SUNRISE INDIAN & MNC EXPANSION
Patanjali expects to cross Rs. 10,000 crore in revenue next year. It expanded its reach from 200 Patanjali outlets in 2014 to 5,000 franchise stores currently and launched more than two dozen mainstream FMCG products as none of the existing herbal players catered to categories such as noodles, oats and detergents. Patanjali already sells about Rs. 150 crore worth of cattle feed a year and expects to cross the Rs.1,000-crore mark this year.
MNCs in India are not to be left behind. Colgate-Palmolive (India) Ltd launched Cibaca Vedshakti, a toothpaste made of natural ingredients. Colgate also introduced Colgate Sensitive Clove, Colgate Active Salt Neem and Colgate Total Charcol Deep Clean and many more natural based products are in the pipeline. Hindustan Unilever has re-launched Lever Ayush for its Ayurvedic range and acquired Kerala-based Ayurvedic hair oil brand Indulekha for Rs. 330 crore earlier this year.
Indian transnationals like Emami acquired Ayurvedic hair oil & shampoo brand Kesh King from SBS Biotech Ltd for Rs 1,651 crore.
Dabur made its first foreign acquisition in 2010 by buying Hobi Kozmetik Group, a leading personal care products company in Turkey, for $69 million. It also acquired US-based Namaste Laboratories for $100 million in the same year. Cigarette-to-shampoo maker ITC Ltd reaches to around 4.3 million retail stores. Dabur is doubling its herb cultivation. By March 2017, Dabur will have 3,800 acres for medicinal herb farming. It also has a greenhouse at Pantnagar in Uttarakhand. It will spend Rs. 600 crore in back-end supply chain. Medicinal farming will be spread across 8 states and engage about 2,500 farmers, up from 1,200 at present. Dabur products reach 5.3 million outlets. HUL reaches 6.3 million of the estimated 8 million retail outlets.
Why Invest in AYUSH NATURAL?
The new NDA government led by Prime Minister Narendra Modi has created a seperate ministry for AYUSH under the leadership of Shripad Naik, Union Minister which has made it profitable to invest in naturals and organics. The conditions in the country are also ripe for the rapid development of this sector. Here are some reasons:
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