Black_cats
ELITE MEMBER
- Joined
- Dec 31, 2010
- Messages
- 10,031
- Reaction score
- -5
China, India grab huge local helmet market
Mamun Abdullah
Helmets are being imported mainly from China and India in the absence of a local helmet manufacturing company Syed Zakir Hossain/Dhaka Tribune
943,000 helmets imported in July-Feb, use of substandard helmets galore
The use of helmets in Bangladesh has seen a spate in recent years amid operations of different ridesharing services and a comparative tightening of traffic rules as regard to use of safety gear while riding.
To cater to the growing demand, helmets are being imported mainly from China and India in the absence of a local helmet manufacturing company.
According to the National Board of Revenue (NBR), 431,000 helmets were imported in the FY2015-16; 732,000 in FY2016-17; 923,000 in FY2017-18; and 943,000 helmets till February this fiscal year.
Speaking to the Dhaka Tribune, Md Jahangir Alam, second secretary of Customs Policy at NBR, has said Chinese helmets hold approximately 70% of the market, Indian helmets 29%, while the remaining 1% by countries like Thailand, Hong Kong, Vietnam, Japan, and Taiwan.
In a recent visit to different retail markets in the capital, it was found that Chinese brands MIBK, KM SBK, STM EMA and Tanket and Indian brands Vega, Lighters, Steel Bird, Xaj, and Aron are popular among other brands.
While the price of Chinese helmets start from Tk1,000, price of Indian helmets range between Tk1,500 and Tk2,000.
Abdul Ali Babul, proprietor of Madina Motors, stated: “Generally, light and thin front glass helmets can be bought within a price range of Tk1,000 to Tk1,200. Higher quality helmets are priced between Tk1,500 and as high as Tk10,000.”
Babul, who imports helmets from both China and India, adds that there are no local helmet producers in Bangladesh for a lack of technical manpower and entrepreneurs.
“Neither our government, nor merchants are interested in developing and investing in the sector, despite high demands in the local market,” he said.
According to NBR data, Bangladesh imported safety headgears worth Tk17.73 crore in FY2016-17, up by over Tk10 crore from Tk7.22 crore in FY2015-16.
In FY2017-18, total helmet import values reached at Tk 25.37 crore. Till February of the current fiscal year, import of helmets stood at staggering Tk34.13 crore.
Market flooded with ‘substandard helmets’
Abdul Hamid, President of Bangladesh Auto Parts Association, says that despite a significant increase in helmet usage by bikers, the helmets being used are ‘substandard’.
Following student protests demanding safe roads, law enforcement also launched a crackdown to ensure helmet usage.
Deputy Commissioner of Dhaka Metropolitan Police Irfan Hossain Chowdhury, says: “We strictly prohibit using substandard helmets made of low quality materials.”
However, it was alleged that police seldom question the quality of helmets, paving way for opting cheap safety headgears by bikers which in most cases don’t give protection to heads while road accidents involving bikers take place.
Sumon Chakraborty, a Pathao rider, has said: “Most of us are using low quality helmets which are not capable of protecting riders and passengers in an accident.”
Three other UberMOTO riders have echoed similar concerns, claiming that helmets offered to them by Uber are of inferior quality.
Neither Uber Bangladesh, nor Pathao could be reached for comments on the matter.
More motorcycles lead to higher helmet demand
According to the Bangladesh Road Transport Authority (BRTA), motorcycle sales have risen by nearly 25% on a year-on-year basis to four million in 2018, and is expected to cross five million by the end of 2019.
BRTA data states that motorbikes constitute around 60% of the country’s total motor vehicles.
Helmet shops of Dhaka are located in Banglamotor, New Eskaton, Bangshal, Old Dhaka, Rampura, Malibagh, Bashabo, Banani, Uttara, and Mirpur areas.
While there is a demand for all types of helmets, the price of helmets differs based on safety standard and design.
Helmet traders think that people often opt to buy cheaper helmets, sold between Tk150 to Tk300, just to prevent being fined by law enforcers.
https://www.dhakatribune.com/business/2019/03/30/china-india-grab-huge-local-helmet-market
Mamun Abdullah
- Published at 11:00 pm March 30th, 2019
Helmets are being imported mainly from China and India in the absence of a local helmet manufacturing company Syed Zakir Hossain/Dhaka Tribune
943,000 helmets imported in July-Feb, use of substandard helmets galore
The use of helmets in Bangladesh has seen a spate in recent years amid operations of different ridesharing services and a comparative tightening of traffic rules as regard to use of safety gear while riding.
To cater to the growing demand, helmets are being imported mainly from China and India in the absence of a local helmet manufacturing company.
According to the National Board of Revenue (NBR), 431,000 helmets were imported in the FY2015-16; 732,000 in FY2016-17; 923,000 in FY2017-18; and 943,000 helmets till February this fiscal year.
Speaking to the Dhaka Tribune, Md Jahangir Alam, second secretary of Customs Policy at NBR, has said Chinese helmets hold approximately 70% of the market, Indian helmets 29%, while the remaining 1% by countries like Thailand, Hong Kong, Vietnam, Japan, and Taiwan.
In a recent visit to different retail markets in the capital, it was found that Chinese brands MIBK, KM SBK, STM EMA and Tanket and Indian brands Vega, Lighters, Steel Bird, Xaj, and Aron are popular among other brands.
While the price of Chinese helmets start from Tk1,000, price of Indian helmets range between Tk1,500 and Tk2,000.
Abdul Ali Babul, proprietor of Madina Motors, stated: “Generally, light and thin front glass helmets can be bought within a price range of Tk1,000 to Tk1,200. Higher quality helmets are priced between Tk1,500 and as high as Tk10,000.”
Babul, who imports helmets from both China and India, adds that there are no local helmet producers in Bangladesh for a lack of technical manpower and entrepreneurs.
“Neither our government, nor merchants are interested in developing and investing in the sector, despite high demands in the local market,” he said.
According to NBR data, Bangladesh imported safety headgears worth Tk17.73 crore in FY2016-17, up by over Tk10 crore from Tk7.22 crore in FY2015-16.
In FY2017-18, total helmet import values reached at Tk 25.37 crore. Till February of the current fiscal year, import of helmets stood at staggering Tk34.13 crore.
Market flooded with ‘substandard helmets’
Abdul Hamid, President of Bangladesh Auto Parts Association, says that despite a significant increase in helmet usage by bikers, the helmets being used are ‘substandard’.
Following student protests demanding safe roads, law enforcement also launched a crackdown to ensure helmet usage.
Deputy Commissioner of Dhaka Metropolitan Police Irfan Hossain Chowdhury, says: “We strictly prohibit using substandard helmets made of low quality materials.”
However, it was alleged that police seldom question the quality of helmets, paving way for opting cheap safety headgears by bikers which in most cases don’t give protection to heads while road accidents involving bikers take place.
Sumon Chakraborty, a Pathao rider, has said: “Most of us are using low quality helmets which are not capable of protecting riders and passengers in an accident.”
Three other UberMOTO riders have echoed similar concerns, claiming that helmets offered to them by Uber are of inferior quality.
Neither Uber Bangladesh, nor Pathao could be reached for comments on the matter.
More motorcycles lead to higher helmet demand
According to the Bangladesh Road Transport Authority (BRTA), motorcycle sales have risen by nearly 25% on a year-on-year basis to four million in 2018, and is expected to cross five million by the end of 2019.
BRTA data states that motorbikes constitute around 60% of the country’s total motor vehicles.
Helmet shops of Dhaka are located in Banglamotor, New Eskaton, Bangshal, Old Dhaka, Rampura, Malibagh, Bashabo, Banani, Uttara, and Mirpur areas.
While there is a demand for all types of helmets, the price of helmets differs based on safety standard and design.
Helmet traders think that people often opt to buy cheaper helmets, sold between Tk150 to Tk300, just to prevent being fined by law enforcers.
https://www.dhakatribune.com/business/2019/03/30/china-india-grab-huge-local-helmet-market