English News

indianarrative

India’s toy exports shoot up by 61% while imports dip 70% as local industry surges

India’s toy exports have shot up by more than 61% to $326 million (Rs. 2601.5 cr.) during 2021-22 in less than two years despite the Covid-19 pandemic (PIc. Courtesy ANI)

India’s toy exports have shot up by more than 61% to $326 million (Rs. 2601.5 cr.) during 2021-22 in less than two years despite the Covid-19 pandemic.

At the same time the import of toys in 2021-22 have reduced by 70% to USD 110 million  (Rs. 877.8 crore as there has been an increase in domestic output which is now available Indian consumers.

Toys worth $371 million (Rs. 2,960 cr.) were imported into the country in 2018-19 as the toy Industry in India has historically been import dependent. Lack of raw-material, technology, design capability led to huge imports of Toys and their components.. A large proportion of these toys were unsafe, substandard, counterfeit, and cheap.

To address the import of low-quality and hazardous toys and to enhance domestic manufacturing of toys, several strategic interventions have been taken by government.

Some key initiatives include increase of Basic Custom Duty from 20% to 60%, implementation of Quality Control Order, mandatory sample testing of imported toys, granting more than 850 BIS licenses to domestic toy manufacturers and development of toy clusters.

Several promotional initiatives including The India Toy Fair 2021, Toycathon 2021, Toy Business League 2022 were conducted to promote indigenous toys to encourage innovation and new-age design to suit global requirements.

There are several trends that mark a shift in Indian manufacturing, which includes increase in domestic value addition and local sourcing, a greater focus on R & D, innovation and sustainability measures.

Prime Minister Narendra Modi, during his Mann ki Baat broadcast in August 2020 had chalked out a vision to establish India as a global toy manufacturing hub and to strengthen domestic designing and manufacturing capabilities. The Make in India initiative in this regard appears to have triggered the growth in domestic industry.