Kerala govt. delay in greenlighting Phase 2 dampening Infopark Kochi’s allure as a premium IT destination

Infopark Kochi's growth hindered by government delays, leading to companies seeking IT space alternatives in other cities.

Infopark Kochi is losing its allure as a premier IT destination due to the State Government’s more than a year-long delay in green-lighting its third phase.

One of the three major IT hubs in the State, Infopark Kochi has exhausted its space in the first and second phases, even as more than 100 companies remain on the waiting list for IT space, while another 12 companies are waiting to lease land. Despite that, the government continues to delay approving the third phase development.

The only saving grace was after a government order dated October 18, 2024, that entrusted the Greater Cochin Development Authority (GCDA) with undertaking land pooling for the third phase expansion project based on a request to that effect by the Infopark Kochi Chief Executive Officer. Since then, GCDA has evinced a willingness to make available land contiguous to the eastern side of the existing Infopark campus in Kizhakkambalam, Kunnathunadu, and Thrikkakara.

“Everything is set for us to sign a memorandum of understanding with Infopark Kochi for land pooling. But for that to happen, the Infopark needs to get the green light from the State Government for its third phase,” said GCDA sources.

However, the file seeking that permission has been doing the rounds at the Secretariat. With the local body polls towards the end of this year, followed by the Assembly election next year, hardly any progress is expected anytime soon.

According to sources, the unavailability of land at Infopark Kochi is beginning to reflect on the inquiries for IT space. “That Infopark Kochi has run out of space is now known to the industry players. Since time is the most valuable commodity in IT investments, potential companies will naturally look for viable alternatives elsewhere with a better ecosystem rather than wait indefinitely for space in Kochi. Companies continue to make a beeline for destinations like Bengaluru and Hyderabad despite their many civic and logistical problems because of this time factor,” said IT Department sources.