MSME Council

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Rajasthan MSME Policy 2024

Overview

The Rajasthan MSME Policy 2024 is a forward-thinking initiative designed to strengthen the state’s vibrant ecosystem of Micro, Small, and Medium Enterprises (MSMEs). This policy offers a wide range of incentives—from financial support and technical upgrades to market access and regulatory relief—aimed at making MSMEs globally competitive and regionally sustainable.

Summary
Incentive Area Details
SGST Reimbursement
75% for 10 years
Capital Subsidy
Up to ₹1.5 Cr (Agro/Food), ₹40 Lakh (Plastic alternatives)
Interest Subvention
Base + Additional (up to 8.5% total for small loans)
Environmental Support
Up to ₹1 Cr, clean machinery subsidy, 7‑year electrical duty waiver
Regulatory Relief
Stamp Duty, Mandi Fees, Land Conversion, inspection exemptions
Skill & Tech Upgradation
Training, technology tools, certifications, trade fairs
Market Access
E-procurement, export support, international fair reimbursements
Clusters & Infrastructure
Common Facility Centers, industrial parks
ZED Certification
Targeting 9,000 MSMEs
Digital & Administrative Ease
Raj Udyog Mitra portal for simplified approvals
Central Funding Support
₹114.8 Cr via RAMP program
MSME Growth
~500K new registrations in 2024
Policy Highlights & Key Benefits

1. Investment & Tax Incentives

  • 75% State GST (SGST) reimbursement for 10 years from the date of commercial production.

  • Capital Subsidies:

    • 50% of capital investment (up to ₹40 lakh) for plastic-alternative manufacturing units.

    • 50% of capital investment (up to ₹1.5 crore) for agro & food processing units.

    • Additional 5% subsidy for enterprises owned by women, SC/ST, or located in Tribal Sub‑Plan areas.

2. Interest Support

  • Base interest subvention:

    • 6% for loans up to ₹5 crore.

    • 4% for ₹5–10 crore.

    • 3% for ₹10–50 crore.

  • Additional slabs-based subvention:

    • +2% for loans up to ₹5 crore.

    • +1% for ₹5–10 crore.

    • +0.5% for ₹10–50 crore.

3. Green Growth & Environmental Support

  • 50% cost reimbursement (up to ₹1 crore) for environmental infrastructure (e.g., pollution control, energy audit).

  • 10% subsidy on clean production machinery.

  • 100% electricity duty exemption for 7 years on captive renewable energy usage.

  • 50% waiver on consent fees under the Rajasthan Green Rating System.

4. Subsidies & Exemptions

  • 100% exemption or reimbursement on:

    • Stamp Duty

    • Land Conversion Charges

    • Mandi Fees

  • No conversion application required for micro/small industries on khatedari land (up to 1 acre) or food processing units on up to 10 hectares.

5. Skill, Technology & Market Support

  • Training Incentives:

    • 50% cost reimbursement for employee training (up to 6 months).

    • Monthly caps: ₹20,000 (micro), ₹30,000 (small), ₹40,000 (medium).

  • Technology Upgradation:

    • 50% reimbursement (up to ₹5 lakh) for tools/software from premier institutions (IITs, IISc, NIDs, CSIR, etc.).

  • Certification Support:

    • 50% reimbursement (up to ₹3 lakh) for costs related to BIS, ISO, FSSAI, ZED, or patents.

  • Trade Fair Participation:

    • Up to ₹1.5 lakh towards stall rent and travel; travel reimbursed for 2 persons.

  • Digitization Assistance:

    • 75% of cost (up to ₹50,000) for hardware like POS systems.

    • 75% of a single e-commerce platform fee.

6. Market Access & Export Promotion

  • MSMEs can bid directly on e-procurement platform E‑Bazaar for orders up to ₹10 lakh each year.

  • Policy reserves 96 items for exclusive procurement from local MSMEs and mandates 80% local sourcing for other items.

  • SC/ST entrepreneurs receive 4% procurement reservation.

  • “Mission Niryatak Bano” initiative helps MSMEs get IECs and participate in export outreach via REPC and district bodies.

  • Up to ₹1 lakh reimbursement (or 50%) for international trade fair participation.

7. Cluster and Infrastructure Development

  • Promotion of cluster development: infrastructure, raw-material access, and Common Facility Centers.

  • Support for industrial infrastructure in non-RIICO areas, including new industrial parks by private developers.

Quality & Certification

The policy aims to help as many as 9,000 MSMEs achieve ZED (Zero Defect Zero Effect) certification, boosting quality, efficiency, and sustainability.

Broader Support & Implementation
  • Raj Udyog Mitra offers regulatory relaxation: no prior approvals or state inspections for MSMEs for 5 years, with a simplified application process

  • RAMP Program Funding: The Centre has approved ₹114.80 crore under the RAMP initiative to bolster Rajasthan’s MSME capabilities.

  • The state has successfully registered around 5 lakh new MSME units in 2024, a testament to its investment-friendly climate and effective policies.

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