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