Patanjali Ayurved hits GST roadblock: Sales growth may slow down in FY18

After growing at a breakneck pace for five years, Baba Ramdev’s Patanjali Ayurved has hit a major roadblock. During the financial year 2017-18, the group’s sales growth has slowed down considerably–- thanks to the massive transformational work following the implementation of the good and services tax (GST) regime in mid-2017.

According to Patanjali spokesperson S K Tijarawala, the initial glitches related to GST and the realignment work required due to its implementation cost Patanjali two months’ business in 2017. “We are in a growth mode and we have grown during the past year, contrary to the initial predictions that FMCG companies would face de-growth due to the implementation of GST. But, unlike other years, in 2017-18 we got only 10 months to do business. This might have a certain impact. The final revenue numbers are still being calculated. But, what we can confidently say now is that the 2017-18 revenue figure will not be less than what it was in 2016-17”, he told Business Standard.


In 2016-17, the Patanjali group had posted Rs 105.6 billion in revenues, of which Patanjali Ayurved – the flagship entity that markets most of its packaged consumer good products – contributed Rs 93.46 billion. Earlier, Baba Ramdev had set a target of doubling Patanjali’s sales during 2017-18 to over Rs 200 billion.