Evergreen Cycles Limited, a UK-Bangladesh joint venture company, is going to set up a bicycle manufacturing factory in Adamjee Export Processing Zone (EPZ) with an investment of $15.50 million.
The firm will produce 2,00,000 adult bicycles, kids bicycles, and adult electronic bicycles annually, says a press release of Bangladesh Export Processing Zones Authority (BEPZA).
It will create an employment opportunity for 71 Bangladeshi nationals.
An agreement in this regard has been signed recently between BEPZA and the company in presence of Executive Chairman of BEPZA Major General SM Salahuddin Islam.
Member (Investment Promotion) of BEPZA Md Mahmudul Hossain Khan and Managing Director of Evergreen Cycles Limited Sanaul Haque Babul inked the deal on behalf of their respective organisations.
Member (Engineering) Mohammad Faruque Alam, Secretary Md Zakir Hossain Chowdhury, General Manager (Public Relations) Nazma Binte Alamgir and General Manager (Investment Promotion) Md Tanvir Hossain of BEPZA were present on the occasion.
Over the past few years, the bicycle industry appeared as a promising export earning sector in Bangladesh.
European market is the biggest destination for Bangladeshi bicycle exporters as they enjoy the Generalised System of Preferences facility there.
Currently, over 95% of the country's exported bicycles go there.
The government is also supporting bicycle exporters with no duty on imports of raw materials and semi-finished raw materials – alongside some tax breaks for new investments.
A Persistence Market Research report, a few years ago, estimated that the global market for bicycles would expand by 37.5% between 2016-24 and the market size would reach $62billion by 2024.