Dispensing of raw materials as per fifo/fefo

Stores
1

We have received Raw material on 01/01/2018 which has expired on 2020 and after two months we have received another consignment on 01/04/2018 with the expiry 2019.

We have dispensed from 01/01/2018 to till 31/03/2018 from the first consignment which has expiry date of 2020 and left with some quanity. Now we have to dispense the material on 01/04/2018 of the same material.

By following the FIFO you have to dispense the material received on 01/01/2018. if you follow FEFO then you need to dispense the second consignment as the expiry date is on 2019.

Now the question is which method to be followed .

1 Like
2

It is necessary to use the material has the nearest expiry date means you should follow FEFO first and if expiry is same then follow FIFO.
I hope this helps.

3 Likes
3

Matetial having near expiry date should be consumed first…

3 Likes
4

Yes, first follow FEFO and then FIFO.

1 Like
5

Tq Sir

6

FEFO METHOD WE HAVE FOLLOW

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IN CASE OF RM FOLLOW FEFO & IN CASE OF PM FOLLOW FIFO…

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in such case First expiry shall be dispensed first with information to QA & QC