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AP State Profile-Executive Summary

Andhra Pradesh is located in southern India with an area of 275,100 square kilometers. It has a population of over 76 million people, with the majority living in rural areas. The state has major rivers and is a leading producer of crops like rice, tobacco, cotton and sugarcane. It also produces minerals like barytes, sand and mica. Andhra Pradesh has a long coastline and is a major producer and exporter of marine food. It has many engineering and management institutions that produce skilled graduates each year. The state has developed infrastructure including power generation facilities, ports and airports to support its industries.

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0% found this document useful (0 votes)
100 views16 pages

AP State Profile-Executive Summary

Andhra Pradesh is located in southern India with an area of 275,100 square kilometers. It has a population of over 76 million people, with the majority living in rural areas. The state has major rivers and is a leading producer of crops like rice, tobacco, cotton and sugarcane. It also produces minerals like barytes, sand and mica. Andhra Pradesh has a long coastline and is a major producer and exporter of marine food. It has many engineering and management institutions that produce skilled graduates each year. The state has developed infrastructure including power generation facilities, ports and airports to support its industries.

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kapil
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Executive Summary

AP Industrial Profile

ANDHRA PRADESH AT A GLANCE


Physical features Area 2,75,100 Sq. kms
No. of districts 23
Revenue Divisions 81
Mandals 1,128
Gram Panchayats 21,900
Inhabited 26,613
villages(Census
2001)
Boundaries East - Bay of Bengal
West – Karnataka
state
North- Orissa,
Maharashtra& M.P.
South – Tamil Nadu
Major rivers Godavari, Krishna,
and Pennar,
Demographic Population 7,62,10,007
particulars. (2001 census)
Male population 3,85,27,413
Female population 3,76,82,594
Rural population 554.01 lakhs
Urban Population 208.09 lakhs
Scheduled Castes 123.39 lakhs
Scheduled Tribes 50.24 lakhs

Workers total 34.865 millions


Workers – 21.722 millions(62.3
agricultural %)
Workers – non agrl 13.143 millions( 37.7
%)
Languages Spoken Telugu,,Urdu.Hindi
and English

Railway track length 4985 kms


No. of Railway 662

0
stations
No.national 4648 kms.
highways(12)
Airways: Hyderabad,
International Shamshabad
Domestic Airports Hyderabad,
Visakhapatnam,
Vijayawada and
Tirupati etc;
Sea Ports: Visakhapatnam,
Kakinada,
Krishnapatnam and
Machilipatnam,
Gangavaram
Power: Installed
capacity
Units generated
(MU)
Agricultural Resources Food grains chillies, cotton,
Cash crops tobacco, coconut,
cashew, groundnut,
sugarcane
Mineral resources Major minerals:  Barytes 97%
State’s share in  Sand
deposits of major 62%
minerals:  Silver
40%
 Quartz
40%
* Mica Crude
47%
Industrial Industrial 272
Infrastructure estates/development
areas
Industry at a glance No. of micro, small 1,58,128
( March 2009) enterprises
Investment in crores 10947.55
Employment no. 1532529
Large scale sector No. of enterprises 4099
( as on 31.3.09)
Investment Rs in 68258
crores
Employment ( nos) 9,77,754

1
State Economy Gross State 2,29,461
2007-08 Domestic Product
GSDP at 2006-07)
prices
(Rs. Crores)
Gross State 2,07,904
Domestic Product
GSDP at 2006-07
prices
(Rs. Crores)
Per Capita Income at 33,970
Current prices (inRs)

Total Net State Domestic Product 2,40,261


Per Captia Income Rs.33,970
CHAPTER-I
PHYSICAL FEATURES AND DEMOGRAPHIC PARTICULARS :

Topography: AP is the largest state in the southern peninsular region,


with an area of 2,75,100 sq kms and a coast line of 974 kms. Based on
the physical features, the state is divided into three regions - Eastern
hills, the coastal plains and peninsular plateau . Godavari, Krishna,
Pennar and Vamsadhara are the major rivers flowing through the state.

The state has 23(twenty three) districts, with 9 districts in the coastal
area, 10 districts in the Telangana area, and 4 districts in the
Rayalseema region. Hyderabad is the State capital.

Demographic particulars: The population of A.P. as per the 2001


census stands at 76.21 millions. This constitutes about 7.41% of the
total population of the country. This makes A.P. the most populous of
the 4 southern states. The rural population of the state is 72.7%. .

The average literacy rate in the State is 60.47 which is a good increase
from the 1991 figure of 44.1 The literacy rate among male population is
70.32, and that amongst female population is 50.43

RESOURCES:

Agriculture: Andhra Pradesh is endowed with many natural resources


like fertile soil, perennial rivers, rich mineral deposits, good human
resources, and a climate congenial for agriculture. The state is a leading
producer of paddy and other crops like tobacco, cotton, sugarcane,

2
pulses, fruits and vegetables etc. Major furits produced are Mangoes,
grapes, pineapple, banana and guava. Apart from these, the state also
produces spices like chillies, turmeric, ginger, coriander, etc. The state’s
share in rice production in the country is 12.75%, ( 2005-06 data) share
in maize production is 20.99% , Ground nut is 17%, Mesta is 53%,
tobacco is 36% and turmeric is 61%.

Forest resources: Andhra Pradesh has a total forest cover of 23%of the
total geographical area of the state. Around 45% of the cover falls in the
Telangana region, while around 30% falls in the coastal region and 25%
in Rayalaseema region.
The major forest produces in the State are Timber, fire wood &
charcoal, Minor forest produce include bamboo, beedi leaves, soapnuts,
red sanders wood etc. Plantation products like cashew, teak and coffee
are also grown.

Livestock and Poultry:


Andhra Pradesh has 20.56% of the countries poultry population. It is
also the leading producer of poultry and eggs. It contributes to around
33% of eggs and 18 % of broiler meat in the country. AP has a rich
livestock population, and is a major producer of hides and skins (10% of
the country’s total production.
Having a long coastline, AP is also a leading producer of marine food
products.

Minerals : Andhra Pradesh is the leading producer of barytes, mica,


coal, bauxite, lime, granite etc.. The state produces about 10 million
tones of industrial minerals. Andhra Pradesh is endowed with a major
share of deposits of some minerals in the country: Barytes : 97%,
Clay: 32%, Sand : 62%, Silver : 40%, Quartz : 40%, Mica Crude :
47%, Feldspar : 24%, Apatite : 27%

Natural Gas: Vast reserves of natural gas are found in the Krishna-
Godavari basin with 47 million standard cubic metres per day, has
opened up a plethora of industrial opportunities.

Human resources: Every year, the state produces more than 81,000
engineers, post graduates in computers, and management students, who
make world class professionals with good knowledge of English. These
young professionals have made a mark in the global IT industry. The
women force in the state has set exemplary standards through the Self
Help movement. The state houses a number of Engineering Colleges and
Management / Business schools. Prestigious Institutions like Indian
Instititute of Technology ( IIT), Birla Institute of Technology ( BITS), IIIT,

3
NALSAR, National Institute of Techonology (NIT) etc are located in the
capital.

Human Resource Development: Andhra Pradesh has the unique


advantage of housing major R&D Institutions, and National and
International level training centres in all fields. The major IT training
centres like International Institute of Information Technology, CMC,
NIPER etc have training centre in Hyderabad. International School of
Business, and Administrative Staff College of India, are other
international level training centres that impart quality management
training. NIRD, NAARM and NEERI provide corporate training to
personnel engaged in rural management.

AP – INDUSTRIAL ENVIRONMENT:

INFRASTRUCTURE :

Power: AP had an installed power generating of capacity of 12,381.54


MW ( as on 31.3.08), including its share from Central sector projects and
purchases from private sector. The state has thermal power stations at
Kothagudem, Ramagundam, Nellore, Vijayawada and Rayalseema. Major
Hydel plants at Srisailam, Nagarjun Sagar, Sileru, and Machkund. Gas
plant is located at Vijjeswaram. In 2007-08, 61,245 Million units were
generated.

Roads: AP has been one of the first states to encourage private sector
participation in infrastructure development. The state ha s a total length
of over 2,00,000 kms of road network, including national and state
highways, district and rural roads. Development of high density corridors
on major routes is being undertaken with private participation.

Airways: A world class International airport is located at Shamshabad,


near Hyderabad. International flights to Singapore, Apart from
Hyderabad, there are airports at Visakhapatnam, Tirupathi, Vijayawaa
and Puttaparthi. . Hyderabad has an air-cargo complex with customs
clearance. Direct flights to Singapore, Sharjah, Kuwait, Muscat,
Malaysia, Dubai and New York operate from Hyderabad. Andhra
Pradesh’s share in All India Air traffic is around 5.29 in domestic traffic
and 3.3 in International passenger traffic. The average per month
domestic passenger traffic is 1.19 lakhs and that of International

4
passengers is 36,000. Average cargo handled per month is around 2052
Tonnes.

Sea ports: Andhra Pradesh has the biggest seaport at Visakhapatnam,


with feeder services to Europe, Russia, USA and the Asia Pacific.
Berthing of vessels are available upto 50000 DWT. Other ports are
located at Gangavaram, Kakinada, Krishnapatnam, and Machilipatnam

Industrial Infrastructure : There are 272 Industrial estates and


industrial development areas in the state, covering an area of 14700
hectares. The State Government is in the process of developing
Industrial parks at different places, for specific groups of industries.
Industrial parks have been established for locational and logistic
advantages. The special industrial parks in the state are : Software park
at Hyderabad, Hardware park, near Shamshabad, ICICI knowledge park ,
Hitec city for software units, Apparel Park at Gundlapochampalli, Export
Promotion Park at Pashamylaram, , Hitec city, Food parks one each in
the 3 regions of Telangana ( processing of poultry products/processing of
coarse grain& millets/spices), Coastal Andhra(value added rice products,
dairy products, horticultural products, marine products, labour oriented,
export oriented industry, and in Rayalseema region( processing of
vegetables- onion, tomatoes, fruits, spices-coriander, edible oils, labour
oriented, export oriented industry)at Krishna, Machilipatnam, RR
district, Leather parks: 72 mini parks, Exim park at Visakhapatnam,
Agri export zones, Gems and Jewelry park etc, Marine Bio tech park,
SEZs, and Pharma city at Visakhapatnam.
Agri Export Zones for the following produce are proposed at the places
mentioned against them:
 mangoes -Krishna district,
 gherkins – Mahaboobnagar, Rangareddy, Medak, Karimnagar,
Warangal, Anantapur, Nalgonda,
 mangoes and grapes – Hyderabad, Rangareddy, Medak,
Mahaboobnagar,
 Mango pulp and fresh vegetables – Chittoor
Other parks coming up are Gems and Jewellery park,
Visakhapatnam Exim park,

Support Institutions: R&D institutes: Apart from the industrial parks,


AP is home to several Research and development Institutions, and
Business schools. R&D Institutions located in AP are: IICT., CCMB,
DRDL, DMRL, NRSA, NIRD, NISIET, CITD, NGRI, ICRISAT, etc.

5
Entrepreneurship Development: Many training Institutions in the state
provide Entrepreneurship Development training and technical
consultancy. Important among these are NIMSME, MSME-DI, APITCO,
CEDAP, Self Employment and Training Institutes in all districts, and a
host of NGOs.

Financial Institutions: As in March 2008 there were 5990 branches of


scheduled banks, of which 1163 are rural branches. The following is the
network of bank branches in the state. The Andhra Pradesh State
Finance Corporation ( APSFC) provides industrial credit, and has
branche offices in all districts.

Industrial scenario in the state: SSI sector: As on 31.3.09, there were


1,58,128 MSME units in the state dispersed across the state, with an
investment of Rs. 10947.55 crores, providing employment to 15,32,529
persons. Ranga reddy district houses 21,551 units (13.6%) followed by
Hyderabad (15,477 - 9.78 %) and Visakhapatnam ( 10,746- 79%).
Nearly 23% of units belong to the food processing center, followed by
Mineral based industry (10.27%) and metal products industries ( 9.8 %)

The details of category-wise distribution of SSIs ( as on 31.3.09) in the


state is as follows:

S.No. Category No. of units Investme Employmen


nt crores t
1. Food Processing 36828 2292.52 374529
Beverage & Tobacco
products
3. Cotton Textiles Wool, 3105 264.57 49099
silk & synthetic fiber
textiles Jute, hemp
& mesta textiles
Hosiery and
garments
7. Wood products 12769 113.53 71259
8. Paper products and 10223 623.5 74381
printing
9. Leather & leather 3512 44.86 18790
products
10. Rubber, plastic & 8016 873.39 69759
petroleum products
11 Chemical and allied 7363 1213.14 111816
inds
12. Mineral based 16251 1403.56 260114

6
industries
13. Basic metal 2648 460.78 43741
industries
14. Metal products 15501 919.98 131294
15. Machinery and 11696 576.78 88940
equipment
16. Electrical and 5420 631.6 64448
electronic
17. Transport equipment 2282 75.82 20244
and parts
18 Miscellaneous 3471 167.81 29208
19 Repairs and services 14634 254.65 74306
20 Others 4454 587.84 50087
Total 158173 10504.33 1532015
Source: Commissioner of Industries, Govt of AP

L&M Industries: Andhra Pradesh has emerged as one of the most


attractive investment destination by attracting a large number of
investors. The State is home to 4099 large & medium scale industries
with investment of Rs. 68258 crores creating employment to 9,77,754
persons. The maximum number of units are located in Ranga Reddy
( 839 nos) and Medak ( 806).(data as on 31.3.09)

The State is ranked 3rd in the country with a total Rs. 1,51,454
crores of committed investment with an employment potential to
7,81,476 persons in the State after liberalization of industrial policy.

Exports from AP: The total exports from AP during the year 2007-08
were to the tune of Rs. 57343 crores. The share of software was 45.5% ,
and that of food products was 10.6%. The exports during 2006-07 was
40601 crores and that during 2005-06 was 24407.9 crores.

Exports from AP during 2007-08 were as follows:


Agriculture & Agro based, forest products Rs 6083 crores
Leather , animal & marine products Rs 1746 crores
Mineral and mineral products Rs 2711 crores
Handlooms & Textiles Rs 1097 crores
Handicrafts & carpets Rs 545 crores
Drugs, Pharma, allied & chemicals, plastics Rs 10787 crores
Engineering items Rs 7148 crores
Electronics & electronic parts Rs 1104 crores
Software Rs 26122 crores

7
Total Rs 57353 crores

Thrust areas: The Vision 2020, a document planned to catapult the


state in to a developed economy with a growth rate of 9-10%, has
identified 24 growth engines for development. These include
 Rice,
 Dairy,
 Poultry,
 Horticulture,
 Fisheries,
 Agro-industry,
 Infrastructure development,
 Construction,
 Textiles,
 Mining,
 Pharmaceuticals,
 SSIs,
 Information technology,
 Knowledge based services,
 Tourism,
 Logistics,
 Small-scale services,
 Healthcare and
 Education.
Food processing: fruit and vegetable processing, fruit based ready to
serve beverages, wine making, food grain milling, dairy products,
processing of poultry, eggs, meat and meat products, bread, oilseed,
breakfast foods, biscuits, other packed foods, cold storage units, food
grade packaging material, etc

Bio technology: tissue culture labs, green houses, mushroom labs,


seed production units based on modern scientific methods to meet
industry standards. Bioinformatics, etc.

Information Technology and Enabled Services: software development,


hardware, BPO, call centers, etc

Pharmaceuticals: AP contributes about 34% of the country’s turnover of


domestic pharma industry. A Pharma city at Visakhapatnam is proposed
to give the industry a further push.

8
GOVERNMENT INITIATIVES

Policy Initiatives

Industrial Policy 2005-2010


The Government of Andhra Pradesh have announced a New
Industrial Policy for 2005-10 to extend various incentives for the SSI,
Tiny and Large and Medium scale sector industries located other than
the Municipal areas of Hyderabad/ Vijayawada/ Visakhapatnam. The
incentives available under the policy are given below.
Abstract of Fiscal Benefits

S.No Category of Fiscal Benefits


Industry
1a. SSI/Tiny units o 100% reimbursement of Stamp duty and
transfer duty paid by the industry. (5.1.2)
o 100% reimbursement of Stamp duty for lease
of land/shed /buildings (5.1.3)
o 100% reimbursement of Stamp duty and
transfer duty paid by the industry on financial
deeds and mortgages etc (5.1.4)
o 25% rebate in land cost in IEs/IDA’s limited to
Rs.5 lakhs (5.1.5)
o Power cost will be reimbursed @ Rs.0.75 per
unit during the first year of the policy and
thereafter for the remaining four years the rate
of reimbursement would be so regulated on
yearly basis keeping in view of the changes in
the tariff structures to ensure that power cost
to the industry is pegged down to the first
year’s level (5.1.11)
o 15% Investment subsidy limited to Rs.15
lakhs (5.2.2)
o An additional subsidy of 5% limited to Rs.5
Lakhs for SC/ST entrepreneurs (5.2.3)
o 25% of the tax paid during one financial year
will be ploughed back to Tiny/SSI/ Large &
Medium Industries as a grant by the
Government towards the payment of tax
during next year. Benefit will be available for 5
years from the date of commencement of
production i.e upto 6th year. (5.2.4)
o 3% interest rebate limited Rs.5 Lakhs per year
for 5 years (5.2.7)

9
o 5% of the project cost will be provided as seed
capital assistance to SSI/Tiny units started by
SC/ST entrepreneurs limited to Rs.5.00 Lakhs
(5.2.8)
o 8% subsidy on capital equipment for
technology upgradation (5.4.6)
o 50% subsidy on the expenses incurred for
quality certification limited to Rs. 1 Lakh
(5.4.9)
o 25% subsidy on cleaner production measures
limited to Rs.5 Lakhs (5.6.8)
o 50% subsidy on the expenses incurred for
patent registration limited to Rs. 5 Lakh
(5.10.3)
1b. Women o 100% reimbursement of Stamp duty and
Entrepreneurs transfer duty paid by the industry. (5.1.2)
o 100% reimbursement of Stamp duty for lease
of land/shed /buildings (5.1.3)
o 100% reimbursement of Stamp duty and
transfer duty paid by the industry on financial
deeds and mortgages etc (5.1.4)
o 25% rebate in land cost in IEs/IDA’s limited to
Rs.5 lakhs (5.1.5)
o Power cost will be reimbursed @ Rs.0.75 per
unit during the first year of the policy and
thereafter for the remaining four years the rate
of reimbursement would be so regulated on
yearly basis keeping in view of the changes in
the tariff structures to ensure that power cost
to the industry is pegged down to the first
year’s level (5.1.11)
o 15% Investment subsidy limited to Rs.15
lakhs (5.2.2)
o 5% Additional Investment subsidy limited to
Rs.5 lakhs (5.3.5)
o Another 5% Investment subsidy limited to
Rs.5 lakhs for women belong to SC/ST
community (5.3.6)
o 25% of the tax paid during one financial year
will be ploughed back to Tiny/SSI/ Large &
Medium Industries as a grant by the
Government towards the payment of tax
during next year. Benefit will be available for 5
years from the date of commencement of

10
production i.e upto 6th year. (5.2.4)
o 5% of the project cost will be provided as seed
capital assistance limited to Rs.5Lakhs (5.3.7)
o 5% interest rebate limited Rs.5 Lakhs per year
for 5 years (5.3.8)
o 8% subsidy on capital equipment for
technology upgradation (5.4.6)
o 50% subsidy on the expenses incurred for
quality certification limited to Rs. 1 Lakh
(5.4.9)
o 25% subsidy on cleaner production measures
limited to Rs.5 Lakhs (5.6.8)
o 50% subsidy on the expenses incurred for
patent registration limited to Rs. 5 Lakh
(5.10.3)

2. Units other than o 100% reimbursement of Stamp duty and


SSI/Tiny units transfer duty paid by the industry. (5.1.2)
o 100% reimbursement of Stamp duty for lease
of land/shed /buildings (5.1.3)
o 100% reimbursement of Stamp duty and
transfer duty paid by the industry on financial
deeds and mortgages etc (5.1.4)
o 25% rebate in land cost in IEs/IDA’s limited to
Rs.5 lakhs (5.1.5)
o Power cost will be reimbursed @ Rs.0.75 per
unit during the first year of the policy and
thereafter for the remaining four years the rate
of reimbursement would be so regulated on
yearly basis keeping in view of the changes in
the tariff structures to ensure that power cost
to the industry is pegged down to the first
year’s level (5.1.11)
o 25% of the tax paid during one financial year
will be ploughed back to Tiny/SSI/ Large &
Medium Industries as a grant by the
Government towards the payment of tax
during next year. Benefit will be available for 5
years from the date of commencement of
production i.e upto 6th year. (5.2.4)
o Infrastructure assistance to stand alone units
by contributing 50% of the cost of
infrastructure from IIDF subject to a
maximum of Rs.1 cr. (5.1.16)

11
o 50% subsidy on the expenses incurred for
quality certification limited to Rs. 1 Lakh
(5.4.9)
o 25% subsidy on cleaner production measures
limited to Rs.5 Lakhs (5.6.8)
o 50% subsidy on the expenses incurred for
patent registration limited to Rs. 5 Lakh
(5.10.3)

3. Mega Projects o Mega projects are eligible for all the incentives
available for large and medium scale
industries.
o 25% of the tax paid during one financial year
will be ploughed back to Industry as a grant
by the Government towards the payment of tax
during next year. Benefit will be available for 5
years from the date of commencement of
production i.e upto 6th year. (5.2.4)
 Further, the Government will also extend
tailor-made benefits to suit to particular
investment requirements on case to case
basis. ( 5.7.4)

4. Existing Tiny/SSI o 50% subsidy on the expenses incurred for


units and other than quality certification limited to Rs. 1 Lakh
Mega projects (5.4.9)
o 50% subsidy on the expenses incurred for
patent registration limited to Rs. 5 Lakhs
(5.10.3)
5 Existing Large o In order to address the specific problems of
Industries and Mega existing large industries, Government may
projects offer special package of fiscal benefits on case
to case basis. Exact fiscal benefits would be
decided by SIPB from time to time depending
on the nature of the project, investment,
location, employment etc. An Industrial
Promotion fund with adequate provision will
be created for the purpose. Guidelines and
modalities for operating the fund will be
decided by the SIPB (5.7.4)

12
Cluster Development in the State: The following clusters are being
undertaken in the State for cluster development:
1. Imitation Jewellery cluster, Machilipatnam, Krishna district
2. Mango jelly cluster, Bhimli, Vijayanagaram
3. Mango jelly cluster, Kakinada, East Godavari district
4. Burnt lime cluster, Piduguralla, Guntur district
5. Turmeric processing cluster, Duggirala, Guntur district
6. Food processing cluster, Vijayawada, Krishna district
7. Graphite Crucibles cluster, Rajahmundry,East Godavari district
8. Ready made garments cluster, Rayadur, Anantapur district
9. FRP Cluster , Hyderabad ( by MSME=DI, Hyderabad)

For combating Industrial sickness:


1. Industry Facilitation Council
In Andhra Pradesh Industry Facilitation Council has been
constituted under the provision of Interest on Delayed Payments to Small
Scale and Ancillary Industrial undertakings Act 32/93 read with
subsequent amendment of 23/98 has come into effect from 2nd
April,1993.

Rehabilitation of Sick SSI units :


The Industrial Sickness in Andhra Pradesh is reported to be as
high as 38% as per the recent All India Census of SSI units conducted in
2001-2002. In order to reduce the percentage of sickness the State Govt.
introduced a new scheme called A.P.Small Scale Industries (APSSIRS) for
effective revival of sick SSI units. Under the scheme any sick SSI/
Ancillary/Non-BIFR unit in Manufacturing sector whose total investment
in plant and machinery exceeds Rs.5.00 lakhs and above would be
eligible for revival package subject to fulfilling certain other conditions
and norms stipulated in the scheme. Under this scheme, viable sick
units would be provided with various fiscal and non-fiscal concessions
and relief’s both by various Govt Depts/ Agencies and financial
institutions depending upon the revival package approved by the
members of Special Cell under APSSIRS scheme. The facilities available
under the scheme are given below.

Power concessions –

13
 Waiver of minimum charges during the closure period
 Exemption from security deposit for reconnection.

Tax Concessions –
 Deferment of arrears
 Continuation of incentives sanctioned earlier
Non-fiscal –
 Relaxation from power cuts
 Permission to mortgage surplus lands
 Amicable settlement of labour disputes

For operating this scheme Special Cell has been created in the
Commissionerate of Industries for receiving and processing of the
applications from sick industrial units and to extend concessions as per
their eligibility. So far 28 cases have been considered for sanction of
relief’s and concessions for revival.

AP’s Strengths
 Andhra Pradesh, a vibrant state provides a firm and ideal platform
for an industry to takeoff
 Its proactive policies and legislations are helpful tools for an
investor to come in
 It has made far reaching changes in
 in
1) Labour Laws 2) Industrial Policy
3) Power Reforms 4) Provision of Industrial Water
5) Enacted single window clearances Act
6) A model state for good governance
 Centrally and strategically located
 Second longest coastline in the country
 Ample water resources
 Second largest mineral reserves in the country
 Largest bulk drug and formulations industry in the country
 Capital city Hyderabad is globally recognized and fastest growing
base for IT enabled services
 Growing centre for Biotechnology
 Leading state in several Agro-based industries – Sugar, Edible Oil,
Sea foods
 First state to introduce Infrastructure Development Enabling Act
 Huge gas reserves found in Krishna Godavari basin – 14 trillion
cubic feet
 Power – good PLF : 96.3%
 Good rail, road network and communications

14
Government of Andhra Pradesh identified the following Growth
engines in the Primary, Secondary and tertiary sectors
Primary
 Rice
 Groundnut
 Cotton
 Chillies
 Sugarcane
 Horticulture
 Cocoons
 Dairy
 Eggs
 Meat & Meat Products
 Fisheries
 Mining

Secondary
 Food Processing
 Chemical Products,
 Small Scale Industries
 Electricity

Tertiary
 Construction
 Trade
 Railways
 Transport
 Business Services (IT)
 Education
 Medical & Health
 Communications
 Banking

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