Kerala's industrial sector has many excellences and fundamental features even though it is geographically limited - The improvement of the industrial sector is as important as the social development indices which have been described as the Kerala model. It is a state with a high per captain come. It has the best pay structure at the national level and also Kerala’s movement is in the opposite direction of the common national trend, which is abandoning the public sector.
No other example can be pointed out other than strengthening and protecting traditional areas. We are at the forefront of modernization and the diversification of industries. It has an exemplary past of building India's first IT park and modern industrial establishments. Despite this, our industrial land is a political environment where imaginations, untruths, vested interests, and movie stories have been planted in the public consciousness.
Thus, the historical context in which Kerala enthusiastically leaped forward to dispel a myth that was created through the Entrepreneurial Year project was created.
On a global basis, MSMEs account for 90 percent of total business. MSMEs play a huge role in employment generation, and this is a powerful tool for future growth for a state like Kerala with the best connectivity, infrastructure, and high quality human resources. It is the most suitable sector for the development of rural, backward areas and the advancement of the marginalised community.
It is with this vision that the Department of Industries has announced a target of setting up one lakh MSMEs within a year. According to last year's Economic Review, 11,540 enterprises were newly formed in 2020–21 and 13,695 enterprises in 2019–20.
In 2022–2023, an estimated 1,22,637 enterprises will have been registered at this location. A historic achievement was achieved by registering 1 lakh enterprises in just 245 days after the project was launched. Now , as per the latest estimates, an investment of Rs 7498.22 crore has been mobilised from Kerala itself as part of these initiatives. 2,64,463 new jobs were created and this project has sought national recognition as a best practice in the country.
The 'Entrepreneurial Year Scheme' is a scheme that has started to create 1 lakh enterprises within a year. The fact that the project was started in April 2022 and completed in November has opened up the investment friendly environment of Kerala to the world. Till date, more than 10,000 enterprises have been started in Thrissur, Malappuram, Ernakulam, Kollam, Kannur, Palakkad, and Thiruvananthapuram districts through the Entrepreneur Year scheme. Alappuzha, Kollam, Kannur, Palakkad, Kozhikode, Thrissur, Ernakulam, and Malappuram districts were also able to provide employment to more than twenty thousand people. More than 22,000 jobs have been created in the industrially backward districts of Wayanad, Idukki, and Kasaragod, which underlines the good performance of the project.
Even if we look at the numbers in different sectors, the entrepreneurial year has brought great benefits to Kerala. 21,335 new enterprises came up in the agriculture-food processing sector. 1247 crores are invested.52,885 people got employment. 13,468 enterprises, investments totaling more than 555 crore rupees, and 27,290 jobs were created in the garment and textile sector. 4955 enterprises, 284 crore of investment, and 9143 jobs were created in the electrical and electronics sector. 7810 enterprises were registered in the service sector. 465 crore of investment and 17,707 jobs were created in this sector.
In the trade sector, 41,141 businesses, 2371 crores of investment, and 76,022 jobs were created. Apart from this, more than 30,000 enterprises in biotechnology, the chemical sector, and other sectors have also been started as part of the project. More than 30,000 enterprises led by women entrepreneurs have been started by providing special incentives as part of the Entrepreneurship Year scheme - It is an example of administrative efficiency that what was intended to be achieved within a year was achieved within eight months. In many ways, this is new
history in India itself.
There are many records created by the project, such as the short time taken to set up enterprises, the infrastructure provided by the government, and the number of women who have newly entered into entrepreneurship; national recognition has been given for such specialties. The project has created more than 2 lakh employment opportunities and has achieved unparalleled success in terms of investment and number of projects. Till January 8, there was an investment of Rs 7261.54 crore in 1,18,509 enterprises. 2,56,140 jobs were also created.
Committees were formed at the state, district, and local institutional levels for various activities of the Entrepreneurial Year, and effective mechanisms were put in place. Investment-friendly measures from the government have also helped those who were reluctant to venture into entrepreneurship to be a part of the scheme. The state trade unions, FICI, the Confederation of Industries, and Small Scale
Industries Association, etc. were the first to cooperate with this project. For the success of the project, a meeting was held with the organizations of Chartered Accountants, HR Managers and Central Trade Union representatives , Ahead of the project, senior officials of the Industries Department were trained at IIM Kozhikode and National Institute of Entrepreneurship,
Ahmedabad. Banks and SLBCs in the state have announced a loan scheme at 4 percent interest. The state
government had decided to cover the interest loss. In the first phase, workshops were organized in all local government bodies , License-loan-subsidy fairs were organized as the second phase. Banks have also taken a favorable stand for the project. A positive factor was that new entrepreneurs were able to obtain licenses through the K SWIFT system.
For the success of the project, a meeting was held with the organisations of chartered accountants, HR managers,
and central trade union representatives. Ahead of the project, senior officials of the Industries Department were trained at IIM Kozhikode and the National Institute of Entrepreneurship, Ahmedabad. Banks and SLBCs in the state have announced a loan scheme at 4 percent interest. The state government had decided to cover the interest loss.
In the first phase, workshops were organised in all local government bodies , and licence-loan-subsidy fairs were
organised as the second phase. Banks have also taken a favourable stand on the project. A positive factor was that
new entrepreneurs were able to obtain licences through the K-Swift system.
An entrepreneur-friendly approach on the part of the state government has inspired more investors. B-Tech/MBA
qualified interns have been appointed in all the local institutions to assist them and for better implementation of the project , Besides, 59 people were recruited for Taluk Facilitation Centers. The Entrepreneurial Year project took a leap forward by setting up help desks in every panchayat.
In a country where 10,000 enterprises are created every year, if you put your mind to it, it is possible to start more than 1 lakh enterprises. Even those who doubted whether it would be possible to start one lakh projects in the first phase soon realised that it was possible. The government is trying to start as many enterprises as possible in the next four months and create a system of micro, small, and medium enterprises that can support the economic situation of the state.
A great gathering of entrepreneurs through the Entrepreneur Year scheme was held in Kochi on 21st January 2023
It does not end here ..
The government does not think that the Entrepreneurial Year scheme has been completed with the achievement of the target. The next step is to choose at least 1,000 promising enterprises from among
The existing ones and grow them to 100 crore annual turnover enterprises. Details for this are being prepared. Another important objective is to prevent the attrition of enterprises. This is why MSME clinics have been set up.
The Kerala brand will be used to certify the quality of products manufactured in Kerala and help them reach national and international markets. Steps are also being taken to build an open network platform in collaboration with the Open Network for Digital Commerce (ONDC) to market the products of micro, small, and medium enterprises. The entrepreneurial year project is going ahead with the cooperation of various departments.
Providing employment to more than 2.5 lakh people and ensuring investment of over seven thousand. crore rupees, "God's own country" has become the home country of investors too. The initial emphasis was on making important laws and amending regulations to further strengthen the investment friendly environment.
This government was able to effect change by allowing K-SWIFT recognition for three years for all investments up to 50 crores. Kerala has received investment offers totaling over 7,000 crores since passing legislation requiring industries with capital investments of more than 50 crores to apply for composite licences within seven days if all necessary documents are submitted. World-class companies like Venture and Tata Elexi have already begun operations in this sector. A unified inspection system has been devised by integrating five departments through the K-CIS portal to avoid unnecessary actions against industrial establishments and prevent corruption.
It is also noteworthy that while the industry is getting national recognition, the world famous car company Lamborghini has expressed a willingness to invest in Kerala. A few days ago, Minister P. Rajeev discussed the possibilities of setting up a car manufacturing plant in the state with Tonino Lamborghini, the son of Lamborghini's founder Ferruccio. Leading brand Lamborghini has also shown interest in investing in luxury hotels, apartments, perfumes, watches, and many more. More than 5 lakh organisations have already registered under this system, which has received a great response.
The industry-friendly environment created through these efforts has led our country to the top of the industry-friendly ranking list. Kerala, which was in the 28th position in the rank list, climbed 13 places in a year.
Undoubtedly, the Year of Entrepreneurs has become a major impetus in the quest to create the healthiest investment environment in the country, and we can see this progress in the economy of Kerala in the
In fact ,
the second LDF government has prioritised the implementation of public welfare schemes using limited
financial resources, along with providing infrastructure and creating jobs in the industrial sector. No matter what obstacles are created by the media, the opposition, and the central government, the LDF government is giving prime consideration to the welfare of the people and the progress of the state.
Recently, anti-Kerala forces that want to belittle the progress of the state have been running propaganda. Some media give them a lot of importance. Some have also tried to create the impression that there is no industry in the state, but we should understand that our state is only 1.2 percent of India's total land area, , Kerala has 2.6 percent of the country's population. However, Kerala's GDP is 4.2 percent of India's. It is good to think about how this happens if there is no industry or commerce in Kerala.
It is also a rumour that Kerala is drowning in debt. There are states in the country that have more public debt than Kerala. The increase in debt is the result of the economic policy followed by the country. That policy needs to be corrected, and there is also a rumour that Kerala's income comes from the center. 64 percent of Kerala's own income. State GDP increased by 12.01 percent.
The manufacturing sector, agriculture, and industry advanced. Agriculture and related industries increased by 4.64%, industry increased by 3.87%, and services increased by 17.3%. and also The state's per capita income is double the all-India average. At a time when the Union government is trying to suffocate Kerala financially, the state is getting awards for its excellent performance in many fields from the central government itself. The Union government is trying to stop Kerala's progress by restricting even borrowing for development projects. UDF, BJP, and a group of media outlets are variously promoting political struggles and controversies
with the aim of subverting the development of Kerala. Surviving all this, the LDF government is implementing new projects with the support of the people.