Cycle makers focusing more on West for high-value exports
Made in India bicycles especially from Ludhiana are witnessing boost in demand in developed economies. According to All India Cycle Manufacturers Association(AICMA), Indian bicycle manufacturers are making rapid strides in exporting high quality bicycles to North and South America, and European countries which offers immense potential for Indian exporters.
Currently, the majority of bicycle exports from India is restricted to Asian and African countries. While high value cycles are exported to developed markets such as the UK and Germany which offers handsome margins, the entry level ones exported to Africa and Asian countries.
In developed economies, China and Taiwan have the lion’s share in exports, but gradually Indian manufacturers especially from Ludhiana are making a dent. Ludhiana accounts for 75 per cent of the country’s total bicycle production and 92 per cent of bicycle parts’ manufacturing. The city manufactures more than 60,000 bicycles every day.
According to the data, amid increase in demand, India’s bicycle industry pedalled to a significant increase in exports in the current fiscal compared to last one. According to AICMA, the total bicycle exports to North and South American countries in the current fiscal till November stood at 1,06,181 bicycles as compared to 58,000 bicycles in 2023-24.
“Similarly, exports to European countries touched 5,20,000 bicycles till November in the current fiscal. The manufactures exported similar number of bicycles in 2024-25,” KB Thakur, secretary general, AICMA, said.
Exports to African and Asian countries stood at 8,60,000 units in 2023-24, while in the current fiscal year till November it touched 6,11,900 units.
“The European countries hugely rely on imports for their domestic demand. This market is currently dominated by Chinese and Taiwanese bicycle exporters. Still, there is an opportunity for us. The only thing is that we have to be competitive on the cost front and have to maintain stringent quality standards to adhere to their regulations,” Jagdish Rai Singhal, founder of Ludhiana-based Eastman Group of Industries, said. He added countries such Germany and Britain offered immense opportunity for the Indian bicycle manufacturers and speculations are there that the US under Donald Trump would offer favourable atmosphere for the Indian manufacturers.
To give a boost to exports, the labour-intensive bicycle industry is eagerly waiting for extension of Production-Linked Incentive Scheme (PLI). “The PLI scheme for bicycles, is under consideration by the Prime Minister’s Office (PMO) and the Union Cabinet.
