The Nehru Cup international tournament was started by the All India Football Federation to provide international exposure to the Indian players. The brainchild of erstwhile AIFF president the late K. Ziauddin and and late secretary Ashoke Ghosh, it was first held in Kolkata in January 1982.

Thanks to Ghosh’s pioneering efforts, Indian football got its first sponsor — Boroline for the inaugural Nehru Cup. They paid the paltry sum of `1 lakh to become title sponsors. Crowd interest was massive and lucrative gate-money enabled the organisers make a substantial profit of `3.5 lakhs.
Since its inception in 1982, the Nehru Cup has played an important role in the history of Indian football. The Indo-Soviet treaty of August 1971 included sporting and cultural exchanges and so the USSR and the Eastern bloc regularly sent teams to participate, which, crucially, did not ask for payment in foreign exchange. So Indian football fans got to see classy teams like Hungary, Poland and Yugoslavia with players like goalkeeper Rinat Dassayev, midfielder Alexei Mikhailichenko (USSR), striker Smolarek (Poland) and striker Lazlo Kiss (Hungary), who played in the 1982 and 1986 World Cups. Argentina and Uruguay also took part.
Prior to the 1986 World Cup, international football was rarely shown on Indian television. So it was primarily the Nehru Cup that exposed the Indian players and fans to modern football tactics such as keeping possession, constant inter-changing of positions as well as the importance of speed, strength and fitness.
Till the mid-eighties most Indian teams still played in either the 4-3-3 or 4-2-4 formations. But after watching Argentina, Uruguay and the Soviet bloc nations, the Indian coaches’ approach to the game changed. For instance in the 1988 Nehru Cup, India — coached by Amal Dutta and Syed Nayeemuddin — played in the 4-4-2 formation for the first time.
The adverse affect of the tournament in the 1980s was that the home stars were no longer treated like demi-gods and attendance in local leagues even in football crazy Calcutta started declining. From 1982 to 1989, India won just once, upsetting below par Yugoslavia 2-1 in the 1982 Nehru Cup.
In the 20th century, India in 12 Nehru Cup tournaments, played 53 matches, won three, lost 36, drew 14, scored 31 and conceded 95 goals. The dismal success ratio was because of superior opposition.Till 1989, the event was organised annually. From 1991-1997 it was held biennially, due to AIFF’s paucity of foreign exchange, the disintegration of the Soviet Union and the fall of communism in East Europe.
The Nehru Cup then went into a hiatus for 10 years and returned in 2007. India have won the refurbished Nehru Cup thrice in 2007, 2009 and 2012 and in the 15 matches played won 10, drawn once and lost four times. This does not signify that the Indian football team has rapidly improved in the 21st century. Instead the template of the tournament has been changed. Former national coach Bob Houghton convinced the federation to invite countries, including few from South Asia, against whom India could compete.
So initially the tournament was used for exposure to international football but in the 21st century it has helped to build the brand of Team India.