Professor Appadurai was born and educated in Bombay. He graduated from St. Xavier's High School and earned his Intermediate Arts degree from Elphinstone College before coming to the United States. He earned his B.A. from Brandeis University in 1970, and his M.A. (1973) and Ph.D. (1976) from the University of Chicago.

During his academic career, he has held professorial chairs at Yale University, the University of Chicago, and the University of Pennsylvania, and has held visiting appointments at the Ecole des Hautes Etudes en Sciences Sociales (Paris), the University of Michigan, the University of Iowa, Columbia University and New York University. He serves on several scholarly and advisory bodies in the United States, Latin America, Europe and India. He has authored numerous books and scholarly articles including Fear of Small Numbers: An Essay on the Geography of Anger (2006, Duke University Press) and Modernity at Large: Cultural Dimensions of Globalization, (1996, University of Minnesota Press; 1997, Oxford University Press, Delhi). His previous scholarly publications have covered such topics as religion, cuisine, agriculture and mass culture in India.

He is one of the founding editors, along with Carol A. Breckenridge, of the journal Public Culture and was the founding Director of the Chicago Humanities Institute at the University of Chicago (1992-1998), during which time he held the Richard J. and Barbara E. Franke Professorship. He is one of the founders of the Interdisciplinary Network on Globalization, a consortium of institutions in various parts of the world devoted to the study of global politics and culture.