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Building materials costing: freight is a main line, not a footnote

Costing concrete, block, brick or precast. The raw material is cheap and heavy, so freight by weight and distance often exceeds the processing cost — which makes delivery radius part of the cost sheet.

Updated

This trade inverts the usual order. In the industries above, material is the big line and freight is small. Here the raw material is **cheap and very heavy**, so freight often exceeds everything spent processing it.

Which means two identical products can have genuinely different costs depending on **how far they are delivered** — and the sheet has to state the distance it assumes.

Freight by weight and distance

Unlike furniture, where the truck fills on space, here it fills on **payload**. So units per load are set by weight, while the cost of a load depends on the distance run.

Enter two numbers: cost per load and units per load. But record **what distance that cost corresponds to** — without it, the figure cannot be compared with another plant's.

This is the trade where delivery radius is a commercial decision visible in the cost sheet. Beyond some distance the product stops competing with a plant closer to the customer, even if your production cost is lower.

Curing occupies space, not labor

Concrete and precast need time before dispatch. That time consumes no labor and no machine hours — but it occupies **yard space** and ties up capital.

If yard space is scarce at your plant, that is a genuine constraint and reducing occupancy time earns real money. If you have spare yard, it earns nothing — precisely the case the bottleneck guide describes.

Three lines worth attention

CategoryWhat is distinctive
MaterialMix proportions by weight: cement, sand, aggregate, admixture, water. Use the mix actually running, not the original design mix if they differ
FreightA major line, by weight and distance. State the assumed distance
OverheadCuring yard area is usually the largest overhead component in this trade

The other seven follow the general method described in the other guides. Rework rarely applies — once cured, a defective unit is scrap.

Related guides

Building materials costing: freight is a main line, not a footnote | costdown.org