Hyderabad: Sumitomo Corporation, a diversified business group of Japan, will help the Andhra Pradesh government in developing its new state capital as a world class smart city.

A memorandum of understanding (MoU) in this regard was signed Thursday during Chief Minister N. Chandrababu Naidu’s current visit to Japan.

The two sides also signed three other MoUs for cooperation in agriculture, energy and food processing.

The state plans to build the new state capital in Guntur district on the Vijayawada-Guntur stretch.

The Japanese firm has already sent its survey team for the project.

“Sumitomo shall try and assist to find and secure the necessary funds for such development from Japanese government funding by JICA, NEDO and JBIC as much as practically applicable. In addition, Sumitomo shall introduce the latest technology for various sectors,” the MoU said.

The state government and Sumitomo have formed a joint study team to explore opportunities in the agriculture sector.

The state government will collaborate with Sumitomo to develop the 4×1,000 MW Srikakulam coal fired power project.

The state plans to construct the project with ultra super-critical technology for optimum utilisation of resources and to have environmental friendly atmosphere.

It intends to receive funding support from government agencies of Japan to apply the above-mentioned technology.

Under the fourth MoU, Sumitomo will assist the state government by seeking foreign investment into the food processing industries through their global network in order to enhance export and the value of products.

Sumitomo chairman Kazuo Omori said Andhra Pradesh was an important state for the company.

Naidu said Andhra Pradesh can be the gateway to South East Asia if they choose to do business with the state.

The delegation led by Naidu visited Yokohama Port. The chief minister said Andhra Pradesh aims to increase container traffic in its ports. “We can learn about the operation and maintenance of Yokohama Port,” he said.