Despite being India’s bicycle manufacturing hub, Ludhiana’s cycle industry continues to struggle on the global stage, with exports lagging behind competitors like China. Industry leaders are now looking up to the newly appointed Punjab Industry Minister, Sanjeev Arora, to help steer the sector toward international competitiveness.
With annual turnover of Rs 12,000 crore, approximately 90 per cent of India’s bicycle production originates from Ludhiana and it comprises around Rs 3,500 crore of export business.
According to DS Chawla, past president of the United Cycle Parts Manufacturers Association (UCPMA), Ludhiana’s bicycle industry lags behind in exports, particularly in western and developed countries. In Europe, there is a huge demand for bicycles and they seek quality, safety and comfort and India is still to tap this market. The export market for India is mostly Bangladesh, African countries and a few others, he said.
India exports only 75-80 lakh bicycles annually, compared to China’s staggering 23 crore units. There is an emerging need for advanced R&D and design innovation. He urged the central and state governments to form a dedicated organisation for research and development.
“A big market is waiting to be tapped, especially in Europe, where quality, safety and comfort are paramount,” added Vinay Kansal, a cycle parts manufacturer. The industry also called for regulation of steel and raw material pricing, which directly affects production costs. Kansal stressed that without government support, Ludhiana’s cycle sector risks falling further behind in the global race. Arora’s appointment as Industry Minister has sparked optimism among manufacturers, who believe his background equips him to understand and act as per the sector’s challenges, he said.
Federation of Industrial and Commercial Organisation (FICO) president Gurmeet Singh Kular emphasised the urgent need for enhanced research and development to help Ludhiana’s cycle industry remain competitive in international markets, particularly Europe, where quality and innovation are paramount. He also pointed out a shift in government policy regarding export promotion reimbursements — while previously 70 per cent of the ticket cost was reimbursed upfront, companies must now book their stalls before receiving any financial support, placing additional strain on small manufacturers.
Avon Cycles chairman and MD Onkar Singh Pahwa said that winds of change had started blowing and they had slowly started entering the European market. “With newly inducted Industry Minister Sanjeev Arora, himself a Ludhiana-based industrialist, the industry has pinned high hopes on him as he has promised to prioritise industrial growth and address long-standing concerns. We need buyers to come here and for this improvement in infrastructure and Halwara airport to be made operational are our two main demands,” said Pahwa.
