Jamsetji Nusserwanji Tata (1839 – 1904) is known as the father of Indian Industry, who laid the foundation of a multi-billion dollar conglomerate. He was an Indian philanthropist, patriot, humanist, builder and entrepreneur who started from ground zero by setting up his textile mill in Nagpur, which laid the foundation of the TATA Group. The TATA Group now has 30 companies in ten business verticals. He is known as the man of steel who founded the city of steel, Jamshedpur. He was a legend ranked first in the list of the World’s top philanthropists of the 20th century with an estimated donation of US$ 102 Billion. For his legendary works, Pt. Jawahar Lal Nehru once called him the One Man Planning Commission.
Wiki/Biography
Jamsetji Tata, the father of Indian Industry, was born on Sunday, 3rd March 1839 in Navsari, Gujarat. He was born in a family of Parsi priests and was the only son of his father, Nusserwanji Tata.
Jamsetji Tata in his childhood
His father was the first businessman in the family and ran an export trading business in Bombay (now Mumbai). His parents did his upbringing in Bombay. They believed in Jamsetji’s abilities and made efforts to provide him with the best education facilities. He did his early education as per the British education offered in India. He was an intelligent boy and began offering a helping hand to his father just when he was 14. He completed his graduation from Elphinstone College in Bombay in 1858.
Building a Successful Business During British Raj
The Cotton industry witnessed a boom when the British government established its rule in India by taking over the East India company in 1858. In those times, America was the biggest producer and exporter of cotton. But the American Civil war impacted cotton production and export. That is when the Britishers eyed India for its cotton demands. They began buying cotton from Indian producers under their monopoly. The demand for cotton in India shot up, which remained high even after the American Civil War was over. In the same year (1858), Jamsetji joined his father’s export trading business in Bombay. This time he was more than just a helping hand. He started participating in operations and helped his father in expanding the business. He worked hard to establish branches in Europe, Japan, China and the United States. Once, his father sent him to Hongkong, China, to learn about the opium trade. On this trip, he witnessed the boom in the textile industry. He already knew that India could become a leading cotton producer and exporter. It was evident to him by three factors:
- India had vast fertile lands to produce a hefty amount of cotton.
- The country had a decent population to provide for labour to harvest cotton.
- And the well-connected seaports for feasible cotton and textile export.
Jamsetji decided to invest in India’s potential and was thrilled by the idea of starting his own business.
Laying the Foundation of TATA Group
In 1869, Jamsetji finally decided to commence his first business venture. For this, he bought a bankrupt oil mill in Chinchpokli. He converted it into a cotton trading mill and named it Alexandra Mills. With a minimum capital investment of Rs. 21,000, it took him a year to turn it into a profitable textile trading firm. He ran this mill for two years and then sold it to a cotton merchant at a profit. In 1874, he planned to commence a textile manufacturing unit and chose Nagpur as its physical location. The Bombayites criticised him for choosing Nagpur over Bombay for commencing his mill. But Jamsetji knew what he was doing as he did thorough research before stepping into this business. He took his time to visit the western countries and study their textile production models. He made trips to England, Russia, Turkey, Egypt, and Syria to study the upgraded industrial ecosystem, which was way more advanced than India. There he also witnessed the potential of the railway network and how it could be used as an effective means of transport. On the other hand, India severely lacked infrastructure, and Jamsetji came up with moves to overcome these hurdles. With all the knowledge gained from his research, he chose Nagpur because it was located in a cotton-producing district which was a plus for him. Nagpur was over 800 Kms from ports in Mumbai, which made it seem challenging to transport production. To combat this hurdle, he relayed on the newly developed railway network. With all these factors in mind, he laid the foundation of TATA Group with his Empress Mills in Nagpur, which became a success.
A Businessman With a Big Heart
Jamsetji Tata was not a businessman working with the sole intention of earning profits. Instead, he was a humanist who worked for the welfare of the masses and paid attention to improvising labour protection policies.
Jamsetji’s initiative to create a well-ventilated work environment in Mills
He was a man who introduced properly ventilated workplaces, shorted working hours, introduced events like a sports day and provided free medical help for his workers. To cover for their retirement, he was the first person to implement provident fund schemes and gratuity plans to ensure the welfare of the workers. He introduced a pension fund in 1886 to cover up for his workers even after their retirement. Later, he realised the importance of accident compensation and introduced the same in 1895. He initiated these changes when slavery and ill-treatment were the norms followed worldwide for labour. Thus, he was ahead of his competition in terms of revenue and workforce loyalty. On the 183rd birth anniversary of Jamsetji Tata, Ratan Tata paid his tribute to the legend and tweeted about his values and ethics.
Mr. Jamsetji Nusserwanji Tata has provided us with his inspiration, his ethics, values and selflessness which have provided dignity and livelihood to thousands of citizens. My best wishes go out to all the Tata group employees on the birth anniversary of our founder. pic.twitter.com/v8YXYluIZS
— Ratan N. Tata (@RNTata2000) March 3, 2022
After his success in the Textile Industry, we went on with his sons at work. He wanted to achieve four things in life:
- Setting up an iron and steel company
- Creating a world-class learning institute
- Setting up a hydroelectric plant
In 1901, he and his sons (Dorabji Tata and Sir Ratanji Tata) started working on the first large-scale ironworks project in India, now known as Tata Steel. His sons set up this plant in Sakchi, Jharkhand. Later this village developed and merged into Jamshedpur, also known as Tatanagar. The other dream he watched realising was building a hotel inaugurated in Mumbai on 3rd December 1903 and named it Taj Mahal Hotel.
Taj Mahal palace built by Jamsetji Tata
Renowned Philanthropist
Not everyone knows that Jamsetji was the top philanthropist of the last century, with an estimated donation of US$ 102.4 Billion. This amount is way higher than Bill Gates, who has donated US$ 74.6 Billion.
Jamsetji Tata sharing his vision to build a township for workers
Family & Caste
Jamsetji Belonged to an affluent Parsi family.
Parents & Siblings
Jamsetji Tata with his sons Sir Dorabji Tata, Sir Ratan Tata and RD Tata (father of JRD Tata)
Jamsetji was born to Nusserwanji and Jeevanbai Tata on 3rd March 1839, and was the only child of his parents.
Wife & Children
Jamsetji got married to Hirabai Daboo at the age of 16. They were blessed with two sons, Dorabji Tata and Ratanji Tata.
Family Tree
Tata Group Family Tree
Source
Favourites
- He had a lifelong love for academics.
- Reading was one of his favourite thing to do.
Death
In 1900, Jamsetji went on a business trip to Germany when he got ill. His age was 65 years when he died on 19th May 1904, in Bad Nauheim, Germany.
Facts/Trivia
- He installed the first humidifiers and fire sprinklers in India.
- His family came from the minority community of Zoroastrians who came to India from Iran.
- Jamsetji got married when he was a student.
- He was a great supporter of the Swadeshi movement and created a mill in 1886 and named it Svadeshi Mill.
- His second Biography was written by R.M. Lala (2006), For the love of India: The Life and Times of Jamsetji Tata.