Manufacturing

Understanding MOQ: Minimum Order Quantities Explained

Everything you need to know about MOQ, how to negotiate it, and strategies for small businesses starting out.

November 22, 2025
5 min read
BG

Bluglo Team

Sourcing Specialists

Minimum Order Quantity—commonly known as MOQ—is one of the most important concepts in global sourcing. Whether you're importing from China, Vietnam, Thailand, or any other manufacturing market, MOQs determine how much you must buy, what price you'll pay, and whether a supplier will take on your order at all.

For new importers and small businesses, MOQ can feel like a hurdle. But when you understand how MOQs work—and how to negotiate them—you gain leverage, reduce risk, and set yourself up for successful sourcing.

What Is MOQ?

Minimum Order Quantity (MOQ) is the smallest quantity of a product a supplier is willing to produce or sell in a single order.

For example: If a factory's MOQ for custom t-shirts is 500 units, they won't accept orders for 100 or 200 pieces.

Factories set MOQs to ensure profitable production runs

Types of MOQ

Unit MOQ

Minimum number of units (e.g., 500 shirts)

Value MOQ

Minimum order value (e.g., $5,000 minimum)

SKU MOQ

Per-color or per-style minimum

Why Suppliers Use MOQ

Setup costs: Machines, molds, dies cost money
Raw materials: Bulk purchases are cheaper
Efficiency: Large runs are more profitable
Risk reduction: Avoid small, unprofitable orders

Typical MOQs by Product Type

Product Type Typical MOQ
Apparel 300-1,000 units
Electronics 500-5,000 units
Furniture/Homeware 100-500 units
Packaging 1,000-10,000 units
Toys 500-3,000 units
Custom products Often higher

10 Strategies to Negotiate Lower MOQs

1

Start with Trial Orders

Position first order as a test. Promise larger orders if quality meets expectations.

2

Combine Multiple Products

Order multiple SKUs to meet factory's total value MOQ.

3

Simplify Customization

Reduce colors, designs, and complexity to lower MOQ.

4

Offer Upfront Payment

Pay deposit quickly or offer better payment terms for flexibility.

5

Build Long-Term Partnerships

Show commitment to repeat orders for lower MOQs.

6

Use a Sourcing Agent

Agents can consolidate orders or negotiate on your behalf.

7

Shop During Slow Seasons

Factories are more flexible when demand is low.

8

Accept Longer Lead Times

Offer flexibility on delivery for lower MOQ.

9

Work with Trading Companies

Traders can combine orders but may have higher prices.

10

Find Smaller Factories

Smaller suppliers often have lower MOQs than large manufacturers.

Tips for Small Businesses

Test with samples first

Validate quality before committing to MOQ

Start with stock products

Ready-made items have lower MOQs

Partner with other businesses

Split large orders to meet MOQ

Common Mistakes to Avoid

Ordering too much inventory

Ignoring storage costs

Accepting poor quality to hit MOQ

Not comparing multiple suppliers

MOQ Negotiation Support

Need Help Negotiating MOQs or Finding Low-MOQ Suppliers?

BluGlo specialises in sourcing for:

Startups

Retailers

Small wholesalers

Established brands

Our Asia team helps you:

Negotiate MOQs
Verify factories
Inspect quality
Manage production
Reduce sourcing risk

Contact us to help you with your sourcing requirements

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