Why Do Custom Packaging Factories Have Minimum Order Quantities?

If you’ve ever sourced custom bags or packaging from a factory, you’ve likely encountered minimum order quantities (MOQs). For many buyers—especially startups or small brands—MOQs can feel restrictive. But from a manufacturing perspective, MOQs are not arbitrary. They are essential to maintaining quality, efficiency, and cost stability.

Here’s why custom packaging factories set MOQs—and why they matter.

1. Production Setup Costs Are Fixed

Custom packaging requires machine setup, tooling adjustments, color matching, and material preparation. These setup costs remain the same whether a factory produces 500 units or 50,000 units. MOQs help distribute these fixed costs across the order, keeping unit prices reasonable.

2. Raw Materials Are Purchased in Bulk

Packaging factories source fabrics, films, inks, and accessories in large batches. Small orders often cannot absorb minimum material purchase requirements, leading to waste or higher costs. MOQs ensure material utilization stays efficient.

3. Quality Control Standards

Every custom order requires testing, inspections, and sampling. Very small runs increase inspection cost per unit and raise the risk of inconsistency. MOQs allow factories to maintain stable quality across production.

4. Printing and Customization Limitations

Custom logos, colors, and finishes often involve printing plates, molds, or screens. These tools are designed for volume production, not one-off batches. MOQs ensure customization remains technically and economically feasible.

5. Efficient Production Scheduling

Factories plan production lines weeks in advance. Very small orders disrupt scheduling, slow down output, and increase labor costs. MOQs allow smoother workflow and reliable lead times for all clients.

What This Means for Buyers

MOQs are not barriers—they’re safeguards. They help ensure:

Consistent product quality

Competitive pricing

Reliable delivery timelines

Long-term supplier partnerships

For brands planning product launches or packaging upgrades, aligning order volumes with factory MOQs leads to better results and fewer surprises.