Dr. Bhimrao Ambedkar Rajasthan Dalit, Adivasi Udyam Protsahan Yojana, 2022

The State Government is committed to ensuring effective participation of weaker and deprived sections in the State's overall industrial development. A Scheduled Caste and Scheduled Tribe Sub-Plan budget provision already exists to raise the living standards of these communities through development programmes and welfare schemes. In the Annual Budget 2022–23, the Government announced this scheme to secure the contribution and effective role of SC/ST communities in the growth of the State's non-agricultural sectors — manufacturing, service, and trade. Under the scheme, target groups receive guidance, demonstration, handholding support, and various forms of assistance and facilities for establishing, expanding, diversifying, and modernising projects related to industry, service, and trading activities.

The scheme's core objectives are to:

• •Create local-level employment opportunities and curb migration to cities.
• •Reduce dependence on the agriculture sector.
• •Support educated and trained youth in establishing and running enterprises.
• •Ensure effective participation and contribution of the target group in the State's manufacturing, service, and commercial development.

Applicant eligibility

Applicants belonging to the Scheduled Caste / Scheduled Tribe category who:

• •Are original domiciles of Rajasthan.
• •Are above 18 years of age at the time of application.
• •Are not employed in Central or State Government service, or in Central/State institutions.
• •For partnership and LLP firms, cooperative societies, and companies — the entity must have 51% or more ownership held by persons of the SC/ST category.
• •Have not previously defaulted on repayment of a loan taken from any bank / financial institution.
• •Are not mentally unsound or declared insolvent.

Activities covered

Setting up new enterprises, and expansion / diversification / modernisation of existing enterprises, in manufacturing, service, and trade — covering all lawful activities in these sectors, other than:

• •Activities restricted by the Central / State Government.
• •Agriculture and allied activities (animal husbandry, poultry farming, fisheries, horticulture, etc.).

Institutional applicants — additional conditions

• •Self-Help Groups: Must be constituted under the directives / rules / regulations / scheme of a State Government department; all members must be Rajasthan residents from an SC/ST family; not declared a defaulter; at least 6 months old with a minimum 1 year of continuous, active operation and adequate savings / transaction / loan records; complete details available on the State Government portal.
• •Cooperative societies / registered entities: Regularly audited and engaged in production activity; all promoters must be Rajasthan residents with 51%+ SC/ST ownership.
• •Companies (registered as Private Ltd. / Producer Company): All promoters must be Rajasthan residents with 51%+ SC/ST ownership.
• •Partnership firms (registered with the Registrar of Firms, Rajasthan): All partners must be Rajasthan residents with 51%+ SC/ST ownership.

A. Land Allotment (RIICO Industrial Areas)

• •Plots allotted to SC/ST entrepreneurs at a reserved rate, instead of the current auction-based allotment system.
• •Maximum plot area limit increased from 2,000 sqm to 4,000 sqm.
• •Reservation limit in plot allotment increased from 5% to 6%.
• •Full interest waiver on instalments of the land allotment amount.
• •RIICO / Rajasthan Venture Capital Fund may participate up to 10%, maximum ₹25 lakh per unit, in select industries established under this scheme.

B. Additional Benefits under RIPS-2019

If the interest subsidy or capital subsidy benefit has not been availed under any other clause of RIPS, the applicant may instead choose:

• •Interest subsidy: 5% on term loans (from RBI-recognised banks / financial institutions) for investment in plant, machinery, or equipment — payable for 5 years, capped at ₹25 lakh per year; or
• •Capital subsidy: 15% on investment in plant, machinery, or equipment — capped at ₹2 crore.

C. Loan Facility & Project Cost Limits

Loans are composite (term loan + working capital) or term loan only. Working capital is capped at 40% of total project cost for manufacturing / service, and 90% for trade. Loan tenure ranges from 3 to 7 years; up to 6 months' repayment moratorium may be granted based on the enterprise's nature / profitability and the borrower's repayment capacity.

D. Margin Money Assistance

25% of project cost or ₹25 lakh, whichever is lower. Kept as a short-term deposit with the lending institution — no interest is paid to the State Government on this amount, nor charged to the borrower on the equivalent loan amount. Adjusted into the borrower's loan account after 3 years of continuous, non-defaulting operation (verified by departmental inspection).

E. Interest Subsidy

The interest subsidy amount can never exceed the actual interest paid by the borrower. Payable for a maximum of 5 years from the date of first loan disbursement, reimbursed quarterly online after the borrower pays the interest to the lender.

F. CGTMSE Guarantee Fee & Collateral

• •CGTMSE guarantee fee (under the Credit Guarantee Trust Fund for Micro and Small Enterprises, managed by SIDBI) is borne entirely by the State Government.
• •No collateral security is required for loans up to ₹10 lakh, per RBI guidelines.
• •CGTMSE guarantee cover is available for eligible projects; for other projects, collateral requirements are at the lending bank's discretion.

The scheme runs entirely on an online application portal, which auto-generates a project report and viability analysis from the information submitted — so most "documents" here are data points and eligibility proofs uploaded / entered directly on the portal, rather than a separate physical checklist.

Step 1 — Online Application

Applications must be submitted online, following the procedure set out in the scheme's implementation guidelines. Monthly camps are organised at fixed dates to help applicants understand the scheme and complete the online application; experts may be invited to these camps to assist with project report preparation.

Step 2 — Screening (Task Force Committee)

Rejected applications (for projects up to ₹10 lakh) may be appealed to the General Manager, District Industries & Commerce Centre, whose decision is final.

District-Level Task Force Committee composition

Quorum requires a minimum of 4 members, including one bank representative. The committee meets at least once a month and selects beneficiaries through an interview assessing educational / technical qualification, inherited / experiential knowledge, interest in the enterprise, entrepreneurial aptitude, likelihood of success, market potential, and repayment intent.

Step 3 — Forwarding to Lending Bank & Disbursement

• •Selected applications are forwarded to the concerned bank / financial institution branch.
• •On sanction, CGTMSE guarantee cover is issued from funds deposited in advance with SIDBI by the State Government.
• •On disbursement of the loan's first instalment, margin money assistance is transferred online to the lending institution via a dedicated escrow account.
• •Interest subsidy is reimbursed quarterly, online, once the borrower has paid interest to the bank.

Implementation, Monitoring & Amendment

• •The scheme is implemented by the Department of Industries & Commerce; district-level implementation is through the District Industries & Commerce Centres.
• •State-level monitoring and supervision rests with the Commissioner, Industries & Commerce.
• •Power to amend / modify the scheme, issue implementation guidelines, and provide periodic guidance rests with the Commissioner, Industries & Commerce (MSME).
• •Interpretation, implementation, and evaluation authority for any point in the scheme rests with the Commissioner, Industries & Commerce, Rajasthan.