Andhra Pradesh

Andhra Pradesh contributes to 7% of India’s total spinning, ginning and pressing capacity

Andhra Pradesh is among the largest producers of cotton, the 2nd largest producer of raw silk, and stands 4th in jute production in India. The state boasts over 200 ginning and processing units. The State supplies supreme quality yarn to top players in both domestic as well as international market. The State also is renowned globally for its rich handlooms.

Availability of resources along with the presence of a well-developed ecosystem makes Andhra Pradesh attractive for the Textile industry and offers immense opportunities for entrepreneurs investing in value-added segments across the textiles value chain.

For Long-term, sustainable growth of the textile sector, the state is committed to promoting Green Textiles and is focused on developing segments in short supply such as Processing, Garmenting, Technical textile (special emphasis on Agro & Medical textiles) & Textile Machinery Manufacturing

Andhra Pradesh has 6 major ports, 6 airports, 123,334 km of road network, 3703.25 km of the rail network and 1095 km of the national waterways

There are at present 3 industrial corridors, 3 proposed greenfield airports and 4 upcoming ports. The state has 25 operational special economic zones and several national investment and manufacturing zones. 

Andhra Pradesh ranks #1 in fish and shrimp production as well as in production of fruits and spices

Andhra Pradesh occupies a premier position in the country’s agribusiness industry with major contributions in the areas such as Aqua culture, Horticulture, Dairy and Poultry. Around 60% of the State’s population is employed in agriculture and related activities, which enables Andhra Pradesh to be a leader in hosting various downstream processing industries.

The GVA of the Agriculture & Allied Sector for the year 2021-22 is estimated to be INR 2 Lakh Cr, with a growth rate of 11.27%. The Agri & Food processing exports from the state for the year 2021-22 stood at INR 44,539 crores (US $5.95 Bn) registering a growth of 5.95%, despite the supply chain interruptions caused due to the pandemic. 

Andhra Pradesh has a total installed capacity of around 25 GW, of which renewables accounts for 36%

Andhra Pradesh is a leading state in the country in promoting the renewable energy sector and is well-positioned to drive India’s sustainable economic development going forward.

The state has 9 GW of renewable power installed capacity, comprising of 4.3 GW of solar power, 4.1 GW of wind power, 444 MW of Biomass, 106 MW of Small Hydro, 36 MW of Municipal Solid Waste and 41 MW of Industrial Waste to Power plants, contributing 36% of total power installed capacity in the state.

With rich renewable energy hubs, carrying the potential for setting up 38 GW in solar, and 44 GW (at 100-meter hub height) in wind, Andhra Pradesh provides a conducive environment and excellent opportunities for investments in Renewable Energy.

Andhra Pradesh is home to 250+ APIs & bulk drug units and Asia’s first medical devices park – the ‘Andhra Pradesh Med-Tech Zone

Andhra Pradesh is renowned as one of the top hubs in the country for manufacturing pharmaceutical products.

Multiple large global firms have made the state their base and supply to their global clientele. The state is home to renowned pharma clusters namely Jawaharlal Nehru Pharma City (JNPC), APSEZ Atchutapuram, APSEZ Pydibhimavaram, and APSEZ Naidupeta which host key pharma industries.

Andhra Pradesh has a robust pharma value chain enabling seamless to and fro linkages for product development and clinical research.

The State is home to 250+ APIs/Bulk Drug units of which 38 are approved by the World Health Organization (WHO) and 20 are approved by the United States Food and Drug Administration (USFDA). The sector has attracted over INR 18,000+ Cr ($2.5 Bn) investments as of FY 21-22, generating about 88,984 direct employments in total.

Andhra Pradesh aims to leverage the existing pharmaceutical, biotech, and medical device clients to develop future-focused strategies & policies supporting global Pharma & Life Sciences companies.

With 3 successful operational Electronics Manufacturing Clusters (EMCs), Andhra Pradesh contributes to 10% of India’s Electronics production

Marquee electronics brands in the state such as Foxconn, Xiaomi, Karbonn, Celkon manufacture over 3.5 Mn mobile phones every month. The abundant availability of water and power in the state provides a conducive ecosystem for manufacturing High-end electronics such as Semiconductors, Fabs, Display units, Energy Storage, Solar Cells, etc. The state is developing the new EMC at YSR Kopparthy in Kadapa district, the only cluster approved by the Govt of India under the EMC 2.0 scheme, which offers best-in-class infrastructure coupled with incentives upto 100% FCI to companies.

Andhra Pradesh has 3 dedicated special economic zones for the IT sector and 25 private and state-run incubation centres around Visakhapatnam, East Godavari, Krishna, and Anantapur districts. The State also has an IT Park in the Guntur district.

Home to largest FDI in recent times from South Korea, Japan and Taiwan, with presence of 35 Large projects and 20,000+ MSMEs driving vendor ecosystem

Kia Motors has set up its largest manufacturing unit in India in the Anantapur district with an annual capacity of 300,000 units. The state contributes to 10% of total automotive exports from India with the presence of leaders such as Apollo Tyres, Yokohoma Tyres, Isuzu Motors, Ashok Leyland, Bharat Forge, Hero Motors, Faurecia, Amara Raja group among others.

As one of the leading states to adopt Electric Mobility in the nation, the state’s attractive AP Electric Mobility Policy 2018-23 provides various fiscal and non-fiscal incentives for EV and components manufacturing, Charging, Generation & Refueling Infrastructure, Demand creation for EVs and R&D.

Andhra Pradesh is home to the headquarters of Eastern Naval Command of India and main satellite launch station of ISRO

Andhra Pradesh has strong presence of Defence Public Sector Units. The state is home to the Eastern Naval Command in Visakhapatnam and Satish Dhawan Space Centre SHAR (SDSC SHAR), at the Indian Space Research Organization (ISRO) in Sriharikota, the primary spaceport of India.

The Hindustan Shipyard, founded in 1941, is a PSU that is focused on ship building, ship repair including major overhauls of Indian Navy submarines. The State is also host to marquee organizations in Defence such as DRDO, Bharat Electronics Ltd., Bharat Dynamics Ltd. etc., and provides a strong ecosystem in Aerospace & Defence manufacturing. 

AP has also established a dedicated Aerospace & Defence Park in Anantapur and Chittoor districts to leverage the manufacturing infrastructure. Andhra Pradesh is committed to become the chosen investment destination in India in Aerospace & Defence manufacturing with enabling policies, strong ports & airport infrastructure, natural resource base, skilled manpower and facilitating conducive business environment

Andhra Pradesh is one of the only four states within India with a Petroleum, Chemicals, and Petrochemicals Investment Region (PCPIR) approved by the Government of India and is spread over 640 sq km

Chemicals & Petrochemicals, constituting Oil & Gas, Fertilizers & Agro-Chemicals, Bio-based Chemicals, Battery Chemicals, Sodium-based Chemicals & Water Management Chemical manufacturing units, are the key contributors to the Sector.

In addition to having the largest PCPIR in the country, Andhra Pradesh, with its world-class infrastructure and multiple ports, is poised to become a hub for petrochemical product manufacturing driving economies of scale for downstream chemical industries thereby becoming a preferred investment destination for Petroleum, Chemical & Petrochemical companies.