Costing of Polo Shirt

Costing of Polo Shirt

Description of product

Here I am going to calculate price of a polo shirt of having following configuration:

100% cotton pique polo-shirt containing two buttons in the front placket having side band with flat-knit collar and cuff and Small embroidery on left chest.

costing of polo shirt

Polo Shirt

For calculating price of polo-shirt at first we have to calculate the fabric consumption from the size spec sheet given by buyer.

If you want to know how to calculate the consumption of polo-shirt then you can check my other article “Fabric consumption of polo-shirt”.

Let consider,

Fabric consumption per dozen : 3.80 kg
So, Yarn consumption will be : 3.80 + (3.8×8%)
  = 4.104 kg/dz

So, Fabric costing

So, costing for yarn per dozen = US$3.90 × 4.104 kg/dz(price of yarn = US$3.90/kg)
= US$ 16 /dz
Knitting charge (pique) = US$ 0.15 × 4.104/dz(Knitting charge = US$ 0.15/kg)
= US$ 0.62/dz
Dyeing Charge = US$ 1.3 × 4.104/dz(Dyeing Charge = US$ 1.3/kg)
= US$ 5.34/dz
So, Finished fabric cost per dz = (16+0.62+5.34) US$/dz
= 21.96 US$/dz

For Collar & Cuff Costing

Yarn cost = 0.70 × 3.90 US$/dz
= 2.73 US$/dz
Knitting Charge = 0.07 × 12
=0.84 US$/dz
Dyeing Charge = 1.3 × 0.70
= 0.91 US$/dz
So, Finished collar & Cuff cost = (2.73+0.84+0.91)US$
= 4.48 US$/dz

Now, production cost per dz

For Fabric = 21.96 US$
For Collar & Cuff = 4.48 US$
Cost Management (CM) = 6 US$
Accessories cost = 3 US$
So, Total Production cost   = 34.44 US$/dz

Finally FOB price

Total production cost = 34.44 US$/dz
Commercial Cost (3% of total production cost) = 0.88 US$/dz (without CM)
Profit ( 20% of CM) = 1.2 US$/dz
Total FOB Price Per Dz = 36.52 US$/dz
So, FOB price per piece      = 3.04 US$/pc

Final quoted price for Buyer = 3.1 US$ / pc (FOB)

 

By

Engineer Sheikh Nurja

B.Sc engineer of textile

Merchandiser at buying house

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6 Comments

  1. Amirul Islam Washim

    Excellent Article

  2. Md Sakhawat Hossain

    Thanks

  3. BOSS

    PLS HOW TO LONG PANT & SHORT PANT CONSUMPTION;PLS MAIL ME

  4. Rajeshkanna, Aditya spinners, srikalahasti, India.

    I am a spinning person, excellent.

  5. MashaAllah

  6. Standard level. Thanks a lot

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