Kerala has a fortunate record in building industrial infrastructure. To fully realise its development potential, the State has designed several new mega projects.
Kerala took a pioneering role in attracting private investments in building green fields when it built the highly successful Cochin International Airport. The large non-resident community, the increased attention Kerala has drawn as a tourist destination and booming industrial activity together call for more air connectivity for the State.
The fourth international airport in Kerala will come up at Mattannur in Kannur. The Government of Kerala has set up Kannur International Airport Limited, a special purpose vehicle, for the development of the green field airport. The project, which received ‘in principle’ clearance from the Ministry of Civil Aviation in February 2008, will be built over 2000 acres of land and will have a single runway, to begin with.
As per government Policy, 100 per cent FDI is permissible for airports and 100 per cent FDI under automatic route is permissible for greenfield airports; 100 per cent equity ownership by Non-Resident Indians (NRIs) is permitted and 74 per cent FDI permissible in cargo and non-scheduled airlines.
Kerala has 24 Special Economic Zones, of which nine have already been notified. Most SEZs are in various stages of implementation and offer investment opportunities for infrastructure developers. The Cochin Port Trust is setting up port-based SEZs in Puthuvypeen (285.84 hectares) and Vallarpadam (115.25 ha). The first one will be close to the ICTT at Vallarpadam while the second one will be near the LNG re-gassification terminal of Petronet LNG. The SEZs will host modern industrial cluster, logistic park, free trade and warehousing zone.