Discover Andhra Pradesh

Andhra Pradesh

Andhra Pradesh, situated on the southeastern coast of India, is the seventh-largest state by area and the tenth-most populous in the country. With a diverse economy anchored by agriculture, industry, and services, it recorded a Gross State Domestic Product (GSDP) of approximately ₹1.32 lakh crore (US$160 billion) in 2022–23. The state's commitment to inclusive growth is evident in its strong performance in agriculture, which contributes over 36% to the GSDP, alongside a rapidly expanding services sector accounting for more than 40%. Andhra Pradesh offers a robust business environment supported by world-class infrastructure development, progressive governance, and a strategic location with easy access to ports and power resources.

Business Environment

The state is focused on sustainable and inclusive economic growth, providing extensive opportunities for investment across multiple sectors. Andhra Pradesh boasts a growing workforce with a female labor participation rate above the national average, and an unemployment rate lower than many other states. Its power sector is particularly strong, with an installed capacity exceeding 28,000 MW, including significant contributions from private and state utilities. The government’s initiatives, such as the Nadu-Nedu program to upgrade educational infrastructure and policies promoting renewable energy, create a conducive ecosystem for businesses.

Key Industries and Business Hubs

• Agro-based industries and modernized agriculture with a CAGR of 8.8% in allied sectors

• Information Technology and Biotechnology hubs, especially in Visakhapatnam and Amaravati regions

• Pharmaceutical and biotech investments, attracting nearly US$1 billion in capital

• Power generation and renewable energy projects, leveraging proximity to coal plants and ports

• Manufacturing and construction sectors with growing urban and rural infrastructure projects

Opportunities and Advantages

Andhra Pradesh’s strategic coastal location offers seamless access to major trade routes, making it ideal for export-oriented industries. The state government’s emphasis on good governance and education ensures a skilled labor pool and supportive regulatory framework. Additionally, reduced poverty rates and improved quality of life contribute to social stability, fostering a favorable business climate. With ongoing investments in infrastructure, including roads, ports, power, and education, Andhra Pradesh is positioned as a competitive destination for national and international investors looking for sustainable growth and innovation-driven opportunities.