Economic Liberalisation and Kerala s Industrial Sector-An Assessment of Investment Opportunities

Kerala is one of the least industrially developed states of the union. There are essentially three main constraints or factors tfiat act against the ability of the state to attract in vestments, namely, the psychological fear created by militant trade unions, the shortage of land and of electric power. Alive to removing these constraints the government is implementing a number of infrastructural projects essentially to remove the latter two constraints. The response of private sector industry to these initiatives has been moderately satisfactory but the state still attracts only a minute fraction of the total investments in the country as a whole.