diff --git a/erpnext/manufacturing/doctype/bom/bom.json b/erpnext/manufacturing/doctype/bom/bom.json
index 11ce46f518a7..67de6a0632b9 100644
--- a/erpnext/manufacturing/doctype/bom/bom.json
+++ b/erpnext/manufacturing/doctype/bom/bom.json
@@ -238,7 +238,7 @@
    "fieldname": "rm_cost_as_per",
    "fieldtype": "Select",
    "label": "Rate Of Materials Based On",
-   "options": "Valuation Rate\nLast Purchase Rate\nPrice List\nManual"
+   "options": "Valuation Rate\nLast Purchase Rate\nPrice List"
   },
   {
    "allow_on_submit": 1,
@@ -637,7 +637,7 @@
  "image_field": "image",
  "is_submittable": 1,
  "links": [],
- "modified": "2024-03-27 13:06:40.214929",
+ "modified": "2024-04-02 16:22:47.518411",
  "modified_by": "Administrator",
  "module": "Manufacturing",
  "name": "BOM",
diff --git a/erpnext/manufacturing/doctype/bom/bom.py b/erpnext/manufacturing/doctype/bom/bom.py
index cb56172ca846..40b4c4f74552 100644
--- a/erpnext/manufacturing/doctype/bom/bom.py
+++ b/erpnext/manufacturing/doctype/bom/bom.py
@@ -147,7 +147,7 @@ class BOM(WebsiteGenerator):
 		quality_inspection_template: DF.Link | None
 		quantity: DF.Float
 		raw_material_cost: DF.Currency
-		rm_cost_as_per: DF.Literal["Valuation Rate", "Last Purchase Rate", "Price List", "Manual"]
+		rm_cost_as_per: DF.Literal["Valuation Rate", "Last Purchase Rate", "Price List"]
 		route: DF.SmallText | None
 		routing: DF.Link | None
 		scrap_items: DF.Table[BOMScrapItem]
@@ -737,6 +737,7 @@ def update_rate_and_time(self, row, update_hour_rate=False):
 
 	def calculate_rm_cost(self, save=False):
 		"""Fetch RM rate as per today's valuation rate and calculate totals"""
+
 		total_rm_cost = 0
 		base_total_rm_cost = 0
 
@@ -745,7 +746,7 @@ def calculate_rm_cost(self, save=False):
 				continue
 
 			old_rate = d.rate
-			if self.rm_cost_as_per != "Manual":
+			if not self.bom_creator:
 				d.rate = self.get_rm_rate(
 					{
 						"company": self.company,
@@ -1017,8 +1018,6 @@ def get_bom_item_rate(args, bom_doc):
 		item_doc = frappe.get_cached_doc("Item", args.get("item_code"))
 		price_list_data = get_price_list_rate(bom_args, item_doc)
 		rate = price_list_data.price_list_rate
-	elif bom_doc.rm_cost_as_per == "Manual":
-		return
 
 	return flt(rate)
 
diff --git a/erpnext/manufacturing/doctype/bom_creator/bom_creator.json b/erpnext/manufacturing/doctype/bom_creator/bom_creator.json
index de4d2540071f..1e8237c03f78 100644
--- a/erpnext/manufacturing/doctype/bom_creator/bom_creator.json
+++ b/erpnext/manufacturing/doctype/bom_creator/bom_creator.json
@@ -66,7 +66,7 @@
    "fieldname": "rm_cost_as_per",
    "fieldtype": "Select",
    "label": "Rate Of Materials Based On",
-   "options": "Valuation Rate\nLast Purchase Rate\nPrice List\nManual",
+   "options": "Valuation Rate\nLast Purchase Rate\nPrice List",
    "reqd": 1
   },
   {
@@ -288,7 +288,7 @@
    "link_fieldname": "bom_creator"
   }
  ],
- "modified": "2024-03-27 13:06:40.535884",
+ "modified": "2024-04-02 16:30:59.779190",
  "modified_by": "Administrator",
  "module": "Manufacturing",
  "name": "BOM Creator",
diff --git a/erpnext/manufacturing/doctype/bom_creator/bom_creator.py b/erpnext/manufacturing/doctype/bom_creator/bom_creator.py
index 160b3bef39b2..0158f7c5b979 100644
--- a/erpnext/manufacturing/doctype/bom_creator/bom_creator.py
+++ b/erpnext/manufacturing/doctype/bom_creator/bom_creator.py
@@ -59,7 +59,7 @@ class BOMCreator(Document):
 		qty: DF.Float
 		raw_material_cost: DF.Currency
 		remarks: DF.TextEditor | None
-		rm_cost_as_per: DF.Literal["Valuation Rate", "Last Purchase Rate", "Price List", "Manual"]
+		rm_cost_as_per: DF.Literal["Valuation Rate", "Last Purchase Rate", "Price List"]
 		set_rate_based_on_warehouse: DF.Check
 		status: DF.Literal["Draft", "Submitted", "In Progress", "Completed", "Failed", "Cancelled"]
 		uom: DF.Link | None
@@ -141,9 +141,6 @@ def add_boms(self):
 		self.submit()
 
 	def set_rate_for_items(self):
-		if self.rm_cost_as_per == "Manual":
-			return
-
 		amount = self.get_raw_material_cost()
 		self.raw_material_cost = amount
 
@@ -285,7 +282,6 @@ def create_bom(self, row, production_item_wise_rm):
 				"allow_alternative_item": 1,
 				"bom_creator": self.name,
 				"bom_creator_item": bom_creator_item,
-				"rm_cost_as_per": "Manual",
 			}
 		)