Vijayawada, October 22, 2024: The Andhra Pradesh (AP) cabinet led by Chief Minister Chandrababu Naidu on Wednesday introduced six industrial and investment policies with an objective of creating 20 lakh jobs across the state.
Unveiling the policies at the press briefing, Chandrababu Naidu stated that his government is looking at ways to attract investment worth Rs 30 lakh crore in the next five years.
The six policies are AP Industrial Development Policy 4.0; AP MSME & Entrepreneur Development Policy 4.0; AP Food Processing Policy 4.0; AP Electronics Policy 4.0; AP Private Parks Policy 4.0; and AP Integrated Clean Energy Policy 4.0.
Naidu also voiced his hope that the state will be getting funds under foreign direct investment totalling USD 10 billion.
He stated that the gross value addition (GVA) from the manufacturing sector, currently at Rs 3.4 lakh crore, is expected to reach Rs 7.3 lakh crore by 2029, creating five lakh new jobs.
Naidu outlined key initiatives in the policies, stating that the state aims to secure Rs 5 lakh crore from the targeted Rs 30 lakh crore investment.
He also mentioned that exports from the state are expected to double to USD 40 billion, up from USD 20 billion in 2024.
The Chief Minister explained that the key aspects of the policies include a competitive incentive structure, support for home-grown global brands, a focus on product quality, promotion of large-scale industrial decarbonisation, and efforts to improve the “speed of doing business.”.
“In the past (between 2014 and 2019), we emerged as number one under ease of doing business (category) for four years. Now I am coining speed of doing business’. We will work out how fast we can do it. We will eliminate multiple windows to set up a single desk on how to clear a proposal as soon as possible under a single window,” he said.
The state government will follow the four-pronged approach of reducing the production cost, enabling “speed of doing business,” reinforcing MSMEs and entrepreneurs, and providing financial services to encourage manufacturing.
The Chief Minister stated that under the AP Industrial Development Policy 4.0, companies creating the most jobs will receive the highest incentives. He described it as one of the best incentive structures for industries in India, offering up to 62 percent incentives for the first 200 early investors and up to 72 percent for value-added investors in component manufacturing.
