Andhra Pradesh stood at number three in the NCAER State Investment Potential Index (N-SIPI), one step up from 2016. On the other hand, Telangana is up from 13th to 5th and is among the states that have greatly improved their rankings.
Clearly there has been substantial change in the functioning of Andhra Pradesh, as the state which topped in corruption in 2016, is at 19th position in 2017. The N-SIPI is constructed under six broad pillars – land and labour, infrastructure, economic climate; governance and political stability and responses to the survey.
When only the responses of survey are considered, the state secured second position, with no respondent facing issue in land acquisition. These details were secured from around 45 different people who actively participated in businesses in 2017.
Despite several reports of land acquisition issues, Andhra Pradesh topped the states for ease in acquiring land for industrial purposes the survey states. It is one of the top three states in labour as well due to the availability of skilled labour. However, it lags behind in in the infrastructure and economic climate.
The report cites that the lowest GSDP growth compared to other states as a weak point. It said that the state also falls behind in police strength and ground level water availability apart from the share of the industrial sector in total gross value added.
The state also fared well on DIPP score, number of smart cities and cargo handled per port.
Image courtesy – NCAER report
