I've solved it - BUT you need a PC to do this and a little know-how.

Lets say you have 1 mp3 in in folder MyDocs/Music/mymusic.mp3

Go onto your computer and create a playlist from these songs .m3u playlist (google how to do this - I just used Amorak in Linux)

Now lets say you want to put your playlist in the MyDocs folder so then you need to edit this playlist (open it with notepad++) and do a search and replace, what you need to do is REMOVE the ABSOLUTE path and replace it with a relative path.

Simples.

http://en.wikipedia.org/wiki/M3U