A first-of-its-kind granite cluster will be developed at Bahupeta village on the outskirts of Karimnagar town in Telangana.

The Centre has decided to adopt the cluster development approach (CDA) which will help enhance productivity and competitiveness along with capacity-building of entrepreneurs of the industry in Karimnagar district.

The Union Ministry of Micro, Small and Medium Enterprises (MSME) has decided to set up the cluster. The project will see an investment of Rs 15 crore, which will include 70 percent assistance from the Centre, 10 percent from the state government and 20 percent by the local granite industry.

The district granite quarry and granite-cutting and polishing units will allocate five acre of land for setting up the cluster. Common facilities such as a centre for testing, training, raw material depot and effluent-treatment plant will also be set up.

The granite units will be encouraged to utilise granite dust produced during the cutting of rocks for making bricks and selling them at cheaper rates for the construction sector.