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Blue Star was founded in 1943 by Mohan T Advani, an entrepreneur of exemplary vision and drive. The Company began as a modest 3-member team engaged in reconditioning of airconditioners and refrigerators.Within three years, the Company obtained the sole agency of US-based Melchoir Armstrong Dessau Company and several other companies manufacturing airconditioning and refrigeration equipment. Shortly after, the Company was selected by Worthington, the US leader in airconditioning, as its India based partner - these were the first of numerous foreign associations to follow. An expanding Blue Star then ventured into the manufacture of ice candy machines and bottle coolers, and also began the design and execution of central airconditioning projects. This was followed by the manufacture of water coolers. In 1949, the proprietorship company set its sights on larger expansions, took on shareholders and became Blue Star Engineering Company Private Limited.

Ever since, there has been a constant and profitable growth. Blue Star diversified and tied up with agencies for Material Testing Machines and Business Machines. The export arena beckoned and the Company began exporting water coolers to Dubai, where, in fact, 'Blue Star' soon became the generic name for water coolers.As its Indian presence reached greater heights, the Company began building determinedly upon its existing overseas presence. Blue Star set up a joint venture with Al Shirawi in Dubai and went on to execute some outstanding projects in Syria, Iraq and Saudi Arabia. To complement its airconditioning projects and undertake turnkey industrial projects, an Industrial Division was set up in 1978.

Always moving with the times and ever on the lookout for business possibilities, Blue Star next set up a software export unit at Seepz, Mumbai in 1983. This was followed by associations with more global leaders - a collaboration with York International of USA for central airconditioning equipment and joint ventures with Motorola and Yokogawa.