What are Indirect Materials

What are Indirect Materials?

Materials used in the production process by a business are known as indirect materials. In general, indirect materials include consumables, including disposable tools, cleaning chemicals, safety equipment, glue, and oil. They improve the safety or effectiveness of the production process. We cannot directly connect them to a particular position or item, though. Sometimes an informal system is used to decide when extra indirect materials need to be ordered, rather than recording indirect items through a conventional inventory.