The Indian electric rickshaw battery market is expected to grow from $385.0 million in 2019 to $722.3 million in 2024, exhibiting a CAGR of 13.2% between 2020–2024 (forecast period). Moreover, in 2019, 4,290.9 thousand units of electric rickshaw batteries were sold in the country. Passenger carriers dominated the market between 2014 and 2019 (historical period), in terms of vehicle, owing to its greater usage among the commuters. These carriers are usually preferred by passengers due to the lower travel cost associated with these rickshaws.
The load carrier category is expected to register faster growth in the Indian electric rickshaw battery market during the forecast period. This is attributed to the expansion in the e-commerce industry and the low total cost of ownership (TCO) of load carriers.
Adoption of Electric Loader Rickshaws is a Major Trend in the Market
In the recent years, the country has witnessed an increasing penetration of electric loader rickshaws, which is a major trend in the Indian electric rickshaw battery market. Till 2015, there was almost no market for electric loader rickshaws, and today, around 2% of the electric rickshaws across the country are loader variants. Although, the market is still at its nascent phase, the demand for these vehicles is increasing rapidly. Some of the major cities experiencing a significant penetration of electric loader rickshaws are Ahmedabad, Jaipur, Gurgaon, and Delhi. In Ahmedabad, out of the total electric rickshaws in operation, around 70% are loaders. Similarly, Gurgaon has a 15%–20% penetration of electric loader rickshaws.
Growing Average Age of Electric Rickshaws is Driving the Market
Initially, the electric rickshaw market had been dominated by unorganized, local players, enjoying a collective market share of around 80.0% in 2016. As the players were mostly local and operating on a small scale, the electric rickshaws offered by them were of substandard quality and had an average life of 1.8 years. However, since the Goods & Services Tax (GST) rollout, the market for electric rickshaws has moved toward consolidation, with unorganized players being hit hard by the higher manufacturing costs. This resulted in the expansion of the market share of organized electric rickshaw manufacturers, to 40% in 2019, from around 20% in 2016. The electric rickshaws offered by established and organized manufacturers have an average life of 3.5 years. This increased average age of electric rickshaws has propelled the demand for batteries, primarily for the replacement of dead or old ones, thereby driving the growth of the Indian electric rickshaw battery market.
Segmentation Analysis of India Electric Rickshaw Battery Market
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Geographical Analysis of India Electric Rickshaw Battery Market
State wise, Delhi dominated the Indian electric rickshaw battery market till 2018; however, in 2019, Uttar Pradesh surpassed it. This is mainly credited to the growing demand for electric rickshaws from the tier 2 cities, and rural–urban fringes in the state. Moreover, many cities in the state have adopted electric rickshaws for last-mile connectivity and feeder services, leading to the significant growth of the battery sales.
However, at the city level, Delhi remained the largest market for electric rickshaw batteries. Some of the other prominent cities displaying a significant demand for electric rickshaw batteries are Howrah, Noida, Lucknow, Varanasi, Patna, and Kanpur.
Browse report overview with detailed TOC on "India Electric Rickshaw Battery Market Research Report: By Vehicle (Passenger Carrier, Load Carrier), Battery Capacity (<101 Ah, >101 Ah), End Use (OEM, Replacement) - Industry Size, Trend, Growth and Demand Forecast to 2024" at:https://www.psmarketresearch.com/market-analysis/india-electric-rickshaw-battery-market
Competitive Landscape of India Electric Rickshaw Battery Market
The Indian electric rickshaw battery market is fragmented in nature, with multiple small and unorganized local players operating at the city level. However, after the GST rollout in 2017, the share of unorganized players in the market significantly decreased, and it is expected to decline further during the forecast period. Among all the players, Exide Industries Inc. was the market leader in 2019, supplying batteries to more than 100 OEMs in the country.
Some of the other key players operating in the Indian electric rickshaw battery market are Amara Raja Batteries Ltd., Eastman Auto & Power Ltd., Okaya Power Pvt. Ltd., Sparco Batteries Pvt. Ltd., Grand Batteries Pvt. Ltd., and Gem Batteries Pvt. Ltd.
