Social distancing proves a boon for bicycle exporters

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The necessity to maintain social distancing to avoid infection amid the ongoing coronavirus pandemic has buoyed the global demand for bicycles.

And with Bangladesh being an exporter of bikes, the united states is also reaping the benefits associated with the spiraling demand for two-wheelers.

Bicycle exports are actually surging as an increasing number of persons are using two-wheelers to avoid mass transport 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 % year-on-year growth, according to data from the Export Advertising Bureau (EPB).

This was the best ever half-yearly export growth in the past five years for bike exports.

"An increasing number of persons, particularly found in Europe, are employing bicycles in order to maintain community distancing," said Md Luthful Bari, director of businesses of Meghna Group, the country's biggest motorcycle exporter.

Besides, a good section of men and women who used to visit the gym for work out now ride bicycles as an alternative, he added.

Bangladesh fetched $126 million from bike exports in fiscal 2014-15, that was the highest within the last 10 years.

But since then, bike shipments, which are mainly destined for European markets, had been over the wane, EPB info shows.

Exporters said the closure of motorcycle factories in China following the Covid-19 outbreak affected production and created more demand among purchasers to consider alternative sourcing destinations.

"Many big businesses used to buy in big volumes exclusively from China but after the pass on of coronavirus there, they realised the importance of diversified sourcing," said Joynul Abedin, chief operating officer of RFL Motorcycle Industry, a problem of PRAN-RFL Group.

"As Bangladeshi goods have an excellent name in European market segments, we are getting various queries," he added.

Some six companies get bicycles for export mainly to Europe to reap the benefits associated with the duty-no cost entry that Bangladesh enjoys as a least developed country.

Abedin also said a new industry for bicycles is checking because of a trade war between China and the US.

"Though we do not have the generalised system of preferences center for the US, we still started receiving orders from US buyers. This new industry will help us grow at a straight faster pace for another five years," he said, adding that the Indian industry also offers good potential.

"I visit a huge possibility to grow Bangladesh's export industry in the bicycle market. Following the garment industry, that is going to come to be the next biggest export industry which can only help Bangladesh approach to another level," Abedin said.

Bari, likewise secretary of the Bangladesh Bike & Parts Companies' and Exporters' Association, expects that export revenue from bicycles can cross $115 million by the finish of the ongoing fiscal time.

"We have an excellent circulation of orders," he stated, adding that federal government support in the form 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 solution modes of transportation to maintain social distance, Abedin said.

Source: https://www.thedailystar.net

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