I am attaching my log file for reference.
Which is not really helping. It has over 7000 lines. It clearly shows that the daemon is running, so there can't be a syntax error.
Please be more specific. Show the commands you enter and the output that is generates. Try to use smtpd -d
There are a lot of "Connection timeout"-Errors in the maillog. Are you sure you can connect to port 25?
