Trade, import and export for MSMEs: The export of toys from India has increased by around 240 per cent from $96.17 million in the financial year 2014-15 to $326.63 million in FY22 while imports have dropped by approximately 67 per cent from $332.55 million in FY15 to $109.72 million in FY22, according to the latest data shared by the minister of state for MSMEs Bhanu Pratap Singh Verma in a written reply in the Lok Sabha on Thursday.
Verma said the government has taken several steps to restrict the import of sub-standard and unsafe toys and to promote the 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,” he added. Importantly, to promote domestic toys, the government had formulated a comprehensive National Action Plan for Toys to promote the designing of toys based on Indian values, culture and history.
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Among other measures taken were increasing the Basic Customs Duty (BCD) on toys (HS code 9503) from 20 per cent to 60 per cent in 2020, mandatory sample testing of each import consignment to curb the import of sub-standard toys, amending the Quality Control Order for Toys on in December 2020 to exempt goods and articles manufacture and sold by artisans registered with Development Commissioner, Ministry of Textiles, registered proprietors, and authorized users of a product registered as Geographical Indication by the Office of Controller General of Patents, Designs and Trademarks.
The minister said to promote toy MSMEs, the MSME ministry is implementing various schemes for providing credit support for new enterprise creation, technology upgradation, skill development and infrastructure development. Moreover, “a total of 19 toy clusters have been approved under the scheme (Scheme of Funds for Regeneration of Traditional Industries (SFURTI) benefitting 11,749 artisans with an outlay of Rs 55.65 crore.”
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Apart from the existing schemes, the government is also working to extend Rs 3,500 crore production linked incentive (PLI) scheme to BIS-compliant toys to make domestic manufacturing globally competitive, attracting investments and enhancing exports, news agency PTI had reported citing an official earlier this month. According to the official, measures such as the introduction of quality control orders and increasing customs duties from 20 per cent to 60 per cent helped in cutting down sub-standard imports and promoting domestic manufacturing in the country.
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