Study of Vizag–Chennai Industrial Corridor Conceptual Development Plan

Infrastructure Development is critical for economic growth. It plays a significant role in setting upof an enabling platform for sustainable economic development. India must continue to create economicopportunities for its labor force, which is increasing by about 12 million a year. One urgentchallenge is to create more high value added and well-paying jobs in the manufacturing sector,which has been limited to 17% of GDP versus 21-29% in East and Southeast Asia. In a bid toenhance India’s manufacturing sector share, several initiatives were launched by thegovernment including its flagship Make in India campaign, which aims to make India a globalmanufacturing hub. Under the Make in India initiative, economic corridors will serve as abackbone of an internationally competitive manufacturing sector. Through provision of world-class infrastructure and favorable business environment, economic corridors are expected toattract foreign investment and facilitate the establishment of manufacturing centers. VCIC is a coastal corridor, ports play a significant role in the infrastructure strategy, as well as other industrialization enablers such as power and water supply. While their availability is a necessary condition for building a corridor, other critical elements include institutional frameworks, policies, and regulations that create a favorable investment climate, and the ease of doing business for investors, both domestic and foreign