Dear Shivangi, In this code you have used the watermarking factor 0.0001 that is not feasible. Use factors like 0.1 or 0.2 this will enhance you PSNR during extraction @ the cost of decreased PSNR of embedding. Also compare the Normalised Correlation Coefficient for watermark. Also to make the technique globally acceptable you need to inser the attacks to make it Robust Watermarking technique. Anyway great effort, if you need any help in watermarking you can contact to me also. I have implemented about 8-10 techniques of watermarking.