Andhra Sets Roadmap To Be National Logistics Hub

10 Mar 2026 CW Team

The State will develop 3,358 km of national highways over three years at a cost of Rs 760 billion (bn). 12 State highways covering 709 km are set for upgradation. The plan indicates these projects will strengthen east–west connectivity and link industrial corridors such as VCIC, HBIC and CBIC with export gateways.

On the railway front, the State plans to eliminate all level crossings by constructing 774 overbridges and underbridges at an estimated cost of Rs 145 bn. Of these, 372 projects have already been sanctioned. Major railway infrastructure worth over Rs 3 trillion (tn), including new lines and high-speed rail proposals, is lined up for commissioning between 2026 and 2029.

Air connectivity will expand with Bhogapuram International Airport reported to be 96.8 per cent complete and expected to be operational by June 2026. Nine new greenfield airports are planned, including Amaravati, Srikakulam, Nagarjuna Sagar and Kuppam, and tenders have been floated for Dagadarthi Airport while feasibility studies for water aerodromes at nine tourism sites are complete. Ports are progressing with Ramayapatnam at 75 per cent, Mulapeta at 65 per cent, Machilipatnam at 50 per cent and Kakinada SEZ Port at 32 per cent under execution and fishing infrastructure Phase one harbours worth Rs 15.23 bn are nearing completion. Technology integration underpins the plan, with a unified logistics intelligence dashboard, a bilingual mobile application for real time cargo tracking and predictive analytics, and commodity specific studies have identified gaps in cold storage and processing while the Finance Minister allocated Rs 12.83 bn to the Infrastructure and Investments Department for 2026–27 to support implementation.

Andhra Pradesh has unveiled a comprehensive plan to position itself as a national logistics hub, aiming to achieve the lowest logistics costs in India and to match global standards. The roadmap was presented at a Ministers and Secretaries Conference on February nine and details major investments in highways, railways, ports and airports supported by technology driven reforms and fiscal allocations. The strategy emphasises efficiency gains, multimodal connectivity and regulatory measures to lower transit times and logistics expenses. The State will develop 3,358 km of national highways over three years at a cost of Rs 760 billion (bn). 12 State highways covering 709 km are set for upgradation. The plan indicates these projects will strengthen east–west connectivity and link industrial corridors such as VCIC, HBIC and CBIC with export gateways. On the railway front, the State plans to eliminate all level crossings by constructing 774 overbridges and underbridges at an estimated cost of Rs 145 bn. Of these, 372 projects have already been sanctioned. Major railway infrastructure worth over Rs 3 trillion (tn), including new lines and high-speed rail proposals, is lined up for commissioning between 2026 and 2029. Air connectivity will expand with Bhogapuram International Airport reported to be 96.8 per cent complete and expected to be operational by June 2026. Nine new greenfield airports are planned, including Amaravati, Srikakulam, Nagarjuna Sagar and Kuppam, and tenders have been floated for Dagadarthi Airport while feasibility studies for water aerodromes at nine tourism sites are complete. Ports are progressing with Ramayapatnam at 75 per cent, Mulapeta at 65 per cent, Machilipatnam at 50 per cent and Kakinada SEZ Port at 32 per cent under execution and fishing infrastructure Phase one harbours worth Rs 15.23 bn are nearing completion. Technology integration underpins the plan, with a unified logistics intelligence dashboard, a bilingual mobile application for real time cargo tracking and predictive analytics, and commodity specific studies have identified gaps in cold storage and processing while the Finance Minister allocated Rs 12.83 bn to the Infrastructure and Investments Department for 2026–27 to support implementation.

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