Brewing a Century of Heritage: Rudra Chatterjee and the Legacy of Luxmi Tea

Founded in 1912 by Paresh Chandra Chatterjee as an act of economic defiance against British colonial rule, the Luxmi Tea Group has woven a century of heritage and resilience into the fabric of Indian entrepreneurship, with its current leader, Rudra Chatterjee, stewarding a legacy that extends far beyond tea.

The company’s origins involved circumventing British-controlled auctions by selling green tea in Amritsar and relying on a parallel banking ecosystem, a spirit of innovation that Chatterjee continues today by modernizing tea culture and expanding into the home furnishings brand OBT, which celebrates India’s diverse artisanal heritage. Under his guidance, the business philosophy emphasizes long-term resilience and adaptability over short-term gains, viewing wealth creation as a tool for profound social impact and legacy, ensuring that the company not only honors its deep roots in India’s freedom struggle but also builds a foundation for future generations to innovate and lead with purpose.

Brewing a Century of Heritage: Rudra Chatterjee and the Legacy of Luxmi Tea  

How a cup of tea became a symbol of Indian resilience and entrepreneurial spirit. 

Roots of Rebellion: The Freedom Struggle in a Tea Cup 

In 1912, when the tea industry in India was predominantly British-controlled, Paresh Chandra Chatterjee founded Luxmi Tea as an act of defiance against colonial rule. At a time when tea production was characteristically British—complete with “sola toupees, burra sahebs and sundowners”—Chatterjee envisioned an Indian enterprise that would break the British monopoly. 

He gathered Assamese and Bengali students associated with the freedom movement and established his operation in Tripura, far from the British-dominated centers of tea production. This was no ordinary business venture; it was what we might now call a form of economic satyagraha, using Indian tea as a tool in the broader movement for self-reliance. 

The challenges were substantial. The existing infrastructure was overwhelmingly British-controlled, and teas not part of the British system often weren’t accepted at the prestigious Calcutta auctions. The innovative solution was distinctly Indian: growing green tea and selling it in Amritsar, effectively circumventing the British-controlled Kolkata auctions. Financial support came from a “parallel ecosystem” of revolutionary banks, including what would eventually become United Bank. 

This spirit of resilience and innovation in the face of systemic barriers defined Luxmi’s early years. As Rudra Chatterjee, current Managing Director and grandson of the founder, noted: “While the British had a system, they didn’t ban production of tea, but they had a system that only worked for them and companies like ours had to evolve a new system that worked for us.” 

The Evolution of an Empire: From Founding Principles to Modern Operations 

Quality as Revolution 

From its inception, Luxmi Tea established an uncompromising commitment to quality that became part of its revolutionary identity. PC Chatterjee’s first capital investment wasn’t in machinery or infrastructure but in a family of elephants whom he doted on like his children. These elephants served a practical purpose beyond transportation—they could identify and uproot inferior tea bushes with their trunks, ensuring only the best plants remained. 

This early emphasis on quality control drew curiosity from British management agencies who found Luxmi’s processes “curious.” But since the company was achieving the best prices at Calcutta auctions while maintaining its distinctive approach, they “chose to remain different”. 

Growth and Expansion 

Under successive generations, Luxmi Tea has grown from its rebellious beginnings into a substantial enterprise: 

• Production scale: The company now produces approximately 23 million kilos of tea annually 

• Global presence: Operations span 25 tea estates across Assam, Tripura, and Darjeeling in India, plus estates in Rwanda 

• Workforce: Employs more than 50,000 people 

• Market position: A Rs 480-crore company that supplies major domestic brands like Tata and HUL, and international players including Taylors of Harrogate and Twinings 

Modern Innovations with Historical Roots 

The company continues to blend tradition with innovation. Their Makaibari estate, acquired in 2013, houses the world’s oldest tea factory and was the first Fairtrade Certified tea estate. Here, they produce India’s most expensive tea, Silver Tips Imperial, whose plucking period is based on the celestial calendar. The company believes that “the air’s high oxygen content and cosmic confluence during a full moon night produces a delicate, smoother tea leaf taste”. 

In a full-circle moment, this same tea was gifted by Prime Minister Narendra Modi to Queen Elizabeth during his visit to Buckingham Palace in 2015. 

The Steward of Legacy: Rudra Chatterjee’s Visionary Leadership 

Rudra Chatterjee, the third-generation leader of Luxmi Tea, brings a unique perspective shaped by both family legacy and global education. With an MBA from Columbia Business School and a Master’s in design history from Oxford University, he combines business acumen with cultural understanding. 

Business as Social Impact 

Chatterjee’s leadership philosophy extends beyond profit to encompass social business principles. Influenced by Nobel laureate Muhammad Yunus, with whom he interned, Chatterjee believes in empowering workers through practical initiatives. 

Under his guidance, the company has: 

• Opened the Taj Chia Kutir Resort & Spa at their Maikaibari tea estate in Darjeeling, boosting tourism and the local economy 

• Enabled tea estate workers to build rooms in their homes that they can rent to tourists who cannot afford stays at the Taj 

• Encouraged workers to grow ashwagandha, turmeric and tulsi which Luxmi buys for their flavoured teas 

• Invited the Bill and Melinda Gates Foundation to explore ways to supplement incomes of tea workers 

Cultural Connection and Market Vision 

Chatterjee possesses a nuanced understanding of India’s relationship with tea, seeing it as more authentically integrated into daily life than coffee. “The way Indians engage with tea is far more authentic and Indians have made tea their own,” he observes. While coffee culture booms in India, he notes that “I would rather be in tea than in coffee because it is something which Indians really feel as their own.” 

He sees the centuries-old tradition of tea stalls as India’s “social network before Facebook” and believes the industry should honor this deep cultural connection while modernizing consumption patterns. The acquisition of Brew Tea, a high-quality subscription-based tea company in the UK, demonstrates this dual approach of respecting heritage while embracing contemporary business models. 

Weaving a New Narrative: The Expansion into Home Furnishings 

Under Rudra Chatterjee’s leadership, the group has expanded beyond tea into home furnishings with Oaklay, Bowen and Taylor (OBT), a century-old brand that has evolved from carpet making into a holistic home furnishings company. This venture reflects the same philosophy of celebrating Indian heritage while meeting modern needs. 

OBT collaborates with top Indian designers to create unique pieces like chikankari rugs or Jamawar shawl-inspired carpets, celebrating India’s rich textile heritage. Chatterjee explains the vision: “Our view is that your home… for an Indian person especially is a place that you have your own individuality.” 

He observes that as home architecture becomes increasingly standardized, textiles, furniture, and carpets become the primary means for homeowners to express their personality. Unlike corporate furniture makers seeking uniform global designs, OBT celebrates India’s “multi-layered cultures” where “there is not one size, one design, one colour that fits all of us.” 

Cultivating Resilience: Business Philosophy for Uncertain Times 

In an era of global uncertainties—from geopolitical conflicts to trade tensions—Chatterjee offers a perspective on resilience rooted in the Indian entrepreneurial experience. He believes Indian businesses, particularly family-run enterprises, possess inherent adaptability developed through navigating historical volatility in policies and environments. 

This long-term, adaptive mindset contrasts with the “quarterly mindset” and “just-in-time inventory” models prevalent in Western business, which often prove fragile during disruptions. “Indian business people are extremely adaptive,” he notes, addressing challenges such as recent U.S. tariffs affecting Indian sectors like textiles, jewellery, and seafood. 

His approach to volatility is pragmatic: “Tariff I think is a very blunt instrument. It hopefully is a temporary measure. What is going to be the source of volatility is unknown. But our businesses have to be resilient and in some ways build off those volatilities.” 

This resilience is reflected in India’s broader trade performance. Despite global uncertainties, India’s total merchandise exports rose by 2.9% during April to September of FY26 to $220 billion, with exports to the United States growing by 13% to $45 billion. The Indian government has supported this resilience with Rs 45,060 crore in support for exporters, including Rs 20,000 crore in credit guarantees. 

The Mindset of Legacy: Wealth, Impact and Intergenerational Success 

For Rudra Chatterjee, business success extends beyond financial metrics to encompass broader impact and legacy. He distinguishes his approach to investment in core businesses versus personal investments: 

• Core business investment: Characterized by decades-long commitment and focus on quality management 

• Personal investments: Managed by experts with same long-term mindset of preservation and growth 

• Start-up investments: Viewed as learning mechanisms and ecosystem building rather than purely financial returns 

He describes startup investing as a “long-term play” where he invests “an amount of money that I should be comfortable never seeing again.” 

Legacy Beyond Currency 

Chatterjee views legacy as the ultimate measure of success, with money serving as a tool for impact rather than consumption. He highlights the non-financial ROI of businesses like tea and home furnishings that employ thousands: “The impact that money can have on them is certainly a very high ROI. It may not be exactly financial but it’s life-changing with a relatively small amount of your profits on teas and pluckers is significant in terms of legacy.” 

This perspective is rooted in family example rather than financial pressure. His grandfather “led by example, not by money,” and Chatterjee wants to pass on a similar legacy to his children. He believes successful business families should provide a secure foundation from which the next generation can launch ambitious new ventures, rather than pressuring them to replicate past successes. 

The Infusion of Heritage: Lessons from a Century of Enterprise 

The story of Luxmi Tea and Rudra Chatterjee’s leadership offers enduring lessons for entrepreneurs and business leaders: 

• Purpose beyond profit drives resilience: The company’s founding mission of economic self-reliance provided a foundation that sustained it through challenges 

• Quality as differentiation: From elephants uprooting inferior bushes to celestial harvest calendars, uncompromising quality creates lasting value 

• Adaptability honors tradition: Modernizing business models while preserving cultural essence enables relevance across generations 

• Business as ecosystem: Viewing success through the lens of worker welfare, community impact, and cultural preservation creates sustainable enterprises 

As Chatterjee himself reflects on the extraordinary legacy his grandfather created, now spanning continents and generations, it’s clear that what began as an expression of freedom from the British Raj has truly come to stand for the freedom of spirit—in business, in culture, and in the simple, profound ritual of a perfectly brewed cup of tea.