How to test location-aware features on real devices 

To set up an automated test for locational services, you will first need to enable location mocking within your app. To enable location mocking, simply perform the following steps:

1. Add ACCESS_MOCK_LOCATION permission in your android manifest file.

< uses-permission android:name="android.permission.ACCESS_MOCK_LOCATION" />

http://blog.testmunk.com/testing-location-mocking-on-android-devices-calabash-open-source/