Andhra Pradesh. India s foremost Investment Destination

Transcription

1 Andhra Pradesh India s foremost Investment Destination

2 Andhra Pradesh - Overview 8 th largest state in India ~ $ 82 Bn SGDP ( ) 974 km/ 13% of India s coastline Rich natural resource base Rapidly urbanizing state 30% of population is urban Major urban centers in every district envisaged Greenfield capital city of Amaravati 4

3 Andhra Pradesh India s gateway to the world AP s location is ideal for emerging as global logistics hub of choice Natural advantages like long coastline and deep drafts enable ports which can act as linkages with major markets in the world Direct shipping calls from South East Asian economies to AP ports vis-à-vis ports on west coast will save transit time of around 2-3 days Accelerated industrialization in the region, agglomeration of cargo from distant hinterland and increased connectivity will create windows of opportunity 5

4 Andhra Pradesh s growth drivers Physical Infrastructure Social Infrastructure Skill Base Leadership Industrial Corridors Policy Interventions Ease of Doing Business 6

5 Infrastructure will form the backbone of development in AP Power Land Connectivity First state in South India to offer 24X7 power to industry Generating capacity 8300 MW Capacity Addition MW by 2019 Focus on Green Energy Projects Massive Strengthening of electricity grid Transparent policy of land allotment Creating a land bank of 1 million acres Online Land Bank and allocation Affordable land rates Scope for developing industrial parks on PPP/ private basis Fiscal incentives 100% reimbursement of stamp and transfer duty Ports 14 under operation, 6 under development and 5 planned to be developed Airports 6 existing, 1 mega Aerotropolis and 5 no-frills airports to be developed Vast network of road, rail and inland waterway connectivity 7

6 Andhra Pradesh is a leader in labour reforms to support the large number of skilled human resources in the state POLICY INTERVENTIONS SKILL AVAILABILITY First State to Amend Contract Labour Act 18 State Universities Definition of factory (for applicability of Factories act) relaxed - from minimum of 10/20 employees in a facility to 20/40 Rules regarding government registration of contract labour relaxed from minimum 5 to minimum of Engineering Colleges > 0.16 million students intake 128 Pharmacy Colleges > 11,700 students intake Maximum limit of number of workers, where management can initiate lockout/ closure/ retrenchment of facility without government permission increased from 100 to 300 ~ 400 Management Schools > 46,500 students intake Defined Go-Slow as illegal activity 78 Government Industrial Training Institutes 11

7 Andhra Pradesh ranks amongst top 3 Indian states in creating conducive business environment EASE OF DOING BUSINESS APPROVALS IN 21 DAYS INVESTMENT FACILITATION OFFICERS COUNTRY DESKS FOR STRATEGIC PARTNERS SINGLE DESK PORTAL INVESTMENT TRACKER 12

8 Andhra Pradesh has identified 10 focus manufacturing sectors, where targeted approach is being followed AGRO AND FOOD PROCESSING AUTOMOBILES AND AUTO COMPONENTS LIFE SCIENCES PETROLEUM, CHEMICALS AND PETROCHEMICALS TEXTILE AND APPAREL ENERGY ELECTRONICS AND IT LEATHER MINERAL BASED INDUSTRY AEROSPACE AND DEFENCE 15

9 Best-in Class Policy environment in Andhra Pradesh INDUSTRIAL DEVELOPMENT POLICY Investment: ` 2 Lakh Crore (US$ 32 Bn) Targets 2020 Employment: 10 Lakh (1 Mn.) new jobs SECTORAL POLICIES Auto & Auto Components Textile & Apparel Biotechnology Aerospace & Defence Electronics Food Processing MSME Industrial Parks Manufacturing Development of Clusters BEST IN CLASS POLICY INSTRUMENTS Skill Development Tailor-made incentives for Mega Projects Reimbursement of VAT/SGST/Stamp Duty Capital, Interest and Power Cost subsidies 16

10 3 large Industrial Corridors and many Industrial hubs across State being developed Airports Ports Visakhapatnam Chennai Industrial Corridor (VCIC) Hyderabad AMARAVATI INDUSTRIAL HUB (2 Airports, 2 Ports) Bhogapuram VISAKHAPATNAM INDUSTRIAL HUB (3 Airports, 3 Ports) Chennai-Bengaluru Industrial Corridor (CBIC) Bengaluru Hyderabad proposed Corridor Kakinada Tricity (Tirupati- Nellore-Chittoor) (3 Airports, 2 Ports) 4 Major Ports, 4 Active Airports & NH7 which acts as a spine to AP Excellent Rail & Road Network 32 SEZs, 258 Industrial Parks Focus on upgrading Infrastructure BENGALURU CHENNAI VCIC & CBIC - $1.5 Billion Investment on Infrastructure 17

11 Krishnapatnam Node will leverage its proximity to rapidly developing Krishnapatnam Port District/ State Nellore district/ Andhra Pradesh state Distance from Metropolitan/major city 170 km from city centre of Chennai along NH-5 and access road to Krishnapatnam port 40 km from Nellore city Accessibility to trunk road and rail network NH5 Krishnapatnam port 20 km from NH-5, however no direct access from the national highway Railway access connects Krishnapatnam port to the mainline; however no railway access to the node area so far NH km Accessibility to major transport facilities (port, airport) 10 km from Krishnapatnam port 90 km from Tirupati airport Major industrial locations in the surrounding area 80 km from the proposed SEZ at Naidupeta on NH km from Sri City on NH-5 Demographic profile South of Nellore District has a low population density (under 200 people/sq.km), except Nellore capital city - 1,000 people/sq.km. There are no core cities in the hinterland of the node area 1

12 Andhra Pradesh s engagement with Japan Delegation from Andhra Pradesh (led by Hon ble CM) visited Japan in November 2014 and July 2015 Met Hon ble PM of Japan, Hon ble Chief Cabinet Secretary, METI, MLIT, JBIC, JICA and private companies MoUs with METI, NEDO, Sumitomo Corporation, NEC, Mizuho Bank Potential areas of Collaboration Capital region Amaravati Urban Development Infrastructure Development (Ports, Irrigation) Manufacturing Energy Systems Agriculture & Food Processing INVESTMENT SEMINAR WITH 50 JAPANESE COMPANIES HELD ON 5 TH MARCH

13 Proactive Governance to Promote Japanese Investments Promote cultural ties between AP and Japan Japanese classes in Andhra University and Nagarjuna University Japanese schools in Visakhapatnam, Vijayawada and Guntur Dedicated Japanese industrial townships and industrial clusters proposed Tax Reforms to boost investment sentiment (GST proposed to be implemented by April 2016) Closer interaction with Japan Joint working group with participation from METI, JICA and JETRO Focused sector teams (Electronics, Food Processing, Marine, Energy, Engineering, Logistics) Periodic visits of Government of AP to Japan 20

14 We welcome you to Sunrise Andhra Pradesh