Andhra Pradesh Chief Minister N Chandrababu Naidu has unveiled a comprehensive economic and industrial policy for the State for the next five years, with the ambitious aim of generating 20 lakh jobs, and creating an environment not only to attract but also build global brands. Every state government comes up with policies to boost its industrial growth, but the scale and target of Naidu’s vision is indeed commendable.
It is not easy, though. Following the creation of Telangana in 2014, Andhra Pradesh was largely reduced to an agrarian economy. When he assumed the mantle in 2014, Naidu focused on developing Amaravati as the capital, which ran into a wall after his government fell in 2019.
During this period, he built on the State’s strengths, bringing automobile giant Kia Motors to the Rayalaseema region and trying to put Visakhapatnam on the map of emerging technological sectors. The five years under YSRC from 2019 witnessed industrial growth, but not in line with the aspirations of the educated young. Its policies such as quota for locals and other moves did not help, and Brand AP couldn’t take off.
Jobs and development are Naidu's poll promise, and he has articulated how he intends to deliver in the six documents he released. From ease of doing business to ensuring speed of doing business, he has set sky-high aims for developing manufacturing, electronics, clean energy, pharma and MSMEs.
His target of Rs 30 lakh crore investments in manufacturing alone might at first glance sound far-fetched, but why not dream bigger? Industry contributes approximately 23 per cent of the GSDP and its growth potential is enormous. With four more ports under development and an international airport in Vizag shaping up, the state has an excellent opportunity to provide the best ecosystem for industries and exports.
Nonetheless, to transform Andhra into a knowledge and manufacturing hub is challenging. Neighbouring Telangana, with Hyderabad as its crest jewel, and Tamil Nadu with a vibrant Chennai, pose significant competition. To figure among the top states, Naidu has planned on floating a Tata Innovation Hub to upskill the youth and create a conducive environment.
His vision looks perfect on paper, and his marketing skills are in no doubt, however, he needs to clamp down on corruption and ensure no political interference if the State is to rival its neighbours.