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Hampi is situated on the banks of the Tungabhadra river. It is 353 km from Bangalore and 74 km away from Bellary. Hosapete (Hospet), 13 km away, is the nearest railway head. Mantralayam, which is also on the banks of Tunghabhadra, in AP is some 150 km away.The principal industries of the village are agriculture, the support of the Virupaksha temple and some other local holy places in the vicinity, as well as tourism. The annual Hampi Utsav or "Vijaya Festival" celebrated since Vijayanagara reign. It is organized by the Government of Karnataka as Nada Festival.

Due to the presence of several mineral deposits in this region (iron-ore, manganese), mining has been done for a number of years. A recent boom for the supply of iron-ore in the international market has led to increased levels of mining in this district. Some feel that the World Heritage Site at Hampi as well as the Tungabhadra Dam is under threat as a result.

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