Merchandising School: Carton Consumption & Costing for Garments Merchandiser

Carton Consumption & Costing for Garments Merchandiser

Garments are delivered to the buyer in cartons. Garments in poly bags are kept in a carton as per instruction of the buyer. Loading cartons with garments is called packaging. Packaging is one of the important part of garment manufacturing and exporting. Buyer generally gives written instruction as to the construction of the cartons. So, carton is the most necessary element for shipment of the goods. Its cost and costing is also important task for merchandisers. Cartoon consumption and pricing procedure are given below.

Cartons are usually measured in cm (centimeter) in garments factory. Then it requires to convert in CBM (cubic meter) while shipping or loading goods in cargo van. Carton’s price, thickness and strength depends on carton’s structure, ply and flute. Following photos provide us concept regarding ply and flute.

Carton Ply

Carton Consumption & Costing:

Carton cost calculation rule:
= [{(Length + width + allowance) cm X (Width + Height + 4)} cm X 2] ÷ 10,000 X Per square liner rate
= [{(60 + 40 + 6) X (40 + 30 + 4)} X 2] ÷ 10,000 X $0.80
= [{(106) X (74)} X 2] ÷ 10,000 X $0.80
= {(7844 X 2)} ÷ 10,000 X $0.80
= 15688 ÷ 10,000 X $0.80
= 1.5688 X $0.80
= $1.25504 / pc (Per carton rate)

For clear concept we can see the following short problems and solutions about cartoon consumption and costing.

Note: We use in Bangladesh 2 type Liner,
→ Korean liner (good) [ per square meter price $ 0.85 Aprox]
→ Thai liner (Normal) [ per square meter price $ 0.55 Aprox]

৩ ধরনের Container পাওয়া যায়।

(১) ২০" Normal Container যাতে ২৭-২৯ CBM মাল ধরে।

(২) 40" Normal Container যাতে ৫৪-৫৬ CBM মাল ধরে।

(৩) 40" Container যাতে ৬৪-৬৭ CBM মাল ধরে।

সাধারনত ২ ভাবে Container ভাড়া করা হয়

(1) FCL: Full Container Load

(2) LCL: Light Container Load

অনেক Sr.Merchandiser আছে যারা ৫/৬ বছর Merchandising করছে কিন্তু দু:খ জনক হলেও সত্য তারা সঠিক ভাবে Carton Consumption & Costing করতে পারে না। Suppler যে Consumption & Costing নির্ভর করে। এতে দেখা যায় Suppler ইচ্ছা মত টাকা হাতিয়ে নিচ্ছে। আপনি নিজেও বুঝেন না।

Problems-1: A carton with Length 60cm, Width 40cm & Height 30cm, figure out a Cargo Measurement for 208 cartons?

Answer: 60 × 40 × 30 ÷ 10,00,000 × 208 = 14.976 CBM

Or, 0.6 × 0.4 × 0.3 × 208 = 14.976 CBM

Formula: length × width × height ÷ 10,00,000 × carton quantity

Problems-2: A carton of 7 Ply, Length 80cm, Width 60cm, Height 30cm, total carton 120 pcs, find out carton measurement in square meter ?

Answer: (80 + 60 + 6) × (60 + 30 + 4) × 2 ÷ 10,000 × 120 =329 Square Meters.

Formula: (length + width + wastage) × (width + height + wastage) × 2 ÷ 10000 × carton quantity. (You can avoid wastage, if you wish)

Problems-3: 3 ply carton’s per square (100 × 100) meter’s rate is USD 0.20, carton’s length is 60cm, width 40cm, height 30cm, total required carton quantity is 150 Pcs, figure out price of total cartons?

Answer: (60 + 40 + 6) × (40 + 20 + 4) × 2 ÷ 10,000 × 150 × 0.20 = 48.70 USD.

Formula: (length + width + wastage) × (width + height + wastage) × 2 / 10000 × carton quantity × price

Problems-4 : Suppose, A carton have length 22.845 inches, width 15.75 inches and height 15.75 inches. Now find out the CBM for 150 cartons ?

Solution:

· Length 22.845 inches = So, 22.845 X 2.54 = 58 cm [ 1 inch = 2.54 cm]

· Width 15.75 inches = So, 15.75 X 2.54 = 40 cm

· Height 15.75 inches = So, 15.75 X 2.54 = 40 cm

Formula: Length X Width X Height / 10,00,000 X 150 [ 1 CBM = 10,00,000 square cm ]

= 58 X 40 X 40 /10,00,000 X 150

= 13.92 CBM

Finally we know that, we need 13.92 CBM cargo for 150 cartons.

Rate for 7 PLY = 0.55 USD [For GMTS Export Natural 7 Ply Used

5 PLY = 0.39 USD (0.55X 5/7) (Less Wt Master Carton)

3 PLY = 0.23 USD (It is used as inner carton)