Nair, 83, breathed his last in a city hospital where he was admitted for old age-related ailments on February 22, hospital sources said.
He is survived by two sons and a daughter.
Fondly called the 'celluloid man' of Indian film industry, Paramesh Krishnan Nair carved a niche for himself as a pioneering archivist who founded the National Film Archives of India (NFAI) to preserve for posterity the country's cinematic heritage.
However, later he turned his focus to the academic side of cinema and became an assistant film curator of Pune's Film and Television Institute of India (FTII) in 1965.
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It was out of his passion for movies and deep knowledge of Indian film industry that the NFAI was set up. As part of this process, he travelled extensively abroad, including Europe, America and the then Soviet Union.
Like a haunted man consumed by the cause dear to his heart, Nair acquired over 12,000 films, including 8,000 Indian movies and the rest foreign, which he preserved in NFAI.
He avidly screened and watched the old films in the NFAI's mini-theatre which he could recount reel by reel with its contents.
NFAI's present director Prakash Magdum paid tributes to Nair, saying his contribution to the archives was immense.
The mortal remains of Nair will be kept at NFAI tomorrow morning before cremation for the people to pay their respects, Magdum said.
A notable feature of his work was the nine silent movies made in India which he acquired and archived notwithstanding the ravages of time that had taken toll on the film prints.
Other landmark Indian movies for the archiving of which he
was instrumental included Bombay Talkies' "Jeevan Naiya", "Bandhan", "Kangan", "Achhut Kanya" and "Kismet", S S Vasan's "Chandralekha" and Uday Shankar's "Kalpana".
Tributes started pouring in as soon as the news of Nair's passing away spread.
"Nair sahab's demise is an unparallelled loss to the Indian film industry and the film archiving movement," FTII Director Prashant Pathrabe told