Motorbike sales plunge amid Covid-19
Motorbike registration in the country has sharply dropped in the country over the past eight months from January to August this year and industry sources blame the outbreak of Covid-19 as a big factor which has held back young people from buying new bikes fearing risks to health.
Bangladesh Road Transport Authority (BRTA) sources said a total of 275,857 bikes were registered from January to August 2019 while the number has dropped to 179,140 during the same period in 2020 in a drastic market fall back.
Motorbike market expanded in the country from 2010 as the economy was rebounding with buying power growing with the younger people entering the job market. BRTA figure shows over 2.27 million motorcycles were registered between 2011 and August 2020 while the total number was only 759,257 until 2010, the official data showed.
Major companies operating in Bangladesh are Bajaj Auto, Bangladesh Honda Limited, TVS Bangladesh, Yamaha Motorcycles, Hero Motocorp, Runner, Walton, Suzuki, Keeway, and Mahindra. The companies are focusing on launching new brands with increased speed to raise their market share.
The BRTA data showed that a total of 552,513 motorcycles were registered in Dhaka from 2011to August 2020 while 210,081 were registered until 2010.
Apart from this, vehicle registration also decreased in Dhaka, the data revealed.
The government formulated the Motorcycle Industry Development Policy in 2018 with a view to boosting the industry's growth further. It promoted manufacturing of motorbikes locally and reduce dependency on its imports.
It has set a set target to increase motorcycle production up to 1.0 million units by 2027.
Of the motorcycles, 46,697 were registered in Dhaka alone during the period while 67,410 motorcycles got registration in Dhaka during January to August 2019, according to the data.
It also revealed that 406,897 motorbikes were registered in 2019 while 395,603 in 2018 and 326,550 in 2017. In the fiscal year 2016-17, the country's motorbike market started expanding as the government reduced the supplementary duty from 25 per cent to 20 per cent on import of the motorcycle components.