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VISION 2020

A PEEP INTO THE FUTURE

The Government of Andhra Pradesh commissioned renowned consultants McKinsey & Co to prepare a document charting the development process for the state over the next two decades.

Vision 2020, the targets set on different parameters to be achieved by the state by year 2020 are:

  • Nine to ten per cent real-term economic growth over the next 25 years.

  • A nine -fold increase in per capita income.

  • Creation of 18-20 million jobs.

  • Agriculture to quadruple in size, with six per cent real-term annual growth. 

  • A thirteen-fold growth in industry (11 per cent annual growth).
  • Make the transition from an agrarian to a services-led economy.

       The total investment needed to achieve the targets set is a mind-boggling Rs 30 lakh crore (70 to 80 % of which is expected to be raised from private sources). Nineteen sectors have been identified as growth engines to help achieve targets. These sectors selected on the basis of their scope on at least one of the three parameters: they build on the state's strengths, have potential for great economic impact or present opportunities created by global trends. According to the reports, the growth engines of Andhra Pradesh will be:

Agriculture
  • Rice, poultry, Dairy, Horticulture, Agro-industry and Fisheries.

  • Irrigation efficiency to be improved from 35-40 per cent. Proper post-harvest storage at present, 20-30 percent of fruits and vegetables produced are wasted due to lack of proper storage) facilities need to be looked into seriously.

  • Dairy : ZTO be among the top three milk producers in the country by 2020(It is now No 7).

  • Horticulture: To become India's leading exporter of fresh fruits and horticultural produce.

  • Set up horizontal industrial parks and autonomous boards for major fruits and vegetables. 

  • Fisheries: Aim for a four-fold increase in fish production(2.5lakh tonnes now).

Infrastructure

  • Invest in construction, mining, pharma, SSI's, infrastructure products and labour intensive export oriented industries.

  • Pay attention to logistics, tourism, health care, education, basic InfoTech services, small-scale services, knowledge-based services.

  • Roads: Rs 16 lakh crore to be invested by 2020. Road length to be increased from present 1,65,000 km to 4,00,000 km. Four lane Super highways to connect major economic centers of the state to other cities in the country. Eight internal express ways planned.

  • Two international and five to six domestic airports planned. Airstrips at all districts headquarters.

  • Make Andhra Pradesh a logistic hub, build four to six large ports with a combined capacity of 30-50 million tonne's capacity to handle cargo) by 2020. The aim is to match logistical capabilities in the Netherlands and Singapore. 

  • Commercial losses in power to be eliminated and technical losses to be reduced from 30 percent now to 10 percent.

  • Rail length to be doubled from the existing 5,073 kilometers.

  • Aiming for a 15-fold increase in the number of phones per thousand people(it is 11 at present).

  • Corporatize government infrastructure agencies and set them up as autonomous bodies.

  • Enhance budgetary support to infrastructure from 18 per cent now to 25 per cent.

  • Invite private investment.

Tourism

  • By 2020, 2.5 million international and 70 million domestic tourists will be visiting the state annually.
    In 1996, the figures were 60,000 and 33.4 million respectively.
InfoTech
  • To emerge as India's most important InfoTech education center. Attract at least 40-50 of the world's top 500 InfoTech companies to invest in the state.

Knowledge corridor
To setup the world class research universities and research centers in the area of

  • Biotechnology and medical sciences.
  •  IT-enabled remote services 
  • Industrial Technology

Electronic governance
To create electronic networks at all contact points between people and government. McKinsey & Co has recommended a four-pronged strategy to mobilize the required resources to achieve the targets.
They are

  • Remove infrastructure bottlenecks and stimulate economic expansion.
  • Improve operational environment using by simplifying procedures and reforming policies.
  • Create a skilled labor base and improve productability substantially. 

  • Aggressively promote the state as an attractive investment destination.

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