New Delhi
The Indian toy industry has made huge strides in the last few years. According to a new study, the Indian toy industry has seen a 52% decline in imports and a 239% increase in exports in FY 2022-23 compared to FY 2015. The report is based on “Success Stories of Toys Made in India”, prepared by the Indian Institute of Management (IIM) Lucknow on the instructions of the Department for Promotion of Industry and Internal Trade (DPIIT).
Manufacturing ecosystem improved due to government efforts
The report states that the government’s efforts have created a better and favorable manufacturing ecosystem for the Indian toy industry. As a result, from 2014 to 2020, the number of manufacturing units doubled within six years. With this, dependence on imported inputs reduced from 33% to 12% and gross sales value increased at a compound annual growth rate (CAGR) of 10%. The result of all this is that labor productivity has also increased.
India emerging as global toy exporter
The report also said that India is now emerging as a major exporter in the global toy value chain. India also enjoys zero-duty market access to countries such as the United Arab Emirates (UAE) and Australia. Due to this, Indian toys are getting a strong place in these countries. However, the report also said that there is a need for continued collaboration between the toy industry and the government to establish India as a viable alternative to toy hubs like China and Vietnam.
Steps and efforts required
The report also suggests that some important steps should be taken to further strengthen the toy industry in India. These include advancements in technology, maximum use of e-commerce, fostering partnerships, promoting exports, investing in brand building, connecting teachers and parents to communicate with children, promoting cultural diversity and promoting regional artisans. Including collaborating with.
