Occupying a large part of the famous Deccan plateau is Andhra Pradesh, a state whose economic structure has proved itself to be both stable and consistent. A substantial amount of state revenue is generated from agriculture and livestock. The state also has the second largest mineral resources in India.


Mining & Mineral based Industries

Agriculture & Agro-based Industry


Automotive & Auto Products

Textiles & Leather



Biotechnology, Tourism and Real Estate.

Schemes of MSME’s :
1. Credit Guarantee Scheme for collateral free loan
2. Credit linked Capital Subsidy scheme for technology upgradation
3. ISO 9000/14000 expenses reimbursement scheme
4. Participation in International Trade Fairs
5. MSE-Cluster Development Scheme
6. E – clubs scheme
7. Capacity Building for Associations

Scheme for ‘Entrepreneurship Skill Development Programmes (ESDP)’– Participation in Entrepreneur Skill Development Programme: The four kind of training programmes conducted by MSME-DIs include Motivation Campaigns, Entrepreneurship Development Programmes, Entrepreneurship Skill Development Programme, Management Development Programmes, which cover diverse skill set need of new and existing entrepreneurs.

Trade Related Entrepreneurship Assistance and Development (TREAD) Scheme to Women – Participate in training programs for women empowerment: Skill development training will be provided to women applicant under the scheme. Duration of the training programme will be minimum one month. The batch size for such a training activity will be at least 20 participants. The support programs aims to provide grant (up to 30% of the total project cost as appraised by lending institutions) to provide adequate security demanded by banks in the form of collaterals. GOI Grant and the loan portion from the lending agencies to assist such women shall be routed through eligible NGOs engaged in assisting poor women through any kind of income generating activities in non-farm sector

National manufacturing Competitiveness Programme Schemes: The Government has announced formulation of National Competitiveness Programme in 2005 with an objective to support the Small and Medium Enterprises (SMEs) in their endeavor to become competitive and adjust the competitive pressure caused by liberalization and moderation of tariff rates.

AP Innovation & StartUp Policy: Through the Innovation and Start-up Policy, the government intends to create an ecosystem that produces an entrepreneur in every family. targets laid out for the Andhra Pradesh through this Policy are:
1. 100 Incubators & Accelerators to be established
2. 5,000 Companies & Start Ups to be incubated
3. 1 million sq.ft of Incubation Space to be developed
4. Venture Capital of Rs 1000 crores to be mobilized for Innovation

Prime Minister Employment Generation Programme: The Scheme of Ministry of MSME & Implemented by KVIC, Government of India. The important objectives of the scheme are to generate employment opportunities in rural and urban areas through self employment ventures and To bring together widely disbursed traditional Artisans, Rural and Urban unemployed youth and give them self-employment opportunities preferably at their place etc.

Centre for Entrepreneurship development: Centre for Entrepreneurship Development (CED) is an innovative and creative venture of ALEAP in the direction of promoting entrepreneurship. The Courses organized by the CED may be broadly divided into skill inculcation and skill up gradation while some others can be termed as training courses and trainers training courses.

Andhra Pradesh Bankers Institute of Rural and Entrepreneurship Development: it has been set up jointly by Government of Andhra Pradesh, National Bank for Agriculture and Rural Development (NABARD) and five leading Public Sector Banks working in the state viz. Andhra Bank, Canara Bank, Indian Bank, Indian Overseas Bank and State Bank of Hyderabad to strengthen the entrepreneurship among rural youth, capacity building of farmers ,members of SHGs and rural artisans through capacity building training and exposure and other inputs that facilitate policy initiatives and innovations in design and delivery systems for providing the poor with sustainable access to quality financial services.

ISB Hyderabad-Centre for entrepreneurship: ISB Centre for Entrepreneurship (ICE) has been constituted with the goal of fostering the entrepreneurial ecosystem at ISB. All programs at ISB which are related to entrepreneurship are consolidated under the ICE.

E-Cell IIT Hyderabad: It aims to Promote and nurture the entrepreneurship spirit and culture at IITH and beyond, network with other aspiring students and entrepreneurs in India and abroad. It gives assistance to students in starting an enterprise whilst at the institute and creates environment where likeminded students, alumni, faculty and business leaders can get together and discuss the concerns of each other.

ALEAP: Association of Lady Entrepreneurs of Andhra Pradesh- The aim of ALEAP is to support women to be economically independent and guide them in converting their idea into business. ALEAP is an exclusive women organization facilitating women to become employers besides being producers and contributors of national economy in a significant way.

In Summary – Andhra Pradesh and Entrepreneurship:

Andhra Pradesh has seen unprecedented growth in the past years. However unregulated prices and access to finance continue to challenge entrepreneurs. By exploring institutional aid prospects and mobilizing resources, there is no stopping the inclusive growth can better achieved, especially by rural entrepreneurs!

To know more about how Andhra Pradesh is building a vibrant entrepreneurship ecosystem, click here.


Note: Policy details provided here are for the purpose of information only. Please verify the latest information from the relevant Government or MSME website of the state. Other data and information is curated from various websites and public documents. In case you have any corrections, additions, or suggestions, please share the same with us, and we’ll be happy to incorporate them here.