Telanana's Growth Story_WTC Shamshabad
Telangana, India's youngest state, is rapidly growing with a goal to become a $1 trillion economy by 2036. Leveraging its strengths in sectors like Pharmaceuticals, IT, and Aerospace, and driving innovation and infrastructure, the state is positioned as a key player in India's economic growth. Its focus on robust economic development, diverse cultural contributions, and significant export impact underscores its role in shaping the country's future.
TELANGANA’S
GROWTH STORY
SHAMSHABAD
The Road To $1 Trillion Economy
FUTURE CITY
nd
2 REPRINT
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Telangana’s Growth Story 2024 | 03
CONTENTS
Foreword
Executive Summary
Indian Economic Growth Story
Telangana State Economic Profile
3.1 Telangana: A Confluence of Cultures
3.2 Sectoral Distribution of GVA
3.3 Products of Significance to Exports
3.4 Strengths of the State
3.5 State Growth Aspirations
Sectoral Opportunities in Telangana
4.1 IT & IT Enabled Services
4.2 Global Capability Centers
4.3 Pharmaceuticals & Life Sciences
4.4 Agriculture & Food Processing
4.5 Aerospace & Defence
4.6 Sectoral Opportunities in Future
Conclusion & Way Forward
References
Acknowledgements
10
11
22
23
25
28
27
33
38
39
50
45
57
62
65
68
70
CHAPTERS
PAGES
76
Telangana’s Growth Story 2024 | 04
It is my pleasure to introduce this landmark report as the Chief
Minister of the State of Telangana, outlining the journey of our
State to becoming a USD 1 trillion economy by 2036. Since its
birth, Telangana has rapidly transitioned into a region bustling
with economic activity, reflecting a brand of resiliency, innovation,
and strategic vision instrumental in achieving the desired growth.
The Mega Master Plan 2050 for Telangana portrays our clear,
ambitious vision to expand the growth of industry beyond the
urban limits of Hyderabad to every corner of the State, creating
new engines of growth in the semi-urban and rural clusters. To
achieve this vision, our commitment is to ensure a more supportive
investment environment which also nurtures high-value addition.
Of special mention in the report are the strategic initiatives being
undertaken to develop modern industrial infrastructure in the area
between the Outer Ring Road and the upcoming Regional Ring
Road, spanning core urban, semi-urban, and rural areas. The
approach gains significance from the objective of balanced
growth, ensuring that the benefits of our industrial expansions
reach every section of our society. The announcement of new
flagship projects such as the 'Future City' as the new fourth city
encompassing Pharma Villages, Advanced Technology
Manufacturing hubs, Skill University, Food Processing and Sports
Clusters promote decentralized regional development and
generate equitable opportunities for citizens from across the State.
I also take this opportunity to reiterate our focus on technology and
innovation as critical pillars in our development strategy. The rise
of Artificial Intelligence and other emerging technologies shall
bring the future to Telangana.
I would like to place on record my sincere appreciation for the
contributions of World Trade Center Shamshabad and KPMG in
the preparation of this thought leadership publication. I am
confident that through this report, we are laying the foundation for
the next leg of growth for the State of Telangana and are thereby
reaffirming our commitment to transparent, inclusive, and
sustainable development.
FOREWORD
Shri. Anumula
Revanth Reddy
The Hon’ble Chief Minister,
Government of Telangana
Telangana’s Growth Story 2024 | 05
Shri. Duddilla
Sridhar Babu
Minister for Information Technology,
Electronics & Communications (ITE&C),
Industries & Commerce (I&C) and
Legislative Affairs
Government of Telangana
Telangana’s Growth Story 2024 | 06
It is my pleasure to share this insightful report on how Telangana
can become a key player in India's future by becoming a USD 1
trillion economy. As the Minister for Information Technology,
Electronics & Communications and Industries and Commerce, I am
proud to be part of this journey driven by innovation and inclusive
development.
Underpinning Telangana's progress in IT, electronics and industry
is the vision of transforming our State into an economic leader of
the world. This thought leadership report throws light on our
comprehensive strategy for industrial growth with renewed focus
on MSMEs and startups which we firmly believe are the lifeline for
long-term sustainable growth. We are focusing on the
development of key sectors such as pharmaceuticals, food
processing, and renewable energy. Furthermore, we are also
envisioning a Government of the future, integrating emerging
technologies such as Artificial Intelligence (AI) and Machine
Learning (ML) into various Government to Citizen (G2C) services.
Moreover, under the dynamic leadership of the Hon'ble Chief
Minister, we are developing an 'AI City' as part of the 'Future City'
initiative to attract investments and create high-end employment
in the fast-growing AI and emerging technologies space.
Our vision is aligned with the Mega Master Plan 2050, wherein
balanced growth in urban, semi-urban, and rural areas is accorded
equal precedence. We want to ensure that every region in
Telangana is an integral part of our economic progress. Pharma
villages and the advanced technology manufacturing hubs
leveraging AI & ML would be the main driving forces in propelling
future growth and ensuring global competitiveness for the State.
As we move ahead, we are tapping technology and innovation to
maximize every investment and accelerate towards holistic
development of the State. I have no doubt that, with the same level
of dedication and collaboration spilling over into the future, we will
meet our ambitious objectives and set new benchmarks.
FOREWORD
Mr. John E. Drew
Chairman,
World Trade Centers
Association
Telangana’s Growth Story 2024 | 07
Amidst the rapidly accelerating growth of the Indian market in
recent years, the World Trade Centers Association (WTCA) has
been delighted to welcome the World Trade Center Shamshabad
into our membership fold. The rocket-like growth of the Indian
market is sometimes hard to grasp, but having this group in our
community has consistently helped WTCA members around the
world gain insight from their deep knowledge of the market.
This publication exemplifies the focus on economic understanding
from the WTC Shamshabad, diving deep into the economic
situation of the Indian State of Telangana, the youngest State in
India and still early in its industrial growth cycle. I salute the team's
choice to boldly encourage the Telangana market with economic
growth goals.
Most regions cannot grow organically unless their businesses grow
internationally. This is why we are pleased that the Telangana
market has embarked on this partnership with the World Trade
Centers Association in recent years. At the WTCA — a network of
more than 300 highly connected, mutually supporting businesses
and organizations in nearly 100 countries — we believe that global
trade is a foundational, bridge-building force that creates bonds,
accelerates business growth and prosperity, and strengthens the
international community. As high-growth States like Telangana
rise in the global marketplace, World Trade Center networks
benefit businesses, including small- and mid-sized businesses,
providing opportunities for economic prosperity.
WTC Shamshabad and WTC Future City are in a unique position
as the leading organizations that can provide business
matchmaking across all industries and sectors on a global level,
not only throughout our vibrant network of WTC leaders, but also
through leveraging the latest trade services education, global
business events, and technology.
Artificial intelligence (AI), for instance, is a technology transforming
industries worldwide, and global trade is no exception. From
strategic planning and data analysis to operational efficiency, AI is
becoming essential for companies aiming to compete and succeed
in international markets. With the aid of the WTCA network, its
access to sophisticated technology and ongoing education, this
team will undoubtedly be a significant player in achieving the
ambitious goals for a prosperous Telangana in the years ahead.
Congratulations to the World Trade Center Shamshabad for this
valuable piece of research. We look forward to celebrating and
supporting your achievement of this success in the years to come.
FOREWORD
As we reflect on Telangana’s remarkable journey, it is clear that
our State stands as a beacon of growth and a paradigm for
excellence for the entire nation. Telangana’s achievements in the
space of technology, healthcare, education and life sciences
amongst others have contributed significantly to India’s global
reputation as a pioneer, driving a future-ready workforce.
However, we recognize that there is vast untapped potential in
the existing established sectors as well as developing sectors
such as healthcare, tourism, food processing, and emerging areas
such as Artificial Intelligence/ Machine Learning (AI/ ML), Global
Capability Centers (GCCs) etc. By unlocking this potential,
Telangana can become a vital contributor to not only India’s
growth story but also a thought leader for the region over the next
decade, propelling our nation into the top echelons of the global
economy.
In this thought leadership report, we shed light on Telangana’s
current economic landscape, emphasizing the sectors that drive
our progress. Additionally, we find promising areas that can
accelerate our growth journey. Our goal is to foster a positive
sentiment among potential investors, positioning Telangana as
their preferred investment destination within India.
As we envision various growth scenarios based on our in-depth
analysis of macro and micro economic indicators, we see
Telangana’s economy evolving from its current USD 176 billion to
an impressive USD 1 trillion. As WTC Shamshabad and WTC
Future City, our strategic goal of employment generation is
aligned with the long term sustainable economic development of
Telangana. Together, let us chart this transformative path and
shape a prosperous future.
MESSAGE FROM
CHAIRMAN
Shri. Y Varaprasad
Reddy
Chairman, WTC
Shamshabad and Future City
Telangana’s Growth Story 2024 | 08
Telangana’s Growth Story 2024 | 09
Mr. Robin Van
Puyenbroeck
Executive Director,
WTCA
Telangana's impressive evolution from its formation to its
emergence as a significant economic powerhouse in India is a
testament to the resilience, innovation, and strategic vision of its
people and leaders. This book, chronicling the growth history of
Telangana, is not just a reflection on the past but a roadmap for its
future towards a USD 1 trillion economy, particularly in the context
of the ever-evolving global economy.
At the forefront of this growth story is the role of Artificial
Intelligence (AI), which has become an indispensable tool in driving
economic development. AI's potential to analyze vast datasets,
optimize processes, and predict future trends has empowered
Telangana to foster innovation across industries. One of the most
significant impacts of AI is on global logistics, where it has
revolutionized supply chain management by enhancing efficiency,
reducing costs, and improving real-time decision-making. By
embracing AI-driven development, Telangana is better positioned
to integrate into global trade networks, thereby strengthening its
economic ties worldwide.
The World Trade Center (WTC) Shamshabad plays a crucial role in
this narrative. By leveraging the globally recognized WTC brand,
Shamshabad has positioned itself as a hub of international trade
and investment. The WTC brand symbolizes trust, connectivity,
and global opportunity, making it a powerful catalyst in
Telangana's quest for economic excellence. Through strategic
branding and leveraging the WTC network, Telangana is poised to
attract global partners, enhance its trade capabilities, and
establish itself as a leading player on the world stage.
This book serves as a tribute to Telangana's journey and an
inspiration for future endeavours in harnessing technology and
strategic branding for sustained growth. Warmest congratulations
to World Trade Center Shamshabad for creating this
comprehensive publication and we look forward to your continued
success driving innovation.
MESSAGE FROM
EXECUTIVE DIRECTOR, WTCA
Executive
Summary
Telangana’s Growth Story 2024 | 10
USD 176
Billion
USD 500
Billion
USD 1
Trillion
The State of Telangana is the youngest and yet
one of the fastest growing States in India. The
diverse economic, social, and cultural profile of
the State supports strong growth potential and
hence contributes significantly to India’s growth
story.
This report outlines Telangana’s journey towards
becoming a USD 1 trillion economy by 2036, by
maximizing the various strengths of the State. It
emphasizes the State’s robust economic outlook,
cultural diversity, and sectoral distribution in
Gross Value Added (GVA), with strengths in
Pharmaceuticals, Life Sciences, IT, GCC,
Agriculture, and Aerospace.
Additionally, the report highlights Telangana’s
significant contribution to exports, with a strong
focus on innovation and technology. The State’s
fast-paced infrastructure development, policy
reforms, and investment opportunities position it
as a key player in India’s economic growth
trajectory and a hub for foreign direct
investment.
The report also highlights ambitious flagship
infrastructure projects of the Government such
as the ‘Future City’, Regional Ring Road and
Musi riverfront redevelopment which have the
potential to unleash new opportunities not only
to the urban but also semi-urban and rural parts
of the State, thereby accelerating regional trade
and growth. Moreover, the State’s continuous
efforts in fostering the innovation ecosystem are
seen to be supported by numerous institutions,
contributing to new-age entrepreneurs who
promise to bring about an economic shift and
give a fillip to the efforts in increasing the GSDP.
Telangana’s strategic focus on sectors like
Pharmaceuticals and Life Sciences, Global
Capability Centers (GCCs), Information
Technology (IT), and Agriculture and Food
Processing are clear. The State’s GCC market is
thriving, with a strong talent pool and cost-
effective real estate, making it an attractive
destination for MNCs. The IT sector has always
been a major contributor to the State’s economy,
with robust infrastructure and a vibrant
technology ethos. The Agriculture and Food
Processing industry benefits from abundant raw
materials, storage, and processing infrastructure.
With nine agriculture universities and numerous
R&D institutes, Telangana is nurturing local
talent and innovation, particularly in dryland
agriculture and food technology. The State is
also rapidly emerging as a key player in India’s
aerospace & defence sectors, attracting
significant investment and promising thousands
of jobs along with fostering startups and private
sector investments into spacetech.
Overall, Telangana’s growth trajectory is
supported by its focus on infrastructure,
innovation, strategic sector development, and a
conducive environment for business and talent.
The State’s growth story is a testament to its
potential to shape the future of India’s economy.
As we envision the future, our goal is audacious:
to propel Telangana’s economy from its current
USD 176 billion to an impressive USD 1 trillion.
This isn’t wishful thinking; it’s a strategic
imperative. By attracting investments, nurturing
talent, and embracing sustainable practices, we
can achieve this vision.
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