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The Karnataka Milk Federation (KMF), under its dairy brand Nandini, has announced that it will be the official sponsor for the Scotland and Ireland cricket teams in the upcoming 2024 T20 World Cup.
The tournament, which will see a record 20 teams participating, is set to take place in the West Indies and the United States from June 1-29, 2024. It's worth mentioning that Amul had also sponsored the Afghanistan Cricket team for the ICC World Cup 2019.
KMF's strategy and new product launch
As part of this sponsorship deal, KMF aims to leverage global exposure to promote its new product, Nandini Splash, a whey-based energy drink. This new offering is scheduled for introduction in the U.S. market concurrently with the World Cup.
MK Jagadish, the managing director of KMF, highlighted that the primary aim is to establish Nandini as a significant player in the global market, using the world stage provided by the T20 World Cup.
Facing criticism
However, the decision has sparked controversy locally. TV Mohandas Pai, the former CFO of Infosys, expressed his disapproval on social media platform X. He questioned the rationale behind investing in foreign teams rather than supporting local Karnataka-based entities and causes.
"Why not sponsor the Karnataka Ranji team, Karnataka sports persons, Karnataka artists? Farmers' children, scholarships for poor? KMF is funded by Kannadiga taxpayers' money, subsidy, and investments from the budget but chooses to spend on foreign teams whom nobody knows!” Pai wrote.
Why not sponsor the Karnataka Ranji team , Karnataka sports persons, Karnataka artists? Farmers children, scholarship for poor? Kmf is funded by Kannadiga tax papers money, subsidy and investments from budget but chooses to spend on foreign teams whom nobody knows! @siddaramaiah… https://t.co/i8DFYl3Pcl
— Mohandas Pai (@TVMohandasPai) April 21, 2024
Nandini Dairy's response to the criticism
In defense of their decision, MK Jagadish reiterated that the sponsorship is a strategic move to enhance Nandini’s brand visibility internationally. He also emphasized that a significant portion of the federation's revenue, about 85%, directly benefits local farmers in India, suggesting that the international exposure could potentially lead to greater local benefits.
“We are going to sponsor both Ireland and Scotland cricket teams in the T20 world cup. Our brand is going to be displayed during the matches," MK Jagadish said.
The sponsorship move by KMF through Nandini illustrates a bold step into the international arena, aiming to turn a local brand into a globally recognized name. However, it has also raised questions about the allocation of resources funded by local taxpayers and the strategic priorities of state-owned enterprises.