Introduction: Rajasthan Textile and Apparel Policy 2025
The Rajasthan Textile and Apparel Policy 2025 is a groundbreaking initiative launched by the Government of Rajasthan to revitalize and position the state’s textile industry on the global stage. With a strong foundation in craftsmanship and technical production, this policy integrates sustainability, modern infrastructure, and financial incentives to promote the holistic growth of the sector.
Whether you’re a startup, MSME, or a large-scale enterprise in the textile space, understanding this policy is crucial, especially if you’re aiming to benefit from capital subsidies, turnover-linked incentives, and more.
Why the Rajasthan Textile and Apparel Policy 2025 Matters
Rajasthan has long been recognized for its textile legacy—from handloom artisans in Jaipur to synthetic fabric producers in Bhilwara. The 2025 policy builds on this legacy with a vision to:
- Attract ₹10,000+ crores in investments
- Create over 2 lakh employment opportunities
- Promote green and sustainable manufacturing
- Foster 5 new private textile and apparel parks
- Support technical textiles, footwear, apparel, and accessories
Key Objectives of the Policy
The main goals of this policy include
- Infrastructure & Technological Upgrade: Creating modern industrial ecosystems
- Employment Generation: Especially for women, SC/ST, differently-abled, and transgender workers
- Skill Development: Subsidized training and capacity building
- Eco-Friendly Incentives: Adoption of water-saving and pollution-free manufacturing
- Capital Investment Support: Through fixed capital subsidies and incentives
Capital Subsidy Under the Rajasthan Textile Policy 2025
One of the most powerful attractions for businesses is the Capital Subsidy, available based on investment size (Large, Mega, Ultra Mega) and geographic area (Area Category 1, 2, 3).
Here’s a snapshot:
Project Category | Area Category 1 | Area Category 2 | Area Category 3 |
Large Unit | 13% of EFCI | 17% of EFCI | 20% of EFCI |
Mega Unit | 17% of EFCI | 20% of EFCI | 23% of EFCI |
Ultra Mega Unit | 23% of EFCI | 25% of EFCI | 28% of EFCI |
These incentives are disbursed over 10 years in equal installments, with annual caps of ₹50–₹80 crores depending on the year and unit size.
EFCI = Eligible Fixed Capital Investment
(This includes land, building, machinery, etc.)
Rajasthan Textile Policy 2025 Benefits Explained
Let’s break down the main benefits from a consultant’s perspective:
Asset Creation Incentives
- Investment- or capital-based subsidies (as shown above)
- Turnover-linked incentives (based on net sales)
Top-Ups
- Employment Booster: Up to 15% additional incentives for large job creators
- Anchor Booster: 20% more for setting up in underserved areas
- Green Solution Incentives: 50% reimbursement for eco-friendly technologies
Exemptions
- 100% electricity duty waiver for 7 years
- Up to 75% stamp duty exemption
- 25% freight reimbursement for exports
- Skill Training Subsidy of up to ₹1 lakh per employee
These incentives can total up to 125% of your investment, depending on your category.
Why Businesses Are Seeking Expert Guidance
With so many layers of compliance, eligibility criteria, and documentation, consultancy services for the Rajasthan textile and apparel scheme are in high demand.
Here’s why working with a subsidy consultant makes sense:
- Faster application & approval process
- Accurate DPR preparation aligned with PAC expectations
- Maximizing subsidy limits through bundling top-ups
- Ongoing compliance to avoid disqualification or clawbacks
Final Thoughts
The Rajasthan Textile and Apparel Policy 2025 is a rare opportunity for textile, apparel, leather, and accessory manufacturers to scale with government-backed incentives. But the key lies in understanding the process and applying it smartly.
If you’re planning to invest in Rajasthan or expand your textile operations, now is the right time to act.
