**Executive Summary**
The document details Union Minister Shri Piyush Goyal’s address at the 17th Toy Biz International B2B Exhibition 2026, where he highlighted a 239% growth in toy exports and outlined a roadmap for tenfold future growth. Key initiatives include the establishment of modern testing facilities, the launch of the India-UK Free Trade Agreement (FTA) on 15 July, and expected duty-free access to New Zealand by the end of the year. The report emphasizes technological upgradation, quality standards, and leveraging global trade agreements to transform India into a global toy manufacturing hub.
**Key Points / Main Content**
**Infrastructure and Quality Assurance**
* **Testing Facilities:** The government will establish modern testing labs across manufacturing clusters through the Bureau of Indian Standards (BIS) and National Test House.
* **Centres of Excellence:** A proposed public-private partnership model to create centers for design, product development, innovation, and batch-wise testing.
* **Quality Control Orders (QCOs):** Strict commitment to quality standards to protect against unfair imports and dumping, with support available via the Directorate General of Trade Remedies (DGTR).
**Technological and Manufacturing Advancements**
* **Advanced Tech Adoption:** Manufacturers are urged to integrate CAD-CAM technologies and CNC machining to improve precision and global competitiveness.
* **Self-Reliant Ecosystem:** Focus on developing domestic production for critical components like motors, electronics, dies, and moulds.
* **Sustainability:** Emphasis on adopting sustainable manufacturing practices and using high-quality materials, paints, and superior stitching.
**Trade and Global Market Expansion**
* **FTA Utilization:** Encouragement to tap into markets with zero-duty access, including the European Union, Australia, and the upcoming India-UK FTA (operational from 15 July).
* **Export Support:** The Export Promotion Mission will support brand-building, overseas exhibitions, and the potential establishment of warehousing facilities abroad.
* **Market Growth:** Toy exports have risen 239% in four years, while imports have declined by 32%; the goal is to expand the Indian share of the US$120 billion global market.
**MSME and Industry Growth**
* **Scaling Operations:** MSMEs are encouraged to scale up, as export turnover is excluded when determining MSME status, allowing for expansion without losing benefits.
* **Industry Collaboration:** The Toy Association of India (TAI) is urged to expand its membership to unify the country’s 21,000 toy manufacturers.
* **Skill Development:** Industry leaders are called to partner with Industrial Training Institutes (ITIs) to train workers in advanced manufacturing practices.
**Impact Analysis**
**Toy Manufacturers and MSMEs**
**Impact**
Manufacturers benefit from improved infrastructure, export incentives, and the ability to scale up without losing MSME status. They gain access to high-value international markets through new FTAs.
**Action Required**
Adopt CAD-CAM/CNC technologies, identify specific testing equipment needs for the government, and send business delegations to FTA partner countries (e.g., UK, Australia, and EU).
**Toy Association of India (TAI)**
**Impact**
The association is positioned as the primary leadership body responsible for unifying a fragmented sector.
**Action Required**
Scale membership from the current 1,200 members to include more of the 21,000 manufacturers operating across India to strengthen the industry’s collective voice.
**Government Bodies (BIS, National Test House, DGTR)**
**Impact**
These agencies are tasked with providing the technical and legal framework to ensure quality and protect domestic interests.
**Action Required**
Establish modern testing facilities in clusters and provide timely intervention for manufacturers facing challenges with unfair imports or dumping.
Key Entities Referenced
National Toy Action Plan: A comprehensive policy roadmap launched in 2020 to strengthen the domestic toy manufacturing sector and guide its long-term development.
Quality Control Orders (QCOs): Regulatory mandates implemented to enforce high quality standards for toys and protect the domestic industry from unfair imports and dumping.
Make in India: A national initiative providing the framework and support for establishing over 50 toy clusters and expanding domestic manufacturing capacity.
Free Trade Agreements (FTAs): International trade pacts, including the India-UK FTA, that provide zero-duty access and export opportunities for Indian toy manufacturers in global markets.
Bureau of Indian Standards (BIS): The national standards body tasked with establishing modern testing facilities and ensuring toys meet mandatory quality and safety certifications.
Ministry of Commerce & Industry
Union Minister of Commerce and Industry Shri
Piyush Goyal Assures Modern Testing Facilities
for Toy Manufacturing Clusters Across India
Shri Piyush Goyal Urges Toy Industry to Adopt Advanced
Manufacturing Technologies to Enhance Global
Competitiveness
Shri Piyush Goyal Calls on Toy Industry to Tap FTA Markets,
Promote Sustainable Manufacturing
Shri Piyush Goyal Assures Export Promotion Mission Support
for Overseas Market Expansion
Shri Piyush Goyal Highlights 239% Growth in Toy Exports,
Calls for Tenfold Growth in the Years Ahead
Shri Piyush Goyal Says Make in India and National Toy Action
Plan Have Strengthened Domestic Toy Manufacturing
प्रव तथ: 04 JUL 2026 1:52PM by PIB Delhi
Addressing the 17th Toy Biz International B2B Exhibition 2026, organised by the Toy Association of
India (TAI) in New Delhi, today the Union Minister of Commerce and Industry, Shri Piyush Goyal,
highlighted the remarkable progress made by the Indian toy industry in recent years through sustained
policy support and industry-led innovation.
The Minister assured the industry that the Government would establish modern testing facilities across toy
manufacturing clusters in the country through the Bureau of Indian Standards (BIS), National Test House
and other government and semi-government laboratories. He urged industry stakeholders to identify and
communicate the testing equipment required to ensure that Indian toys meet the highest quality standards
for both domestic and international consumers.
The Minister encouraged MSMEs to continuously scale up their operations, stating that every micro
enterprise should aspire to become small, every small enterprise should aspire to become medium and
every medium enterprise should aspire to become large. He pointed out that export turnover is not
included while determining MSME status, allowing enterprises to expand substantially while continuing
to benefit from the MSME framework.The Minister called upon industry leaders to establish skill development centres and partner with
Industrial Training Institutes (ITIs) to train workers in advanced manufacturing practices and good
manufacturing practices. He proposed a public-private partnership model under which industry and
government could jointly establish Centres of Excellence equipped with facilities for testing, product
development, innovation and design.
He suggested that such Centres of Excellence could include dedicated design centres, facilities for testing
new products and spaces for showcasing newly launched high-quality products. He also encouraged
manufacturers to undertake brand-building initiatives and assured support through Export Promotion
Mission.
Emphasising the importance of quality, Shri Goyal said that maintaining high standards would enable
India to significantly expand its presence in the global toy market, which is estimated at around US$120
billion.
Highlighting the need for technological advancement, Shri Goyal urged manufacturers to adopt Computer-
Aided Design and Computer-Aided Manufacturing (CAD-CAM) technologies and CNC machining to
improve product quality, precision and efficiency. The Minister noted that integrating CAD-CAM with
CNC-based manufacturing would enable the industry to develop high-quality products with greater
precision and efficiency. He also emphasised the importance of using modern machinery and continuously
improving manufacturing processes, stating that technological upgradation would help Indian toy
manufacturers strengthen their competitiveness and establish a distinct position in global markets.
The Minister also underscored the importance of quality stitching, superior thread quality, machine-
stitched products and attention to manufacturing details, noting that such factors often determine success
in global markets. Appreciating exporters supplying products to the Middle East, he encouraged the
industry to take advantage of opportunities in developed markets opened through India's recent Free Trade
Agreements.
Referring to the nine Free Trade Agreements concluded under the leadership of Prime Minister Shri
Narendra Modi, Shri Goyal noted that these agreements provide access to developed and high-income
markets where high-quality products can command greater value.
Shri Goyal urged manufacturers to send business delegations across the world, particularly to the 38
countries covered under India's nine FTAs. He encouraged the industry to showcase India's strengths
globally and engage directly with local industries, brands, supermarkets and e-commerce platforms in
overseas markets.
Emphasising sustainability, the Minister urged manufacturers to focus on sustainable products and
sustainable manufacturing practices. He stressed the importance of developing domestic capabilities in the
production of motors, electronics, dies and moulds used in toy manufacturing, stating that a self-reliant
ecosystem and large-scale production would improve competitiveness and reduce costs.
Highlighting market opportunities, Shri Goyal noted that zero-duty access is now available across Europe
and informed industry representatives that the India-UK Free Trade Agreement would become operational
from 15 July. He urged manufacturers to immediately send delegations to explore opportunities in the UK
market.
Referring to the European Union market, the Minister noted that duty-free access would extend across 27
countries, including Italy, France, Germany, Spain and Portugal. He described these as large and premium
markets where Indian products can command higher prices and encouraged manufacturers to build
globally recognised Indian toy brands capable of competing with leading international players.Shri Goyal also referred to the Prime Minister's forthcoming visit to Australia, Indonesia and New
Zealand, noting that these markets offer significant opportunities for Indian products. He highlighted that
Australia and New Zealand are developed markets and stated that duty-free access is available for exports
to Australia, while similar access to New Zealand is expected by the end of the year.
The Minister further informed industry representatives that Free Trade Agreements involving GCC
countries, Mexico, Brazil and Canada are expected to progress by the end of the year, opening additional
opportunities for Indian exporters. Expressing confidence in the sector's future, he stated that the success
of the toy industry would contribute directly to India's development and called upon manufacturers to
aspire for tenfold growth through improved quality, branding and marketing.
Encouraging greater international outreach, Shri Goyal urged manufacturers to participate in overseas
exhibitions and assured support through the Export Promotion Mission. He also suggested the
establishment of warehousing facilities abroad and stated that the Government could support such
initiatives during the initial years to facilitate just-in-time delivery and improve access to overseas
markets.
Calling upon the Toy Association of India to take a leadership role, the Minister noted that while the
association currently has around 1,200 members, nearly 21,000 toy manufacturers operate across the
country. He urged the association to bring all manufacturers under a common platform, stating that a
larger membership base would strengthen the industry's collective voice.
On the issue of Quality Control Orders (QCOs), Shri Goyal reiterated the Government's commitment to
maintaining quality standards and assured the industry of protection against unfair imports and dumping.
He stated that manufacturers facing such challenges could approach the Directorate General of Trade
Remedies (DGTR), DPIIT or other concerned authorities for timely intervention and support.
The Minister urged industry stakeholders to remain committed to quality and customer satisfaction,
observing that Indian consumers are no less important than consumers abroad. He described India's 140
crore-strong market as a major strength that provides economies of scale and emphasised the need to
ensure affordable, high-quality toys for children across all sections of society.
Explaining the rationale behind transitional arrangements under Quality Control Orders, Shri Goyal said
such provisions are intended to facilitate investment, brand building and market development while
strengthening India's position as a global manufacturing hub. Drawing a comparison with the evolution of
India's automobile sector, he noted that greater competition and the entry of international brands had
improved quality standards, expanded consumer choice and strengthened domestic manufacturers.
The Minister said that similar opportunities exist in the toy sector through investment, employment
generation, contract manufacturing and technology transfer. He emphasised that while maintaining a
balanced policy approach, the interests of domestic manufacturers would remain a priority.
Expressing confidence in the capabilities of Indian manufacturers, Shri Goyal said they possess the talent
and potential to compete successfully with global players. He encouraged industry participants to engage
with overseas industries, brands, supermarkets and e-commerce platforms so that Indian products gain
wider global recognition.
Noting that toy exports have increased by 239 per cent over the last four years, the Minister called upon
the industry to build on this momentum and aspire for tenfold growth in the years ahead. Highlighting the
sector's strong performance, toy imports declined by 32 per cent.
Recalling Prime Minister Shri Narendra Modi's remarks in Mann Ki Baat in 2020, Shri Goyal said the
Prime Minister had highlighted India's potential to emerge as a global toy hub and had encouraged citizens
to support domestically manufactured products under the vision of self-reliance and Vocal for Local.The Minister said that over the eleven years of the Make in India initiative, substantial support has been
extended to the toy industry. He noted that the National Toy Action Plan launched in 2020 provided a clear
roadmap for the sector's development. He added that more than 50 toy clusters have been established
across the country and that approximately 21,000 MSME units are associated with toy manufacturing,
with many also undertaking contract manufacturing for Indian and international brands.
Highlighting the transformation of the sector, Shri Goyal said that while only around 12 per cent of the
Indian toy market was earlier served by domestically manufactured toys, imports now account for only
about ₹2,500-3,000 crore in an approximately ₹18,000 crore market, with the remaining demand being
met by Indian manufacturers. He noted that quality standards have improved considerably but urged the
industry not to become complacent.
The Minister called upon manufacturers to continuously strive for improvement in product quality,
materials, finishing and manufacturing standards. He stressed the importance of high-quality paints,
superior finishing, safe edges and durable products, and urged the industry to prepare a wish list of testing
equipment that would facilitate quality certification. He suggested batch-wise testing for durability, paint
quality, finishing and the performance of battery-operated and electronic toys, noting that certified high-
quality products would help manufacturers build stronger brands and capture greater market share.
The exhibition brought together over 400 Made-in-India toy brands, more than 15,000 business visitors,
participants from over 50 countries and stakeholders from across the toy manufacturing ecosystem.
***
Abhijith Narayanan/ Garima Singh/ Ishita Biswas
(रलीज़ आईडी: 2281005) आगंतुक पटल : 806
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