Industrial Development & Economic Growth in Telangana

Latest update: February, 2016

Economic Snapshot: GSDP of Telangana

Telangana's gross state domestic product (GSDP) was at US$ 71.10 billion over 2014-15.

Economic Snapshot: GSDP of Telangana

Economic Snapshot: NSDP of Telangana

Telangana's net state domestic product (NSDP) was at US$ 62.70 billion over 2014-15.

Percentage distribution of GSDP


February, 2016

Telangana state was formed in June 2014 post the split of erstwhile Andhra Pradesh. The earlier capital city of Hyderabad is part of Telangana. The state holds an advantage as it possesses readymade capital with necessary infrastructure and ecosystem.

Between 2004-05 and 2014-15, Gross State Domestic Product (GSDP) expanded at a Compound Annual Growth Rate (CAGR) of 13.47 per cent to US$ 71.1 billion whereas the Net State Domestic Product (NSDP) expanded at a CAGR of 13.42 per cent to US$ 62.7 billion.

The Telangana State Industrial Infrastructure Corporation is responsible for supervision and execution of special economic zones (SEZ) in Telangana.

Some of the major initiatives taken by the government to promote Telangana as an investment destination are:

  • As of March 2015, a new textile policy has been introduced in Telangana. The purpose of this policy is to provide special incentives to the textiles sector. Moreover, under Integrated Textile Park scheme, the state government proposed to set up two textile parks in Warangal and Sircilla cities.
  • In June, 2015, the Government of Telangana introduced a new industrial policy to attract domestic as well as international investments in the industrial sector of the state, with emphasis on core manufacturing sectors.
  • In order to meet the increasing demand for power, the Government of Telangana signed an agreement with the Chhattisgarh government to purchase 1,000 MW power in 2014-15.
  • The Telangana government plans to promote an industrial corridor between Hyderabad and Warangal, which would also boost employment opportunities in the state.
  • The state government is formulating policies and a single window clearance system among others for attracting investments, thereby enhancing the industrial infrastructure in Telangana.
  • In December 2014, the state government of Telangana announced plans to establish a pharmaceutical manufacturing industrial park. The park is proposed to be established on 11,000 acres at Mucherla location and is expected to create employment opportunities for 70,000 people.
  • The state government recently proposed setting up a separate company named Telangana State Tourism Development Corporation Limited (TSTDC) to promote tourism.

  • The state government is in talks with Steel Authority of India (SAIL) for setting up a steel factory involving an investment worth US$ 5 billion on the Khammam-Warangal border.

  • In 2014, the state government announced that it will set up super speciality hospitals in each district of Telangana. The government has announced an investment of US$ 16.58 billion for the establishment of these hospitals till 2019.

  • Telangana government also released a Solar Power Policy 2015 to promote regionalised and dispersed generation of solar energy.

Telangana State Presentation

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Telangana Map


x IBEF : India Brand Equity Foundation