Economy

Land and utilization pattern

Land is an important pre-requisite for industrial development. Out of total Geographical area of 16,02,900 hectares. Land put to non agricultural uses is 1,30,363 hectares, current fallow land is 64,380 hectares which is 2.92% of the total area available for enterprises. Similarly 5.6% barren of uncultivable land and 1.96% other follows are also available for industrial purpose. The net area sown for the year 2011-2012 is 4,57,538 hectares accounting 28.5% of the total geographical area.

The total number of operational holdings, as per 2010-11 World Agricultural Census are 4,68,337 for all social groups inclusive of institutional holdings with 529485.88 hectares of area operated. The number of holdings and area operated for SCs & STs are 43,858 holdings covering 33,189.78 hectares and 1,31,596 holdings covering 1,84,373.97 hectares respectively.

Agriculture

The district is one of the major districts in food grain production in Andhra Pradesh. The net area sown in the district during 2011-12 is 4,57,538 hectares which is 28.5% of geographical area. Paddy, Cotton, Maize, pulses are the major crops during Kharif season and Paddy, Maize, Pulses and Chillies are the major crops during Rabi. The total production during 2011-12 stood at 14,27,258 tonnes.

Irrigation

Irrigation plays a vital role in the development of Agriculture. The gross area irrigated during 2011-12 is 2.42 lakh hectares with net area irrigated of 2.06 lakh hectares. Total gross area irrigated to gross cropped area is 58.2%. The net area irrigated under canals is 67,311 hect., tanks 44,473 hect., tube wlls & filter points 67,840 hectares, other wells 44,556 hectares, lift irrigation 16,547 hectares and other sources 2,125 hectares.
As per Minor Irrigation Census 2006-2007 (4th Minor Irrigation Census) in Khammam district the available ground water sources are 63,080 and surface water and sources are 8,475. A major source of surface water irrigation is the Left Bank Canal of Nagarjuna Sagar Project with 2,00,637 hectares gross ayacut. The eastern part of the district is traveled by the river Godavari and its tributaries viz., Sabari, Kinnerasani, Taliperu and Munneru which cover two-thirds of total area, while river Krishna and its tributaries viz., Paleru, Wyra and Kattaleru covers the remaining one-third area of the district in the Western part.

Animal Husbandry

Animal Husbandry including dairy, poultry, sheep rearing and piggery provide gainful employment to small and marginal farmers / agricultural labourers and is also supplement diet of people with protein rich milk, eggs and meat.The live stock population of the district at 2743213 comprising 772155 cattle, 784822 buffaloes, 470987 sheep, 628816 goats, 32229 pigs and 49743 other live stock. While the total poultry population stood of 2798449.

Horticulture

Mango, Coconut, Cashew, Lime, Banana, Guava, oil palm etc., are some of the major horticulture crops in the district. The mango is the major crop among all fruit crops with 4,36,617 tones of production during 2011-2012.

Industrial Scenario

The district has good number of large, medium and small scale industrial towns. Currently, the district is having 19 large and medium scale industries most of which are mineral bared industries. The granite tiles, slabs and monuments (stones / blocks) manufactured in the district are exported to Japan, USA, Germany and Singapore thus earning a good amount of foreign exchange. Prominent Industries in the district are Singareni Colleries, Kothagudem thermal power station and ITC Ltd., Paper boards and speciality papers division. India’s first sponge Iron plant with indigenous technology was established in Palwancha by Sponge Iron India Ltd., with an investment of around 27 crores, with a capacity of around 60,000 MTs per annum.

Minerals

The district is rich in mineral resources. Minerals like Coal, Iron ore, barites, quartz, graphite, copper ore and granite (including black, pink and other varieties). Several other minerals like Chromate, Steatite, Corundum, mica, lime stone, marble, dolomite are available in the district.  Hematite iron ore occurs in Bayyaram, Ramachandrapuram and Appalanarasimha puram. Bonds of dolomite, lime stone are extended northwards from Madhira to Yellandu Mandals.

Coal deposits

The coal reserves to in tune of 2,582.89 MTs are spread over Khammam district. The Godavari valley coal field encompasses mines in Adilabad, Karimnagar, Warangal and Khammam districts. The coal mining work has been taken up by the state mined Singareni Colleries Co.Ltd., mined at Kothagudem, Manuguru and Yellandu areas in Khammam.

Power

Power is the most important pre-requisite for industrial development and Khammam district is the hub for power generation as Kothagudem thermal power station is located in the district with five power stations is located in the district with five power generating stations besides Northern at Ferro Alloys Captive power plant. NTPC’s power grid is located at Budidampadu village of Khammam (Urban) mandal to facilitate industrial needs in the district. The total low tension and high tension services as on 31.03.2012 in Khammam district are 769582 with a connected load of 1053859.24 KWH.