Language Processing (NLP) is both a modern computational technology and a method of investigating and evaluating claims about human language itself. Some prefer the term Computational Linguistics in order to capture this latter function, but NLP is a term that links back into the history of Artificial Intelligence (AI), the general study of cognitive function by computational processes, normally with an emphasis on the role of knowledge representations, that is to say the need for representations of our knowledge of the world in order to understand human language with computers. A morphological analyzer or generator supplies information concerning morphosyntactic properties of the words it analyses or constructs. Morphological Analysis and Generation are important components for building computational grammars as well as Machine Translation. Morphological Analyzer is a program for analyzing the morphology of an input word; the analyzer reads the inflected surface form of each word in a text and provides its lexical form while Generation is the inverse process. Both Analysis and Generation make use of lexicon. Malayalam like the other languages in the Dravidian family exhibits the characteristics of an agglutinative language. Here using a bilingual dictionary, the Malayalam morphological analyzer and the Tamil morphological generator have been described.