July 5 (ANI): Pankaj Munjal, CMD Hero Cycles on Saturday said that the cycle industry in the country is moving towards self-reliance in a phased manner.
He said the people were looking at Vietnam, Thailand, Taiwan for shifting manufacturing facilities out of China and India has an opportunity to increase its market share in cycle industry.
“With media bashing of China, people are looking at Vietnam, Thailand, Taiwan to some extent and to India. We have to be competitive. We stand a great chance,” he said.
He was answering a query about the cycle industry in the wake of COVID-19 and trade with China.
He said Hero Cycles was also moving towards self-reliance.
“We have launched Hero electro e-cycle which has 72 per cent market share in India. We are making cycle for different segments like e-bike for the purpose of home delivery. We used to buy various parts in China. Now bicycles and high-end bicycles, we are designing in our German R&D facility,” he told ANI.
He said detailed engineering, componentry and frame are being done in India. “We are developing vendors. In a phased way we will be self-reliant. We had a buying plan of Rs 900 crores that will be now done in India. We will be self-reliant and that is our strategy,” he said.
He said every crisis gives something new.
“Whatsapp was born, Uber and other new big companies started. This time after post lockdown, we are finding a big surge in cycling. The world over, cycling is safe, where there are tracks of cycling, the repair is good, there it is surging,” he said.
“Our daughter company in England, it has 600 per cent growth. Our daughter company in Germany is also making record sale. In India, there are segments like migrant labourers who have gone to Bihar, Jharkhand, West Bengal Odisha and Assam. They are not planning to come back for some time, so they are buying there,” he added.
Munjal said children’s segment, which is a very large segment, it is also growing.
“We are now looking for fitness. People who have been going to gyms are opting for cycles. So India is getting into fitness year. Hero’s market share is overall 44 per cent and our aim is capturing half the market,” he added.