Indian Toy Industry Gets Government’s Push To Take On China’s Dominance
The Toy Association of India (TAI) has taken up the Design Awareness Programme for The Toy Industry in a big way under the National design scheme focused to develop a holistic map of MSME clusters and units by exploring through industrial functions and activities. The main objective of the scheme is to bring the MSME sector and design expertise into a common platform and to provide expert advice and solutions on real time design problems, resulting in continuous improvement and value-addition for existing products, according to Raj Kumar, President of TAI.
“Toy Safety is another important factor especially so after the High Court of Judicature at Mumbai passed an order on Thursday, 24th March, 2011, asking BIS to issue necessary notification regarding including phthalate in the materials specified under I S 9873 (Part-3) as expeditiously as possible and thereafter, the Union of India, Ministry of Commerce and Industry, Department of Industrial Policy and Promotion shall issue the necessary notification making the standard mandatory within two months thereafter,” adds he.
Following the Court order, TAI is making representations to concerned Ministries, requesting to make available the necessary infrastructure like more Testing centers, reduction in testing fees, widespread Awareness programmes in different clusters, availability of necessary raw materials etc.-
Meanwhile, Union Minister for Micro, Small and Medium Enterprises (MSME) Virbhadra Singh promised full scale assistance to toys sector – which has a sizeable MSMEs operating in. His assurance came in the light of the fact that particularly in view of dumping of cheap Chinese products causing huge business loss to domestic toy manufacturers. “We are ready to render any kind of support to the industry by providing easy credit, marketing assistance like bar coding and ISO certification. China has its presence not only in toys but also in other sectors, as they have mass production. They dump their products all over the world. I am sure that our products will compete with China,” he said after inaugurating the Toy Biz International Exhibition in Delhi last week.
The Indian toy industry is worth Rs.6,000 crore and is competent enough to compete with the Chinese products. It has a ready market domestically with an immense potential as the country has 2.4-crore kids below the age group of 10. Only 20 per cent of the market is served by Indian manufactures and rest by import of toys from different countries, including China. The toy industry in the country is growing by 30 percent has also launched the campaign ‘We Care’ for safety and stronger guidelines on eco-friendly designs.
Meanwhile, NPD Group, a global market research firm, indicates better days ahead for the global toy industry.
According to Global Toy Market Estimates: 2011 Edition, global toy sales grew by 4.7% in 2010 to US$83.3 billion. “While Asia saw a growth rate that roughly doubled the average (9.2%), the US remains the largest market with sales reaching US$22 billion, followed by Japan, China, the UK and France. The toy market remains concentrated within these top five countries, which captured more than 50% of global sales. These countries have experienced consistent economic growth and contain large populations of children – both the primary drivers for the global toy market.”
NPD also continues to see strong growth in emerging markets, with Brazil, Russia, India and China showing a growth of 13%. Due in part to exchange rate fluctuations, 2010 sales in Europe were down slightly. In 2007, sales in Europe accounted for 32% of the global market; in 2010, they accounted for 28%.
“Toy Safety is another important factor especially so after the High Court of Judicature at Mumbai passed an order on Thursday, 24th March, 2011, asking BIS to issue necessary notification regarding including phthalate in the materials specified under I S 9873 (Part-3) as expeditiously as possible and thereafter, the Union of India, Ministry of Commerce and Industry, Department of Industrial Policy and Promotion shall issue the necessary notification making the standard mandatory within two months thereafter,” adds he.
Following the Court order, TAI is making representations to concerned Ministries, requesting to make available the necessary infrastructure like more Testing centers, reduction in testing fees, widespread Awareness programmes in different clusters, availability of necessary raw materials etc.-
Meanwhile, Union Minister for Micro, Small and Medium Enterprises (MSME) Virbhadra Singh promised full scale assistance to toys sector – which has a sizeable MSMEs operating in. His assurance came in the light of the fact that particularly in view of dumping of cheap Chinese products causing huge business loss to domestic toy manufacturers. “We are ready to render any kind of support to the industry by providing easy credit, marketing assistance like bar coding and ISO certification. China has its presence not only in toys but also in other sectors, as they have mass production. They dump their products all over the world. I am sure that our products will compete with China,” he said after inaugurating the Toy Biz International Exhibition in Delhi last week.
The Indian toy industry is worth Rs.6,000 crore and is competent enough to compete with the Chinese products. It has a ready market domestically with an immense potential as the country has 2.4-crore kids below the age group of 10. Only 20 per cent of the market is served by Indian manufactures and rest by import of toys from different countries, including China. The toy industry in the country is growing by 30 percent has also launched the campaign ‘We Care’ for safety and stronger guidelines on eco-friendly designs.
Meanwhile, NPD Group, a global market research firm, indicates better days ahead for the global toy industry.
According to Global Toy Market Estimates: 2011 Edition, global toy sales grew by 4.7% in 2010 to US$83.3 billion. “While Asia saw a growth rate that roughly doubled the average (9.2%), the US remains the largest market with sales reaching US$22 billion, followed by Japan, China, the UK and France. The toy market remains concentrated within these top five countries, which captured more than 50% of global sales. These countries have experienced consistent economic growth and contain large populations of children – both the primary drivers for the global toy market.”
NPD also continues to see strong growth in emerging markets, with Brazil, Russia, India and China showing a growth of 13%. Due in part to exchange rate fluctuations, 2010 sales in Europe were down slightly. In 2007, sales in Europe accounted for 32% of the global market; in 2010, they accounted for 28%.
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