Kerala’s industrial landscape is rapidly evolving, with eight new private industrial parks now fully operational. These parks, strategically located in Palakkad (3), Ernakulam (2), Kannur (2), and Idukki (1), have already attracted a substantial ₹1,750 crore in investments. This positive update was shared by Industries Minister P. Rajeeve during a recent Assembly session.
This ambitious private industrial estate project was launched to tackle the persistent challenge of finding suitable land for new industries across the state. The government actively supports this initiative, offering financial assistance of up to ₹3 crore for developing private land parcels of 10 acres or more into thriving industrial zones. In total, 448 acres of land have been designated for industrial use across the 37 approved parks.
Within these parks, businesses can establish standard design factories on plots as small as 5 acres. A significant advantage is that all benefits outlined in the Kerala Industrial Single Window Clearance Board Act apply to plots that secure a private industrial estate development permit. Furthermore, in 2023, the department relaxed its regulations, allowing individuals or families who own or lease a minimum of five acres to also apply for these development permits, opening doors for broader participation.
Government Support and Facilities
While ‘red category’ industries, as identified by the Kerala State Pollution Control Board, are not allowed, the state government provides crucial support for developing essential infrastructure. This includes assistance for constructing roads and ensuring reliable power and water supply. Financial aid of ₹30 lakh per acre, with a maximum cap of ₹3 crore, is available to developers. The flexibility of the scheme allows for the entire park area to be allocated to a single entity, or developers can manage an estate housing their own industrial unit or a collection of units. Additionally, these parks are expected to foster a vibrant ecosystem where ancillary units can naturally emerge alongside larger industrial operations.