The Socio-Economic Survey 2010-11 by the state Planning Department, which was tabled in the Legislative Assembly, has come out with this and other startling facts related to industrial growth in Andhra Pradesh.
Of the 6,910 proposals for large-scale industries received by the state in recent years, only 3,012 had gone into production generating an employment of 4.55 lakh with an investment of Rs 63,483 crore.
As many as 1,814 proposals with a proposed investment of Rs 1,12,218 crore and employment potential of 2,99,464 have been “dropped.”
Though the survey did not give any specific reason for the proposals being “dropped”, official sources indicated that both the economic recession and the political turmoil over the statehood issue have certainly left an impact on industrial investment in the state.
The survey revealed that Foreign Direct Investment too showed drastic decline between 2008 and 2009. As against an FDI flow of Rs 6,202.98 crore in 2008, only Rs 3,550.56 crore came to the state in the form of equity up to September in 2009.
The state that boasts of having the largest number of Special Economic Zones in the country has virtually failed in attracting investments into them.
As against the projected Rs 1.05 lakh crore, only Rs 12,000 crore has been invested in the SEZs so far, the survey pointed out.
There are 113 SEZs approved by the Government of
The SEZs were supposed generate 8,50,022 jobs directly but only 82,606 were created so far.
Exports from SEZs in the state too fell significantly between 2009-10 and 2010-11 – Rs 5,554 crore to Rs 3,720 crore till the end of September.
Overall exports from the state fell from Rs 77,605 crore in 2008-09 to Rs 73,143 crore in 2009-10, the Socio-Economic Survey said. Computer software contributed 45 per cent of the total exports from the state while other major exports were drugs and pharmaceuticals, animal, marine and leather products, minerals and mineral products, handlooms and handicrafts.
