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KNOW INDIA
Kerala
Economic Infrastructure
Finance, Economic Zone
Major Industries
Major Industries1
Policy Framework
Social Infrastructure

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INDIAN STATE : KERALA

General Information

The state of Kerala is situated at the southwestern tip of India bordered by TamilNadu and Karnataka. Kerala is enchantingly a beautiful state and is often coated as "Gods Own Country".Kerala lies beautiful and benign, along a sun drenched coastline, to the extreme south west of the Indian peninsula, flanked by the Arabian sea on the west and the mountains of the Western Ghats on the east, this land of Parasurama stretch north-south along a coast line of 580 kms with a varying width of 35 to 120 kms. Cascading delicately down the hills to the golden coasts covered by verdant coconut groves, the topography and physical characteristics change distinctly from east to west.The state of Kerala is located between north latitudes 8 degree 18' and 12 degree 48' and east longitudes 74 degree 52' and 72 degree 22.

Fact File

Geographical Area 0.39 (Lakh Sq Km)
Capital Thiruvananthapuram
Population (2001 Census) In lakhs 318.41
Percentage of State Population to All India Population 3.10
Gross state domestic product at current prices (2004-2005) US$ 21.7915 bn
Gross state domestic product at constant prices (1993-1994) for 2004-2005 US$ 11.0402 bn
Net state domestic product at current prices for 2004-2005 US$ 19.3877 bn
Net state domestic product at constant prices (1993-94) prices for 2004-2005 US$ 9.54883 bn
Per capita income at current prices (2004-2005) US$ 586.26
Literacy rate · Male· Female 90.8694.2487.72

Source: CSO
Economic Survey of Maharashtra (2005-06)

Advantage Kerala

  • Bounty of natural resources
    • Rich fertile soil
    • Temperate climate
    • Rich marine life
    • Large reserves of mineral deposits and beach sands containing the riches concentration of zircon, monazite, sillinmanite

  • Most advance state in terms of literacy, education and health

  • Strategically located state on the trans- National trade corridor

  • Well connected infrastructure in terms of:
    • Three international airports at Thiruvananthaturam, Kozhikode, and Cochin
    • International sea port with container cargo handling facility at Cochin
    • Well integrated road and rail network

  • Human resource advantage
    • Highest density of science and technology personnel in India
    • Lowest employee attrition rate in the country - <5%
    • Ongoing training for ITES HR pool

  • The cost advantage
    • A fully burdened cost of just $8 per hour when compared to the global average of $15
    • Salaries - 1/5th of the international average
    • Operational costs less than 50% when compared to the other major IT Parks
    • Rentals lower by more than 60%
    • Power and water tariff among the lowest in the country

  • Communication advantage
    • 100 per cent of 988 telephone exchanges are digital
    • 98 per cent of telephone exchanges connected by OFC to the National Internet Backbone (NIB).
    • Malappuram - First wifi district in the country
    • VSNL's primary international gateway in India is in Kochi and this gateway handles around two third of the country's data traffic

  • Proactive government policies and pro enterprise incentives

  • Simple and transparent procedures for investment

  • Services sector accounts to close to two thirds of the Kerala economy

Thrust Areas

Mineral and Clay based products

  • Presence of substantial quantities of silica, quartz, china clay, graphite, granite
    Agriculture and Horticulture Produce
  • Coconut
  • Rubber
  • Herbals
  • Black pepper
  • Cardamom
  • Cashew nut

Traditional Industries

  • Coir
  • Cashew
  • Handicrafts
  • Tobacco
  • Spices and Spice extracts

Tourism

  • Ayurvedic Centres
  • Eco-tourism
  • Adventure-tourism
  • Boat houses
  • Amusement and water parks
  • Handicrafts emporia
  • Food courts and restaurants
  • Beach resorts

Auto Components

  • Emergence of a number of auto giants such as Ford and Hyundai at Chennai
  • Good scope for the establishment of ancillary units.
    Marine Products
  • Modern fishing harbour at Thengaithittu, Pondicherry. and also at Karukalacheri, Karaikal in the pipeline.
  • Large untapped potential for processing units.
  • Good scope in shrimp culture and crab farming

Agro Processing

  • Sought after destination for Agro Food processing
  • Scope for floriculture ventures like cut flowers and for cultivating medicinal and aromatic plants.
  • Good potential for Guava pulp and processing units.
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