Lumala, which means strength in Japanese, is a household name in Sri Lanka, having been established after overcoming many challenges locally and internationally.
The Lumala Bicycle Factory is a huge building complex spread over three acres. For more than 38 years, spanning three generations, Lumala has been the pioneer of bicycle production in Sri Lanka.
Managing Director Asim Miflal
Director/ Chief Executive Officer Tharik Miflal
It was initially started as an import goods trading business in 1953. In 1980, under the brand name Lumala, a well-known bicycle manufacturing company in Japan started importing and selling Lumala bicycles under that brand in the Sri Lankan market. After the closure of the Lumala bicycle manufacturing factory in Japan in 1985, all the machinery of that factory was purchased by current Lumala chairman M.M. Miflal.
In 1985, he named this bicycle company as City Cycle Industries and started manufacturing bicycles. Afterwards, in a very short period, by 2010, the domestic market was conquered and the foreign market was successfully penetrated by Lumala. The production capacity is 2,000 bicycles per day with 1,500 workers.
Since then, it has become a leading manufacturer among bicycle manufacturers for more than a decade. Lumala is being sold in many countries. Today, this company manufactures all types of bicycles and spare parts, including electric bicycles, under the names Lumala and Lycan, another major product of the Lumala family.
In 1999, Lumala started bicycle sales in the Middle East and Africa. By 2005, bicycles were exported to India, Pakistan, and African countries. However, with the current economic recession in the country, it is difficult to secure raw materials and due to high taxation, the production of bicycles has to incur a huge cost. Concessions and incentives will enable Lumala to increase the daily production of bicycles.
Lumala officials said that if the Government grants such facilities to Lumala, it will be possible to increase its production capacity. Tariq Miflal, Chief Executive Officer, said: “Currently, due to the supply of imported bicycles at a low price in the competitive market, the manufacturers of bicycles are facing a serious threat. The cost of manufacturing a high-quality bicycle is relatively high compared to imported bicycles. Lumala manufactures all the necessary parts and adds local value to produce a complete bicycle with a lifetime warranty. The supply of imported and domestic raw materials has been seriously affected by the increase in taxes. Therefore, in order to protect the local bicycle manufacturing industry, the Government should create a proper environment to address this situation.
“The cost of producing a bicycle increases because we have to spend a lot of money on raw materials. We are committed to provide the raw materials required for the production based on value addition and according to the demand. Due to the existing fuel crisis, wood dust and water are being used as alternatives to get the required heat.”
Solution
He said that electric bicycles are an ideal solution in the face of the current financial crisis. Electric bicycles manufactured by Lumala, which produces more than 500,000 units of bicycles annually, target domestic and foreign markets. E-Bicycles are produced mainly under the Lycan brand. There is a huge foreign market demand for the Lycan bikes.
He urged the Government to intervene to introduce these bicycles under a relief program to Government and private sector workers. Some models in the Lycan range can run about 100 Km on one full charge.
Ordinary electric bicycles, specially designed double-seater electric bicycles for tourists, special electric bicycles that can collect light waste including disposable plastic bottles, electric powered wheelchairs, ice creams vending bicycles are among the electric bicycles that are available.
There is a high demand for these electric bicycles in this country as well as in many countries including the United Kingdom, Europe, India, the United Arab Emirates, and the Middle East. Lumala General Manager Ranjith Siriwardhana said about 1,500 employees are employed by Lumala, which generates foreign exchange.
Bicycles imported and sold at low prices in the country are a threat to all local bicycle manufacturers. Since the complete bicycle is produced locally, the costs are huge. The General Manager also said that due to high taxes, it has become very difficult to run this business. It would be a tragedy if it is cheaper to import bicycles than produce them locally, he said. He called on the Government to provide more assistance to this sector.
With the increase in fuel prices, even though bicycles are popular and a convenient means of transportation in many developed countries, many Sri Lankans are still wary of using electric bicycles. This attitude should change.
Sales Manager Nilantha Satanarachchi said that more awareness should be created on the advantages of using electric bicycles. Through the use of electric bicycles, the economy will benefit immensely. A daily user will get a massive saving over using a fossil fuel powered motorcycle.
Production
General Manager Siriwardhana said that due to high production costs, it is not possible to supply Lumala bicycles at a lower price than the alternative bicycle imports. “Lumala bikes are of high quality. They are produced entirely in Sri Lanka and sold in domestic and overseas markets,” he said.
“Lumala is a Japanese brand brought to Sri Lanka. The bicycle manufacturing industry can be competitive in Sri Lanka and some formality is essential in that competitiveness.
It is very clear that Lumala, who is engaged in the bicycle manufacturing industry in Sri Lanka, will not ask for unfair concessions from the authorities. But the problems faced by other local industries must also be taken into account,” he said.
The entry of imported bicycles has however spurred Lumala to be one step ahead of them, by incorporating the latest technological advancements into their range of normal and electric bicycles.
In a move that encouraged the local electric bicycle industry, global ride-hailing giant Uber recently ordered 100 e-bikes from Lumala and presented them free to 100 Uber Eats delivery drivers, who are now saving a substantial amount on fuel every month. Electric bikes are clearly the future.
Painting
Bicycle frame production division
Tyre supply division
