However, the government has no proposal to fix uniform rental rates for private warehouses, Chief Minister V D Satheesan said in a written reply to an unstarred question raised by BJP MLAs V Muraleedharan, Rajeev Chandrasekhar and B B Gopakumar.    The government acknowledged that limited storage facilities, high land prices and inadequate warehousing infrastructure in areas surrounding Vizhinjam port have contributed to higher warehouse rentals in Thiruvananthapuram district compared with other locations.    Vizhinjam International Seaport Ltd (VISL) has identified approximately 930 acres to meet logistics-related requirements and is progressing with land acquisition for 230 acres. The port company is also holding discussions with logistics operators, container freight station (CFS) operators, warehouse investors and shipping lines to attract investments in supporting infrastructure.    Kerala State Industrial Enterprises (KSIE) has already commenced operations of a CFS at Vizhinjam. Under the state government’s 100-day action programme, the agency has also initiated a larger project involving warehousing facilities and a logistics park to support services connected with the CFS.    In parallel, the government is pursuing a plan under Mission Samudra to address the shortage of CFSs, empty container yards and warehouses through private-sector participation.    To mitigate the impact of high land costs, the government is taking steps to identify and acquire land specifically for logistics infrastructure. It is also pursuing a subsidy mechanism to reduce the additional costs arising from expensive land, allowing private developers to lease land at more affordable rates and encouraging investment in logistics facilities.    The government also plans to invite expressions of interest from prospective investors and developers to establish free trade warehousing zones, CFSs and empty container yards, the Chief Minister said.    On the demand for regulating warehouse rentals, Satheesan clarified that prices in the private sector are determined by agreements between warehouse owners and users based on prevailing market conditions. The government is not considering a proposal to introduce a standard rental rate.   

The proposed expansion of logistics infrastructure is expected to strengthen the support ecosystem around Vizhinjam, which is emerging as a major maritime gateway for Kerala and a potential driver of trade, cargo movement and logistics investment in the region.