Economy of Mangalore

Mangalore's economy is dominated by agricultural processing and port-related activities. Imports include tropical timber from south-east Asia for furniture making, a necessity since India places major restrictions on its own teak felling. The port handles 75% of India’s coffee exports and the bulk of its cashew nuts [cite web
url=http://economictimes.indiatimes.com/Features/The_Sunday_ET/Property/Mangalore_takes_over_as_the_new_SEZ_destination/articleshow/2788712.cms
title= Mangalore takes over as new SEZ destination
accessdate= 2008-04-22
publisher=The Economic Times.] . The latter are brought from many coastal areas (notably from Kerala), the National Cashew research centre is nearby at Puttur. Mangalore roof tiles are well-known throughout India. The tiles made from red clay and baked, is used as roof in many parts of the country. There is rapid decline in this industry due to use of RCC roofs.According to International edition of India Today (November 28 – December 4, 2006), Mangalore is the fastest growing non metro in the south followed by Kochi.

Malls

In recent times, Mangalore's retail space has gone for a change with several malls being set up in the city thus replacing traditional shopping complexes. Already two malls - Bharath Mall (from the owners of Bharath beedis) and Empire Mall are operational and six are in pipeline - Excel Mall, Mischief Mega Mall, Time Square, Pio Mall, Golden Harvest Mall, Mangalore Central Mall

Traditional commerce and industry

Mangalore developed as a fishing town and this has been maintained to this day, with the local diet maintaining a high proportion of fish. The fishing industry employs thousands of people, and their produce is exported from around the region. The Old Mangalore port is now used as a fishing port. The boat building and fishing industry has been core business in Mangalore city for generations.

Mangalorean firms have had a major presence in the tile, beedi, coffee and cashewnut industry, although the tile industry has been in decline due to the predominance of concrete in the modern construction. Beedi rolling is a well-known cottage industry in Mangalore.

IT and IT enabled services

Major information technology and outsourcing companies have started locating their facilities in Mangalore. IT major Infosys was one of the first to move in and establish a large presence. Chennai based banking software major Lasersoft infosystems ltd has a software development unit in Mangalore. US based "Invengor Technologies" has also a centre here. Wipro also plans to set-up its development facility soon in Mangalore. Outsourcing major, MPhasis BPO, has a large set up at Morgansgate, Jeppu. First Indian corporation, a wholly owned subsidiary of The First American Corporation has started operations in Mangalore. Three dedicated IT parks are currently under construction. Two such parks are under construction, one Export Promotion Industrial Park (EPIP) at Ganjimutt and a second IT SEZ near Mangalore University. A third IT SEZ is being proposed at Ganjimutt. Another IT SEZ of 2 million square feet (180,000 m²) is under construction at Thumbe by the BA group. This will include a business centre, convention centre, mall and helipad facility. [cite news| url = http://www.hindu.com/2006/08/31/stories/2006083118290300.htm| date = 2006-08-31| title = Two more plans for EPIP cleared| accessdate = 2006-09-29| publisher= The Hindu] Companies such as TCS, Wipro, KEL and Infosys are expanding their workforce in Mangalore. Thus, with rapid strides in the nearby future Mangalore is well on its course to be one of the most promising future Metropolis of India. Is expected to house a number of well-known IT Companies in the near future, thereby providing a serious alternative to Bangalore for aspiring IT professionals.

Core Sector

The major industries in Mangalore are Mangalore Chemicals and Fertilizers Ltd. (MCF), Kudremukh Iron Ore Company Ltd. (KIOCL), Mangalore Refinery and Petrochemicals Ltd. (MRPL), BASF, ELF GAS. The Yeyyadi Industrial area also harbours several industries. [cite web
url=http://www.ourkarnataka.com/states/mangalore.htm
title= Mangalore, The Land of Temples and More
accessdate= 2008-01-19
publisher=OurKarnataka.Com,Inc.]

The Oil and Natural Gas Corporation ONGC plans to invest over Rs. 35,000 crore in a new 15 million tonne refinery, petrochemical plant and power and LNG plants at the Mangalore Special Economic Zone. This will be the first Petroleum, Chemicals, Petrochemicals Investment Region (PCPIR) of the country. [cite news| url = http://www.hindu.com/2006/09/20/stories/2006092006341700.htm| date = 2006-09-19| title = ONGC's huge outlay for Mangalore SEZ| accessdate = 2006-09-29| publisher= The Hindu] .

Mangalore is home to the automobile leaf spring industry. In 1950 the Canara Workshops Ltd started production under the brand name Canara Springs, and in 1976 Lamina Suspension Products Ltd started production under the brand name Lamina. Thereafter, various small-scale manufacturers have setup in the industrial area at Baikampady to produce leaf springs. Over the period there has been a lot of consolidation because of some of the smaller units shutting down. There are currently six or seven units, producing about 1,000 metric tonnes of leaf springs per month. They cater almost entirely to the replacement or after market of South India.

Banking and finance

Two of the nineteen banks nationalised during the first half of the 20th century were established in Mangalore: Canara Bank, founded in 1906 by Late Shri Ammembal Subba Rao Pai, and Vijaya Bank, founded in 1931 by Late Shri A B Shetty. Karnataka Bank, founded in Mangalore in 1924, was one of the largest banks not taken over by the Government. In addition to these, two banks were established in nearby towns. Corporation Bank was founded in Udupi by Late Khan Bahadur Haji Abdulla Haji Kasim Saheb Bahadur in 1906, and Syndicate Bank was co-founded in Manipal by Dr. T M A Pai, Sri Upendra Ananth Pai, and the Mangalorean Sri V S Kudva in 1924.

These banks are considered quality institutions across the country – the national character taken on with nationalisation has been combined with the culture and quality of service inculcated by the founders. Before nationalisation, these banks were stewarded by very efficient and competent teams of managers, predominantly Mangaloreans. During this tremendous growth phase, these banks spawned a whole generation of bankers from Mangalore across these firms from the top to bottom. A large proportion of the Konkani, Bunt and brahmin community from Mangalore were at one point employed by these banks. While Karnataka Bank and Corporation Bank are still head quartered in Mangalore, Vijaya Bank and Canara Bank are head quartered in Bangalore and Syndicate Bank is head quartered in Manipal. Even to date, a large proportion of employees at all levels in these banks are of Mangalorean origin.

The Mangalore Stock Exchange (MgSE) was incorporated on 31 July, 1984 as a public limited company. The company was granted recognition as a stock exchange on September 9, 1985. [cite web |url=http://www.surfindia.com/finance/mangalore-stock-exchange.html |title= Mangalore Stock Exchange (MgSE) |accessdate= 2008-02-21 |publisher="SurfIndia" (A premier directory on India)] It was de-recognised by the SEBI on 31 August 2004. [cite news
url =http://finance.indiainfo.com/news/2004/09/01/0109sebi.html
title =SEBI derecognises Mangalore Stock Exchange
date = 2004-09-01
accessdate = 2008-02-22
publisher = India Info] cite web
url =http://web.sebi.gov.in/satorders/mgstock.html
title =Appeal No.158 of 2004
accessdate =2008-02-22
publisher = SEBI] Appeals by the Stock Exchange to overrule this order have been subsequently rejected on 2 November 2005cite web
url =http://web.sebi.gov.in/satorders/mangalore.html
title =Appeal No.158 of 2004
accessdate =2008-02-22
publisher = SEBI] and 4 October 2006.

Rerefrences