With the Andhra Pradesh government scheduling the formal inauguration of the Alluri Sitarama Raju International Airport at Bhogapuram in July, work on the dedicated cargo terminal has reached the final phase of civil construction, with preparations underway for its launch between August and September.
Project Status
Sources tracking the project confirmed on May 26 that more than 98 per cent of the airport’s infrastructure is complete. “The warehouse works of the cargo terminal are currently being finalised. We are anticipating the operational launch of this terminal shortly after the formal commencement of commercial flights, most likely in August or September,” project sources stated.
Terminal Specifications
The upcoming terminal, featuring a total built-up area of 5,000 square metres, has advanced well beyond its initial development phases. Once fully operational alongside the main commercial runways, the facility will hold a planned annual handling capacity of approximately 25,000 metric tonnes, positioning it as a primary gateway for high-value air logistics in the Visakhapatnam region.
Cargo Segments
According to layout specifications, the facility will support key cargo segments across pharmaceuticals, perishables, textiles, engineering goods, electronics, and e-commerce. Project planners emphasize a strict focus on high-value, time-sensitive shipments, particularly pharma, seafood, and digital trade goods requiring cold-chain integration.
Strategic Necessity
The strategic necessity of this terminal is underscored by the region’s export profile. Currently, nearly 70 per cent of India’s shrimp exports destined for the United States market originate from the Visakhapatnam Port. While maritime routes dominate bulk shipments, local trade bodies have repeatedly advocated for rapid air cargo connectivity to minimize transit delays for premium food exports and biological pharmaceutical shipments.
Industrial Tailwinds
Andhra Pradesh currently contributes 4.4 per cent to India’s total exports, ranking sixth nationally. The operationalization of the Bhogapuram cargo ecosystem is expected to significantly boost the state’s export competitiveness, matching the scale of multi-billion-dollar investments materializing in the Visakhapatnam industrial corridor.
Logistics experts point out that the terminal will act as a critical enabler for incoming mega-facilities. Google’s planned $15-billion, 1-gigawatt hyperscale AI data centre and Reliance Industries Limited’s proposed ₹1.6 lakh crore AI-focused data centre cluster are expected to heavily drive demand for the rapid movement of advanced electronics, servers, and semiconductor components.
Regional Trade Impact
Similarly, heavy industrial projects will rely on this infrastructure to streamline engineering supply chains. ArcelorMittal’s ₹1.5 lakh crore steel plant and NTPC’s ₹1.85 lakh crore Green Hydrogen Hub are projected to generate a steady requirement for the quick transit of specialized machinery and precision tools.
Connectivity Infrastructure
To ensure seamless transit, the Visakhapatnam Metropolitan Region Development Authority and local civic bodies have accelerated the completion of major master plan roads and the dedicated trumpet interchange connecting the facility directly to National Highway 16. The comprehensive integration of these roads is scheduled for completion by June-end, clearing the path for full-scale logistical operations.
Export Profile
Andhra Pradesh contributes approximately 5 per cent of India’s total exports, amounting to roughly $21 billion annually to India’s national trade basket. The state features a highly diversified export portfolio with 2,100-plus commodities shipped to 194 countries.
