This so far has been a one man effort - once again by Sivaraj. He has written a set of console tools for Tamil that include a monospace font, keyboard driver and locale setup. In his words:
You can use it with Lynx to read any TSCII-based web sites or Pico to email in TSCII. Some characters may be disoriented, since I try to fit all the characters in an 8x16 cell. But it is still readable.
The tools can be downloaded here. Follow the instructions in the REAME file to install and use.