Agricultural Products Logistics Cost Analysis Based On Activity-based Costing

With the continuous development of economy, the logistics industry in China is also developing rapidly, but compared to other developed countries, the logistics industry in China is still in a backward state, mainly in the logistics spending. The backward technology, backward logistics facilities and imperfect logistics system cause the high logistics costs, particularly in the area of agricultural products logistics. Agricultural products in China are different from those in other countries. The origins of agricultural products in China are dispersed, and have no standardized logistics system, however the sales are all over the country, so the phenomenon increasedthe complexity of the agricultural products logistics.In response to this phenomenon, this article describes the characteristics of the agricultural products logistics. In addition, in order to identify the lack of research in agricultural products logistics costs, this article introduces and compares the logistics for agricultural at home and abroad. This article describes activity-based costing concepts, principles, the implementation of the conditions and steps, as well as the introduction of the model and cost control system. This article reflects the advantage of activity-based costing and activity-based costing implementation of necessity.According to the above theory, combined with existing agricultural logistics status quo, the article analyzes the entire process cost of Fuji apple from the library to the sale by activity-based costing. The characteristics of the article is that the paper accurately accounted the cost of the Fuji apple by analyzing its operating activities, and found that logistics costs account for a proportion of the total cost of the product was35.1%. This study found that the cost of the storage areas accounted for31.5%of the cost of logistics, material handling part of the cost accounted for22.5%of logistics costs, transport costs account for only8.3%of the cost of logistics costs. Part of the logistics cost is not balanced because apple requires long-term preservation storage, purchasing fewer, the handling more times and inefficient. To solve these problems, this article proposed keeping apple fresh by appropriate increasing the warehouse temperature and using chemical reagents. This article got the optimized logistics costs26.6%of the total costby reasonable arrangement for the library amount to reduce the number of libraries, handling times and reduce labor costs. Then, contrast with the original cost of logistics, the paper reflected the importance of the reasonable arrangements for the amount of library. In addition, the study showed that the optimization measures are applicable to the entire area of agricultural logistics, In other words, throughout the logistics of agricultural products, this article was recommended to reduce the cost of transport and increase the number of transport to reduce inventory costs and balance the cost of logistics operations, to achieve the purpose of reducing the overall cost of logistics, In addition, the paper recommendedus paying attention on information sharing and proposed to provide a platform by creating a bilateral network. So, the supply and market can get reliable agricultural products information so that they can supply and purchase the agricultural products fast and efficient.