Apparel Packing Materials | Apparel Packaging Cost Calculation Formula

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Packing or Packaging of Apparel:

Packing process is one of the most significant processes in apparel manufacturing industry. This process is done by finishing department. There are different types of packing methods which is done according to the buyer’s instruction. In another article i have shared an article about How to calculate finishing cost and finishing rate in textile industry.
Apparel packing or packaging department in apparel industry
Fig: Packing or packaging department in apparel industry

Packing or packaging is an important part of the products which has to receive a lot of information’s to the people. Packing means wrapping, compressing, filling or creating of goods for the purpose of protection of apparel and also for convenient handling.

Apparel Packing or Packaging Materials in Finishing Department:

There are some apparel packing materials used in packaging. Those are pointed out in the following:

  1. Paper and Cardboard,
  2. Plastic material,
  3. Creep paper,
  4. Tissue paper,
  5. Carton box,
  6. Insert card,
  7. Small barcode sticker,
  8. Size sticker,
  9. Tag bullet,
  10. Hologram sticker,
  11. Gum tape,
  12. Plastic strap,
  13. Strap machine.

Apparel Packing Cost Calculation Formula:

To calculate the apparel packing cost, below formula has to maintain.

Packing cost per apparel,
         (D.M + D.L + D.E + O.H)
= ………………………………………….

    Total apparel packing production

Here,
D.L means direct labor cost,
D.M means direct material cost,
D.E means direct expense cost,

O.H means overhead cost.

Key Elements of Apparel Packing Cost:

The cost elements involved in the apparel packing process are as in the following:

  1. Direct material cost – Poly bags, tags, labels, hangers, hangtags, pouches, barcode stickers, insert card, hologram stickers, carton box, inner box, packing strap, tag bullets, gum tape, color stickers, size stickers, price stickers etc.
  2. Direct labor cost – Packing labors.
  3. Direct expense cost – Cost of re-packing, hiring charge of carton-strap packing machine.
  4. Overhead cost – Salary, power, transport etc.

Major Factors of Apparel Packing Cost:

There are so many factors which are directly affected on apparel packing cost. Those are in listed in the below:

  1. Style of apparel,
  2. Types of assortment.
  3. Number of packing or packaging materials.
  4. Types of apparel packing – Single, combo, bulk packing.

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