The Kerala government is preparing to revise its rules for negotiated land purchases to facilitate the acquisition of around 500 acres for industrial and logistics development linked to Vizhinjam International Seaport. The proposed changes aim to improve compensation for willing landowners and speed up the process of assembling land for port-related infrastructure. According to a Times of India report cited by Swarajya, the state’s industries and revenue departments are working together to finalise the revised provisions.
The government plans to issue an order establishing the new framework, after which the acquisition process will begin for land parcels already identified for development. APM Mohammed Hanish, Additional Chief Secretary of the Industries Department, said the government intends to proceed with the acquisition as soon as the order is issued.
Around 500 acres have been identified across Neyyattinkara and Kattakada taluks in Thiruvananthapuram district. The Kerala Industrial Infrastructure Development Corporation (Kinfra) is overseeing the identification of suitable sites based on road and railway connectivity, proximity to the port and the requirements of prospective industries.
The proposed land development is expected to accommodate a range of port-linked facilities, including container freight stations, warehouses, logistics parks, processing units and manufacturing facilities. Parcels with suitable railway connectivity could be used for freight-handling infrastructure, while other locations may support industrial operations and warehousing.
The initiative is intended to strengthen the industrial and logistics network around Vizhinjam International Seaport. Improved access to freight facilities and industrial land could help businesses connect port operations with storage, processing, distribution and manufacturing activities.
The state had earlier considered land pooling to facilitate planned development along the proposed outer area growth corridor. However, fragmented landholdings, high population density and the need to coordinate with numerous property owners have created difficulties in implementing this approach.
The government is now considering negotiated purchases based on mutually agreed compensation. By revising the existing rules, it aims to make voluntary land transactions more attractive to owners while reducing delays associated with assembling large, contiguous land parcels.
Financial support for the initiative has already been provided through the Kerala state budget for 2026–27, which allocated ₹1,000 crore to Kinfra for land acquisition linked to port-led industrial development. The corporation has been identifying suitable parcels, while discussions with landowners and valuation exercises have formed part of the preparatory work.
The proposed acquisition marks a step towards developing supporting infrastructure around Vizhinjam, with the focus extending beyond port operations to industrial activity, freight movement and logistics services. The availability of appropriately located land will be important for accommodating businesses that depend on efficient access to maritime transport and associated supply chains.
However, the pace of development will depend on the finalisation of the revised rules, the issuance of the government order and the completion of negotiations with landowners. Once the framework is approved, the state intends to begin acquiring the identified parcels to advance its port-linked industrial development plans.
