The following procedure solved my issue:
Add the following script
buildscript {
repositories {
mavenCentral()
}
dependencies {
classpath 'com.android.tools.build:gradle:0.6.+'
}
}
apply plugin: 'android-library'
repositories {
mavenCentral()
}
android {
compileSdkVersion 18
buildToolsVersion "18.1.0"
defaultConfig {
minSdkVersion 10
targetSdkVersion 18
}
sourceSets {
main {
manifest.srcFile 'AndroidManifest.xml'
java.srcDirs = ['src']
resources.srcDirs = ['src']
aidl.srcDirs = ['src']
renderscript.srcDirs = ['src']
res.srcDirs = ['res']
assets.srcDirs = ['assets']
}
}
}
include ':yourModuleName'
in your settings.gradle