MSME-DI HYDERABAD, AP.

MAHABUBNAGAR DISTRICT PROFILE

Mahabubnagar district at a glance

Physical and Geographical features:

i. Latitude : Between 15 ° 55’ and 17 °29’ N

ii. Longitude : Between 77°15 ’ and 79 °15 ’E
iii. Area in Sq. Kms. : 18,432
iv. Headquarters : Mahabubnagar
Boundaries:
East : Guntur district of AP
West :Gulbarga and Raichur districts of
Karnataka
North :Ranga Reddy & Nalgonda districts of AP
South : Kurnool district of AP

Soil : Red Sandy, Black cotton, Loamy soils

Rivers : Krishna, and Tungabhadra

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
 Major river projects : Priyadarshini Jurala Project
Rajoli Banda Diversion Project
Climate
Rainfall (normal) : 604 mm
2004-05 : 420.44
2005-06 : 973.2 mm( 60% excess)
2006-07 : 474.7 mm
2007-08 : 507.6 mm

Demographic Particulars, 2001

Source: Statistical Abstract, Govt of AP
1. Population : 35,13.934
2. Male population : 17,82,340
3. Female population : 17,31,594
4. Rural Population : 31,42,579(89.43%)
5. Urban population : 3,71,355 ( 10.57%)
6. Literate population : 13,56,186
7. Literacy rate : 44.4(AP-61.55)
8. Male literacy rate : 56.6
9. Female literacy rate : 31.9
10. Density of population : 191 persons/Sq.km (AP- 277)
11. % of main workers
to total population : 43.19 (State average: 38.1)
12. % of marginal workers
to total population :11.39 ( State average : 7.7)
13. % of non workers
to total population : 46.7 (State average: 54.2)

Administrative set up
1. No, of revenue divisions :4 ( Narayanpet, Mahabubnagar, Gadwal,
Nagarkurnool)
2. No. or mandals : 64

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
 3. No. of villages : 1475 inhabited
and 69 uninhabited
4. No. of towns &
municipalities :7 towns, 4 municipalities

Agriculture
1. Major crops grown
Food crops : Paddy, Jowar, Ragi Bajra,
Vegetables, Pulse (redgram,
greengram) and Other millets

Commercial crops : Groundnut,Castor, Sugarcane,

Horticulture crops : Mango, sweet orange, acid lime,

guava, sapota, papaya,

2. Net area sown : 8,76,700 Ha

3. Major source of irrigation : Canals, tube wells & wells, tanks

Area under forests : 302700 ha

Major minerals found : stone metal, lime stone, black & color
granite, sand, feldspar, quartz, and laterite
Major economic activities : Agriculture, sheep rearing, handloom
weaving, Industry

Infrastructure in the district

a. Industrial infrastructure
1. Number of IEs/ IDAs : 4 IDAs, one IE
2. industrial parks : Green Park, Textiles park, mini leather
park, Agri export park,

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
 3. Number of Large/Medium
Scale units : 48 working
4. Number of SSIs (31-1-08) : 3382

b. Credit Institutions
1. Lead Bank : State Bank of India
2. No. of Commercial Banks : 18
3. No. of Bank Branches
• Commercial Banks : 135
• Regional Rural Bank : 70
• Dt. Co-operative Banks :19
• APSFC :1

c. Roads
1.Total Length of roads : 3740 kms
2. Highways : 90kms National highway
594 kms State Highway

d. Railways
1. Length of railway line : 195kms

e. Communications
1. No. of post offices ( total) :776
2. No. of telephone
Connections : 93551
3. No. of telephone Exchanges:

f. Education infrastructure:
1. No. of primary schools :2862
2. No. of high schools : 729
3. No. of Junior colleges : 131
4. No. of B.Ed colleges :5
5. No.of degree colleges :34

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
 6. No. of PG Centres :2
7. No. of Engineering colleges :6
8. No.of Medical colleges :1

g. Health infrastructure
1. No. of General Hospitals :1
2. No. of Primary Health Centres : 75

History of the district:: Mahabubnagar formed the core of the Satavahana

Dynasty (221BC-218 AD), and a part of Chalukya Dynasty in South India (between
5th and 11th century AD),and in the recent history, it formed the core of the
Golconda State and Hyderabad State, ruled by Qutub Shahi Dynasty (1520-1687)
and Nizam Dynasty (Asaf Jahi Dynasty) (1724-1948). This region became
independent and joined in the democratic India on 18th September 1948. This
place was formerly known as "Rukmammapeta" and "Palamooru". The name was
changed to Mahabubnagar on 4th December 1890, in honour of Mir Mahbub Ali
Khan Asaf Jah VI, the Nizam of Hyderabad (1869-1911 AD). It has been the
headquarters of the district since 1883 AD. The Mahabubnagar region was once
known as Cholawadi or the land of the Cholas'. It is said that the famous Golconda
diamonds including famous "KOHINOOR" diamond came from Mahabubnagar
district. The district witnessed many invasions and ruins of temples still dot the
district.

Economy of the district: Agriculture is the mainstay of the economy. Frequent

spells of drought have rendered many small farmers unable to carry on their
agricultural activity, leading to migration to nearby cities. Paddy, Jowar, Castor, and
pulses are the important crops grown in the district. The District Domestic Product
at 2002-03 prices was Rs. 322619 lakhs. The major industries in the district are
cotton textiles, ceramics, power generation etc

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
Places of tourist interest:
Pangal fort: This fort was constructed by the Cholas, and is located at distance of
83 kms from Mahabubnagar. It is fame for a perennial spring of clear
sparkling water.
Alampur temple: This temple was built by the Chalukyas on the banks of river
Tungabhadra, at Alampur, around 80 kms from Mahabubnagar. The temple
is built of Blackstone in the typical Chalukya style. There is also a museum
of stone sculptures here.
Koilkonda fort: Koilkonda is located at a distance of 24 kms from Mahabubnagar.
Pillallamarry: This place is located at a distance of 4 kms from Mahabubnagar. It
houses a huge 300 year old Banyan tree, that spreads over 4 acres of land.
A historical museum and nursery also attract tourists.
Manyamkonda temple: This temple is famed for the annual Jatara ( carnival) that
is held in February, as it attracts thousands of people from within and outside the
district.

Agriculture in the district:

The major crops grown in Mahabubnagar district are oilseeds, millets, paddy,
pulses, castor , cotton and chillies. Kharif is the main crop. The gross cropped are
during 2007-08 was 8.25 lakh ha. The cropping pattern in the district shows a
distinct trend in increase in area under millets and cash crops such as groundnut,
sunflower, cotton and chillies. There has been a decline in area under paddy
despite good rainfall. Castor crop has also seen a sharp decline in area. Paddy is
mainly grown in Atmakur, Pangal, Pebbair, Gadwal, Ghattu, Ieeja, Kothakota,
Narva, Midjil, Amangal, Weepanagdla, Balanagar, Farooqnagar, Kosgi, CC Kunta.
Millets are grown in Doulatabad, Damarigadda, Maddur, Kodangal, Utkoor,
Maganoor, Makhtal, Dharoor, Madgul, Vangoor. Pulses are grown in
Uppumuthala, Nagarkurnool, Tadur, Telkapalli, Balanagar and Groundnut is grown
in Uppumuthala, Kodair, Pangal, Ghattu, Itikyala, Kollapur, Manapada, Kolikandla.
Castor is an important grown in Devarkadra, Veldonda, Kalwakurthy, Vangoor,
Midjil, Thalakondapally, Amangal, Kolikandla, Gadwal, Dharoor, Ieeja, Narva, CC
Kunta, while cotton is grown in Farooqnagar, Thimmajipet, Kalwakurthy,
Peddalakothapalli, Addakal, Utkoor, Peddamadandi, Bijnepalli, Kothakota,
Balmoor, Amrabad.

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
Horticulture The major horticulture crops grown in the
district are Mango, sweet orange, pomegranate, papaya, grapes, guava, citrus,
sapota, custard apple, fig, banana etc. Mango, sweet orange and lime are grown
in all the mandals of the district.

Industrial Estates:
Mahabubnagar and Kothur Industrial Estates have good occupancy rates. Kothur
IDA houses a number of sponge iron industries apart from Plastic and chemical
industries.
A Textile park at Kothur has been developed to promote production and export
of garments and textiles, as this sector is identified as a thrust area. The scheme
aims at providing sustainable employment to people in the district and neighboring
districts. Known as the Hyderabad Hi-Tech Textiles Park, the project has been
established with Central and State Govt assistance. This park is houses readymade
garment making units and all allied units linked with apparel making.

A Green Park industrial estate is established in Polepally Village of Jadcherla

(M), and Rajapur (Balanagar Mandal) along National Highway, to promote ‘Green’
industries that address environmental issues and help in improving the
environment.. Industrial undertakings engaged in environment protection, energy
efficiency, water conservation, use of recycled products, or renewable energy are
encouraged. Mfr of pollution free goods, solid waste based goods, IT companies
working on clean energy or environment related packages, service providers in
‘green areas’ are eligible to apply. The Park is situated over an area of 986 acres. It
is situated at a distance of 73 kms. from Hyderabad

Grapes, mango and gherkins are exported from the district. The Government of AP
has formulated various policies for promotion of textiles and food processing
industries, by offering incentives and concessions. Agri Export parks are
prosposed to be established for these produces in the district. The interventions
provided would be in the form of identification farmers , inputs like seed, fertilizer,
pesticides, etc, determination and extension of pre-harvest, harvest and post

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
harvest technologies, provision of infrastructure, ensuring logistics and marketing
support.

Mahabubnagar district is home to a large numbers of the weaving community.

Gadwal, Naraynpet, Kothapet are famed for the handloom saris. Zari saris, cotton
and silk saris, bedsheets and lungis are produced at Gadwal, while weavers a
Narayanpet produce Zari saris, silk saris, towels, blankets and kambals. The district
has a total of 18965 weavers, with 10,865 weavers in the Co-operative fold and
8100 weavers outside it. During 2006-07, 4.15 lakh meters of handloom, worth
Rs510 lakhs was sold.

Thrust areas for development in the district are:

• Tremendous scope exists for increasing exports in the area of
handlooms, gherkins, processed fruits, maize products, medicinal
and aromatic plants, agro processing, etc.
• Proposed establishment of Export Parks for apparel and gherkins
will promote linkages and boost production of all allied products.
• Establishment of leather parks will provide a thrust to the leather
industry.
• Cluster of handloom and rice mills provide industry related
services and micro enterprises can be established in urban, semi
urban and rural areas to increase the income levels of people.
.
Opportunities in the Micro & Small Scale Sector
Mahabubnagar district offers opportunities in the agro processing sector. Products
based on paddy, millets, pulses, like Semolina and flakes, Refined millet flour,
Malting of rice, wheat, and sorghum Dry milling of maize, Popping of cereals, Maize
roti flour mix, Noodles/vermicelli from maize and rice. High fibre and low fat
vermicelli noodles from millets /cereals Ready to eat fat free flaked snack food
from cereals, Malted weaning foods, maize grits for animal feed, maize flakes,
breakfast food, instant upma, instant kesri bhat, biscuits, ready-to-eat maize puff
and instant corn soup mix.

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
Mahbubnagar district produces a good quantity of pulses.. This provides scope for
setting up additional dall and flour mills in the areas of Uppumuthala, Nagarkurnool,
Tadur, Telkapalli, Balanagar etc. A mini dall mill can be established with an
investment of Rs. 10 lakhs, with an employment potential for 5 persons. Other
activities like sorting, cleaning and packing of processed dall for retail trade, fried
grain, processed grain – for snacks, etc can also be encouraged in the tiny unit
level. Low cost nutrition supplementing food & other Pulse based soup mixes
Products are oil cake, ground nut candy (chikki), etc too enjoy good demand.

Castor meal finds use in organic manure, food industry, as water proofing additive,
in plastics and rubber, in chemicals and perfumes.

Agro waste based products: Agro waste from farms can be utilized in the making
of particle boards, bio fertilizers, etc. Bio fertilizer plant can be set up in the paddy
growing areas. Approximate project cost would be Rs. 35 lakhs. Furfaraldehyde is
extracted from agro waste like corn cobs, peanut hull, cotton hull, rice husk,
bagasse etc. Furfural is used as a decolorizing agent and binding agent in chemical
industry. One unit can be set up near areas growing paddy. Approximate project
cost is Rs 125 lakhs( cost of machinery is around Rs 80 lakhs), and employment
potential is about 25 persons.

Chaff cutting: there is great demand for cattle feed. Chopped fodder, if made
available in pellet form, finds demand as it saves space in most dairies. A few units
can be encouraged in all mandals. Unit cost would be around Rs 50,000/- and
employment potential is 2 persons per unit.

Nurseries: There is a dearth of nurseries in the district and availability of quality

planting material for mango and citrus is a problem faced by the farmers. Hence
nurseries producing quality planting material can be set up in the fruit growing
areas.

Mango, Sweet orange, lime processing: fruit processing activity like, mango pulp,
mango squashes, mango juice, mango jelly, mango kernel powder, mango pickles,
mango jam, mango powder (amchur) , orange essence, orange squashes, juices,

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
marmalade, pickle etc can be established in any mandal in the district.. Gherkins
can also be processed and exported. There exists great demand for gherkins in
European and US Markets.

Vermi composting: Use of chemical manure has many harmful effects. Use of
chemical fertilizers has led to depletion of essential micronutrients in the soil. This
can be mitigated by use of bio manure made by vermin composting. It can be taken
up in the field. A project of 2 tons per day capacity with 8 vermi bed tanks cost
around Rs. 2 lakhs. Employment generation is 2 persons per unit. Such units can
be encouraged in all the mandals.

Bio- pesticides : One unit for manufacturing bio pesticides can be encouraged in
Gadwal area. The technology is available with Tamil Nadu Agricultural University,
Chennai. Project cost is around Rs 55 lakhs, and employment potential is 15
persons.

Medicinal and aromatic plants: Mahabubnagar district offers scope for growing
medicinal and aromatic plants like Lemon grass, citronella, jatropha, pongamia etc.

Meat and poultry processing: Dressed chicken and meat can be processed and
sold through retail outlets. A chain of outlets throughout the district can be
established at important commercial centres. Albumin from egg, egg powder,
ready to eat foods made from egg, etc can be made from egg. Allied products like
egg trays made of plastic, and paper, etc can also be encouraged. Opportunities
exist for opening cold storages, cold storage trucks, and other storage systems,.

Leather products: Establishment of leather park would provide impetus to the

leather ndustry in the district. Manufacture of leather garments, leather purses,
leather travel goods, leather gloves, shoes and chappals etc. can be encouraged
in the leather park.

Other livestock based industries like wool carding and weaving, cattle feed, poultry
feed, dairy farms, milk chilling centres, milk products like khova, paneer, ghee,
butter, yoghurt, milk sweets, etc can be encouraged in all the mandals.

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
Animal products: Chitosan, corned beef, egg albumen flakes, egg powder, fish
meal and oil, thermal processed fish products, instant gravy mixes, meat gravy
concentrate, animal feeds, chicken sticks, curried chicken, chicken kabab,
extension of egg shelf life, fish, prawn, chicken and mutton pickles, meat soup
cube, meat tenderization, dehydration of meat, conditioning of mutton, frozen
animal products, chicken wafers, marinating paste for fish fry, marinated tandoori
chicken, layer chicken meat paste, shelf-stable chicken biryani, meat burgers can
be established.

Sericulture based industry like mulberry cultivation, silk reeling units, dyes required
by silk industry, spares for handlooms, and powerlooms, etc offer scope for
development

Mineral based industry:

Granite cutting and polishing: Granite deposits found in the district can help
establishment of granite cutting and polishing units, at a project cost of Rs. 50
lakhs. Unit can be set up in Mahabubnagar/ and near by areas. Slabs, blocks,
panels, idols, table tops etc can be manufactured. They find demand in overseas
markets too.

Stone crushing: The district is dotted with rocky areas containing granite that is
suitable for road laying. Stone crushing activity can be taken up for crushing the
granite blocks into road metal or gravel. Units can be set up in all commercial
towns of the district.

Cement products like readymade cement hollow bricks and blocks, jallies, fencing
poles, electric poles, RCC frames for doors and windows, etc can be encouraged
as micro units.

Quartz pulverizing/ mineral grinding.: quartz is available in the district, hence a few
quartz/feldspar grinding units can be established at a unit cost of
around Rs, 15 lakhs

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP
Engineering based activities like Fabrication Workshop, spares for textiles,
precision measuring instruments, automobile gaskets, aluminium foils, steel ingots
and billets, Aluminium extruded projects, IT and enabled services, Components for
Electronic & Communication industry. Services like repairing and servicing of
agricultural implements, cycles, cars and scooters, repairing and servicing of mobile
phones, electrical applicances, /aCs, household equipment, can also be set up.

******

The information given above is based on an Industrial Survey of

Mahabubnagar district conducted in 2007 by MSMEDI, Hyderabad. The list of
items given above is only suggestive and not exhaustive. Entrepreneurs are
advised to conduct detailed market surveys before product selection.

MAHABUBNAGAR DISTRICT PROFILE

MSME-DI HYDERABAD, AP