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KNOW INDIA
Rajasthan
Investment And Industrial Policies
Investment Incentives
Major Industries
Social Infrastructure

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INDIAN STATE : RAJASTHAN

General Information

Rajasthan is located in Northwestern India and has boundaries with the States of Punjab, Haryana, Uttar Pradesh, Madhya Pradesh, and Gujarat as well as a long international boundary with Pakistan.

Rajasthan excels itself in a variety of fields such as industry, power, agriculture, handicrafts and law and order. Rajasthan successfully fulfills the locational requirements of domestic as well as international companies. Its immediacy to the northern and western markets of India, immeasurable mineral resources, the trouble free labor environment and the investor friendly nature of the state government makes it a key choice for business investments. The State has taken numerous policy initiatives to sustain and strengthen an investment environment in which the private sector can flourish. These initiatives seek to promote private sector involvement in infrastructure development across various sectors. Rajasthan attracts a large number of Multinational Companies to set up projects in the State.

Fact File

Geographical Area 3.42 (lakh sq. km)
Capital Jaipur
Population (2001 Census) In lakhs 565.07
Gross state Domestic product (GSDP) at current prices in 2004-2005 (as of Feb 2006)

108734 (Rs. Crore)

US$ 23.5687 bn

Gross state Domestic product (GSDP) at constant price (1993-94) in 2004-2005 (as of Feb 2006)

65781(Rs.Crore)

US$ 14.2584 bn

Net State Domestic Product at Current Prices (2004-05)

95298 (Rs.Crore)

US$ 20.6563 bn

Net State Domestic Product at Constant Prices (1993-1994) for(2004-05)

58390 (Rs.Crore)

US$ 12.6597 bn

Per Capita Income at current prices (2004-2005)

Rs 15673

US$ 339.756

Percentage of State Population to All India Population 5.49
Total Investments (as on Jan 2006)

53,600 (Rs. Crore)

US$ 11.6294 bn

Literacy Rate (2001 Census)

  • Male literacy
  • Female
60.41%

75.70%
43.85%
Principal languages Hindi, Rajasthani and English

Source: CSO Estimates
Monthly review of Gujarat economy

Climate

  • Summer (March to June) -Warm
  • Monsoon (July to August) -Warm
  • Winter (November to February) - Cool and Pleasant

Area

342,239 sq. km.

Advantage Rajasthan

Rajasthan is one of the most preferred destinations for investments in major sectors. The state is an obvious choice for agro and mineral based industries owing to easy availability of raw materials. There is vast potential for food processing, solvent extraction and associated industries like cold storage in Rajasthan. The large stock of cattle is an advantage for leather, wool, dairy and meat based units. Other thriving industries in the state are textiles, tourism, automobiles, consumer goods and information technology.

Rajasthan has attracted a large number of Multinational Companies to set up projects in the State. Industrial houses of India and multi-nationals alike have set up ventures in fields as diverse as Information Technology, Electronics, Textiles, Chemicals, Agro-processing, Cement, Granite, and Engineering. Multinational companies like Ericsson, Corning, GE Capital, Ford, Bosch & Lomb, Mico-Bousch, Electrolux, Gillette etc. had chosen the State of Rajasthan for setting up their projects

The leading advantages of the state are:

  • Rajasthan is geographically the largest state in the country
  • Rajasthan has formulated Investor friendly policies
  • The state has remarkably stable political environment
  • The state is blessed with adequate power availability
  • Access to booming markets
  • Rajasthan has a pool of skilled workforce
  • The state has excellent Law & Order situation
  • Peaceful and Congenial work environment
  • Developed infrastructure, enough land & water
  • Comparatively less loss of man days due to labor problem
  • Pro-active officials and "Single Window Clearance"
  • Proximity to National Capital
  • International Airport at Jaipur (domestic Airport is being upgraded)
  • Well known on the world tourist map.
  • Second Largest deposits of non-ferrous minerals in India
  • Monopoly in Marbles, Sand Stone
  • Second Largest deposit of Lime Stone
  • Huge Deposits of Ceramic raw materials etc.

Economic Infrastructure

Roads

All parts of Rajasthan are well connected by road, with a road length of 1,63,952 kilometer in 2004-05. The state forms a corridor between the northern and southwestern states. It provides passage to and from the ports of Gujarat to the landlocked states in the north of the country. Thirteen national highways pass through the state and these highways connect the state to major cities, ports, and industrial centres such as Delhi, Indore, Ahmedabad, Kandla, etc. The Golden Quadrilateral and the North-south and East-West corridors of National Highway Development project will benefit Rajasthan by the provision of 1200-kilometer length of near expressway standard four/six laned roads in the state.

In Rajasthan, work on renovation and improvement of the statewide road network has been taken up in the earnest. A Road Development Fund Act 2004 has been put in place in the state. The government has created a revenue stream to gather money for the non- lapsable road development fund by levy of a cess on diesel and petrol. This money was leveraged to access finances to the tune of Rs. 1500 crore and through a joint venture RIDCOR, set up in partnership with IL&FS, is augmenting the National Highway Programme by converting 1000 kilometer of state highways to world class express ways under the Mega Highway Project-I, to be completed by December 2007. In the next phase, under the Mega Highways Project-II, another 1000 kilometer of expressways shall be developed at an estimated cost of Rs. 1325 crore. BOT projects have become operational and 29 projects worth Rs. 366 crore have been completed and 5 projects worth Rs. 93 crore are underway.

A Chief Minister's Road Development Program has been launched at a cost of Rs. 2300 crore. The components of the program are as follows:

  • The Rs. 1500 crore Mega Highways Project
  • Construction of 16 ROBs at a cost of Rs. 100 crore
  • Construction of cement concrete roads in habitation portions of state highways and major district roads at accost of Rs144 crore
  • Upgradation of 4500 kilometers of WBM Roads to bitumen roads at a cost of Rs.412 crore
  • Construction of 1000 kilometers of new roads to link places of tourist and religious importance at a cost of Rs. 120 crore
  • Development of one road in each district as a model road

 

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