India’s toy exports increased from $96 million in 2014-15 to $326 million in 2022-23.
Toys imports declined 52% from $332 million to $159 million in the same period.
Toys exports increased and imports declined because of measures like import tariff increase and quality control, as per a case study on the ‘success story of made in India toys’.
The study was conducted by IIM Lucknow on behalf of the Department for Promotion of Industry and Internal Trade (DPIIT).
About 12% compounded annual growth rate is expected in the toy sector in the next eight years.
Toy exports will likely increase to $3 billion by 2028.
The Tariffs on imported toys were increased from 20% to 60%. Quality control orders were introduced to stop the dumping of sub-standard products.
As per the report, government efforts led to a doubling of the number of manufacturing units from 2014 to 2020.
Government efforts also led to a reduction in dependence on imported inputs from 33% to 12% and an increase in gross sales value by a CAGR of 10%.
