Home ／ Insights on entering the Indian market
2026.03.24
India is home to roughly 500 million people aged 5-24, making it the country with the largest youth population in the world. This demographic underpins the explosive growth of the education market.
According to IBEF, India's overall education market is among the largest in the world, and the EdTech (education technology) segment alone reaches about $10.4 billion (approximately JPY 1.6 trillion) in 2025 (Statista estimate). IMARC Group gives a more conservative figure of $3.63 billion, but every study points to CAGR 15–28% strong growth ahead.
However, the funding environment has become tougher. According to Inc42's tally, funding for Indian EdTech shrank from 568 million dollars in 2024 to 249 million dollars (31 deals) in 2025, the lowest level in eight years. In contrast to forecasts of market expansion, investors are becoming more selective.
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Online education platforms such as Unacademy, Vedantu, PhysicsWallah, and upGrad spread quickly through the pandemic. At the same time, BYJU’S, once valued at $22 billion, entered insolvency proceedings in 2024 — a reminder of how sharply fortunes turn in this field. For Japanese companies, the openings are in niches: Japanese-language teaching, training in Japanese manufacturing practice (monozukuri), and quality control training.
Indian startups Linking up with this ecosystem opens the door to technology partnerships and joint content development.
In its National Education Policy (NEP) 2020, the Indian government has positioned strengthening STEM education as a national policy. Demand is surging for robotics classes, programming schools, and science experiment kits.
Japanese methods for teaching math and science, along with robotics technology, could earn particularly high regard in Bengaluru and Hyderabad IT cities like these.
In 2015, India launched the National Skill Development Mission, setting a target of upskilling 400 million people by 2022. The Comptroller and Auditor General (CAG) reported in 2025 that actual achievement reached only 13.2 million people, falling far short of the target. Even so, successor programs informed by that shortfall, such as PMKVY 4.0, have continued, and demand for training in manufacturing, IT, and hospitality remains enormous.
By offering education programs in Japanese quality-management methods such as 5S, Kaizen, and TQM, Japanese companies can approach both talent recruitment and the education market at the same time.
India's educational toy market was valued at about $2.83 billion in 2023 and is growing at a CAGR of 14% (Grand View Research). With the rise of nuclear families and dual-income households, interest in "learning through play" is growing.
Japanese educational toy makers can appeal to more than middle-class of Indian consumers on the strength of their quality and educational effectiveness.
Child nutrition is a serious problem in India, and interest is growing in healthy eating-habit education (food education, or shokuiku). Japan's concept of shokuiku can reach both the education market and the food market when combined with school-lunch improvement programs and nutrition education for children.
The number of Indian students who want to study in Japan is growing year by year, expanding demand for Japanese language education and study-abroad support services. Delhi, Mumbai, Chennai The number of Japanese language schools is also growing in places like these.
India's fast-growing companies have strong demand for management-skill and leadership-development training. Training programs in Japanese management methods (the Toyota Production System, hospitality practices, and so on) have value as an education service that bridges cultural gaps.
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India has one of the world's largest youth populations, and this large demographic base drives up enrollment numbers and education demand, forming the foundation for market growth. Another notable feature is that multiple segments, including EdTech and vocational training, are growing simultaneously.
Because major players already dominate general subjects, Japanese companies can differentiate themselves by focusing on specialized areas such as Japanese language education, monozukuri (manufacturing) education, and quality-control education. Starting with technology partnerships or joint content development with local startups, or supplying content to existing platforms, is also a realistic approach.
This is driven by the Indian government positioning the strengthening of STEM education as national policy. Demand for robotics classes and science experiment kits is rising, and IT cities offer fertile ground for Japanese math and science teaching methods to be well received.
Interest in children's nutrition challenges is rising in India, leaving room for food education (shokuiku) that teaches healthy eating habits. Combined with school-lunch improvement programs or nutrition education for children, it can reach both the education market and the food market. This is also an area that pairs easily with building awareness of your own food products.
Under India's talent-development initiatives, demand for training in manufacturing and IT is enormous. Education programs in Japanese quality-management methods such as 5S, Kaizen, and TQM deliver value on both the talent-recruitment and education-business fronts. Training in Japanese-style production methods is also promising as a service that bridges cultural gaps.
The starting point is to identify which area, EdTech, STEM, vocational training, educational toys, food education, study-abroad support, or corporate training, best matches your company's strengths. From there, partnering with a local player and building a system to localize and deliver Japan-quality content will keep entry risk down. We recommend testing the response with a small-scale pilot before rolling out in full.
India's education market, backed by the world's largest youth population, offers major business opportunities across seven areas: EdTech, STEM education, vocational training, educational toys, food education, study-abroad support, and corporate training.
Japanese companies can put their Japan-quality education content and technology to use localization, and Local partners make it easier to enter the market, India Market ride the growth trend of this market.
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We support Japanese companies entering India, from market research through local partner development, test sales, and import.