Kolkata-based United Cycles, which recently forayed into the high-end or geared cycle space in the country, is looking at a four-fold growth in revenues over the next four years. United Cycles is a part of the United Group of companies, which exports and imports bicycles and related accessories.

The company reported a turnover of ₹50 crore as on March 31, 2014; and is targeting approximately ₹200 crore on revenues over the next four years. Nearly half of its turnover is from export to European nations like Poland, Romania, Croatia, Greece and Italy.

Rising demand

According to Subir Ghosh, Director, United Group, the company will place its “Unifox” brand of gear-enabled cycles in the mid-range space (between ₹10,000 and ₹25,000).

“Currently, we see a good demand for such bicycles here in India.

People in metros like Pune, Bengaluru and Delhi use cycles for sports activities. Moreover, with cycling clubs on the rise, there is good demand,” he told reporters here.

The company has also tied-up with e-commerce platforms like Amazon and Snapdeal to ensure sales in Tier-II, Tier-III and Tier-IV cities and towns.

It will have to compete with the likes of Giant, Trek, Montra and Urban Trail in the gear-enabled bicycle segment. Of these, Giant and Trek are international brands.

At present, United Cycles’ only manufacturing unit is at Falta SEZ, near Kolkata. It has a capacity to produce 50,000 cycles annually from the facility.

“We are operating at 50 per cent of our capacity and hence there is scope for us to scale up when demand increases,” Ghosh maintained.

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