The BCCI will lose more than Rs 2000 crore due to this year’s Indian Premier League being postponed indefinitely.
The BCCI will lose more than Rs 2000 crore due to this year’s Indian Premier League being postponed indefinitely. This is the amount of broadcast and sponsorship scheduled for this year’s IPL. IPL 2021 has been postponed on Tuesday due to increase in cases of covid-19 in its bio bubble. The BCCI was forced to take this decision after several cases of covid-19 were reported between players and support staff from Ahmedabad and New Delhi in the last few days.
Losses in Broadcasting Rights
A senior BCCI official, on the condition of anonymity, said that he would incur a loss of between Rs 2000 and Rs 2500 crore due to the postponement of the road between this season. They would say that something in the range of Rs 2200 crore would be close to an accurate estimate. The 52-match and 60-match tournament was to end on May 30 in Ahmedabad. However, only 24 days of cricket were possible, in which 29 matches were completed, when the tournament has been stopped due to virus.
The biggest loss for the BCCI is the money, which they had to get from Star Sports for the broadcasting rights of the tournament. Star has a five-year contract worth Rs 16,347 crore, which is Rs 3269.4 crore per year. If there are 60 games in a season, then the valuation per match comes to around Rs 54.5 crore. If Star pays per match, the amount for 29 matches would be around Rs 1580 crore, which would have been Rs 3270 crore for the entire tournament. This means a loss of Rs 1690 crore to the board.
Big loss of sponsorship amount
Similarly Vivo, the mobile manufacturers, are the title sponsors of the tournament, they will pay Rs 440 crore per season and BCCI is expected to get less than half of this amount due to the postponement. The sponsor companies associated with it such as Unacademy, Dream11, CRed, Upstox and Tata Motors, each pay in the range of Rs 120 crore. Some subsidiary sponsors are also present.