Market Price Realisation Calculator

Work out market price realisation instantly with clear inputs, formula shown and shareable results.

About Market Price Realisation Calculator

The price on the auction board is not what the farmer banks. Commission, market fee, cess, weighing, loading and cleaning charges come off as a percentage, and freight to the market comes off per tonne. Net realisation per tonne is what should be compared against the cost of production.

Formula

Net realisation

Net = gross price x quantity - deductions % - transport per tonne x quantity; net per tonne = net / quantity

Worked example

With the default values below, Market Price Realisation Calculator returns Net Price Realised Per Tonne of $22,475.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Gross Price Receivedminimum 0 per tonne: 25,000 per tonne
Quantity Soldminimum 0 tonnes: 20 tonnes
Market Deductionsaccepts 0–50 %: 6.5 %
Transport And Handlingminimum 0 per tonne: 900 per tonne

Results

Net Price Realised Per Tonne: $22,475.00
Gross Sale Value: $500,000.00
Total Deductions: $50,500.00
Net Amount Received: $449,500.00

Step by step

1Values used
2Net realisation
3Net Price Realised Per Tonne= 22,475.00
4Gross Sale Value= 500,000.00
5Total Deductions= 50,500.00
6Net Amount Received= 449,500.00

Assumptions and limits

The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
In particular, this calculator does not take inflation, fees or charges or compounding frequency into account.
Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

Why compare net realisation rather than the quoted price?

Two markets quoting the same price can pay very differently once commission and freight differ. Only the net figure tells you where to sell.

Are deductions capped?

Most agricultural market acts cap commission and market fee, commonly at 1-2.5% each. Ask for an itemised sale slip and challenge charges outside the notified schedule.