 "Rajasthan govt aims to boost investment in auto and defence sectors")
The Rajasthan government is aiming to push investment in sectors such as auto, electric vehicle (EV) components, defence and drones, through subsidies under the Rajasthan Investment Promotion Scheme (RIPS) 2024, according to a state industries department official.
The objective of the policy is to incentivise investment in various sectors, and it will offer standard, add-on, and customisable packages of financial and non-financial benefits to eligible enterprises across the state.
“For auto and EV sectors, the state is offering a subsidy of up to 50 per cent, while for defence and drone sectors, the subsidy being offered is up to 45 per cent. The scheme also offers investors to choose between state goods and services tax (SGST) reimbursement, turnover-linked incentives and capital subsidy, which allows companies to maximise incentives based on their business models. With these incentives, Rajasthan will strengthen its position as a prominent destination for investment and boost employment opportunities in these sectors,” the official said.
He added that incentives for 2,351 projects have been approved since October 2024, when RIPS was launched by Chief Minister Bhajan Lal Sharma.
In 2024-25 (FY25), the industries department disbursed its highest-ever incentives worth ₹765 crore under RIPS, approximately a 294 per cent jump from the disbursement of ₹261 crore worth of incentives in FY24.
Suresh Kumar Ola, commissioner, Bureau of Investment Promotion (BIP), said: “By offering higher subsidies under RIPS 2024, the government, under the leadership of the CM, has unlocked new investment opportunities. This will make Rajasthan the preferred destination for sectors such as auto and EV manufacturing, along with defence & drones.”
As many as 40 MoUs worth approximately ₹3,000 crore have already been signed in the auto, EV, defence and drone sectors this year.
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