Harsh realities: When Mariwala defied HUL’S Marico takeover bid

In first Instagram appearance, business tycoon opens up about his journey spanning six decades

When Harsh Mariwala, founder and chairman of Marico, began his journey with his family-owned trading business 50 years ago, little did he know that one day he would be up against the biggest FMCG player.

His family firm Bombay Oil Industries was supplying spices and edible oil to other businesses. Serving retail consumers was a distant dream.

However, years later, as Mariwala’s FMCG venture came to fruition in the 90s, the entrepreneur faced one of the biggest threats of his life. With Marico’s rapid expansion into the coconut oil market, Mariwala received a call from the big daddy of the FMCG industry, Hindustan Unilever (then Hindustan Lever or HLL), his first Instagram post has revealed.

According to Penguin India, the publisher of Mariwala’s upcoming autobiography, “One evening he received a threatening call from Hindustan Lever, coaxing him to sell Marico.”

At the time, HLL had an extensive sales and distribution network with a large outlet reach, even in rural areas, making it a formidable force in the consumer goods industry.

Mariwala, however, remained undeterred. And his grip over “the coconut oil business and his relationships in the trade, honed through decades of engagement, were his trump card”. Eventually, “the war with HLL enhanced Marico and Parachute’s reputation as “giant killer”, resulting in a complete victory for Harsh Mariwala”.

Mariwala said a detailed account of such encounters would now be open to public through his book. “In the six decades of building Marico, I’ve had countless struggles and failures. And through every failure, I’ve learnt countless lessons. Every lesson has come together to create what people now perceive as success,” he wrote in his f irst Insta post.

However, what has already been established is if “Parachute was a pure coconut oil, Hindustan Lever would be a ‘me too’ at best,” Penguin noted. According to it, not underestimating the competition — a crucial lesson that the industry veteran swore by — was also his key success mantra.

According to Mariwala, the tycoon, who now has $3.3 billion net worth (as per Forbes), tasted multiple failures from the very beginning but continued to learn from each of them and eventually grow.

“I am a commerce graduate from Sydenham College, Mumbai. When I completed my graduation, I had applied to many business schools in India. For better or for worse, I didn’t get through to any of them,” he wrote. When Mariwala’s proposal of studying abroad was thoroughly rejected by his father, he ended up joining the family business in 1971.

“I asked my father if I could go abroad for further studies; but for reasons best known to him, he refused. In those days, contradicting one’s parents wasn’t really an option! So, I joined the family business and began a different kind of education! As they say, life always has a plan. I had an insatiable hunger to learn, to understand the business and grow. In the six decades that I’ve spent working, I’ve had uncountable successes, failures and learnings. I’ve tried to bring them together in a book, hoping that it helps others who are pursuing their own entrepreneurial dreams,” he wrote on Instagram.

Since his entry into business and eventually founding Marico and Kaya, the Mariwala-led group has grown into becoming one of the top10 FMCG companies in India’s ~4.5trillion a year market. And Marico’s revenue has swelled to over ~8,000 crore a year.

“IN THE SIX DECADES THAT I’VE SPENT WORKING, I’VE HAD UNCOUNTABLE SUCCESSES, FAILURES AND LEARNINGS. I’VE TRIED TO BRING THEM TOGETHER IN A BOOK, HOPING THAT IT HELPS OTHERS WHO ARE PURSUING THEIR OWN ENTREPRENEURIAL DREAMS” HARSH MARIWALA, founder and chairman, Marico