GLASS AND CERAMICS

India Landscape
Rajasthan Landscape
Policies & Incentives
EODB
Opportunities

INDIA LANDSCAPE

National Strategic Priority

Projected to reach USD 10.5 bn by 2026 from USD 3.7 bn in 2020 registering a CAGR of 15%

Sector Performance at the National Level

USD 4 bn export value of glassware and ceramic products from India in FY 2023 and a record high of USD 3.4 mn in FY 2022

Rajasthan Landscape

Sector Performance:

One of the largest producers of Bone-China tableware
Sole producer of minerals like Garnet, Lead Concentrates, Selenite Concentrates, Siliceous Earth and Wollastonite
Currently there are 500 glass and ceramic units operating successfully in the state

Rajasthan: Value Proposition for Glass and Ceramics Investors

Silica: found in abundance, silica is crucial for the production of glass and semiconductor
Ball Clay: Rajasthan accounts for 71% of India's reserves, which is used in ceramics, pottery, and refractory materials.
Feldspar: Used in ceramics and glass, is abundant in Ajmer
Talc: Talc deposits are present in abundance in mines situated near village Amertia (Aaspur), Kadula (Dungarpur) and Bharkundi, serving as a raw material for talcum powder, ceramics, and paint
Dolomite: The requirement of crude Dolomite and Calcite are met from mines situated near Village Rapcha and Salumber, and are used in steel, glass, and fertilizer production
Gypsum: Used as raw material in manufacturing molds for ceramic industry. Rajasthan alone accounts for 82% resources of gypsum in the country

Bhiwadi and Neemrana in Alwar district are home to major glass and ceramic tile industries
Dedicated industrial zones at Soniyana (Chittorgarh), Ghiloth (Neemrana) and Gajner (Bikaner)
Bikaner is known as the ceramic insulator industry hub in Rajasthan
500+ ceramic units covering glass and mineral grinding units are operating successfully in Rajasthan
Growth Centre at Khara near Bikaner is home to around 40 SME's producing ceramic products; mainly insulators and sanitary-ware

All major strategic locations in the State are well connected to domestic and export markets through multiple modes. The State is served by the 3rd largest network of national highways with 20 major National Highways. Further, over 58% of State's area within Delhi Mumbai Industrial Corridor (DMIC). Additionally, the State has the 3rd largest rail network in India. Out of the 44 Bharat Mala economic corridors, 8 pass through Rajasthan.

Rajasthan is actively developing its skilled workforce in the Mines, Minerals, & Ceramics sector, with a sharp focus on comprehensive skill development initiatives

Policies & Incentives

Rajasthan Investment Promotion Scheme (RIPS) 2022

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Asset Creation Incentives (ACI)

Capital subsidy up to 28% over 10 years, OR
Turnover linked incentives (TLI) up to 2% for 10 years, OR
Investment subsidy (net SGST reimbursement) up to 75% for 7 years

Exemptions

100% exemption on electricity duty for 7 years
100% stamp duty and conversion charge exemption
100% exemption in land tax

Special Incentives

Employment booster up to 15% on chosen ACI

Additional Incentives

Green incentives, freight subsidy, cluster incentives, training and skilling incentive

10% thrust booster on top of ACI chosen, OR
5% interest subsidy for 5 years, OR
20% anchor booster on top of ACI chosen to first 3 units in a region / sector
100% banking, wheeling, and transmission charges waived off / reimbursed for captive power plants set up by anchor enterprises
Policy allows phasing of investment without loss in benefits

Customized Packages

Additional flexibility for investors to design own ACI mix through customized packages for investment over INR 500 crore. In case of investments greater than INR 1000 crore and greater than 800 employment generation, the State reserves the right to grant customization on a higher NPV of the Asset Creation Incentive up to up to 20% of the NPV of the chosen Asset Creation Incentive as part of the manufacturing/ services standard package on a case-to-case basis.

Rajasthan Micro, Small and Medium Enterprises (Facilitation of Establishment and Operation) Act, 2019

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MSMEs are exempted from approvals and inspections under any Rajasthan Law for 5 years.

Ease of Doing Business

RajNivesh portal provides a single point, online interface and a time-bound clearance system by acting as a one-stop information / registration / approval / tracking centre for clearances & approvals
The platform integrates 120+ services across 15 departments, emphasizing the state's commitment to the implementation of investor-friendly policies that enhance ease of doing business and promote sustainable development

100% FDI allowed under automatic route in the sector