Start Your Warehouse Business in Rajasthan with RIPS 2024

The Rajasthan Investment Promotion Scheme 2024 (RIPS 2024) offers lucrative subsidies and incentives for entrepreneurs looking to start or expand a warehouse business in Rajasthan. With government-backed support, investors can avail capital subsidies up to ₹15 crore, tax exemptions, and reduced electricity and stamp duty costs.

Rajasthan’s strategic location, strong infrastructure, and logistics-friendly policies make it a top choice for warehousing investments. Whether you’re a new entrepreneur, logistics company, or industrial investor, RIPS 2024 provides the perfect opportunity to build a profitable and sustainable warehousing venture in one of India’s fastest-growing logistics hubs.

Why Rajasthan is Emerging as a Strategic Logistics Hub

Rajasthan is fast becoming a preferred destination for logistics and warehousing projects due to its central location, strong connectivity, and proactive policy framework.

1. Impact of GST and E-commerce Expansion

With the implementation of Goods and Services Tax (GST), businesses now prefer centralized and large-scale warehouses to optimize supply chains. The rapid growth of e-commerce platforms further fuels this demand, driving the need for advanced storage and fulfillment centers.

2. Infrastructure Growth and Connectivity

Massive investments in national highways, expressways, and freight corridors have strengthened Rajasthan’s logistics backbone. These developments make it easier and more cost-effective to expand warehousing operations into Tier-2 and Tier-3 cities.

3. Proactive State Policy Framework

Rajasthan’s government has implemented the Rajasthan State Logistics Policy and RIPS 2024, reinforcing the state’s position as a logistics leader. The state achieved Fast Mover Status in the LEADS 2023 report, proving its operational efficiency among India’s landlocked states.

Fiscal Incentives for Warehousing under RIPS 2024

Under the Rajasthan Investment Promotion Scheme (RIPS) 2024, the warehousing sector is classified under logistics infrastructure, making it eligible for several attractive financial incentives.

Investors can choose one of the two key fiscal benefits for setting up or expanding their warehouse projects:

Capital Subsidy
- 25% subsidy on Eligible Fixed Capital Investment (EFCI)
- Maximum benefit: Up to ₹15 Crore per unit
- Disbursement: Annually over 10 years
Interest Subvention
- 7% interest subsidy on term loans taken from recognized financial institutions
- Maximum benefit: Up to ₹3.5 Crore total (₹0.5 Crore per annum)
- Disbursement: Over 7 years

Eligibility Criteria for RIPS 2024 Warehousing Incentives

To avail benefits under Rajasthan Investment Promotion Scheme (RIPS) 2024, applicants must fulfill the following conditions:

New Projects Only – Incentives are available exclusively for new warehousing units.
Minimum Investment – Must have an Eligible Fixed Capital Investment (EFCI) of at least ₹2 Crore.
WDRA Registration – The unit must be registered with the Warehousing Development and Regulatory Authority (WDRA).
Legal Compliance – Must be a registered business entity (Partnership, LLP, or Private Limited Company) with required local authority approvals.
Approved Location – The warehouse must be situated in an industrial area or a location approved by RIICO (Rajasthan State Industrial Development and Investment Corporation).

Who Can Benefit from Rajasthan’s Warehouse Incentives?

The Rajasthan Investment Promotion Scheme 2024 (RIPS 2024) is designed to support a wide range of participants in the logistics and warehousing ecosystem. The scheme provides financial and operational benefits to both industrial and commercial stakeholders involved in storage, distribution, and logistics management.

1. Agro & Food Industry Players

Farmers, food grain storage operators, and agro-based industries such as rice mills, flour mills, and dal mills can establish modern warehouses for safe and efficient storage.

2. Commercial Traders & Distributors

Wholesale and retail traders, FMCG suppliers, and industrial goods distributors can benefit by setting up large storage facilities to streamline inventory and supply chains.

3. Logistics & Supply Chain Companies

3PL operators, logistics park developers, supply chain firms, and e-commerce fulfillment centers can avail subsidies to expand operations and reduce capital costs.

4. Industrial Manufacturers

Manufacturing units can create in-house warehouses or distribution hubs to enhance their logistics efficiency and reduce transportation costs.

5. Real Estate Investors & Developers

Investors, property developers, and builders can construct commercial warehouses and earn a steady rental income while enjoying government-backed incentives and exemptions.

How KIP Can Help You

At KIP, we specialize in helping entrepreneurs, investors, and businesses unlock the full benefits of government subsidy schemes like the Rajasthan Investment Promotion Scheme 2024 (RIPS 2024).

Our team provides end-to-end consultancy support for establishing or expanding commercial warehousing and logistics projects in Rajasthan.

Our Key Services Include:

Project Feasibility & Viability Reports (SvR): Detailed assessment of your project’s eligibility, cost-benefit analysis, and expected subsidy returns.
Subsidy & Incentive Assistance: Complete guidance on claiming capital or interest subsidies, tax exemptions, and other RIPS 2024 benefits.
Regulatory & Compliance Support: Assistance with WDRA registration, approvals from RIICO and local authorities, and documentation for subsidy disbursement.
Financial Planning & DPR Preparation: Preparation of Detailed Project Reports and financial models for banks, investors, or government submissions.
End-to-End Execution: From project planning to incentive realization, we help ensure smooth execution and maximum fiscal advantage.

Frequently Asked Questions (FAQs)

Q1: What is RIPS 2024?

A Rajasthan government scheme offering subsidies and tax benefits for new investments in logistics and warehousing.

Q2: Who can apply?

New warehouse developers, logistics companies, manufacturers, and investors.

Q3: Minimum investment required?

₹2 crore in Eligible Fixed Capital Investment (EFCI).

Q4: What subsidies are available?

25% capital subsidy (up to ₹15 Cr) or 7% interest subsidy (up to ₹3.5 Cr).

Q5: Any tax exemptions?

Yes—electricity duty, stamp duty, conversion charges, and mandi fee exemptions for 7 years.

Q6: Is WDRA registration needed?

Yes, registration with WDRA is mandatory.

Start Your Warehouse Business in Rajasthan with RIPS 2024

Why Rajasthan is Emerging as a Strategic Logistics Hub

1. Impact of GST and E-commerce Expansion