[UPDATE!] Yes, The Sword Is Supposed To Look Like That In URUMI

[UPDATE:  I just wanted to update this post to say that the film has been cleverly retitled for Hindi language audiences to: The Boy Who Wanted To Kill Vasco de Gama.  Way to be creative, guys.]

According to Wikipedia this is the thing in the picture:

The urumi (Malayalam: ഉറുമി,Tamil: Surul pattai, lit. curling blade) is a long sword made of flexible steel, sharp enough to cut into flesh, but flexible enough to be rolled into a tight coil. Originating in Kerala, it was most popular in the North Malabar Coast of Kerala state, India, and is often mentioned in the ballads of the region.

Sounds pretty nifty.  I've seen it once before in the 2002 Hindi period film Asoka, but it was only shown briefly. 

Santosh Sivan, one of Mollywood's (Malayalam films) top directors has taken on what may be one of that region's most ambitious action films in Urumi.  I don't have a lot of plot details, but it appears to take place during the occupation of the Portuguese in India.  Westerners typically don't know about about the exploration of Vasco de Gama and the lasting effect it has had on India, but it is a large one.  There are many Catholics still in India for this reason, and many Indians with Portuguese surnames still exist, especially in port towns like Goa.

In this film, Mollywood superstar Prithviraj plays a young man intent on killing Vasco de Gama with the titular blade.  However, from the trailer, it doesn't look like his mission of assassination will get in the way of his love life, or a few sweeping musical numbers. 

I've never seen a Malayalam film, but this may be one to look out for.  Urumi's tentative release date is March 31st.