Advantages Of Setting Up Manufacturing Units Around Hyderabad
                     Advantages Of Setting Up Manufacturing Units 
Around Hyderabad
B.K Vijay 
Experienced writer at Hyderabad india 
online(HIOC), curates content for 
Information about hyderabad  and other 
topics like 
TSRTC bus pass rates 2020 at HIOC.
Hyderabad city is in Telangana State, the newest state in India. The business 
scenario is very much favorable for setting up manufacturing facilities in the 
State. Before the formation of the Telangana state, a lot of concerns were 
expressed about the new state being anti-business. However, in reality, the 
experience has been very positive. Many major new manufacturing units have 
come up due to the major advantages of setting up a manufacturing unit 
around Hyderabad.
Readily available consumption market
As the population of Hyderabad and its suburbs is approximately 1.3 crore, 
there is a big consumption market for the products offered by the 
manufacturers. A readily available consumption market is a huge plus for units 
setting-up a plant around Hyderabad.
Good transportation connectivity
Hyderabad has a very good strategic location in the center of India and well 
connected by trains, roads and has its own international airport. This is very 
helpful for both getting raw materials or to supply finished products within the 
state or outside. Due to the presence of Outer ring road and many expressways 
traveling to the various industrial areas is convenient.
Favourable government policies
The Telangana government has developed a good reputation for creating a 
favorable environment for manufacturing. It is considering one of the most 
investment-friendly states in India. In the latter part of 2014, the Telangana 
Government brought out the TS-iPASS Act, to encourage companies to start 
operations in the State. As per the Act, the primary approval of new businesses 
of the manufacturing/services sector would be given within a fortnight. And, all 
their subsequent proposals shall get cleared in 30 days. Here, the only basic 
prerequisite is that the investment of this company needs to be over Rs. 200 
crore.
The Act also specifies that if a manufacturer doesn’t get any official 
communication, they can consider that the approval has been given. This has 
simplified the process of the establishment of new manufacturing entities.
Also, the Government of Telangana unveiled its IoT policy almost three years 
back. The aim of this is to enable an environment that is highly suitable for the 
growth of manufacturing plants and other businesses. Thus, it’s obvious that 
new factories/plants will be benefited from this policy, as well.
Abundant power and water availability
The capacity of power generation in Telangana is more than 15 GW and nearly 
50 percent of that is attributable to green energy. Manufacturing units stand to 
gain from this favorable power situation.
Due to the current water supply from Krishna River which will shortly be 
enhanced by water supply from Godavari River, the water situation is abundant 
for the manufacturing areas around Hyderabad.
Abundant skilled workforce availability
Any manufacturing plant set up near Hyderabad can rest assured of getting a 
good workforce. There is an abundant supply of quality manpower – educated, 
technical and non-technical. While educational, technical, and vocational 
institutions provide a steady supply of trained local manpower. In addition, this 
can be supplemented with the outside workforce as Hyderabad is a preferred 
location for migrant labor.
Abundant land availability and many industrial clusters available
You have many industrial clusters around Hyderabad. For example, the 
Genome Valley is a cluster for biomedical research, while electronics 
manufacturers are seen in Kushaiguda, near ECIL. Likewise, Pashamylaram has 
many chemical and pharmaceutical businesses. The Government is presently in 
the process of forming more clusters specific to the manufacturing industry, 
not to mention the various other initiatives.
For all the reasons above, many new manufacturing units are being created 
and existing ones expanded around Hyderabad. While Hyderabad is famous 
globally for its IT outsourcing, in that industry Hyderabad gives good 
competition to Bangalore city. The manufacturing industry though not so much 
in the limelight is making rapid strides.
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