Rajasthan government has introduced a series of forward-thinking policies and incentives aimed at revitalizing the state’s mining sector.
These initiatives will be prominently showcased at the ‘Rising Rajasthan’ Global Investment Summit 2024, scheduled for December 9-11 in Jaipur.
Central to this new direction are two key policies: The Mineral Policy 2024 and the M-Sand Policy 2024. Both the policies are designed to drive sustainable growth and attract new investments into the sector.
Economic Goals for Mining
The state aims to significantly expand the mining sector’s role in its economy with a target to increase its contribution to Rajasthan’s GDP from the current 3.4% to 5% by the end of the 2030 fiscal year.
By 2047, Rajasthan hopes to see the sector’s share rise to 8%, underscoring the administration’s commitment to long-term growth.
RIPS 2024
To make Rajasthan a more attractive hub for businesses, the state government unveiled the Rajasthan Investment Promotion Scheme (RIPS 2024).
This scheme introduces a range of investor-friendly measures, including simplified procedures, support for technology adoption, and financial incentives for businesses establishing a presence in Rajasthan.
RIPS 2024 has expanded its list of priority sectors to include metals—a category that was previously not prioritized under RIPS 2022.
Enhanced Incentives for the Metals Sector
As part of the focus on metals, RIPS 2024 offers 10% incentive for investors in the metals industry in addition to standard benefits.
This added incentive reflects Rajasthan’s strong commitment to developing a competitive, resource-driven economy.
Boost for Rare Earth Elements Projects
The RIPS 2024 scheme also introduces a 25% bonus incentive for rare earth element projects, categorizing them under “sunrise sectors.”
This move is expected to make Rajasthan a more appealing destination for investments in emerging mineral sectors, further strengthening its position in the national and global mining landscape.
Fighting Illegal Mining with Technology
Addressing the persistent issue of illegal mining, the Rajasthan government is deploying drones to monitor extraction sites across the state.
These drones will allow authorities to cross-reference reported mineral extraction with actual site data.
This technology-driven solution aims to bring greater transparency and accountability to mining operations, helping to curb unauthorized activities and ensure resource conservation.
Clearance Model for Mine Auctions
Another major reform is the adoption of a pre-embedded clearance model for mine auctions.
Under this model, all necessary clearances will be secured before auctioning off mines. It will allow lessees to start operations immediately after winning a bid.
By reducing delays and lowering operational costs, this model aims to make Rajasthan’s mining sector more appealing to investors.
A Wealth of Mineral Resources
With a diverse portfolio of 22 major and 36 minor minerals such as lead, zinc, wollastonite, and gypsum. Rajasthan is one of India’s most mineral-rich states.
In the fiscal year 2024, Rajasthan’s mining revenue exceeded ₹7,460 crore, showcasing the sector’s vast potential.
As reported by egov.eletsonline.com, the Rajasthan mining policies and incentives offer the opportunity to unlock further growth and economic contribution from this rich mineral base.
