Visakhapatnam: Prime Minister Narendra Modi inaugurated the Alluri Sitarama Raju International Airport at Bhogapuram on Saturday. This greenfield airport expected to reshape connectivity for north Andhra Pradesh and southern Odisha while underpinning the state's ambitions to emerge as a manufacturing, logistics and technology hub.Developed by GMR Visakhapatnam International Airport Ltd under the public-private partnership (PPP) model at an investment of Rs 5,648 crore, the airport will begin commercial operations on August 17, with an initial passenger handling capacity of 6 million passengers annually, and a provision to expand it to more than 40 million in phases.Also Read: India to get 11 new flying schools to tackle India's 30000+ pilot shortageThe new airport will completely replace the current Vizag airport, that will stop civil flight operations and continue only as a naval base.The airport is expected to serve as the primary aviation gateway for north Andhra, complementing the region's growing industrial base that includes upcoming investments in semiconductors, data centres, pharmaceuticals, green energy and logistics.Calling Andhra Pradesh a potential "growth engine" for a developed India, Modi said modern infrastructure was being built to support the state's next phase of industrialisation."We are developing the Visakhapatnam Economic Region as a major industrial centre of the country. Our target is that this region becomes a big economic hub of Asia," PM Modi added.Also Read: Adani Airports advances in race to buy Italy's Catania airport stake: ReportHe said projects such as the Visakhapatnam-Raipur Expressway, railway modernisation and port expansion, together with the new airport, would strengthen industrial connectivity across the state.Chief Minister N Chandrababu Naidu described the airport as a transformational project for north Andhra, comparing its potential economic impact to that of Hyderabad's Rajiv Gandhi International Airport."Just as Shamshabad Airport changed the fate and direction of Telangana, the Bhogapuram Airport will transform the fate and direction of North Andhra," Naidu said.He added the airport would strengthen the region's ability to attract investments across technology, manufacturing and tourism while improving global connectivity.Beyond passenger traffic, the airport has been planned as an integrated aviation ecosystem. The project includes a 5,000 sq m cargo terminal capable of handling 25,000 tonnes annually, with dedicated cold-chain infrastructure for pharmaceuticals, seafood and other perishables. Future development plans also include a 154-acre Aerocity, a 139-acre township and a 500-acre aviation hub to support maintenance, repair and overhaul (MRO), manufacturing and logistics businesses.