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AL CIRCLE

Andhra Pradesh government clears path for mega industrial park in Vizianagaram

EDITED BY : 3MINS READ

The government of Andhra Pradesh has officially approved the establishment of a large-scale industrial park at S. Kota in Vizianagaram district, marking a major shift in the region’s industrial strategy. The mega park will be developed by JSW Industrial Park Limited on 1,166 acres of land that the company had acquired years ago. The land was originally earmarked for a 1.5 million tonne capacity alumina refinery with an investment of INR 40,000 million (USD 481.93 million). But that plan was halted due to bauxite mining permission issues and long-standing farmer concerns.

JSW industrial park
Image source: https://www.jswindustrialparks.in/

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Download our exclusive report to access exclusive industry insights: A Comprehensive Analysis of Bauxite Residue - Red Mud

With Government Order (GO) No. 184, JSW has now received the green light to repurpose the site into a multi-utility industrial park. To support the project, the state will supply water at INR 25 (USD 0.28) per kilolitre for 25 years. Initially, water will come from the Mehadrigedda reservoir and later from the Thatipudi reservoir. Power infrastructure is also part of the plan; two substations will be built to ensure a 25 MW power supply. Notably, the company will enjoy a 100 per cent concession on change of land utilisation, making the project more viable.

MSME park to create 45,000 jobs

A key component of this transformation is the MSME Park, to be established on 985 acres. During India’s 75th Republic Day celebrations, District Collector S. Nagalakshmi stated, “The establishment of JSW Aluminium Limited's MSME Park in S. Kota mandal is poised to generate immediate direct and indirect employment opportunities for approximately 45,000 individuals.”

The investment is pegged at INR 155,310 million (USD 1,849 million), underscoring the government’s and industry’s confidence in the region’s potential. The project aligns with broader infrastructure upgrades, including new railway lines and highways, that are expected to accelerate local economic activity.

Strategic shift in industrial planning

Andhra Pradesh government’s approval strategy of reviving stalled projects through adaptive industrial planning, nudged JSW to progress on a path of development to what began as a mining plan. It is now set to become a diversified park driving MSME growth, logistics expansion, and local job creation.

Parallel MSME developments in Balighattam (57 acres) and Mandalpalli mandal further signal a structured push toward regional industrialisation. With this project, which is basically a transformation of a stalled project into a large-scale opportunity, Vizianagaram is positioning itself as a new manufacturing hub in the state.

Also read: Vedanta looks to Odisha government to accelerate USD 20B aluminium investment

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