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INDIAN STATE : ANDHRA PRADESH
General Information
Andhra Pradesh located strategically in the central
region of the Indian sub-continent has a large part
of the generic Indian floral and faunal representation.
The state has a large river system which supplements
the rainfall in the state. The total surface water of
entire river systems across the state is estimated at
2,764 TMC at 75% dependability. Andhra Pradesh is bordered
on the south by Tamil Nadu state, on the west by Karnataka
state, on the north and northwest by Maharashtra state,
on the northeast by Madhya Pradesh and Orissa states,
and on the east by the Bay of Bengal. The northern area
of Andhra Pradesh is mountainous. The highest peak Mahendragiri
rises 1500 m above the sea level. The climate is generally
hot and humid.The capital city of the state is Hyderabad,
which is cosmopolitan, convenient and accessible.
Andhra Pradesh state is endowed with bountiful natural
and human resources.The state has a total geographical
area of 27.50 million hectares accounting for 8.37%
of the country's area. Andhra Pradesh is situated in
a tropical region and has the second longest coastline
of 974 km in the country, indicating rich potential
for marine fisheries. The state is ranked fourth largest
in the country in terms of area and has a projected
population of 84 million. The state has a rich and diverse
forest area having wide and varied vegetation types
enriched by a variety of flora and fauna.
Geographic Information
| Geographic
Profile |
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Districts
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Srikakulam, Vizianagaram, Visakhapatnam,
East Godavari, West Godavari, Krishna, Guntur,
Prakasam, Nellore, Chittoor, Ananthapur, Kadapa,
Kurnool, Mahabubnagar, Ranga Reddy, Medak, Nizamabad,
Karimanagar, Adilabad, Warangal, Khammam, Nalgonda
and Hyderabad.
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Major cities
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Hyderabad, Visakhapatnam, Vijayawada, Tirupathi,
Warangal, Guntur, Kakinada, Nellore and Kurnool
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Coastline length
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974 Kms
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Major Rivers
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Krishna, Godavari, Thungabadra
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Climate
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Maximum Temperature
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44.8 °C during summers.
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Minimum Temperature
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11.3 °C during winters.
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Economic Infrastructure
Roads
The total road network in the
state was 69,051 Kms during the year 2009. Of this,
the National Highways constitute 4,648 Kms, the State
Highways constitute 10,519 Kms and major district roads
constitute 32,170 Kms and rural roads 21,714 Kms. The
density with reference to Road & Bridges road network
in the state is 0.23 Kms per one square kilometer and
0.86 Kms per 1,000 persons.The surface details of the
road length are Cement Concrete (CC) roads 2,854 Kms;
BT roads 31,502 Kms, Water Bound Macadam (WBM) roads
22,284 Kms and Gravel 72,677 Kms.
During the year,2009, there are 17 National Highways
in the State covering a length of 4727 Kms, of which
four-lane and above are 2045 Kms, two-lane are 2340
Kms and intermediate lane are 123 Kms and 240 Kms is
single lane. The density of National Highways is 6.202
Kms per lakh population in the state and in terms of
area coverage a length of 17.186 Kms is available for
every 1,000 Sq. Kms in the state. The corresponding
figures at all India level are 6.40 Kms and 19.95 Kms
respectively.
National Highways Development
Project (NHDP): The National Highway No.5,7 and
part of 9 are taken up for development of four-lane
roads in the State. The total length of the roads taken
up for development is 1,834 Kms. The 'Golden Quadrilateral'
covering a length of 1,062 Kms is completed. The construction
of roadwork named as 'North- South Corridor' covering
a length of 772 Kms is under progress and so far a length
of 59 Kms is completed.
In phase-III of NHDP, 519.50 Kms length of National
Highways is proposed for widening into four-Lane on
the basis of Build, Operate and Transfer (BOT) model.
The road works proposed under this model are: Hyderabad-Vijayawada-Machilipatnam
on NH-9 of length 241.0 Kms, Kadapa-Mydakur-Kurnool
on NH-18 of length 192.5 Kms, Hyderabad-Yadagirigutta
on NH-202 of length 30.0 Kms and Tirupathi-Tiruthani-Chennai
on NH-205 of length of 56.0 Kms.
Port connectivity: The
Port connectivity road of length 12 Kms and other projects
of road length 58 Kms are completed.
Airports
The Rajiv Gandhi International airport at Hyderabad,
was inaugurated on 14th March, 2008 and commenced operations
from 23rd March, 2008. The new airport was opened to
the public, pursuant to the notification issued by the
Ministry of Civil Aviation to launch operations. With
the new Greenfield airport starting full-scale operations,
the existing airport at Begumpet has been closed for
civil aviation operations.The new airport has been developed
by GMR Hyderabad International Airport Limited (GHIAL),
a joint venture company promoted by GMR Group (63%)
and Malaysia Airports Holding Berhad (11%), Government
of Andhra Pradesh (13%) and Airports Authority of India
(13%) as the other consortium partners.
The airport is strategically located providing excellent
opportunity to develop it as a hub for domestic and
international passenger and cargo traffic. The futuristic
airport reflects the long term vision to build it as
a major domestic and international hub. Hyderabad is
centrally located and within a two hour flying time
to all the major cities in India and 4 hours from major
cities in the Middle East and South East Asia. The city
has the potential not only to become one of the main
hubs in India while also handling traffic between the
East and West.
The Hyderabad airport has registered an overall Compound
Annual Growth Rate (CAGR) of 18.9% during 2001-02 to
2008-09 with international at 25.4% and domestic at
10.9%. The year 2008-09 has shown 12% increase in the
overall volumes of freight handled with international
at 38% and domestic at -12%.
Railways
Andhra Pradesh offers effective rail connectivity to
all major cities of the country for the transportation
of goods traffic such as Coal, Iron ore, Cement, Food
grains, Fertilizers, Minerals, Petroleum products and
general merchandise.
The South Central Railway is headquarterd at Secunderabad
with divisional headquarters at Secunderabad, Hyderabad,
Guntakal, Vijayawada, Nanded and Guntur serving the
area falling under Andhra Pradesh, Parts of Maharashtra,
Karnataka, Madhya Pradesh and Tamil Nadu.
The Government of Andhra Pradesh has outlined the Mass
Rapid Transport System (MRTS) to address the problem
of vehicular congestion and provide an efficient mode
of transportation. The Multi Modal Transport System
(MMTS) of Hyderabad covers 43 Kms of suburban route
with facilities such as passenger concourse areas, platforms,
booking counters, washrooms and signage have been created
very aesthetically and in a passenger friendly manner.
The Hyderabad Metro Rail Project is also being taken
up to meet the movement of commuters in the Greater
Hyderabad. Government of India has approved the project
and detailed DPR is being prepared. The project will
be promoted in the lines of Delhi Metro.
Power
The present installed capacity in the State up to the
end of September,2009 (including share from Central
Sector) is 13,986.89 MW. The energy available from various
sources for use during 2009-10 (up to 9/2009) was 36,489.63
MU. The number of consumers served has increased from
20.68 million to the end of March,2009 to 21.23 million
to the end of September,2009. The per capita consumption
has reached 746 kWh during 2008-09.3,880 sub-stations
and 6,93,584 distribution transformers are existing
upto end of September, 2009.
To meet the growing demand for power, the Government
is constructing projects in State sector and encouraging
private sector to implement gas based and other projects.
During 10th five-year plan, 2940 MW capacity was added
to the system. Out of 2940 MW, 824 MW is under State
Sector, 1355 MW is under Central sector, 428 MW is under
private sector (gas based projects) and 333.05 MW are
Non Conventional Energy projects and others.
It is programmed to add 5582.44 MW during 11th five
year plan i.e. 2007-12, out of which 3053 MW is under
State sector, 769.23 MW is under Central sector, 1129
MW is under private sector (Gas based projects), and
631.21 MW are non-conventional energy projects.
Ports
Andhra Pradesh is having 974 kms. long coast line with
one major Port at Visakhapatnam under Government of
India and 13 non-major ports under state Government.Ports
offer tremendous potential for development and for the
growth of a wide spectrum of maritime activities such
as international shipping, coastal shipping, ship repairs,
fishing, captive ports for specific industries, all
weather ports, tourism and sports etc.Recent trends
show that India's trade is growing especially in dry
bulk cargo traffic with China and Asian countries, leading
to a substantial increase in cargo from the East Coast.
Kakinada Anchorage Port:The Anchorage Port is
a sheltered Port with the location of 17 Kms. length
of Hope Island. Anchorage Port handles about 150 to
200 sea going ships every year. There are about 100
private owned steel barges with a total capacity of
3,000 Tonnes employing 2,000 persons. About 3,000 workers
are working as shore labour and stevedoring labour in
the ships. The cargo handled in Anchorage Port was 0.48
million tonnes during 2009-10 i,e., upto 30.09.2009
and earned revenue of US$ 1.24 million. During this
financial year, it is programmed to handle 2.5 million
tonnes.
Kakinada Deep Water Port:The
Deep water berths developed by the Government were privatized
in 1999 and handed over to M/s. International Sea Ports
Ltd., for Operation and Maintenance for 50 years. For
this purpose, a Special Purpose Vehicle (SPV) called
M/s. Kakinada Seaports Limited (KSPL) was created for
operating and maintaining the Port. They have been operating
the Port for the last 10 years.
Rawa Port: The Port
is located in East Godavari District having an off shore
single buoy mooring system for collecting off shore
oil from 6 Nos. of oil rigs on the Rawa basin and pump
the same into the oil tankers for transporting to other
Ports.
Gangavaram Port:The
Port is located in Visakhapatnam district. It is being
developed with private participation as a multipurpose
all weather port to become the deepest port (21m) with
round the clock operations and with state-of-art cargo
handling equipment. It would also be the most environment
friendly port.
Krishnapatnam Port:This
port is in Nellore District and this 1st greenfield
port is being developed by Krishnapatnam Port Company
Ltd.,(KPCL) on Build, Operate, Share and Transfer (BOST)
basis under PPP over a period of 30 years.
Guidelines for Port Privatisation
The Government of Andhra Pradesh formulated an open
policy with a view to encourage private sector participation
in port development. The private sector is invited to
design, build, finance, operate and manage the ports
based on their technical feasibility, projections for
traffic and planned investments.
Incentives and Assistance
- The investors would be free to fix their own tariff
for various port services without determent to the
development of the port in shorter/longer periods.
- Concessionaire will be declared as the Port conservator
as per Indian Ports Act-1908.
- The investors would also be given complete freedom
to follow their own personnel and employment policy
without being governed by the rules and practices
in other Indian Ports.
- Government will assist in acquisition of land on
payment by the investor. Wherever port land is available,
it will be provided to the parties at the rates prescribed
by the Government.
- Land required for those industries which need to
be located close to a port to take advantage of bulk
handling of their materials/products, can be acquired
on the basis of feasibility report made by the investor.
If the investor wants to own the land and lease out
to industries, such land can be acquired on market
price under Land Acquisition Act.
- Government will give all possible help in obtaining
fresh water and power supply to investors.
- In regard to other incentives for port based industries
that are going to be setup, whatever incentives that
are available as on date as per the Government policy
will be extended.
- Concession fee os 2.5 % of gross income per annum
is payable to Govt in case of Greenfield Ports.
- Wherever feasible Captive Jetties/Captive Ports
will be permitted.
- Suo-moto proposals for development of any Port project
or Port facility will be entertained subject to treatment
of the proposals under Swiss challenge.
- Exemptions on Sales tax, seigniorage charges, Stamp
duty etc will be considered on case to case basis
depending on unviability of the project.
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Social Infrastructure
Education
The literacy rate of the state is 60.47 in 2001 as
against 44.08 in 1991. The literacy rate of the state
is lower than that of all India literacy rate at 64.84.
While the overall literacy rate has improved, the male
literacy rate has increased from 55.1 to 70.32 per cent.
What is encouraging is that the female literacy rate
has gone up by more than 54 percent, i.e. from 32.7
percent in 1991 to 50.43 percent in 2001.
School Education
Government of Andhra Pradesh intends to achieve the
goal of Universalization of Elementary Education by
recognizing Education as a potential instrument for
Human Development. The primary goal of the state is
to increase the overall literacy levels steadily. During
2008-09, in the Elementary Education sector there were
65,609 Primary Schools and 14,942 Upper Primary schools
and under Secondary Education, there were 17,376 High
Schools and 100 Higher Secondary schools. There was
enrolment of 13.66 million in the state as on 30-09-2008
in all types of schools in the state.
Intermediate Education
There are 4,611 Junior Colleges under
different managements. Vocational courses are offered
exclusively in 479 Private Junior Colleges and 12 Govt.
Junior Colleges.
Collegiate Education
There are 249 Government Degree Colleges
and 179 Aided Degree Colleges in the state with a strength
of 3,64,726 students.
Technical Education
There are 656 Engineering Colleges,
703 MCA Colleges, 881 MBA Colleges, 278 B.Pharmacy Colleges,
and 213 Polytechnics functioning in the state (includes
370 MCA and 224 MBA stand-alone colleges). The intake
of the students is 2,26,870 in engineering courses,
47,595 in M.C.A courses, 59,676 in MBA courses, 16,675
in Pharmacy, and 63,075 in Polytechnics.
Universities and Centres of
Excellence
The State of Andhra Pradesh has an excellent presence
of a number of renowned universities,training and Research
and Development institutes.
Universities
- Osmania University,
- Nagarjuna University
- Shri Krishnadevaraya University
- Shri Venkateswara University
- Dr.B.R.Ambedkar Open University
- JNT University
- Andhra University
- Kakatiya University
- Central University of Hyderabad.
Training institutions
- Indian Institute of Information Technology
- Indian School of Business
- International Institue of Information Technology
- National Institute of Fashion Technology
Research and Development Centres
- Centre for Cellular and Molecular Biology ( CCMB).
- Indian Institute of Chemical Technology ( IICT).
- International Crop Research Institute for Semi-arid
Tropics ( ICRISAT).
- Defence Research Development Organization ( DRDO).
- National Remote Sensing Agency ( NRSA).
- Defence Metallurgical Research Institute ( DMRI).
- Central Institute of Tool Design ( CITD).
- Defence Electronics Research Laboratory ( DERL).
- Central Power Research Institute ( CPRI).
- Central Food Technology Research Institute ( CFTRI)
- Central Institute of Plastic Engineering and Technology
( CMET).
- National Academy of Construction ( NAC).
- National Informatics Centre ( NIC).
- Indian Institute of Information Technology ( IIT).
- Administrative Staff College of India ( ASCI).
- National Institute for Small Industry Extension
and Training ( NISIET).
- National Institute of Rural Development (NIRD)
- National Institute of Nutrition ( NIN).
- National Geographic Research Institute ( NGRI).
Board of Intermediate Education,
Andhra Pradesh
The Board of Intermediate Education, Andhra Pradesh
promotes the vision of world-class education in Andhra
Pradesh through quality leadership, support, and services
thereby striving towards continuous improvement of education
in the State.
The Board also regulates and supervises the system
of intermediate education that include devising of courses
of study, prescribing syllabus, conducting examinations,
granting affiliations to colleges and, providing direction,
support and leadership for all educational institutions
under its jurisdiction.
For More
Information
Andhra Pradesh State Council for
Higher Education ( APSCHE)
The Andhra Pradesh state council of Higher Education
(APSCHE) came into existence on 20th May 1988 through
an Act (No. 16 of 1988) of the State Legislature to
advise the Government in matters relating to Higher
Education in the State and to oversee its development
with perspective planning and for matters connected
therewith. This council was the first of its kind in
the Country, set up as per the recommendations of the
National Education Policy 1986 and is primarily a coordinating
and liaisoning body between the University Grants Commission,
the State Government and the Universities.
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More Information
Health
Directorate of Health
The Directorate of Health in Andhra Pradesh is primarily
responsible for the provision of healthcare services
in the state. The directorate of health has been entrusted
with the following:
- Provision of first aid at primary health centres
and district hospitals for all accident and injury
cases.
- Provision of adequate equipments in hospitals and
health centres with medical kits and personnel for
childbirth and pregnancy.
- Supply and distribution of preventive medicines
for communicable diseases / epidemics.
- Rehabilitative services for leprosy / encephalitis
patients.
- Treatment of Disorders namely Respiratory, Digestive,
Neural, Circulatory and ENT Cases.
- Promotion of positive health, health education and
health campaigns.
Women and Child Welfare
Andhra Pradesh holds the distinction of being one of
the few states in India where a separate directorate
and department has been set up in order to look at the
welfare of women and children.
The Department initially looked at a community based
approach to Women's issues through the formation of
Mahila Mandals , District shelters/ homes. Later the
priority was given to training institutions, Child Welfare
Programs and Programs through Voluntary Organizations,
NGO's etc. The Focus in the 1990's was on Employment
and Income Generation Services, Skill Development Training
and Support Services.
Currently the department is striving to achieve Womens
empowerment through increased Gender Sensitisation in
education and employment and women's participation in
various aspects of development.
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More Information
Super-speciality Healthcare facilities
Hyderabad has a number of number of super-speciality
hospitals such as the Apollo hospital, CARE, Indo-American
Cancer Institute and Research Centre and Nizam's Institute
of Medical Sciences.
Mines and Geology
Minerals form as a major resource
and contribute considerably to the economic growth of
the state. Andhra Pradesh is renowned as the mineral
store house of the south and established as a prime
mineral producer in the Country.
The varied geology of the state has rich and wide variety
of minerals useful for mineral specific industry. 48
varieties of minerals have been identified so far and
important among them are-Gold, Diamond, Bauxite, Beach
Sand, Limestone, Coal, Oil and Natural Gas, Manganese,
Dolomite, Quartz, Feldspar, Precious and Semi-precious
stones, Clays, Calcite, Steatite Iron Ore, Base Metals,
Barytes, Uranium, Granite, Limestone Slabs, Marbles,
Dimensional Stones and other Building Materials etc.
Mineral Resources
Andhra Pradesh is well known globally
for variety of rocks & minerals and called as 'Ratna
Garbha', a State endowed with variety of minerals. Many
of the ancient travelers and historians have mentioned
about ancient mining of Gold, Diamond, Base Metals,
Precious Stones etc. A.P. is repository of many minerals
and has tremendous potential for mining and development;
contain varieties of Litho units/ Rocks, which contain
host of industrial and non-industrial minerals.
Andhra Pradesh is geologically unique and consists of
Igneous, Volcanic, Metamorphic and Sedimentary formations
range in age from most ancient (Archean) to recent(teriaries),
and contain Peninsular gneissic complex, Dharwars, Eastern
ghats, Cuddapah, Pakhal, Penganga, Bheema Kurnool (Palnadu,)
Gondwana, Deccan traps, Tertiary and Quaternary formations.
These formations with different Litho Units / Rocks
contain host of industrial, Non-Industrial, Metallic
Minerals.
Estimates
of some of these important mineral reserves are given
below:
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Estimated
Mineral Reserve
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Items
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Unit
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Quantity
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Coal
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Million
Tonnes
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17,146
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Limestone
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"
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35,179
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Bauxite
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"
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615
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Barytes
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"
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70
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Beach
Sands
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"
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241
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Gold
(ore)
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"
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12.10
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Beach
Sand
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"
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241
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Diamond
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Lakh
carats
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18.23
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Granite
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Million
Cubic Meters
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2,406
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Source:-Mines
and Geology Department
Andhra
Pradesh is comfortably placed in various Minerals such
as Limestone (34%), Coal (10%), Mica(86%), Dolomites
(11%),Bauxite(40%),Barytes (96%),Clays (30%),Heavy mineral
beach sand (40%),Manganese (10%),Feldspar (11%),Quartz,Silica
sand Soapstone (16%), Gold, Diamonds (16%), Uranium,
Oil and Natural gas, Iron ore, Semi-precious stones,
Granite (40%), Slates, Limestone slabs, Marbles, Dimensional
and Building stones (40%).
- The State is first in Barytes, Limestone and Beach
sand heavy Mineral deposits in the country.
- The State is well known for Gold, Diamond, Precious
and Semi Precious stones occurrences over vast areas.
- There are huge deposits of Bauxite in East Godavari
and Visakhapatnam districts.
- Krishna-Godavari on shore and off shore basin contain
huge reserves of oil and natural gas.
- The State also contains huge uranium deposits in
Kadapa and Nalgonda districts.
- Andhra Pradesh is only State in the entire Southern
India which contains large deposits of Coal.
- The State also has number of scattered low grade
iron ore deposits in Prakasam, Krishna, Khammam, Karimnagar,
Kurnool and Kadapa districts.
- The State is well known for exclusive granite varieties
viz., Chimakurthy Black Galaxy Granite, Srikakulam
Blue, Khammam and Warangal Black granite Karimnagar
Tan Brown etc.
The department of Mines and Geology is entrusted with
both promotional and regulatory functions for overall
development of mineral sector and also collection of
mineral revenue to the State Exchequer. The department
is overseeing the functions of receipt and processing
of mineral concession applications, grant of leases
for Minor Minerals, approval of Mine Plans, Inspection
of Mines, curbing of illicit Mining and Transportation,
Vigilance, monitoring of Mineral Production, Survey
and Demarcation of areas, Mineral Revenue Collection,
Mineral Investigations and explorations and dissemination
of Mineral information.
Leases and Mining
There are 2,039 Mining leases and 9052 quarry leases
for Major minerals (Industrial Minerals) and Minor Minerals
(Construction Minerals) with an extent of 1,02,376 hects
and 30,736 hectares respectively and 35 Reconnaissance
permits (Gold, Diamond, Base metals, Precious metals).
Mining for coal, Limestone, Barytes and Natural Gas
falls under large scale mechanized sector, Granite,
Dolomite, quartz, feldspar, Clays etc. Nearly 90% of
the Mines fall under small sector and remaining 10%
falls under medium and large sectors.
Mineral Based Industries
97 principle large and medium scale mineral based industries
have been established in Public and Private sectors
for manufacture of cement, steel, sponge Iron, Fertilizers,
Ferro Alloys, Glass, Oil refinery, Fibre Glass, Ceramics,
Refractories, Zinc refinery, Chemicals etc. A.P. is
the 2nd largest cement producer in the country. There
are 18 major and 17 mini cement plants with an installed
capacity of 23 Million Tons per annum. In addition,
there are about 5,000 Granite, Marble and Limestone
cutting and polishing units, Slate cutting units, mica
processing units, Gem cutting and faceting units, Granite
monuments manufacturing units, Pulverizing units, stone
crushers, mosaic and ceramic tile units, lime kilns,
and Rock stone sand units.
Mineral Production and Value
The mineral consumption is increasing due to promotion
of various industries and manufacture of mineral based
products. State produces about 100 to 110 million tonnes
of industrial minerals and 200 million cubic meters
of dimensional stones and building material. A.P. stands
1st in Barytes and Limestone production in the country.
The state stands first in value of minor mineral production
and Second in total value of mineral production in the
country; contributing about 9 to 10 percent,
(US$ 3.44 billion -2008-09) to the country's
mineral value production. The production of Coal, Natural
Gas and Limestone from 1994-95 to September 2009.
Revenue
The Mineral and Mining sector
has achieved US$ 378.42 million of Mineral Revenue during
2008-09 against the target of US$ 472.10 million.Mineral
revenue of US$ 180.46 million was achieved upto September
2009 against the annual target of US$ 528.68
million for 2009-10.During
the 2008-09, State stands first in Mineral Revenue among
the important Mineral Producing States of the country
viz., Jharkhand (US$ 316.01 million), Rajasthan (US$
273.09 million), Chattisgarh (US$ 262.53 million), and
Karnataka (US$ 106.35 million).
Policy Initiatives
- Initiative was taken in enactment of "the A.P.
Mineral Bearing Lands" (infrastructure) Cess
Rules, 2005 for collection of Cess on Mineral Bearing
Lands for promotion of infrastructure facilities and
rapid exploitation of Mineral resources in the State.
Initially, only Coal, Oil, and Natural gas, Barytes,
Lime Stone, Iron Ore and Granite are brought under
the Cess Rules.
- Initiative has been taken and identified 12 exclusive
Mining zones over an extent of 0.14 million acres
around Hyderabad for Building stone, Metal and Manufacture
of stone sand. The Government has already declared
One Exclusive Mining Zone at Bandaraviryala over an
extent of 670 Acres.
- The sand quarrying and regulation subject has been
transferred from Panchayatraj Raj and Rural Development
Department to the Mines and Geology Department for
scientific, regulation and effective realization of
Mineral Revenue to the State exchequer. The department
has taken fresh initiative to conduct sand auctions
throughout the State.
- The State Coal Policy facilitating APMDC to operate
Coal Mines in Tribal Agency areas in conformity with
APLTR and also in association with other PSU's was
announced.
- Introduced uniform collection of Seigniorage fee
on Slab system to help the Granite and Limestone slab
cutting and polishing units in the state and also
waiver of Seigniorage fee on granites.
Other Initiatives
- The State pursued with Central Geological Agencies
for exploration of Diamond, Coal, Gold, Base Metals,
Rare Earths, Beach Sand minerals, Volcanic Ash, Granites.
- Investigation has been taken up to identify areas
for exclusive quarry zones for Road Metal and building
material for promoting manufacture of rock sand around
Visakhapatnam town and Granite deposits in East Godavari
and Medak Districts, Laterite and Iron ore resources
in Kadapa and Adilabad Districts and Dolomite in Khammam
District. Further intends to identify the areas for
proposing exclusive mining zones in Mahabubnagar District
for promoting manufacture of sand from Rock.
- Initiative was taken to review the achievements
in case of 38 reconnaissance permits granted to 10
National and International Companies for gold and
diamond. The reconnaissance permit holders have indicated
the presence of diamond ferrous kimberlite bodies
after review and some of them have filed 42 Prospecting
licenses for detailed exploration of Diamonds.
- Initiative has been taken to promote the manufacture
of Robo sand and grant of leases to encourage the
entrepreneurs for manufacture of sand as an alternative
to the natural sand.
- Taken initiative for development of the largest
Bauxite deposits of Visakhapatnam and East Godavari
districts and establish Alumina /Aluminium Units with
the active participation by the NALCO, JSWH Ltd.,
Local Tribal Societies, TRICOR and Andhra Pradesh
Mineral Development Corporation.
- Encouraged the Andhra Pradesh Mineral Development
Corporation, Indian Rare Earths and other Private
Sector entrepreneurs for mining and establishment
of Beach Sand Mineral Separation Units, Titanium Slag
and down stream industry at Vizianagaram and Srikakulam
districts.
- Encouraged the APMDC for establishment of Low Grade
Iron Ore beneficiation Plant at Ongole and large scale
mining of Galaxy Granite in Prakasam District.
- The Government through APMDC intends to enter into
oil and Natural Gas exploration and coal mining in
other States. The department through Government has
requested the Government of India to allocate on-share
oil and Natural Gas blocks to APMDC for exploration
on nomination basis so as to cater the needs of the
state.
Major
Industries
Automobile and Auto Components Industry
The Automobile Industry has a strong presence in the
State of Andhra Pradesh owing to a broad base of automotive
component manufacturers and a large pool of highly trained
and skilled manpower. Andhra Pradesh has to its credit,
more than a 100 automotive component manufacturing companies
(including first-tier suppliers and OEM's) that specialise
in precision aluminium castings, high pressure die castings,
forging, machined components, pressed metal components,
gears, pistons, leaf springs, front axles, brake liners,
cylinder liners, clutch covers, fuel filters, nozzles,
delivery valves, starter motors, alternators, grey-iron,
oils and lubricants, diesel fuel injection equipment,
electronics /electrical, electronic regulators, CAD/CAM
design, etc. Over half the cylinder liners and clutch
plates in India are produced in Andhra Pradesh.
Most of these components are presently being supplied
to Ashok Leyland, Honda, Tata, Suzki, Mahindra &
Mahindra, Escorts, Kirloskar and Bajaj. Amaron Batteries
are manufactured in Chittoor district.
Bulk Drugs and Pharmaceuticals
Andhra Pradesh has a dominant position in the bulk
drugs and pharmaceutical sector with Hyderabad accounting
for nearly one third of India's total bulk drug production.
Andhra Pradesh is well known internationally for its
skills in chemical synthesis and process engineering.
The state provides for favourable investment in bulk
drugs and pharmaceuticals, with a good scope for the
establishment of large and medium scale industrial units.
Biotechnology
Biotechnology is another important industry sector
in Andhra Pradesh with the state being naturally blessed
with abundant and diverse agriculture, forest wealth,
marine resources and cattle population that serve as
catalysts for the promotion of the biotech sector.
In the field of Agri-biotech, tissue cultures for food
crops and ornamental plants have been taken up in the
state successfully. The State already has six agri-biotech
companies doing well. The presence of a large number
of hospitals and facilities for healthcare education
and research also facilitate clinical trials of biotech
products.
Information Technology
Government of Andhra Pradesh aspires to transform the
State into a Knowledge Society and make available the
benefits of Information Technology (IT) to the last
mile of the State and to all citizens, especially those
in rural areas. It has emerged as a State that provides
the right climate for the growth of IT business and
is now one of the most preferred destinations in the
Country.
Despite economic slowdown, the State continued to maintain
high growth rates in the IT sector. For the year 2008-09,
the IT sector recorded an export growth rate of 24.5%
as against the national average of 20.65%, with the
exports turnover of US$ 7019.23
million. IT sector contributes to about 52.09%
of total exports from all sectors in the State. AP State
ranked fourth in IT performance in the Country. The
share of IT exports from the State of Andhra Pradesh
occupies 15% of national IT exports.
As of 2008-09, IT sector created gainful direct IT employment
to 2,51,786 as against the All India IT/ITES employment
generation of 22,00,000(AP Share 11.44%). It is estimated
by NASSCOM (National Association of Software & Service
Companies) that every direct job in IT creates four
indirect jobs.
As of 2008-09, there are 1,206 IT/ITES companies registered
in A.P with STPI. During 2008-09, 69 IT/ITES companies
registered with STPI, with a total projected investment
of US$ 110.08 million, as against 616 companies registered
in the country.
A.P. is at present home for major
MNC-IT giants and Fortune 500 companies,such as Microsoft,
Google, IBM, Oracle, DELL, Deloitte, Convergys, UBS,
Bank of America,HSBC,Wipro, Infosys, HCL,Honeywell,
Siemens,Cognizant,Sonata,Mahendra British Telecom,Patni,
Celestica, Unisys, and many more.
Mines and Minerals
Andhra Pradesh ranks among
the second largest storehouse of mineral resources in
India. The state stands first in the value of mineral
production, contributing 9 to 10 percent US$ 1419.57
million of the country's mineral value of production
and approximately US$ 172.47 million by way of foreign
exchange.
The Mining sector has been identified
as a growth engine for the overall development of the
industry and infrastructure. The state offers numerous
investment opportunities for investment and development
of mineral and mining projects owing to its vast explored
mineral potential and natural infrastructure. The state
also envisages mineral projects with the participation
and investment from the private sector.
Textiles and Leather Industry
The Textile and leather industry is poised for exponential
growth in Andhra Pradesh with the state being second
in the manufacture of raw silk and cotton, fourth in
the production of wool and textile mills in the country.
Andhra Pradesh is well suited in terms of ideal climatic
conditions that are conducive to the growth of the leather
and textile industry. The state also posseses an excellent
raw material base with skilled human resources.
The Government aims at creating the right climate and
atmosphere for investors and entrepreneurs to benefit
from the world trade through the Textile and Apparel
Promotion policy, that poises to promote a strong and
vibrant textile industry that would promote sustainable
employment to weavers and workers in the handloom, powerloom
and textile / apparel sector.
Tourism
Andhra Pradesh Tourism Development Corporation (APTDC)
is a State Government Undertaking incorporated in the
year 1976. It continues to register significant growth
since 1999-2000 with a focus on the creation of tourism
infrastructure and products.APTDC continues to strive
for promotion of new tourism products such as Eco-Tourism,
Beach Tourism and Cruise Tourism.
During 2008-09, six new Eco-tourism destinations have
been promoted as novel initiatives under community based
Eco-Tourism. The River Cruise tourism to Pattiseema
and Papikondalu on river Godavari has become immensely
popular.
Eco-Tourism:The Corporation
develops tourism infrastructure and package development
for overall development of tourism in the State. The
Corporation involved in many areas of development i.e.
hotels, resorts, wayside amenities, tourist packages
and water sports etc. Recently, it has ventured into
new tourism related fields like, Heritage, Pilgrimage
and Eco-tourism etc.
Growth:Growth in Andhra
Pradesh tourism from 2006-06 to 2009-10 is shown below
in Table:
|
Tourists Inflow and Revenue
|
|
Year
|
Tourists (nos. in million)
|
Revenue (US$ million)
|
|
2006-07
|
5.35
|
19.29
|
|
2007-08
|
6.25
|
21.75
|
|
2008-09
|
7.38
|
23.49
|
|
2009-10 (projected)
|
7.75
|
25.22
|
Source: Tourism Development
Corporation
Recent Initiatives in Tourism
sector by Government
Tour Packages:APTDC has designed a number of
Tourists Packages to varied destinations both in and
outside the state through its modern transport fleet.
Haritha Hotel Chain:APTDC has developed the "Haritha
Hotel Chain" located in important tourist centers.
which provides the right ambience and the quality a
tourist truly deserves.
Wayside Amenities:To provide better facilities
to highway travelers, APTDC has taken up development
of Wayside Amenities along the highways at Alankanpally,
Suryapet, Pragnapur, Kamareddy, Lepakshi, Wyra, Sone
and Srikalahasthi. Facilities like Restaurant, Washrooms,
Parking area, Souvenir Shop and Children Play area are
developed at these places. Projects completed and commissioned
are Alankanpally, Pragnapur, Lepakshi, Srikalahasti
and Suryapet. Development of wayside amenities at Wyra
and Tallapaka is taken up and works are in progress.
Water Fleet:The large number of water bodies
have enabled APTDC to develop lake and river tourism
in Andhra Pradesh.The water fleet strength of APTDC
is 117 which includes FRP Boats, Launches, Parasail
Boat and large vessels. The Corporation operates 10
cruises in Godavari and Krishna rivers. New catamaran
type boats and latest Speedboats have been introduced
at various water bodies as a part of strengthening the
water fleet operation.
River Cruises:As a part of new product development,
the Corporation has aggressively promoted river cruises
during last year. The Corporation operates one of the
most popular River Cruise on River Godavari between
Pattiseema and Papikondalu.
Sound and Light Shows:The corporation in its
endeavour to show case historic and heritage monuments
to the tourists has developed Sound and Light shows
at Golconda Fort, Hyderabad and Chandragiri palace near
Tirupati.
Eco-Tourism:The Corporation took the initiative
of identifying potential Eco-tourism spots and successfully
implemented the popular eco projects like the Belum
caves, revamping of Borra caves, an exotic Jungle destination
by name Jungle Bells at Tyda, famous lake project at
Durgam Cheruvu, illumination of Ettipothala water Falls
and development of Bhavani River Island.
Eco-Tourism initiatives
- APTDC in coordination with AP Forest Department
and Vana Samrakshana Samithi(Tribal communities) has
identified eight Eco-tourism destinations at Maredumilli
(East Godavari District), Nelapattu (Nellore District),
Mamandur, Talakona, Nanniyal (Chittoor District),
Balapalli (Kadapa District), Ettipotala (Guntur District),
Kambala Konda (Visakhapatnam District).
- Eco-tourism package would involve Nature Treks,
Wildlife Tourism and Jungle Stays. Transport to and
fro the destination will be provided by APTDC.
- Vana Samrakshana Samithi (community) will provide
accommodation, guide services and food.
- A.P. Forest Department will provide infrastructure
under Community Forest Management (CFM).
Investment Opportunities
I) Agro-Food processing Industry
The opportunities in Agro based food processing include:
- Rice: Value based additions in rice based products
such as rice flakes, puffed rice, Noodles, rice cakes,
fermented products, Rice based beverages, barren oil
etc.
- Maize: Ethanol made from maize is blended with petrol
and provides scope for utilizing the marketable surplus
in the state.
- Jowar: Alcohol can be effectively extracted from
Jowar.
- Horticulture: Fruit & Vegetable processing,
Fruit based beverages.
- Marine Food: The long coastline and reservoirs have
attracted the processing of Marine and fresh water
seafood, including fish and prawns.
- Poultry: Andhra Pradesh is the largest egg producer
in India, producing 35 million eggs annually. A common
facility for egg washing, grading and packing is being
set up near Hyderabad.
- Animal Husbandry:Processing of poultry , eggs, meat
, meat products.
- Food Processing:Oilseed meals (edible), breakfast
foods, biscuits, confectionery, including cocoa processing
and chocolate, oil expelling and refining, malt extraction,
protein isolates, high protein foods, weaning foods,
extruded / other ready to eat food products.
Current Project
Food
processing Park, Kuppam
II) Biotechnology
The state of Andhra Pradesh, especially Hyderabad has
produced several pioneers in the area of Medical/Human
and Animal Healthcare. Some examples include Biotech
companies such as Shanta Biotechnics, Bharat Biotech,
Krebs Biotech, Biological E Ltd.,Jupiter Biosciences
and Dr. Reddy's Laboratories among others. This portrays
the unique advantage of the State in the area of Pharma-related
Biotech.
The Government of Andhra Pradesh has put forth the
following areas in Biotech which offer opportunities
for investment namely
- Therapeutics
- Diagnostics
- Industrial Biotechnology
- Inputs to the industry (hardware suppliers - Instrumentation
and Chemicals)
- Agricultural Biotechnology
III) Mines and Minerals
Numerous opportunities exist in the field of Mines
and Minerals by way of
- The Andhra Pradesh Minerals Development Corporation
(APMDC),a fully owned Government undertaking for the
exploration, exploitation and development of mineral
resources has initiated investment proposals in bauxite,
granite and beach sand. The government is also likely
to open up diamond mines with the participation of
National and International companies. There also exists
a good scope for the revival of old gold mines and
opening of a world-class gold mine in Kurnool district
in the coming years.
- Mineral exploration projects with reference to diamonds,
gold, base metals, limestone and granite.
- Envisaged mineral projects with participation and
investment from the private sector.
- Ample scope to tap coal reserves for the development
of coal based thermal plants,washeries, gasification
and carbonisation plants. Proposed programmes to augment
coal production with the aid of private participation.
- Andhra Pradesh is known for its wide variety of
granites such as the world renowned Chimakurthy Black
Galaxy Granite, Srikakulam Blue and White, Warangal
and Khammam Black etc. A plethora of opportunities
exist in making novelty and artifact products with
polished granite that have a good demand in the International
market.
- The Government of Andhra Pradesh has offered the
development of advanced ceramics like Electro and
and Mechano ceramics under private sector investment.
IV) Tourism
The State Government with a view to promote Andhra
Pradesh as an ideal tourist destination has adopted
a proactive investor friendly open door policy for investors,
with a mechanism of active private sector participation.
The following areas could be explored in the tourism
sector.
- The convention and heritage tourism
- Sea and inland water cruise tourism
- Pilgrim Tourism
- Health tourism
- Buddhist circuit and Buddhist sites
- Science and technology tourism
- Beach tourism
- Eco tourism
- Leisure tourism
- Wild life tourism
- Adventure tourism
- Fairs and Festivals and
- Rural / Village tourism
V) Information Technology
In the arena of Information Technology investment opportunities
exist in the following areas namely,
- Software Development.
- IT enabled services.
Mega Project
Hardware
Park
VI) Ports
Mega Project
Gangavaram
Port Project
VII) Roads
Mega Project
Hyderabad
to Vijaywada Highway
Integrated
Infrastructure Development
Mass
Rapid Transport System
Investment and Industrial Policies
Industrial Policy (2005-2010)
The Industrial Policy of Andhra Pradesh has been formulated
with a view to drive industrial growth in the state
by attracting private investments with specific measures
to improve the investment climate towards better regulation
by removing barriers to competition.
Full
text of the policy (.pdf)
Biotechnology Policy (2001)
The Government of Andhra Pradesh has accorded a strong
thrust on the Biotechnology sector. The policy on Biotech
aims to facilitate the development of biotechnology
in the State by creating high quality infrastructure
through the strategy of setting up specialized Biotech
Parks in different parts of the State, encouraging research
activities, developing human resources and establishing
links between research institutions, academia and industry.
The State Government aims to create a hassle-free environment
for the biotech industry through simplification of procedures
and a single window clearance mechanism.
Full
text of the policy
Information and Communication Technology Policy
(2005-2010)
The Government of Andhra Pradesh introduced the ICT
policy with a view to transform the state into a knowledge
society and make available the benefits of information
technology to all citizens, especially those in rural
areas. The State aims to leverage ICT for achieving
an Info-age (inclusive, networked, fast, open, accountable,
globally benchmarked and efficient) government.
Full
text of the policy
Infrastructure Policy
The Government of Andhra Pradesh with a view to undertake
mega projects to attract industries and the overall
development of the state has constituted a High Level
Task Force and identified 31 Mega Infrastructure Projects
for immediate implementation with the private sector
participation.
The Infrastructure sectors covered by the policy are
Power generation, Transmission and Distribution projects,
Roads (Govt Highways, Major Road Districts, Other District
Roads, Village Roads), Bridges and Bypasses, Minor Ports
and Harbours, Airports and Heliports, Gas and Gas Works,
Inland Containers and Logistics Hubs.
Full
text of the policy (.pdf)
Ports Policy
Andhra Pradesh was amongst the first maritime states
in 1994-95 to recognise the imperative need for increased
port infrastructure and the central role that the private
sector would be required to play in developing the same.
The port privatisation in Andhra Pradesh has been based
on Build-Operate-Share-Transfer basis.
Full
text of the policy (.pdf)
Foreign Direct Investment in Andhra
Pradesh
The State has received US$ 3491.12
million of Foreign Direct Investment (FDI) inflows as
equity from January 2005 to September 2009 as per the
statement of Reserve Bank of India (RBI) regional office
at Hyderabad.
|
Foreign Direct Investment(FDI)
Equity
|
|
Year
(Jan-Dec)
|
Amount
(US$ million)
|
|
2005
|
156.06
|
|
2006
|
543.15
|
|
2007
|
|
|
2008
|
|
|
2009 (up to Sept.09)
|
|
|
Total
|
|
Source:Department of Industrial
Policy & Promotion (DIPP)
Useful Web Links
Government
of Andhra pradesh
National
Informatics Centre, Andhra Pradesh
Commissionerate
of Industries
A.P.Industrial
Development corporation Ltd
|