Spread over 280,000 square feet, the facility has come up in Mahabubnagar district, about 60km from Hyderabad.
This has taken to 11 Amazon's FCs in eight states, covering one million square feet of space with a storage capacity of over 2.5 million cubic metres, the company said.
The new facility, which has come up with the largest investment by Amazon in any state, will help small and medium businesses (SMBs) in Telangana and the nearby region to gain access to and service customers across the country at low operating costs.
Amazon India's director for operations Akhil Saxena said the FC will also enable faster and quicker delivery of products to amazon.in customers in the region.
Amazon has already signed a memorandum of understanding (MoU) with Telangana to train thousands of sellers across the state in e-commerce and take advantage of the digital economy.
Amazon India will offer trainings to SMEs through seminars, workshops, video aids and ready reckoners on how to list and manage inventory for an e-commerce business.
Telangana's Information Technology Minister K. Tarakarama Rao, who inaugurated the FC, said Amazon will build a 2.5 million square feet campus in Hyderabad, which will be its biggest campus outside the United States.
Saxena said work on the project would begin soon.
The state government has allotted 10 acres of land for the campus in the IT corridor of Gachibowli. He declined to share the quantum of investment.
An official in the state's IT department said Amazon will be investing about Rs. 1,800 crores in the facility.
The minister, who visited the US last month, said he requested Amazon to set up a data centre in Hyderabad and bring Amazon Web Services (AWS), a collection of remote computing services, to Telangana.
He expects a delegation from the US to visit Hyderabad soon to study the proposal.