Export of Toys Increases from 96.17 million dollar in 2014-15 to 326.63 million in the 2021-2022

The Government has taken several steps to restrict import of sub-standard and unsafe toys and to promote domestic toy industry. As a result of various steps taken by the Government, the volume of import of toys into the Indian market has shown a consistently decreasing trend. The import of toys (HSN Codes 9503, 9504, 9505) to India has decreased from USD 332.55 million in 2014-15 to USD 109.72 million in 2021-22 i.e. a decrease of approximately 67%. Further, export of Toys (HSN Codes 9503, 9504, 9505) from India have increased from USD 96.17 million in 2014-15 to USD 326.63 million in 2021-22, i.e. an increase of approximately 240%.

The Government of India has taken several measures to promote indigenous toys which are broadly as under:-

i. Formulation of a comprehensive National Action Plan for Toys to promote designing of toys based on Indian values, culture and history, using toys as a learning resource organizing hackathons and grand challenges for toys designing and manufacturing monitoring quality of toys, promoting indigenous toy cluster, etc.

ii. Basic Customs Duty (BCD) on toys (HS code 9503) was increased from 20% to 60% in February, 2020.

iii. DGFT has mandated sample testing of each import consignment to curb the import of sub-standards toys.

iv. A quality control order for toys has been issued on 25.02.2020 by Department for Promotion of Industry and Internal Trade (DPIIT) through which toys have been brought under compulsory certification from Bureau of Indian Standards (BIS) w.e.f. 01.01.2021.

v. Amendment in Quality Control Order for Toys on 11.12.2020 to exempt goods and articles manufacture and sold by artisans registered with Development Commissioner, Ministry of Textiles and by registered proprietor and authorized users of a product registered as Geographical Indication by the Office of Controller General of Patents, Designs and Trademarks.

vi. Special provisions were notified by BIS on 17.12.2020 so as to grant license to micro sale units manufacturing toys without testing facility for one year and without establishing in-house testing facility.

vii. BIS have granted 1001 licenses to domestic manufacturers and 28 licenses to foreign manufacturers for manufacture of toys with BIS standard Marks.

Further, to promote MSME sector including toy industry, the Ministry of MSME is implementing various schemes for providing credit support for new enterprise creation, technology upgradation, skill development and infrastructure development. Under Prime Minister’s Employment Generation Programme (PMEGP), margin money assistance upto 35% of the project cost is being provided for the unit costing upto Rs. 50 lakh for manufacturing sector and Rs. 20 lakh in the service sector. Under the Scheme of Funds for Regeneration of Traditional Industries (SFURTI), assistance is provided for creation of Common Facility Centres with latest machines, design centres, skill development, etc. A total of 19 Toy Clusters have been approved under the scheme benefitting 11749 artisans with an outlay of Rs. 55.65 crore.

This information was given by Union Minister of State for MSME Bhanu Pratap Singh Verma in a written reply in Lok Sabha on 22 December, 2022.