A dedicated session on “Unlocking Andhra Pradesh’s Maritime Advantage” was held as part of India Maritime Week 2025, spotlighting the state’s ambitious roadmap to strengthen its maritime infrastructure and emerge as India’s premier logistics and shipbuilding hub.
The session brought together leading policymakers, port operators, global investors, and infrastructure experts to deliberate on strategies for enhancing Andhra Pradesh’s maritime ecosystem.
Key themes and discussions:
The discussions focused on optimizing port operations, improving turnaround time, and promoting automation across Andhra Pradesh’s ports. Panelists examined how global partnerships can accelerate the creation of smart, efficient, and sustainable ports, while also exploring strategies to build competitive cost structures for port users and logistics players.
Strengthening multimodal connectivity and integrating the hinterland of Telangana, Chhattisgarh, Jharkhand, Maharashtra, and Odisha with Andhra Pradesh’s port network was identified as a major priority to expand the state’s cargo base and enhance EXIM competitiveness.
On shipbuilding and repair, the session explored policy and infrastructure enablers that can position Andhra Pradesh as a leading shipbuilding and ship repair destination in South Asia. Participants emphasized the need for targeted skill development, R&D collaboration, and technology transfer to build a globally competitive workforce and attract foreign shipyard investments.
A highlight of the session was the formal signing of strategic MoUs between the Government of Andhra Pradesh and leading domestic and international investors in the areas of ports, logistics, and shipbuilding — reaffirming investor confidence in the state’s maritime potential.
Panel Speakers:
- M.T. Krishna Babu, IAS, Special Chief Secretary (Infrastructure & Investments), Government of Andhra Pradesh
- Davinder Sandhu, Co-Founder & Chairperson, Primus Partners Pvt. Ltd.
- Venkateswarlu G, Director, Shipbuilding, Hindustan Shipyard Limited
- Mukundan K, Strategic Initiatives & Policy Advisory, National Investment and Infrastructure Fund (NIIF)
- M. Muralidhar, Chief Operating Officer, Kakinada Seaports Ltd
- Janardhana Rao form Bothra Shipping
In his closing address, M.T. Krishna Babu, IAS, emphasized the state’s commitment to reinforcing Andhra Pradesh’s vision as India’s Maritime Gateway. He invited domestic and international partners to collaborate in developing next-generation port infrastructure, shipbuilding clusters, and logistics ecosystems that will define the future of India’s maritime growth.
The presentation by the Government of Andhra Pradesh offered a comprehensive overview of the state’s maritime, industrial, and logistics initiatives, underlining its growing role as a key hub on India’s east coast.
Key highlights from the government presentation:
- Andhra Pradesh, the 8th largest state, contributes significantly to India’s exports and GDP, with a strong services sector accounting for 42% of its economy.
- The state currently handles the third-highest cargo volume nationally and the second-highest among non-major ports, led by ports such as Visakhapatnam, Gangavaram, Kakinada, Krishnapatnam, and Rawa.
- Four new greenfield ports—Bhavanapadu (Srikakulam), Ramayapatnam (Nellore), Machilipatnam (Krishna), and Kakinada SEZ Port—are under active development through PPP and government models.
- Major emphasis is being placed on port connectivity, inland waterways (NW-4, NW-79, NW-104), and industrial corridor integration (VCIC, HBIC, and BCIC) to boost multimodal logistics efficiency.
- The state’s AP Logistics Infrastructure Corporation (APLINK) is being established as a unified platform for coordinating development across ports, airports, roads, warehouses, and industrial parks.
- Andhra Pradesh’s policy ecosystem includes dedicated sectoral policies covering shipbuilding, electronics, clean energy, MSME, logistics, IT, aerospace, and more, backed by generous fiscal incentives such as SGST reimbursement (100% for 5 years), capital investment subsidies (12–15%), and power and R&D incentives.
- A mega shipbuilding and repair hub is planned near Gullapadapatnam, with collaboration between the state and the Union Government, as part of India’s 2047 shipbuilding vision.
Private sector response and proposals:
- Industry participants appreciated the comprehensive roadmap, acknowledging Andhra Pradesh’s logistical and industrial strengths.
- A major update highlighted the ongoing construction of a mechanised bulk terminal at Visakhapatnam, being developed in partnership with BN Potash Ltd, with a $110 million investment and 5 million tonnes capacity, expected to be operational by mid-next year.
- Private players expressed interest in developing integrated shipbuilding, ship repair, and ship recycling clusters with deep-water access—potentially positioning Andhra Pradesh as a maritime manufacturing hub aligned with EU environmental standards.
- Developers such as J.M. Baxi Group reiterated their willingness to invest as developers and bring in global OEM partners from Korea, Japan, and Europe for advanced shipyard infrastructure.
- Suggestions included creating plug-and-play industrial parks near ports, a clear long-term PPP framework (60-year concession models), and distribution city models in Visakhapatnam to attract global logistics companies (e.g., DHL, Maersk, DB Schenker).
- Participants emphasized Andhra Pradesh’s potential to become not only a “Make in India, make in Andhra” manufacturing hub but also a “Move via Andhra” logistics gateway for domestic and international trade.
The session highlighted Andhra Pradesh’s strategic vision of becoming a fully integrated maritime and logistics powerhouse—leveraging deep-draft ports, strong connectivity, and proactive investor-friendly policies. The collaborative tone between government and industry underscores strong potential for joint development of shipbuilding, logistics, and industrial infrastructure projects in the state.
