Carton Costing Calculation Method in Garments Industry

Before calculating carton costing, a garments merchandiser should confirm the following information:

1.      Carton length in cm,

2.      Carton width in cm,

3.      Carton height in cm.

Then, garment merchandiser should calculate ply board consumption for the carton box and multiply with ply board rate.

Now by using the below formula, a garment merchandiser can easily calculate carton box costing in readymade garments industry.

Carton costing (Per pc carton box)
= Ply board consumption (Per pc carton in square meter) × ply board rate (per sq. meter)………… (1)

Now, one example is enough to remove your all the confusions from the above discussion.

Example:

Suppose, a 5 ply carton having length 65cm, width 45cm and height 12cm. Now calculate Carton box costing for 400pcs carton box. (Where, 5 ply board rate is $0.65 per square meter).

Solution:

Here,

Carton length – 65cm,
Width of carton- 45cm,
Carton height – 12cm,
5 ply board rate per square meter- $0.65

Total carton-400pcs.

So, Ply board consumption (Per pc carton in square meter),

= 1.41 square meter per pc carton.

Now, from (1), we get-

Carton costing (Per pc carton box),
= Ply board consumption (Per pc carton in square meter) × ply board rate (per sq. meter)
= 1.41 × 0.65
=$0.92 per pc carton box.

So,

For 1pc carton, carton box costing stands at =$0.92.

And,

For 400pcs carton, carton box costing will be (0.92 × 400) = $368.