After inauguration of Vizhinjam port, Kerala govt now seeks to speed up industrialization
A key move in this direction is the long-awaited Special Investment Region (SIR) Bill, which aims to replace traditional land acquisition with a more investor-friendly land pooling mechanism. According to the industries department, the bill is set to be tabled in the next assembly session. SIR is an area designated by a govt to attract and facilitate investments, often offering incentives and regulatory frameworks tailored to specific sectors or industries.
The bill is currently under review by the local self-govt (LSG) and revenue departments. Once their inputs are incorporated, the state cabinet will approve the draft before tabling it in the next legislative assembly session.
"The state govt is very serious about port-led industrialisation, which is why the process is moving quickly," said APM Mohammed Hanish, principal secretary of the industries department.
by Taboola
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The bill was earlier expected to be presented in a previous session but was delayed due to suggestions and revisions from the LSG department.
Meanwhile, the
Vizhinjam port
is drawing a wave of investments in the vicinity. Dubai-based Sharaf Group, a major investor, has expressed strong interest in setting up an inland container terminal near the port. Several logistics firms are also scouting for large land parcels to develop container freight stations, logistics parks, and warehouses. To facilitate this,
Kinfra
— an agency under the Industries Department — is actively identifying suitable land, including 100 acres for Sharaf Group. It is also exploring over 250 acres for developing an industrial park in the vicinity of the port.
Capital Region Development Programme-II (CRDP), the consultant of the state govt, is collaborating with the industries department to implement the OAGC, a strategic corridor aligning with the proposed Outer Ring Road (ORR) from Vizhinjam to Navaikulam. CRDP submitted a comprehensive masterplan last year, which includes a draft report for the creation of the SIR and development of industrial zones.
The 78-kilometre ORR will pass through eight proposed economic clusters — Vizhinjam, Kovalam, Kattakada, Nedumangad, Vembayam, Mangalapuram, Kilimanoor, and Kallambalam. These clusters will initially be managed by a govt-formed special purpose vehicle (SPV), which will later partner with private co-developers to execute projects.
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