Patanjali will overtake Colgate and Unilever: Baba Ramdev1 min read . Updated: 19 Mar 2016, 06:05 PM IST
In December, Patanjali outlined plans to invest Rs1,000 crore in expanding capacity and selling Ayurvedic products in overseas markets
Bengaluru: Foreign consumer goods companies in India will soon have to do a headstand, said yoga guru Baba Ramdev at a press meet in Bengaluru on Friday, commenting on the impact of Patanjali’s success on Indian arms of foreign consumer goods and food companies.
“Colgate will be below Patanjali by this year, and in three years, we will overtake Unilever," said Ramdev, whose ₹ 2,000 crore company that makes everything from biscuits to soaps has been denting the market share of large multinational corporations in India.
“Dant Kanti, Patanjali’s neem-based toothpaste will overtake Colgate by end of the year," said Ramdev, promoting his stable of brands. Ramdev’s confidence in Patanjali’s success comes at a time when sales of biscuits, creams and gooseberry (amla) juices have swelled over the past two years. The yoga guru anticipated Patanjali’s revenue to more than double to ₹ 5,000 crore this year.
“In three years, Unilever’s lever will go flat," he quipped.
In December, Patanjali had outlined plans to invest ₹ 1,000 crore in expanding capacity, building an online sales channel and selling Ayurvedic products in overseas markets.
Bollywood celebrities and entrepreneur Kishore Biyani have endorsed Patanjali products that have started eating into the market shares of Hindustan Unilever Ltd, Dabur Ltd, Colgate and ITC Foods Ltd.
Ramdev confirmed the proposed opening of food plants in Madhya Pradesh and Maharashtra, adding that more locations are being considered.
The yoga guru is expanding his brand of yoga to education institutes. “We will also open universities offering Vedic and modern sciences," said Ramdev.
Top analysts and brokerage firms have made rough estimates, pegging Patanjali’s revenues to further swell to ₹ 20,000 crore by 2020 according to a report by financial services company India Infoline Ltd, or IIFL, suggesting a 16-fold jump in revenue in six years.
India’s spiritual leaders are increasing gaining clout among households in the country to launch a portfolio of consumer products, as millions of Indians, who already follow their sermons and teachings either through television or mass gatherings. The market for Ayurveda has seen a spike in demand. “This is only going to get bigger," said Ramdev.