The Kerala government has, in its ambitious export policy announced on Tuesday, flagged 13 focus areas for boosting exports from the state.
The Kerala Export Promotion Policy 2025, which aims to turn the state an export hub, offers to support exporters in exploring new opportunities and expanding their global presence. It also aims to enable Kerala's exporters to leverage the state’s advantages like natural resources, skilled labour and cultural heritage. The policy says export zones will be developed in selected areas.
The policy identified 13 key areas for boosting exports. These are: Spices, horticulture, agricultural products; shrimp and other marine products; processed food products; engineering goods; petrochemical products; organic and inorganic chemicals; textiles and garments; defence and aerospace; electronics and allied manufacturing; ancillary engineering and technology; ayurveda and pharmaceuticals; services like IT and healthcare; and those Kerala products which have received the GI (geographic indication) tags.
The policy says attempts will be made to facilitate collaboration between industry, academic institutions, and research centers. Environmentally friendly practices will be prioritised.
The policy urges the government to concentrate on improving logistics, transportation, and connectivity to promote exports. Efforts will also be made to spot opportunities for both traditional and emerging exporters. Kerala’s will step up its presence at international trade fairs to showcase its potential.
The government will provide a 25% subsidy for setting up infrastructure facilities, such as cold storage units, warehousing, and logistics, with a cap of Rs 1 crore. Export units will receive an incentive of 1% of the Free On Board (FOB) value for three years. For meeting transportation and handling charges at ports, a 50% incentive will be offered for the first five years. This would start with the export unit's first export, with a maximum cap of Rs 15 lakh.
The policy wants the government to promote consortia or clusters of small and medium export enterprises. A digital export platform to link exporters with international buyers will be set up by the government.
The export policy hopes it will drive economic growth across the state.