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About Rajasthan
Rajasthan today is rapidly emerging as one of the most attractive investment destinations in India. Doing business in Rajasthan has become an attractive and exciting proposition. Wide-ranging economic reforms, availability of low cost labour, access to cheap and a variety of raw material and intermediate products, a large domestic market, a mature financial sector and political stability are some of the factors which have increased investment flows.

Investment Potential :
Rajasthan has vast potential for investment mainly in its Six thrust Sectors :


Gems and Jewellry Tourism (Art & Culture)
Handicrafts & Handloom Industrial Infrastructure

The Total Exports from Rajasthan in the year 1991-92 was appox. Rs. 300 Crore which has grown manifold to Rs. 3500 Crore in the year 1997-98 which has touched new heights in 1998-99 by exceeding Rs. 4000 crore. The main items exported were ReadyMade Garments, Food/Agro Products, Engineering, Electronics, Textile, Carpet & Durries, Plastic & Linoleums, Gems & Jewellery, Diamond, chemical & Allied, Handicrafts, Marble and Granite, Wool & Woollens Handloom and Leather. Even now total capacity utilization is appox. 35% which itself offers great opportunities for investors.

Rajasthan being third largest state of India has immense potential of devlopment mainly in Power sector, Infrastructure and Industries. It has approx. 531 large and medium scale industries having total investment of approx. Rs. 12577 Crores. Government policies and various Organisations has also helped Small Scale Industries to grow manifold to 1,93,820 with total investment Rs.2333 crores. Inland Container depots and air cargo facilities at multiple location has further helped increasing trade from Rajasthan. Well organized and equipped industrial areas, support from various government organizations, favourable government policies, better infrastruture and working environment adds value to it.

Advantages of Rajasthan

  • One of the first states to move on the Central Government's new liberalization policies, Rajasthan has a very investor-friendly climate.
  • Well administered State government.
  • Abundance of agricultural and mineral resources, including significant deposits of lignite for potential power generation.
  • Rajasthan has set up a Bureau of Industrial Promotion which acts as an interface between industrialists and various Government departments to save the industrialists the "fret and sweat involved in getting through the formalities and procedures related to establishing an industrial unit in the State."
  • Congenial labor relations and an acceptable level of work culture.
  • 4,500 sq. km. in the Alwar District of Rajasthan lies in what is considered the "National Capital Region" centered around New Delhi. This area is being developed as an industrial growth center with considerable central government investment in infrastructural facilities.

Dominant Industries :
  • Textiles
  • Engineering (metallurgy and mechanical products)
  • Non-metallic minerals (cement, marble, granite)
  • Chemical industries
Investment Encourages/Deters :
  • Numerous incentives for new industries, especially in the infrastructure sector
  • Widespread roads and developing rail and telecommunications network
  • State bureaucracy's increasing desire to attract investment
  • Poor performance in policy implementation and uncooperative local administration
  • High rate of illiteracy, over-burdened public education and poor healthcare coverage
  • Scarcity of highly-skilled workers and relocation
State-identified Priority Sectors :
  • Agro-based Industries
  • Leather
  • Wool
  • Hotels
  • Ceramics
  • Tourism
  • Minerals
Project Profile :
Top 10 projects: (1 crore = Rs 10 million = approx. US $250,000)
  1. Irrigation: Government of Rajasthan, Rs 2,857 crore investment
  2. Thermal Power: Hindustan Vidyut Corp., Rs. 2,450 crore investment
  3. Thermal Power: RPG Dholpur Power, Rs 2,424.63 crore investment
  4. Thermal Power: West Power, Rs 2,406 crore investment
  5. Thermal Power: West Power, Rs 2,406 crore investment Nuclear
  6. Power: Nuclear Power Corp., Rs 2,107 crore investment
  7. Thermal Power: Rajasthan SEB, Rs 1,600 crore investment
  8. Thermal Power: Rajasthan SEB, Rs 1,597 crore investment
  9. Fertilizers: Chambal Fertilisers, Rs 1,256 crore investment
  10. Solar Energy: Rajasthan Energy Dev., Rs 980 crore investment
Infrastructure :
  • Power deficit: 27.05%
  • Domestic airports: 4
  • International airports: 0
  • Ports: n.a.
Resources :
  • Agricultural Base: The State is a leading producer of mustard, rapeseed, soybean, barley, maize, wheat and cotton.
  • Minerals: Rajasthan has a near monopoly in India with respect to zinc, copper, gypsum, soapstone, asbestos, silver, feldspar, ball clay and rock phosphate. It also has rich deposits of limestone, mica, calcite, silica, vermiculite, marble and granite.
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