Strategic Industries

AI, Robotics & Breakthrough Technologies

Kerala is ambitiously working to build a strong AI, Robotics & Breakthrough Technologies ecosystem, with a strategic emphasis on developing a skilled workforce. The state’s solid educational infrastructure, which includes premier institutions like the Indian Institute of Technology (IIT) Palakkad and the Indian Institute of Information Technology (IIIT), makes Kerala a potential hub for sectoral education and specialized training. These institutions play a pivotal role in equipping a new generation of professionals for the demands of the sector.

Notably, Kerala’s first silicon-proven AI chip, the Kairali AI Chip, was designed by Digital University Kerala during 2024, marking a significant achievement in the state’s journey toward technological self-reliance. Kerala's dynamic startup ecosystem further enhances its sectoral ambitions, with over 20 IoT labs and additional facilities fostering innovation and collaboration. FutureLABS, within Maker Village, catalyzes an ecosystem for next generation chip design, manufacturing, and research. Innovations like Genrobotics' 'Bandicoot,' the world’s first robotic scavenger, reflect Kerala’s drive to leverage technology for impactful solutions. Together, these initiatives position Kerala as a rising powerhouse in India’s AI, Robotics and breakthrough technologies landscape.

Aerospace and Defence

Kerala’s industrial sector is on a strong growth trajectory, with projections indicating it could reach $15.1 billion by 2028. The state has become a significant contributor to major national projects, with MSME entities from Kerala supplying components for prestigious space missions, including Chandrayaan and Mangalyaan. Kerala’s government-owned enterprise, KELTRON, further adds to this expertise, providing critical supplies to defense and research organizations such as HAL, DRDO, and NPOL.

The state boasts the presence of renowned industry giants, including ISRO, VSSC, LPSC, IIST, IIRS, and BrahMos, positioning Kerala as a critical hub for aerospace and defense research. Over 100 prominent domestic companies have also set up operations within the state, enriching its industrial landscape. Internationally, French aerospace leader Safran has established a base in Kerala, marking a significant milestone in attracting global players.

To support sector-specific growth, Kerala has developed dedicated infrastructure facilities such as a Defense Park in Palakkad, a Space Park in Thiruvananthapuram, and an MRO (Maintenance, Repair, and Overhaul) facility in Kannur. These dedicated parks and facilities are crucial in driving investment, innovation, and collaboration, making Kerala a prominent player in India’s industrial ecosystem.

Logistics and Maritime

Kerala’s maritime sector is a vital contributor to its economy, accounting for 10% of the state’s GDP. As a coastal powerhouse, Kerala is home to India’s first maritime cluster in Alappuzha and the Vizhinjam International ICTT, the country's first transshipment hub, strategically positioned near key international shipping channels that connect the Middle East and Southeast Asia.

Recognized as a fast-moving state in the Logistics Ease Across Different States (LEADS) Survey, Kerala has a diverse range of core maritime activities that include cargo handling, shipbuilding, ship repair, ship management, ship recycling, ship breaking, and ship registration. Cochin Shipyard is establishing a maritime cluster in Kochi, envisioning a ₹. 20,000 crore ecosystem that will drive substantial growth in shipbuilding and related services.

The state’s Logistics Parks Policy supports this vision by encouraging the development of logistics parks and mini-logistics parks across Kerala, fostering an efficient infrastructure that complements its maritime growth and strengthens Kerala's standing as a prominent player in India’s logistics and maritime sectors.