Andhra Pradesh Approves Policies to Position State as Drone and Tech Hub

The Andhra Pradesh Cabinet, under Chief Minister Nara Chandrababu Naidu, has greenlit major policies positioning the state as a future hub for drone manufacturing and data infrastructure. Key among these initiatives is a new drone policy featuring a State Drone Corporation, a Drone Development Centre in Kurnool, and a network of training and production facilities. The state aims to draw Rs 1,000 crore in drone investments, with an anticipated annual revenue of Rs 3,000 crore and employment opportunities for 40,000 people. This policy fulfills Naidu’s recent pledge to launch a comprehensive drone strategy within 15 days of the October Amaravati Drone Show.

Additionally, the Cabinet approved the Andhra Pradesh Data Centre Policy, with a goal of adding 200 megawatts in data capacity, appealing to AI-equipped, advanced data centers. A semiconductor and Display Fab policy, active until 2029, offers up to an 80% subsidy, promoting Andhra Pradesh as a destination for global semiconductor manufacturers.

Legislative measures included replacing the 1982 Land Grabbing (Prohibition) Act with a 2024 bill enforcing strict penalties for land grabbing and amendments to the Andhra Pradesh Goods and Services Act. Infrastructure plans were also discussed, including reviving the Kuppam Area Development Authority, forming the Pithapuram Area Development Authority, and a 189-km ring road linking Amaravati and Vijayawada to strategic economic routes.

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