Exporting toys from India can be a lucrative business opportunity, given the country’s diverse manufacturing capabilities and competitive pricing.
Toys are enjoyed by children globally. Therefore, their strong demand in the international market has given toy manufacturers a great opportunity to export their products worldwide.
Many Indian exporters are taking advantage of the thriving toy manufacturing industry by creating a wide range of products, including educational toys, wooden toys, stuffed animals, puzzles, board games, electronic toys, and more. Moreover, with the rising eCommerce industry, selling toys in the global market is no longer a challenge.
The Indian toy industry is growing rapidly, projected to reach 3 billion by 2028. This industry is establishing its footprints in the global landscape, with increasing high-value exports to the US, Europ, Australia, Canada, Africa and the Middle East.
If you are wondering how to export toys from India, read on. This blog will inform you about toy export from India, including the documents required and the registration for the process. Let’s dive in!
Top Cities In India Exporting Toys
Numerous cities in India are known for their toy manufacturing and export capabilities. These cities have a strong presence of toy manufacturers, associated industries, and exporters, making them the leading players in India’s toy export market. Some of the top toy export cities in India are listed below:
- New Delhi
The capital city of India, New Delhi, has a significant presence of toy manufacturers and exporters. It serves as a major hub for toy production and has numerous exporters catering to both domestic and international markets.
- Kolkata
Kolkata, the capital city of West Bengal, has a long-standing tradition of toy manufacturing. It has a vibrant toy industry, specialising in products such as dolls and soft toys. Kolkata serves as an important export center for toys.
- Jaipur
Jaipur, the capital city of Rajasthan, is renowned for its traditional handicrafts and toy manufacturing. The city is known for its wooden toys, puppets, and traditional Indian games. Jaipur has a significant export market for its toys.
- Ahmedabad
Ahmedabad, in the state of Gujarat, is an emerging toys export city in India. The city has a growing number of toy manufacturers and exporters, particularly in the wooden toy segment.
Apart from these cities, Mumbai, Chennai, and Bengaluru also have a strong presence of toy manufacturers, exporters, and associated industries, making them key players in India’s toys export market.
9 Things To Do Before Exporting Toys From India
Exporting toys from India involves several steps and considerations, including:
- Product Compliance
Ensure your toys meet the safety and quality standards of the target country. Familiarise yourself with international toy safety standards, such as EN 71 in Europe or ASTM F963 in the United States. Comply with labelling requirements and ensure that your products undergo appropriate testing and certification.
Remember, poor-quality and unsafe toys pose a significant threat to the health and safety of consumers. Thus, many countries follow strict provisions that do not only revolve around the mechanical and physical elements of the toy but also their chemical properties, hygiene, and flammability.
- Business Registration
According to the latest guidelines of the Bureau of Indian Standards, an ISI certification is mandatory for all toy manufacturers and traders in India. However, importers are required to obtain the FMCS License for the original manufacturer.
If you want to export your toys from India, registering your business entity in India and obtaining the necessary licences and permits to export toys is essential. You may need to register with organisations such as the Director General of Foreign Trade (DGFT) and obtain an Import Export Code (IEC) from the Regional Authority of DGFT.
- Identify Buyers/Partners
Establish contacts with potential buyers or partners in your target market. Attend trade shows, exhibitions, and toy fairs to showcase your products and network with potential buyers.
You can also utilise social media, like LinkedIn, Instagram and Facebook and directories to connect with international toy distributors, wholesalers, or retailers. Some other B2B websites where you can expand your network to export include Trade India, India Mart, Connect2India, etc.
- Pricing and Documentation
Determine competitive pricing for your toys, taking into account production costs, shipping, and potential import/export duties. Prepare the necessary export documentation, such as commercial invoices, packing lists, and certificates of origin. Familiarise yourself with the specific documentation requirements of the target country.
- Logistics and Shipping
Organised and proper paperwork is essential. Therefore, you must have a detailed description of the toys you are exporting, including the prices and quantities. You might also need additional documents such as a certificate of origin, packing list, commercial invoice, etc.
Therefore, it is recommended to hire a reliable freight forwarder like ShiprocketX, which specialises in exporting goods from India and can take care of all other shipping logistic needs.
- Customs and Legal Compliance
Toys are mostly governed by compliance with international standards such as EN 71-1 and its applicable parts. You must ensure that all your export activities comply with customs regulations and legal requirements.
Familiarise yourself with export restrictions, tariffs, and any specific regulations imposed by the target country. Complete customs declarations accurately and provide all necessary documentation for smooth customs clearance.
- Packaging and Labelling
Ensure that your toys are properly packaged for safe transportation. Label the packages with clear and accurate information, including product descriptions, quantities, and any required safety labels or warnings.
- Payment and Insurance
Being an exporter, you must safeguard your accounts with credit insurance. It protects you in case of payment default.
Therefore, you must establish secure payment methods with your buyers, such as letter of credit or international wire transfers. You can also consider obtaining export credit insurance to protect against non-payment or other natural hazards.
- After-Sales Support
Providing excellent after-sales support and customer service is important to maintain higher customer satisfaction, nurture relationships with your international buyers, and enhance brand loyalty. You must also give your customers the right to address any inquiries, complaints, or product issues promptly.
Documents Required for Exporting from India
Here is the list of the documents required for exporting toys from India –
- Bill of Lading
- Packing List
- Commercial Invoice
- Shipping Bill/Bill of Export
- Proforma Invoice
- Certificate of Origin (COO)
- Letter of Credit
- Quality Check
- Toys legal status certificate
- Other documents
What is the License Fee for exporting toys from India?
The fee you need to pay for exporting toys from India is as follows:
- BIS costs Rs. 1000 plus GST for gaining product’s licence
- You need to pay Rs. 1000 additional fee annually to renew your BIS license
- The cost for EIC licensing varies from Rs. 1000 to Rs. 100000, depending on the product type, and it can vary annually.
What is the registration process at DGFT for IEC?
It is mandatory to register at DGFT for exporting toys. This is how it can be done in a few simple steps:
- The first step is to log in to the DGFT website.
- On the home page, click on the ‘Services’ tab and from the drop-down list, choose the ‘IEC Profile Management’ option.
- It will open a new page, here you need to click on the ‘Apply for IEC’ option.
- You need to fill out the IEC form, wherein you need to mention your name, PAN, etc. and verify your email address and phone number.
- Along with this, you also need to attach a few documents to complete the process, such as address proof, a cancelled cheque, an incorporation certificate, a GST number and a digital signature certificate. Once uploaded, submit the form.
- If everything is verified, you will be granted the certificate within five working days of applying. Remember to link your IEC with the DGFT..
Simplified Compliance Support For Easy Shipping
It’s important to note that the export process can vary depending on the specific requirements of the target country and the nature of your toys. It’s advisable to consult with relevant government agencies, trade associations, or export consultants to ensure compliance with regulations and streamline the toys export from India process.
If you want to resolve your shipping challenges and allow your business to grow, you can rely on ShiprocketX, a shipping aggregator that allows businesses to reach new customers in more than 220+ countries and territories. Export shipping in India with ShiprocketX also helps with easy compliance support for toy exports.
