Visakhapatnam: The state government on Friday signed an MoU with Lulu Group International for developing multiple projects, including a world-class integrated mall in Visakhapatnam and a logistics procurement and export centre in Rayalaseema.

The agreement was formalised in the presence of Chief Minister N Chandrababu Naidu and Lulu Group chairman and MD Yusuff Ali during the 30th CII Partnership Summit in Visakhapatnam.

Speaking on the occasion, the Chief Minister said the project — earlier halted during the previous regime — had been successfully brought back to the state.

He said the arrival of global companies such as Google and ArcelorMittal in Visakhapatnam would further strengthen the investment climate for Lulu Group. Naidu added that the mall should be completed within three years and noted that it would not just be a shopping destination but also a major boost for tourism in the city.

The Chief Minister urged the group to source agricultural produce required for its global operations directly from farmers in Andhra Pradesh. Lulu, which operates more than 300 malls worldwide, has also entered agreements in the food-processing sector. The group announced that mango and guava pulp, along with spices, would be procured from the state and exported, with shipments beginning from January next year.

Yusuff Ali also announced that a logistics procurement and export hub would soon be established in the Rayalaseema region to support large-scale exports.

The proposed integrated world-class mall in Visakhapatnam will be developed on 13.83 acres with a built-up area of 13.5 lakh sq ft at an estimated investment of Rs 1,066 crore. The project is expected to create employment for around 5,000 people. Lulu Group said the Visakhapatnam mall will be its ninth in India and the first in Andhra Pradesh.