What are the reasons for early Mongolian orders being so rare?

[Urnuh]

The early type orders and badges of the MPR awarded to Mongolians were withdrawn by the Government as soon as the design of the orders and badges changed. This was the case for the most of the 1926 type orders and in many cases for 1940 type awards. In return, the recipients received corresponding orders or badges of the new design. According to archival information, the withdrawn and un-awarded orders and badges of 1920s and 1930s types were recycled in 1944. In November 1944, more than 42 kg of orders and badges of older design (1926 type Red Banners and 1936 type OPS) were shipped to the Soviet Union for recycling.

Below is the letter of the Member of the Presidium of the State Small Khural D. Dashzeveg addressed to Mongolian Embassy in Moscow certifying that 42 kg of outdated orders were sent to the Mongolian Embassy in Moscow with Ambassador Sambuu for subsequent recycling. The letter is dated November 9, 1944.

Some more information on this is given in my book "The Orders and Medals of the Mongolian People's Republic".