This paper deals with the JPEG Encoder for image compression upon comparing the
performance of DWT compression with DCT compression. The wavelet transform has emerged as a
cutting edge technology, within the field of image compression. Wavelet- based coding provides
substantial improvements in picture quality at higher compression ratios. Due to multi resolution nature of
wavelet transforms, they have been adapted by the JPEG2000 standard as the transform of choice.DWT
yields higher compression ratio and better visual quality.