Plug and Play Facility to Boost MSME Growth in Rajasthan

• 24 Jun 2025

Why in News?

Rajasthan's government, through the Rajasthan State Industrial Development and Investment Corporation (RIICO), has announced the early allotment of ready-to-operate industrial spaces at the newly constructed Plug and Play facility in Sitapura Special Economic Zone (SEZ), Jaipur.

The goal is to provide MSMEs with pre-built industrial spaces that are fully equipped with the necessary infrastructure for seamless operations.

Note: To highlight Rajasthan’s industrial growth, the government is organizing the 'Rising Rajasthan: Partnership Conclave 2025' in Jaipur on 11th-12th December. 

Key Points

Plug and Play Facility

• About: 
  • ‘Plug and play’ concept normally refers to ready facilities in terms of building, power-water-sewage connectivity, road connectivity, besides other basic things, including clearances in hand required to start the industry.
• Significance for MSMEs and New Startups: 
  • Affordability: The plug-and-play model allows small investors and MSMEs to access high-quality industrial spaces with minimal initial capital investment.
  • Ease of Access: The facility simplifies the process for new businesses to establish operations quickly without the need to develop infrastructure independently.
  • Support for Growth: The state government aims to foster entrepreneurship, provide opportunities for small industries, and create a self-reliant business environment in Rajasthan and other states.
  • Sustainability: This initiative complements the country’s broader goal of attracting MSMEs, particularly in light manufacturing, to bolster the overall economy.

Special Economic Zones (SEZ)

• About: A SEZ is a duty-free enclave treated as foreign territory for the purpose of trade, tariffs, and operations. Any private/public/joint sector or State Government or its agencies can set up an SEZ. 
  • SEZs were first introduced in India in 2000 under the Foreign Trade Policy, replacing the earlier Export Processing Zones (EPZs). They are governed by the SEZ Act, 2005 and SEZ Rules, 2006. 
• SEZ Types: The area under SEZ includes a wide range of zone types, such as Export Processing Zones (EPZ), Free Zones (FZ), Industrial Estates (IE), Free Trade Zones (FTZ), Free Ports, Urban Enterprise Zones, and others. 
  • Currently, 276 SEZs are operational in India. Total exports from SEZs in 2023-2024 stood at USD 163.69 billion. 
  • E.g., Gujarat International Finance Tec-City (GIFT City, India). 
• Objective:  
  • To create additional economic activity 
  • To boost the export of goods and services 
  • To generate employment 
  • To boost domestic and foreign investments 
  • To develop infrastructure facilities 

Rajasthan State Industrial Development and Investment Corporation (RIICO)

• It is a government enterprise incorporated under the Companies Act, 1956 in 1969 as Rajasthan State Industrial & Mineral Development Corporation (RSIMDC) and bifurcated into Rajasthan State Industrial Development & Investment Corporation Limited (RIICO) and Rajasthan State Mineral Development Corporation (RSMDC) on 1st January 1980.
• RIICO has pioneered the industrialisation of the State of Rajasthan by setting up industrial areas. 
• RIICO also acts as a financial institution by providing loans to large, medium, and small-scale projects.