Investment : States 

Andhra Pradesh


Andhra Pradesh is the fifth largest State in the country covering an area of 2, 75,069 sq. km. It is bounded by Tamil Nadu on the south; by Orissa and Chhattisgarh on the north; by Maharashtra and Karnataka on the west; and by the Bay of Bengal on the east. It has the longest coastline of 974 km among all the States in India. It is endowed with a variety of physiographic features ranging from high hills, undulating plains to a coastal deltaic environment.

Andhra Pradesh is the resourceful land of minerals which includes coal, oil and natural gas, bauxite, limestone, gold, diamonds and much more. It is an agriculturally-prosperous State, endowed with fertile land, water and conducive agro-climatic conditions. It is among the largest producers of food grains, fruits, vegetables, cotton, maize, dairy and poultry products in the country. It has been net exporter of many agro products. The State is also a home to many large public and private sector companies. It is considered as the hub of industrial activity in South India. Hyderabad and Visakhapatnam have become the nerve centres for manufacturing, information technology, tourism and services.

The State provides a cosmopolitan environment with good quality of life at comparable costs. It is considered as the best business State in the country due to its several advantageous features, which include:-

· Pro-active and responsive administrative set up;
· Simple and transparent procedures for investment;
· Rich natural resource base;
· Gateway to East and South East Asia;
· Educated and skilled human resource;
· A diversified industrial set up;
· Well-connected road, rail and air network;
· Efficient power supply system;
· Favourable Human Development Index;
· Home to several institutes/ centres of excellence in Research and Development;
· Excellent telecommunication network;
· Large consumer base, etc.

As a result, Andhra Pradesh has attracted a large number of investors for setting up their operations in the State. They have set up industrial units in diverse fields like information technology, agro-processing, automobiles, textiles, drugs and pharmaceuticals, etc. The Government of Andhra Pradesh has undertaken several policy measures and incentives in order to encourage further inflow of investment into the various sectors of its economy.

Investing in Andhra Pradesh
Setting up an industry in Andhra Pradesh is simple and straightforward. The State Government actively supports investment, both foreign direct investment and domestic investment in manufacturing, mining and infrastructure sectors.

Investment Opportunities
Andhra Pradesh provides opportunities for investment in various sectors.The State is rife with investment opportunities in the main thrust areas – broadly in the manufacturing, infrastructure and other sectors categories. In the manufacturing sector food processing, agro processing (including floriculture), petrochemicals, basis metals, textiles, leather, mining and mineral processing, transport equipment, telecommunication hardware and electronics and engineering are attracting a great deal of attention.

In the infrastructure sector development in the areas of power, ports, roads and bridges, telecommunication facilities, and industrial infrastructure and waterways is being specifically emphasized.

Apart from these, there exists considerable scope in the sectors of financial services, R and D organization, component sourcing centres, commercial forestry and tourism.

Given its inherent strengths, dynamic policies and quick response government, Andhra Pradesh, the hub of industrial activity in south India, is the ideal location for new industries.

· Ranks number four in investment in existing units.
· Presence of 71 out of the 500 top global corporates and 63 out of the country’s top 500 companies
· Stands fifth in cumulative disbursement of assistance by Central Financial Institutions.
· An international economic enclave at Visakhapatnam and a Business District at Hyderabad.
· 208 industrial development areas and industrial estates with all basic facilities.
· Software technology park at Hyderabad and home to several hi-tech computer companies already.


June 2009

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