Cost

RUTF is both simple and complex

Simple, in that it is really just a little peanut butter with some vitamins and milk powder. Essentially a simple way to think about it is if you dumped a specialized baby formula in peanut butter to stabilize it and avoid having to add water.

Where it starts to get complex is that the commodities that make it up, the peanuts, the sugar, the milk, the oils , the vitamins and the packaging materials are always fluctuating in price. And the supply chain that provides any one of these crucial ingredients or aspects has ups and downs as well. So what is essentially a very simple product can be hard to make at times and it can be hard to predict what the cost will be.

RUTF is both simple and complex

Simple, in that it is really just a little peanut butter with some vitamins and milk powder. Essentially a simple way to think about it is if you dumped a specialized baby formula in peanut butter to stabilize it and avoid having to add water.

Where it starts to get complex is that the commodities that make it up, the peanuts, the sugar, the milk, the oils , the vitamins and the packaging materials are always fluctuating in price. And the supply chain that provides any one of these crucial ingredients or aspects has ups and downs as well. So what is essentially a very simple product can be hard to make at times and it can be hard to predict what the cost will be.

To remedy this and provide transparency, Mana operates on what is essentially a cost-plus model. In this regard we are very similar to Mark Cuban’s new Cost Plus Drugs company. We don’t do what we do for a profit. Instead, we show our costs as best we can and we add a very small margin so we can stay in operation for the long haul. Thus, when we provide you with the “cost” of RUTF we try our best to be transparent and accurate, but it is easiest to express this fluctuating market in general terms.

In general it costs about $50 to make a box. Then it costs about $5 a box in shipping to get it where it needs to be. If you have any questions about Mana and its operations we invite you to check out our 990. Since we are structured as a non-profit we are obligated to publish all information about our finances and our salaries etc. Even though we are a non-profit, we don’t operate with a non-profit mentality. We try to operate like a business, but one that is determined to keep our margins as small as possible and to reinvest 100% of any profits back into our mission. Essentially we think of ourselves as owned by the children we serve. Since they own us, we give them all the profits.

In general it costs about $50 to make a box. Then it costs about $5 a box in shipping to get it where it needs to be. If you have any questions about Mana and its operations we invite you to check out our 990. Since we are structured as a non-profit we are obligated to publish all information about our finances and our salaries etc. Even though we are a non-profit, we don’t operate with a non-profit mentality. We try to operate like a business, but one that is determined to keep our margins as small as possible and to reinvest 100% of any profits back into our mission. Essentially we think of ourselves as owned by the children we serve. Since they own us, we give them all the profits.

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Date last updated: 02/22/2023

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