SMEs told to tap into bicycle manufacture

26 Mar, 2017 - 00:03 0 Views

The Sunday News

Dickson Mangena, Business Reporter
LOCAL Small to Medium Enterprises have been urged to explore opportunities in the bicycle manufacturing sector which has the potential to grow because there is a market of mainly rural pupils who walk long distances to school.

Speaking at the CBZ SMEs indaba in Bulawayo last week, chairperson of I AM SME of India Mr Rajiv Chawla said SMEs should look into the opportunities manufacturing bicycles can present.

“From the time I got in Zimbabwe I have heard that there are school children that walk for an hour going to school. That is an opportunity for SMEs, to provide those children with bicycles such that instead of walking for an hour, they can just do a 15 minute bicycle ride,” said Mr Chawla.

He said the manufacturing of bicycles was easily an SME business and the market for bicycles was available in Zimbabwe.

“Bicycle manufacture can be done by SMEs and there will not be a problem with the market since you can start with the school children going to school,” Mr Chawla said.

He said bicycles were the transport of the future and it would be prudent for SMEs to position themselves for the business.

“Bicycles are the future of mobility and SMEs should take the opportunity to position themselves as the manufacturers.”

He said Zimbabwe could learn from India which is the world’s second largest producer of bicycles.

“India is the world’s second producer of bicycles second only to China and Zimbabwe can learn a lot from India where SMEs play a huge part in the manufacturing of the bicycles,” Mr Chawla said.

India accounts for approximately 10 percent of the world annual bicycle production, which is estimated at 125 million units.

The annual domestic demand of bicycles in India is approximately 10 million units out of which around 2,5 million units are a Government demand for the various welfare schemes.

Exports out of India are largely to Africa and the less developed economies and negligible to western markets.

Most cycles manufactured and sold in India are in the low price bracket of Iniad Rupee 2 500 to 3 000 which is about $46.

 

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