Rajasthan Investment Promotion Scheme (RIPS) 2024

.

🔹 1. Policy Overview

• Launch Date: 8 October 2024
• Valid Till: 31 March 2029 or until a new policy is announced
• Vision: To make Rajasthan a leading investment destination by fostering inclusive, green, and export-led growth
• Target Economy: $350 Billion (nearly double current size)

🔹 2. Core Focus Areas

1. Green Growth
2. Export Promotion
3. Capability Development

🔹 3. Scope & Eligibility

• Applies to all new investments made post-policy launch
• Enterprises must commence commercial production during policy period or within 2 years of Entitlement Certificate
• Incentives apply only to Rajasthan-based investments and employment
• FPOs & FPCs with ≥ 50 farmer members are eligible
• Ineligible sectors listed in Annexure 9.2

🔹 4. Incentive Structure – 3 Tiers

Tier-1: Standard Incentives

Applicable across sectors:

• Manufacturing
• Services
• Sunrise Sectors
• MSMEs
• Startups
• Industrial Infrastructure
• R&D, GCCs, Test Labs

a. Asset Creation Incentives (Choose One):

• Capital Subsidy
• Turnover Linked Incentive (TLI)
• Investment Subsidy (SGST Reimbursement)

b. Standard Cap Limits (Illustrative):

• Manufacturing Capital Subsidy:
  • Yr 1–3: ₹50 Cr | Yr 4–7: ₹65 Cr | Yr 8–10: ₹80 Cr
• Services:
  • Capital/TLI/SGST subsidy: ₹10–20 Cr annual caps
• Startups & MSMEs:
  • Annual Incentive Cap: ₹5 Cr

Tier-2: Add-On Incentives (Booster Based)

Aligned to state’s priorities:

✅ Green Growth Incentives:

• 50% cost reimbursement for environmental infrastructure (up to ₹10 Cr)
• 100% electricity duty exemption (7 years)
• 50% consent fee waiver (Green Rating industries)
• 10% clean tech machinery cost reimbursement
• Special incentives for R&D centers with sustainability initiatives

✅ Export Promotion:

• 25% freight reimbursement (max ₹25 lakhs per annum)
• First-time exporters eligible for Freight Subsidy
• MSMEs & Manufacturing units covered

✅ Capability Development:

• Training Reimbursement:
  • ₹20k (Micro), ₹30k (Small), ₹40k (Medium) per worker/month for 6 months
  • OR up to ₹1L per employee/year for 20 employees
• IPR Assistance:
  • 50–75% reimbursement up to ₹1 Cr (MSME) or ₹5 Cr (R&D) for patents, trademarks, GI tags
• Support for setting up incubation centres (Govt: ₹2.5 Cr, Private: ₹1.5 Cr)

Tier-3: Customized Incentive Packages

For mega, large, and strategic projects:

• Silver, Gold, Platinum packages
• Tailored incentive structures based on:
  • Investment size
  • Employment generated
  • Sector and location

🔹 6. Sector-Specific Highlights

🏭 Manufacturing:

• Min investment: ₹50 Cr
• Anchor Booster (20%) for thrust sectors
• Land Cost: 25% upfront + 10 annual installments
• Power Incentive: 5% SGST refund or 5% VAT reduction on PNG

💼 Services:

• Min investment: ₹25 Cr (₹10 Cr for tourism)
• Special Top-up: 20% Anchor Booster
• 25% Office Rent Subsidy (up to ₹1 Cr/year for 5 yrs)

🚀 Sunrise Sectors:

• Semiconductor, Defense, Aerospace, Data Centers, GCCs
• First 3 units get 25% top-up (Sunrise Booster)
• No additional incentives beyond SGST cap

🧪 R&D / GCC / Test Labs:

• Min investment: ₹5 Cr
• 50% land/floor lease cost reimbursement (up to ₹1 Cr)
• ₹10,000 per person/month training support for 12 months
• ₹5 Cr IPR reimbursement

🏢 Industrial Infrastructure:

• 20–50% capital subsidy for warehouses, cold storage, trucker parks, etc.
• Tracking, logistics software, fire safety reimbursed
• Interest subvention up to ₹2.5 Cr for logistics infra

📈 MSMEs:

• Categorized as Micro, Small, Medium
• Green incentives, training reimbursement, IPR assistance
• Special support for women, SC/ST, Tribal areas

🌱 Startups:

• Must meet "Q-Rate Bronze" criteria
• ₹5 Cr annual cap
• IPR up to ₹5 L, training incentives, lease rent subsidy

🔹 7. Incentive Enhancements

• Employment Booster:
  • 10–15% top-up on SGST/Capital subsidy for 1.5x–2.5x job threshold
• Freight Subsidy:
  • 25% for export units through ICDs/air cargo (₹20–25 L limit)
• Production Linked Incentive (PLI):
  • ₹1.5/litre ethanol for supply to OMCs, capped at 100% of plant & machinery investment

🔹 8. Administrative Framework

• Implementation Authority: Department of Industries & Commerce
• Entitlement Certificate: Mandatory to avail any incentive
• Phasing, Telescoping, Expansion Provisions clearly defined
• Policy Review: Periodic and based on stakeholder feedback