Many segments of Bangladesh’s light engineering sector are thriving, but when it comes to
making global mark, bicycle industry has emerged as a true powerhouse whether it’s domestic manufacturing or in International trade. The journey of the industry was modest which began in the 1990’s has now transformed into one of the most export earning sub sector.
The Journey of Growth
The bicycle industry started its pedaling with the entry of Alita Bangladesh Limited back in
1990s. The market, since then, has expanded rapidly. Increasing domestic demand, skilled
craftsmanship and government support played a pivotal role in the expansion. Currently,
Bangladesh has a strong lineup of local manufacturers. Renowned companies like Meghna
Group, Pran-RFL Group and Akij Group are not only fulfilling the national needs but also making their mark globally.
Export Success
Amongst the other segments of light engineering sector, bicycle is a key export performer. In
the fiscal year 2023-24 bicycle exports reached an impressive 82.5 million dollars. Around 80% of these exports were directed towards the EU, with Germany, Austria and the UK serving as the top destinations. This performance highlights the bicycle industry’s ability to meet the international quality and compliance standards. Making Bangladeshi bicycles a globally attractive product.
Diverse Product Offerings
Bangladeshi manufacturers build various kind of models which caters to global markets such as:
- Mountain bikes
- Road bikes
- Electric bicycles
- Children’s bicycle
This allows the industry to explore different kind of consumer segments in different regions,
ensuring consistent demand and export growth.
Domestic Demand on the Rise
With annual sales estimated 1.5 million units it is certain that the domestic market is stretching rapidly. Shift in urban mobility trends, increase of health conscious consumers and an increase interest in eco-friendly transportation, catalyzed this demand. The market is projected to grow at a staggering 30% annual rate, foreshadowing a strong potential for future investment.
Opportunities and Challenges
The industry has witnessed grand success, however, it does have challenges which needs to be overcome, such as, dependence on imported components and infrastructure constraints.
Government of Bangladesh is actively addressing these issues by offering export incentives and introducing business friendly policies to enhance competitiveness and reduce production cost.
With a sturdy foundation, increasing export numbers and growing domestic demand
Bangladesh’s bicycle industry headed towards greater achievements. As part of the light
engineering ecosystem provides immense contribution to export diversification as well as
creating employment and driving technological advancement. The bicycle industry stands as a shining example of how targeted industry development can lead to sustainable and inclusive economic growth.
