Koppal Toy Cluster to Propel Indian Toy Manufacturing Industry

Koppal Toy Cluster

Probably the time has come to bid farewell to the toys that are ‘Made in China’. India is all set to have its first toy cluster in Karnataka’s Koppal, a historic city with a great legacy in toy making.

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The Chief Minister of Karnataka B S Yediyurappa laid the foundation stone on 9th January for the construction of toy cluster in Bhanapur village near Koppal. Speaking at the event, the Chief Minister said, “The toy manufacturing cluster will contain over 100 units with a potential to generate 25,000 to 30,000 direct jobs and over one lakh jobs indirectly. This is a momentous occasion as the Koppal toy cluster is the first in the country. The construction of the campus is expected to be completed by December this year. If it happens, we will invite Prime Minister Narendra Modi to inaugurate the toy cluster.”

In line with Narendra Modi’s vision of ‘Atmanirbhar Bharat’, and push for boosting domestic toy manufacturing, Yediyurappa had earlier announced that Koppal will have India’s first toy manufacturing cluster. The integrated toy cluster which will be spread over 400 acres will have a self-sustained ecosystem. Acting as a one-stop for the toy manufacturing industry, the Koppal toy cluster will cater to end-to-end infrastructure and operational support requirements of toy manufacturing companies. The cluster with world-class infrastructure and comprehensive ecosystem will support the entire value chain, from toys manufacturers, suppliers, and vendors.

Better connectivity with Bangalore and Hyderabad, two major cities in South India and proximity to sea ports of Mumbai, Goa and Vizag make Koppal an ideal hub for toys manufacturing in the country.

Read: Opportunities in the Indian Toy Manufacturing Industry 

Domestic Toys Industry Scenario

India is one of the largest toy markets in the world. The demand for toys in India will grow at 15-20% CAGR over the next five years. The Indian toy industry is will become USD 3.3 billion by 2024. Currently, in India, more than 85% of the demand is met by Chinese toys. It is the best opportunity for toy manufacturers, particularly MSMEs, to capitalize on the growing demand in the domestic market.

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Karnataka is the third-largest toy market in India, accounting for over 9% of the domestic market. Karnataka has a rich heritage in toys making, with Channapatna toys from Ramnagara district and Kinhal toys from Koppal district. These traditional wooden toy crafts that are native to Karnataka were also given Geographical Indicator tag by the World Trade Organization. The upcoming toy cluster in Koppal will help to revive the toys manufacturing industry in Karnataka by blending the technology and innovation with the ancient crafts.

The Koppal toy cluster, with the theme of ‘Concept to Commission of the Plant’, will provide ready-to-use facilities to the manufacturing companies to easily setup the manufacturing plant and commence their operations. It will allow the Indian toy manufacturers to cater to not just the domestic market but the global toy market.

The Government of Karnataka has already signed MoUs with some of the major toy manufacturing companies including Playgro Industries Pvt. Ltd., Sterling New Horizons Pvt. Ltd., Hotshot Tooling and Engineering Ltd., Aequs Force Consumer Products Pvt. Ltd., Aequs Engineering Plastics Pvt. Ltd., attracting an investment of around USD 200 million. As per the government, the cluster will attract over USD 450 million investments over the next five years.

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  1. https://www.investindia.gov.in/team-india-blogs/karnatakas-koppal-toy-manufacturing-cluster-game-changer
  2. https://www.thenewsminute.com/article/india-s-first-toy-manufacturing-cluster-karnataka-wants-create-over-1-lakh-jobs-141168
  3. https://www.zeebiz.com/india/news-proud-moment-for-karnataka-indias-first-toy-cluster-to-come-up-in-bhanapur-village-of-koppal-district-145556
  4. https://koppal-toycluster.com/

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