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In the agricultural sector, coconut, tea, coffee, cashew and spices are important.The state's coastline extends for 595 kilometres (370 mi), and around 1.1 million people in the state are dependent on the fishery industry which contributes 3% to the state's income.One of the earliest western traders to use the monsoon winds to reach Kerala was Eudoxus of Cyzicus, around 118 or 166 BCE, under the patronage of Ptolemy VIII, king of the Hellenistic Ptolemaic dynasty in Egypt.

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At the time of Indian independence movement in the early 20th century, there were two major princely states in Kerala-Travancore State and the Kingdom of Cochin.

The state has witnessed significant emigration, especially to Arab states of the Persian Gulf during the Gulf Boom of the 1970s and early 1980s, and its economy depends significantly on remittances from a large Malayali expatriate community.

Hinduism is practised by more than half of the population, followed by Islam and Christianity.

Tharisapalli plates granted to Saint Thomas Christians by South Indian Chera ruler Sthanu Ravi Varma testify that merchant guilds and trade corporations played a very significant role in the economy and social life during the Kulasekhara period of Kerala, India. 800–1102), also known as Kulasekhara dynasty of Mahodayapuram (present-day Kodungallur), was established by Kulasekhara Varman, which ruled over a territory comprising the whole of modern Kerala and a smaller part of modern Tamil Nadu.

During the early part of the Kulasekara period, the southern region from Nagercoil to Thiruvalla was ruled by Ay kings, who lost their power in the 10th century, making the region a part of the Kulasekara empire.

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