India : Visakhapatnam-Chennai Industrial Corridor Development Program (Tranche 2)

Sovereign Project | 48434-004

The proposed project is the second tranche of the multitranche financing facility (MFF) for Visakhapatnam-Chennai Industrial Corridor Development Program (VCICDP). With the comprehensive support through upstream strategic studies and regular programmatic interventions, tranche 2 will unlock the state's manufacturing potential through fostering industrial agglomeration with holistic infrastructure support, investment promotion, and skills development. The project will also strengthen climate and disaster resilience and integrate industrial and urban planning for more competitive and livable cities.

Project Details

  • Project Officer
    Hosur Viswanath, Ashwin
    Sectors Group
    Request for information
  • Country/Economy
    India
  • Sector
    • Water and other urban infrastructure and services
Project Name Visakhapatnam-Chennai Industrial Corridor Development Program (Tranche 2)
Project Number 48434-004
Country / Economy India
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 4312-IND: Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2
Ordinary capital resources US$ 141.12 million
Operational Priorities OP1: Addressing remaining poverty and reducing inequalities
OP2: Accelerating progress in gender equality
OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability
OP4: Making cities more livable
OP6: Strengthening governance and institutional capacity
OP7: Fostering regional cooperation and integration
Sector / Subsector

Industry and trade / Industry and trade sector development

Transport / Urban roads and traffic management

Water and other urban infrastructure and services / Other urban services

Gender Effective gender mainstreaming
Description The proposed project is the second tranche of the multitranche financing facility (MFF) for Visakhapatnam-Chennai Industrial Corridor Development Program (VCICDP). With the comprehensive support through upstream strategic studies and regular programmatic interventions, tranche 2 will unlock the state's manufacturing potential through fostering industrial agglomeration with holistic infrastructure support, investment promotion, and skills development. The project will also strengthen climate and disaster resilience and integrate industrial and urban planning for more competitive and livable cities.
Project Rationale and Linkage to Country/Regional Strategy The innovative and multisectoral project 2 has potential to drive economic transformation in the state. It addresses operational priorities in ADB's Strategy 2030 by accelerating progress in gender equality; tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability; making cities more livable; strengthening governance and institutional capacity; and fostering regional cooperation and integration. In line with the strategic pillars of the ADB country partnership strategy for India, 2018-2022, it boosts economic competitiveness to create more and better jobs and stronger climate resilience. Project 2 is included in India's country operations business plan, 2021-2023. The spine of the VCIC aligns with the Bay of Bengal Highway, which connects Cox's Bazar to Thoothukudi and is a priority corridor identified in South Asia Subregional Economic Cooperation program.
Impact

Contribution of the manufacturing sector to the state's gross domestic product, trade, and employment increased.

Project Outcome
Description of Outcome

Industrial investment and employment of the Visakhapatnam-Chennai Industrial Corridor (VCIC) increased.

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Visakhapatnam industrial node infrastructure strengthened

Srikalahasti-Chittoor industrial node infrastructure strengthened

Sustainable, green, and integrated industrial development enhanced

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Andhra Pradesh
Safeguard Categories
Environment B
Involuntary Resettlement A
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services All consultant recruitment will adhere to the ADB's Consulting Guidelines (2013, as amended from time to time).
Procurement All procurement of goods and works will adhere to the ADB Procurement Guidelines (2015, as amended from time to time).
Responsible ADB Officer Hosur Viswanath, Ashwin
Responsible ADB Department Sectors Group
Responsible ADB Division Water and Urban Development Sector Office (SG-WUD)
Executing Agencies
Department of Industries & Commerce, Government of Andhra Pradesh
Timetable
Concept Clearance -
Fact Finding -
MRM 15 Feb 2023
Approval 24 Apr 2023
Last Review Mission -
Last PDS Update 27 Apr 2023

Loan 4312-IND

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
24 Apr 2023 23 May 2023 21 Jul 2023 19 Sep 2026 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 214.80 Cumulative Contract Awards
ADB 141.12 26 Oct 2023 50.18 0.00 36%
Counterpart 73.68 Cumulative Disbursements
Cofinancing 0.00 26 Oct 2023 0.00 0.00 0%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Unsatisfactory - Satisfactory - Unsatisfactory

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Widening of Anakapalli to Atchuthapuram Road Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Start-up Area of Rambilli Industrial Cluster Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Startup Area of Nakkapalli Industrial Cluster Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Nakkapalli Industrial Cluster Road Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Naidupeta Industrial Cluster Road Subproject Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Routhusuramala Cluster Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Startup Area of Chittoor-South Industrial Cluster Draft Initial Environmental Examination Initial Environmental Examination Dec 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Nakkapalli Industrial Cluster Road Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Resettlement Framework Resettlement Frameworks Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Start-up Area of Nakkapalli Industrial Cluster Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Indigenous People Planning Framework Indigenous Peoples Planning Frameworks/Indigenous Peoples Development Frameworks Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Routhusuramala Cluster Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Updated Draft Environmental Assessment and Review Framework Environmental Assessment and Review Framework Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Widening of Anakapalli to Atchuthapuram Road Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Start-up Area of Rambilli Industrial Cluster Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Internal Infrastructure in the Start-up Area of Chittoor-South Industrial Cluster Draft Resettlement and Indigenous People Plan Combined Resettlement Plan and Indigenous Peoples Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Development of Road for External Connectivity to Naidupeta Industrial Cluster Road Subproject Draft Resettlement Plan Resettlement Plans Nov 2022
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Internal Infrastructure Work in Andhra Pradesh Med Tech Zone Updated Land Acquisition and Resettlement Due Diligence Report Safeguards Due Diligence Reports May 2020
Visakhapatnam-Chennai Industrial Corridor Development Program - Tranche 2: Internal Infrastructure Work in Andhra Pradesh Med Tech Zone Draft Land Acquisition and Resettlement Due Diligence Report Safeguards Due Diligence Reports Oct 2019

Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

None currently available.


The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

Tenders


Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
Widening & Strengthening of External Connectivity to Routhusuramala Industrial Cluster (Part of South Block of Proposed Yerpedu-Srikalahasthi Node) to Two Lane with Paved Shoulders (from km 0+000 to km 9+207) Loan 4312 19 Aug 2023 PLR Projects Pvt. Ltd. | Survey No. 12 (Part), Plot No. 2-91/12/Ai/AM/G-1, 5th Floor, Astra Towers, Kothaguda Post, Kondapur, Hitechcity, Hyderabad, Telangana, India 500084 Dept of Industries & Comm, Govt of Andhra Pradesh 8,105,681.32 7,454,490.84
Widening & Strengthening of External Connectivity to Naidupeta Industrial Cluster with NH 16 Road to Two Lane with Paved Shoulders (from km 0+000 to km 8+400) Loan 4312 19 Aug 2023 Bhavani (JV) | #16-6-114, Near Vijayamahal, Nellore-524001, SPSR, Nellore District, Andhra Pradesh Dept of Industries & Comm, Govt of Andhra Pradesh 14,520,922.40 13,354,347.24
: Widening & Strengthening of Anakapalle-Atchutapuram Road to Divided Four Lane (from km 1+670 to km 15+450) Loan 4312 19 Aug 2023 M/s BVSR Joint Venture (JV) | #8-2-686/B/11/6/1, Plot No. 9, Road No. 12, Banjara Hills, Hyderabad, Telangana, India 500034 Dept of Industries & Comm, Govt of Andhra Pradesh 29,216,555.22 26,869,369.09
Widening & Strengthening from NH 16 to Nakkapalli Cluster Connectivity Road with Two Lane with Paved Shoulders (from km 0+000 to km 4+427) Loan 4312 19 Aug 2023 M/s Sri Venkateswara Constructions | D.No. 26-23-1/2, Chaitanya Nagar, Gajuwaka, Visakhapatnam-530026, Andhra Pradesh Dept of Industries & Comm, Govt of Andhra Pradesh 3,114,984.11 2,864,733.96

Procurement Plan

Title Document Type Document Date
Visakhapatnam-Chennai Industrial Corridor Development Program (Tranche 2): Procurement Plan Procurement Plans Jan 2023