Economic crisis on IPL from Corona: 2000 crore loss to BCCI due to tournament cancellation; Crores of earnings from T20 World Cup also stalled this year

The league has been postponed for a few days after Corona became infected with 4 players and 2 coaching staff in the last two days in the IPL 2021 season. The decision on when to take it further has not been decided yet. In such a situation, if the situation is not normal in the country and if the IPL is canceled, then the board will incur a loss of about 2000 crores. Also, the T20 World Cup to be hosted in India this year will be under threat. Hosting from India can be snatched away. BCCI will also suffer the loss of crores.

IPL Governing Council wanted to conduct a tournament in UAE

Sources told Bhaskar that the IPL Governing Council wanted the tournament to be held in the UAE this time, just like last year. If it were, it could be made successful like the last time. But despite the Corona explosion in India, this tournament was held. As a result, it had to be suspended in between.

According to sources, BCCI wanted to give the message that India is also ready for the T20 World Cup, with the IPL being conducted in the country. This year the T20 World Cup is to be held in India in October.

Why can't IPL be canceled?

IPL has benefited a lot in BCCI revenue. As a result of this, the government is getting tax on time. The BCCI has given Rs 3500 crore as tax since 2007-08. Before the IPL, BCCI was considered a charitable organization. BCCI generates 40% of revenue from this league.

According to a report by the Telegraph, the economy of world cricket is about 15 thousand crore rupees. Of this, 33% i.e. 5 thousand crore rupees comes from IPL. This is the reason that BCCI is also getting support from other boards of the world during the conduct of IPL.

Between Corona, India, England, and Australia refused to go on a tour of South Africa, but the IPL is being held. India is scheduled to visit England in August this year. This is going to be financially important for the England Cricket Board. The English board suffered a lot due to the lockdown.

There can be a profit of 3 thousand crores if not canceled

The value of IPL in 2019 was around 47 thousand crores. At the same time, according to BCCI treasurer Arun Dhumal, the board had a profit of Rs 4000 crore in the previous season. If the league succeeds this year, it is estimated to be a profit of 3 thousand crores. According to the Economic Times report, if the tournament was canceled in the previous season, then about Rs 3800 crore. Could have caused the loss.

2000 crores loss if IPL is canceled

In this season also, the IPL Governing Council did not add any value like the previous season. In such a situation, the cancellation of IPL in the middle of the board may result in a loss of 50% ie 2000 crores. Along with this, the board also has to generate revenue for the proposed T20 World Cup in October. Recently, there was also a demand for tax exemption for the World Cup between the BCCI and the government.

BCCI is also worried about tax for T20 World Cup

However, the government has not taken any decision yet. If the central government also gives a 10% tax exemption, the board will have to pay about Rs 226 crore. At the same time, in the event of no exemption, BCCI will have to pay 906 crore rupees for the World Cup.

Along with this, the board has to pay money to the players, coaches, staff, and the people involved in the domestic competition. In such a situation, if the IPL is canceled, it will affect many more people.