Rajasthan Logistics Interest Subvention
By Department of Industries and Commerce, Government of Rajasthan
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Quick Answer
The Rajasthan government offers a 7% interest subvention on term loans for 7 years to enterprises investing in critical logistics infrastructure, with annual ceilings up to ₹2.5 crore.
About this subsidy
The Interest Subvention for Logistics Infrastructure is a key incentive under the Rajasthan Investment Promotion Scheme 2024, designed to bolster the state's logistics capabilities. This program aims to reduce the financial burden on enterprises that commit capital to developing essential logistics infrastructure such as warehouses, cold storage, multi-modal logistics parks (MMLPs), inland container depots (ICDs), and air freight stations. By providing a 7% interest subvention on term loans, the scheme encourages new investments and expansion in this crucial sector, which is vital for enhancing trade, improving supply chain efficiency, and driving economic growth within Rajasthan. The incentive is particularly targeted at fostering a robust ecosystem for goods movement and storage, benefiting various industries from manufacturing to agriculture by making logistics more cost-effective and efficient.
The subvention is provided for a period of seven years, helping enterprises manage their debt servicing costs over a significant operational phase. This long-term support mechanism is critical for large-scale infrastructure projects that typically have extended gestation periods and high initial investment requirements. The scheme acknowledges the diverse needs of logistics infrastructure by setting different annual ceilings for various facility types, ensuring that the support is tailored and impactful. Through this initiative, the Government of Rajasthan seeks to position the state as a prominent logistics hub, attracting further investment and creating employment opportunities.
Eligibility
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Subsidy providers
The Industries & Commerce Department is a Government of Rajasthan department based in Jaipur. It runs the Vishwakarma Yuva Udyami Protsahan Yojana, a continuous subsidy for enterprises owned by young entrepreneurs, and it sets out further MSME subsidies and incentives in the…
Learn moreBenefits & Funding
- Amount
- ₹50L – ₹2.5Cr
What You Get
This program offers a 7% interest subvention on term loans for a period of 7 years. This significant financial relief is designed to reduce the cost of capital for businesses investing in crucial logistics infrastructure. The subvention is subject to annual ceilings, which vary based on the type of infrastructure project. For facilities like Warehouses, Silos, Cold Storage, ICDs, CFSs, Air Freight Stations, Cargo Terminals, and Trucker Parks, the annual ceiling for interest subvention is ₹50 lakh. For Multi-Modal Logistics Parks (MMLPs), the annual ceiling is ₹2.5 crore, and for Integrated Logistics Parks (ILPs), it is ₹1.5 crore. This tiered approach ensures that support is commensurate with the scale and strategic importance of the logistics investment. The subvention effectively lowers the effective interest rate paid by the enterprise, making large-scale logistics projects more viable and sustainable.
- Disbursement
- Reimbursement
- Duration
- 85 months
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications for the Interest Subvention for Logistics Infrastructure are processed by the relevant department of the Government of Rajasthan under the framework of the Rajasthan Investment Promotion Scheme 2024. The selection process involves a thorough scrutiny of the submitted application and supporting documents to ensure compliance with all eligibility criteria, including the nature of investment, the source of the term loan, and the financial health of the enterprise. A dedicated committee or authority will review the project details to verify its alignment with the scheme's objectives and the defined logistics infrastructure categories. The sanction of the subvention is based on the verified fulfillment of all policy conditions, aimed at ensuring transparent and fair allocation of incentives to deserving enterprises.
Application Process
- 1
Review Guidelines
Understand the eligibility criteria and requirements outlined in the Rajasthan Investment Promotion Scheme 2024 policy document.
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How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
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Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
What is the Interest Subvention for Logistics Infrastructure?
It is an incentive provided by the Government of Rajasthan under the Rajasthan Investment Promotion Scheme 2024. It offers a 7% interest subvention on term loans taken by enterprises for investing in specific logistics infrastructure for a period of 7 years.
Which types of logistics infrastructure are eligible for this subvention?
Eligible infrastructure includes Warehouses, Silos, Cold Storage, Multi-Modal Logistics Parks (MMLP), Integrated Logistics Parks (ILP), Inland Container Depots (ICD), Container Freight Stations (CFS), Air Freight Stations, Cargo Terminals, and Trucker Parks.
What are the annual ceilings for the interest subvention?
The annual ceiling for interest subvention ranges from ₹50 lakh for Warehouse, Silo, Cold Storage, ICD, CFS, Air Freight Station, Cargo Terminal, and Trucker Park; ₹2.5 crore for MMLP; and ₹1.5 crore for ILP.
For how long will the subvention be provided?
The 7% interest subvention shall be allowed for a period of 7 years from the date the term loan is taken.
Which financial institutions are recognized for term loans under this scheme?
Term loans must be taken from Financial Institutions or State Financial Institutions or Banks recognised by the Reserve Bank of India.
Is this program open to all types of businesses?
Yes, it is open to 'Enterprises' making investments in the specified logistics infrastructure. This generally includes various forms of registered companies and proprietorships in Rajasthan.
Sources
Data on this page is compiled from official program and provider references.
