Gross Processing Margin

This Issue in United States

Concept of Gross Processing Margin (GPM) in Futures Trading

In this context of financial law, the following is a definition of Gross Processing Margin (GPM): Refers to the difference between the cost of a commodity and the combined sales income of the finished products that result from processing the commodity. Various industries have formulas to express the relationship of raw material costs to sales income from finished products. See Crack Spread, Crush Spread, and Spark Spread.