What if Vizag disappeared? How would it impact Andhra Pradesh and India?

Imagine waking up to a world where Vizag, Andhra Pradesh’s largest and most populous city, industrial powerhouse, and cultural hub, no longer exists! No bustling beaches, no ever-growing industries, no Eastern Naval Command guarding the Bay of Bengal. The backbone of the state’s economy, trade, and defence would vanish, leaving behind an irreplaceable void. Today, we explore a thought-provoking scenario: What if Vizag disappeared? How would it impact Andhra Pradesh and India? Let’s dive in.

Andhra Pradesh’s Economy Would Collapse

The hypothetical disappearance of Visakhapatnam would be a devastating blow to Andhra Pradesh’s economy. As the state’s largest city and a key economic hub, Vizag plays a crucial role in driving growth and development. 

In the fiscal year 2023-24 alone, it contributed approximately ₹1.19 lakh crore—accounting for 9.15% of the state’s total GDP. Its absence would have a considerable impact on industries, trade, and economic stability across Andhra Pradesh.

Industrial and Manufacturing Loss

The disappearance of Visakhapatnam would be a massive setback for Andhra Pradesh’s industrial and manufacturing sectors, further crippling the state’s economy. Here are some sectors that would be affected:

IT & Pharma Sectors

Andhra Pradesh is a significant player in India’s pharmaceutical sector, with Visakhapatnam being a major contributor. The state is home to over 250 Active Pharmaceutical Ingredients (API) and bulk drug units, with 38 approved by the World Health Organization (WHO) and 20 by the U.S. Food and Drug Administration (USFDA).

Collectively, these units account for 16% of India’s pharmaceutical production, valued at approximately $6.3 billion, and contribute 6% to the nation’s pharmaceutical exports, amounting to around $3.5 billion.

Port & Trade Disruption

The disappearance of Vizag would affect Andhra Pradesh’s port operations and trade. Visakhapatnam Port, the largest on the eastern coast and third-largest in India handled 81.09 million tonnes of cargo in 2023-24. Its absence would severely impact marine exports, which contributed ₹16,877 crore (26.4% of India’s total seafood exports) in 2022-23.

The port also supports steel, petroleum, and industrial exports, and its loss would create costly trade bottlenecks. Ranked 19th in the World Bank’s Container Port Performance Index (2023), it generates thousands of jobs in logistics and transportation. if Vizag disappeared, Andhra Pradesh would face major trade slowdowns, unemployment, and economic instability.

Steel Sector

One of the city’s most crucial establishments is the Visakhapatnam Steel Plant (VSP), operated by Rashtriya Ispat Nigam Limited (RINL). It is India’s first shore-based integrated steel plant, and it provides direct employment to thousands of workers, with many more dependent on it indirectly.

While the plant is currently undergoing a financial crisis, it has still managed to make a mark with an annual production of 2.68 million tonnes of hot metal and 2.37 million tonnes of saleable steel between April and December 2024. During this period, the plant generated a total income of ₹12,615.03 crore.

If Visakhapatnam were to vanish, the state would lose this player in steel production, further destabilizing Andhra Pradesh’s industrial economy and impacting India’s overall steel output.

Loss of Eastern Naval Command

The loss of Visakhapatnam would severely weaken India’s maritime defense, as it houses the Eastern Naval Command (ENC), responsible for safeguarding the Bay of Bengal and the Indian Ocean. 

Established in 1968, the ENC oversees warships, submarines, and aircrafts, playing a key role in security, disaster response, and international collaborations. Its strategic location enables rapid force deployment and monitoring of vital sea lanes. Without it, India’s eastern coast would be exposed to threats. 

This concludes our exploration of what would happen if Vizag disappeared, a scenario that highlights just how vital the city is to Andhra Pradesh and India. From driving growth in various aspects to securing the nation and emerging as a top tourist destination, Vizag’s importance cannot be overstated.

To see how Vizag is not just surviving but thriving, check out our article on 6 reasons Vizag could emerge as a new tourism hotspot in India!

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