Andhra Pradesh invites firms to relocate from Bengaluru, highlights infrastructure advantage

Andhra Pradesh IT and Electronics Minister Nara Lokesh has invited companies operating out of Bengaluru to consider relocating to Andhra, highlighting the state’s growing industrial ecosystem, strong infrastructure, and proactive governance as key advantages.

Speaking to CNBC-TV18 on the sidelines of a CII event, Lokesh said Andhra Pradesh is actively competing with every state to attract investments.

“I believe in competitive federalism. Every state should compete, and that will get the best out of the state—and that’s good for the nation,” he said.

The minister said Andhra Pradesh has emerged as one of India’s fastest-moving investment destinations, with marquee investors committing close to $120 billion.

“It’s all being done because we are delivering on the speed of doing business. I met the chairman of one of the largest companies today with a detailed status update on our earlier discussions. We have become far more proactive rather than being reactive,” Lokesh said.

He emphasised that the state’s strong infrastructure and favourable business environment make it a natural alternative for firms looking beyond Bengaluru.

“We are on the other side of Bengaluru. We have good infrastructure and a world-class ecosystem in automotive manufacturing. Look at what we have done with Kia—we can do that for defence and other sectors as well,” he said.

Lokesh added that Andhra Pradesh continues to support key sectors such as aquaculture, which has been hit by higher tariffs in the US. He said the state is working with the central government to mitigate the 50% tariff impact on shrimp exports and to help farmers with lower power tariffs and reduced feed costs.

“We are also exploring new markets in Europe and Russia. We have already sent our first containers to Ukraine,” he said.

On infrastructure development, Lokesh said major works in Amaravati have restarted and that the government is committed to completing the city’s core capital area within the next two years and nine months.

“We are sticking to the original master plan that we co-created with the leadership of Singapore, and we are going to execute it,” he added.Read about our editorial guidelines and ethics policy