What is a buying group or buying committee in Indian wholesale textile trade?

A buying group (or buying committee) is an informal or formal association of multiple retailers who pool their orders together to increase purchasing power and meet wholesale minimum order quantities that they cannot reach individually.

How it works in practice:

• 5–10 small boutique owners form a WhatsApp group or local association
• They collectively decide on catalog purchases each season
• One person (the coordinator) places the combined order with the supplier
• Goods are received centrally and distributed among members
• Each member pays their share — often the coordinator adds a small service fee of 2–5%

Benefits: Access to manufacturer-direct pricing (higher MOQ unlocked), better negotiating position, shared shipping cost, and access to exclusive catalogs not available at low quantities.

Risks: Disputes about product distribution, coordination burden on the organizer, and liability for the full order if one member drops out.