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According to Confederation of Indian Industry, Thoothukudi has the second highest Human Development Index in Tamil Nadu next to Chennai.

Tuticorin City serves as the headquarters of Tamilnad Mercantile Bank Limited.

It was in Thoothukudi that the illustrious patriot, V. Chidambaram established the first swadesi Stream Navigation Company, sailing the first steamer S. It is one of the oldest seaports in the world and was the seaport of the Pandyan kingdom after Korkai, near Palayakayal.

It was later taken over by the Portuguese in 1548, captured by the Dutch in 1658, and ceded to the British in 1825.

The ancient town of Korkai (the modern Tuticorin) has been a centre for maritime trade and pearl fishery for more than 2000 years.

Ptolemy's geography refers to Korkai as a centre of pearl fishery while describing commercial relations between western India and Alexandria, the chief eastern emporium of the Roman Empire.

This port was used for export of salt, cotton yarn, senna leaves, palmyrah stalks, palmyrah fibres, dry fish, country drugs, and other goods to neighbouring countries and for import of coal, cotton, copra, pulses and grains.