MSME Subsidy in Rajasthan

Updated on June 19, 2025 02:53:21 PM

The MSME Subsidy in Rajasthan provides a list of incentives to boost the Micro, Small, and Medium Enterprises’ growth under the MSME Policy 2020. MSMEs are a major source of employment, contributors to growth and enhancement of the industrial base of the state. The MSME Subsidy in Rajasthan in terms of financial aid, incentives and loans for a firm to enhance technology, skill and infrastructural development.

Entrepreneurs avail MSME Subsidy in Rajasthan which mainly aims at making the state more favorable for growth of MSME of different types of sectors. The MSME Subsidy in Rajasthan was formulated to at least ensure a definite subsidization in efforts targeting innovation, competitiveness and general productivity within the Micro, Small and Medium Enterprises business environment.

The goals of the MSME Subsidy in Rajasthan offers various incentives to the Micro, Small, and Medium Enterprises in the state to boost economic development. Some of the benefits of MSME Subsidy in Rajasthan are listed below:

1. Financial Assistance: The MSME Subsidy in Rajasthan helps in cutting down cost of capital and operations through incentive schemes.
2. Economic Development: MSME Subsidy in Rajasthan helps in the development of Micro, Small, and Medium enterprises through grants and helps expand the business, promote new employment opportunities and enhance the economy.
3. Regional Growth: The MSME Subsidy in Rajasthan is meant to prompt Micro, Small, and Medium Enterprises for industrialization in less-developed regions to balance the economic difference between urban and rural sectors
4. Encourage Entrepreneurship: The MSME Subsidy in Rajasthan helps avoid the financial challenges for Micro, Small, and Medium Enterprises and promotes start-ups.
5. Create Jobs: The MSME Subsidy in Rajasthan helps to incentivise these enterprises and they are able to expand bringing employment in manufacturing, handicrafts and services sectors.

The MSME Subsidy in Rajasthan provides financial assistance and incentives to Micro, Small, and Medium Enterprises under 9 categories which are listed below:

• Water Conservation Incentives

  Incentive	Details
  Water Audit Reimbursement	50% of cost incurred on water audit by a Government empanelled or approved agency, max Rs 2 lakh.
  Equipment Recommendations	25% of cost of equipment recommended by the auditing authority, up to Rs 20 lakh..
  Wastewater Recycling & Rainwater Harvesting	50% of the cost of equipment purchased for wastewater recycling & rainwater harvesting, up to Rs 7.5 lakh.

• Green Measures

  Incentive	Details
  Zero Liquid Discharge ETP	50% of the amount paid to suppliers for establishing ZLD-based effluent treatment plants, excluding civil work.
  Green Building Measures	50% of the amount paid to suppliers for adopting green building measures for buildings ≥ 2000 sq meters, excluding civil work.
  Reuse and Recycling of Industrial Waste Plant	50% of the amount paid to suppliers, excluding civil work, for establishing a recycling plant, max Rs 50 lakh (one-time assistance).

• Quality Certification Incentives

  Incentive	Details
  Quality Certification	One-time reimbursement of 50% of cost incurred in obtaining quality certification, max Rs 25 lakh.

• Technology Acquisition Incentives

  Incentive	Details
  Advanced Technology	One-time reimbursement of 50% of cost incurred to acquire advanced technology, max Rs 10 lakh.

• Intellectual Property (IP) Incentives

  Sector	Incentive
  IP Creation Incentive	Subsidy up to 75% of the cost of acquiring patents, up to Rs 5 lakh; matching financial assistance for GI tagging & trademark registration.

• Fundraising Incentives

  Incentive	Details
  FundRaising Assistancet	One-time financial assistance of 50% of investment made in raising funds through the SME platform, max Rs 5 lakh.

• Asset Creation Incentives

  Incentive	Incentive
  Investment Subsidy	75% of state tax due and deposited for 7 years from commencement of commercial production.
  Interest Subsidy	Varies based on loan amount for 5 years: - Loan Amount: Rs 1 Crore – Rs 5 Crores: 6% - Loan Amount: Rs 5 Crores – Rs 10 Crores: 4% - Loan Amount: Rs 10 Crores – Rs 50 Crores: 3%

• Employment Generation Subsidy

  Incentive	Details
  Employer Contribution Reimbursement	50% reimbursement of employers’ contribution towards EPF and ESI for 7 years.

• General Exemptions

  Exemption Type	Details
  Electricity Duty, Mandi Fee & Land Taxes	100% exemption for 7 years.
  Stamp Duty	100% exemption in stages as notified by the State.
  Conversion Charges	100% benefits in stages as notified by the State.
  Registration & Inspection Exemption	MSMEs are exempted from registration, approval, inspection under any State law for 3 years.