diff --git a/erpnext/manufacturing/doctype/bom/bom.py b/erpnext/manufacturing/doctype/bom/bom.py
index c36a77c6a175..3f88a705da92 100644
--- a/erpnext/manufacturing/doctype/bom/bom.py
+++ b/erpnext/manufacturing/doctype/bom/bom.py
@@ -792,11 +792,8 @@ def calculate_rm_cost(self, save=False):
 		base_total_rm_cost = 0
 
 		for d in self.get("items"):
-			if not d.is_stock_item and self.rm_cost_as_per == "Valuation Rate":
-				continue
-
 			old_rate = d.rate
-			if not self.bom_creator:
+			if not self.bom_creator and d.is_stock_item:
 				d.rate = self.get_rm_rate(
 					{
 						"company": self.company,