India’s bicycle industry is experiencing a significant boost in international demand, thanks to a growing emphasis on health and environmental sustainability in Europe. The surge in interest spans across the UK, Germany, and the Netherlands, known for its strong cycling culture. Additionally, developing nations like Mozambique and Chad are increasingly turning to India for their bicycle needs.
Key Export Destinations
In the fiscal year 2023-24, Mozambique emerged as the leading destination for India’s bicycle exports, with shipments valued at $10.41 million, marking a 17.82% increase from the previous year. The UK followed closely, with exports rising by 130% to $8.85 million. The Netherlands saw a remarkable 169.38% increase, with exports climbing to $3.47 million.
Overall, India’s bicycle exports grew from $46.5 million in FY2023 to $54.38 million in FY2024, reflecting a 16.95% increase, according to commerce ministry data.
Factors Driving Success
The rising popularity of Indian-made bicycles can be attributed to several factors. Abhas Kumar, a trade analyst, notes that high-quality production, cost-effectiveness, diverse product offerings, supportive trade policies, and a strong brand reputation have all contributed to this success. India’s bicycles are becoming a preferred choice due to their superior quality compared to cheaper, lower-quality alternatives.
Ashwani Mahajan from Swadeshi Jagaran Manch highlights the “China Plus One” policy, which encourages countries to diversify their sources of goods, making India a viable alternative. This shift is also supported by Production Linked Incentive (PLI) schemes that boost the manufacturing sector.
Health and Environmental Considerations
Health experts point to increasing health consciousness as a major factor in the growing export demand. Cycling is recognized for its cardiovascular benefits, weight management, and its role in reducing pollution. Dr. Ravi Wankhedkar, former treasurer of the World Medical Association, emphasises that these health benefits contribute to cycling’s rising popularity.
Shifts in Import Trends
India’s bicycle imports from China have dropped significantly, from $9.2 million in FY2023 to $4.4 million in FY2024, partly due to higher import duties and increased domestic production. Mozambique and Chad have increased their imports from India, with Chad’s imports rising by 53.77%.
Conversely, imports from countries like Sri Lanka and Bangladesh have seen drastic declines, with Sri Lanka’s exports to India plummeting by 85.86% and Bangladesh’s by 82.24%.
Future Outlook
The growing export market for Indian bicycles reflects a broader trend of shifting global trade dynamics and heightened consumer awareness of health and environmental issues. As India continues to enhance its production capabilities and international presence, its role in the global bicycle market is set to expand further.
