Kerala's New Industrial Mantra: Go Green, Go Global, Go Hi-Tech

The Kerala government has unveiled a suite of new policy initiatives under its New Industrial Policy (NIP), aimed at strengthening the state’s industrial ecosystem and attracting high-quality investments. The policies cover export promotion, logistics, environmental, social, and governance (ESG) standards, as well as a Hi-Tech Framework.

Industries Minister P. Rajeeve stated that these initiatives are designed to position Kerala as a hub for sustainable and technology-driven industries. Notably, the state’s pioneering ESG Policy encourages businesses to integrate sustainability and social responsibility into their operations, offering incentives such as tax benefits and subsidies. Key targets include achieving 100% renewable energy use by 2040 and carbon neutrality by 2050.

The Export Promotion Policy 2025 aims to boost exports to USD 20 billion by 2027–28, with a focus on emerging sectors like biotechnology, defence manufacturing, Ayurveda, and IT services. It also supports the creation of a unified ‘Made in Kerala’ brand to promote the state’s products globally.

Under the Logistics Policy 2025, Kerala plans to become a multimodal logistics hub, anchored by Integrated Logistics Parks across the state. The policy is expected to generate employment for 50,000 people and streamline goods movement across air, sea, rail, and road networks.

The Hi-Tech Framework supports innovation in advanced sectors including semiconductors, aerospace, robotics, and biotechnology. It proposes the development of manufacturing parks and R&D clusters along the Kochi–Palakkad–Thiruvananthapuram industrial corridor to drive next-generation industrial growth.

Together, these policies reflect Kerala’s strategic push toward a future-ready, innovation-led, and sustainable industrial economy.

News by Rahul Yelligetti.