The expert committee, comprising four members, today visited the municipal town in the district to take stock of the infrastructure in place and other details.
"The panel has expressed satisfaction over infrastructure and is in favour of establishing AIIMS in Mangalagiri as it is near Guntur," the minister said.
The setting up of AIIMS was announced by the Narendra Modi government in its budget, as part of the Andhra Pradesh Bifurcation Act. Centre has allocated Rs 1200 crore for the purpose.
He said the location has many advantages as it is connected through air from Gannavaram airport near Vijayawada and by railway route from Guntur and Vijayawada.
"The national highway is also in close proximity of the site," the minister said.