Indian billionaire Shashi Ruia, the co-founder of the Essar Group and a pioneering figure in Indian business, has passed away at the age of 81. Known for his transformative leadership and indomitable entrepreneurial spirit, Ruia leaves behind a legacy that reshaped India’s industrial landscape.
In a heartfelt statement, Ravi Ruia, Shashi’s brother and co-founder of the Essar Group, said, “It is with profound grief that we inform of the passing of Shri Shashikant Ruia, Patriarch of the Ruia and Essar Family. His humility, warmth, and ability to connect with everyone made him a truly exceptional leader.”
Early Days: From Humble Beginnings To A Multinational Empire
Shashi Ruia’s journey began in 1969 when he and his brother Ravi Ruia founded the Essar Group. Their entrepreneurial venture started modestly, securing a ₹2.5 crore contract from the Madras Port Trust to construct an outer breakwater. This initial success set the foundation for Essar’s evolution into a global conglomerate spanning 35 countries.
The early years saw Essar focusing on construction and engineering, building vital infrastructure projects like bridges, dams, and power plants. By the 1980s, the group diversified into the energy sector, acquiring oil and gas assets that would define its future trajectory.
Diversification And Expansion: A Visionary Approach
Under Ruia’s leadership, Essar expanded its operations in the 1990s into steel, telecommunications, and energy. The group built world-class steel plants, an oil refinery, and even established India’s second-largest telecom operator in partnership with Hutchison.
However, the journey wasn’t without challenges. While Essar achieved significant milestones, such as selling its oil refinery to a consortium led by Russia’s Rosneft and exiting the telecom business, it faced financial setbacks. Insolvency proceedings led to the sale of its steel assets to ArcelorMittal. Despite these hurdles, Ruia’s vision and determination ensured that Essar remained a key player in India’s industrial story.
A Lifetime Of Contributions
Shashi Ruia’s influence extended beyond Essar. He was actively involved in various national and international business forums, contributing to policy-making and fostering global partnerships.
He served on the managing committee of the Federation of Indian Chambers of Commerce and Industry (FICCI) and chaired the Indo-US Joint Business Council. As a member of the PM’s Indo-US CEO Forum and the India-Japan Business Council, he played a pivotal role in strengthening India’s international trade relations.
A Seat Among Global Achievers
In 2007, Ruia joined the elite group of The Elders, a collective of globally renowned personalities including Desmond Tutu, Kofi Annan, and Jimmy Carter. This independent group tackled some of the world’s most challenging problems, and Ruia’s presence underscored his commitment to global issues beyond business.
Personal Philosophy And Legacy
Ruia’s entrepreneurial journey was marked by a hands-on approach. Rejecting an opportunity to study abroad, he chose to immerse himself in the family business, starting from the ground up. By the age of 17, he was entrusted with responsibilities within the Essar Group, showcasing his aptitude for leadership and decision-making.
In a career spanning five decades, Ruia not only built businesses but also uplifted communities through philanthropy and community development initiatives. His vision, coupled with an unwavering commitment to values, earned him respect as a business leader and a humanitarian.
Industry Leaders Pay Tribute
Shashi Ruia’s passing has drawn tributes from across the business and political spectrum. Industry leaders have hailed him as a visionary who played a pivotal role in India’s industrial transformation. Prime Minister Narendra Modi extended condolences to the Ruia family, recognizing Shashi Ruia’s invaluable contributions to the nation.
Ratan Tata, chairman emeritus of Tata Group, shared, “Shashi Ruia was a dear friend and a business icon whose contributions to the industry will remain unparalleled. His loss is deeply felt.”
Essar’s Future
With Shashi Ruia’s passing, the Essar Group will undoubtedly face a transitional phase. However, his vision and values have left an enduring framework for the next generation of leaders within the organization. Ravi Ruia and the Ruia family have expressed their commitment to upholding Shashi’s legacy and driving Essar’s growth in the years to come.
Remembering A Visionary
As the business world mourns the loss of Shashi Ruia, his life serves as a testament to the power of determination, innovation, and resilience. From humble beginnings to building a global empire, Shashi Ruia’s journey will continue to inspire entrepreneurs and leaders for generations. His legacy, marked by significant contributions to industry and society, ensures that his impact will be felt far beyond his time.