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Gramada Municipality is situated in northwestern Bulgaria, in the central part of Vidin District. It is at a distance of 200 km from Sofia and 30 km from Vidin. It is close to the Koula border control point and Vidin port.

The growing of cereals and fodder and industrial crops is traditional in the region. Food processing complex - processing of meat, milk, and canning of fruit and vegetables. Every September the traditional Gramada Fair is held in the center of the Municipality. There is a trend for the municipal market-place to expand and become a local commodity exchange.
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