The country's bicycle export earnings have started showing a sign of recovery on the back of increasing demand in Europe, the key destination for the two-wheeler, stakeholders have said.
According to them, there had been excessive stocks of the vehicle of European brands in the continent when the Covid-19 pandemic was over. The depletion of the stocks is now widening opportunities for Bangladeshi manufacturers.
The Export Promotion Bureau data shows bicycle export earnings started witnessing a downward trend in FY23, following a steep rise in the previous fiscal years.
However, the figure increased by around 40 per cent during the first five months of the current fiscal year.
From July to November in FY25, bicycle exporters earned $42.3 million, up from $30.13 million in the corresponding period of the previous financial year. Besides, in November alone, the figure rose by almost 157 per cent to $9 million from $3.51 million in the same month last year.
The main destinations of Bangladeshi bicycles include Germany, the UK, Austria, and Denmark.
According to data from Eurostat, an online platform of statistics and data on Europe, Bangladesh, along with China, was the third largest non-electric bicycle sellers in Europe in 2023 with a stake of eight per cent each. Taiwan and Cambodia held the top two positions.
Sources said Bangladeshi companies mostly manufacture non-electric bicycles based on buyers' orders while electric bike production is gradually increasing. The leading companies include Meghna Group, Uniglory, Alita (BD), and PRAN-RFL Group.
PRAN-RFL Group Director Kamruzzaman Kamal said exports had been declining in the last two years due to the economic slump in Europe amid the pandemic fallout and wars.
"Since Europe is the prime market for Bangladeshi bicycle exporters, their economic fluctuations also make an impact here."
Indicating last month's sharp rise, he said the tendency to buy new bicycles as well as other merchandise ahead of Christmas is common in Europe.
Kamal also said the business group has expanded its footprint in the local market in addition to exports.
"Bicycles are becoming popular at home and abroad, thanks to their affordability, environment-friendly features, and health benefits," the official said.
AHM Ferdous, general manager at Alita (BD), told The Financial Express the export trend is improving compared to the last couple of years.
"European brands have started buying green vehicles as their stocks are now running out," he said.
European bicycle brands saw huge stockpiles during the pandemic when many consumers showed increased interest in two-wheelers as a result of practicing social distancing and doing exercise to help cope with the outbreak.
The Centre for Policy Dialogue this year prepared a policy brief on the bicycle sector, which suggested providing manufacturers with support in terms of facilitated trade policies, financial assistance, and capacity enhancement.
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