India Toys Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The India toys market was valued at USD 2.60 Billion in 2024. The industry is expected to grow at a CAGR of 6.40% during the forecast period of 2025-2034. Increasing national population is boosting the demand for toys to enhance the cognitive capabilities of babies. Also, increasing disposable incomes of families are making them turn towards interactive toys for their child. This in turn is expected to push the market ahead to attain USD 4.83 Billion by 2034.

India Toys Market Report Summary

Market Size 2024

• USD Billion 2.60

Market Size 2034

• USD Billion 4.83
• CAGR 2025-2034
• 6.40%

CAGR 2025-2034 - Market by Region

• South India
• 7.5%

CAGR 2025-2034 - Market by Region

• East India
• 6.9%

CAGR 2025-2034 - Market by Age Group

• Between 5 To 10 Years
• 7.3%

CAGR 2025-2034 - Market by Distribution Channel

• Online
• 8.1%

2024 Market Share by Region

• East India
• 21.4%

India Toys Market Overview

According to government statistics, India toy market is going through a dramatic change, led by schemes such as the Production Linked Incentive (PLI) scheme and the 'Make in India' initiative. The Bureau of Indian Standards (BIS) has enforced strict quality standards, resulting in a sharp decline in toy imports and an increase in local production, thus boosting the India toys market expansion. This transformation has not only improved the quality of toys being sold in the market but also provided new opportunities for exports. The emphasis of the government on encouraging domestic production and enforcing safety standards is transforming the toy industry, making India a likely global hub for toy manufacturing.

India Toys Market Growth

The toys industry in India is being fueled by robust government-backed innovation programs and increased focus on the integration of education and technology among the kids. The e-Toycathon 2025 event held by the Ministry of Electronics and Information Technology has spurred young innovators to come up with home-grown, eco-friendly electronic toys, giving a boost to an indigenous manufacturing ecosystem for toys, thus boosting the India toys market development.

At the same time, there is also an evident shift towards toys combining education and technology. Initiatives such as AI-powered 'Robo-Mentor', interactive educational charts in multiple languages, and sensor-based music mats. These reflect increased demand for interactive, technology-based learning toys. The initiative is also in conformity with national aspirations to augment local production while developing creativity, learning, and skill sets among children.

Key Trends and Recent Developments

The market is bolstered by the trends towards educational, cultural, digital, and inclusive innovations, fostering learning, diversity, and cultural awareness, thus shaping the India toys market dynamics and trends.

September 2024

Funskool India launched a special line of toys and games to commemorate its 40th anniversary. The new line comprises puzzles, educational games, and licensed toys, reaffirming its pledge for quality Indian products and toy industry innovation.

June 2024

Kinder Joy has launched Hot Wheels and Barbie toys as limited-edition packs in India with bigger-sized collectibles in theme packs of blue and pink colour. This launch also involves new packaging and a digital campaign to create an enhanced unboxing experience.

May 2024

Reliance Retail opened a new Hamleys outlet in Bengaluru at Phoenix Mall of Asia. This new outlet is an extension of its premium toy retail space and adds to entertainment alternatives such as Timezone and Fun City, providing an end-to-end family recreation experience.

December 2023

Toys 'R' Us has announced plans to begin producing in India by mid-2025 with the aim of making India a top-five market. It came back to the Indian market in 2023 under new ownership, opening stores and aligning with India's local production standards.

Focus on educational toys

Parents nowadays want to inculcate education in their child from an early age, which is boosting the need for educational toys in India. STEM-based toys are being designed by toy manufacturers in India that promote maths, science, engineering and technology learning. For example, Smartivity offers DIY problem-solving and hands-on exploration kits aligned with the experiential learning goals of National Education Policy, thereby bolstering the India toys market growth.

Inculcating culture in kids

?The incorporation of Indian history, mythology and folklore is a new trend augmenting the India toys industry. Manufacturers are inculcating the Indian features in the designs of toys to foster cultural awareness and evoke nostalgia among children.

Digital integration

Toy manufacturers are incorporating apps and augmented reality into physical toys. For instance, PlayShifu develops interactive toys that pair with mobile apps, combining screen time with hands-on learning through AR, increasing engagement and learning potential, thus boosting the India toys demand.

Gender-neutral and inclusive design

Manufacturers are avoiding the production of gender-specific games and toys and rather focussing on gender-neutral ones. These toys avoid gender stereotypes, providing inclusive play opportunities. Companies are launching dolls, action figures, and games that resonate across genders and celebrate diverse identities, teaching equality and social consciousness from an early age.

India Toys Market Trends

Two trends that are gaining traction in the India toy market are the growth of green and sustainable toys and gamification of wellness. Companies are turning towards sustainable materials such as fabric, wood, and recycled plastic to attract environment-friendly parents, thus shaping new trends in the India toys market. At the same time, toys that focus on mental and physical wellness, such as mindfulness kits, sensory toys, and yoga-based games, are becoming popular. These trends highlight a shift in consumer demand for holistic development tools that are addressing health, sustainability, and values through play.

India Toys Market Opportunities

The India toy industry is gravitating towards significant opportunities with changing global trade flows and encouraging domestic policies. The United States increase in tariffs on Chinese toys paved the way for Indian exporters to access the USD 42.8 Billion United States toys market, with increasing queries from American buyers, thus shaping new opportunities in the India toys market. Locally, the government is promoting advanced industrial toy clusters, promoting automation, AI, and 3D printing to upgrade manufacturing. Despite all challenges such as the use of old methodologies and skill shortages, the combined global and local developments can set India to become a global competitive toy manufacturing hub within years to come.

India Toys Market Restraints

The dominance of unorganized producers and widespread availability of fake and counterfeit goods affects standards of quality and safety, which is a challenge for genuine brands in generating revenues and sustaining the confidence of customers. This becomes quite difficult for the existing companies to overcome the challenges in the India toys market and improve their brand name. Excessive costs associated with meeting tight safety requirements, including BIS certification, become a financial burden for small and medium-scale enterprises, making it difficult for them to compete on equal terms and expand operations. Solving these problems is significant to developing a strong and reliable toy industry in India.

India Toys Industry Segmentation

The report titled “India Toys Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Action Figures
• Building Sets
• Dolls
• Games and Puzzles
• Sports and Outdoor Toys
• Others

Market Breakup by Age Group

• Up To 5 years
• Between 5 and 10 years
• Above 10 years

Market Breakup by Distribution Channel

• Supermarkets and Hypermarkets
• Specialty Stores
• Convenience Stores
• Online
• Others

Market Breakup by Region

• North India
• South India
• East India
• West India

India Toys Market Share

Market Analysis by Type

Owing to the shifting consumer preferences and educational requirements, various kinds of toys categories are augmenting in the Indian market. For imaginative play, action figures and dolls are gaining popularity, while building sets are being purchased for STEM learning purposes. Further cognitive development and family learning and values are being inculcated in kids via games and puzzles that can be played in groups, as per India toys market analysis. To take care of the increasing health concerns, sports and outdoor toys are being looked at to boost physical wellness.

Market Analysis by Age Group

Various kinds of toys are being manufactured keeping in mind the needs of different age groups of children. Children up to 5 years old can be offered toys that are sought after for developmental advantages such as motor and sensory skills. According to the India toys industry analysis, the 5-10 years age group is performing well due to school-going age cognitive and educational requirements, particularly STEM-oriented toys. Above 10 years segment requires toys such as board games and technology-embedded products which are on the rise as older children desire interactive and social play. Companies are narrowing down the requirements of each age group with offerings to cater to the development of every age group.

Market Analysis by Distribution Channel

In India, toys are being sold and bought via various distribution channels. Online channels are thriving mainly due to variety, convenience, and doorstep delivery. Specialty stores are attracting consumers looking for curated and premium toys, frequently with demonstrations. Supermarkets and hypermarkets gain from foot traffic and extensive visibility. Convenience stores are meant to attract impulsive buyers, thereby boosting the India toys market revenues. As consumer behavior evolves towards hybrid shopping experiences, both online and physical distribution channels are increasing their presence, improving accessibility and growing market penetration in different regions.

India Toys Market Regional Analysis

CAGR 2025-2034 - Market by

• Region
• South India
• 7.5%
• East India
• 6.9%
• North India
• West India

North India Toys Market

Demand for toys in North India is growing rapidly due to the robust manufacturing base in North India and supportive government policies. More than 80% of the toy manufacturing plants in India are based in North India, primarily in the Delhi-NCR belt, adding strongly to domestic and local production. The Draft Electronic Toys Manufacturing Policy 2024 of Haryana state will help to invite INR 1,000 crore investment and generate 10,000 jobs, thus further boosting the industry. These efforts are placing the North India toys market as a thriving toy manufacturing and innovation hub.

South India Toys Market

South India toys industry is set to achieve new heights owing to the state-owned initiatives to boost demand. Telangana is developing a standalone Toys Park at Hyderabad to develop local production so that it will create 10,000 direct jobs and accommodate rural artisans. Tamil Nadu stakeholders are calling for government assistance via infrastructure and policy measures. Such efforts are in place to bring domestic capabilities at par, control costs, and make the region a competitive factor in both indigenous and contemporary toy manufacturing sectors.

East India Toys Market

The East India toys industry is set for expansion, putting forth its robust and efficient labor base and developing industrial infrastructure. West Bengal and Odisha are setting out to establish clusters of toy production to benefit from changes in the global supply chain. Government efforts, such as the Production-Linked Incentive (PLI) scheme and raised import tariffs, are promoting domestic manufacture.

West India Toys Market

West India toys industry, especially in Gujarat, is witnessing tremendous growth because of strong policy support and industrial infrastructure. The Gujarat government has planned to set up specialized toy manufacturing clusters, inviting leading Indian and multinational toy manufacturers and start-ups to set up operations within the state. Gujarat has an established ecosystem for plastic, wood, rubber, special chemicals, and metals to ensure easy availability of raw materials needed for toy production. The investor-friendly policy of the state and its strong industrial infrastructure are luring investors, making Gujarat a major contributor to India's toy production industry.

Competitive Landscape

Key India toys market players are primarily concentrating on local manufacturing capabilities to cut down expenses and alongside appeal to the consumers. They are exploring various genres of toys, namely, educational, cultural, gender-neutral, skill-enhancing, and STEM, all of which will boost the cognitive abilities of a child at an early age.

Mattel, Inc.

Mattel, Inc. manufactures the famous toys such as Barbie dolls, Hot Wheels, Fisher-Price, and UNO in India. The company has its headquarters in the United States and specializes in creative play through iconic, globally famous toy brands throughout Indian markets since 1945.

Hasbro, Inc.

Hasbro, Inc. offers toys like Transformers, Nerf blasters, Monopoly, and Play-Doh to India. It was established in 1923 and is headquartered in the United States. Hasbro offers a combination of physical and digital play together, with the goal of inspiring generations through storytelling-based toys and games.

LEGO System A/S

LEGO System A/S provides a series of connecting plastic brick sets such as themed kits like LEGO City, Friends, and Technic. Founded in 1932 and based in Denmark, LEGO fosters creativity, problem-solving, and STEM education through its interactive construction toys.

Goliath Games, LLC

Goliath Games, LLC offers games such as Rummikub, Sequence, and Gooey Louie in India. Established in 1980 and operating from the Netherlands, Goliath is a family and skill games company that has been expanding its presence in India's burgeoning board games and puzzles industry.

Other key players in the India toys market report are Funskool Ltd., Chicco, and Ok Play India Ltd., among others.