Remembering Ratan Tata And His Impact On India’s Automotive Landscape

Ratan Tata’s visionary approach not only advanced the Indian automobile industry but also helped global brands like Mercedes-Benz and Jaguar Land Rover establish their presence in the market

Industrialist, icon, and Padma Vibhushan recipient, Sir Ratan Naval Tata, passed away at the age of 86. He was admitted to Breach Candy Hospital in Mumbai due to health-related issues, where he took his last breath. 

Mr. Tata became chairman of the Tata Group in 1991 and transformed the company into a larger and more diverse organisation, with significant contributions in fields such as healthcare, education, and, most importantly, automobiles. Ratan Tata also laid the foundation for Tata Motors and made remarkable contributions to the Indian automobile industry.

N Chandrasekaran, Chairman of Tata Sons, expressed the group’s grief, stating, ‘It is with a profound sense of loss that we bid farewell to Mr. Ratan Naval Tata a truly uncommon leader whose immeasurable contributions have shaped not only the Tata Group but also the very fabric of our nation For the Tata Group, Mr. Tata was more than a chairperson. To me, he was a mentor, guide and friend. He inspired by example. From education to healthcare, his initiatives have left a deep-rooted mark that will benefit generations to come. Reinforcing all of this work was Mr. Tata's genuine humility in every individual interaction. On behalf of the entire Tata family, I extend our deepest condolences to his loved ones. His legacy will continue to inspire us as we strive to uphold the principles he so passionately championed."

In tribute to one of the greatest industrialists, philanthropists, and icons of the business world, let’s take a look at how Ratan Tata became a leading figure in the automotive sector and the major contributions he made along the way.

His Path Was Never Easy

Ratan Tata was a visionary whose ambitions extended beyond just building an automobile business. He aimed to establish an industry that served multiple sectors and purposes. However, his journey to becoming one of the greatest industrialists was not a bed of roses. Although he hailed from the esteemed Tata family, which had already evolved into a giant conglomerate, Ratan Tata began his career at TELCO (Tata Engineering and Locomotive Company Ltd), now known as Tata Motors.

After spending six months at TELCO, Ratan Tata joined TISCO (Tata Iron and Steel Company) in 1963, now known as Tata Steel. A man who used to travel to school in a Rolls Royce was working as a floor worker at TISCO in Jamshedpur. This reflects Ratan Tata's humility and generosity as a person.

In 1991, Ratan Naval Tata took over the Tata group as Chairman of the group. However, he had to go through a lot of battles after the passing away of his uncle, JRD Tata, in 1993. However, Ratan Tata took it as a challenge and he made Tata Motors into what it is today, from leading the commercial vehicle business to being the frontrunner of EV car market in India.

From Barebone Trucks To EVs

Tata Motors was established in 1945 as TELCO, originally focused on locomotive manufacturing. Later, Tata entered into an agreement with Daimler-Benz, which led to the rollout of the first truck under the Tata-Mercedes-Benz partnership. This collaboration not only enabled Tata to begin manufacturing vehicles but also helped Mercedes-Benz establish a presence in India. As a result, Mercedes-Benz launched its own W124 E-Class sedan in India in 1995 under its own brand. Interestingly, the first Mercedes was produced at Tata Motors' manufacturing facility in Pune.

Before Mercedes-Benz, Tata introduced its first passenger vehicle, the Tata Sierra in 1991. The Sierra was revolutionary both in terms of its design and the features it offered. In the 90s, it was likely one of the first India-made vehicles to include features like power windows and power steering. Then came the Tata Estate in 1992, the first ever India-made vehicle that introduced the station wagon bodystyle in the country.

Tata never looked back after the Sierra and Estate, and its passenger vehicle business flourished. In 1994, the Sumo was launched, followed by the Safari in 1998. The Safari was introduced at a time when no SUV like it existed; in simpler terms, it initiated the stylish SUV segment in India and created a new level of desirability among consumers.

Today, Tata has five EVs in its portfolio: Tata Tiago EV, Tata Tigor EV, Tata Punch EV, Tata Nexon EV, and Tata Curvv EV.

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Indica & Nano: Revolution In Auto Industry 

Tata Indica

During the 1990s, cars like the Maruti 800 had already democratised the Indian car market, but there were still no small cars available with a diesel engine. Tata became the first Indian automaker to introduce an indigenous small car powered by a diesel engine: the Tata Indica. Marketed with the tagline ‘More Car Per Car,’ it promised the dimensions of a Zen while offering the space of an Ambassador. The Tata Indica received numerous updates and remained in the market until 2015, eventually evolving into the Indica Vista nameplate.

Tata Nano

It all started when Ratan Tata saw a family—a husband, wife, and their children—riding on a two-wheeler during the rain. They fell off the bike, which made Ratan Tata realise that motorbikes are not a safe mode of transport for families. He wanted to make road travel safer for Indian families, but the major question was how? This led to the concept of creating a small car priced at Rs 1 lakh to address the problem. It was a significant challenge for the automaker, but Tata succeeded, and launched India’s cheapest four-wheeler, the Tata Nano, released in 2008.

However, the Nano project didn’t go as planned and Ratan Tata himself admitted that marketing the Nano as the cheapest car was a big mistake. Later, the prices of the Nano went over Rs 2 lakh, and it was taken off the shelves in 2020. 

Ratan Tata’s Meeting With Bill Ford

Tata aimed to expand its automobile business by partnering with international giants, one of which was Ford. According to multiple reports, Ratan Tata and his team met with Ford Chairperson Bill Ford to present their automobile business in 1999. However, the meeting did not go well; Ford representatives questioned Tata's expertise in manufacturing cars. They even asked why Tata had entered the automobile business if they did not know how to do it.

Acquisition Of Jaguar Land Rover

Although Tata's meeting with Ford did not go well, the tables turned later when Tata acquired Jaguar Land Rover from Ford for 2.3 billion US dollars in 2008. While Ratan Tata never explicitly stated that the acquisition was an act of revenge, it is often regarded as such, given what Ford had done to Tata in 1999.

Commenting on the same, Ratan Tata said, “This is a momentous time for all of us at Tata Motors. Jaguar and Land Rover are two iconic British brands with worldwide growth prospects. We are looking forward to extending our full support to the Jaguar Land Rover team to realise their competitive potential. Jaguar Land Rover will retain their distinctive identities and continue to pursue their respective business plans as before. We recognise the significant improvement in the performance of the two brands and look forward to this trend continuing in the coming years. It is our intention to work closely to support the Jaguar Land Rover team in building the success and preeminence of the two brands."

While Ford was not able to churn out profits from JLR, Tata Motors not only made Jaguar Land Rover to survive but also made it a profitable brand. 

Our Condolences

Ratan Tata and his visionary techniques not only helped the Indian automobile industry but also supported various other brands, such as Mercedes-Benz and Jaguar Land Rover, in establishing their footprints in the Indian market. His contributions will never be forgotten, and his legacy will endure forever.

We at CarDekho are saddened to hear the news of his passing and offer our condolences to the bereaved family and his dear ones in this tough time.

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