KAU-ABI opens Common Incubation Centre, launches farm exports to GCC

Kerala Agricultural University’s (KAU) Agri-Business Incubator (ABI) has set a new benchmark with the inauguration of a state-of-the-art Common Incubation Centre and the flag-off of the country’s first international agri export from a university-based agribusiness Incubator.

The facility, established under the PM Formalisation of Micro Food Processing Enterprises (PMFME) scheme of the Ministry of Food Processing Industries (MoFPI), Government of India, was inaugurated on Tuesday (August 12, 2025) by P. Rajeeve, Minister for Law, Industries & Coir, and presided over by K. Rajan, Minister for Revenue.

Equipped with modern processing lines for Kerala’s traditional spices, rice, coconut, millets and fruits and vegetables, the new facility also houses laboratories for product quality analysis. It is designed to support entrepreneurs, start-ups, farmers, and students in developing, processing, and scaling value-added agricultural products.

Highlighting the broader vision, Mr. Rajan said, “The presence of such a business park and environment will enhance the entrepreneurial spirit of indigenous start-ups. The facility will also boost the processing and export of Kerala’s local products.”

Met PMFME targets

In his inaugural address, Mr. Rajeeve said Kerala is among the few States to have met the PMFME scheme’s expected targets. The programme is implemented in Kerala by the Kerala Bureau of Industrial Promotion (K-BIP) under the Department of Industries & Commerce, in partnership with KAU, with Centre–State funding shared in a 60:40 ratio. He added that the State government’s upcoming plan to establish food parks in collaboration with universities will create further opportunities for innovation and growth in food processing.

B. Ashok, Vice-Chancellor and Agricultural Production Commissioner of Kerala, said, “Such common incubation facilities give entrepreneurs the space to test their ideas, gain market confidence, and connect with global buyers. This is a prime example of academia driving innovation, enterprise, and export growth.”

K.N. Anith, director of research at KAU, stated that the Common Incubation Centre is poised to become a model for other States by integrating academic expertise with industrial infrastructure, in line with the National Education Policy (NEP), to boost value addition in the agri-food sector.

The inaugural export – executed by M/s. Nouka Enterprises – features fruit-based beverages, cookies, honey-based products and ready-to-drink and ready-to-serve produce, bound for Gulf Cooperation Council (GCC) countries. This is the first time in India that products manufactured using an agri business incubator’s facilities within a university have entered the export market, according to KAU sources.

“The facility’s processing lines for coconut, spices, rice, fruits, vegetables, and millets, combined with advanced quality-control laboratories, are now fully operational and ready to support both domestic and export-focused enterprises,” said K.P. Sudheer, principal investigator, PMFME.