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How Should a Retailer Budget for Unsold Mango Stock?

By Prashant Powle  •  0 comments  •   2 minute read

Retailer planning for unsold Alphonso mango stock

A retailer should budget for unsold mangoes as a shrink allowance built into the buying price. Estimate the share of each lot that will spoil or need a markdown, then set the selling price so the fruit you do sell covers the cost of the whole lot. Order smaller lots more often to keep that share low.

How do I calculate the cost of unsold mango stock?

Use this formula: effective cost per mango sold = total purchase cost ÷ mangoes actually sold.

Worked example: you buy 10 dozen (120 mangoes) for Rs 20,990 and sell 108. Your cost per mango sold is Rs 20,990 ÷ 108 = about Rs 194, not the Rs 175 you paid per piece. Price from Rs 194, not Rs 175. The 10% loss here is an illustration; use your own sell-through history.

How much shrink should I plan for?

  • Start with your own records from last season: what share of each lot was sold at full price, marked down or thrown away.
  • Expect higher shrink late in the season and in hot weather, when fruit ripens faster.
  • Track it lot by lot so you can adjust order size and price within the season.

How can I reduce losses on mango stock?

  1. Order smaller lots more often rather than one large lot each week.
  2. Mix ripeness stages so some fruit is ready to eat each day. Ask your supplier to dispatch at a stated ripeness.
  3. Store correctly: keep unripe Alphonso at room temperature in a single layer; refrigerate only ripe fruit, and for a few days. See how to ripen Alphonso.
  4. Mark down early: sell fully ripe fruit at a small discount before it spoils, or move it into juice or aamras.
  5. Agree replacement terms for fruit damaged in transit before you order. See our damaged carton terms.

What should be in my buying plan?

  • Weekly quantity by grade, based on last season's sales.
  • A shrink allowance per lot.
  • A target margin on the effective cost, not the invoice cost.
  • A booking for the season so supply is steady: see bulk buying for resellers.

Frequently asked questions

Should I build unsold stock into my price?

Yes. If you price on the invoice cost per piece, every spoilt mango comes out of your margin. Pricing on the cost per mango sold keeps the margin you planned.

Where can a shop buy Alphonso in bulk?

Shops and resellers can buy GI-tagged Ratnagiri and Devgad Alphonso from us by the lot. Use our business partnership page to ask about the 2027 season.

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