In a major move to improve Andhra Pradesh’s logistics and infrastructure, Prime Minister Narendra Modi’s Cabinet Committee on Economic Affairs authorized the building of a four-lane highway corridor from Badvel to Nellore.

With a projected capital expenditure of Rs 3,653.10 crore, the project will be carried out using the Design-Build-Finance-Operate-Transfer (DBFOT) approach. From Gopavaram village on the National Highway 67 (NH-67) in the YSR Kadapa district to Guruvindapudi village at Krishnapatnam Port Junction on the NH-16 (part of the Chennai-Kolkata corridor) in the SPSR Nellore district, the 108.134-kilometer corridor will start.

This vital road would link important locations along three of the state’s main industrial corridors and provide better access to Krishnapatnam Port. These consist of:

• On the Visakhapatnam–Chennai Industrial Corridor (VCIC), Kopparthy Node

• The Hyderabad–Bengaluru Industrial Corridor’s Orvakal Node (HBIC)

• The Chennai-Bengaluru Industrial Corridor’s (CBIC) Krishnapatnam Node

The Center estimates that the new corridor will shorten the travel time by an hour by reducing the distance between Badvel and Krishnapatnam Port by about 34 km, from 142 km to 108.13 km. Through a smaller carbon footprint, this cut will greatly reduce fuel usage and vehicle running costs, promoting both economic efficiency and environmental sustainability.

During its development, the project is also anticipated to provide a significant number of jobs. An estimated 20 lakh direct work days and 23 lakh indirect employment days are expected to be created. It’s also expected that the upgraded infrastructure would generate employment and economic growth in the nearby communities.

According to officials, the improved road infrastructure would further improve supply chain connections, spur regional industrial development, and improve India’s Logistics Performance Index (LPI).