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Policies and Initiatives: State of Food Processing Industry In Kerala
Food Infotech
|October 2025
Kerala is a coastal State located in the southwestern region of India.
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It is strategically positioned on a transnational trade corridor. The state is also known as "God's own country" owing to its captivating landscapes. Kerala has a 590 km long coastline. It is situated between the Arabian Sea to the west and the Western Ghats to the east. The state has 17 notified non-major ports. The state has a tropical climate, abundant monsoons, and numerous water bodies, which greatly contribute to its agricultural prosperity. Agriculture plays a crucial role in the State's economic development. It embodies favourable altitude variations, making it an agriculturally prosperous State in India. Kerala's competitive advantage lies in its favorable location, excellent infrastructure, progressive governance, policies that attract investors, responsive administration, and a large pool of skilled, educated, and youthful workforce.
State of the Food Processing Sector of Kerala
The Indian food-processing sector has witnessed remarkable growth during the last 9 years ending 2023-24. The sector has been growing at an Average Annual Growth Rate (AAGR) of around 6.55% as compared to around 6.06% in manufacturing at 2011-12 prices. The sector constituted as much as a 7.93% share of FPI in the manufacturing sector in 2023-2024. It is also one of the largest employment providers in the organised manufacturing sector, with 12.91% employment in the total registered/ organised sector. Kerala, being a coastal state and rich in natural resources, promises better conditions for the food processing industry to thrive. It has the following advantages.
Advantage Kerala
Kerala's food processing sector offers various opportunities, such as frozen meat products, ready-to-eat products, processed spices, ready-to-drink beverages (coffee and tea), and rice.
This story is from the October 2025 edition of Food Infotech.
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