Amara Raja's ₹9,500-crore Giga project lost to Telangana due to YSRCP vendetta: Nara Lokesh

Share:
Audio Loading voice…
Amara Raja's ₹9,500-crore Giga project lost to Telangana due to YSRCP vendetta: Nara Lokesh

Synopsis

A ₹9,500-crore Lithium-ion Giga Corridor that could have transformed Chittoor's economy now stands inaugurated in Telangana — and Andhra Pradesh minister Nara Lokesh is squarely blaming YSRCP's alleged political vendetta against Amara Raja Chairman Galla Jayadev for the loss. The episode is a stark case study in how political targeting can redirect industrial capital across state borders.

Key Takeaways

Andhra Pradesh Minister Nara Lokesh on 16 July alleged that the previous YSRCP government's harassment drove the Amara Raja Group's ₹9,500-crore Lithium-ion Giga Corridor project to Telangana .
The Customer Qualification Plant at the Divitipalli Giga Corridor in Mahabubnagar district, Telangana was inaugurated, marking a key milestone in the shifted project.
The previous government allegedly moved to reclaim 253 acres of industrial land allotted to Amara Raja and issued closure notices to its battery plants in Chittoor .
Amara Raja Chairman Galla Jayadev was reportedly targeted because of his affiliation as a TDP Member of Parliament .
Lokesh said Andhra Pradesh owed an apology to the Galla family and affirmed the state is 'once again open for enterprise.'

Andhra Pradesh Minister for Education, IT and Electronics Nara Lokesh on Thursday, 16 July expressed deep regret over the loss of the Amara Raja Group's ₹9,500-crore Lithium-ion Giga Corridor project to Telangana, alleging that the previous YSR Congress Party (YSRCP) government's targeted harassment of the home-grown conglomerate had cost Andhra Pradesh a historic industrial opportunity.

What Triggered the Statement

Minister Lokesh's remarks came in response to the inauguration of Amara Raja's new Customer Qualification Plant at the Divitipalli Giga Corridor in Telangana's Mahabubnagar district — a milestone that underscored how decisively the project had shifted across state lines. In a post on X, Lokesh said Andhra Pradesh owed an apology to Amara Raja Chairman Galla Jayadev and his family.

'Over four decades, Amara Raja has been more than just one of Andhra Pradesh's greatest industrial success stories. It has created world-class manufacturing, generated thousands of jobs, and carried the name of Chittoor and Andhra Pradesh across India and the world,' Lokesh said.

The Alleged YSRCP Crackdown

According to an official release from the current state government, the troubles for Amara Raja began because its chairman, Galla Jayadev, was a prominent Telugu Desam Party (TDP) Member of Parliament — making the company a target of what the release described as a 'vindictive confrontation' with the then YSRCP administration.

The previous government reportedly moved to reclaim nearly 253 acres of industrial land allotted to the company and subsequently initiated a series of actions against its manufacturing units. The Andhra Pradesh Pollution Control Board issued closure notices to Amara Raja's flagship battery plants in Chittoor, drawing national attention. Reports also surfaced of disruptions to power and water supply to the company's facilities, even as legal proceedings were underway.

'The harassment your company endured under the previous government should never have happened. An entrepreneur who chose to build in his home state deserved encouragement, not intimidation,' Lokesh said.

The Industrial Legacy at Stake

Amara Raja was established by the Galla family after their return from the United States, with the founding vision of generating employment for the youth of Chittoor district and transforming the economic landscape of Rayalaseema. Over the decades, the company grew into one of India's most respected manufacturing brands with a global footprint, while keeping its major operations rooted in Chittoor and supporting thousands of local livelihoods.

The shift of the ₹9,500-crore Giga Corridor project to Telangana means the jobs and tax revenues that could have strengthened Andhra Pradesh's economy have instead flowed to a neighbouring state, according to the official release.

AP's Pitch to Win Back Amara Raja

Despite the setback, Minister Lokesh expressed hope that the company's biggest milestones still lay ahead in its home state. 'As we rebuild trust, Andhra Pradesh is once again open for enterprise. We hope Amara Raja's biggest chapters will still be written in the state where its journey began. Our doors, and our hearts, will always remain open,' he said.

The statement signals the current TDP-led government's broader effort to restore investor confidence in Andhra Pradesh after years of what it characterises as policy-driven business hostility under the YSRCP regime. Whether Amara Raja will consider future investments in the state remains to be seen.

Point of View

Pegged to a rival state's inauguration ceremony, is deliberate. The loss of a ₹9,500-crore project from a company rooted in Chittoor for four decades is not just a revenue miss; it is a cautionary tale about how state governments can weaponise regulatory machinery against businesses with inconvenient political affiliations. What mainstream coverage tends to underplay is the structural cost: Rayalaseema, already among Andhra Pradesh's more economically stressed regions, needed exactly this kind of anchor investment. The TDP government's mea culpa is well-intentioned, but the harder question is whether a public apology and an open-door pledge are sufficient to rebuild the kind of investor trust that takes years to erode and longer to restore.
NationPress
16 Jul 2026

Frequently Asked Questions

Why did Amara Raja shift its Giga Corridor project to Telangana?
Amara Raja shifted its ₹9,500-crore Lithium-ion Giga Corridor project to Telangana after the previous YSRCP government in Andhra Pradesh allegedly targeted the company with land reclamation proceedings, pollution control closure notices, and disruptions to power and water supply. The company's chairman, Galla Jayadev, was a TDP Member of Parliament, which the current Andhra Pradesh government says made the company a victim of political vendetta.
What is the Amara Raja Divitipalli Giga Corridor?
The Divitipalli Giga Corridor is Amara Raja's large-scale Lithium-ion battery manufacturing facility located in Mahabubnagar district, Telangana. The inauguration of its Customer Qualification Plant marks a significant milestone in the project, which was originally intended for Andhra Pradesh before being relocated due to the alleged hostile business environment under the YSRCP regime.
What did Nara Lokesh say about Amara Raja?
Andhra Pradesh Minister Nara Lokesh said in a post on X that Andhra Pradesh owed an apology to Amara Raja Chairman Galla Jayadev and his family for the harassment the company endured under the previous YSRCP government. He expressed regret that a company born in Andhra Pradesh had to seek growth beyond the state's borders and pledged that the state was 'once again open for enterprise.'
How much industrial land was allegedly reclaimed from Amara Raja?
According to an official release from the current Andhra Pradesh government, the previous YSRCP administration moved to reclaim nearly 253 acres of industrial land that had been allotted to Amara Raja, as part of a broader series of actions against the company's manufacturing units in Chittoor.
What is Amara Raja's history in Andhra Pradesh?
Amara Raja was founded by the Galla family after their return from the United States, with the goal of creating employment in Chittoor district and transforming the Rayalaseema region's economy. Over four decades, it grew into one of India's most respected manufacturing brands with a global footprint, while keeping its core operations in Chittoor and supporting thousands of local livelihoods.
Nation Press
The Trail

Connected Dots

Tracing the thread behind this story — newest first.

8 Dots
  1. Latest 10 hours ago
  2. 20 hours ago
  3. Yesterday
  4. 1 week ago
  5. 2 months ago
  6. 5 months ago
  7. 7 months ago
  8. 1 year ago
Google Prefer NP
On Google