Costing Procedure for Men’s Basic T-Shirts

costing of men's basic t-shirt

What is Men’s Basic T-Shirt?
The most comfortable clothing for men’s is basic t-shirt. T-shirt is a style of fabric shirt named after the T shape of its body and sleeves. T-shirts are a staple in any man’s wardrobe. When it comes to men’s clothing, t-shirts are an essential that every guy should have. T-shirts are versatile enough to wear as part of any outfit. T-shirts are inexpensive to produce and easy to clean. Besides, t-shirts are often part of fast fashion. In this article I will discuss costing process for men’s basic t-shirts.

parts of men's basic t-shirt
Fig: Different parts of men’s basic t-shirt

Costing Process for Men’s Basic T-Shirts:
Consider the 100% cotton single jersey knitted fabric having GSM of 150, with the order quantity of 15,000 pieces. The measurements for the production of garment are given below.

  1. 1/2 Chest – 73 cm, Allowance – 5 cm
  2. Body length – 86 cm, Allowance – 5 cm
  3. Sleeve length – 36 cm, Allowance – 5 cm

Assumptions:

  1. Yarn cost/kg: $3.40
  2. Knitting and washing cost/kg: $1.10
  3. Dyeing cost/kg: $1.90
  4. Printing cost/dozen: $4.50
  5. Accessories cost per dozen: $1.50

Costing Formula:

…………(Body length + Sleeve length + allowance) x {(1/2)Chest + allowance) x 2 x GSM x 12
1. Fabric Consumption = ——————————————————————————- + Wastage (%)
…………………………………………………………….10000000

(91 + 41) x 78 x 2 x 150 x 12
= ————————————————- + 10 (%)
……………..10000000

= 3.70 x 10%

= 4.07 kgs/dozen garments

2. Grey fabric cost/dozen = Yarn cost/kg x Fabric consumption/dozen

= 3.4 x 4.7

= $13.84

3. Actual fabric cost = Grey fabric cost + Knitting and Washing Cost + Dyeing Cost

= 13.84 + 1.10 + 1.90

= $16.84

The final cost of the garment can be arrived as shown in below Chart.

Garment Costing of T- Shirt:

  • Fabric cost/dozen garments = $16.84
  • Printing cost/dozen garments = $4.50
  • Accessories cost/dozen garments = $1.50 (approx.)
  • CM cost/dozen of garments = $6.00 (approx.)
  • Sub total = $28.84
  • Transportation cost (0.5%) = $0.14
  • Clearing and loading cost (2%) = $0.57
  • Overhead cost (0.5%) = $0.14
  • Net cost = $29.69
  • Profit (15%) = $4.45
  • Net Free On Board price = $34.14
  • Freight (4%) = $1.36
  • Net C and F price = $35.50
  • Insurance (1%) = $0.35
  • Net CIF price/dozen = US$35.85
  • Net CIF price per piece = US$2.99

You may also like:

  1. Fabric Consumption for Basic T-shirt
  2. Fabric Consumption of Polo T-Shirt

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