Current Status of India's Toy Industry

Export Performance

  • Total exports increased from US$152.7 million (2017-18) to US$384.7 million (2025-26) — growth of 151.9%
  • Electronic and non-electronic toys: Rose from US$77.35 million to US$200.89 million (160% growth)
  • Gaming products (video game consoles, machines): Nearly tripled from US$15.68 million to US$46.75 million
  • Festive and carnival articles: Increased by 130% from US$59.69 million to US$137.03 million

Key Export Destinations

  • United States: Largest market, exports grew from US$26.7 million to US$111.9 million
  • Other major markets: United Kingdom, Poland, Netherlands, Germany, UAE, Russia, France, Sweden

Trade Balance Transformation

  • 2017-18: Trade deficit of US$213.01 million
  • 2025-26: Trade surplus of US$152 million
  • Imports of traditional and educational toys declined by 66%

Employment Growth

  • Workers in Games and Toys industry: More than doubled from 8,685 (2018-19) to 17,693 (2023-24)

Significance of India's Toy Industry

Cultural Heritage and Civilisational Continuity

  • India's toy-making tradition dates back 5,000 years — from Indus Valley clay carts to dolls inspired by Ramayana and Mahabharata
  • Preservation of regional folklore and traditional craftsmanship

MSME and Artisan-Led Livelihoods

  • Supports artisans, manufacturers, traders, start-ups, and small enterprises across rural and urban areas
  • Contributes to non-farm rural employment

Women's Economic Participation

  • Manufacturing, handicrafts, packaging, design, and assembly work create opportunities for women and socio-economically diverse groups

Educational and Developmental Value

  • Rising demand for STEM toys, puzzles, and skill-based games
  • Supports cognitive development and experiential learning

Export and Manufacturing Potential

  • Contributes to Make in India initiative
  • Reduces import dependence, builds domestic supply chains

GI-Tagged Traditional Toys

  • Channapatna toys (Karnataka)
  • Thanjavur dolls (Tamil Nadu)
  • Leather toys of Indore (Madhya Pradesh)

Major Government Initiatives

National Action Plan for Toys, 2020

  • Promotes toy design based on Indian values, culture, history, and learning needs
  • Supports indigenous toy clusters, local manufacturing, quality improvement, and innovation

Quality Control Order for Toys, 2020

  • Made BIS certification compulsory for domestic and foreign toy manufacturers
  • Ensures compliance with Indian safety standards (physical, chemical, electrical)

Tariff Policy

  • Basic Customs Duty on toys increased from 20% to 60% (2020) and further to 70% (2023)
  • Reduces price advantage of imported toys, encourages domestic manufacturing

Toycathon and e-Toycathon

  • Toycathon (2021): Promotes innovative toys inspired by Indian culture, heritage, folklore, and value systems
  • e-Toycathon (2025): First Electronic Toy Hackathon to strengthen electronic-toy segment

e-Toys Lab

  • Established by MeitY at C-DAC, Noida
  • Provides training in electronic-toy design, prototype development, product testing, and industry-based learning

One District, One Product (ODOP)

  • Promotes district-specific products through branding, packaging, skill development, technology adoption, and market access
  • Several traditional toy products identified under the initiative

GST Reduction

  • GST on toys reduced from 12% to 5%
  • Makes toys more affordable and promotes early childhood learning

Free Trade Agreements (FTAs)

  • Trade agreements with UAE, Australia, EFTA, Oman, New Zealand, and United Kingdom
  • Provide preferential or zero-duty market access for Indian toys

Districts as Export Hubs

  • More than 10 districts identified with toy and doll export potential
  • Promotes local manufacturing and market linkages

Toy Biz International B2B Exhibition

  • Toy Biz 2026 held in New Delhi (July 2026)
  • Platform for Indian manufacturers to connect with domestic and international buyers

Conclusion

India's toy industry represents convergence of:

  • Cultural heritage preservation
  • MSME-led manufacturing
  • Innovation and digital integration
  • Export competitiveness

The sector supports Atmanirbhar Bharat through reduced import dependence, creates employment for women and artisans, preserves traditional craftsmanship through GI tagging, and contributes to export-led manufacturing growth.