kerala manufacturing company is transforming in a very fascinating way, blending traditional strengths with newer industries that promise a future of prosperity. The thrust of the state on biotechnology, electric vehicles, MedTech manufacturing, and advanced digital technologies underlines its pursuit of sustainable industrialization. “Make in Kerala” has been one of the strategic initiatives of the government to attract investment, support local entrepreneurs, and put Kerala on the competitive map at the national and global levels. These industrial area efforts are creating new opportunities in job creation, skill development, and technological advancements. With its rich biodiversity, skilled workforce, major industry area , and innovative mindset, Kerala is poised to emerge as a leader in sectors like aerospace, food processing, and recycling industries. This transformation goes beyond economic numbers; it becomes a sustainable and inclusive ecosystem in favour of businesses and communities at large, making Kerala an example of balanced industrial growth.
The manufacturing companies in Kerala has grown steadily, with its share of Gross State Value Added (GSVA) increasing from 9.8% in 2014-15 to 12.5% in 2019-20. This trend reflects a larger trend towards industrialization in the state, supported by efforts to improve the ease of doing business and support MSMEs [1]. An expert SEO company services in Kerala help your business thrive in the digital landscape.”
1. MSME Employment Opportunities:
– For the fiscal year 2019-20, 13,695 MSMEs by companies in kerala were set up with employment to 46,081 jobs. This again marks how crucial small and medium-sized enterprises are for providing jobs within the manufacturing sector in Kerala [1].
– The manufacturing of electronic components by companies in kerala experienced substantial growth, with employment rising from 2,930 workers in 2012-13 to 10,263 by 2016-17. Similarly, jobs in medical and dental instrument manufacturing by manufacturing companies increased from 1,023 to 3,207 during the same period [1]. These figures illustrate how specific companies in kerala within manufacturing can significantly contribute to employment.
– Whereas new companies in kerala are springing up and expanding, the share of employment in cashew processing, a traditional sector, has declined. The latter is due to structural reasons as well as the reluctance of the younger generation to stay in labor-intensive sectors in search of better opportunities elsewhere [1].
There are several problems that are blocking the way to job creation in Kerala’s manufacturing companies even though there have been some positive trends:
– Kerala has one of the highest rates of educated migration to Gulf countries, leading to a labor shortage in local companies in kerala This phenomenon creates a remittance-driven economy but also results in a diminished labor pool for manufacturing [2]. The migration trend not only affects immediate job availability in companies but also impacts long-term economic stability in manufacturing companies .
– The state has a relatively high wage rates compared to other regions in India. For example, the average wage for skilled laborers is much higher than the national average. This attracts migrant workers seeking better pay in better companies , but it also presents challenges for manufacturers, who may struggle to be profitable under such cost structures [3].
– With high literacy rates, Kerala’s workforce is the most conscious of its rights; therefore, there are possibilities of more frequent labor disputes and strikes between people and companies . These can significantly disturb the production processes, thereby discouraging future investments in manufacturing companies as well [3]. Like past events where Grasim Industries had to be shut down due to a labor dispute, such disagreements between the workforce and the owner affect business.
The jobs to be created in Kerala’s manufacturing companies depend upon various factors:
The launch of schemes like the Vyavasaya Bhadratha to revive MSMEs after the pandemic is one of the government policies to support employment opportunities by supporting small businesses [1]. Continuing to focus on policies that improve business conditions will be important. for sustaining top manufacturing companies.
– There is a prospect of further employment opportunities and sales in new sectors and enterprise like chemicals, electronics, and pharmaceuticals expand their wings in Kerala. For example, the expansion of BPCL-Kochi Refinery has scope for allied chemical industries to grow [1].
This would mean having adequate, robust training, and skill development programs for dealing with labor shortages as well as aligning workforce skills to industry needs in top manufacturing companies . Partnerships between educational institutions and manufacturing companies would help in achieving this.
While growth in the manufacturing sector in Kerala has led to an increase in jobs in emerging industries, some issues like migration trends, high labor costs, and problems in labor relations are big concerns. Through strategic government actions and a favorable climate for industrial development, it would be possible to address such issues and sustain jobs.
References:
[2] https://thesis.eur.nl/pub/41609/Kundu-Poushali-.pdf
[3] https://www.ijfmr.com/papers/2022/2/562.pdf
[5] https://spb.kerala.gov.in/economic-review/ER2017/web_e/ch311.php?id=31&ch=311
[6] https://spb.kerala.gov.in/economic-review/ER2015/Chapter3/chapter03.html
[7] https://www.jstor.org/stable/4396747
Kerala’s manufacturing sector sales is witnessing drastic change through the emergence of several newer industries. This is motivated by state initiatives to attract more innovative investment and enhance state capabilities to industrialize. Here are some emerging industries being developed in Kerala’s manufacturing environment:
The new industrial policy of the Kerala government stresses biotechnology and nanotechnology as the key focus areas. These sectors are likely to use the existing research and development base of the state to produce innovative products and solutions.
– Biotechnology: This industry is expected to grow with the development of pharmaceuticals, agricultural products, and biofuels using Kerala’s rich biodiversity and research institutions.
– Nanotechnology: The application of nanotechnology in many fields, from materials science to medicine, may open the door to developments in product design and manufacturing processes.
Kerala is encouraging the manufacture of electric vehicles (EVs) and their parts, such as batteries, as there is a big push toward sustainable transportation.
– Government Support: The state is implementing policies to support the establishment of EV manufacturing units and battery production facilities. This aligns with national goals for reducing carbon emissions and promoting clean energy.
– Investment Potential: The growing automotive sector in Kerala presents opportunities for local manufacturers to engage in EV production, which is expected to be a major growth area.
This policy involves the integration of advanced digital technologies such as artificial intelligence, the Internet of Things, and 3D printing as the core of Kerala’s industrial policy in creating an Industry 4.0 ecosystem.
– Smart Manufacturing: All these technologies will enhance productivity by automation, data analytics, and improved supply chain management.
– Innovation Hubs: Innovation hubs focused on these technologies will encourage start-ups and established companies to come together to develop innovative solutions.
Kerala’s push towards Industry 4.0 integrates advanced technologies like AI, IoT, and 3D printing. Learn how to create a structured approach with our https://techpullers.com/blogs/digital-transformation-roadmap.php
Kerala is now fast emerging as a big hub for medical technology (MedTech) manufacturing, driven by local entrepreneurs and growing demand for health care solutions.
– Market Growth: The turnover for medical device manufacturing in Kerala has risen to about ₹3,750 crore, a huge growth potential.
– Product Development: An increase is noted in the production of diagnostic equipment, surgical equipment, and other medical device that also caters to local markets.
A renewed focus is currently observed in the food processing sector within the state’s strategy toward building an agricultural sector.
Value Added Activities
Such programs intend to introduce value-added products ranging from packaged foods, organically produced items, as well as processed seafood.
Export Potential:
The state of Kerala’s agricultural wealth presents a considerable potential for exporting processed foodstuffs to other parts of the world.
The aerospace and defense sectors have been identified as among the priority areas for the development of Kerala’s industry.
– Investment Potential: Specialized units of manufacturing aircraft and defense equipment components would be likely to attract a lot of investments.
– Development of Skills: Ties with educational institutions will be a prerequisite to developing a skilled workforce to meet the requirements of these high-tech industries.
The light engineering sector, combined with electronics manufacturing, is also promoted through initiatives that focus on developing clusters for production.
– Variety of Products: It covers consumer electronics, electrical appliances, and components supporting growing technological products.
– Infrastructure Development: Dedicated industrial zones will help spur the development of these industries through available infrastructure and resources.
With the recent awareness on environmental issues, the recycling industries are focused more on e-waste and other solid waste recycling processes.
– Sustainability Orientation: Such industries seek to encourage sustainability by recovering recyclable material from waste products.
– Job Creation: Establishing recycling facilities not only addresses waste management issues but also creates job opportunities within local communities.
These new industries that emerge out of Kerala’s manufacturing show strategic intent to modernize and transform. Initiatives by the State such as Make in Kerala help create an innovation-friendly investment environment. With time, these sectors will lead Kerala to be one of India’s largest employers, simultaneously competing at the national and global level.
References:
[1] https://www.newsclick.in/kerala-industry-policy-aims-build-industry-40-ecosystem
[2] https://invest.kerala.gov.in/kerala-unveiled/discover-opportunities/make-in-kerala/
Kerala’s manufacturing sector is building a brighter economic future through new industries and sustainable practices. The state’s focus on innovation and modernization is reflected in the strategic sectors it focuses on, such as biotechnology, electric vehicles, and MedTech manufacturing. Through initiatives focused on investment, workforce development, and advanced technologies, Kerala is overcoming challenges and creating opportunities for businesses and communities alike. Such focus on sustainability, along with the strength of its skilled workforce and strong policy framework, gives Kerala a lead in terms of industrial development. This, in turn, will result in the state’s manufacturing sector playing a vital role in driving economic growth and enhancing global competitiveness while establishing a resilient foundation for future generations. The journey of Kerala reflects the power of forward-looking policies and collaborative efforts toward turning challenges into milestones for progress.