As a policy of extending higher education facilities in the backward regions, Andhra Universities with UGC support came forward to institute two disciplines viz., Economics and Rural development  at Post Graduate level in   1977 – 1978 at srikakulam under the banner of Andhra University  Post Graduate centre. Initially  the center was started in the South Wing of Government Degree College (men) and after acquisition  of land and old palace at Etcherla, the center was shifted to the presented campus on 29-09-1986. The State Government was generous to sanction 12 additional courses to the centre, of which four new courses , viz., M.com, M.Sc. (Maths), B.L. and B.L.I.S.C.  were started from the economic year 1998-89. During 1994,two more new courses viz., M.B.A. and M.L. werestarted in the 1996. The only one year B.L.I.S.C. course was converted into two year M.L.I.S.C. course. The center is at present catering to the needs of 600 P.G. Students and Research Scholars working for their M.Phil and Ph.D. and is backed up by 40 faculty members and 70 non Teaching members. With all these courses, the P.G. Center became the single largest PG Center in the entire state of Andhra Pradesh.

         The PG centre is located in  a bush campus extending 29 acres of land at Etcherla , Srikakulam, which is declared by  the central as well as the State Government, as a notified backward area with 80% of the population living in the Rural areas. Not only that , 80% of the local population is also represented by disadvantage sections i.e., (SC/ST/OBC/Women). It is at present blessed with an administrative block accommodating special officers chamber, individual teachers rooms and students union room, etc., and three more blocks to accommodate classrooms, Library and reading room etc., recently in 1997, a hostel for boys at a cost of about Rs. 65 lakhs was constructed with the help of State Government and University bearing the expenditure equally. The present infrastructure is adequate enough to cater the needs of the people of this backward region. The X Plan U.G.C. visiting committee has passed the comments that the PG center is serving successfully to the unreached sections of this backward area