A few minutes into my interview with Harindarpal Banga, I get to the question that’s been on my mind since I started reading up on him. How did the Chandigarh boy who turned first-generation entrepreneur master the market cycle?
Harry, 69, as he is known to friends, had spent his career in shipping and commodity trading. In the 1980s, he and his partner, Noble group chairman Richard Elman, went on to create from scratch the largest commodity trading firm in Asia. From seven people in a tiny room in Hong Kong, the firm went on to pioneer commodity trading in China. By early 2010, its market cap had risen to $11 billion.
Along the way, the Amritsar-born Banga and Elman had seen China transform itself into the world’s second-largest economy. As it went from producing 150 million tonnes of steel a year to 600 million in the 2000s, the ensuing commodity supercycle was one the world had never seen nor is likely to see again. Banga was in the thick of things travelling across China, staying in rest houses without heat or running water, forming relationships with steel mills that would last a lifetime.
In those heady days, the iron ore shipment that Noble had sent from Goa to China for $12 a tonne in the 1990s was being sold at $200 a tonne. The market was somewhere close to the top. “When you start seeing this for things that are essentially picked from the ground and shipped out, you start thinking isn’t this [price] enough?” asks Banga. Global miners Rio Tinto, BHP and Vale had chosen to expand capacity furiously in a peaking market.
This story is from the July 17, 2020 edition of Forbes India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the July 17, 2020 edition of Forbes India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Home-Cooked Meal Is Now Greatly Valued
The pandemic has also brought with it an improved focus on hygiene, use of technology in dining, rise of cloud kitchens and resurgence in popularity of Indian ingredients
Paytm 3.0 - Reaching Near Breakeven In Two Years
As of 2020, Vijay Shekhar Sharma’s super app for financial services had run up losses in thousands of crores. Now, as digital payments gets yet another boost courtesy Covid-19, he’s hopeful of reaching near breakeven in two years
THE PANDEMIC HAS CAUSED WOMEN GREATER LABOUR PAIN
Covid-19 has shown that women are more likely to face the brunt of job losses than men, and find fewer opportunities when they want to resume. That apart, several have to deal with increased hours of unpaid work at home and even domestic abuse
LEADERSHIP WILL BE ABOUT SEEING THE BIGGER PICTURE
Leaders must not only guard their teams first during a crisis, but also deal with stakeholders with respect and dignity. And apart from pursuing business goals, they should remain committed to our planet and the environment
PHILANTHROPY SHOULD BE HUMBLE, BUT NOT MODEST
Apart from building a flexible and resilient framework for the future, philanthropists, civil society and the government must work in tandem so that every rupee is absorbed on the ground
INTEGRATED HEALTH CARE, TECH WILL DISRUPT SECTOR
While clinical research will get a boost, having a skilled workforce and public spending on health care will be challenges in the near term
DIGITALISATION WILL HELP IN VALUE CREATION
As the pandemic brings technology and innovation to the core of business and daily life, the next decade will see about 150 million digital-first families in India
Industry 4.0: Climate Revolution?
Augmenting sustainability alongside digital capabilities is an economic, competitive and global opportunity for India’s businesses, but regulations need to reflect intent
EV Dream Still Miles Away
Electric vehicles have remained a buzzword in India for years. But not much has moved on ground due to high upfront costs, range anxiety and charging infrastructure
Living Waters
A virus has caused us to scramble for oxygen but our chokehold on the environment is slowly strangling the very waters that breathe life into us. The virus is a timely reminder: We are merely consumers, not producers of life’s breath on this planet
