,838.14 1,347.95 1,249.93 999.42 658.29



Excise Duty 12.79 1.18 3.11 2.38 1.72

NET SALES 1,825.35 1,346.77 1,246.82 997.04 656.58

Other Income 0.00 0.00 0.00 0.00 0.00

TOTAL INCOME 1,847.88 1,364.15 1,257.32 1,009.84 670.92

EXPENDITURE:

Manufacturing Expenses 226.62 174.40 141.97 113.03 72.87

Material Consumed 1,109.72 771.49 693.02 526.29 313.15

Personal Expenses 116.36 103.52 96.34 81.93 58.56

Selling Expenses 26.82 54.61 95.59 50.50 49.21

Administrative Expenses 34.67 41.93 43.92 33.32 35.34

Expenses Capitalized 0.00 0.00 0.00 0.00 0.00

Provisions Made 0.00 0.00 0.00 0.00 0.00

TOTAL EXPENDITURE 1,514.20 1,145.94 1,070.83 805.08 529.12

Operating Profit 311.15 200.82 175.99 191.96 127.45

EBITDA 333.68 218.20 186.49 204.75 141.79

Depreciation 106.32 95.30 84.72 65.06 48.61

Other Write-offs 0.00 0.00 0.00 0.00 0.00

EBIT 227.35 122.90 101.77 139.69 93.18

Interest 105.51 105.97 73.85 50.72 38.35

EBT 121.84 16.93 27.92 88.97 54.84

Taxes 52.23 -5.17 15.19 31.13 21.73

Profit and Loss for the Year 69.62 22.10 12.74 57.85 33.11



Non Recurring Items 7.19 -0.5 13.48 -6.49 -0.4

Other Non Cash Adjustments 38.20 9.37 0.05 0.75 8.86

Other Adjustments 0.00 0.00 0.00 0.00 0.00

REPORTED PAT 115.01 30.90 26.27 52.10 41.55

KEY ITEMS

Preference Dividend 1.74 0.00 0.00 0.00 0.00

Equity Dividend 7.31 0.00 0.00 0.00 0.00

Equity Dividend (%) 10.00 0.00 0.00 0.00 0.00

Shares in Issue (Lakh) 730.90 730.90 730.90 730.90 730.90

EPS - Annualized (Rs) 15.73 4.23 3.59 7.13 5.68

6.3 bAlAnce sheet

Balance sheet – Wels pun India Ltd.

Particulars Mar'10 Mar'09 Mar'08 Mar'07 Mar'06

Liabilities 12 Months 12 Months 12 Months 12 Months 12 Months

Share Capital 78.09 78.09 78.09 81.09 104.19

Reserves & Surplus 539.80 482.14 480.73 461.69 446.65

Net Worth 617.89 560.23 558.82 542.78 550.84

Secured Loans 1,616.36 1,608.91 1,523.57 1,382.11 797.22



Unsecured Loans 41.74 50.00 18.27 12.09 42.31

TOTAL LIABILITIES 2,275.98 2,219.14 2,100.66 1,936.98 1,390.37

Assets

Gross Block 2,031.45 1,912.12 1,703.39 1,395.98 1,065.51

(-) Acc. Depreciation 524.60 423.14 332.76 249.08 187.00

Net Block 1,506.85 1,488.98 1,370.63 1,146.89 878.51

Capital Work in Progress. 23.98 93.81 142.10 134.29 147.12

Investments. 92.94 104.67 90.48 166.54 105.72

Inventories 354.43 210.56 290.19 236.64 195.13

Sundry Debtors 173.35 152.39 75.34 88.95 41.73

Cash And Bank 83.01 88.81 92.05 163.99 81.01

Loans And Advances 453.64 459.80 374.24 225.24 141.11

Total Current Assets 1,064.44 911.57 831.83 714.83 458.98

Current Liabilities 397.57 375.38 307.78 222.68 187.52

Provisions 14.66 4.50 26.59 2.89 12.44

Total Current Liabilities 412.23 379.88 334.37 225.57 199.96

NET CURRENT ASSETS 652.20 531.68 497.46 489.25 259.02

Misc. Expenses 0.00 0.00 0.00 0.00 0.00

TOTAL ASSETS (A+B+C+D+E) 2,275.98 2,219.14 2,100.66 1,936.98 1,390.37



8.s.W.o.t
AnAlysis



strengths

1) India is rich in highly trained manpower. So it is like a treasury for
welspun in requirement of employees.
2) India is highly competitive in spinning sector and has presence in
almost all processes of the value chain. Due to this welspun have a
easy availability of advanced equipment and tools.
3) welspun is very diverse in size, manufacturing facility, type of
apparel produced, quantity and quality of output, cost, requirement
for fabric etc. It comprises suppliers of ready-made garments for
both, domestic or export markets.



WeAKnesses

1) The reservation of production for very small companies that was
imposed with the intention to help out small scale companies across
the country, led substantial fragmentation that distorted the
competitiveness of industry.

2) Indian labour laws are relatively unfavorable to the trades and there
is an urgent need for labour reforms in India.
3) India seriously lacks in trade pact memberships, which leads to
restricted access to the other major markets.



oPPortunities

1) As welspun is a branded public company it has the opportunities
spread their products easily in the country.

2) It can play a vital role in the GDP of our country as it has wide foreign
direct investment.

3) As it has a large premises it can be helpful in reduction of
unemployment which is a contravarcial problem of the country.

4) Now Wels pun is producing a limited products. It has opportunity to
increase the numbers of product.



threAts

1) Wels pun is working in the free trade zone which is valid for ten years
only. So is has to leave or plan something else.

2) Competition from other developing countries, especially China.

3) To balance the demand and supply.

4) To make balance between price and quality.

Threat for Traditional Market for Power loom and Hand loom Products
and forcing them for product diversification.



9. conclusion

From this project report I can conclude that the welspun textile industry
is a important of our country.
94% of the total products are exported.
It gives me great pleasure to note that Kutch is well and truly on its way
to becoming an industrial paradise.

Wels pun is Asia 's largest and amongst the top 2 Terry Towel producers
in the World.
I am happy to witness the participation of key international players like
Wels pun who have contributed handsomely to bring Anjar back to its
full glory.

A promise that extends well beyond economic and commercial growth
and includes social development too.



10.bibliogrAPhy

 The whole information is collected from the following
resources.

1) Human Resource Management (Garry Dessler, K. Aswathappa,
Ivan) of its 9th edition.
2) www.welspun.com
3) Search engine Google.


project report on welspun textile LALIT MORYANI ,POSWAL JITENDRA

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Viewers also liked

Viewers also liked (8)

Similar to project report on welspun textile LALIT MORYANI ,POSWAL JITENDRA

Similar to project report on welspun textile LALIT MORYANI ,POSWAL JITENDRA (20)

Recently uploaded

Recently uploaded (20)

project report on welspun textile LALIT MORYANI ,POSWAL JITENDRA