Toys Manufacturing

• Capital Subsidy
• Interest subsidy
• Tax reimbursement
• Electrical duty exemption  

Under the Scheme of Funds for Re-generation of Traditional Industries (SFURTI) of the Ministry of Micro, Small & Medium Enterprises, assistance is provided for creation of common facilities centre with latest machines, design-centres, raw material bank, skill development etc. As of Feb 2023, 19 toy clusters across the country have been approved under the Scheme benefitting 11,749 artisans.

In 2021, India's first toy cluster, in Koppal, Karnataka was developed by Aequs Infra. The cluster provides state of the art industrial infrastructure with power, water, internal roads, and waste disposal facilities and common facilities like customs, security, and a Centre of Excellence. The cluster provides a built to suit, self-sustained ecosystem spread over 400 acres of land, including an SEZ to serve export markets and domestic tariff area (DTA) for the domestic market. It has the potential to create 40,000 jobs in five years and attract over INR 5,000 Cr ($662.8) in investments. 

Similarly, multiple states are setting up toy specific clusters. For instance, a 100-acre facility has already been developed by Yamuna Expressway Industrial Development Authority (YEIDA) in Noida Sector 33, in Jewar, Uttar Pradesh.

Each toy cluster in India is strategically developed to preserve, promote and integrate traditional toys with new-age toys. For instance, upcoming toy clusters in Telangana at Dandumalkapur will support MSMEs and local artisans who make wooden Kondapalli toys.

In Rajasthan, the new toy park being developed in Khushkhera will focus on capitalizing on the state’s local artisans that are highly skilled in making wooden toys and cloth dolls.