Tool 1.8 AWI cost of production calculator for wool enterprises
Calculating your cost of production is an important step in assessing flock profitability and a first step to improving profitability.
Use the AWI cost of production calculator for wool to compare the efficiency of your business year on year, and then compare it against other wool producers with similar resources to your own.
If your business has multiple enterprises and you’re only calculating the cost of production for one, you must be careful not to over-allocate expenses, such as overhead and labour expenses, to that enterprise. This will generate an inflated cost of production estimate.
To access the AWI cost of production calculator, visit https://www.wool.com/training-extension/drought-resources/#cost-of-production.
Knowing your cost of production is just the first step. Measure the performance of your business in more detail and for all enterprises using the other calculators in this module.
