The Indian toy industry is in the midst of a golden period as domestic manufacturers are increasing their production capacity to not just meet the local demand but also to cater to the growing demand from the international markets, said Ajay Agarwal, President of, the Toy Association of India.

Speaking to Businessline on the sidelines of a two-day All India Toys Expo, Agarwal said, “There is a huge export opportunity available to the local manufacturers because Indian toys are of International standards and are priced attractively. So, many countries are now looking to procure toys from India."

He added that while big toy manufacturers have been exporting for quite some time, the volume of exports has jumped multifold in the last 2-3 years.

“Many new manufacturers have also started exports recently. Saudi Arabia is emerging as a major export market. We can soon plan exports to Europe and Japan is also exploring to provide contract manufacturing to India,” Agarwal said.

He said the Centre’s policies such as an increase in customs duty from 20 to 60 percent on imported toys and mandatory BIS certification for imports not only boosted domestic manufacturing, but also helped the industry to explore global markets and enhance exports. “Three years ago, 80 percent of toys were imported. Today, the scenario has changed completely.”

According to the Ministry of Commerce and Industry data, India’s toy imports fell drastically to $36 million in 2021-22 from $304 million in 2018-19.

As per Toy Association of India data, there are 4,000 toy manufacturing units in India, out of which 75 percent are micro units, 22 percent Small and Medium Enterprises (SMEs) and 3 percent large players. 

Agarwal said while Delhi-NCR tops the list of states with good toy manufacturing networks, it was followed by Maharashtra and Karnataka. Agarwal said the association is talking to the Tamil Nadu government seeking a toy manufacturing policy to attract investments into the state.

Image courtesy: Representative image/ANI