A major industrial investment is set to reshape the manufacturing landscape of Kerala. In Palakkad district, a ₹5 billion steel manufacturing facility known as Green Core is taking shape under the stewardship of Kalliyath, a South India–based steel group with a long record in the sector, led by Noor Muhammed Noorsha Kalliyath, Chairman, Kalliyath Group, and Dirsha Kalliyath Muhammed, Director, Kalliyath Group. The project signals a shift in how steel can be produced, placing sustainability and resource efficiency at the centre of industrial growth.
Steel has long been associated with heavy energy use and environmental strain. Kalliyath’s Green Core initiative attempts to address this challenge through a series of technological and operational changes aimed at reducing the environmental cost of production. The company describes the project as part of a broader move towards low-carbon manufacturing. One of the key features of the Green Core project is the adoption of direct hot charging and rolling, which eliminates the need for fossil fuels. The process is expected to lower energy consumption by an estimated 30 to 50 units per tonne of steel. Over the course of a year, this could mean a reduction of at least 3.54 million units of electricity.
The Kalliyath’s Green Core project will employ IGBT-based voltage-fed induction furnaces, among the most energy-efficient melting technologies available today. Compared to conventional induction furnaces, this is expected to deliver further power reduction of 10–15 units per tonne, amounting to approximately 1.18 million units of electricity saved annually. The project is designed to operate without fossil fuel inputs, resulting in the elimination of full life-cycle emissions linked to fuel handling, logistics, and combustion processes.
The initiative gives equal attention to water conservation. Conventional steel plants depend heavily on water for cooling. The Green Core facility plans to replace this with dry cooling systems, cutting process water consumption by nearly 99 per cent. The measure is particularly significant in regions where industrial demand often competes with agricultural and domestic needs. Rainwater will also play a role in the plant’s daily operations. With a total roof area of 14,100 square metres, rainwater from all factory sheds will be captured through durable gutter systems. The stored water will be reused within the facility.
Another intervention focuses on groundwater protection. The plan is to construct a sub-surface dyke along the southwest boundary of the site. Stretching 100 metres and extending up to 8 metres below the surface, the structure will help prevent groundwater from flowing away while encouraging recharge of the local aquifer. Together with the other water measures, the system could save around 1.87 lakh kilolitres each year compared with conventional steelmaking, according to Kalliyath.
The project carries economic implications as well. More than 1,000 direct and indirect employment opportunities are expected to arise once the facility is fully operational. Local supply chains, transport services and small ancillary units are also likely to benefit from the increased industrial activity.
Kalliyath states that Green Core aligns with national priorities on sustainable manufacturing, circular economy principles, and self-reliance. Recycled steel will form a major part of the raw material mix, reducing dependence on virgin raw materials, and deploying clean, electrified processes that enhance both safety and efficiency.
With this investment by Kalliyath, Palakkad is set to play a pivotal role in Kerala’s industrial transition towards greener, future-ready manufacturing, reinforcing the state’s commitment to responsible economic growth.
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