Russia needs its own production of goods for children and toys

Lubov Kolokolova

Russia will support production of goods for children, toys and souvenirs. These goods will represent a separate category and their producers will receive tax benefits and subsidizing of a part of their expenses, related to payments of interest rates on credits and leasing contracts.

As Russian Ministry of industry and trade reports, within the frames of the departmental goal-oriented program “Development of small and medium business in industry and trade”, meant for 2010-2012, special emphasis will be laid on production of toys and goods for kids and it is expected small and medium business companies of Russia will be involved in this sphere.

As the President of Children Goods Industry Association Antonina Tsitsulina says, the Russian producers of toys occupy just 21,4% of the market of toys and goods for children. The official import makes 30,7% and illegal and “grey” goods make 47,9%.

“Russian toy industry should be developed” – she says – “At present time there are only two state enterprises, working still since Soviet times and producing balls and tilting dolls in the country, plus there are several small enterprises in the regions, busy with production of the simplest toys”.

There is one more problem: far from all goods for children are subjected to taxation at the rate of 10% and many producers have to pay VAT at the rate of 18%. The program, approved by Russian Ministry of industry and trade, has to remove this injustice.

It should be noted that the Craft Chamber RB pays serious attention to production of souvenirs in Bashkortostan and its staff includes several small enterprises, engaged in production of goods for kids, for example the educational center “Children’s University”, within which frames the company “Bashkir Souvenir” works – it produces soft toys, national souvenirs, festival and national Bashkir clothes etc.

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#trade #goods for children

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