Rahul Mehta Gandhinagar LsCandidate
Report on wealth of Acharya Balkrishnan -- it is high because it includes estimated value of Patanjali brand name !!!
.
A so called report says that Acharya Balkrishan has Rs 25000 crore of wealth. Such reports create an impression that "see, these people are using swadeshi concept to generate thousands of crores of profits", sort of projecting them as slimy businessman.
.
So first, what does "Rs 26000 crore of wealth" mean?
.
Does he have that much money in his or his companies account? Does he have that much land and buildings?
.
Now even if you add up sales of Patanjali in past 20 years, it is below Rs 25000 . The how can one possibly generate wealth more than sales?
.
It can happen if one bought land and prices have now increased. But is that so?
.
Not really.
.
Patanjali is a private limited company and shares are NOT traded. So share value cant be estimated..
.
Now Acharya Balkrishnan owns Patanjali's shares and Patanjali brandname indeed has a lot of value. The magazine which makes richest persons; list evaluated brand name's value. And the value was in tens of thousands of crores. They have NOT given all details yet.
.
Now brandname's value is subjective and not indication of how much profit one has made.
.
So making statements like "Swami Ramdevji has made profits of 1000s of crores of rupees using swadeshi" is wrong.
.
The value of brand is because faith people have. It doesnt mean that they have actually used that faith to run cash machine.
.
I repeat ---- the so called cash value of brand is because faith people have. It does NOT mean that brand owners have actually used that faith to make huge profits.
.
So wealth report should be like --- cash wealth + book value of land / buildings + deemed capital gains + value of brands owned etc and each break up should be mentioned.
.
Just because brandvalue is high doesnt mean profiteering.
.
So all in all, the report has Acharya Balakrishnan has rs 25000 crore of wealth is only showing value of Patanjali brand's ESTIMATED cash value, and not any indication of profiteering etc
.
-------------
.
Added later
.
from wiki page of Patanjali .
.
https://en.wikipedia.org/wiki/Patanjali_Ayurved.
.
Year Revenues (In crore Rs)
.
2009-10 163
2010-11 317
2011-12 446
2012-13 850
2013-14 1,200
2014-15 2,006
2015-16 5,000
2016-17 120,000 (Target)
.
----- end of wiki page---
.
So ignore the target. The wealth report corresponds to around march-2016, where the "target" has not even started.
.
So TOTAL sales of Patanjali till date = about Rs 10,000 crore.
.
There are product costs, labor, advertising,costs , commissions, buying equipment (which are NOT wealth as they become zero value within 4-5 years) etc. So total profits of Patanjali could have been more than Rs 2000 crore.more. So wealth of Rs 26000 crore isnt profits, Essentially, value of land purchases years ago may have shot up. And rest is percieved value of brand name !!!