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SARAL Keralam: How the "One State, One Approval, One Document" Scheme Changes Investment Approvals Above ₹25 Crore

Published 15 October 2026

Project team reviewing site layout drawings and an approvals checklist at a meeting table overlooking an industrial park in Kerala

On 16 September 2026 the Keralam Cabinet approved SARAL Keralam, short for Simplified and Accelerated Regulatory Approvals and Licensing, and on 18 September the Chief Minister announced it as a one-stop mechanism for statutory approvals built on the principle "One State, One Approval, One Document". It applies to investments above ₹25 crore. The Cabinet has approved the statutory framework, including amendments to 19 existing laws, and on 13 October the Industries Minister said each amendment will go to the Cabinet and then to the Assembly. Here is what has been announced, what still has to be enacted, and how a project should prepare.

Who decides: two committees

  • Investments from ₹25 crore to ₹50 crore: a district-level committee chaired by the District Collector.
  • Investments above ₹50 crore: a State-level Approval Committee chaired by the Chief Secretary.
  • The Kerala State Industrial Development Corporation (KSIDC) coordinates the process; the government has also set up a data-driven investment cell under KSIDC in its first hundred days.

The government describes the committees as granting the statutory approvals themselves, "rather than merely recommendations", so an investor deals with one decision instead of a chain of departmental files. Departments keep their statutory scrutiny, but within fixed time limits, and there is an appeal route where a department objects that a proposal does not meet its requirements.

The 75-day timeline

The announcement sets a maximum of 75 days from a complete application to the final decision: 10 days for preliminary scrutiny, 30 for technical scrutiny by the departments, 15 for appraisal and consolidation, and 20 for the final decision. An Integrated Enterprise Clearance Certificate is issued immediately after approval. Two qualifications were stated alongside: "There will be no deemed approval", so an expired timeline does not approve a project by default, and the framework "will not dilute safeguards relating to safety, environmental protection, employee welfare or public health". The Industries Minister has added that existing environmental procedures continue to apply.

Why the government says it is needed

According to the announcement, KSIDC is monitoring 73 major investment projects, of which 47 are stalled by delays in statutory approvals and clearances; together they represent more than ₹25,700 crore of investment and about 88,000 jobs. Some proposals had been pending for five to seven years. The minister has separately said the State has received investment offers worth ₹73,401 crore through KSIDC and the Department of Information Technology, AI and Future Technologies.

What is approved, and what is not yet law

The Cabinet decision approves the scheme and the statutory framework. The 19 laws to be amended have not been named publicly, and the amendments to Acts and rules still have to pass the Assembly, one by one, before the committees can exercise the statutory powers described. Until then, approvals continue under the existing laws and through existing single-window routes such as K-SWIFT, the single-window portal many smaller enterprises use; projects below ₹25 crore are outside SARAL altogether.

How to prepare a project for SARAL

  1. Fix the investment figure and its basis. The ₹25 crore and ₹50 crore bands decide which committee hears you; keep the project report consistent across every document.
  2. Settle the entity first. Incorporate the company or LLP, take PAN, TAN and GST registration, and register a trademark for the project or product name before land and finance documents are signed in a different name.
  3. Assemble land documents and the land-use position early; land and land-use changes are among the areas the government says it is reforming.
  4. Map the statutory approvals the project needs, such as building permit, fire, pollution control consents, factory licence and power, and prepare each department's documents, because technical scrutiny still happens inside the 75 days.
  5. Prepare for environmental clearance separately where the project needs it; those procedures continue.
  6. Keep the application complete. The clock runs from a complete application, so an incomplete file loses time before day one.

Frequently Asked Questions

What is SARAL Keralam?

SARAL stands for Simplified and Accelerated Regulatory Approvals and Licensing. Approved by the Cabinet on 16 September 2026, it is a one-stop mechanism for statutory approvals for investments above ₹25 crore, on the principle "One State, One Approval, One Document".

Which committee approves my project?

Projects from ₹25 crore to ₹50 crore go to a district-level committee chaired by the District Collector; projects above ₹50 crore go to a State-level Approval Committee chaired by the Chief Secretary. KSIDC coordinates.

How long will approval take under SARAL Keralam?

The announced maximum is 75 days from a complete application: 10 days preliminary scrutiny, 30 technical scrutiny, 15 appraisal and consolidation, and 20 for the decision. There is no deemed approval.

Is SARAL Keralam in force now?

The scheme and its statutory framework are approved, but the amendments to 19 laws must still be passed by the Assembly, each going to the Cabinet first, according to the Industries Minister on 13 October 2026.

Does SARAL apply to small businesses?

No. It covers investments above ₹25 crore. Smaller enterprises continue with the existing approval routes, including the K-SWIFT single-window portal.

Sources

Government of Kerala announcement by the Chief Minister, Thiruvananthapuram, 18 September 2026 (PR Newswire); Cabinet decision of 16 September 2026 as reported by Deccan Chronicle; statement of Industries Minister P.K. Kunhalikutty, PTI report of 13 October 2026, published by Deccan Chronicle.

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