In a major push to bolster infrastructure and connectivity in Andhra Pradesh, the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has approved the construction of a four-lane highway corridor between Badvel and Nellore. The project, to be executed under the Design-Build-Finance-Operate-Transfer (DBFOT) model, will cover a distance of 108.134 kilometers at an estimated cost of ₹3,653.10 crore.
The newly approved Badvel-Nellore corridor is set to play a vital role in integrating key industrial nodes across the state. It will connect Gopavaram village in YSR Kadapa District, located on National Highway NH-67, to Guruvindapudi on NH-16 near Krishnapatnam Port in SPSR Nellore District.
The corridor is expected to enhance linkages to three major industrial corridors—Kopparthy on the Visakhapatnam-Chennai Industrial Corridor (VCIC), Orvakal on the Hyderabad-Bengaluru Industrial Corridor (HBIC), and Krishnapatnam on the Chennai-Bengaluru Industrial Corridor (CBIC).
By facilitating direct access to the Krishnapatnam Port, which has been identified as a priority node under the CBIC, the highway will bolster logistics efficiency and improve India’s Logistic Performance Index (LPI). The improved route will shorten the existing travel distance to the port by nearly 34 kilometers, reducing it from 142 kilometers to just over 108 kilometers. This reduction is projected to save commuters up to one hour in travel time, while also lowering fuel consumption, vehicle operating costs, and the overall carbon footprint.
In addition to improving transportation infrastructure, the project is expected to have a positive economic impact by generating significant employment. It is projected to create approximately 20 lakh man-days of direct employment and an additional 23 lakh man-days of indirect employment. Moreover, the corridor is expected to stimulate economic growth in surrounding areas through increased commercial and industrial activity.