Ramdev Baba’s Patanjali Ayurved is “considering” entering the bidding war for the Indian Premier League (IPL) title sponsorship as confirmed by the company official. The slot of the title sponsorship of IPL 2020 was vacated when the Chinese phone maker, VIVO decided to pul out for teh season. The move would help the Haridwar-based firm access a global marketing platform, as Patanjali is focusing on expanding its FMCG business globally.
Confirming the development during a chat with PTI, Patanjali spokesperson S K Tijarawala said: “We are considering this. This is for Vocal For Local and making one Indian brand as global, this is the right platform. We are considering into that perspective.” However, Tijarawala also added that Patanjali is yet to take a final call on the issue. He explained, “We have to take a final decision, whether we would take it or not.”
Last week, the BCCI and Vivo decided to sever ties for the upcoming edition of the IPL, beginning on September 19 in the UAE, amid increasing tension on the border between the two countries and it gave rise to a movement of boycotting Chinese products.
The title sponsorship contributes a lot to IPL’s commercial revenue, half of which is shared equally by the franchises. Vivo won the IPL title sponsorship rights for five years from 2018 to 2022 for a reported sum of ₹2,190 crores, which comes out to be ₹440 crores every year.
On the other hand, the Haridwar-based Patanjali group has reported having to enjoy the turnover of around ₹10,500 crores. It had acquired debt-ridden Ruchi Soya in a corporate insolvency resolution process for around₹4,350 crores and became a firm competitor for the Adani Group.
Patanjali Ayurved had reported having generated the revenue of ₹8,329 crores in FY 2018-19. However, the group’s overall turnover was much higher as Patanjali Ayurved consists of mainly its FMCG business and its Ayurvedic medicines.