Industrial corridor authority to shore up investments in VCIC

Assembly nod for Bill likely in ensuing session

The Andhra Pradesh Industrial Corridor Development Authority Bill – 2017, which is set to be placed before the Legislative Assembly for its approval in the ensuing session, is going to give a fillip to promotion of industries in the Visakhapatnam-Chennai Industrial Corridor (VCIC) and parts of Andhra Pradesh falling in the Bangaluru-Chennai Industrial Corridor (BCIC).

ADB assistance

Once the Assembly gives its nod for this piece of legislation that has already been approved by the Cabinet, the Department of Infrastructure and Investment will be able to speed up the provision of facilities required by the industries with the help of a substantial financial assistance by the Asian Development Bank (ADB), which has promised to invest over $ 500 million in a phased manner.

Five nodes

According to official sources, the concentration will be on five nodes of the VCIC, namely, Visakhapatnam, Kakinada, Yerpedu-Srikalahasti, and Krishnapatnam, and Amaravati-Gannavaram-Vijayawada, which have the potential for rapid industrial development, specifically the first four, where there is already a substantial activity.

The focus on the Amaravati node is going to be confined to non-polluting industries, and some progress has been made on this front in the form of a clutch of medium size software companies, including a data centre, which has come up at Mangalagiri and Vijayawada.

Speaking to The Hindu , Associated Chambers of Commerce and Industry (Assocham) A.P. Development Council co-chairman P. Bhaskar Rao said the A.P. Industrial Corridor Development Authority would take up development of the corridors with the requisite focus on acquiring land and creating infrastructure along the 800-km VCIC and in the Krishnapatnam node, which falls both in VCIC and BCIC.

State’s plea

“The State government sought Kurnool to be included in the BCIC to boost industrial prospects in that crucial Rayalaseema district, but a decision has not yet been taken by the Centre,” Mr. Rao stated, adding that the ADB was ready to extend assistance to the development of VCIC, which is a part of the East Coast Economic Corridor that stretches from Kolkata to Kanyakumari, whereas the Japan International Cooperation Agency has expressed keenness on funding the BCIC project.