AP Developing 23 Sector-Specific Clusters to Drive Industrial Growth: Lokesh
The minister disclosed that India's pharma market is projected to reach $130 billion by 2030. With a value of $11.05 billion, AP figures among India's top five pharma states.
Vijayawada: Andhra Pradesh is developing 23 sector-specific industrial clusters covering electronics, automotive, green energy, pharmaceuticals, medical devices, steel, drones, aquaculture, and advanced manufacturing. “We want to create complete industrial ecosystems, rather than attracting individual companies,” declared IT and education minister N. Lokesh said on Friday.
Agriculture and horticulture are also being given priority under the cluster-based development strategy, he stated, while addressing the CII Partnership Summit 2026 roadshow in Ahmedabad. Lokesh invited Gujarat industrialists to partner with Andhra Pradesh and invest in emerging sectors.
At a pharma round-table jointly organised by CII and AP Economic Development Board (APEDB), the AP minister invited pharmaceutical companies to invest in the 2,000-acre Bulk Drug Park being developed at Nakkapalli in Anakapalli district, whose first phase has already been completed. He pointed to land availability, port connectivity, lower operating costs, a pharma ecosystem, government support, and investment incentives for companies coming up at the park.
Lokesh said four pharmaceutical clusters are being developed in Anakapalli-Visakhapatnam, Srikakulam, Nellore, and Vizianagaram regions. Visakhapatnam is also home to the Andhra Pradesh MedTech Zone (AMTZ), while the state has six operational ports and four Greenfield ports.
The minister disclosed that India's pharma market is projected to reach $130 billion by 2030. With a value of $11.05 billion, AP figures among India's top five pharma states.
He said AP wants to become a growth engine in building a developed India. He pointed out that 25.3 per cent of investments coming into the country had reached Andhra Pradesh during the first nine months of 2025–26. “Speed of doing business” is the key strength of the state, he maintained, pointing out that AP is offering investors policy clarity, stability, reliable power, infrastructure, skilled manpower, and speedy government services.
“Attracting investment is only the first step. Grounding projects is the real test,” the minister emphasised. He cited the proposed $15-billion Google AI hub and data centre in Visakhapatnam and the ArcelorMittal Nippon Steel Greenfield project as examples of speedy execution. The steel project, with an annual capacity of about 17 million metric tonnes and an investment of over $12 billion, progressed from the first interaction with the company to foundation-laying within 17 months, he pointed out.
Lokesh said AP would treat investors as long-term partners in AP's development. The government's approach is built around three 'S' factors — speed, stability and service — and investors’ problems are examined for systemic solutions. He cited electronics and defence projects as examples of the government's ecosystem approach.
The minister asked Gujarat companies to use AP as a strategic gateway to eastern India and create new opportunities along with AP. He revealed that AP has set a target of becoming a $2.4-trillion economy by 2047 from the present $200 billion, with a 15 per cent growth rate.
