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Vizag was a small fishing village, but now has developed into an industrial center. Its story began with the mission of British to find a suitable seaport that connects the rich mineral belt of Central provinces with the East Coast. Vizag is the most secure natural harbor in Asia. Another important milestone was the setting up of the Hindustan Shipyard Ltd in 1940. In 1950s and 1960s, the Government of India and the private sector set up some large-scale industries like Bharat Heavy Plates and Vessels (B.H.P.V.), Hindustan Zinc Ltd., Caltex oil refinery (later acquired by government as H.P.C.L.), Coramandel Fertilizers, Andhra Polymers (now L.G. Polymers), etc. 1980s saw a major development with the development of Vizag Steel Plant and other major industries. Economic liberalization in the 1990s brought a modest growth to the city but not as much as it did in Hyderabad. However, some industries sprang up like Rain Calclining Ltd., the expansion of H.P.C.L., setting up of Vizag Export Processing Zone, Simhadri thermal Power plant of N.T.P.C., etc. Vizag is now declared as one of ten fastest growing cities of the world according to a recent study conducted by the United Nations.

Due to the presence of the Eastern Naval Command, Steel Plant, H.P.C.L., the city has become the home to people from different parts of the country and due to this the city has a cosmopolitan texture to it.