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What began as a casual dinner-table exchange in New Delhi earlier this month has accelerated into an ambitious state-to-state collaboration effort — an upcoming economic partnership between Tamil Nadu and Kerala aimed at building shared industrial capacity, digital governance models and cross-border logistics ecosystems.
Barely two weeks after a conversation between the industries ministers of both states, TRB Rajaa of Tamil Nadu and P Rajeev of Kerala, held on November 11 at the close of the Udyog Samagam 2025 conference, senior ministers and top officials from both states convened in Chennai for the first formal round of talks on November 25.
Tamil Nadu Industries Minister TRB Rajaa said the effort is part of a larger shift in how states approach development. “Our Chief Minister, M K Stalin, has always believed that cooperation between strong states creates stronger outcomes for the people of India on the whole… This effort is a model for inter-state cooperation that is collaborative, positive and focused on results,” he said.
According to the Tamil Nadu industries department, the scope of the emerging partnership is broad. Rajaa said the talks with Kerala involve “exploring various partnerships, like startups, AI, multimodal parks and other investment and job opportunities via tourism…”
“We will continue to explore the possibilities of working together on R&D, multimodal logistics parks adjoining the border… tourism opportunities and industrial parks,” he said.
Rajaa’s Kerala counterpart, P Rajeev, told The Indian Express that his state is looking forward to the collaboration. “We have discussed the scope of multiple sectors, including a collaboration through certain Kerala State Electronics Development Corporation Limited (KELTRON) projects, and a number of startup ideas from Tamil Nadu that they proposed,” Rajeev said.
Even as discussions expand, with just a few months to go for Assembly elections, Tamil Nadu moved quickly to draw a boundary around one sensitive issue — mining.
The Tamil Nadu government has clearly conveyed that no mining whatsoever is possible and that the state is governed by an existing ban framework with conditions currently in force, and hence, there can be no rare earth mining whatsoever.
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