Achieving Double Digit Inclusive Growth – A Rolling Plan 2015-16 A Ready Reckoner Achieving Double Digit Inclusive Growth – A Rolling Plan 2015-16 FOREWORD The new State of Andhra Pradesh is currently placed at a defining moment in history. We are now charting our future course of action to spin the wheels of development. Moving away from the “business as usual approach”, we have initiated an intensive “mission- mode” approach that will speed up the growth process. We realize that, as we move along, every step of ours is going to lay strong foundation in scripting the growth story of Sunrise Andhra Pradesh. Despite facing adverse economic impact of bifurcation, we have now embarked on a journey to leverage our strengths, skilled human resources and long-term potential, to achieve an inclusive and sustainable socio-economic development for the citizens of this state. As a result of our unstinted inclusive development efforts, the State could register an encouraging growth rate of 8.4% (tentatively estimated with base year as 2011-12). We are committed to make Andhra Pradesh one of the three top performing states in India by 2022 - our 75th year of Independence. By 2029, we want to be the best state in the country and by 2050, our state would be the best destination in the world. To achieve our goals, we have put together 7 Missions, 5 Grids and embarked on 5 campaigns. These are the three pillars of the new edifice that we are building. As part of our inclusive growth strategy, our prime focus is the agriculture sector linked with improvement in soil fertility, better seed, reducing the cost of cultivation, productivity enhancement and value addition in the agriculture, horticulture, livestock and fisheries sub sectors. We can observe a structural change – labour force shifting from agriculture to non-farm and service sectors. Necessary skilling needs to be done to improve productivity of the abundant labour force. While focusing on the economic development, we are equally conscious of the social sector development. Reducing, IMR, MMR, anemia among women and malnutrition, improving literacy and achieving global standards in these parameters continues to be our goal. Our Vision includes creating anecosystem that includes everything – right from farmer’s gate to consumer’s plate, an education system that makes students industry-ready and opens a world of diverse career opportunities; an e-Governance system where we leverage the power of IT to lead and transform citizen services; a social empowerment system that encourages rural entrepreneurship; and an ecosystem that is sustainable, inclusive and smart. Through participatory initiatives inducing behavioral change like ‘Smart Village and Smart Ward for Smart Andhra Pradesh’, every village and municipal ward in the state would become smart and over time. All decisions will be transparent and techno0logy oriented. Innovation of new ideas and concepts for increasing happiness will be the core agenda. Achieving Double Digit Inclusive Growth – A Rolling Plan 2015-16 I foresee a bright future for the Sunrise State of Andhra Pradesh where our economic growth should be driven by entrepreneurship, continuous economic diversification, growing trade relations, industrial thrust and technological innovation. This ambitious vision calls for an urgent need to identify growth engines. Given the resource base and astute leadership, Andhra Pradesh can do better than the conventional6% to 7% growth achievements and if it is to create sufficient jobs for its rapidly growing workforce, and meaningfully reduce poverty, the government believes that there is a need to deliver GSDP growth in excess of 10%. Thus, Double Digit growth, becomes critically imperative through which we begin working towards our goals. Achievement of double digit growth is not a new phenomenon. Several countries have achieved this feat on a sustainable basis and have successfully managed to keep the poverty at highly acceptable levels. The Double Digit Growth Plan will guide our macro-economic vision and define the policy, programme and implementation interventions across sectors and regions in the State. It will also address long-term priorities and short-term actions. Through this book, we attempt to highlight the key initiatives and approaches that our government is working on. Andhra Pradesh has unveiled ‘Double Digit Growth Action Plan’ to achieve the status of a developed economy with per capita income likely to touch Rs. 6.62 lakh by 2029-30, if the economy grows consistently at the 10% level and in the event of growth rates crossing this critical threshold, the per capita income may even cross the Rs. 8.00 lakh mark. We have a robust monitoring and evaluation framework to asses and gauge the progress made with respect to Key Performance Indicators (KPIs). The present document – ‘Achieving Double Digit Inclusive Growth – a Rolling Plan for 2015-16’ will guide our macro-economic vision and define the policy, programme and implementation interventions across sectors and regions in the State. It will attempt to address long-term priorities and short-term actions. Through this book, we attempt to highlight the key initiatives and approaches that our government is working on with district-specific growth propelling possibilities. We are open to feedback. We believe that your feedback will be valuable and will help us sharpen our Vision and steer us in the right direction for a brighter, healthier, happier and a prosperous Andhra Pradesh. Nara Chandrababu Naidu Chief Minister, Andhra Pradesh Achieving Double Digit Inclusive Growth – A Rolling Plan 2015-16 PROLOGUE The new State of Andhra Pradesh, during the last one year has been relentlessly striving to achieve multidimensional growth. In the process, various sector specific and district specific growth engines that are expected to push the growth momentum forward and lay solid foundation for achieving double digit inclusive growth have been identified. When the World is moving ahead from the Eight Millennium Development Goals to Seventeen Sustainable Development Goals, it’s time we move with this global transformation initiative. In this ready reckoner entitled ’Achieving double digit inclusive growth – A Rolling Plan for 2015-16, specific action plans have been indicated for each of the 13 districts in the State. The district administration, as an essential growth driver, has to implement these plans, duly making changes, where ever necessary. The most important component in achieving double digit inclusive growth is to properly tap the financial resources available in the district and make use of the priority sector credit plan of about Rs. 5,000 crore available per district, especially for the MSMEs, Primary Sector activities and the SHGs. Some of the key issues that require focus and specific interventions include: Productivity enhancement in district specific predominant crops, productivity enhancement in existing micro- irrigation systems through fertigation coupled with soil tested addition of micro nutrients; tapping full potential of Milk and Diary sector, A Fodder policy that focuses on supply of fodder seed for additional Green Fodder Production and raising additional Maize crop, Revival of shrimp culture area, capacity building of aqua farmers, leveraging the strength of 8.7 million SHG members in the state and infrastructure development with special reference to Port-led growth. While focusing on the economic development, we are equally conscious of the social sector development leading to greater inclusiveness. Reducing, IMR, MMR, anaemia among women and malnutrition, improving literacy and achieving global standards in these parameters continues to be our goal. Our conscious efforts shall be towards ensuring that poverty – both rural and urban gets reduced to minimum levels and the benefits and fruits of development reach the deserving and most needy. It needs to be borne in mind that the broad vision of the district administration towards poverty and vulnerability includes elimination of poverty and thereby reduce all forms of inequality, equity-based availability and access to social infrastructure and empowering people through decentralised governance and effective service delivery. In order to bring in clarity both in thought as well as in action, separate chapters have been earmarked for each district duly emphasizing its strengths and the way forward for achieving double digit inclusive growth. This Rolling Plan is a maiden endeavour in this direction and gets Achieving Double Digit Inclusive Growth – A Rolling Plan 2015-16 firmed up as we go along. The document will continue to remain a draft till such time the strategies and action plans are fully fine tuned. The process will eventually lead to a definite roadmap for expanding the growth horizons and thereby achieving double digit growth in the next 15 years on a sustainable basis. An evolving exercise of this sort calls for monitoring and review at various levels to asses and gauge the progress made with respect to Key Performance Indicators (KPIs). We are embarking on a robust online monitoring and evaluation framework to serve this purpose. The Planning Department has been coordinating with all the departments and stakeholders in the State to arrive at a comprehensive overarching growth strategy in line with the objectives being envisaged under Vision 2029. While the districts have been instrumental in preparing this year’s reckoner, necessary capacity building of functionaries at state and district level will be facilitated next year by reputed organizations such as ISB so as to make them technically more competent. I would like to place on record the unstinted support and cooperation extended by the departments while working with the team of officers and professionals in the Planning Department in bringing out this publication. Without their wholehearted cooperation, it would not be possible to undertake and successfully complete tasks of this kind. We solicit such an esteemed cooperation in our similar future development endeavours as well. Mr Sarin, Mr Sambasiva Rao Pokuri, Mr Chetan and Mr Narasimha Reddy, Sri D.Dakshina Murthy, Smt.