Kerala FM tables economic review, outlines 8.8 pc growth in secondary sector

The secondary sector in Kerala buoyed by the industry sector registered a growth of 8.8 per cent, as per the Economic Review 2019, tabled by Finance Minister Thomas Isaac in the state Assembly on Thursday.

The secondary sector consisting of manufacturing, construction, power, gas, water supply and other utility services have overtaken the tertiary sector -the service sector - growth of which stood at 8.4 per cent.

In 2014-15, the share of the industrial sector in the state's GSDP (gross state domestic product) was 9.8 per cent while in 2018-19 it rose to an impressive 13.9 per cent.

At current prices, the primary, secondary and tertiary sectors contributed 11.11 per cent, 25.2 per cent, and 63.7 per cent respectively to the Gross State Value Added (GSVA).

The manufacturing sector of Kerala grew at 11.2 per cent at constant prices in 2018 -19 compared to 3.7 per cent in the previous year.

The total turnover of state PSU's under the Industries Department in 2018-19 was 3,442.74 crore, an increase of 17.9 per cent from 2017-18.

With regard to Micro, Small and Medium Enterprises (MSME), 13,826 new MSME units started operations in Kerala in 2018-9 with a total investment of Rs 1,321.94 crore, and generated employment for 49,068 persons.

The report also stated that Kerala's internet penetration rate at 54 per cent is the second-highest in the country. Kerala is the first state to make internet access a basic right.

In the tourism sector, a total number of 1.67 crore tourists (foreign and domestic) visited the state in the year 2018 indicating 5.93 per cent increase over the previous year which shows that the sector rebounded quickly after the floods of 2018.

The year 2018 witnessed 0.42 per cent growth in foreign tourist arrivals and 6.35 per cent growth in domestic tourist arrivals over 2017 in the state. There was 8.60 per cent increase in total revenue from the tourism industry in 2018, says Economic Review.

While tabling the report, the state minister also informed that Kerala's GDP has grown from 7.3 per cent in 2017-18 to 7.5 per cent in 2018-2019.