Rajasthan Cabinet approves new industrial development policy with focus on talent economy

The Rajasthan Cabinet on Friday, May 22, 2026, approved a new industrial development policy focusing on talent economy and private sector engagement to create a world-class industrial infrastructure in the state. The cabinet also made decisions on energy production, water conservation and retirees’ welfare.

Prime Minister Bhajan Lal Sharma chaired the Cabinet meeting. Minister of Industry and Commerce Rajyavardhan Singh Rathore told reporters after the meeting that the new policy will provide incentives to micro, small and medium enterprises, single region single product and export sector.

“The state government will make special efforts to promote industries based on advanced technologies such as semiconductors, data centres, global capacity centers and defense manufacturing,” Colonel Rathore said. He added that the main target of the policy is to grow the state’s economy to $350 billion by 2028-29.

Colonel Rathore said the policy will focus on research and development and technology transfer to increase investment and domestic production, besides promoting sectors such as gems and jewellery, textiles, tourism, handicrafts, agro-processing, dairy and logistics.

Minister of Water Resources Suresh Singh Rawat and Minister of State for Energy Heera Lal Nagar gave details of the Cabinet’s decisions on Vande Ganga water conservation campaign, land allocation for renewable energy projects and simplification of pension rules for government employees.

Mr. Rawat said that the Vande Ganga campaign will begin with cleaning of canals and water channels, cleanliness drive and volunteer labor camps will be carried out in water bodies, rivers, ponds and water catchment structures. The ‘Jal Gaurav Samman’ awards will be given on June 5, World Environment Day, when the campaign concludes.

Mr. Nagar stated that the State government’s efficient power management resulted in the supply of 16,580 MW of electricity against the peak demand of 16,487 MW in a single day on May 20, with the available electricity exceeding the demand. He said that water and electricity supply will be constantly monitored during the severe heat of the summer months.