Government intends to launch another marketing initiative for the toy industry: Piyush Goyal
India's toy industry is undergoing a significant transformation, with a focus on domestic manufacturing and exports to 153 countries, as part of the government's "Vocal for Local" initiative. This shift was highlighted by Minister of Commerce and Industry Piyush Goyal at the 16th Toy Biz International B2B Expo 2025.
The enforcement of quality standards, such as mandatory BIS certification, has played a crucial role in curbing low-quality imports, particularly from China, and boosting domestic production clusters across India. Key strategies promoting the sector include strong policy support, quality and safety norms, local manufacturing clusters, and financial aid for startups.
Customs duties on imported toys have been raised from 20% to 60%, creating a protective environment for indigenous manufacturers to grow. Strict enforcement of BIS certification and safety standards ensures that Indian toys meet international compliance, making them competitive in global markets. The Ministry of Micro, Small and Medium Enterprises supports 18 toy clusters, fostering ecosystem development and innovation at the grassroots level. Innovative toy startups receive funding support through schemes like the Pradhan Mantri Mudra Yojana, encouraging fresh ideas and modernization in toy manufacturing.
This comprehensive support has led to a dramatic decline in toy imports by over 70% from FY2018-19 to FY2023-24, while exports have surged by more than 60% in the same timeframe, positioning India as a preferred alternative to China and Southeast Asia for major global buyers, especially in the US and Europe.
New promotional schemes and efforts to make Indian toy manufacturers world-class include economic incentives and export facilitation, a focus on innovation and STEM toys, and global market integration. Support for startups and MSMEs in toy clusters and facilitation of international joint ventures aim to scale up production and meet global demand. The growing global market for STEM toys is being capitalized on by encouraging modern, educational toy production aligned with international trends. Engagement with major US retailers and exploration of bilateral trade agreements aim to expand export opportunities and improve market access.
If Indian toys prioritize good branding, attractive packaging, and strong product design, they can gain stronger appeal across international markets. The growth of the toy industry reflects the broader journey of development in the country, as the government continues to support local industries with a focus on quality and innovation.
Under the vision of Atmanirbhar Bharat and the belief that Local can go Global, awareness and support for home-grown industries have steadily increased. India's population of 1.4 billion offers a vast captive market for the toy industry, supporting expansion and acting as a foundation for international growth. The implementation of the Quality Control Order (QCO) has made India a quality-conscious country, and the government is planning to introduce another promotional scheme for the toy sector.
Together, these measures position the Indian toy industry not just as a domestic manufacturing hub but as a competitive global exporter, aiming for leadership in the international toy market by combining traditional craftsmanship with modern manufacturing and quality assurance.
In this transforming Indian toy industry, strong financial aid for startups and the implementation of quality standards like BIS certification are essential in boosting domestic production, curbing low-quality imports, and creating a protective environment for local manufacturers. With comprehensive support from the government, including economic incentives, focus on innovation, and export facilitation, the toy industry is poised to become a competitive force in the global finance sector, particularly in mature markets like the US and Europe.
