The residue State of Andhra Pradesh seems to be having positive side for poaching investments because of its approach towards attracting investments from big industries. The promise of uninterrupted power supply, tax incentives, allocation of land and enjoying immense support from Centre are the reasons behind AP turning into a favourite for investors.
Especially neighbouring States..Karnataka and Tamil Nadu see Andhra Pradesh as a threat to their investments. Already Karnatka governement has expressed its concern over the impending threat from Andhra while Tamil Nadu governement is still to recuperate from Jayalalitha’s conviction effect and concentrate on the investments that would most probably be grabbed away by the neighbouring AP.
AP already succeeded in attracting top two wheeler company, Hero Moto Corp. Latest, Asian Paints is thinking of relocating its investments in two facilities of AP rather than going for Karnataka where they would have problems regarding power supply and land allocation. Concerned Karnataka CM has aready discussed this matter with PM Modi and hoping big way that they can fight back the investment threat from neighbouring AP.
