Kerala is known for its progressive social values, with high literacy rates, low infant mortality rates, and a strong focus on education and healthcare. Malayalam cinema often reflects these values, tackling social issues like casteism, corruption, and women's empowerment. Films like "Sree Narayana Guru" (1986), "Kotta Makan" (2010), and "Njandukalude Nathi" (2013) have addressed these themes, showcasing the industry's commitment to socially relevant storytelling.

Kerala is famous for its Ayurvedic traditions, which emphasize holistic wellness and natural healing. Many Malayalam films, like "Theeya Vel" (2010) and "Sringaram" (2006), have explored the world of Ayurveda, highlighting its significance in Kerala's culture.

Kerala's folk traditions, including music, dance, and theater, have influenced Malayalam cinema. Films often feature traditional instruments like the mridangam, tabla, and kottu, and incorporate folk dances like the Kaikatti and Theyyam.

The first Malayalam film, "Balan," was released in 1938, marking the beginning of the state's film industry. However, it was not until the 1950s and 1960s that Malayalam cinema started to gain momentum, with films like "Nirmala" (1938), "Sneha" (1952), and "Mullens" (1957). These early films were primarily based on literary works and folklore, setting the tone for the industry's future focus on storytelling and cultural representation.