Supply distribution could not match fast growth at Patanjali : Acharya Balkrishna
Patanjali Ayurveda Chief Executive Acharya Balkrishna has said the firm's sales have slowed down because its supply chain and distribution network could not keep pace with its growth, in additional restructuring. Patanjali's revenues for the year ended March 2018 dropped 10% to Rs 8,135 Cr from 9,030 Cr in FY17 after 5 year of growth.
We were growing very fast but servicing the trade channels very fast but servicing the trade channels, infrastructure and the the goods and services tax roll out impacted us, Balkrishna said. To expand the business to the next level of growth, we need a little time to work on supply chain and distribution he told ET at a Bennett University summit on green biotechnology and its impact on Indian economy, where he was a keynote speaker.
Balkrishna said We are strengthening our distribution network now and most of the work is done, and result will be visible in the coming year," Balkrishna said.The Baba Ramdev-led company has also restricted its businesses. with key categories such as biscuits and noodles not being included under Patanjali Ayurved, and instead being classified under different group companies.