The Reliance Industries Limited, founded by Dhirubhai H. Ambani (1932 â” 2002) in 1966 with his cousin, is India’s largest private sector conglomerate (BSE: 500325), actively involved in the materials and energy value chain business. Dhirubhai started with a skimpy capital of 15000 INR earned through working with a firm in Yemen in the 1950s and moved to Mumbai in 1958 to start his own business in spices. In the 1960s it moved to Yarn trading and textile manufacturing businesses. In 1970 Reliance Textile industries received an excellence award from World Bank and extend its focus from foreign market to domestic market by creating a brand Vimal. By 1980s the core mantras of Reliance Industries were establishing relationship and building trust with policy makers, which leads its way to get licenses to manufacture polyester filament yarn (PFY) in early 1980s. They started the Patalganga project for PFY and Mukesh Ambani was involved in this project on behalf of Dhirubhaiâs advice. Considering the requirement of Purified Terepthalic Acid (PTA) or Dimethyl Terephthalate (DMT) as base feedstock reacted with Monoethylene Glycol (MEG) to manufacture PFY, Reliance Industries commissioned its PTA plant in the late 1980s as a part of backward vertical integration strategy.
In the decade of 1990s Reliance industries began to expand in several vertices like setting up new plants in Hazira, Patalganga, and Jamnagar. To further strengthen its backward vertical integration by producing input materials to manufacture PTA. In early 1990s following the economic reforms of Government of India Reliance established a new subsidiary, Reliance Refineries and later change to Reliance Petroleum in late 1990s to meet Indiaâs energy based market need and commissioned Jamnagar plant in Gujrat. Furthermore, in 2000s reliance commissioned the petrochemicals facilities that included the worldâs biggest polyester plant and a polypropylene plant to tap the emerging markets and also engagement of by-products and scraps was done to increase production efficiencies. In the late 2000s RIL ventured into oil and gas exploration and successfully discovered the largest Krishna Godavari oil basin in the east coast of India. In early 2010s RIL ventured into exploration of Natural gas jointly with a few U.S. firms like Carrizo for further strengthen its vertical integration and became self-reliance and sufficient in coming years. As of 2013, the Group’s annual revenues are in excess of 73.00 billion USD and provide almost 5% of the Govt. of India’s total tax revenue.
The flagship company, Reliance Industries Limited (RIL), is a Fortune Global 500 company (ranked 114) and is the largest private sector company in India and the world’s biggest corporations, as of 2013. Nevertheless, RIL is aspiring to position itself in the top 50 rank of Fortune Global 500 list in coming years.