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The US-based retail giant Walmart is looking to source toys from Indian suppliers as the company is targeting to increase its exports from India to $10 billion annually by 2027.
Senior officials from the Commerce and Industry Ministry, Walmart group firm Flipkart and domestic toy makers will discuss on Thursday ways to increase sourcing and immediate onboarding of manufacturers on the e-commerce platform, an industry official said.
The official said that to make India a global manufacturing hub for toys, the government has undertaken a series of initiatives, and in this context, the Department for Promotion of Industry and Internal Trade (DPIIT), in collaboration with Flipkart, is organising this workshop to enhance India’s position and capabilities in the global toy supply chain.
“This shall help in upskilling/reskilling the domestic workforce to produce innovative and high-quality toys,” the official added.
The US-based retail giant Walmart is looking to source toys from Indian suppliers as the company is targeting to increase its exports from India to $10 billion annually by 2027.
Last year, the company informed toy makers about their requirements and expected quality standards, as it is directly engaging with domestic toymakers for sourcing.
“The objective of the workshop or hackathon is to help domestic players increase their presence on Flipkart’s platform and exports from the country,” the official noted.
The main points which could figure in the workshop include information regarding the toys category; details of recent trends in the toys market; experience of existing manufacturers with Flipkart; details of central support pertaining to Flipkart toy team handholding, registration for new account and onboarding of Indian manufacturers.
When asked about the hackathon, Flipkart Group Chief Corporate Affairs Officer Rajneesh Kumar said that through the Flipkart marketplace, the company have been able to provide local toy manufacturers a platform to reach customers across India thereby supporting their growth.
“We are happy to support DPIIT, Ministry of Commerce’s efforts to help strengthen the toy industry in India and accelerate India’s development as a global toy manufacturing and export hub. This workshop and hackathon will help all participating stakeholders identify opportunities to achieve this goal of the government,” Kumar added.
Another industry official said that e-commerce platforms are revolutionising toy retail in India as they offer a wider selection of toys compared to physical stores, making them a one-stop shop for parents.
These online platforms provide greater access to a much wider customer base across India, expanding their market reach significantly.
E-commerce eliminates the need for physical stores, reducing operational costs. It also provides valuable brand exposure to a large audience. Additionally, e-commerce platforms offer data on consumer buying habits and preferences, allowing manufacturers to develop products that cater to market demands.
India’s toy exports declined marginally to $152.34 million in 2023-24 from $153.89 million in the previous financial year, according to a report by economic think tank GTRI.
The Global Trade Research Initiative (GTRI) said India’s toy exports did not benefit much from the mandatory quality control orders.
In contrast, India’s share in the global toy export market is minimal, totalling $167 million, which represents only 0.3 per cent of the global exports, ranking it 27th, the GTRI report has said.
India raised import duties on toys beginning in February 2020. The basic customs duty was increased from 20 per cent to 60 per cent and then to 70 per cent in July 2021.
(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.)
First Published: Jun 11 2024 | 10:37 PM IST
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