Hitting out at Pakistan without naming it, the vice president said it was combining terrorism with religion and creating divisions among the people.
Addressing troops of the Border Security Force (BSF) at their camp on the occasion of the force's 52nd Raising Day, Mr Naidu said India does not see a terrorist from the prism of any religion and such a mercenary is an enemy of mankind.
Despite the government of India's many initiatives to have good relations with its neighbours, "some people are trying to create problems, including intrusion into our land", he said.
"This is really unfortunate and condemnable. You know, one of our neighbours has taken terrorism as a state policy and it is always trying to aid, abet, fund and train terrorists and send them here," he said without making a direct reference to Pakistan.
Stating that the "enemy" was unrepentant about conducting its nefarious activities, Mr Naidu said India's security forces continued to foil attacks and terror bids on the country.
Lauding the BSF for effectively guarding Indian borders with Pakistan and Bangladesh, he said the danger of terror and its "evil consequences" were being felt across the globe.
"But our neighbour is still walking on that track. It is combining terrorism with religion and bringing divisions among the people," he said.
The vice president added that India had never cast an evil eye on any nation or neighbour and always favoured peace. "This is because our tradition is 'Vasudhaiva Kutumbakam' (the world is one family) and also to live together.
"The welfare of all human beings is our motto, is our philosophy and is our dharma. This is what we believe and practice. We have no problem with anybody but others are creating problems (for us)," he said.
"The terrorist has no caste, no religion and a terrorist is a terrorist and is an enemy of the mankind," the vice president said, advocating that the UN take strong steps against outfits and people perpetrating such acts.
He said security forces like the BSF have the onerous task of defending the nation and the government was leaving no stone unturned to make them stronger and their families capable.
"India is getting stronger and it is rapidly taking strides in the world. Development and good governance is the only solution and peace is very essential for this," Mr Naidu said.
He said soldiers and officers of the 2.5 lakh personnel strong force do their duty in the interior and exterior areas of the country despite adverse weather and geographical conditions by sacrificing their personal lives.
"The entire country feels proud of your work and you. For the last 52 years, you have done exceptional work," he said. The country, he added, knew that their lives were difficult.
"I assure that while you keep doing your duty with full devotion, the country will perform its duty towards you."
The BSF, raised in 1965, is the country's largest border guarding force. It is also deployed for a variety of internal security duties, including anti-Naxal operations.