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📊 Commercial Basics

MOQ, Lead Times & Pricing: What to Expect Sourcing from India

A grounded overview of how these commercial terms typically work — so you can evaluate a quote with confidence.

MOQ

Minimum Order Quantity

MOQ is set per manufacturer and per product — it depends on their fabric supplier's minimums, production line efficiency, and how the order fits their existing schedule. There's no fixed industry number; always confirm MOQ for your specific product and design rather than assuming a standard figure.

Lead Time

Production & Shipping Timeline

Lead time covers sampling, bulk production, quality check and transit. It varies by product complexity, current factory workload and shipping method (sea freight vs. air). Always get a specific lead time in writing for your order rather than relying on general industry estimates — and build in buffer time for your own launch or retail deadlines.

Pricing Basis

FOB vs. CIF vs. EXW

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EXW (Ex Works)

You arrange and pay for transport from the factory gate onward, including export clearance. Lowest quoted price, most responsibility on you.

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FOB (Free on Board)

The exporter delivers to the port and handles export clearance; you arrange shipping from the port onward. The most common basis for garment exports.

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CIF (Cost, Insurance, Freight)

The exporter arranges shipping and insurance to your destination port. Higher quoted price, less coordination on your end.

FAQ

Frequently Asked Questions

MOQ is driven by the manufacturer's production setup, fabric minimums from their own suppliers, and how efficiently a given order fits their production line — not an industry-wide standard.
EXW means you arrange all transport from the factory gate. FOB means the exporter delivers to the port and handles export clearance, and you arrange shipping from there. CIF means the exporter arranges shipping and insurance to your destination port. FOB is the most common basis for garment exports from India.
There's no universal figure — a deposit to begin production with the balance tied to a milestone (pre-shipment or against documents) is standard practice, but the exact split should be agreed and documented before production starts.

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