Iran’s toy exports stand at $20m in FY 2022-23

“Currently, Iran has 250 active toy producers with an official brand and if the commercial advisers of our embassies can ease the export regulations to some countries, we can increase the volume of exports in this field,” Ehsan Monshi was also quoted as saying by IRIB News.

Iraq, Armenia, Afghanistan, Russia and Oman were the main export destinations for toys made in Iran during the period under review.

“We have cheap raw materials and energy in Iran and we can compete with other countries in the field of toy exports, but certain laws and regulations decrease our ability to compete with other countries,” he added.

The official noted that several specialized exhibitions of Iranian toys were held in Armenia and Iraq in fiscal 2022-23, which helped increase exports.

“The main problem of this industry is raising capital because there should be product variety in this field, which requires investment. Unfortunately, it is very difficult to secure financial resources in this area and banks do not cooperate with toy companies,” he said, Financial Tribune reported.

According to Monshi’s predecessor, Gholamreza Dizaji, the domestic toy market is worth $300 million, of which the share of domestic producers is around 30-35%.

Dizaji said that in late 2021, about $160 million worth of toys are legally and illegally imported into Iran every year.

“Although toy production is considered a cultural activity, the sector is subject to both VAT [9%] and income tax,” he said.

MNA/PR