Kerala is one of the largest producers in India. Though they started with nothing, their once stagnant economy has grown and developed. Before we go into Kerala’s economy in detail, let’s learn some facts about Kerala first.

Facts About Kerala State

Kerala is located on the Malabar coast. The capital of Kerala is Thiruvananthapuram. It is surrounded by land and water. They have an abundance of resources.

Kerala boasts about its growth and contribution to India’s GDP and revenue. It has employment opportunities. It is rated #9 in terms of GDP. For 2020, Its GDP was ₹9.78 lakh crore which is $130 billion in US dollars.

Kelara is one of the cleanest state in India. It is also famous for its beautiful environment and art forms that have not been upset by humans. The area is serene and great for relaxation.

Classification Of The Economy Of Kerala State – Industry

The economy of Kerala state can be classified into the following groups:

  • Agriculture and livestock: These are very common in India. Agriculture has been a source of revenue for the people of Kerala. Through crop and livestock farming, they can feed the people, not just those in Kerala but other parts of India. They are involved in the production of natural rubber, nutmeg, pepper, coconut, rea, cashew, coffee, cinnamon, and some other spices. This part of the industry requires a huge labor force.
  • Petrochemicals:  Kerala has a refinery in Kochi. This refinery is one of the biggest in India. It also refines oil. This way important oil and petrochemical products like petrol, cooking gas, oil, tar, asphalt, bitumen, and so on are available not just for cooking but for construction too. Kochi refinery also helps to market these oil and petrochemical products.
  • Shipbuilding: Many people don’t know this but India builds ships. The shipbuilding company is found in Kerala is  called Cochin Shipyard. It is a government-owned company that was founded in 1972. The company doesn’t just build ships, it also repairs ships and other vessels. This industry doesn’t just build ships for exporting or work. The Indian navy has many times used these ships for several purposes.
  • Chemical industry: this part of the industry is very important. They are responsible for creating chemicals and chemical compounds. These products are then used for further production of other goods.FACT  is a company that deals with chemicals in Kerala. They produce chemical products like insecticides and pesticides, chemicals for processing rubber, chromium and zinc chemical compounds, and a few leather products.
  • Handloom industry: this is a very big industry in Kerala state with over 15 000 weavers working in more than 10 mills. This sector of Kerala’s economy is still unofficial as a part of India’s economy. They are very unorganized however they are very productive. They fall under the textile and handloom directorate. Apart from handlooms, there are spinning mills too. With 17 000 looms and mills, handloom contributes a huge sum to the income of the Kerala state.
  • Bamboo industry: this is another big industry in Kerala state. In general, India is the second-largest producer of bamboo in the world and Kerala state contributes to this production. The bamboo industry in Kerala state is dominated by females. The Kerala State Bamboo Corporation handles the planting and manufacture of bamboo in Kerala state. Bamboo is also grown in homesteads. Over 500 000 tons of bamboo are grown annually from homes. The Kerala State Bamboo Corporation produces bamboo and pulp that is used in the further manufacture of paper. There are over 30 bamboo depots that sell wholesale. They also produce flattened bamboo boards. All these are sold within India and also exported to other countries.
  • Handicrafts and artworks: Kerala state is known for its beauty and artwork. The handicrafts come from people of different cultures. They are passed from one generation to another. These handicrafts are not only done for households and small market sales.  Agencies like the Artisans Development Corporation and the Handicrafts Development Corporation support the production of handicrafts and sell them throughout India. They also sell to tourists. Some of these crafts are reed weaving, bamboo weaving, straw-picture making, mar weaving, ivory casting, coconut shell carving, and so on.
  • Tourism industry: this industry is booming. Kerala’s beautiful beaches, wildlife sanctuaries, coasts, backwaters, temples, mountains, and tranquil landscapes draw tourists from all over the world. Popularly visited places in Kerala state are Ponmudi, Munnar, Kovalam, Alappuzha, Nelliampathi, Kozhikode, Thrissur, and Fort Kochi. Although 90% of tourists are domestic tourists, the other 10% are international tourists from all over the world. Handicrafts and artworks are sold to them. It is a source of revenue and employment for Kerala state and even India. 

List Of Industrial Agencies In Kerala State

  1. Traco Cable Company.
  2. JAJ Equipment Industries.
  3. Parisons Group of Companies.
  4. Darvaas Industries.
  5. JR Rubber Industries.
  6.  Kerala Minerals and Metals Ltd.

Conclusion

Kerala is a state in India. They have a buoyant economy as a state and contribute a lot to the total revenue of India. We looked at the classification of the Kerala industry. It is broken into components. They are the Handloom industry, shipbuilding, chemical industry, petrochemicals, agriculture and livestock, handicrafts and artworks, bamboo, and tourism. There are also industrial agencies in Kerala that supervise the production of goods and services.