Sociable distancing proves a boon for bicycle exporters
The necessity to maintain social distancing to avoid infection amid the ongoing coronavirus pandemic has buoyed the global demand for bicycles.
And with Bangladesh as an exporter of bikes, the united states is also reaping the advantages of the spiraling demand for two-wheelers.
Bicycle exports are actually surging as a growing number of people are using two-wheelers to avoid mass transportation that puts them vulnerable to infection, such as for example buses and the metro.
Bike shipments amounted to $65 million found in the July-December amount of fiscal 2020-21, marking a 44 per cent year-on-year growth, according to info from the Export Promotion Bureau (EPB).
This was the highest ever half-yearly export growth previously five years for bike exports.
"An increasing number of persons, particularly found in Europe, are employing bicycles to be able to maintain social distancing," said Md Luthful Bari, director of businesses of Meghna Group, the country's most significant bike exporter.
Besides, a good section of folks who used to go to the gym for workout now ride bicycles as an alternative, he added.
Bangladesh fetched $126 million from bike exports found in fiscal 2014-15, that was the highest within the last 10 years.
But since that time, bicycle shipments, which are mainly destined for European markets, had been along the wane, EPB info shows.
Exporters said the closure of bike factories in China following Covid-19 outbreak damaged production and created even more demand among purchasers to look for alternative sourcing destinations.
"Many big businesses used to buy in big volumes exclusively from China but following the pass on of coronavirus there, they realised the value of diversified sourcing," said Joynul Abedin, chief operating officer of RFL Bike Sector, a problem of PRAN-RFL Group.
"As Bangladeshi items have a good name in European market segments, we are getting various queries," he added.
Some six companies try to make bicycles for export mainly to Europe to reap the benefits of the duty-no cost entry that Bangladesh enjoys as a least developed country.
Abedin also said a new industry for bicycles is checking as a result of a trade battle between China and the US.
"Though we don't have the generalised system of preferences service for the US, we nonetheless started receiving orders from US buyers. This new industry will help us expand at an even faster pace for another five years," he explained, adding that the Indian industry also offers good potential.
"I see a huge possibility to grow Bangladesh's export market in the bicycle market. Following the garment industry, that is going to get the second biggest export market which can only help Bangladesh maneuver to the next level," Abedin said.
Bari, also secretary of the Bangladesh Bicycle & Parts Producers' and Exporters' Association, expects that export revenue from bicycles might cross $115 million by the end of the ongoing fiscal season.
"We have an excellent stream of orders," he said, adding that government support in the sort of cash incentives will be beneficial to increase exports.
Aside from export, the household industry for bikes also expanded found in 2020 because of the increased demand for substitute modes of transfer to maintain social distance, Abedin said.
