Budget to strengthen Vizag as port-led industrial, pharma and tech hub: CII Vizag

Visakhapatnam: Entrepreneurs with membership of Confederation of Indian Industries (CII) have feel that the Union Budget 2026-27, presented by Finance Minister Nirmala Sitharaman reinforces Visakhapatnam as a port-led hub for industry, pharma, logistics and emerging technologies, boosting job creation, exports and regional competitiveness.

According to G. Krishna Mohan, Vice Chairman, CII Visakhapatnam.

Krishna Mohan said the proposed tax holiday till 2047 for global cloud service providers is a transformative step that positions India as a preferred destination for hyperscale data centres.

He noted that Visakhapatnam, with its robust port connectivity, reliable power infrastructure, availability of land, and growing digital ecosystem, is well placed to attract large-scale data centre investments. This policy will accelerate investments in cloud, AI and digital infrastructure in the Vizag region, create high-value jobs, and reinforce its emergence as a strategic digital and technology hub on India’s east coast.

In his reaction, KVV Raju, CEO, Ajinomoto Bio-Pharma Services I Pvt. Ltd said the Rs10,000-crore Biopharma Shakti programme gives a major boost to Visakhapatnam, which already hosts one of India’s largest pharma and bulk-drug clusters.

He noted that support for biologics and biosimilars manufacturing, expansion of clinical trial infrastructure, and a stronger regulatory framework will attract high-value R&D and global pharma investments to the region.

The proposed medical tourism hubs and expansion of allied healthcare workforce further position Vizag as a leading life sciences and healthcare hub for eastern India, with strong international connectivity through Vizag Port.

Dr G Sambasiva Rao, Managing Director, Sravan Shipping Services Pvt Ltd, said the sharp rise in public capital expenditure, along with new freight corridors, coastal cargo promotion and national waterways development, will significantly strengthen Visakhapatnam’s position as a key maritime and logistics gateway.

He added that the proposed Rs10,000-crore container manufacturing scheme creates strong opportunities for container fabrication, repair and ship-linked industries in Visakhapatnam, generating employment and reinforcing India’s port-led industrial and maritime supply chain.

Executive Chairman, Vijaynagar Biotech Pvt Ltd D Tirupathi Raju said Budget 2026’s emphasis on high-value crops, value addition and technology-driven agriculture will strongly benefit Andhra Pradesh’s agrarian and coastal economy. The focused support for coconut, cashew and cocoa which are key crops in the state along with fisheries and animal husbandry value chains, will enhance farmer incomes and create new opportunities for agri-processing and biotech innovation.

The launch of the AI-enabled Bharat Vistar platform will help Andhra Pradesh’s farmers adopt scientific practices, improve productivity and build a more resilient, future-ready agricultural ecosystem.

According to Jm Srinivasa Raju, MD, Geomarine Dynamics Pvt Ltd the Budget 2026 customs duty exemptions for aircraft components and MRO materials are a game-changer for Andhra Pradesh, directly benefiting the new MRO centre at the new International Airport.

Coupled with the dedicated rare earth corridors, Vizag is set to emerge as a strategic hub for aerospace, clean energy and defence industries, attracting investments, creating jobs, and strengthening regional industrial growth.”

CEO, Sankhya Technologies Pvt Ltd B. Murali Manohar Rao said India Semiconductor Mission 2.0 indirectly benefits Visakhapatnam by enabling electronics manufacturing, chip design support services and backend supply chains.

With industrial parks, engineering talent and port access, Vizag can emerge as a location for electronics assembly, testing, packaging support industries and logistics for semiconductor equipment and materials.