[🇧🇩] Light Engineering Industry in Bangladesh

[Saif]

Light Engineering - Sourcing Bangladesh

www.sourcing-bangladesh.com

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Industry Overview​

Small and Medium Enterprises (SMEs) have been playing pivotal role in the economic development of Bangladesh. The contribution SMEs in GDP of Bangladesh is 20.25%. The sector comprises heterogeneous group ranging from trading to manufacturing depending on employment, turnover and capital employed. Light Engineering Sector (LES) is one of the SME sectors that has been playing a crucial role. Light Engineering Sector is largely comprised of small enterprises and some medium enterprises. According to the available information, the Light Engineering Sector (LES) in Bangladesh consists of over 40,000 firms and generates an annual revenue of about BDT 20,000 crores a year. Most of LES output plays a critical role in key national sectors such as agriculture, transportation, construction, RMG etc. According to rough estimations, Light Engineering Sector of Bangladesh created about 3,00,000 direct employment and at the same time around 30,00,000 indirect job opportunities in different supportive industries. It acts as feeder to key national industries. Export of Light Engineering products/ Equipment fetched over 600 million US$. It plays a vital role in the socio-economic development of the country. Light Engineering Industries (LEI) or more broadly Light Engineering Sector (LES) are the mother of all industries. Machinery and spare parts produced by the entrepreneurs of this sector are supplied to various mills and factories. Since, LES occupy a unique position in the economy of Bangladesh, it deserves due support from all concerned including Banks and NBFIs of the country.

The Products are:​

Spare parts of Paper & Cement Mills, Bicycle, Fancy light fitting, Construction equipment, Battery, Electrical wires and cables, Iron Chain, Cast iron articles, Carbon rod, Automobile spares, Electronics items, and Stainless Steel Wares.

Product of LES in Bangladesh:​

Light Engineering Sector in the range of SME posses a capital investment within the gamut from cottage to medium industries including small industries as has been defined in the industrial policy of the country. The product variety of this sector encompasses all kinds of ferrous and non ferrous metal products, foundry products, machinery, equipment and instruments (electrical and non-electrical), spare parts, electrical and electro-mechanical products, parts of machine and manufacturing processes that are made from ceramics, rubber, plastic, glass etc and the spares made of electronic components including circuits are considered as LES products. The sector predominantly consists of products from foundry and machine-shop. The electrical parts and gazettes also belong to this sector. The major services in the LES are repair, maintenance, erection, installation, fabrication, support services, consultancy etc.

Product Lines of LES:​

Product lines of LES are quite wide and diversified. It has been engaged in manufacturing machinery and spare parts for various engineering and non engineering sectors. Products of this sector are of proven quality and many of these items do confirm to export standards. They may be broadly classified as follows:

Spare parts:​

The subcontractors and other spare parts makers around the country have developed various types of spare parts locally. These spare parts commonly belong to rail engine, rail line, automobile, machine tools, jute and textile, tea processing, chemical industries (like fertilizer, cement etc), sugar and food industries, water transport, pharmaceutical industry, gas line fittings, bathroom fittings, electronic accessories, electrical accessories, agro-support and agro-processing, telecommunication, electrical pole fittings, water supply and irrigation, etc. Apart from these, there are LES throughout the those produce many other types of spare parts as per orders of their clients and market needs

1. Complete Machines:
   The LES of the country also produce complete machines mostly belonging to the following sectors:
2. Agro-support and Argo-processing:
   Sprayer, Weeding Machine, Power Tiller, Hydro Tiller, Foraging Machine, Threshing Machine, Rice Mill, Rice Boiler, Rice Dryer, Low Lift Pump, Deep Tube Well, Deep Well Turbine Pump, Low and Medium Pressure Centrifugal Pump, Sluice Gateetc.
3. Tea Processing:
   CTC Machine (Single, Duplex, Triplex), Rotor vane Machine, Barbara Leaf Conditioner, Green Leaf Sifter, Mackintosh Sorting Machine, Middleton Stalk Extractor, Trines Sorter, Slow Speed Fibre Extractor, Tea Sorting Machine, Rolling Table, Trough Weathering Unit, Miracle Mill, Ball Breaker, Duplex Tea Packer, etc.
4. Food Processing:
   Flour Mill, Spice Grinding Machine, Oil Expeller, Biscuit and Bakery Plant, Vermicelli and Noodles Making Machine, Juice Extractor from Sugar Cane, Liquid Filling Machine, Bottle Sealing Machine, etc.
5. Pharmaceuticals:
   Mixer Machine, Mixing Barrel, Emulsifier, Ball Mill, Vacuum Emulsifier, Tablet Making Machine, Blister Making Machine, etc.
6. Jute and Textile:
   Spinning Machine, Industrial Sewing Machine, Softener Machine, Hand Loom, Power Loom, Twisting Machine, Doubling Machine, Scroll Roller, etc.
7. Water Transport:
   Engine Driven Local Boats, Launch, Steamer, Trawler, Barge, Dredger, etc.
8. Road Transport:
   Body Building of Bus and Trucks, Improvised Transport locally known as Bhotbhoty, etc.
9. Construction:
   Concrete Mixer, Soil Testing Machine, Brick and Stone Crusher, Crane, Road Roller, Grand Roller, Floor Polishing Machine, Metal Doors and Windows, Roof Hoist Machine, Brick Making Machine, etc.
10. Furniture:
    Metal Furniture of various types both for household and office, various types of equipment are also seen as a recent development.
11. Electrical and Electronic Appliance:
    Humidifier, Dehumidifier, Water Heater, Ceiling Fan, Wires and Cables, Power Transformers, Voltage Stabilizer, IPS, Electronic Control System, etc.

Prime Exportable Products of LEI :
Iron Steel , Copper Wire , Stainless Steel Ware , Engineering Equipment , Electrical Products and Bicycle are main exportable of Light Engineering Sector.

Main Export Market​

The European Union (EU) countries are one of the biggest markets for bicycles, where consumers buy around 18 million units a year. This is the reason why Bangladeshi manufacturers are targeting the European markets for exports, especially to the UK, Germany, Italy and Netherlands. According to Eurostat, Bangladesh is the third-largest exporter of bicycles to the EU and the 8th largest exporter in the global market.

The LE product iron and steel are exported in Saint Barthelme, Singapore, Indonesia, India, Myanmar, Thailand, Japan, Sri Lanka, Turkey, USA, Italy, Taiwan, UAE, Australia and bi-cycle are exported in Germany, UK, India, Belgium, Ireland, Spain, Denmark, Sweden, Italy, Australia, Finland, Russian Federation, Austria, Brazil, France.

Government policies for developing Light Engineering Sector:​

• In the export policy 2018-21, Light Engineering products, including bicycle and auto parts, have been considered as one of the special development sectors. Several points are mentioned in the policy including:

01.	Supply of investment credit at reduced rate of interest on a high priority basis.
02.	Moratorium on income tax;
03.	Various cash assistances
04.	Export credit on easy terms and reduced rate of interest; and
05.	Subsidized rate for Air Transportation, Duty drawback and bond facilities

• A plan has been undertaken to establish ‘Light Engineering Cluster Village’ near Dhaka in order to develop the Light Engineering industry.
• In the 8th- Five-Year Plan, emphasis has been given to attract FDI in the Light Engineering sector to increase investment, for greater and easier market access, and for easier transfer of technology. To facilitate FDI in the Light Engineering sector, the Govt. is planning to set up Special Economic Zones and hand over these SEZs to investors from Japan, China, India and other countries.
• In the Industrial Policy 2016, Light Engineering sector has been considered as one of the Highest Priority Sectors.
• 15% Cash incentives are being provided to ensure its competitiveness
• This sector has been included as special development sector in Export Policy 2018-21.
• A Light Engineering Cluster Village will be established near Dhaka for the development of Light Engineering industry; and
• A modern laboratory and common facilities center will be established for the development of light Engineering sector.

 

[Saif]

Light Engineering Sector Bangladesh

Light engineering industries are specially suitable for their high labour intensity, innovativeness and low capital investment.

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LIGHT ENGINEERING INDUSTRIAL SECTOR

The burgeoning domestic market and the prospect of significant cost reductions for companies sourcing components and finished goods for international markets makes Bangladesh a compelling choice for investors.

Light Engineering Sector of Bangladesh:

Having become a major player in the global apparels industry, Bangladesh is now seeing the emergence of a new promising sector which can further enhance the country’s export diversity – the Light Engineering Sector (LES). This newly emerging sector has witnessed exponential growth and contributed about 1.5% to our export earnings during the financial year end June 2016. Statistics of the Export Promotion Bureau (EPB), Bangladesh show more reasons to boast. The export figure from engineering products stood at $510.08 million in FY 2015-16, making it a booster sector in our industrial policy. Additionally, time series data of the last five year shows that cumulative figures for engineering products in FY 2011-12 stood at $375.49 million. The export map had earlier shown bicycles as the leading item, whereas, now we have engineering equipment from the likes of Globatt and Duranto achieving global recognitions.

The Light Engineering Sector (LES) that draws the least attention of the policymakers has emerged as a potential cost cutting sector by producing at least 50 percent substitutes of imported items in the country. This important sub-sector is now providing critical support to industrial, agricultural and construction sectors by manufacturing a wide range of spare parts, castings, moulds and dices, oil and gas pipeline fittings and light machinery, as well as repairing those. Sector players claim that electrical goods like switch, socket, light shed, channel, cables and electrical fans, generator, which are manufactured by the LES are now meeting 48% to 52% of the country’s demands, which was earlier met through import. Export growth was estimated at 30%. The light engineering sector as ‘the mother of all sectors,’ because it provides backup support to cement, paper, jute, textile, sugar, food processing, railway, shipping, garments capital machineries by repairing and maintaining those. A recent study conducted by International Finance Corporation (IFC) in partnership with UK Department for International Development and Norwegian government shows that LES has in its employment 6,00,000 people involved in 50,000 micro enterprises and 10,000 Small and Medium Enterprises. Another study conducted by Bangladesh University of Engineering and Technology however, estimates that LES comprises of around 40,000 enterprises employing around 8,00,000 people.

Industry Situation

The light engineering industry in Bangladesh continues to grow each year. This labor-intensive sector produces a diverse range of items, including import substitute machinery spares, plant machineries, small tools, toys, consumer items and paper products for the domestic market. Most of these enterprises are located in and around Dhaka metropolis. Entrepreneurs from China, Japan and Korea have taken advantage of Bangladesh’s cheap and easily trainable labor and its infrastructure facilities to manufacture products for the export market.

LIGHT engineering industries form an important sector of the national economy in terms of the number of units, employment and annual turnover. According to Bangladesh Engineering Industry Owners Association (BEIOA), a total of 40,000 such units are producing capital machinery, spare parts of imported machines – new or reconditioned. Their total economic value is claimed to be Tk 20,000 crore a year. The sector reportedly provides employment to some 20 lakh people. According to a recent report, export of light engineering equipment fetched US$220 million and US$189 million in 2007-08 and 2008-09 respectively. But potential of the sector cannot be fully utilised for lack of capital and support services. In spite of having a large number of experienced technical hands, the sector cannot make innovations as they use age-old machinery. Banks and financial institutions are reportedly less interested to invest in the sector.

Bangladesh depends on foreign countries for costly capital machinery. Local light engineering industries can meet a part of the demand at cheaper prices if the industries are given financial support to produce modern machinery. These industries are already doing a significant part of maintenance works of the existing industries supplying spare parts fabricated locally and thus saving huge foreign exchange. Light engineering industries along with other SMEs are considered engines of industrialisation. They absorb more workforces and can help achieve the goal of poverty reduction.

Bangladesh has hardly any heavy industry. The country with about 30 million unemployed people needs labour intensive industries. Light engineering industries are specially suitable for their high labour intensity, innovativeness and low capital investment. Stakeholders in the sector want the authorities to create a special fund to provide loans at low interest rates. The SME Foundation may extend financial support to them. Policy support for the development of this vital sector would give rich dividends, say experts.

Engineering Enlightenment

The import substitution sector provides critical support to industrial, agricultural and construction sectors by manufacturing a variety of spare parts. Players from this sector now claim that electrical goods like switches, sockets, light sheds, channels, cables and electrical fans and generators, which are manufactured by the LES are now meeting 48% to 52% of the country’s demand, which previously was met through imports. The LES is also called the “mother of all sectors”, because it provides back up support to cement, paper, jute, textile, sugar, food processing, railway, shipping, garments capital machineries by repairing and maintaining those.

Out of the major LES hubs in Bangladesh, the one in Rangpur–Dinajpur concentrates on producing spare parts for automobiles, railways, mills, factories and maintenance work. On the other hand, Bogra and Natore’s hub focuses more on foundry, agro-machinery, factory spares, LPC, cylinders and maintenance work. Sylhet’s hubs are focus on spare parts for mills and factories. The Dhaka-Gazipur-Narayangonj hubs rely on producing capital machinery, bicycles, construction equipment and spare parts. Khulna-Barisal hubs are concentrating on spare parts of mills, factories and industries; and the Chittagong hubs focus on ship breaking activities, spare parts for automobiles and maintenance work.

A study by Japan International Cooperation Agencies (JICA) has shown that there are a total of 40,000 small-scale light engineering enterprises in Bangladesh producing around 10,000 different types of items for construction, agriculture and other industries. Another study, conducted by the International Finance Corporation (IFC) in partnership with the UK’s Department for International Development (DFID) and the Norwegian government, shows that this sector employs around 600,000 people who are involved in 50,000 micro enterprises, and 10,000 small and medium enterprises. The study conducted by the Bangladesh University of Engineering and Technology (BUET), however, estimates that the sector comprises of around 40,000 enterprises, employing some 800,000 people. These figures are different because of the methodological variations in the studies. However, given this information, it is quite ironic how the LES draws such little attention from policy makers. This is especially alarming as it has emerged as a potential cost cutting sector by producing at least 50% the items which can be applied as import substitutes.

LES Contribution to Various Sectors

CONSTRUCTION SECTOR

mixture machine, piling machine, construction crane, soil moulding, machine, auto bricks manufacturing machine, brick crasher, stone crasher, concrete mixer machine, vibrator machine.

AUTOMOBILE SECTOR

spring, break dram, bush, pulley, piston ring, gijon pin, gijon bush, slip, head sheet valve, auto crankshaft, hanger pin, head seat, gear shaft, nut & bolt, auto valve, auto gas cylinder, connecting bush, shaft, cabling, sit socket, block liner, booster connecting, booster body, booster pin, automobile filter, radiator engine fan, CNG engine fan, motorcycle bearing, chain cover, motorcycle pinion, motorcycle sit cover, motorcycle carrier, motorcycle cylinder and motor cycle paddle.

PAPER & PULP SECTOR

manual knife, gate valve, agitator, pneumatic valve, compressor pump, gear coupling, felt roll, helical gear, spur gear, herringbone gear, compressor, roller, pump and cutter.

PHARMACEUTICAL SECTOR

pharmaceutical blister, packing machine, tablet packing machine, tablet steep machine, tray dryer, tablet machine 16 punch, fluid bed dryer machine SS, film cutting machine tablet, liquid filling, sealing and labelling machine, pharmaceutical powder mixer machine, tablet steep machine, malit mill machine, wrapping machine.

MOULD & DIE SECTOR

industrial parts, egg tray, garment hanger, water filter, cookeries, plastic bottle, cosmetic, toy, sanitary and shoe.

RAILWAY SECTOR

center p-boat, brake bim, brake shaft, 2 inc, CI coupling, brake hamper, rail channel pin and cable, bearing, elbow, mini-puli, bolt, cylinder liner, piston, compressor, S.P. cylinder, hanger and horn.

MARINE SECTOR

marine popular shaft, sugan bush, sugan, head, head valve, ring, fiver bush, machine tools, lathe machine, power press, shaper, hydraulic press, cooling tower, etc.

 

[Bilal9]

Capital, technology, training, policy support needed to advance light engineering industry: Experts​

They also stressed the need to remove some policy anomalies, setting up a specialised economic zone, easy access to finance, technology up-gradation and skill development for the growth of the sector.​

Speakers at a discussion programme on the light engineering sector in the capital on 30 January. Photo: Courtesy

There is an urgent need for taking measures to understand the global demand and strengthen stakeholder's capacity to capitalise the potential of Bangladesh's light engineering sector, experts said at a roundtable on Tuesday (30 January).

They also stressed the need to remove some policy anomalies, setting up a specialised economic zone, easy access to finance, technology up-gradation and skill development for the growth of the sector.

Experts came up with the observations at a roundtable discussion titled "Unleashing the export potential of light engineering in Bangladesh", organised by Development Research Network at its office in the capital's Mohammadpur area.

Speaking on the occasion, Bangladesh Engineering Industry Owners Association (BEIOA) President Abdur Razzaque said, "Bangladesh does not account for even 1% of the $8 trillion dollar light engineering global market.

"A special economic zone is required for domestic companies in the light engineering sector to gain a foothold in this market. These are what Taiwan did and Thailand is doing now. It is also happening in Howrah, West Bengal, India. Earlier it happened in Gujarat."


Razzaque also said the industry needs capital, modern technology, training, policy support, and planned economic zones.
"These five must come together," he said.

Additional Secretary to the Ministry of Commerce Abdur Rahim Khan presented a keynote paper at the roundtable jointly moderated by Executive Director of Dnet M Shahadat Hossain and its Senior Research Fellow Dr Muhammad Shariat Ullah.

He said the country's light engineer sector now needs a meaningful push in line with the changes in global demand.

"Developed countries are now shifting towards hi-tech manufacturing instead of light engineering. The tendency is creating opportunities for countries like Bangladesh," he also said.

Small and Cottage Industries of Bangladesh President Mirza Nurul Ghani Shovon said a time-bound action plan is required for the development of the light engineering sector.

"How to increase exports with the needs of our country will be in this action plan," he said.

Mirza Nurul Ghani Shovon said alongside export oriented ones, local light engineering entrepreneurs should also get required government's policy support.

Bangladesh Bicycle and Parts Manufacturer and Exporters Association (BBPMEA) Secretary-General Luthful Bari said only five countries - China, the USA, India, Singapore, and Japan - import light engineering products worth $2.51 trillion.

"If we focus, we can export products to these countries. Because they are now tending to make high tech products," he said.

According to an analysis of National Board of Revenue data presented at the event, the sector saw a fluctuating trend in the export values from fiscal year 2017- 18 to fiscal year 2019-20.

The sector saw a significant increase in fiscal year 2020-21, reaching $529 million. In the next fiscal, the value reached $795.63 million, indicating robust growth.

However, in fiscal year 2022-23, the export value decreased to $585.85 million.

 

[Bilal9]

First Bangladeshi e-bike launched, to head to Germany within a week​

Talks are underway to export in UK and Brazil​

Infographics: TBS

Bangladesh's first locally-manufactured electric bicycle (e-bike) is set to be exported to Germany just within a week of its debut in the domestic market.

RFL Group introduced its e-bike "Duranta" in the domestic market on Thursday, marking a significant milestone as the first such initiative in the country.


RN Paul, the company's managing director, told The Business Standard that the e-bike began to raise interest from international buyers even before its local launch.

"The first export order came recently from Germany, and the shipment will be sent by next week," he said.

Paul further said discussions are ongoing with Brazil and the UK for export. "Soon they will come to visit our factory to give their final nod."

Initially, two models of the e-bike – Duranta E-Rider 101 and Duranta E-Rider 201 – will be available in the market. Another two models of the bike are on test and will be launched soon.

In the local market, the Duranta E-Rider 101 model will cost Tk42,000 and Duranta E-Rider 201 Tk55,000.

Duranta e-bike is manufactured at the factory of Rangpur Metal Industries Limited, a concern of RFL Group, located at Habiganj Industrial Park in Habiganj. The factory has an annual production capacity of around 5,000 units of e-bike.

Md Mahmudur Rahman, the chief operating officer of Rangpur Metal, said they received an order for one container of e-bikes for $36,000.

He declined to mention the number of bikes to be exported.

Potential of e-bike market

Pran Group MD RN Paul said e-bikes have a huge demand in the international market, which is worth around $120 billion.

E-bikes are gaining popularity across the world as a convenient and eco-friendly alternative to traditional bicycles and motorised vehicles, he added.

"So, it is the right time to enter the global market, otherwise, we will lag behind," said Paul.

Regarding the local market, he said although late in the scene, e-bikes are becoming popular in urban areas of the country. "As per our assumption, there is an annual demand for at least 10,000 units of e-bikes in Bangladesh."

Now, China-made batteries are being assembled in Bangladesh, he told TBS. "Soon, we will go for battery production of our own."

Duranta features

Duranta uses a 36-volt lithium battery, which is being produced at the Rangpur Metal factory.

Its CEO Mahmudur Rahman said, "The e-bike can run at a speed of 25km per hour and can go up to 45km effortlessly in one charge. It will take about 4-5 hours to be fully charged which may consume around a unit of electricity."

It is also possible to pedal Duranta like regular bicycles.

Mahmudur also said customers will get a six-month warranty for electrical parts on purchasing Duranta e-bike. Besides, a customer will get four free servicing facilities in the first six months.

 

[Bilal9]

RFL manufactures helmets for the first time in country​

Currently, almost all helmets used in Bangladesh are imported, mainly from India and China​

RFL Group has launched motorcycle helmets in the market, for the first time by a local company in the country, with the aim of delivering high-quality helmets within the purchasing power of common people.

RN Paul, managing director of RFL Group, unveiled the cover of "Safemet" branded helmet at a hotel in the capital on Thursday.

Initially, two types of helmets will be available in the market. The half-face helmet will have a maximum retail price of Tk1,400 while the full-face helmet will cost Tk2,250.

These helmets are being produced in the factory of Durable Plastic Limited, a sister concern of RFL Group, located in Palash, Narsingdi.

The factory, with an initial investment of Tk20 crore, has an annual production capacity of over 120,000 pieces.

Currently, the annual helmet market in the country is over Tk500 crore. Almost all helmets used in Bangladesh are imported and about 60% of them come from India and the remaining from China.

Addressing the occasion, RN Paul said a helmet is an important accessory for bikers. Apart from ensuring safety, it is mandatory for bikers and pillion riders to wear helmets as per the existing laws of the country.

The number of motorcycle users in Bangladesh is increasing day by day due to various reasons including socio-economic conditions and lifestyle changes. For the same reason, the demand for helmets is also rising, he said.

Paul also said the helmets available in Bangladesh are almost imported and most of the imported helmets are not of standard quality. The Safemet helmet is Bangladesh Standards and Testing Institution (BSTI) certified, which is the only one in Bangladesh.

Standard helmets should be used by everyone during journeys. In this context, RFL started the helmet business. The main purpose of entering into this business is to deliver high-quality helmets within the purchasing power of people, he added.

During the ceremony, Toukirul Islam, executive director of Durable Plastic Limited, said the main feature of the Safemet helmet is that it is made of advanced ABS shell and PC material. It has a high-quality belt and locking system. Moreover, there is an advanced ventilation system to ensure the comfort of the user.

He also said that there is a plan to export Safemet helmets after meeting the needs of the country. Some foreign buyers have already visited the factory and expressed their satisfaction with the production system.

 

[Bilal9]

Walton launches affordable e-bike​

The new energy-efficient models will not require BRTA registration​

Walton Digi-Tech Industries Limited has launched a new affordable model of electric bike TAKYON Leo in the market recently.

The eco-friendly e-bike that comes in three variants can run for 40-80 kilometres on a single charge, according to a statement issued by the company.

It will take six-eight hours to charge up the battery and this bike will cost consumers only Tk0.10 per km, reads the statement.

The three variants with 12 AH, 20AH, and 23 AH battery packs are priced at Tk49,850, Tk56,850 and Tk59,850, respectively.

Unlike its first model TAKYON 1.00 e-bike that came with a price tag of Tk1,27,750 a few months ago, TAKYON Leo will not need any registration with the Bangladesh Road Transport Authority (BRTA) as the policy waived e-bikes having a paddle option from the registration.

Walton e-bike is the first-ever in the segment in Bangladesh that has received such approval from the BRTA, said the company.

Each of the four e-bikes can be charged at home as their portable chargers are made to be used in 220-volt power lines.

The company offers one-year and two-year warranties for the Leo bikes, depending on the variants.

ICT Division Director General Md Mostafa Kamal was present at the TAKYON Leo e-bike launching ceremony that took place recently at Walton Headquarters in Chandra of Gazipur.

Walton Digi-Tech's Additional Managing Director Engineer Liakat Ali, Walton Hi-Tech's Deputy Managing Director Alamgir Alam Sarkar, Senior Executive Director Easir Al-Imran and Walton Digi-Tech's Chief Business Officer Touhidur Rahman Raad, among others, attended the function.

A bigger plan

The global automobile and two-wheeler industry is rapidly going electric amid the ongoing calls to go green and the global fuel shock in 2022 only expedited it.

The global market of electric vehicles is estimated to reach about $92 billion within 2028, from $40 billion in 2021.

In Bangladesh, electric vehicles are yet to be in the mass market.

However, the demand already started to grow with the increasing supply. Walton Digi-Tech has long been working on electric vehicles, said the company's Additional Managing Director Liakat Ali.

Currently, the company is locally assembling the Leo models and it is preparing for full-fledged manufacturing in the coming days, Liakat Ali told The Business Standard recently.

Walton Group is intensively working on building the EV ecosystem in the country and it has a detailed plan to set up charging stations and other infrastructure for EVs, he said, adding that the company also has plans to launch electric cars in future.

Akij, Green Tiger, Runner and a few others have been marketing e-bikes in the country while Baagh Eco Motors and Palki Motors are respectively working on electric three-wheelers and cars.

"We are facing some challenges as this sector is fully new in the country. To overcome them, we need more assistance from the government including suitable policies for the production and import of raw materials, related parts and components, Liakat Ali added.

 

[Saif]

Bangladesh can have bigger slice of UK’s $327bn light engineering market​

 

[Saif]

Light Engineering Industry's contribution to Heavy Industry.