Yoga guru cum business tycoon Baba Ramdev led Patanjali Ayurved is all set to foray into manufacturing solar power equipment with an investment of Rs 100 crore.
This will be the company’s first exposure to the infrastructure sector, which closed the last financial year with Rs. 10,000 crores in sales and claimed as the second largest homegrown consumer goods company, after ITC.
The development was first reported by financial daily Mint.
“Getting into solar is in line with the swadeshi movement. With solar, each household in India can have power supply, and we are here to make that happen,” said Acharya Balkrishna, managing director of Patanjali Ayurved.
“The government has been working on the solar industry, and even offering sops. We will manufacture solar panels in India without compromising the quality. But we are not going to get into the price war with the Chinese solar panels,” added Balkrishna.
The Indian government is also giving a push to the clean energy and aims to achieve 175 GW of renewable energy by 2020 and 100 GW of solar energy by 2022.
With this announcement, the competition in the solar manufacturing industry will intensify. The neighbouring country China, with an estimated capacity of around 70GW per year, claims the US and India as the potential market to sell its solar equipment at low price.
Earlier, this year, Patanjali acquired Noida-based Advance Navigation and Solar Technologies Pvt. Ltd, a manufacturer of navigation aid equipment. Currently, the facility has a manufacturing capacity of 120 megawatts.
Set up in 2006, Patanjali sells its product online through patanjaliayurved.net. The company is eying the global market through partnerships with e-commerce companies. The company plans to take its product portfolio to the US, UK, and some other countries.
In September, Patanjali Ayurved had hired two investment banks to raise structured credit worth Rs 1,000 crore to finance its expansion plans.
Patanjali also announced its foray into the branded apparel space with its “swadeshi” line of clothes for men, women, and children, which will be available across 250 exclusive retail outlets.