Kerala's Rs 200-Crore Ayurveda Tourism Village Under Strategic Review
The proposed Rs 200-crore Ayurveda Tourism Global Village at Elakamon in Varkala, Kerala, is currently under evaluation, with the Kerala Industrial Infrastructure Development Corporation (Kinfra) reassessing its development framework. The agency is exploring the possibility of identifying a single master developer to oversee the entire project, aiming for integrated execution and financial viability.
Project Origins and Land Acquisition Challenges
Originally conceived during the Emerging Kerala initiative in 2012, the project was envisioned as part of the state's efforts to position Kerala as a global hub for ayurveda and wellness tourism. However, land acquisition faced significant delays due to local objections. Of the initially proposed 68 acres, only around 32 acres had been acquired by 2019. Despite this progress, the project has not yet reached the final approval stage.
The proposal is pending placement before the State Industrial Land Allotment Committee (SILAC), which is responsible for clearing land allotments for such initiatives. Officials emphasize that the current phase reflects a strategic reassessment rather than a procedural delay, focusing on optimizing the project's structure and feasibility.
Development Model and Financial Considerations
According to a Kinfra source, the agency is examining the option of handing over the entire land parcel either to a single developer or through a joint venture model. This approach is intended to ensure cohesive development and maximize the project's potential. "We have received interest from multiple firms, and several representatives have visited the site. However, the intention is to identify an entity capable of developing the entire land into an integrated global village project," said a Kinfra official.
The official added that since Kinfra has incurred significant expenditure for land acquisition, the financial proposal must be viable enough to cover those costs. Only after identifying a suitable developer will the proposal be forwarded to SILAC for consideration, ensuring that all financial and developmental aspects are thoroughly addressed.
Project Vision and Recent Developments
The project envisions a comprehensive ayurveda tourism destination integrating:
- Treatment centres
- Research facilities
- Wellness resorts
- Allied tourism infrastructure
It targets both domestic and international wellness travellers, aiming to boost Kerala's profile in the global wellness tourism market. In 2023, a private firm signed a memorandum of understanding with Kinfra expressing interest in developing the project. However, the proposal has not progressed to the SILAC stage, indicating ongoing evaluations and negotiations.
Meanwhile, the firm has submitted a petition to the Chief Minister seeking expedited approvals to advance the project, highlighting the urgency and potential economic benefits of this initiative for the region.
