The Rajasthan Cabinet, chaired by Chief Minister Bhajanlal Sharma, on Wednesday approved a series of significant decisions, including the introduction of a Bill to protect the properties and tenancy rights of permanent residents in disturbed areas, and the clearance of new policies to promote aerospace, defence manufacturing and indigenous semiconductor production in the state.
The decisions were taken at a Cabinet meeting held at the Chief Minister’s Office and were later briefed to the media by Industries and Commerce Minister Col. Rajyavardhan Rathore, Parliamentary Affairs Minister Jogaram Patel, and Food and Civil Supplies Minister Sumit Godara.
Bill to protect properties in disturbed areas
The Cabinet approved the draft of The Rajasthan Prohibition of Transfer of Immovable Property and Provision for Protection of Tenants from Eviction from Premises in Disturbed Areas Bill, 2026. The proposed legislation aims to safeguard the properties of permanent residents and protect tenants’ rights in areas declared disturbed due to communal tension or violence.
Explaining the rationale behind the Bill, Parliamentary Affairs Minister Jogaram Patel said that demographic imbalance and communal unrest often disrupt public order and social harmony. During riots or mob violence, permanent residents in such areas are frequently compelled to sell their properties at distress prices.
Under the proposed law, once an area is declared disturbed, any transfer of immovable property without prior permission of the competent authority will be considered invalid and void. Property transfers will be allowed only after obtaining official approval. Violations of the provisions will constitute cognisable and non-bailable offences, punishable with imprisonment ranging from three to five years along with a fine.
Patel said that once enacted, the Bill would ensure protection of property and tenancy rights in disturbed areas while helping preserve community harmony and the social fabric. The Bill will be tabled in the upcoming session of the State Assembly.
Approval of Rajasthan Aerospace and Defence Policy
Industries and Commerce Minister Col. Rajyavardhan Rathore announced that the Cabinet has approved the Rajasthan Aerospace and Defence Policy, aimed at developing the state into a major hub for aerospace and defence manufacturing and services.
The policy focuses on fostering an ecosystem for MSMEs, startups and innovation-led enterprises. It seeks to encourage the establishment of manufacturing units, equipment and component manufacturers, suppliers, precision engineering firms, and maintenance, repair and overhaul (MRO) facilities in the aerospace and defence sectors.
Under the policy, manufacturing projects with fixed capital investment between ₹50 crore and ₹300 crore will be classified as large projects, ₹300 crore to ₹1,000 crore as mega projects, and investments above ₹1,000 crore as ultra-mega projects. For the service sector, investments of ₹25 crore to ₹100 crore will be considered large, ₹100 crore to ₹250 crore as mega, and above ₹250 crore as ultra-mega projects.
Eligible enterprises will be offered a choice between investment subsidies through reimbursement of 75 per cent of state taxes for seven years, capital subsidies of 20–28 per cent for manufacturing units and 14–20 per cent for service units distributed over ten years, or turnover-linked incentives ranging from 1.2 to 2 per cent annually for up to ten years. Additional incentives include employment boosters, sunrise boosters for early mega and ultra-mega units, anchor boosters and thrust sector benefits.
The policy also provides flexible land payment options, office space lease rental subsidies, exemptions in electricity duty, mandi fee reimbursements, and concessions in stamp duty and land conversion charges, offering long-term relief to aerospace and defence industries.
Rajasthan Semiconductor Policy approved
The Cabinet also approved the state’s first Rajasthan Semiconductor Policy, 2025, marking a major step towards making Rajasthan a key destination for semiconductor manufacturing, design, packaging and allied electronics.
Col. Rathore said the policy would promote indigenous semiconductor production, attract investors and create high-skilled employment opportunities. The key objectives include attracting anchor investments, developing world-class semiconductor parks, strengthening the fabless design ecosystem, and promoting research, development, technology transfer and skill enhancement.
Special emphasis will be laid on green manufacturing through renewable energy use, water efficiency, recycling and circular economy initiatives within semiconductor parks. Projects approved under the Government of India’s India Semiconductor Mission will receive attractive incentives, including 100 per cent exemption from electricity duty for seven years and significant concessions in stamp duty and land conversion charges.
With these decisions, the Rajasthan government aims to strengthen social harmony while accelerating industrial growth in strategic high-technology sectors, positioning the state as a competitive and future-ready investment destination.
