Fabric Is Usually the Biggest Line Item
Fabric typically accounts for 40–60% of a garment's manufacturing cost, driven by fibre content, GSM (weight) and finishing. A 100% cotton 280 GSM jersey tee costs meaningfully less per unit than a 400 GSM French terry hoodie in an organic or GOTS-certified fabric — heavier fabric uses more raw material, and certified organic fibre typically carries a price premium over conventional cotton. When two quotes for "the same hoodie" differ significantly, fabric spec is the first place to check.
Labour Cost Varies by Country and Complexity
Labour cost depends on both where a garment is made and how complex the construction is. A basic crew-neck tee requires far fewer operations than a hoodie with a lined hood, kangaroo pocket, ribbed cuffs and drawcord — more seams and trims mean more labour minutes per unit. This is why country-level labour cost comparisons only tell part of the story; construction complexity can matter as much as country of manufacture.
Minimum Order Quantity Changes Your Unit Price
Unit cost almost always drops as order quantity rises, because development time, sampling and machine setup costs are spread across more pieces. A 500-piece test order will cost more per unit than a 5,000-piece reorder of the same exact style — which is normal, not a sign of a bad deal. Most buyers treat the first small order as a test cost and expect the unit price to improve meaningfully once a style proves itself and reorders at volume, rather than expecting bulk pricing from day one.
Trims, Certifications and Compliance Add Real Cost
Metal hardware, woven labels, embroidery and certified fabrics (OEKO-TEX, GOTS) all add cost over basic alternatives — and audited compliance itself (BSCI, WRAP) carries overhead that an unaudited factory simply doesn't have. A lower quote from an unaudited supplier isn't necessarily a better deal — it may just be excluding costs a compliant factory has to carry.
What a Fair Quote Should Include
A trustworthy quote should break out fabric, labour, trims and any tooling or development charge separately, not bury everything in a single per-unit number — and it should specify what quantity, fabric weight and construction it's actually based on, since a quote for "a hoodie" at 500 pieces and a quote at 5,000 pieces aren't comparable. If a manufacturer won't break down what's driving the number, that's worth asking about directly before committing to a sample, let alone bulk.