Patanjali, which emerged as the FMCG market disruptor a few years ago, is now finding it difficult to retain its growth rate and the company's management holds Narendra Modi's demonetisation responsible for its declining growth, reported Mint.

In 2017, the co-founder of Patanjali Ayurved, Baba Ramdev, had come out in support of Modi's move of scrapping currency notes of Rs 500 and Rs 1000.

After a good run for five years, Patanjali Ayurved hit a speed bump in financial year 2018.

According to the managing director of the company, the revenue growth for FY18 was at the same level as that of last year. “We have closed the year around the same level as the previous fiscal year’s revenue,” Acharya Balkrishna, managing director of Patanjali, said in an interview to Mint on May 18.

Though some company officials expressed confidence in the company’s potential to make up for the lost ground in terms of growth, the management claimed that the slowdown was primarily because of Modi’s moves like demonetisation and the goods and services tax (GST). The management admitted that these moves were very disruptive.

“Lingering effects of the demonetisation and the implementation of goods and services tax (GST) impacted growth,” Balkrishna told Mint.

First Published:May 23, 2018 12:21 PM IST