Professional Documents
Culture Documents
Rice-Mill-FINAL-Internship-REPORT 1
Rice-Mill-FINAL-Internship-REPORT 1
Rice-Mill-FINAL-Internship-REPORT 1
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University of Central Punjab
Aroma Rice International Traders
Table of Contents
Mirza Group¶s
Profile ...........................................................................
...................................... 4 Rice and Rice Industry
Profile ...........................................................................
......................... 5
Definations: ......................................................................
...................................................... 7 A)
RICE: .............................................................................
................................................ 7 1) Cargo
Rice: .............................................................................
........................................ 7 Major Exporters of
Rice ..............................................................................
............................ 8 Aroma Rice International
Traders ...........................................................................
.................. 11 Vision
Statement .........................................................................
.............................................. 12 Mission
Statement .........................................................................
........................................... 12 Departments and their
functions .........................................................................
....................... 13 Procurement
Department ........................................................................
............................... 14 Front Office
Department ........................................................................
............................... 15 Finance
Department ........................................................................
...................................... 15 Quality
Department ........................................................................
....................................... 16 Testing
Lab ...............................................................................
............................................ 17 Inventory Controller
Department.........................................................................
.................. 18 Engineering
Department ........................................................................
............................... 18 Export
Department ........................................................................
........................................ 19 Domestic Trade
Department ........................................................................
.......................... 20
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Aroma Rice International Traders
Extra Long Finest
Rice ..............................................................................
........................ 20 By Products of
Rice ..............................................................................
............................ 20 Company Business
Process ...........................................................................
............................ 21 Par-Boiled
Processing ........................................................................
................................... 22 Milling and
Husking ...........................................................................
.................................. 23 Normal Rice ±
Reprocessing ......................................................................
........................... 25 Tasks performed during
internship ........................................................................
.................... 26 Record Keeping of By-
Products ..........................................................................
.................. 26 Made Sales
Report: ...........................................................................
.................................... 26 Reviewed all machines are in running
condition: ................................................................... 26
File
sorting; ..........................................................................
................................................. 27 Attending
Calls: ............................................................................
........................................ 27 Member¶s
Inquiry: ..........................................................................
...................................... 27 Supervision on
Loading/Unloading: ................................................................
...................... 27 SWOT Analysis of Privilege
Club: .............................................................................
.............. 28
Strengths: ........................................................................
...................................................... 28
Weakness: .........................................................................
.................................................... 28
Opportunities: ....................................................................
................................................... 28
Threats: ..........................................................................
....................................................... 29
Recommendations:...................................................................
................................................. 30
Conclusion: .......................................................................
........................................................ 31
References: .......................................................................
........................................................ 32
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University of Central Punjab
Aroma Rice International Traders Mirza Group¶s Profile
Mirza Group of Companies was constituted under the leadership of Mr. Mirza Fazal
Karim (Late) around five decades back. He through his single handed dedication and
commitment to the profession has transformed this Group in to a one of the leading
industrial groups of Pakistan, well known for its forward-looking approach, and
highest standards of quality and integrity. Mirza Fazal Karim started with Rice
Trading before the creation of Pakistan, Mirza Group of Companies today has a big
portfolio of companies under its head. y y y y y y y Mirza Agriculture Farms Mirza
& Co. - No limit tender company Mirza Rice Mills Kashif Rice Mills Mirza HB
Corporation Sweden. Aroma Rice International Traders Mirza Floor Mills
Beside this portfolio Mirza Group is also involved in real estate business. Mr.
Mirza Fazal Karim¶s son, Mr. Mirza Mehboob Alam with his keen eye on the future is
now guiding the Mirza Group to enter the field of Information Technology (IT). The
Group is constantly on its forward march. Mr. Mirza Mehboob Alam¶s Vision knows no
bounds and it will be difficult to predict as to what will be his focus of
attention tomorrow. Mr. Mirza Mehboob Alam runs Fazal Karim Foundation whose sole
objective is to engage in humanitarian projects in support of social and cultural
causes and for the uplift of the deprived. Through this Foundation he not only
fulfils his corporate responsibilities but also more importantly his commitment to
promoting the good of common man.
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University of Central Punjab
Aroma Rice International Traders Rice and Rice Industry Profile
Rice is the seed of the monocot plants Oryza sativa or Oryza glaberrima. As a
cereal grain, it is the most important staple food for a large part of the world's
human population, especially in East and South Asia, the Middle East, Latin
America, and the West Indies. It is the grain with the second-highest worldwide
production, after maize (corn). Since a large portion of maize crops are grown for
purposes other than human consumption, rice is the most important grain with regard
to human nutrition and caloric intake, providing more than one fifth of thecalories
consumed worldwide by the human species. A traditional food plant in Africa, its
cultivation declined in colonial times, but its production has the potential to
improve nutrition, boost food security, foster rural development and support
sustainable landcare.[citation needed] It helped Africa conquer its famine of 1203.
Rice is normally grown as an annual plant, although in tropical areas it can
survive as a perennial and can produce a ratoon crop for up to 30 years.[4] The
rice plant can grow to 1±1.8 m (3.3±5.9 ft) tall, occasionally more depending on
the variety and soil fertility. It has long, slender leaves 50±100 cm (20±39 in)
long and 2±2.5 cm (0.79±0.98 in) broad. The small windpollinated flowers are
produced in a branched arching to pendulous inflorescence 30±50 cm (12± 20 in)
long. The edible seed is a grain (caryopsis) 5±12 mm (0.20±0.47 in) long and 2±3 mm
(0.079±0.12 in) thick. Rice cultivation is well-suited to countries and regions
with low labor costs and high rainfall, as it is labor-intensive to cultivate and
requires ample water. Rice can be grown practically anywhere, even on a steep hill
or mountain. Although its parent species are native to South Asia and certain parts
of Africa, centuries of trade and exportation have made it commonplace in many
cultures worldwide. The traditional method for cultivating rice is flooding the
fields while, or after, setting the young seedlings. This simple method requires
sound planning and servicing of the water damming and channeling, but reduces the
growth of less robust weed and pest plants that have no submerged growth state, and
deters vermin. While flooding is not mandatory for the cultivation of rice, all
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Aroma Rice International Traders
other methods of irrigation require higher effort in weed and pest control during
growth periods and a different approach for fertilizing the soil. (The name wild
rice is usually used for species of the grass genus Zizania, both wild and
domesticated, although the term may also be used for primitive or uncultivated
varieties ofOryza.) Rice is unique among cereal grains in that the entire polished
grain is eaten while other cereals are usually processed before they reach the
consumer. Grain quality in rice is, therefore, a very sensitive issue. Interests
and priorities of different sectors of rice industry are different. Farmers are
interested in early maturity and high yield that would give them high returns in
the form of good produce and provide enough time for sowing
subsequent crops including wheat. Miller's interest is high head rice recovery.
Traders prefer attractive physical appearance (shape and size), whiteness and
uniform grain size.
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Aroma Rice International Traders
Definations:
A) RICE: means milled rice which includes cargo rice, white rice, glutinous rice
and boiled rice, whether it be whole grain, head rice, big broken, broken or small
broken. 1) Cargo Rice: (BROWN RICE, HUSKED RICE) means rice obtained from paddy of
which only the husk has been removed. This includes its whole grain, head rice, big
broken, broken, and small broken. 2) Plain or White Rice: means rice obtained from
paddy which has been husked and milled while by removing its bran layers. This
includes its whole grain, head rice, big broken, broken, and small broken. 3)
Parboiled Rice: may be husked or milled rice processed from paddy or husked rice
that has been soaked in water and subjected to a heat treatment so that the starch
is fully gelatinized, followed by a drying process. B) GRAIN CLASSIFICATION: means
the proportional mixture of rice of difference classes to form a grade
Rice Kernal is divided into four classes namely: 1) Extra Long Grain: shall be the
head rice/whole grain having the average grain length of 6.90 mm or more. 2) Long
Grain: shall be the head rice/whole grain having the average grain length of more
than 6.0 mm but not more than 6.90 mm. 7
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Aroma Rice International Traders
3) Medium Grain: shall be the head rice/whole grain having the average grain length
of more than 5.0 mm but not more than 5.9 mm. 4) Short Grain: shall be the head
rice/whole grain having the average grain length of 5.00 mm or less. C) YELLOW
KERNEL: means the kernel of which 25% or more of the surface area has turned yellow
in color. D) CHALKY KERNEL: means the kernel of which 50% or more of the surface
area is white like the color of chalk. E) GREEN RICE: means the kernel of green
color in Cargo (Brown) rice which when broken is also green in color from inside or
in the endosperm. F) BROKEN RICE: Broken of size ¾ length of grain and above shall
count as head rice.
Rice is the second largest food item of the Pakistani households after wheat flour.
During the last decade, the production of rice in Pakistan has been around 5
million tons per annum. Around 2.9 million tons of rice is available for domestic
consumption of Pakistan. The per capita availability of rice in Pakistan is 20.78
kg. Pakistan has scattered population of rice eating people throughout the country.
In most of the urban and rural areas of the Punjab, people eat rice at least once a
week. In Azad Kashmir, the entire households consume rice in their daily meals. In
Sindh province, particularly Karachi, people eat rice 3-4 times a week.
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Aroma Rice International Traders
ISLAMABAD: Pakistan¶s top rice export body said it aims to export 4 million tonnes
in fiscal year 2010/11, about 1 million tonnes more than previous estimates made
after destructive floods in August. Irfan Ahmed Sheikh, chairman of the Rice
Exporters Association of Pakistan (REAP), said total rice production would be
nearly 6 million tonnes. A senior food ministry official on Tuesday, however, low-
balled REAP¶s estimate and said output would be about 5 million tonnes. ³We dispute
the government¶s figure,´ Sheikh told Reuters. ³Our assessments are that the
production will be nearly 6 million tonnes. We are now aiming to export about 4
million tonnes of rice this year on good global demand.´ REAP¶s export target tops
previous trader estimates by almost a million tonnes. The government in September
estimated losses of up to two million tonnes from the August floods. Before the
floods, the food ministry expected 6.1 million tonnes for the 2010/11 crop. The
country¶s eight-month-long rice season runs from April to November and final
estimates of the crop size will not be available until late December. The reason
for the increased estimate, Sheikh said, is that the monsoon floods, which
devastated more than 2.4 million hectares of farmland, did not affect the rice crop
in the Punjab province, which produces 60 percent of the total national output.
Production losses in the second-largest rice growing province of Sindh were
estimated at about 500,000 tonnes, but that would largely be offset by the better
yield in Punjab, Sheikh said. The president of the Agri-Forum Pakistan agreed with
the REAP¶s production estimates.
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Aroma Rice International Traders
³Despite losses in Sindh, our production estimate is between 5.7 million tonnes and
6.1 million tonnes, as per-acre yield in Punjab has increased by up to 10 percent,´
said Ibrahim Mughal. Pakistan had a bumper crop of 6.7 million tonnes of milled
rice in 2009/10 and exported about 4.5 million tonnes. Pakistan retained up to
800,000 tonnes from the 2009/10 crop, traders said. The country¶s domestic
consumption of milled rice is about 2.3 million tonnes. Rice exports in July-
October 2010 rose by 17.26 per cent to 1.1 million tonnes, compared with 940,838
tonnes in the same period last year, according to the Federal Bureau of Statistics.
In the July-Oct period in 2010/11, exports of basmati rice stood at 304,141 tonnes,
almost the same as last year. Other varieties totaled 799,052 tonnes for the same
period, compared with 636,773 tonnes. Rice is Pakistan¶s third largest crop after
wheat and cotton and contributes about 1.6 percent to the country¶s gross domestic
product.
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Aroma Rice International Traders Aroma Rice International Traders
Aroma Rice International Traders is a subsidiary of Mirza Group and a third Rice
Mill in the group. The organization has a big share in the total revenue of the
group and earns much foreign exchange for the government.
The management at Mirza group has gathered valuable experience in Rice Export
through trading to Europe and Middle East since 1992. After assessing high demand
for premium quality Pakistani Basmati Rice, in the international market, management
decided to set-up a state-of-theart processing plant of its own.
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Aroma Rice International Traders
Aroma Rice International Traders has one of the finest plants, conforming to
international standards of excellence in hygiene and quality. The complete plant is
supplied by Buhler GmbH
German
Industry
Supplier),
renowned
name
in
food
processing.
Vision Statement
The company is committed to serve the humanity by providing the most hygienic food
so they can live a healthy life
Mission Statement
To be a market leader in rice industry ensuring the highest quality of the product
and building employees¶ career, serve the society and earn foreign exchange for the
country by exporting and establishing the quality image of Pakistani rice in outer
world
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Aroma Rice International Traders Departments and their functions
# Procurement department # Front office department # Inventory controller
department # Finance department # Quality department # Engineering department #
Export department # Domestic Trade department # Par-Boiled processing Unit #
Husking & Milling Unit # Reprocessing Unit
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Aroma Rice International Traders
Procurement Department
Procurement is the first step where the business starts, procurement department
contains 18 employees who purchase Paddy (rice crop) and achieve the purchase
targets set by the upper level management.
This department is responsible for purchasing the paddy of desired quality. The
employees of this department have special and expert level knowledge of paddy
because it is the most sensitive part of the business. If wrong type of paddy is
purchased or undesirable quality of paddy is purchased then it¶s going to be a big
mess.
Teams are built among these 18 employees and then regions and territories are
allotted to them, and each team is responsible to go to their particular area and
achieve the purchase target from that area. Keeping quality of the paddy is the
first thing these employees have in their minds.
Procurement is really a tough job because when rice crop comes in the market, the
duration is only 1 month. You have to purchase within one month. Because this is a
seasonal product so it only comes once in the year. Employees have to achieve their
purchase targets within one month so they have a huge responsibility.
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Aroma Rice International Traders
Since paddy has not fix rate, paddy is purchased in Ghalla Mandi (Food Market) and
paddy is purchased by auctions. So to purchase at a low cost is also responsibility
of this department, because cost is the major competitive edge.
Guests of employees and management are also warmly welcomed by this department. Any
person comes in the firm first tells the issue to the front office, front office
then calls to the corresponding person and informs him about the issue then a
meeting is arranged or an appointment is set and issue is solved. All phone calls
are also first received by the front office staff.
Finance Department
Finance department is the hub of the organization. This department has many things
to do. # How to float capital # Arranging payrolls # Arranging wages # Maintaining
cash flows # Making budgets # Calculating costs # Setting prices
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Aroma Rice International Traders
# Preparing Financial Reports
Budget is prepared which is the most complex thing, how to spend, where to spend,
when to spend and how much is to spend. Cash flows are generated and it is tried
that cash flows are maintained as they were projected at the beginning of the
fiscal year.
Costs of different varieties of rice are calculated and the price is set by keeping
both markets, domestic and international market. Labor is given wages on weekly
basis and rest employees are given salaries and payrolls within the first seven
days of the month. It is ensured that Cash InFlow should meet the timings when the
expenditures are to be incurred.
Quality Department
The first and foremost responsibility of Aroma Rice International Traders is the
customer¶s satisfaction by providing them highest quality. We pursuit for the
highest quality standards and its philosophy of quality product deliverance as only
reiterated its mission statement.
We seek satisfaction for our customers by making our products and services worthy
of them through our commitment, teamwork and an efficient ever-improving quality
management system.
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Aroma Rice International Traders
Testing Lab
Right from procurement to delivery of rice to end customer, management takes
effective quality control measures to maintain desired characteristics in the
product, Aroma Rice International Traders has its own fumigation chambers, where
rice is fumigated during storage and after final packing.
Detailed laboratory analysis form part of the routine control. Testing is regularly
performed by our experienced and highly qualified analyzers right from raw rice to
finished end product to ensure that product delivered to customer conforms to the
given specifications.
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Aroma Rice International Traders
Engineering Department
Engineering Department is responsible for the smooth flow of operations in the
plants and machinery. Engineering department has a complete schedule and plan of
when to repair and when to conduct maintenance.
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Aroma Rice International Traders
If any machine goes out of order, the department is responsible for the repair and
to keep running machines in full-season. All compulsory and important spare parts
of machines are already kept to tackle in case of emergency.
Export Department
70% of the revenue of the company is generated by this department. All the Export
orders and tenders are gained by the personnel working in this department. This
department is responsible to fulfill export orders at time and win tenders from
different countries.
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Aroma Rice International Traders
Different orders from different countries and different tenders are won and to
fulfill the orders at time by keeping the quality at required level is the utmost
responsibility of the department.
Two types of rice is sold locally: # Extra Long Finest Rice # By Products of Rice
Extra Long Finest Rice This is the finished product which is sold domestically as
well as internationally. It has following types: # # 86 Non ± Basmati Rice Super
Kernal Extra Long Basmati Rice
# #
Par-Boiled Super Kernal Extra Long Basmati Rice Par-Boiled 1121 Qayenaat Extra Long
Rice
By Products of Rice Processing, husking and milling of rice leaves many By-Products
which are scrap and sold separately. The selling of by-products also contributes
much to the total revenue of the organization.
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Aroma Rice International Traders
The kinds of by-products are given as follow: # Husk of Rice (Toh) # Bran (Powder
of Rice) # Broken Tip (Nakku) # Broken Rice (Totah) # Damaged Rice (Dhaghi Daanay)
So Domestic Trade Department is also responsible for selling of these by-products
as well in the market.
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Aroma Rice International Traders
Par-Boiled Processing
Paddy Cleaner
Pre-Steaming
Double Steaming
Drying
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Aroma Rice International Traders
Milling and Husking
If rice is only to be produced normally then the procedure starts from here, if it
is not par-boiled, otherwise if it is par-boiled then it will be the second stage.
Paddy Cleaner
Drying of Paddy
Husking
Husk Seperation
Paddy Seperation
Polishing
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Aroma Rice International Traders
Shining
Destoning
10
Shifting
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Width Grading
12
Length grading
When selling domestically only this procedure is followed, in local market only
normal rice, both Basmati and Non-Basmati is sold. This type of rice is neither
par-boiled nor it is reprocessed. It because the domestic market doesn¶t have
enough demand for par-boiled and re-processed rice that¶s why company do not pay
much attention here. It only sales non par-boiled and non reprocessed rice locally.
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Aroma Rice International Traders
Normal Rice ± Reprocessing
1
Cleaning
Width Grading
Shinning
Water Polishing
Shifting
Length Grading
Color Sorting
Final Grading
Packing
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University of Central Punjab
Aroma Rice International Traders Tasks performed during internship
Record Keeping of By-Products
During my internship period, record keeping of by-products was my main job,
although management rotated me in many directions. But I mostly used to record: 1.
How much Broken Tip has accumulated at the end of the day 2. How much Damaged Rice
has accumulated at the end of the day 3. How much Broken Rice has accumulated 4. At
the end of the day a report was compiled which contained the final figures I also
updated the files continuously throughout six weeks regarding by-products.
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Aroma Rice International Traders
File sorting;
I also used to sort out and index files in the office area. Locally sold by-
products invoices and expense invoices were sorted out in the corresponding files
Attending Calls:
Few days I also worked in front office where I answered the calls and transferred
to the concerned department.
Labor¶s Inquiry:
Took the inquiry of any labor worker working on any machine within the unit to the
corresponding person.
Supervision on Loading/Unloading:
When by-products were loaded in trucks/containers, it was my job to count how much
the bags are loaded. Counting them and making a report was my job.
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University of Central Punjab
Aroma Rice International Traders SWOT Analysis of Privilege Club:
Strengths:
y y y y y y y y Aroma Rice International Traders has strong foundation regarding
finances In local as well as international Markets, Aroma Rice is a name of quality
Goodwill in terms of commitment and delivery on time of an order Have expert
personnel in each department Latest and advanced automated machinery Power Back-ups
It has Low cost cheaper labor Cameras are installed everywhere for monitoring
Weakness:
y y y Organizational structure¶s nature is not decentralized. Only Export related
documents and accounts are computerized Procurement department has less staff than
required
Opportunities:
y y More share in exports can be captured because still there is a lot of room It
can go for related diversification as Biscuits can be made from its by-product
(Bran/Powder) y y From Its Husk Tip and Bran, Rice Canola Oil can also be produced
Putting the product into its own brand, can create new markets and profits
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Aroma Rice International Traders
Threats:
y Threat of new entrants is really high. Many new units are being installed and
competition is becoming tougher y Threats from political scenario is very much
high. As exporters are not trusting on Pakistani parties y If river/water issue is
not resolved, then there could be a shortage in crop due to lack of water and
depression may come.
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Aroma Rice International Traders Recommendations:
Six weeks of internship are not enough to cover all the aspects of a business but a
student can get an idea of the business processes, its strengths and weaknesses. So
after analyzing Aroma Rice International Traders, I would like to recommend them
the following:
All documents including domestic trade as well should be computerized and reports
should be generated on computers. This will reduce the time of reports generation
and furthermore it will reduce the chances of error. If any error happens then it
can be immediately rectified on computer while on the other hand it is very
difficult to find it and then correct it on manual books.
The duration of paddy procurement is only one month, and the procurement department
has only 18 employees working in it. Purchase targets are so high that in this one
month employees are overloaded and it is very difficult for them to achieve targets
because they also have to achieve the quality levels. If more employees are hired
then it will ensure the quality level as well as the fulfilled purchase targets
within the time duration.
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University of Central Punjab
Aroma Rice International Traders Conclusion:
Mirza Group is one of the fastest growing groups of Pakistan. It was not an easy
job for internees to study the complete working of this organization within six
weeks. I think one need a lot more time to study. It was very difficult for me to
manipulate all sort of information about Aroma Rice International Traders because
the setup is very much complex and big. This internship program was very
fascinating experience for me and during my stay at Aroma Rice International
Traders, I learned so many things. So it was the best time for me to see the
application of the theoretical frame work studied by me in the BBA classes in
practical fields. In the end I think the future prospects of the Aroma Rice
International Traders are quite bright because the management¶s vision is too
broad. It will grow and advance more and more with time. I also want to pay
gratitude to my supervisor because it provided me the opportunity to work in an
organization like Aroma Rice International Traders.
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University of Central Punjab
Aroma Rice International Traders References:
y y y Mr. Ehsan-ud-Din Mr. Shahid Farooq Mr. Jawad Akram (Production Coordinator)
(Supervisor By-Products) (Local Sales supervisor)
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