The Fundamentals of Garment Costing

Event Date: 2021-02-25

AECE participated in “The Fundamentals of Garment Costing” series of webinars to introduce the International Trade Centre’s (ITC) new technical guide to help garment factories move from basic costing to full value costing and beyond. In the first two sessions, the discussion focused on full value garment costing and how textile and clothing (T&C) industry stakeholders, compromising of governments, industry organizations, and entrepreneurs’ could move their sector forward by utilizing the knowledge of full value costing. In the third session, the webinar focused on basics of garment costing and provided a rigorous analysis on which all garment costings are based. It described each component of the basic garment cost sheet: fabric trim, direct labour overhead and profit. Also showed how each is calculated. It explained the limitations of the basic cost sheet as an approximation and the job costing as an exact calculation.