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Carton Consumption and Costing

The area of cardboard that is required to prepare a carton is called carton consumption usually express in Square Feet (SFT) or Square meters (SQM). Carton cost depends on carton consumption and other factors of cost including materials, ply, seaming, print, etc.

Carton Consumption and Costing

Formula for Carton Consumption 
Merchandiser specifies 3-dimensional measurement when he/she places an order for carton, but typically carton sold in plyboard area which is derived from 3 dimensions that as follows
  1. Inch to SFT = {(L” + W” + 2”) X (H” +W” +2”) X 2} ÷ (12 X 12)
  2. Inch to SQM = {(L” + W” + 2”) X (H” +W” +2”) X2} ÷ (39.37 X 39.37) 
  3. CM to SFT = {(L cm + W cm + 5) X (H cm + W cm+ 5) X 2} ÷ (30.48 X 30.48) 
  4. CM to SQM = {(L cm + W cm + 5) X (H cm +W cm+ 5) X 2} ÷ (100 X 100) 
Example - 1 
Carton Dimension L = 22 inch, W = 16 inch, H =14 inch
  1. SFT = {(22 + 16 + 2) X (14 + 16 + 2) X 2} ÷ (12 X 12) = 17.78
  2. SQM = {(22 + 16 + 2) X (14 + 16 + 2) X 2} ÷ (39.37 X 39.37) = 1.65
Example - 2 
Carton Dimension L = 56 cm, W = 40 cm, H = 36 cm
  1. SFT = {(56 + 40 + 5) X (36 + 40 + 5) X 2} ÷ (30.48 X 30.48) = 17.61
  2. SQM = {(56 + 40 + 5) X (36 + 40 + 5) X 2} ÷ (100 X 100) = 1.64
Carton Materials Ply Board Rate
The Plyboard rate depends on typical materials, ply, and seaming. But it may vary from one supplier to the next. 

Ply
SFT
SQM
3
$ 0.05
$ 0.60
5
$ 0.07
$ 0.80
7
$ 0.08
$ 0.90

Combined Formula for carton Costing
  1. Inch to SFT = {(L” + W” + 2”) X (H”+W”+2”) X 2 X $ @ SFT} ÷ (12 X 12)
  2. Inch to SQM = {(L” + W” + 2”) X (H”+W”+2”) X 2 X $ @ SQM} ÷ (39.37 X 39.37)
  3. CM to SFT = {(L cm + W cm + 5 cm ) X (H cm + W cm+5 cm) X 2 X $ @ SFT} ÷ (30.48 X 30.48) 
  4. CM to SQM = {(L cm + W cm + 5 cm ) X (H cm + W cm + 5 cm) X 2 X $ @ SQM} ÷ (100 X 100)
Example -
Carton Dimension L = 22 inch, W = 16 inch, H =14 inch
Rate per SQM= $0.90 (7 Ply)
Carton Cost = {(22 + 16 + 2) X (14 + 16 + 2) X 2 X $0.90} ÷ (39.37 X 39.37) = $1.4864

Required carton and cost for an order
  • Order qty: 36,000 Pcs.
  • Garment/ carton: 18 Pcs.
  • Ply board cost/SQM $0.90 (7 Ply)
  • Carton Dimension: L X W X H = 22 inch X 16 inch X 14 inch
Workout-
  1. No. of carton required 
  2. Plyboard required per carton in SQM
  3. Cost per carton
  4. The total cost of the carton for this order
Solution
  1. No. of carton required = (36,000÷18) = 2000
  2. Ply board required per carton in SQM = {(22 + 16 + 2) X (14 + 16 + 2) X 2} ÷ (39.37 X 39.37) = 1.65
  3. Cost per carton = {(22 + 16 + 2) X (14 + 16 + 2) X 2 X $0.90} ÷ (39.37 X 39.37) = $1.4864 
  4. Total cost of carton for this order = {(22 + 16 + 2) X (14 + 16 + 2) X 2 X $0.90 X 2000} ÷ (39.37 X 39.37) = $2972.80

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