In order to generate employment opportunities and promote rapid, sustainable and balanced economic growth in Rajasthan, Rajasthan government has issued the policy, “The Rajasthan Investment Promotion Scheme, 2019” (RIPS-2019) to provide benefits to eligible manufacturing and service sector enterprises. A separate post for benefits to service and manufacturing sector enterprises will be updated. In this article, RIPS 2019 Overview and Eligibility is discussed.
The operative period of the scheme is 17/12/2019- 31/03/2026.
Applicability of the scheme:
- The scheme shall be applicable to an enterprise provided that the enterprise shall commence commercial production or operation during the operative period of this scheme (17.12.2019-31.03.2026).
- The scheme shall not be applicable to a unit of enterprise if its commercial production or operation has commenced before the issuance of this order (date: 17.12.2019) or an entitlement certificate has been issued to provide any exemption/ benefit under RIPS-2014 or RIPS-2010 or RIPS-2003.
- Where an enterprise is engaged in eligible activities of both the categories i.e. Manufacturing and Service, it shall have to opt for benefits in any one of the categories. And it will be eligible for availing benefits of the opted category only.
- The investment made and employment generated in Rajasthan only shall be eligible to be counted, wherever required.
- Meaning of Expansion:
means the creation of additional capacity for production of goods or operational capacity for service in the same line of production/operation or through a new product line or a new line of services by an existing enterprise at an existing site or any other site with additional investment which is more than:
- 25% of its existing investment (as per the gross block) at the beginning of the year in which the project for expansion has been initiated at that site or
- Rs. 10 crores
Whichever from 1 and 2 is lower and
There should be 10% increase in employment.