The government is working to extend production-linked incentive benefits worth Rs 3,500 crore to toys that conform to Bureau of Indian Standards (BIS) norms, to make domestic manufacturing globally competitive, attract investment and boost exports. With an aim to increase, an official said. The official said measures such as introduction of quality control mandate by the government for the toy industry and increase in customs duty from 20 per cent to 60 per cent have helped in reducing substandard imports and promoting domestic manufacturing in the country.
“Now, we are working to extend the benefit of PLI (Production Linked Incentive) to toys, but it will be given to BIS-compliant toys only. PLI benefit can be given as per different investment slabs which can range from Rs 25 crore to Rs 50 crore or Rs 100-200 crore.
The proposal is to give incentive on the whole product and not on the parts as the industry still needs to import some parts which are crucial for making toys and are not manufactured in India.
BIS is the national standards body of India. It develops and publishes Indian Standards, implements conformity assessment schemes, accredits and runs laboratories for conformity assessment, enforces hallmarking, conducts capacity building programs on quality assurance.
Made in India toys are not only supplying to global brands but they are also making a mark in the global markets.
Apart from toys, the government is also considering extending these benefits to other sectors such as bicycles, footwear, some vaccine materials, shipping containers and some telecom products.
Naresh Kumar Gautam, CEO of Little Genius Toys Pvt Ltd, had earlier said that although the support measures announced by the government are helping the industry, the PLI scheme and a council will provide further impetus as it has huge potential for job creation.
The government is considering proposals to extend the Rs 35,000 crore PLI scheme to various sectors, including toys.
Inter-ministerial discussions are going on on these various proposals.
The government has already launched the scheme for 14 sectors with an outlay of about Rs 2 lakh crore, which include automobile and auto components, white goods, pharma, textiles, food products, high-efficiency solar PV modules, advanced chemical cells and Huh. specialty steel.
The objective of the scheme is to make domestic manufacturing globally competitive and create a global champion in manufacturing.
The PLI scheme aims to make Indian manufacturers globally competitive, attract investment in areas of core competency and cutting edge technology; ensuring efficiency; building economies of scale; export promotion and manufacturing India An integral part of the global supply chain.
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