Thiruvananthapuram: The Kerala government has officially initiated ambitious plans to develop a sprawling industrial “Port City” around the Vizhinjam International Seaport, mirroring the successful development models of global hubs like Singapore and Dubai. The state has sanctioned ₹1.83 crore for preliminary expenses and approved the appointment of a consultancy to draft a comprehensive master plan for the mega-project.
The initiative aims to transform the region into a premier gateway for the nation’s freight traffic, fostering rapid industrial growth and creating extensive employment opportunities. While the Vizhinjam port has already serviced over 500 mother ships, its current operations are largely limited to transshipment—where containers are offloaded and transferred to smaller vessels. This model provides limited economic benefits beyond tax revenue.
To unlock the port’s true potential, the government’s master plan will focus on creating a robust ecosystem for export-import businesses, manufacturing, and assembly. The key challenge remains the availability of land, which has been a bottleneck despite significant interest from foreign and domestic investors.
The proposed Port City will include:
- State-of-the-art logistics parks, processing hubs, and transport corridors.
- Extensive warehouses, godowns, and large-scale storage facilities.
- Container freight stations, repair yards, and fuelling infrastructure.
- Dedicated banking and financial services.
Government to Lead Land Acquisition
To overcome the prohibitive cost of private land, where prices can reach up to ₹15 lakh per cent, the government will acquire land and lease it to entrepreneurs. The Kerala Industrial Infrastructure Development Corporation (KINFRA) has already identified 600 acres for this purpose. The Thiruvananthapuram Chamber of Commerce and Industries has also pinpointed 650 acres across various locations for potential investors.
The move comes as neighboring Tamil Nadu is aggressively acquiring land to leverage Vizhinjam’s potential. Tamil Nadu has already begun acquiring 2,260 acres in Nanguneri and 1,060 acres in Moolakaraipatti—both within 150 km of the port—to construct warehouses and industrial parks, highlighting the competitive urgency for Kerala to act swiftly.
The project is expected to attract an investment of ₹3 lakh crore and create at least 10,000 direct jobs, transforming a 1,456 sq. km. industrial area. Key sectors of focus include green hydrogen/ammonia production, seafood and agricultural exports, electronics, pharmaceuticals, and the development of new townships and tourism hubs across Thiruvananthapuram and Kollam districts.
