Cost Analysis of Garments | Factors of Costing of a Garment

Cost Analysis of Garments
Noor Ahmed Raaz
B.Sc. in Apparel Manufacturing
Asst. Merchandiser
Opex Sinha Group, Narayongonj

Cost Analysis:
Costing of garment is a very important task for a garment factory which runs for business purposes. Costing of the garments considering the raw materials expenditure, salary and wages of officers and workers, distributions and advertisement expenses etc. all direct and indirect expenses is done in this factory. It is determined by a troop of accountants with advice and consultancy of executive director.
Garments costing
Garments costing
Factors of Costing of a Garment:
The following factors are considered for costing any dyed product.
  1. Total dyes and chemical cost.
  2. Total utility cost
  3. Salary
  4. Lunch
  5. Entertainment cost
  6. Government cash incentive
  7. Yarn cost
  8. Knitting cost
  9. Cost of dyeing
  10. Cost of finishing
  11. Cost of cutting ,sewing, accessories etc
  12. Cost of printing (If any)
  13. Cost of cutting, sewing, cartooning etc.
  14. Labor cost (direct & indirect)
  15. Factory cost
  16. Sales and caring cost
Price of the Product:
Generally price of product is determined by the required profit adding to the total expenses. So,

Price of products= (Direct expenses + Indirect expenses + Factory Overhead) + Required profit

The costing of the product is a secret matter of the Ind. They are not interested to flash up the cost related data. So we could not collect the price of product & costing of the product
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Mazharul Islam Kiron is a textile consultant and researcher on online business promotion. He is working with one European textile machinery company as a country agent. He is also a contributor of Wikipedia.

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