Cycling on the streets of Bangkok and other Thai cities may seem imprudent if not downright dangerous given Thailand’s hot weather, undisciplined drivers and traffic congestion, while the city planning of Bangkok and most cities were not designed for bicycle riders.
A cyclist using the The Bike Bogie, a special compartment for bicycles launched recently by the State Railway of Thailand. Kosol Nakachol
But for bike aficionados, cycling is adventurous and relatively safe if proper caution is exercised, and more importantly is good for health, the environment, energy-saving and traffic reduction as well as recreation.
Cycling is becoming increasingly popular here and it is common now for affluent people to own two or three mountain bikes, road bikes, folding bikes, single speed bikes and children's bikes.
The rainy season in Thailand lasts five months, from June to October, and more or less hinders cycling activities. But the period is also a busy season for the country's bicycle exports.
The average price for regular bikes sold here is 8,000-20,000 baht, and the majority of people buy bikes in this price range. With a population of 64.8 million, Thailand sells between 1.3 and 1.5 million bicycles annually.
There are several major bicycle assembly companies in Thailand including LA Bicycle, Siam Cycle International (Turbo brand), Victory Cycle (Marawuti and Tiger brand), Thai Bicycle Industry (Pheasant), Raja Cycle (Meadow and Optima) and Siam Cycle Industrial.
According to the Commerce Ministry, bicycle imports have risen consecutively over the last four years from only 730.51 million baht in 2011 to 1.53 billion baht in 2013. For the first two months of this year, imports rose 114% to 400.28 billion baht.
''The Thai market is promising as a growing number of Thai people are interested in cycling and owning more than one bicycle per person either for transport, for workouts or as a hobby,'' said Prakit Lertyaovarit, managing director of LA Bicycle (Thailand), the country's largest manufacturer with an annual production capacity of 1.5 million bikes.
Founded in 2003 with registered capital of 300 million baht, LA Bicycle is a unit of the Sampran Group, which has businesses ranging from food and textile to retail and property.
The Sampran Group has also another bicycle unit, Bangkok Cycle Industrial, which is the original equipment manufacturer for international brands focusing on export.
Last year, Bangkok Cycle Industrial’s shipments reached 1.6 billion baht, up by 6-7% from a year earlier. The group has a combined production capacity of 2 million bicycles a year from two bicycle units.
''One household had at least one bicycle in the past, but I have seen many positive changes in the past couple of years such as high demand for high-end or premium bicycles in the 20,000-500,000 baht price range.''
High-end bicycles are mountain bikes for rough terrain, road bikes for general terrain and touring bikes for long distances.
Bicycles are now classified not only by the type of rider or category of bike, but also by the way they are sold. A profusion of small bicycle shops offer expensive models to affluent consumers.
According to Mr Prakit, the domestic bicycle market is worth around 5 billion baht a year or 3 million units, with high-end bicycles accounting for 20% of the total market.
LA Bicycle, which dominates the low-end segment under the LA brand, controls 65% of the overall market. All of its bikes are produced at its Nakhon Pathom facility. Besides the domestic market, the company also has distributors in Myanmar, Cambodia, Vietnam and Laos.
In a strategic move to tap the high-end market, LA Bike launched its Infinite brand in 2008, employing two French expats and opening its Culture Cycliste flagship store which sells only high-end bicycles.
The first Culture Cycliste was established in 2010 on Lang Suan Road while the second on Puddha Monthon Sai 3 Road opened last year. Combined investment in the two flagship stores amounts to 100 million baht.
Plans are also afoot to open Culture Cycliste shops in other provinces such as Phuket, Chiang Mai and Nakhon Ratchasima.
''We aim to upgrade the Infinite brand on par with international brands from the US, Europe, Japan and Taiwan but at more affordable prices,'' said Mr Prakit.
To make Infinite better known, LA has formed a cycling team that joins race events nationwide. The Infinite cycling team has 10 riders for road races and seven for mountain-bike racing.
Last year, LA Bicycle reported sales of 1.4 billion baht, down 9% from a year before. Of total sales, domestic sales contributed 45%, and the rest from exports to the US, Britain, the EU, India, Japan and neighbouring countries including Laos, Cambodia and Vietnam.
Mr Prakit said the company is likely to see flat sales growth this year due to weakened consumption, political instability and a sluggish economy.
For its investment overseas, LA Bicycle last year planned to set up a production facility in Ludhiana, India, and form a joint venture with a local LA bicycle distributor. However, because of the weak rupee, which caused the company’s investment budget to exceed 1 billion baht, India has been dropped in favour of Myanmar.
''There is no bicycle firm expanding business to Myanmar now, so we’re optimistic about this market,'' said Mr Prakit. A final decision is pending.