Lok Sabha Question No. 285 (STARRED), answered on 2022-03-23
Subject: Import of Toys
Ministry: COMMERCE AND INDUSTRY
Asked by: E. T. Mohammed Basheer

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY

## DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

## STARRED QUESTION NO. 285. TO BE ANSWERED ON WEDNESDAY, THE 23 RD     MARCH, 2022.

## IMPORT OF TOYS

## *285.  SHRI E.T. MOHAMMED BASHEER:

## Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) whether it has come to the notice of the Government that the volume of import of toys from countries like China is adversely affecting the traditional cottage industry and the other fields of the country;
- (b) if so, the details thereof;
- (c) whether  the  Government  has  taken/proposes  to  take  steps  to  rectify  the situation in a phased manner; and
- (d) if so, the details thereof?

## ANSWER वाणिज्य  एवं उद्योग मंत्री (श्री पीयूष गोयल) THE MINISTER OF COMMERCE & INDUSTRY (SHRI PIYUSH GOYAL)

- (a) to (d): A Statement is laid on the Table of the House.
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## STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (d)  OF  THE  LOK SABHA STARRED QUESTION No. 285 FOR ANSWER ON WEDNESDAY, THE 23 RD  MARCH, 2022.

- (a) to (d): Government has taken proactive steps to restrict import of sub-standard and unsafe toys and to promote domestic toy industry. As a result of various steps taken by the Government over the last 2 years, the volume of  import  of  toys  into  the  Indian  market  has  shown  a  consistently decreasing trend.
- (i) Details  of  import  of  toys  during  the  last  3  years  are  placed  at Annexure-A.
- (ii) Details of certain steps taken by Government to support domestic and traditional toy industry are placed at Annexure-B.

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## ANNEXURE REFERRED TO IN REPLY TO PARTS (a) TO (d) OF THE LOK SABHA STARRED QUESTION No. 285 FOR ANSWER ON WEDNESDAY, THE 23 RD  MARCH, 2022.

## Details of import of toys during the last 3 years

| Values in US$ Million            | Values in US$ Million                                             | Values in US$ Million                    | Values in US$ Million                                                                                          | Values in US$ Million          | Values in US$ Million                   | Values in US$ Million          | Values in US$ Million                    | Values in US$ Million          | Values in US$ Million                   | Values in US$ Million          | Values in US$ Million                   | Values in US$ Million          |
|----------------------------------|-------------------------------------------------------------------|------------------------------------------|----------------------------------------------------------------------------------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|------------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|-----------------------------------------|--------------------------------|
| Financial Year                   | HSN Code 95                                                       | HSN Code 95                              | HSN Code 9503                                                                                                  | HSN Code 9503                  | HSN Code 95030010                       | HSN Code 95030010              | HSN Code 95030020                        | HSN Code 95030020              | HSN Code 95030030 HSN                   | HSN Code 95030030 HSN          | Code 95030090                           |                                |
|                                  | Toys, games and sports requisites; parts and accessories thereof. | Percentage change over previous year (%) | Other toys, reduced-size models and similar recreational models, etc. Percentage change over previous year (%) | Dolls of wood                  | Percentage change over previous year(%) | Dolls of metal                 | Percentage change over previous year (%) | Dolls of plastic               | Percentage change over previous year(%) | Other                          | Percentage change over previous year(%) |                                |
| 2018-2019                        | 645.66 -                                                          | 304.08                                   | -                                                                                                              | 1.93                           | -                                       | 3.22                           | -                                        | 195.57                         | -                                       | 103.35                         | -                                       |                                |
| 2019-2020                        | 562.17 -12.93                                                     | 279.25                                   | -8.16                                                                                                          | 1.44                           | -25.38                                  | 2.59                           | -19.56                                   | 177.57                         | -9.2                                    | 97.64                          | -5.52                                   |                                |
| 2020-2021                        | 407.28 -27.55                                                     | 129.63                                   | -53.57                                                                                                         | 0.74                           | -48.61                                  | 2.14                           | -17.37                                   | 80.92                          | -54.42                                  | 45.83                          | -53.06                                  |                                |
| 2021-22( upto April- January 22) | 327.13 -19.67                                                     | 26.87                                    | -79.27                                                                                                         | 0.23                           | -68.91                                  | 0.7                            | -67.28                                   | 8.35                           | -89.49                                  | 17.59                          | -61.61                                  |                                |
| Source: Department of Commerce   | Source: Department of Commerce                                    | Source: Department of Commerce           | Source: Department of Commerce                                                                                 | Source: Department of Commerce | Source: Department of Commerce          | Source: Department of Commerce | Source: Department of Commerce           | Source: Department of Commerce | Source: Department of Commerce          | Source: Department of Commerce | Source: Department of Commerce          | Source: Department of Commerce |

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## ANNEXURE REFERRED TO IN REPLY TO PARTS (a) TO (d) OF THE LOK SABHA STARRED  QUESTION  No.  285  FOR  ANSWER  ON  WEDNESDAY,  THE  23 RD MARCH, 2022.

## Details  of  certain  steps  taken  by  Government  to  support  domestic  and traditional toy industry

- i. Directorate  General  of  Foreign  Trade  (DGFT)  vide  Notification  No.33/20152020, dated 02.12.2019 has mandated sample testing of each consignment and no permission for sale unless the quality testing is successful. In case of failure,  the  consignment  is  either  sent  back  or  destroyed  at  the  cost  of  the importer.
- ii. Basic Custom Duty (BCD) on Toys-HS Code-9503 has been increased from 20% to 60% in February, 2020.
- iii. The Government has  issued Toys (Quality Control) Order, 2020 on 25/02/2020 through  which  toys  have  been  brought  under  compulsory  Bureau  of  Indian Standards (BIS) certification with effect from 01/01/2021. As per the Quality Control Order (QCO), every toy shall conform to the requirements of relevant Indian Standard and bear the Standard Mark under a licence from BIS as per Scheme-I  of  BIS  (Conformity  Assessment)  Regulations,  2018.  This  QCO  is applicable to both domestic manufacturers as well as foreign manufacturers who intend to export their toys to India.
- iv. QCO on Toys  was  amended  on  11.12.2020  to  exempt  goods  and  articles manufactured and sold by artisans registered with Development Commissioner (M/o Textile) and also by registered proprietor and authorized users of a product registered  as  Geographical  Indication  by  the  Office  of  Controller  General  of Patents, Designs and Trademarks (CGPDTM).
- v. BIS made special provisions on 17.12.2020 so as to grant license to micro scale units manufacturing toys without testing facility for one year and not to insist on establishing in-house facility.
- vi. Ministry of Education organized Toycathon 21, a unique effort by 6 Ministries & Departments to crowd- source solutions to problems faced by toy industry. Over 1.2 lakh registrants for the event and submitted over 17,000 ideas and 13,900 teams formed to win a large number of prizes up to Rs. 50 lakh.
- vii. A Virtual Toy Fair was organized from 27 th  February to 04 th  March 2021. About 1074 exhibitors from 30 states and UTs covering 68 clusters were on boarded onto the virtual platform. 11 States participated as 'Partner States'. More than 25 lakhs visitors participated in the fair. 103 eminent speakers across the globe attended 41 sessions/webinars.
- viii. Under the Scheme of Fund for Regeneration of Traditional Industries (SFURTI) of  Ministry  of  Micro, Small & Medium Enterprises (MSME), the following toy clusters are being implemented:
9. (a) Two clusters in Andhra Pradesh and Karnataka;
10. (b) The  following  13  toy  clusters  from  Rajasthan,  Karnataka,  Tamil  Nadu, Maharashtra, M.P. and U.P. approved under SFURTI scheme which will benefit 8797 artisans;
11. (c)        Ministry of Textiles has identified 13 clusters across the country with a view for the overall development of cluster artisans. These clusters are located at Channapatna, Kinhal, Kondapalli, Etikopaka, Nirmal, Tanjore, Cudappah, Varanasi Chitrakoot, Jaipur, Dhubri, Bishnupur and Indore.
- ix. DPIIT organized 'Toy Business League' on 4 th  -5 th  January 2022 for enabling a meaningful dialogue between innovators and toys manufacturers with a view to creating collaboration opportunities for Toycathon 2021 winners and realizing the vision of designing toys based on Indian values, culture and history.

|   S.No. | Cluster Name                      | State Name     | District   |   No. of Artisans |
|---------|-----------------------------------|----------------|------------|-------------------|
|       1 | Kondapali Toy Cluster             | Andhra Pradesh | Krishna    |               201 |
|       2 | Sagara Woodcrafts and Toy Cluster | Karnataka      | Shivamogga |               580 |

|   S. No. | Name of the Cluster                                                                | State Name     | District                |   No. of Artisans |
|----------|------------------------------------------------------------------------------------|----------------|-------------------------|-------------------|
|        1 | Deep Hast Shilp Wooden Toys Cluster                                                | Rajasthan      | Udaipur                 |               250 |
|        2 | Channapatna Lacware Toy Cluster                                                    | Karnataka      | Ramnagaram              |               250 |
|        3 | Palm Leaves Toys And Leather Products Cluster                                      | Tamil Nadu     | Vellore                 |               460 |
|        4 | Bamboo Based Indigenous Toys Cluster                                               | Madhya Pradesh | Baihar, Balaghat        |               760 |
|        5 | Traditional Indian Bamboo and Wood Based Toys Cluster                              | Madhya Pradesh | Sijohra Village, Mandla |               776 |
|        6 | Wood based Traditional Indian Toys and Associated Fabric Based Accessories Cluster | Madhya Pradesh | Barkheda, Sehore        |               812 |
|        7 | Traditional Indian Fabric Based Toys Cluster                                       | Rajasthan      | Sri Ganganagar          |               819 |
|        8 | Chitrakoot Wooden Toys and Carving Cluster                                         | Uttar Pradesh  | Karvi, Chitrakoot       |               750 |
|        9 | Wood Craft Cluster                                                                 | Rajasthan      | Jodhpur                 |               914 |
|       10 | Soft Toys Cluster, Barwani                                                         | Madhya Pradesh | Barwani                 |              1005 |
|       11 | Plush Toys Cluster                                                                 | Maharashtra    | Parbhani                |              1050 |
|       12 | Bamboo craft and Bamboo Toys Cluster                                               | Madhya Pradesh | Ratlam                  |               701 |
|       13 | Lucknow Soft Toys Cluster                                                          | Uttar Pradesh  | Lucknow                 |               250 |

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