Markets & pricing MOQ

Minimum order quantity (MOQ)

The smallest order a supplier will accept. For raw materials the MOQ is usually defined by a container (e.g. 20–25 t of resin, one 40’HC), a production batch or a truckload; for bulk cargo it may be a ship parcel such as 5,000 t. Requests below the MOQ are served at a higher unit price, from stock or via distributors. On the platform, large transactions go to the deal room, while small quantities are routed to direct contact with the supplier.

Related terms

Request for quotation (RFQ)

A document in which a buyer asks suppliers for prices, stating the material, specification, quantity, delivery place, Incoterm, payment terms and required delivery date. A good RFQ also sets the acceptable quality range, required documents (COA, TDS, certificates), packaging and how long offers must remain valid, so that offers can be compared like for like. On the marketplace, published buying requests are sent to verified suppliers in the relevant category.

Full container load (FCL) and less than container load (LCL)

With FCL a whole container is dedicated to one shipper’s cargo: it is stuffed and sealed at the factory and opened at the buyer’s warehouse. With LCL small lots from several shippers are consolidated in one container at a consolidator’s warehouse and charged per cubic metre or tonne, whichever is greater. In raw material trade FCL is usually cheaper and safer above roughly 10–15 m³; LCL suits samples and small orders.

Spot purchase vs. term contract

A spot purchase is a one-off deal at the current market price for prompt delivery: flexible, but exposed to price and supply swings. A term contract secures regular shipments over a period (a quarter, a year) at a fixed or formula-linked price, giving security of supply but often with a minimum off-take (take-or-pay) obligation. Manufacturers usually balance risk by covering part of their needs on term and buying the rest spot.

Explained in the trade handbook

Trade handbook