Embed Size (px)
Citation preview
For updated information, please visit www.ibef.orgDecember 2020
ANDHRA PRADESH
2
Executive Summary 3
Re-organisation Act, 2014 4
Introduction 7
Economic Snapshot 12
Physical Infrastructure 18
Social Infrastructure 26
Industrial Infrastructure 29
Key Sectors 32
Key Procedures & Policies 38
Appendix 49
Table of Contents
3
Executive summary
3 The Andhra Pradesh government is taking various initiatives to develop its physical infrastructure in the areas of rail,
roads, metros and ports.
Groundwork for Vizag metro project with 140km-long mass rapid transit system started in October 2020. The projectis estimated to cost Rs. 22,000 crore (US$ 2.98 billion) and will be completed by 2028.
Government initiatives to improve infrastructure
2
Various pharmaceutical companies have set up their manufacturing hubs in Visakhapatnam and Srikakulamdistricts. The state provides ample growth opportunities due to availability of ports along with large parcels of landfor expansion, etc.
Out of the 20 operational SEZs in Andhra Pradesh, four are pharmaceutical SEZs, as of February 29, 2020. Exportsof pharmaceuticals* from the state stood at US$ 1.48 billion in FY20 and reached US$ 1.11 million in FY21 (untilOctober 2020).
Growth of pharmaceutical industry
1Largest exporter of marine products Andhra Pradesh accounts for a major share in the overall exports of seafood products from India, in value terms.
Andhra Pradesh ranks first in prawn and fish production in the country and fourth in production of marine fisheries.
4Tourist destination The state has taken proactive measures to promote ecotourism, which has a huge potential to facilitate job creation
and growth.
While the state has incurred losses due to the ongoing pandemic, it is now making plans to open itself to touristswith new policies.
Note: P - Provisional, *includes drug formulations, biologicals, bulk drugs and drug intermediates, SEZ- Special Economic ZoneSource: The Marine Products Export Development Authority (MPEDA), Ministry of Tourism, Government of India, State Budget, AP State Portal, Andhra Pradesh Tourism, DGCIS Analytics
4
Reorganisation Act, 2014…(1/3)
1Common capital and Governor Greater Hyderabad Municipal Corporation area of Hyderabad would be the common capital for the states for a period not more than 10
years. However, the new capital city would be Amaravati. Both states to have a common Governor.
2Police forces Central Government to provide assistance to raise additional forces. New training centre for Seemandhra would be established.t
3High Court High Court at Hyderabad would be a common High Court till a separate High Court is established for Seemandhra. The expenditure is to be allocated on the basis of population ratio.
4Special development package Central Government to make appropriate grants, provide adequate benefits & incentives in the form of a special development
package for Seemandhra. This will ensure expansion of physical & social infrastructure.
5
Reorganisation Act, 2014…(2/3)
5Services of Employees For Central Government employees, an advisory committee would be appointed to draw up guidelines and take up the allocation
exercise. For state Government employees, district, zonal and multi-zonal cadres falling in one of the successor states are deemed to be allotted to
that state; else employees would be allocated based on options.
6Water Resources Two separate boards would be created by the central Government for Krishna and Godavari Rivers to look after administration,
regulation, maintenance and operation of notified projects.
7Energy Existing PPAs would continue; units of APGENCO and assets of APTRANSCO would be divided based on location. Central power would be allotted on actual energy consumption trend.
8Higher Education The Government of India shall establish an AIIMS-type super-specialty hospital-cum-teaching institution. Admissions in higher, technical and medical education would be common for 10 years. Quotas under article 371-D would also continue.
6
Reorganisation Act, 2014…(3/3)
9New Capital Central Government to provide financial support for creation of a new capital. An expert committee to be constituted by the central Government to study various alternatives & make a recommendation within 6
months. However, the new capital city would be Amaravati. The World Bank, Housing & Urban Development Corporation (HUDCO) and Andhra Bank, sanctioned US$2.61 billion for the
construction of capital city of Amaravati. The state Government is planning to build a new world class capital city, Amaravati, on a 217 sq. km open area in Guntur district. The city
is being designed with 10% water bodies and 51% green spaces, along with several iconic buildings.
7
INTRODUCTION
8
Andhra Pradesh fact file
• Andhra Pradesh is in the southern peninsula of India and has a coastline of 974 kms. It is eighth largest states in the country.• The state of Andhra Pradesh is bound by Chhattisgarh on the north, Odisha on the northeast, Telangana & Karnataka on the west, Tamil Nadu on
the south and the Bay of Bengal on the east.• Visakhapatnam, Vijayawada, Tirupati, Rajahmundry, Guntur, Kakinada, Ongole, Nellore and Kurnool are some of the key cities in the state.• Most commonly spoken language is Telugu. Urdu, Hindi, Tamil, Kannada and Oriya are the other languages used.• Out of various districts in the state, Krishna district has the highest population density at 518 persons per sq. km.
Key Insightsadministrative districts: 13
304 persons per sq kmPopulation density
24.64 millionfemale population
Hyderabad1, Amaravati
Capital
1,62,970 sq.km.geographical area
67.4%literacy rate
54.0944 milliontotal population
24.73 millionmale population
997Sex ratio
(females per 1,000 males)
Source: Andhra Pradesh State Portal, Andhra Pradesh Socio-Economic Survey 2018-19Note: 1For ten years
9
Advantage
4 GROWTH IN EXPORT Exports from the state from April
2020 to September 2020 stood at US$ 8.96 billion.
Major exports from the state are drugs & pharmaceuticals, marine, agriculture and agro-based products, handicrafts and engineering products.
1 HIGH ECONOMIC GROWTH The overall economic growth in
Andhra Pradesh is driven by theagriculture and allied sector,which contributed to the highestGVA growth of 15.89% fromFY12 to FY20, followed byservices sector (12.52%) andindustry sector (6.27%).
The GSDP at current prices for2019-20 was Rs. 9,72,782.11crore (US$ 138.19 billion) for2019-20 as opposed to Rs.8,62,957.08 crore (US$ 126.1billion) for 2018-19.`
3 ADEQUATE POWER GENERATION CAPACITY Most of the coal-based power plants are located
in the coastal regions due to their connectivity tothe ports.
The Government of Andhra Pradesh delivers24X7 reliable and quality power across theindustrial commercial and domestic sectors ofthe state.
2 LONG COASTLINE A 974-km long coastline provides numerous
opportunities for the state to develop severalports.
The Visakhapatnam port ranks fourth in terms ofport traffic. During FY20, the traffic handled atthe port was 72.72 million tonnes.
Note: GSDP: Gross State Domestic Product, GVA: Gross Value Added, AE: Advanced EstimatesSource: Central Electricity Authority, Directorate of Economics & Statistics of Andhra Pradesh, Central Statistics Office, Andhra Pradesh State Portal, Indian Port Association, Directorate General of Commercial Intelligence and Statistics
1
2 3
4
10
Andhra Pradesh in figures
Andhra Pradesh’s Contribution to Indian Economy (2019-20)
Social Indicators
Physical Infrastructure in Andhra Pradesh
Industrial Infrastructure Investments (as of September 2020)
GSDP as a percentage of all states’ GSDPIndia: 100.0
Per capita GSDP* (US$)India: 1,975.05 | Andhra Pradesh: 2,675.9
GSDP growth rate** (%)India: 9.80 | Andhra Pradesh: 12.14
Literacy rate (%)India: 73.0 | Andhra Pradesh: 67.40
Operational PPP projects (No.) (December 2019)
India: 1824 | Andhra Pradesh: 85
Exporting SEZs (No.) (as of February 2020)India: 240 | Andhra Pradesh: 20
Installed power capacity (MW) (as of October 2020)India: 373,435.58 | Andhra Pradesh: 24,885.10
Internet subscribers (million) (as of June 2020)India: 749.07 | Andhra Pradesh: 59.15
Wireless subscribers (million) (as of August 2020)India: 1,147.92 | Andhra Pradesh: 86.42
National highway length (km) (as of September 2019)India: 132,499.5 | Andhra Pradesh: 6,913.5
Major and minor ports (No.)India: 12+200 | Andhra Pradesh: 1 + 12
Cumulative FDI equity inflows (From October 2019 to September 2020) (US$ million)India: 30,443.59 | Andhra Pradesh: 229.13
GSDP| Andhra Pradesh: 4.80
Birth rate (per 1,000 population) (2018)India: 20 | Andhra Pradesh: 16.0
Airports (No.) (December 2020)India: 125 | Andhra Pradesh: 7
Note: GSDP, per capita GSDP figures are taken at current prices, For source refer to Annexure
11
Vision – 2029
2 Job Creation through MSMEs 25,000 new and export oriented
MSMEs
Share of MSME Employment to be 10% by 2029
3 Infrastructure Development
• Construct 24,000 km of roads and highways• Increase storage and warehouse capacity to
62.9 MTPA by 2029• As per the Budget 2019-20, Government has
started a massive school infrastructure modernization program with an allocation of Rs. 1,500 crore (US$ 210 million).
5 Start-up Ecosystem Establish 100
Incubators/Accelerators
Incubate 5,000 companies and start-ups
4 Social Development Achieve Human Development Index
(HDI) score of 0.9
Receive very high human development status
1 Economic Growth Increase GSDP per capita to Rs.
5.07 lakh (US$ 7,866.56) by 2029-30.
Achieve12% annual GSDP growth till 2029-30.
6 Agriculture and Fisheries Add value to 40% of total fish
produce by 2029.
Source: Sunrise Andhra Pradesh Vision 2029
5
4
1 6
3
2
12
ECONOMIC SNAPSHOT
13
Economic snapshot – GSDP
Source: Ministry of Statistics & Programme Implementation
GSDP of Andhra Pradesh at current prices
79.1
2
75.5
6
76.7
4
85.8
5
92.3
1
102.
01 123.
07
126.
12 138.
19
3,79
4.0
4,11
4.0
4,64
2.7
5,24
9.8
6,04
2.3
6,84
4.2
7,93
1.9
8,62
9.6
9,72
7.8
0
2000
4000
6000
8000
10000
12000
0
20
40
60
80
100
120
140
160
2011
-12
2012
-13
2013
-14
2014
-15
2015
-16
2016
-17
2017
-18
2018
-19
2019
-20
US$ billion Rs. billion
CAGR (in Rs.) 12.64%
GDP per capita of Andhra Pradesh at current prices
At current prices, Andhra Pradesh's Gross State DomesticProduct (GSDP) was Rs. 9,72,782.11 crore (US$ 138.19 billion)for 2019-20 as opposed to Rs. 8,62,957.08 crore (US$ 126.1billion) for 2018-19.
The GSDP increased at a CAGR of 12.64% from 2015-16 to2019-20.
The state’s per capita GSDP in 2019-20 was Rs. 188,370.33(US$ 2,675.9).
Per capita GSDP increased at a CAGR of 8.84% between2015-16 and 2018-19.
1,82
9.78
2,01
0.42 2,41
1.20
2,45
6.57
2,67
5.94
119,
777.
31
134,
878.
87
155,
401.
75
168,
083.
42
188,
370.
34
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
200000
0
500
1000
1500
2000
2500
3000
2015
-16
2016
-17
2017
-18
2018
-19
2019
-20
US$ Rs.
CAGR (in Rs.) 8.84%
14
Economic snapshot – NSDP
NSDP of Andhra Pradesh at current prices
83.2 91
.3 110.
6
113.
4 124.
4
5,44
8.3
6,12
3.5
7,12
9.4
7,76
1.4
8,75
4.3
010002000300040005000600070008000900010000
0
20
40
60
80
100
120
140
2015
-16
2016
-17
2017
-18
2018
-19
2019
-20
US$ billion Rs. billion
CAGR (in Rs.) 12.59%
NSDP per capita of Andhra Pradesh at current prices
At current prices, the NSDP of Andhra Pradesh was Rs.875,429.02 crore (US$ 124.4 billion) in 2019-20.
The NSDP increased at a CAGR of 12.59% from 2015-16 to2019-20
The state’s per capita income at current prices increased to Rs.1,69,519 (US$ 2,408) in 2019-20 from Rs. 1,51,173 (US$2,210) in 2018-19, a growth of 12.14%.
Per capita GSDP increased at a CAGR of 11.93% between2015-16 and 2019-20.
1.65 1.
80
2.17 2.21 2.
41
108.
0
120.
7 139.
7
151.
2 169.
5
0.0
20.0
40.0
60.0
80.0
100.0
120.0
140.0
160.0
180.0
0
1
1
2
2
3
3
2015
-16
2016
-17
2017
-18
2018
-19
2019
-20
US$ (000s) Rs. (000s)
CAGR (in Rs.) 11.93%
Source: Ministry of Statistics & Programme Implementation
15
Economic snapshot – % distribution of GSDP
In 2019-20, the services sector accounted for 41.80% in the total
GVA of the state, followed by agriculture and allied (39.99%) and
industry (18.21%).
The agriculture and allied sector grew at the fastest rate at 15.89%
between 2011-12 and 2019-20, followed by services sector (12.52%)
and industry sector (6.27%).
The growth achievement for 2019-20 is significant, especially in the
context of global economic slowdown and other fallouts that affect
the national economy and its attendant impact on the state as well.
Visakhapatnam port traffic (million tonnes)GSDP composition by sector
30.93%
39.99%
28.16% 18.21%
40.91% 41.80%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2011-12 2019-20 AE
Agriculture & Allied Industry Services
15.89%
12.52%
6.27%
CAGR^
Source: Ministry of Statistics & Programme Implementation
16
Economic snapshot – FDI inflow & investments
According to Department for Promotion of Industry and Internal
Trade (DPIIT), FDI inflow in Andhra Pradesh between April 2000 and
March 2020 reached US$ 19.20 billion.
Between October 2019 and September 2020, FDI inflows in Andhra
Pradesh stood at US$ 248.75 million. The state ranked 12th in India
in terms of FDI inflows.
In January 2019, Asia Pulp & Paper decided to invest US$ 3.5 billion
for setting up of a greenfield pulp and paper plant in Prakasam
district.
In 2019, 139 investment intentions worth Rs. 18,823 crore (US$ 2.69
billion) were filed in Andhra Pradesh.
In January 2020, 15 investment intentions worth Rs. 3,054 crore
(US$ 0.43 billion) were filed in the state.
Visakhapatnam port traffic (million tonnes)
Source: Department for Promotion of Industry and Internal Trade
FDI inflow in Andhra Pradesh in April 2000-March 2020 (US$ million)
8481,159
6781,369
1,556
2,1951,246
3,457727
19,196
02000400060008000
100001200014000160001800020000
FY01
-FY1
1
2011
-12
2012
-13
2013
-14
2014
-15
2015
-16
2016
-17
2017
-18
2018
-19
FY20
FY01
-FY2
0
Year Number Proposed Investments (US$ billion)
2016 164 5.13
2017 154 4.54
2018 161 2.83
2019 139 2.69
2020* 15 0.43
Investment intentions in terms of IEMs filed, LOIs / DILs issued
17
Economic snapshot – Export trends
Merchandise exports from Andhra Pradesh have increased to US$ 14.08 billion in FY20. In FY21 (until October 2020), it reached US$ 8.96 billion.
Marine products is the largest export category of the state, accounting for ~16.58% of the total exports in 2019-20.
Note: MEIS - Merchandise Export from India Scheme Source: Directorate General of Commercial Intelligence and Statistics
Merchandise Export from Andhra Pradesh (US$ billion)
12.14 11.9413.02
14.0814.78
8.96
0.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
16.00
FY16 FY17 FY18 FY19 FY20 F21 (tillOctober2020)
Principal Commodities Exported in FY20
16.58%
14.14%
10.02%
9.45%
6.19%4.60%3.23%
2.92%
32.86%
Marine Products
Iron and Steel
Drug Formulations,BiologicalsShip, Boats and OtherFloating StructuresRice (Other than Basmati)
Residul Chemical
Spices
Tobacco Unmanufactured
Others
18
PHYSICAL INFRASTRUCTURE
19
Physical infrastructure – Roads
Source: Andhra Pradesh Socio Economic Survey 2019-20, NHAI, State Budget 2020-21
The total R&B road network (excluding NH roads) in the state in2019-20 was 46,211.69 kms, comprising 13,500.445 kms of statehighways, 32711.245 kms of major district road and rural roads.
For 2020-21, the State Government has allocated Rs. 6,588.63 crore(US$ 934.69 million) as capital expenditure on transport, road, andbuildings department in the state.
The Government has initiated two projects with funding from NewDevelopment Bank on cost sharing model of 70:30 - Andhra PradeshRoad and Bridges Reconstruction Project (APRBRP) and AndhraPradesh Mandal Connectivity and Rural Connectivity ImprovementProject (APMCRCIP). A cumulative road length of 3,104 kms and479 bridges will be covered under these projects.
Under Andhra Pradesh Petroleum, Chemicals & PetrochemicalsInvestment Region (AP PCPIR), construction of 40 km of nationalhighways, 42 km of state highways and nearly 75 km of major districtroads is under planning and is expected to be completed in the next5 years.
During the year 2019-20, 950 Km length of road is completed dulyincurring an expenditure of Rs. 1126 crores (US$ 153.2 million).
Road Surface Road length (kms)(As of March 2019)
Cement & concrete 2,366.705
Black top 48,463.888
Metaled and unmetalled 2,266.709
Total roads 53,097.302
In October 2020, Union Minister for Road Transport and Highways,Mr. Nitin Gadkari, inaugurated 10 road projects and laid thefoundation stones for 16 National Highway projects in AndhraPradesh. These National Highway projects cover a total length of1,411 km and are worth Rs. 15,592 crore (US$ 2.1 billion).
20
Physical infrastructure – Railways & metro rail
The state is well connected through the rail network.Visakhapatnam, the largest city in the state, has rail accessibility tonine district headquarters out of thirteen in the new state. The city isalso well connected to the neighbouring states of Odisha andChhattisgarh.
The State Government has undertaken construction of Nadikudi-Srikalahasti line, covering a length of 308 km. The main purposebehind the construction of this new line is to develop the backwardareas of Guntur, Prakasam, Nellore and Chittoor districts andimprove their connectivity with other states and also enable exportsof raw materials that are used in cement and granite industries.
In FY 2019-20, the Union Government has planned to develop metrorail projects at Visakhapatnam and Vijayawada. The Visakhapatnamproject, estimated to cost Rs. 8,300 crore (US$ 1,287.82 million), willdevelop three important routes.
In April 2020, the Amaravati Metro Rail Co (AMRC) was renamed asAndhra Pradesh Metro Rail Co. Ltd. (APMRC).
Groundwork for Vizag metro project with 140km-long mass rapidtransit system started in October 2020. The project is estimated tocost Rs. 22,000 crore (US$ 2.98 billion) and will be completed by2028.
In November 2020, Alstom announced that it has successfullycompleted production of its 500th metro car at its ‘SriCity’ factory inAndhra Pradesh that manufactures ‘rolling stock’ (metro trains) forurban metro projects.
Source: Maps of India
Rail network across the state
Source: News Articles
21
Physical infrastructure – Airports
Andhra Pradesh has six operational airports/air strips which connect major cities.
Passenger traffic of 32.14 lakh was recorded between April 2019 and October 2019.
In January 2018, Andhra Pradesh inaugurated its seventh airport at Orvakallu near Kurnool city. It is developed on a 1,010 acre site at a cost ofRs. 110 crore (US$ 15.25 million).
The upcoming international airport Bhogapuram will be developed by the state Government, under PPP model, at an estimated cost of US$328.60 million & will cater to 6.3 million passengers a year.
In 2019, existing runways at Vijaywada airport has been extended from 2,286 metres to 3,360 metres similarly, Rajahmundry airport extendedfrom 1,750 metres to 3,165 metres.
Parameter 2019-20 2018-19 2017-18 2016-17
Passenger traffic- Vijayawada airport 11,30,583 1,184,853 746,392 622,354
Passenger traffic-Visakhapatnam airport 26,81,283 2,853,390 2,480,379 2,358,029
Aircraft movement-Vijayawada airport 15,242 19,026 11,998 10,333
Aircraft movement-Visakhapatnam airport 20,935 23,695 19,595 19,550
Source: Airports Authority of India
Andhra Pradesh Airport Statistics
22
Physical infrastructure – Ports
Traffic handled by Visakhapatnam port reached 72.72 million tonnes
in FY20.
The State Government plans to develop a Greenfield Port at
Ramayapatnam in the state to meet the ever-increasing cargo
demand under the land-lord model with artificial deep harbour along
an open straight seacoast and protected by breakwaters. The
estimated cost for phase I is Rs. 3,736 crore (US$ 530 million).
The State Government had invited bids for development of
Bhavanapadu port in 2016. In August 2020, the state government
has approved the Detailed Project Report (DPR) of the Phase-1
work of Bhavanapadu Port in Srikakulam at an estimated cost of Rs.
3,669.95 crore (US$ 499.51 million). The project is expected to be
completed by 2023 to 2024.
In September 2020, Andhra Pradesh’s State Cabinet led by Chief
Minister, Mr. Y. S. Jagan Mohan Reddy, approved the
Krishnapatnam port deal, paving way for Adani Ports and Special
Economic Zone Ltd. (APSEZ) to conclude the process to acquire a
75% controlling stake in Krishnapatnam Port Company Ltd. (KPCL)
for an enterprise value of Rs. 13,572 crore (US$ 1.84 billion).
Visakhapatnam port traffic (million tonnes)
57.0
3 61.0
2
63.5
4
65.3
0 72.7
2
0.00
5.00
10.00
15.00
20.00
25.00
30.00
35.00
40.00
45.00
50.00
55.00
60.00
65.00
70.00
75.00
80.00
FY16
FY17
FY18
FY19
FY20
Source: Ministry of Shipping, Indian Ports Association, News Articles
23
Physical infrastructure – Power
In July 2020, the state government approved the Andhra PradeshRenewable Energy Export Policy 2020, which aims to attract privateinvestments for establishing solar/wind/wind-solar hybrid projects ona massive scale.
Under the policy, the renewable energy produced can be exportedto other states without any obligation to the state DISCOMs toprocure power as the DISCOMs have already exceeded theRenewable Power Purchase Obligation (RPO).
As of March 2020, Andhra Pradesh had a total installed powergeneration capacity of 24,854.00 MW. Out of the total, private utilitiescontributed 15,800.75 MW, state utilities contributed 6975.18 MWand central utilities contributed 2,078.08 MW.
In Budget 2020-21, the State Government announced plans to investRs. 6,984.73 crore (US$ 990.88 million) for the development ofenergy sector in the state.
Government also plans to set up AP Green Energy Corporation witha mandate to install 8,000 MW to 10,000 MW of dedicated solarpower capacity.
Government of Andhra Pradesh has been saving upto 2,000 millionunits (MU) of power and about Rs. 1,000 crore (US$ 136.08 million)annually for last three years by promoting energy efficiency initiativeswith an aim to conserve 15,000 MU of power by 2023.
Installed power capacity (MW)
22,2
98.3
0
22,9
33.7
7
24,1
84.2
9
24,8
54.0
0
24,8
85.1
0
21,000
21,500
22,000
22,500
23,000
23,500
24,000
24,500
25,000
25,500
2016
-17
2017
-18
2018
-19
2019
-20
2020
-21
*
Source: Central Electricity Authority, News ArticlesNote: ^Under Vision 2029, MW- Megawatt, * - Till October 2020
In September 2020, the Central Government released Rs. 3,300crore (US$ 447.88 million) loan to the Andhra Pradesh power sectorunder the second tranche of the ‘Atmanirbhar Bharat’ programme.
According to a survey conducted by Smart Power India (SPI), inassociation with NITI Aayog and the Rockefeller Foundation, on‘electricity access and benchmarking of distribution utilities’, powerutilities in Andhra Pradesh are among the top performers in thecountry.
24
Physical infrastructure – Telecom
According to Telecom Regulatory Authority of India (TRAI), Andhra Pradesh* had ~86.54 million wireless subscribers and 1.39 million wireline
subscribers by August 2020.
As of August 2020, the overall tele-density in the state stood at 97.38%.
By the end of August 2020, 42.31 million subscribers had submitted requests for mobile number portability in the state*.
Source: Telecom Regulatory Authority of India, India Post BSNL: Bharat Sanchar Nigam LimitedNote: *Including Telangana
Wireless subscribers 86,547,693
Wireline subscribers 1,329,346
Internet subscribers (until June 2020) 59.15
Tele-density (in %) 97.38
Telecom Infrastructure (Up to August 2020)
No. of GPs in Phase-I 3,860
Pipe laid (kms.)(July 2017) 2,627
Optical Fiber Cable laid (kms) 4,268
Service ready GPs (November 2020) 1,675
Performance status of Bharat Net project (as of December 2018)
25
Physical infrastructure – Urban
The State Government is expediting work for the development of Amaravati, the state’s future capital.
During FY20, 40,481 houses were completed with an expenditure of Rs. 678.26 crore (US$ 96.22 million).
Government has planned to construct 25 lakh houses (14 lakh in rural areas and 11 lakh in urban areas) in the next 4 years as a part of“Navaratnalu” with an estimated total project cost of Rs. 1,000 crore (US$ 8.30 billion) to provide Pucca houses to all eligible. 15 lakh houses willbe provided in FY 2020-21.
Other proposed plans include:
To provide house sites to all the poor and needy and register land, along with the house on the name of women.
Allot sites and facilitate to provide loans under Pavala Interest through banks and other financial agencies for the amount required over andabove unit cost.
The government has already taken steps for acquiring land and has also proposed to distribute house site pattas to 25 lakh beneficiaries in July2020.
Number of AMRUT cities with population less than 1 million 30
Number of AMRUT cities with population in the range of 1 - 10 million 3
Number of AMRUT cities with population greater than 10 million 0
Total number of AMRUT cities 33
Classification of AMRUT Cities in Andhra Pradesh on the basis of population (Census 2011)
City Population Literacy rate Area (sq. km)
Visakhapatnam 1,728,128 81.79 % 544
Kakinada 312,538 80.62 % 30.51
Tirupati 287,482 86.97 % 27.44
Amaravati 5,180,000 88.23 % 217.23
Smart City indicators (Census 2011)
Source: Andhra Pradesh Socio Economic Survey 2019-20, State Budget 2020-21
26
SOCIAL INFRASTRUCTURE
27
Social infrastructure – Education
Andhra Pradesh has a literacy rate of 67.4 per cent, as per Census 2011. The government is committed to achieve 100% literacy by 2020 andseveral schemes have been initiated for bringing out both quantitative and qualitative improvement. The government provides schooling facility to72.74 lakh children.
The “Sarva Siksha Abhiyaan” and “Rashtriya Madhyamik Siksha Abhiyaan” are two schemes which are focusing towards fulfilling the aim ofreinforcing the education in the schools in accordance to the enrolment, quality, access as well as retention.
Under State Budget 2020-21, Government allocated Rs. 3,000 crore (US$ 425.59 million) to Manabadi Nadu-Nedu scheme, under which 15,715Government schools have been identified in the first phase for improving infrastructural facilities.
In State Budget 2020-21, Rs. 22,604 crore (US$ 3.21 billion) has been allocated for secondary and intermediate education and Rs. 2,277 crore(US$ 323.02 million) for higher education.
In September 2020, the state government announced plans to install 45,000 smart televisions in government schools in order to bridge the gapbetween private and public schools.
Source: Directorate of Intermediate Education, Andhra Pradesh Socio Economic Survey 2020-21, State Annual Budget, 2020-21
Classes Enrolment of students in Government schools, 2017-18 (in million)
Class I 683,022I to II 708,049II to III 701,997III to IV 706,027IV to V 702,254V to VI 681,669VI to VII 679,825VII to VIII 690,929
Classes Number of schools (2019-20)
Primary 39,774
(I-VII/VIII) 9,685
(I-XII) 218
(VI-XII) 236
(I-X) 2,299
(VI-X) 10,306
28
Social infrastructure – Health
As of May 2020, the state had 1,533 primary health centres, 7,459 sub centres, 47 sub-district hospitals and 26 district hospitals.
The State Government allocated Rs. 470.29 crore (US$ 66.72 million) for expansion of 108 and 104 services in the state.
In October 2019, Government launched Kanti Velugu programme with an objective of universal eye screening and provision of appropriateinterventions. In State Budget 2020-21, Rs. 20 crore (US$ 2.84 million) has been allocated for the programme.
An allocation of Rs. 11,419.44 crore (US$ 1.62 billion) has been proposed by the State Government for healthcare sector in the state under theState Budget 2020-21.
In October 2020, the Andhra Pradesh government announced its plan to spend Rs.17,300 crore (US$ 2.34 billion) to revamp the existinggovernment hospitals and set up 16 new medical colleges under the ‘Nadu-Nedu’ initiative.
Source: Andhra Pradesh State Budget 2020-21, Andhra Pradesh state portal, SRS Bulletin 1Per thousand persons, 2Per thousand live births
Major hospitals
Apollo Hospital
Care Hospital
Manipal Hospital
Krishna Institute of Medical Sciences
Health indicators (SRS Bulletin 2019)
Birth rate1 16.2
Infant mortality rate2 29
Death Rate1 6.7
Medical Facilities (May 2020)
Sub-centres 7,459
Primary health centres 1,533
Community health centres 215
Sub District hospitals 47
District hospitals 26
Total 9,280
Note: 1Per thousand persons, 2Per thousand live births
29
INDUSTRIAL INFRASTRUCTURE
30
Industrial infrastructure…(1/2)
In 2019-20, 44 large and mega industrial projects were establishedwith an investment of Rs. 22282.16 crore (US$ 3.03 billion),providing employment to 18,385 people
Andhra Pradesh has identified development of MSMEs as a catalystfor job creation and balanced regional development.
In line with the plan, the government has introduced the MSMEpolicy 2015-20 to provide a holistic framework for sustainabledevelopment of MSMEs in the state and make them globallycompetitive.
In 2019-20, 10,019 Micro, Small and Medium Enterprises wereestablished with an investment of Rs. 2979.86 crore (US$ 401.91million), providing employment to 76,716 people. It is planned tocontinue to focus on MSME during 2020-21.
In September 2020, the state government stated that it is conductinga comprehensive survey to provide required infrastructure toindustries in the state.
In October 2020, Kinetic Green, an electric vehicles manufacturer,announced plans to set up a manufacturing facility for electric golfcarts and a battery swapping unit in Andhra Pradesh. These twoprojects will entail an investment of Rs. 1,750 crore (US$ 236.27million).
Source: APIIC, Andhra Pradesh State Budget 2020-21, Andhra Pradesh Socio Economic Survey 2020-21
Logistics Infrastructure in Andhra Pradesh
31
Industrial infrastructure…(2/2)
Source: Department of Industries, Government of Andhra Pradesh
Andhra Pradesh was home to 20 operational SEZs, 32 SEZs with formal approvals, four SEZs with in-principle approval and 27 notified SEZs, as
of February 2020. These SEZs were spread across diversified sectors which include textiles & apparel, food processing, footwear & leather
products, multi-product, pharma, IT SEZs, etc.
Some of the operational SEZs in Andhra Pradesh
Name/Developer Location Primary industry
Visakhapatnam SEZ Vishakhapatnam, Multi-product
Divi’s Laboratories Limited Chippada Village, Visakhapatnam, Pharmaceuticals
Apache SEZ Development India Private Limited Mandal Tada, Nellore District Footwear
Ramky Pharma City (India) Pvt. Ltd. E-Bonangi Villages, Parawada Mandal, Visakhapatnam District Pharmaceuticals
Andhra Pradesh Industrial Infrastructural Corporation Ltd.(APIIC) Madhurawada Village, Visakhapatnam IT/ITES
Andhra Pradesh Industrial Infrastructure Corporation Limited (APIIC)
Atchutapuram and Rambilli Mandals, Visakhapatnam Multi-product
Ace Urban Hitech City Limited (Formerly L&T Hitech City Limited)
Keesarapalli Village, Gannavaram Mandal, Krishna District, IT/ITES
Hetero Infrastructure Pvt. Ltd. Nakkapalli Mandal, Visakhapatnam Pharmaceuticals
Mas Fabric Park (India) Pvt. Ltd Chillakru Mandal, Nellore District Textile and apparel
Brandix India Apparel City Private Limited Duppituru, Doturupalem Maruture and Gurujaplen Villages in Visakhapatnam Textile
32
KEY SECTORS
33
Key industries – Drugs and pharmaceuticals
Andhra Pradesh is home to many global & national pharma players;various companies have set up their manufacturing hubs inVisakhapatnam & Srikakulam districts.
Pharmaceutical exports from the state stood at US$ 1.48 billion in2019-20.
In September 2020, Andhra Pradesh Industrial InfrastructureCorporation Ltd. (APIIC) signed an MoU with CSIR-IICT, a premierR&D institute in the country to set up a bulk drug pharma park in thestate.
Speaking on the occasion, Special Chief Secretary (industries) Mr.Karikal Valaven stated that AP is heading to become the leader ofthe bulk drug market in the country.
In February 2020, Novartis has launched Biome India, a digitalinnovation hub, in Hyderabad. This is the company’s first such centrein Asia and the fourth globally.
On September 2, 2020, the Andhra Pradesh Industrial InfrastructureCorporation Ltd. (APIIC) signed a memorandum of understanding(MoU) with the Council of Scientific and industrial Research-IndianInstitute of Chemical Technology (CSIR-IICT) to set up a bulk drugpark (BDP) in the state. The park will be set up in 2,000 acres at acost of Rs. 6,940 crore (US$ 941.55 million) in the East GodavariDistrict of Andhra Pradesh.
Source: Andhra Pradesh IT department, News articles, Andhra Pradesh Socio Economic Survey 2020-21, Directorate General of Commercial Intelligence and Statistics
Andhra Pradesh drugs and pharmaceutical export (US$ billion)
Note: * till October 2020
2.50
1.40
0.65
1.41
1.15
1.48
1.11
0
1
1
2
2
3
3
FY15 FY16 FY17 FY18 FY19 FY20 FY21*
34
Key industries – Agriculture and allied industries…(1/2)
The presence of rich climatic and soil conditions make AndhraPradesh a major agricultural belt. The state ranks first in area andproduction of fruits and spices in the country.
Few of the leading crops produced in the state include rice, chilly,oilseeds, cotton, pulses and gram.
The total production of foodgrains increased to 180.54 lakh metrictonnes in 2019-20 from 149.5 lakh MT in 2018-19. The average five-year production stood at 159.3 lakh MT (2014-2018). Theachievement is despite the fact that there is no increase in the extentof the land cultivated.
Under State Budget 2020-21, Rs. 11,891.20 crore (US$ 1.69 billion)has been allocated to the agriculture sector.
On September 7, 2020, the state government signed MoUs with theNetherlands government and seven companies in food processing,marketing and technologies to benefit horticulture and aquaculturefarmers across the state.
YSR Rythu Bharosa scheme is one of the prestigious governmentflagship schemes designed for farmers welfare, providing financialassistance to farmers and making farming a remunerativeprofession.
However, the state faces a challenge with a number of suicidesinvolving farmers increasing to 1,029 in 2019 from 664 in 2018.
Source: MPEDA, APEDA, Andhra Pradesh Economic Survey 2019-20
CropArea under production
‘000 Ha (2018-19)*
Crop production ‘000 tonnes(2018-19)*
Paddy 2,209 12,370
Jowar 156 354
Bajra 22 22
Maize 267 1,565
Ragi 34 43
Other millets including wheat 12 6
Pulses 1,326 752
Total food grains 4,026 15,112
Groundnut 759 477
Castor 35 15
Sesamum 48 15
Total Oilseeds 963 2,493
Vegetables 718.91 17,614.67
Fruits 259.83 7,091.37
Note: P - Provisional, * - As per 4th Advance Estimates
35
Key industries – Agriculture and allied industries…(2/2)
On September 20, 2020, Mr. S Appala Raju, Minister for Fisheries, Government of Andhra Pradesh announced that Andhra Pradesh stands in thefirst place for production of fish and prawns with 71% in aqua production. He also added that the state government has extended a subsidy of Rs. 750 crore (US$ 101.16 million) to aqua farmers towards power supply.
Andhra Pradesh was ranked first in egg production, fourth in meat production, and fourth in milk production in the country during 2018-19. It is also home to a thriving fisheries industry and employees about 1.45 million people and contributes 36% of the total value of sea food export
from the country. The state produced 4.18 million tonnes of fish and prawn in 2019-20 compared with 3.99 million tonnes produced in 2018-19. The state’s exports of marine products increased to US$ 2,753.13 million in 2019-20 and reached US$ 1,488.53 million in 2020-21 (until October
2020).
Source: Andhra Pradesh Economic Survey 2019-20, Directorate General of Commercial Intelligence and Statistics
Andhra Pradesh Marine Product Export (US$ million)
1,114.39
2,680.14
1,932.43
2,753.13
1,488.53
0
500
1,000
1,500
2,000
2,500
3,000
2016-17 2017-18 2018-19 2019-20 2020-21*
Andhra Pradesh Fish and Prawn Production (million tonnes)
2.352.77
3.44
3.994.18
0
1
1
2
2
3
3
4
4
5
2015-16 2016-17 2017-18 2018-19 2019-20
Note: * – till October 2020
36
Key industries – Petroleum, chemicals and petrochemicals
According to the Director General of Hydrocarbons (DGH), Andhra
Pradesh has huge oil and natural gas reserves. The state’s Krishna-
Godavari basin, spread over an area of nearly 52,000 sq km, has a
total hydrocarbon resource base of 1,130 million metric tones.
Production of crude oil and natural gas in the state was recorded at
216.51 thousand metric tonnes and 847.00 MCM during 2019-20,
respectively.
To promote investments in the industry, Andhra Pradesh Petroleum,
Chemicals & Petrochemicals Investment Region (PCPIR) is being
set up. The projects is coming up over an investment area of 603
square km and will boost refining, petrochemicals, chemical and
manufacturing sectors in the state.
Source: Ministry of Petroleum and Natural Gas, News articles, Andhra Pradesh Petroleum, Chemicals and Petrochemicals Investment Region, India Bureau of Mines
Production of crude oil and natural gas
276.
00
322.
00
286.
90
216.
51
853.
00 959.
00 1,07
7.00
847.
00
0
200
400
600
800
1,000
1,200
2016
-17
2017
-18
2018
-19
2019
-20
Crude Oil Production ('000 MT) Natural Gas Production (MCM)
Note: MCM – Million Cubic Metres
37
Key industries – Tourism
Andhra Pradesh is known for its pristine beaches, sacred places ofworship, lush green forests, spicy cuisine & hospitable people. Thestate continued to witness increase in domestic tourist arrivals overthe last few years.
Andhra Pradesh has 13 wildlife sanctuaries and 3 National Parkscovering an area of 8139.89 sq. km., which is 21.87% of the state’sforest area and 4.99% of the state’s geographical area.
The government has started eco-tourism initiatives by creating newcommunity-based Eco-Tourism Centres and strengthening theexisting eco-tourism centers by involving local tribes.
In the first week of September 2020, the state’s Minister for Culture,Tourism and Youth Advancement, Mr Muttamsetti Srinivasa Raoannounced opening of the state for tourism activities such as ropeway,boating, adventure sports, museums and protected monumentsincluding forts, heritage structures and other tourist destinations.
In 2019, domestic tourist arrivals in the state stood at 195.8 million,while foreign tourist arrivals stood at 0.23 million.
The tourism sector incurred a loss of >Rs. 50 crore (US$ 6.79 million)in the past five months due to the coronavirus pandemic. However,tourism activities resumed as per the ‘Unlock-4’ guidelines inSeptember 2020.
In September 2020, The Andhra Pradesh government issued the ‘APTourism Trade (Registration and Facilitation) Guidelines, 2020’ toposition the state as a premier tourist destination by improving thestandard of services.
Under State Budget 2020-21, the Government of Andhra Pradeshallocated Rs. 273.66 crore (US$ 38.82 million) for YouthAdvancement, Tourism, and Culture department.
153.
16 165.
43
194.
77
236.
55
28.2
7
0
50
100
150
200
250
2016
2017
2018
2019
2020
*
Domestic tourist arrival in Andhra Pradesh (in million)
Source: Ministry of Tourism, Government of India; News articles AP State Portal, Budget 2020-21Note: *- till May 2020
38
KEY PROCEDURES AND POLICIES
39
Single-window approval mechanism
Andhra Pradesh is the first state in the country to have enacted the Industrial Single Window Clearance Act No 17 of 2002. The Act made itcompulsory for new industries to register with the single-window to obtain clearances quickly. It also simplified procedures for getting industrialclearances.
Committees were constituted at district and state levels to communicate to the applicant the status of their clearances. It has set time slots forissuing clearances and incorporated a provision for deemed approval after the expiry of the time limit.
District level committees can clear investments not exceeding US$ 219,442. State level committees can clear those exceeding US$ 219,442. .
Above the district and state level committees is an empowered committee headed by the Chief Secretary of the state Government, who reviewsand monitors disposal of applications. Overall, a State Board under the chairmanship of the Chief Minister oversees the progress of the scheme.
Post effectiveness of The Andhra Pradesh Single Desk Policy 2015, the number of days required for clearance of application has been reduced to21 days. The applications would be cleared at single information technology platform to enhance ease in doing business in the state.
Andhra Pradesh has become the top ranking state as per the ease of doing business ranking in India.
Violation of the provisions of the Act made either through self-assessment or otherwise would invite a penalty of US$ 109 in the first instance andUS$ 219 in the second instance.
40
Key investment promotion offices
Corporations under Industries and Commerce Department
Andhra Pradesh Industrial Development Corporation (APIDC)
Andhra Pradesh Industrial Infrastructure Corporation (APIIC)
Andhra Pradesh Mineral Development Corporation (APMDC)
Andhra Pradesh State Finance Corporation (APSFC)
Andhra Pradesh State Trading Corporation (APSTC)
Andhra Pradesh State Handloom Weavers Co-operative Society Limited (APCO)
Leather Industries Development Corporation of Andhra Pradesh (LIDCAP)
Andhra Pradesh Handicrafts Development Corporation (APHDC)
Andhra Pradesh Khadi & Village Industries Board (KVIB)
Andhra Pradesh Urban Financial Infrastructure Development Corporation
Directorate of Sugar and Commissionerate of Cane
Directorate of Mines and Geology
Commissionerate of Industries
41
Contact list
Agency Contact information
- Andhra Pradesh Industrial Infrastructure Corporation
4th Floor, Parisrama BhavanFateh Maidan Road, BasheerbaghHyderabad – 500 004Phone: 91-40-2323 7622, 2323 7623Fax: 91-40-2323 3251, 2323 1459E-mail: [email protected]: www.andhra.apiic.in
Department of Industries and Commerce
Industries and Commerce Department2nd Floor, D Block, Room No-348ASecretariatHyderabad - 500022Phone: 91-040-23454449Fax: 91-040-23452985E-mail: [email protected]: http://industriesportal.apcgg.gov.in
42
Key approvals required…(1/3)
Allotment of Land/Shed in Industrial Estates or Industrial Areas
Registration, Industrial Entrepreneurs Memorandum (IEM), Industrial Licenses
Acquisition and alienation of Government lands
Building/Site Permission / Approval/License from Municipality/
UDA (Urban Development Authority) DT & CP (Directorate of Town & Country
Planning)
Building /Site Permission from Gram Panchayat
Approval of change of land use for Industrial purpose
Consent for establishment under Pollution Control
Approvals and clearances required Departments to be consulted Estimated time taken (days)
• 7 days for up to 1,000 sq m• 21 days for above 1,000 sq m
7 days
7 Days
15 days / Deemed
If in Master Plan - 10 daysIf not in Master Plan - 21 days
• Green: 7 days• Orange: 15 days
• Red: 21 days
45 Days
Source: Commissionerate of Industries, Government of Andhra Pradesh
Department of Municipal Administration & Urban
Development
Registrar of Firms
Andhra Pradesh Industrial Development Corporation
Chief Commissioner of Land Administration (CCLA)
Department of Panchayati Raj & Rural Development
Land Administration Department of
Revenue
AP Pollution Control Board
43
Key approvals required…(2/3)
• Permission for Establishment of Distillery
• Licence for possession and use of Rectified Spirit
• Licence for possession and use of Denatured Spirit
No-Objection Certificate for Fire Safety
VAT/CST registration
• Power feasibility• Power connection
• Approval of factory plans• Factory license
• Approval for water supply from ULB s-MA & UD Department• Water connection
Permission to draw water from river/public tanks, Irrigation & CAD
Department Permission to dig new wells from Ground Water Department
Approvals and clearances required Departments to be consulted Estimated time taken (days)
15 days
• 7 Days• To be based on the length of the
HT line
7 days / Deemed for Registration only
7 Days21 Days
3 Days
• 30 Days• 21 Days• 21 Days
15 Days
Source: Commissionerate of Industries, Government of Andhra Pradesh
DISCOM-Department of Energy
Directorate of Fire Services Department of Home
Prohibition & Excise Department of
Revenue
Commercial Tax Department of Revenue
Directorate of Factories Department of Labor Employment
Training and Factories
Department of Municipal Administration & Urban
Department
Irrigation & CAD Department
44
Key approvals required…(3/3)
License for manufacture of bulk drugs / formulations / cosmetics
License for manufacture of ayurvedic, homeo, siddha, unani
Registration of partnership firms
Registration under professional tax
Registration of shops & establishments
Boiler registrationRegistration of plastic manufacturers /
recyclers
License for storage of petroleum, diesel and Naptha
Approvals and clearances required Departments to be consulted Estimated time taken (days)
Source: Commissionerate of Industries, Government of Andhra Pradesh
Commercial Tax Department of Revenue
AYUSH-Department of Health, Medical & Family Welfare
Drug Control Administration Department of Health, Medical &
Family Welfare
Registration & Stamps Department of Revenue
Commissionerate of Labor -Department of Labor Employment
Training and Factories
Directorate of Boilers Department of Labor Employment Training and
Factories
AP Pollution Control Board
District Collector/ Civil Supplies Department
15 days
Spot approval
15 Days
15 Days
15 Days
Spot approval
15 days
3 days
45
Key approvals required…(3/3)
Source: Commissionerate of Industries, Government of Andhra Pradesh
S No Approvals and clearances required Respective departments of state Estimated time
21 License for manufacture of ayurvedic, homeo, siddha, unani
AYUSH-Department of Health, Medical & Family Welfare 15 days
22 License for manufacture of bulk drugs / formulations / cosmetics
Drug Control Administration Department of Health, Medical & Family Welfare 15 days
23 Registration of partnership firms Registration & Stamps Department of Revenue 3 days
24 Registration under professional tax Commercial Tax Department of Revenue Spot approval
25 Registration of shops & establishments Commissionerate of Labor -Department of LaborEmployment Training and Factories Spot approval
26 Boiler registration Directorate of Boilers Department of Labor Employment Training and Factories 15 days
27 Registration of plastic manufacturers / recyclers AP Pollution Control Board 15 days
28 License for storage of petroleum, diesel and Naptha District Collector/ Civil Supplies Department 15 days
46
Cost of doing business in Andhra Pradesh
Parameter Cost estimate
Land price (US$ per hectare) 373,416
Labour cost (US$ / man year) 1,573
Occupation costs (US$ / sq ft / year) 18.4
Electricity (US cents per kWh) Metropolitan Area: 9.1Non Metro Area: 9.4
Cost of capital (Prime lending rate,%) 10.57
Employee cost (US$ / man year)
Software developers 6,383
Team leads 14,893
Architects 21,276.5
Project managers 31,915
Andhra Pradesh topped the 2017 Ease of Doing Business Index, prepared by the World Bank and DPIIT.
Source: Vijayawada Municipal Corporation, Visakhapatnam Industrial Water Supply Company, Property Sites, News articles, Travel sites, PwC report, Andhra Pradesh State Electricity Board
47
State acts and policies…(1/4)
Andhra Pradesh Internet of Things (IoT) Policy 2016-2020• To develop Andhra Pradesh as an IoT hub and accomplish a considerable share in the country’s
IoT market by 2020. • In IoT verticals, direct employment for at least 50,000 people and to create opportunities
related to employment in IoT space for educated youth of the state. 1
Industrial Development Policy 2015-2020• To ensure sustainable & inclusive industrial growth and be among the top 3 states in terms of industrial
investments by 2022 • Be the most preferred logistics hub and India’s gateway to East and Southeast Asia by 2029. • To enhance the quantum and quality of skilled manpower and create significant employment
opportunities.
2Textile, Apparel and Garments Policy 2018-23• To attract new investments in value added textile activities worth Rs. 15,000 crore (US$ 2.24
billion) by 2023.• To convert the major portion of yarn produced in the state into fabric and garment’s within the
state. 3
Andhra Pradesh Solar Power Policy 2018• To aid the development of solar power projects in the state and attract new investments for
capacity addition of 5,000 MW over next five years• NREDCAP would act as the nodal agency and responsible for capacity allotment.
4Andhra Pradesh Wind Power Policy 2015• The new policy would replace the existing policy in order to attract new investments and
achieve 4,000 MW capacity addition through wind power projects in the state• NREDCAP would act as the nodal agency and would be responsible for capacity allotment of up
to 40 MW5
Read more
Read more
Read more
Read more
Read more
48
State acts and policies…(2/4)
Automobile and Auto-Components Policy 2015-20• To provide a special focus on Automobile Industry by the provision of subsidies and
reimbursements on CST, VAT/SGST. The development of Industrial Corridors(VCIC/CBIC) by providing excellent port logistics and infrastructure has been highlighted in the policy.
• To attract high investments in the state and improving the employment status.6
Food Processing Policy 2015-2020• To attract investments worth ~US$ 757 million by the end of 2020 in order to make the state as
one of the most preferred destinations for food processing industries• Create 50,000 job opportunities in the state by 2020.
7Andhra Pradesh Single Desk Policy 2015-20• To create a conducive ecosystem to provide all clearances required to setup industry within 21
working days.• To provide spot and deemed approvals based on self-certification and to provide parallel
processing of streamlined processes. 8
New Tourism Policy-2015-20• To attract investments worth ~US$ 1.5 billion by the end of 2020 through projects under the
public-private participation (PPP) mode• Create 500,000 job opportunities in the state by 2020.
9
Biotechnology Policy - 2015-20• To attract investments worth ~US$ 908 million by the end of 2020 and support the state to
emerge as most preferred destination for biotech investments• Create 5,000 job opportunities in the state by 2020.
10Read more
Read more
Read more
Read more
Read more
49
State acts and policies…(3/4)
Innovation & Start-up Policy 2014-2020• To provide special incentives and facilities for the electronic hardware sector in line with the
present ICT policy. The policy would cover areas such as industrial electronics, communication & broadcast equipment, computers & peripherals, and strategic electronics & components (semiconductors, solar & displays).
11
Andhra Pradesh Cyber Security Policy 2017• To create a robust cyber ecosystem in Andhra Pradesh• Establishment of a Cyber Security framework and strengthening law enforcement agencies12
Andhra Pradesh Electronics Policy 2014-2020• To develop Electronics Industry as an important growth engine for Andhra • The Policy aims to attract investments to the tune of US$ 5 billion in ESDM sector and create
an employment of 0.4 Million by 2020. 13
Andhra Pradesh Port Policy 2015• To make minor ports of the state as the favoured ports for container cargos from North and
Central regions of the country.• To allow commercial feasibility of various projects related to the ports.
14
Andhra Pradesh Fisheries Policy 2015-20• To double the production and export of shrimp and fish to 4.2 million metric tons and US$ 2.4
Billion respectively. 15Read more
Read more
Read more
Read more
Read more
50
State acts and policies…(4/4)
Industrial Development Policy 2020-23• To focus on reducing the cost of doing business and supporting MSMEs to achieve scale and
improve competitiveness.16Andhra Pradesh State Mega Seed Park Policy, 2018• To make Andhra Pradesh one of the most preferred destinations for seed industry.• To attract new Investments in seed industry worth Rs. 3,000 crore (US$ 0.45 billion) by 2023. • To create additional employment opportunity for 40,000 personnel by 2023.
17
Designated Technology Parks (DTP) Policy, 2017-2020• To incentivise real estate developers to build larger world class Information Technology (IT)
office spaces.• To reduce the approval time for office spaces for IT companies from 50 days to 21 days.
18Electric Mobility Policy- 2018-2023• To attract investments worth Rs. 30,000 crore (US$ 4.47 billion) in manufacturing of electric
vehicles (EVs) in the next five years and create 60,000 jobs• To replace public transport buses in four cities to electric buses by 2024 and across the state by
2030.19
Animation, Visual Effects, Gaming and Comics (AVGC) Policy 2018-2020• To attract investments worth Rs. 6,400 crore (US$ 954.65 million) in the sector by 2020.• To bridge the demand and supply gap of human resources and capture a larger share of
outsourced work in gaming, animation, media and entertainment sector.20
Read more
Read more
51
APPENDIX
52
Sources
Data Sources
GSDP (state) Economic Survey 2019-20 (Andhra Pradesh)
Per capita GSDP figures Economic Survey 2019-20 (Andhra Pradesh)
GSDP (India) Ministry of Statistics and Programme Implementation
Installed power capacity (MW) Central Electricity Authority
Wireless subscribers (No) Telecom Regulatory Authority of India
Internet subscribers (million) Telecom Regulatory Authority of India
National highway length (km) NHAI, Roads and Building Department-Government of India
Major and minor ports (No) Indian Ports Association
Airports (No) Airports Authority of India
Literacy rate (%) Census 2011
Birth rate (per 1,000 population) SRS Bulletin 2017
Cumulative FDI equity inflows (US$ billion) Department for Promotion of Industry and Internal Trade
Operational PPP projects (No) DEA , Ministry of Finance, Government of India
Operational SEZs (No) Ministry of Commerce & Industry, Department of Commerce
53
Exchange rates
Exchange Rates (Fiscal Year) Exchange Rates (Calendar Year)
Year Rs. Rs. Equivalent of one US$
2004-05 44.95
2005-06 44.28
2006-07 45.29
2007-08 40.24
2008-09 45.91
2009-10 47.42
2010-11 45.58
2011-12 47.95
2012-13 54.45
2013-14 60.50
2014-15 61.15
2015-16 65.46
2016-17 67.09
2017-18 64.45
2018-19 69.89
2019-20 70.49
Year Rs. Equivalent of one US$
2005 44.11
2006 45.33
2007 41.29
2008 43.42
2009 48.35
2010 45.74
2011 46.67
2012 53.49
2013 58.63
2014 61.03
2015 64.15
2016 67.21
2017 65.12
2018 68.36
2019 69.89
2020* 74.18
Source: Reserve Bank of India, Average for the yearNote: As of December 2020
54
Disclaimer
India Brand Equity Foundation (IBEF) engaged Sutherland Global Services private Limited to prepare/update this presentation.
All rights reserved. All copyright in this presentation and related works is solely and exclusively owned by IBEF, delivered during the course ofengagement under the Professional Service Agreement signed by the Parties. The same may not be reproduced, wholly or in part in any materialform (including photocopying or storing it in any medium by electronic means and whether or not transiently or incidentally to some other use of thispresentation), modified or in any manner communicated to any third party except with the written approval of IBEF.
This presentation is for information purposes only. While due care has been taken during the compilation of this presentation to ensure that theinformation is accurate to the best of Sutherland Global Services’ Private Limited and IBEF’s knowledge and belief, the content is not to be construedin any manner whatsoever as a substitute for professional advice.
Sutherland Global Services Private Limited and IBEF neither recommend nor endorse any specific products or services that may have beenmentioned in this presentation and nor do they assume any liability, damages or responsibility for the outcome of decisions taken as a result of anyreliance placed on this presentation.
Neither Sutherland Global Services Private Limited nor IBEF shall be liable for any special, direct, indirect or consequential damages that may arisedue to any act or omission on the part of the user due to any reliance placed or guidance taken from any portion of this presentation.
