Toy industry is in a period of light in India, it would be referred to as a golden age. It has long been a country largely reliant on imported toys, but is now beginning to emerge as a significantly large Toy Manufacturers in India. The Indian toy market has been booming with the rise in purchasing power, awareness on educational toys and good government assistance in the form of several programs.
Overview of India’s Toy Industry and Market Growth
The Indian toy industry has come a long way — from depending on imports to proudly making toys that are loved both at home and abroad. As of 2025, the industry is worth around USD 2.8 billion and is growing at an impressive rate of 12–15% each year.
A big reason for this rise is the government’s support for “Make in India” and “Aatmanirbhar Bharat” initiatives, which encouraged local manufacturers to produce high-quality, safe, and creative toys. In last few years, imports have dropped significantly, while exports have surged — with Indian toys now reaching over 120 countries, including the US, UK, and UAE. As per economic times report exports up 40%, imports down 79% over five years (FY2018-19 to FY2023-24).
Traditional toy hubs like Channapatna in Karnataka, Noida in Uttar Pradesh, and Kutch in Gujarat have gained global recognition. At the same time, a new wave of innovation is emerging — from STEM-based educational toys and AI learning kits to sustainable wooden toys for mindful parents.
Online platforms like Amazon, Flipkart, and FirstCry have made it easier than ever for small and local toy brands to reach millions of customers.
Why Many Toys Are Still Chinese-Branded:
- Lower Pricing: The prices of the toys provided by the Chinese manufacturers are lower by an estimate of 30-40 percent owing to economies of scale.
- Established Supply Chain: Years of experience have developed effective sourcing networks and supply chains.
- Quality Perception: Even with the progress that has been made it is still believed that the Chinese electronic toys are superior in the eyes of many consumers.
- Mass Production: Million tons of production quantity can be made in Chinese factories within a short period, which is still being scaled up by Indian manufacturers.
Types of Toy Manufacturers in India
There are different categories of toy manufacturers operating in India serving different market segments:
- Plastic Toys Manufacturers: These are those companies that manufacture the most popular toys that are manufactured through injection molding and blows opportunities. They produce action figures, dolls, toys vehicles, and playsets.
- Electronic / Electric Toy Manufacturers: Specialists of battery-powered and remote control toys, these manufacturers are those who produce robots, drones, toy vehicles, and interactive learning products having lights and sounds.
- Wooden Toys Manufacturers: This is the toy manufacturer in India that specializes in environmentally appropriate and traditional toys, they designed puzzles, blocks, pull-along toys, and montessori based learning products using sustainable wood.
- Soft / Plush Toys Manufacturers: These manufacturers are those making safe toys out of fabric, cushions, and stuffed animals that are safe with babies and toddler children.
- Educational Toys Manufacturers: It is a three percent of the market that produces STEM toys, DIY kits, science experiment toys, coding toys and mind development games to children of all ages.
- Electric Toy Car Manufacturers: These manufacturers specialize in battery-powered ride-on cars made of miniature cars, bikes and jeeps, all in a realistic appearance.
Top 15 Toy Manufacturers in India
1. PlayShifu
- Founded In: 2016
- Headquarters: Bangalore
- Website: https://www.playshifu.com
- Address: Bangalore, Karnataka, India
In India, PlayShifu is one of the Toy Manufacturers in India that are on the forefront of transforming early childhood education with the help of technology based toys. The company was founded by Vivek Goyal (Parents: 2) and Dinesh Advani since, it was the two parents who came up with a special market by integrating physical toys with augmented reality and digital learning experiences. The positive outcome of PlayShifu is that with their products, they are able to make it count and not mindless, since they have already reached their goal of more than 1 million children with screen time in 35+ countries but even more…
Key Products:
- Plugo – physical controller based AR Gaming system.
- Tacto- iPad learning games: AR.
- Orboot – AR Geography globe inter-active virtual world.
- Shifu Math – AR-based earnings learning of math.
- Coding Shifu – physically block-based programming.
2. Smartivity
- Founded In: 2015
- Headquarters: New Delhi
- Website: https://www.smartivity.in
- Address: New Delhi, India
Smartivity is one of the most innovative toy producers in India with the focus on STEM educational DIY toys of children between 3 and 14 years old. Established by Tushar Amin, Apoorv Gupta, and Rajat Jain, the company develops eco-friendly made wooden toys that they are based on the principles of STEM/STEAM. The special feature of Smartivity is that their toys lead to dynamic objects of the game with actual mechanical movement elements and their experience is more than building blocks.
Key Products:
- Smartivity Edge -updated gear STEM kit in children older than sixteen years old.
- Smartivity Crazy Ricochet – Ball -based physics game.
- Smartivity Blast – Movie launcher toy.
- Smartivity rotating drawing machine- Spin.
- smartivity arcade basketball game: DIY basketball game.
3. Shumee Toys
- Founded In: 2014
- Headquarters: Bangalore
- Website: https://www.shumee.in
- Address: Bangalore, Karnataka, India
Shumee Toys is the emerging branch of high-quality toy manufacturers in India which focuses on the elaborated kids brand. The company, which was established by Meeta Gupta, will focus on supplying high quality, safe, unique and interactive toys to children. Shumee has also established a good distribution network and they sell on their own web site shumee.in and through big sites such as Amazon India, Flipkart, FirstCry, Pepperfry and so on. The company has also been expanding to other international locations with Amazon USA presence.
Key Products:
- Building blocks constructed of wood and building sets.
- Pretend play offered toys and role-play toys.
- Art and craft activity kits
- Inspired learning materials: Montessori-oriented-based.
- Children outdoor playing equipment.
4. Funskool India
- Founded In: 1987
- Headquarters: Bangalore
- Website: https://www.funskool.com
- Address: Bangalore, Karnataka, India
Funskool is an old and reliable company in the toy industry having an experience of approximately 35 years in the toy manufacture business in India. A joint venture with Hasbro, Funskool is now a household brand that is widespread in India. A great variety of toys that the company produces involves board games, action figures, dolls, preschool toys, and outdoor play equipment. Funskool is licensed to much of the international popular toy brands and it also supports its own original products which are oriented towards the Indian market.
Key Products:
- Board games (Monopoly, Scrabble, Business)
- Giggles preschool toy range
- Play-Doh activity sets
- Action figures and collectibles.
- Sport and activity toys: outdoor.
5. Nesta Toys
- Founded In: 2021
- Headquarters: Nagpur/Hyderabad
- Website: https://nestatoys.in/
- Address: Nagpur & Hyderabad, India
Nesta Toys is another toy-producing company that only appeared recently in India and was founded in 2021 by an IIM graduate, Neha Makdey. The vision and mission of the company are to promote early learning and active plays using non-toxic and inclusive toys. Nesta is translated as pure, and based on the vision of the company, which is bringing child hood closed endless play Nesta was the name of the company. The company has a collection of simple and friendly toys in which the child does the driving during play and not the instructions on what to do.
Key Products:
- Construction toys with majority of questions open ended.
- Eco-friendly wooden puzzles
- Toddler methods of sensory play.
- Toys of learning inspired by nature.
- Speckled opinion and homemade recreational sets.
6. Havi.co (The Robotic Toy Store)
- Founded In: 2020
- Headquarters: Bhavnagar
- Website: https://www.havi.co
- Address: Bhavnagar, Gujarat, India
The Havi.co is one of the new manufacturing companies of toys in India which focuses on DIY robotics kits and creativity toys. The company is founded by Prashant Mamtora, through which they produce toys and tools that encourage any living person, be it children, teenagers, or even adults, to play, create, and perform (How Toys and Tools 2015). Havi has also conceptualized and developed, Havi Elements, a line of easy to use, beautiful, and intuitive, colorful, snap-fit, snapshot, durable and fun electronic blocks. It is possible to make and repurpose these elements to make hundreds of various creations and toys with no costly replacements necessary.
Key Products:
- Havi Elements consumers of electronics.
- DIY robot kits for beginners
- Moving toys and projects.
- LED-based creativity toys
- Electronic kits of sound and music makers.
7. Astrophilia Education
- Founded In: 2021
- Headquarters: Mumbai
- Website: https://www.astrophiliaedu.com/
- Address: Mumbai, Maharashtra, India
Astrophilia Education is a niche division among Toy Manufacturers in India that deals with toys that are relevant and applicable in terms of education and learning space and science. The company deals with the design, production, and sale of interactive and entertaining learning toys that initiate children to have an interest in astronomy and space activities. The company was established by Ajay Sapkale and Ebrahim Vasi. The design of all their toys contained the visual attraction as well as their functionality all geared towards the ability to learn and towards countless hours of pleasure.
Key Products:
- Planetariums and solar systems models.
- Telescope kits for children
- Rocket science DIY projects
- Learning toys, constellation team.
- Factor of space puzzles and games.
8. Litifer
- Founded In: 2016
- Headquarters: Gurgaon
- Website: https://www.litifer.com
- Address: Gurgaon, Haryana, India
Litifer is a leading edge Indian-based manufacturer of voice-interactive edutainment toys, which are AI-powered. The company was based on the principles of Kishlay Kishore and Vivek Baghotia to empower more than 250 million Indian parents who offer their children to take part in screen-free cognitive learning with content-first devices. The toys produced by Litifer are artificially intelligent and can make puns, stories, rhymes, puzzles and educate in addition to roaming normal random chatter with children.
Key Products:
- Conversationally interactive AI pets.
- Children storytelling machines.
- Educational content apparatus in local languages.
- Playing quiz and puzzle toys.
- Language learning playthings.
9. PlayVerse
- Founded In: 2022
- Headquarters: Mumbai
- Website: https://www.playverse.toys/
- Address: Mumbai, Maharashtra, India
Compared to other toy manufacturers in India, PlayVerse is unique as it is a venture studio with perpetuating ideas to scale in lending joyful solutions. The company is a toy company and a game company that was formed by Jaineel Aga. PlayVerse Toys is a brand of edible product toys, a solution to STEM toys, which will enhance learning results amongst young learners. Out of innovation, the company has also been able to come up with a strategy game sponsored by Billions Quest, much similar to Monopoly, meets Wall Street, but it is casual. PlayVerse has also received funding of 1.5 million dollars in Akatsuki, a prominent Japanese investor in the gaming and entertainment sector.
Key Products:
- STEM learning toy kits
- Strategy board games
- Gaming educational products.
- Physical-digital play experience productions.
- Toys promoting children-skilled development.
10. Ariro
- Founded In: 2020
- Headquarters: Chennai
- Website: https://www.ariro.in
- Address: Chennai, Tamil Nadu, India
Ariro is an alternate brand of wood and developmental aids among the toy producers in India, of D2C. Ariro toys are designed to meet exact requirements in very specific ages, according to Montessori precepts on child development. The company makes an effort to choose the excellence of materials and artisans in order to acquire wholesome products. Their team would make sure that whatever they produce is optimal to the mental and physical well-being of the child.
Key Products:
- Wood Montessori learning materials.
- Wooden puzzles of the appropriate age.
- Toys associated with fine motor development.
- Toys of sensory exploration with babies.
- Wooden teethers and rattles natural.
11. Bhooshan’s Junior
- Founded In: 2019
- Headquarters: Cochin
- Website: https://bhooshansjr.in/
- Address: Cochin, Kerala, India
Junior, of Bhooshan, is establishing the first tech-tainment company of kids in India, unlike other toy sectors in India. Having been established by Sarath Bhooshan and Joseph Panikulam, the company is aimed on the re-establishment of the kids entertainment segment by launching Indian iconic animated intellectual properties in the country. On these intellectual properties, they have dedicated them to creating comics, animated series projects, gaming products, AR/VR products, and technology-enabled interactive toys and robotic toys on kids.
Key Products:
- Toy lines of Indian character.
- Kids VR products AR gaming products.
- Storytelling interactive toys.
- Robot toys It contains toys that are produced using technology.
- Entertainment goods and stock.
12. AtumX
- Founded In: 2022
- Headquarters: Chennai
- Website: https://www.atumx.in/
- Address: Chennai, Tamil Nadu, India
AtumX is addressing a very intriguing issue of global parents, which sets it with innovative toy manufacturers in India. The company assists children in exposure to fun and hands-on technologies. AtumX understands that to enhance children to acquire problem-solving and innovative reasoning, entertaining them with practical activities is the way to go; however, kids are no longer interested in the attractiveness of traditional toys, once-focus is taken on board games or professional craft kits.
Key Products:
- DIY robotic companion kits
- Active interaction placed in palm-sized robots.
- Coding learning toys
- Electronics exploration hardware.
- AI-enabled toy building sets
13. HoverRobotix
- Founded In: 2016
- Headquarters: Ludhiana
- Website: https://www.hoverrobotix.com
- Address: Ludhiana, Punjab, India
HoverRobotix is the pioneer company that introduced the idea of hoverboards and robots in India, which is why it is a distinctive brand regarding the toy production companies, which specialize in personal mobility, in India. The company is a robotics organization, which started by Munish Jindal and focuses on personal mobility products, hoverboards, and self-balancing electric scooters. HoverRobotix makes the dream about the future and customized transportation become a part of the human life. The company was founded bearing in mind that its aim is to connect the human race with the artificial intelligence of the world of robotics by offering the future generation a sustainable future by means of transportation commodious in a green format.
Key Products:
- Self-balancing hoverboards
- Scooters Kids electric scooters and electric teen scooters.
- Personal mobility devices
- Smart balance boards
- Automated conveyance of personnel.
14. Be Cre8v (Be Creative)
- Founded In: 2014
- Headquarters: Faridabad
- Website: https://becre8v.com/
- Address: Faridabad, Haryana, India
Be Cre8v is one of the Toy Manufacturers in India who approach the problem of lack of creativity in children of the modern world specifically. The company produces interesting creative products to kids as was founded by Sandeep Sharma. Most research works that have been conducted in different parts of the world have confirmed that kids are losing creative capacity, clue to generate original and bizarre thought, sense of humor, inventiveness as well as elaborative capability of thoughts. With respect to what expertise says, creativity is an inherent thing, which cannot really be lost, yet when creativity is not nurtured and exercised, they get lost.
Key Products:
- DIY craft and art kits
- Custom building and construction sets.
- Play materials based on imagination.
- Products in activities based learning.
- Practical creativity resources among children.
15. Rabitat
- Founded In: 2019
- Headquarters: Delhi
- Website: https://www.rabitat.in
- Address: Delhi, India
Rabitat is one of the toy producing companies in India that is considerate of children safety and also providing the most parental solutions. AG Ventures and other investors have put their money into the company showing confidence in the business model of the company. Rabitat pays attention to the development of the products that would assist parents to ensure the children can have secure conditions which will promote healthy development. Their product consumption includes the items of toys, safety tools, and aids in parenting.
Key Products:
- Young children Safety- branded toys.
- Products based on parenting solutions.
- Child safety equipment
- Developmental play items
- Babycakes including safety spreads.
How to Manufacture Toys in India: Step-by-Step Overview
- Business Registration and Licensing: Your company Companies supply the details to register the company as either a Private limited, LLP or Proprietorship and then receive licenses such as GST registration license, import export code where required and self certification of safety standards in their toys from BIS.
- Market Research and Product Development:determine your market niche (age bracket, kind of toy, price range), research competition, design special toys, design prototypes and test them through focus group before mass production..
- Raw Material Sourcing: Build a network with your supplier of plastic granules, wood, fabric (electronic components, or other materials) depending on your type of toys in order to know whether they are BIS safety compliant in making the toy.
- Manufacturing Setup: SELECT Manufacturing Under this, the manufacturing premises, machinery (injunction molding machine, CNC machine, assembly line, etc.), talented staff, adoption of quality management, and safety honorable at the workplace.
- Distribution and Marketing: Distribution Distribution Develop distribution channels via online shopping platforms (Amazon, Flipkart), physical retailer relationships, online store (your), attendance at play-girl fairs/exhibitions and brand presence via online marketing and social media.
Profitability & Business Outlook
Profit Margins for Various Types of Toy Manufacturing
- Plastic Toys Manufacturing: Profit margins are average which is 15-25 percent based on volume but higher margins are obtained with unique designs and cheaper margins are obtained when dealing with generic products competing with the Chinese imports.
- Wooden/Educational Toys: Indian manufacturers of wooden and educational products in their high-end segment have a margin of 30-40 as parents perceive higher quality, products are environmental friendly, and parents can pay more.
- Electronic/Smart Toys:20-35 qualifying depending on the intricacy of the technical/aspects, AI-powered toys and IoT-enabled toys are priced more to the premium and have higher margins.
- Licensed Character Toys:The cost of licensing creates a lower margin of 15-20, however, understandable character recognition further lowers the marketing costs and the sales of the product may be greatly increased.
Challenges
- Competition from Imports: Chinese toys continue to hold the majority in 60-70 cent of the Indian market since they are able to sell at a cheaper price and the domestic toy manufacturers of India can hardly compete with their competitor based on price alone.
- Safety Compliance Costs: It takes much spending on tests and quality control systems to meet BIS standards, receive The certifications of safety and ensure that the products are safe..
- Limited Technology Access: In India, several of the small and medium toy companies have no access to the sophisticated automation, 3D printing, and AI technologies that are able to enhance the quality of the products and lower the costs.
- Skilled Workforce Shortage: The industry has been facing a long evading problem of finding trained employees that know the rope of designing toys, integrating electronics, and new art techniques of production.
Opportunities
- Make in India Initiative: With the help of Government subsidies, easy sources of loans, tax concessions, and preferential treatment in contracting, the toy manufacturers in India have good chances of increasing their revenue.
- Export Potential: The increasing global water demand of eco-friendly, hand-made, and culturally varied toys presents buyers of Indian products reaching billions of dollars in markets that can offer more than what products with other countries can produce at the export opportunities.
- Online Sales Growth: E-commerce system has opened up the markets in an equal way and small toy manufactures in India can access a broader market in the country without costly networks of retail distribution to benefit of the business with the reduction of the promotional expenses and low cost of entry.
- Growing Domestic Market: The domestic market has growth potential that cannot be measured as it has 400+ million children younger than 18 years of age, middle-income that is rising, and an increasing inclination towards buying educational toys in the next ten years.
Explore More Indian Manufacturers:
Conclusion
The toy industry in India is a fast-inflection industry. Having a high government backing, rising consumer awareness and rise in entrepreneurship, toy manufacturers in India can take a bigger market share of the domestic as well as foreign markets. The production firms described in this article can be used as the example of the variety and innovation the toy business in India can offer: traditional wooden playthings and AI-enabled robots, recycled plastics and bio-composite world.
Despite the current challenges such as the competition with low-cost imports and the ability of the company to get the latest technology, there are more opportunities than those challenges. The Make in India program paired with the increasing quality standards and unique products are assisting the manufacturers of Indian toys in creating good brands that the consumer can identify with. With the increased involvement of more entrepreneurs into this field with new ideas, sustainable practices, and technology integration, India will become a significant world toy manufacturing hub.
FAQs
What are the investment requirements to start a toy manufacturing business in India?
IInvestment will depends highly depending on a toy and its size. The initial capital requirement of small sized wooden toy manufacturing can range between [?]5-10 lakhs and plastic injection moulding units between [?]25-50 lakhs. Tech-enabled and electronic toy manufacturers in India would require [?]50 lakhs up to [?]2 crores to be spent on equipment, technology and starting inventory.
What safety certifications are required for toy manufacturers in India?
All toy manufactures in India are required to have BIS (Bureau of Indian Standards) certification compliance to the IS 9873 (Part 1 to Part 9) which encompasses mechanical, physical, chemical, flammability, electrical and electrical property compliances. Furthermore, product should meet the requirement of age grading, warning labeling and packaging regulations.
How can small toy manufacturers compete with Chinese imports?
Indian small toy manufactures can play at a disadvantage when targeting on unique designs and cultural relevance and educative value, usage of environment friendly materials and tailor made customer services that the Chinese mass manufactures cannot offer. Weak brand stories about Indian heritage, traditional craft, sustainability and child development can be used to legitimize the premium pricing.
What are the most profitable toy categories in India currently?
The most lucrative type of toys in India market is educational and STEM toys because parents would be ready to pay high prices on the products that can help in the development of children. Ecofriendly produced wooden toys earn 30-40 percent profitability because of the increasing environmental awareness.
How long does it take to establish a profitable toy manufacturing business in India?
Less than 18-24 months are the period the most toy manufactures in India break-even in case they are properly planned, with sufficient capital, and suitable marketing strategies. The first six to twelve months is set-up, product development, test and certification.
