Andhra to develop eight industrial cities along major ports under PPP model

Amaravati: Andhra Pradesh government has decided to develop eight industrial cities along the state’s major ports under the Public-Private Partnership (PPP) model.

These new economic hubs will come up within the limits of existing and upcoming ports.

The AP Maritime Board (APMB) has already prepared detailed proposals to create port-specific industrial clusters based on local requirements. The clusters will be developed around Visakhapatnam, Kakinada, Machilipatnam, Ramayapatnam, Moolapet, Dugarajapatnam, Rambilli, and Krishnapatnam ports.

APMB has identified a 100-km radius around each port as the “port proximal area” and drafted both short-term and medium-term master plans. These regions will be divided into designated zones for warehouses, residential townships, office space, and other commercial projects. Future permissions for industries and infrastructure will be granted according to this zonal framework.

Officials aim to transform port-adjacent villages into integrated economic cities by leveraging existing freight transport networks and industrial potential. The plan envisions modern infrastructure, digital systems, and new special economic zones (SEZs), paving the way for the expansion of MSMEs, shipbuilding, steel, logistics, and other sectors. The initiative is expected to accelerate urbanization, generate employment, and boost exports along the coastal belt.

As part of Sagarmala Phase-II, proposals worth ₹10,522.80 crore have been submitted for creating infrastructure in port-proximal areas, and discussions with the Union government are underway.

Port-Wise Proposed Industrial Clusters

Visakhapatnam: Marine and pharma cluster with seafood processing, pharma, and biotech export facilities.

Moolapet: Opportunities for pharma, biotech, and chemical exports supported by integrated CETPs, logistics hubs, and training centres.

Rambilli: A high-security manufacturing zone focused on defence equipment for the Navy.

Kakinada: Petroleum logistics and agricultural export-oriented facilities.

Machilipatnam: EV and jewellery manufacturing SEZ, along with auto components production and logistics integration.

Ramayapatnam: Expansion of oil reserve blending facilities and improved internal distribution connectivity.

Dugarajapatnam: Shipbuilding ecosystem with a Marine SEZ, robotic shipyard, and modular dry docks.

Krishnapatnam: Electronics and clean-energy cluster with dedicated zones for cleantech, electronics parks, solar-power units, and coal exports.

Proposed Infrastructure Works

Machilipatnam Port: ₹50 crore for power supply, ₹50 crore for water supply, and ₹2,089.48 crore for port-area development.

Krishnapatnam Port: ₹1,376.82 crore for internal development works.

Moolapet Port: ₹6,742.80 crore for development activities.

Ramayapatnam Port: ₹120 crore for internal road infrastructure, ₹50 crore for electricity, and ₹50 crore for water supply.