The fast-growing Information Technology sector in Kerala has helped the state live down its

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long-held image as a poor destination for investment bedevilled by labour troubles and political meddling.

The IT sector in Kerala has so far remained largely free from militant trade unionism and strikes, which had stalled flow of investment to the manufacturing sector, and often prompted several existing units shift to other states over the decades.

"Yes, IT is on an upswing in Kerala with the growth far surpassing the national rate. But the striking thing about the IT growth in Kerala is that it helped the state to establish itself as a highly attractive destination for investors," said Mervin Alexmander, CEO of Technopark here.

The first major dedicated IT park in the country, Technopark, located on the city outskirts, completed its 20th year last month and has embarked on a major expansion drive.

According to official figures, Kerala’s share of the national export of IT sector has steadily increased from 0.7 per cent in 2000-01 to 1.01 per cent in 2009-10. The state’s contribution in money terms rose from Rs 141 crore in 2000-01 to Rs 2,412 crore by 2009-10.

""The very fact that Indian IT majors like Infosys, TCS, Wipro and Toonz have come to Kerala is proof of its success in the IT sector. The investor confidence in Kerala has been further reinforced through the government’s policy and many more companies are coming to the state," Alexander told PTI.

Considering the unique social and economic features of Kerala, the state has been pursuing a multi-tier development strategy which helped IT percolate down to the grassroot level.

At the apex level are major parks like Technopark and Infopark (Kochi). Then there are middle-level facilities in districts and at the base there are technologies.

Apart from the IT as business, its application has been extended to lower rungs of administration and education.