 "Govt hikes import duty on toys to 70% to boost domestic manufacturing")
The government on Wednesday increased the import duty on toys and its components to 70 per cent with a view to cut inbound shipments of these products and boost domestic manufacturing activities.
Similarly, import duty on bicycles has also been hiked to 35 per cent from 30 per cent, according to a Union Budget document.
Import duty hike on toys and parts of toys excludes parts of electronic toys.
Earlier, basic customs duty on toys was increased from 20 per cent to 60 per cent in February, 2020 to promote local manufacturing.
Toys worth Rs 2,960 crore were imported into India earlier but steps by the government helped in reducing the imports to Rs 870 crore in 2021-22.
On the other hand, the exports of toys have increased by 61 per cent from Rs 1,612 crore to Rs 2,601 crore in 2021-22.
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Earlier, the government issued Toys (Quality Control) Order, 2020 in February 2020.
As per the order, toys have to conform to the requirements of relevant Indian standards and bear the standard mark under a licence. It is applicable to both domestic as well as foreign manufacturers who intend to export their toys to India.
Manu Gupta, promotor of Playgro Toys India, said a National Toy Policy and Production Linked Incentive scheme would help in further promoting the growth of the sector by pushing the scale.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)