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It is also known for its production of the famous Ichalkaranji Sarees. The city was founded in 1794 by Shrimant Sardar Nandaji Chaudhari, a minister in the court of Peshwa Bajirao II. The town's name derives from his title "Ichalkaranjikar". It was formerly called "Chalukyanagar" after the Chalukya dynasty that ruled much of Maharashtra and Karnataka between 6th and 12th centuries CE. The word 'chalu' means four (in Marathi) while 'kana' means grain or food grains, so it literally translates to a place where there are four types of grains: wheat, rice, barley and pulses/legumes). This name is derived from an ancient legend about how King Vikramaditya had fed 4 lakh people with just one sack full of grain kept at this place; hence it came to be known as Chalukyanagar ("chalukyanagr").