Economy of Andhra Pradesh
Agriculture has been the chief source of income for the state's economy. Two important rivers of India, the Godavari and Krishna, flow through the state. Rice, Tobacco, Cotton, Mirchi, and Sugarcane are the local crops. The state has also started to focus on the fields of information technology and biotechnology.
Hyderabad, the capital of Andhra Pradesh, is the sixth largest cosmopolitan city in India, rich in culture, enduring history and industrial growth.
Hyderabad beat IT heavyweight Bangalore to bag the Fab City project, which will host India’s first major silicon chip manufacturing facility. Its Due to the Governments Unique FDI Policies and the City Infrastructure.
The advent of Information Technology growth in India, the so called "Blue Chip Revolution", has fostered the growth of Hyderabad's economy.
The city is sometimes referred to as "Cyberabad" because of the large number of IT firms in the city. Andhra Pradesh has witnessed a major jump in software exports.
Hyderabad's IT export revenue was Rs. 81,450,000,000, an increaes of 62% from fiscal 2004. For Andhra, fiscal 2004 is particularly significant as the 62% growth in exports in fiscal 2005, was almost double the 37% it grew in 2003-2004.
Other cities such as Vizag and Vijayawada have shown growths in IT exports on an annual basis. Vizag's contribution was Rs 700,000,000, while it was Rs 240,000,000 from Vijayawada.
The economy of the state of Andhra Pradesh largely depends on agriculture. About 70 % of the total population of the state depends on farming for their livelihood making it India’s main rice-producing states.
Endowed with fertile land, water and a range of agro-climatic conditions, Andhra Pradesh is an agriculturally prosperous state.
The state is also blessed with a vast and variety of mineral resources, ranking second in the country. There is still under-tapped and untapped mineral wealth throwing up many opportunities in this field for the new entrepreneurs.
The state accounts for considerable amount of reserves of important minerals in the country. These mineral resources add large revenue to the state’s economy.