State govt open to Disney-style theme parks

Vijayawada: The coalition government is ready to extend full support for the establishment of world-class entertainment facilities and theme parks in the state, tourism minister Kandula Durgesh informed the Assembly on Friday.

Responding to a question from Prathipadu MLA Burla Ram Anjaneyulu regarding a proposal to set up a Disneyland-style project at Karnuthala village in Vatticherukuru mandal of Guntur district, the minister said the government would cooperate if private investors come forward to develop such projects on the 171.14 acres identified for the purpose.

Durgesh explained that mega projects similar to Walt Disney World Resort or Universal Studios require investments ranging from Rs 35,000 crore to Rs 60,000 crore. Such ventures are typically run by private companies worldwide, while governments provide land, approvals and incentives, he said. He noted that the average spending capacity of tourists in India, around Rs 20,000–21,000, remains lower than international standards, but the state is working towards creating conditions that could make such large-scale entertainment projects viable in the future.

The minister pointed out that global theme parks like Disney and Universal Studios are located in major metropolitan destinations such as Orlando, Los Angeles, Tokyo, Paris and Shanghai, where strong tourist inflow and spending power ensure viable returns.

Durgesh said the state government has granted ‘industry status’ to the tourism sector and is offering several incentives to attract major investments. These include capital subsidies of 5–10 per cent up to Rs 40 crore, 100 per cent reimbursement of stamp duty, exemption from land conversion charges, power tariff reimbursements, and SGST reimbursement for seven to 15 years.

The minister revealed that the tourism department is in discussions with companies operating large amusement parks such as Imagicaa and Wonderla in cities like Mumbai, Bengaluru and Hyderabad. These firms have shown interest in developing projects in Tirupati and Visakhapatnam.