India’s Toys Story: Riding the US$186 Million Export Wave to 153 Countries

India’s toy exports are in a high-growth phase. The toy industry was valued at approximately US$2.09 billion in 2025 and is projected to reach US$4.74 billion by 2034, expanding at a CAGR of 9.53 percent between 2026 and 2034.

India’s domestic toy industry has continued to strengthen its global position, with the country emerging as the world’s fourth-largest toy exporter in 2025. The sector has maintained steady export momentum over the years, supported by rising manufacturing capacity, evolving consumer preferences, and growing international demand for educational and interactive toys.

India’s evolving toy trade landscape

According to data from the Department of Commerce, the country has steadily reduced its reliance on imported toys while simultaneously expanding its export footprint in international markets.

Source: Department of Commerce, Ministry of Commerce and Industry, GoI.

*It must be noted that the trade figures for FY 2025-26 are provisional and subject to update in the upcoming months.

Widespread adoption of hybrid work models, particularly among service-sector professionals, has contributed to increased spending on products that support children’s learning, creativity, and cognitive development at home.

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For Indian toy manufacturers, these shifting global consumption trends have created new export opportunities. International consumer markets are increasingly seeking educational, technology-enabled, and development-oriented toys—allowing Indian businesses to diversify their product offerings and expand their presence across overseas markets.

Understanding India’s expanding toyconomy

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India’s toy industry has evolved into a diversified manufacturing and export ecosystem spanning traditional toys, educational products, gaming equipment, sports goods, and amusement-related products. Under India’s Harmonized System of Nomenclature (HSN-95), the sector is broadly categorized into six principal trade classifications that collectively define the country’s “toyconomy.”

Major product categories under India’s toy sector

The Indian Trade Classification (ITC) system groups toy and entertainment-related products under the following categories:

1. HSN 9503: Includes tricycles, scooters, dolls, puzzles, scale models, and a wide range of conventional and educational toys. This segment represents the core of India’s toy manufacturing and export industry.

2. HSN 9504: Covers video game consoles, arcade equipment, tabletop games, billiards, casino-style gaming systems, and coin-operated entertainment machines, reflecting the growing convergence of gaming and digital entertainment.

3. HSN 9505: Comprises festive and entertainment articles such as carnival products, novelty items, and recreational accessories used during celebrations and events.

4. HSN 9506: Includes sports goods and fitness-related equipment, such as gymnastics gear, outdoor game products, swimming pools, and exercise equipment.

5. HSN 9507: Covers fishing-related products, including fishing rods, hooks, nets, and other recreational hunting or angling accessories.

6. HSN 9508: Includes amusement park infrastructure, water park equipment, travelling circuses, shooting galleries, and fairground entertainment systems.

India’s emergence as a global toy manufacturing hub

In 2025, the Union Commerce and Industry Minister, Piyush Goyal, stated that Indian-made toys are now exported to 153 countries.

The central government attributes this growth to several structural factors, including stronger quality-control measures, manufacturing cluster development, and targeted support for micro, small, and medium enterprises (MSMEs). The expansion of local production capabilities has also encouraged domestic manufacturing and indigenous product innovation.

India’s toy exports: Expanding global market reach

India’s export basket now spans a wide variety of products, including plush toys, electronic and educational toys, puzzles, construction sets, dolls, preschool learning products, and outdoor play equipment. 

According to a recent report, India’s toy market was valued at approximately US$2.09 billion in 2025 and is expected to reach US$4.74 billion by 2034, growing at a CAGR of 9.53 percent between 2026 and 2034. This growth is expected to further strengthen India’s export potential as local manufacturers scale production capacity and diversify product offerings.

Leading export destinations for Indian toys in FY 2025-26

The United States remained India’s largest export destination for toys in FY 2025-26 by a huge margin, highlighting strong demand from mature consumer markets for Indian-made toy products. European countries also accounted for a substantial share of exports, reflecting India’s growing integration into global toy supply chains.

Source: Department of Commerce, Ministry of Commerce and Industry, GoI.

The concentration of exports toward advanced economies also indicates increasing compliance by Indian manufacturers with international quality, safety, and sustainability standards

Source: Department of Commerce, Ministry of Commerce and Industry, GoI.

Institutional support for toys export

India’s toy export industry is governed by several government bodies and industry associations that help strengthen manufacturing, improve compliance standards, and expand global market access.

Key government and industry bodies

• Department for Promotion of Industry and Internal Trade (DPIIT): Leads initiatives such as Make in India and the Phased Manufacturing Programme (PMP) to boost domestic toy manufacturing and reduce import dependence.
• Ministry of MSME: Supports toy manufacturers through credit schemes, cluster development, technology support, and skill-building initiatives, particularly for small and medium enterprises.
• Sports Goods Export Promotion Council (SGEPC): Promotes exports of sports toys, outdoor play products, and recreational equipment through trade fairs and export promotion activities.
• Toy Association of India (TAI): Represents manufacturers, exporters, retailers, and distributors while promoting industry growth, safety standards, and export expansion.

Government schemes supporting toy exports

National Action Plan for Toys (NAPT)

NAPT aims to strengthen India’s toy manufacturing ecosystem through innovation, improved quality standards, and enhanced production capabilities to support export growth.

SFURTI scheme

Under the Ministry of MSME’s SFURTI scheme, toy clusters across states such as Karnataka, Rajasthan, Tamil Nadu, and Andhra Pradesh receive support for infrastructure upgrades, design development, and market access.

RoDTEP scheme

The RoDTEP scheme refunds embedded taxes and duties incurred during production and exports, helping toy exporters improve global price competitiveness.

Steps to export toys from India

India’s growing toy industry has created new opportunities for exporters. However, businesses entering the export market must comply with regulatory, documentation, quality, and logistics requirements before shipping products overseas.

Step 1: Establish your business entity

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The first step is to formally register the business as a sole proprietorship, partnership, LLP, or private limited company. Exporters may also register with export promotion bodies such as the SGEPC to access industry support, trade opportunities, and export-related incentives.

Step 2: Conduct market research and identify buyers

Exporters should evaluate international demand trends, pricing patterns, and consumer preferences across target markets. Trade fairs, B2B platforms, export databases, and business consultancies can help identify potential overseas buyers and high-demand toy categories.

Step 3: Obtain required registrations and export documents

Businesses must secure the necessary regulatory approvals and export documentation before beginning shipments. Key documents include the following:

1. Importer-Exporter Code (IEC)
2. GST registration
3. Registration-cum-Membership Certificate (RCMC)
4. Commercial invoice
5. Shipping bill
6. Bill of lading
7. Certificate of origin
8. Packing list
9. Insurance and inspection certificates
10. Labeling and packaging compliance documentation

Exporters should also ensure products are classified under the correct HS code and comply with applicable safety and quality standards in destination markets.

Step 4: Ensure product quality and compliance

Manufacturers should align production processes with buyer specifications and international safety standards. Consistent quality checks, product testing, and inspection procedures are essential to ensure compliance with global regulatory requirements and marketplace standards.

Many exporters also use third-party laboratories and certification agencies to verify product safety, durability, and labeling compliance before shipment.

Step 5: Manage shipping and international logistics

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Efficient logistics planning is critical for successful toy exports. Exporters should partner with reliable freight forwarders or logistics providers and use export-ready packaging suitable for international transit.

Understanding customs procedures, shipping timelines, and destination-country regulations helps reduce delays and compliance risks.

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