With sizeable grants and compensations from the government the leading brands in the Bicycle and tractor production market have established their primary manufacturing units in the state of Punjab. Hero, Avon and other cycle brands produce and export cycles adding to the economy of the state. Tractor production by Swaraj and Sonalika group has also taken benefits and export their product from Punjab to other states.
With a GDP of US$ 47 Billion Punjab contributes to the Indian economy in a very decent way. On the international stage Punjab produces 2% of world’s cotton. Agriculture here has at its prime since the green revolution, but that is not all. Punjab has some fast growing industries too. Ludhiana is the state’s industrial hub and houses many industries. There are small scale industries and even large scale industries. Punjab is also the leading state in the Bicycle and tractor Production.
Punjab state produces Bicycle and Bicycle parts in the industrial city of Ludhiana. Industries like the hand tools, sewing machines, machine tools along with Bicycle and bicycle parts are a major sector in the Economy of Punjab. 80% of the bicycle parts produces in India are made here, in Punjab and 15% of all the bicycles are made here too.
Leading Companies like Hero Cycles and Avon Cycles have established their industries in the state and have been providing immense employment statistics and also contributing to the Economy. Hero Cycles is a part of one of countries top ten business houses. Hero cycles have established their main manufacturing unit in Ludhiana. They even plan to expand the plant with US$ 4.4 million.
Avon Cycles is another large bicycle manufacturer based in Ludhiana. The production capacity of Avon is 5,000- 8,000 cycles per day. It is also the largest exporter of bicycles.
It has been estimated that around 50,000 bicycles are manufactures in the City of Ludhiana in a day. A huge chunk of people in the city are there dependent for their livelihood from bicycle manufacturing industry. It has been said to be a 1.12 billion USD industry. The major demand for bicycles comes from Uttar Pradesh and Bihar. Only 4% of the bicycles produced in Punjab are sold here rest are exported to other states.
It has been easy to set up all the leading industries like the bicycle industry with the efficient plans of the government. Over 4,000 small, medium and large bicycle industries have been set up and all this has been possible with the efficient work force of the Government of Punjab. With the time lines being followed by the officials the factory plan get approved within 30 days and the license for running a factory is granted in 15 days.
The leading tractor manufacturing groups, International Tractors Ltd. and Punjab Tractors Ltd. (Swaraj Enterprises) have been set up in Punjab which gives the tractor manufacturing industry a boost.
The Sonalika group, which is the International Tractors Ltd., produces 37000 tractors per annum. These are further exported to South Africa, Australia, Sri Lanka, Canada and many other nations. 25% of the tractors manufactured in India are from Punjab.