The 'District Industries Centre' (DICs) programme was started by the central government in 1978 with the objective of promoting small, tiny, cottage and village industries in a particular area and to make available to them all necessary services and facilities at one place.

Kollam is one of the fascinated destinations in the map of the world tourism. It is bounded on the west by the Arabian Sea, on the east by Tamil Nadu, on the north by Alappuzha and Pathanamthitta districts, on the south by Thiruvananthapuram district. The district has a total of six revenue taluks namely Pathanapuram, Punalur, Kunnathoor, Kottarakkara, Karunagapally and Kollam with two revenue divisions namely Kollam and Punalur. Kollam is arable, rich in soils and rich in forests, rich in topography and biodiversity that can be distinguished from coastal, midland and Highland. The presence of Sakthikulangara, Neendakara and Azheekal fishing ports makes Kollam a major fishing hub for many. The ancient port of Kollam was a trading centre with China and Arabia, and was home to many large industrial enterprises. Marine products, availability of agricultural resources, presence of Kollam Port, coastal line with rich mineral resources, balanced climate, educated youth and social advancement of women are the factors that support the industrial development of the district. Hundreds of cashew processing factories have been operating in Kollam, the hub of the cashew industry since Portuguese times. Kollam, which accounts for 75 per cent of the total cashew exports in the country, is still the largest exporter of processed cashew nuts in India.

 The District Industries Centre Kollam is the institution at the District level, which provides all the services and support facilities to the entrepreneur for setting up Micro, Small and Medium Enterprises. District Industries Centre helps in the identification of suitable schemes, preparation of feasibility reports, arrangements for credit facilities, machinery and equipments, provision of raw materials and development of industrial clusters and gives the valuable handholding support. 

Kollam, as a district has historically been an area of industrial importance for Kerala. Indian Rare Earths (Central PSU), Kerala Ceramics Ltd, Kerala Electrical and Allied Engineering Company, Kerala Minerals and Metals Limited, United Electrical Industries Kollam, Oil Palm India Ltd, Rehabilitation Plantations Limited, Kerala Agro-Fruit Products, CAPEX, KSCDC, Kerala Feeds Karunagappally , KeraFed Kulasekharapuram and other PSUs as well as other large, medium and private enterprises are affiliated to the district. The district has shown great export potential through marine products and cashew products. Even though the major sectors in Kollam is showing recession, Kollam is showing good growth prospects in small scale industrial sector. The Role of District Industries Centre, Kollam is notable in keeping the pace of economic development of Kollam despite the setback in the major sectors of coir and cashew. 

District Industries Centre, Kollam is situated in the heart of Kollam city near the famous Ashramom ground. District Industries Centre Kollam is situated nearly 2 km from KSRTC bus stand and Kollam Junction railway station. Nearest airport is Thiruvananthapuram International Airport which is 66 kms away. The DIC has an incubation centre which is equipped with a good library of motivational and industrially relevant magazines. The incubation centre is providing the service of a technically capable officer not below the rank of industries extension officer to give guidance to the investors. 

Though there are six revenue taluks in the district, there are four Taluk Industries Offices under DIC Kollam at Kollam , Karunagappally (includes Kunnathoor taluk), Pathanapuram (includes Punalur Taluk) and Kottarakkara Taluks.