2023, Vol. 6, Issue 1

Rajasthan has been a state of natural conflicts. Due to adverse geographical location, desert, lack of water and lack of infrastructure, there has been little development of large scale industries. Therefore, small and cottage industries, rural industries and handicraft industries have been of special importance in the economy of Rajasthan. Small and cottage industries hold special importance for Rajasthan in terms of employment generation, state income, best utilization of local resources, industrial decentralization, promotion of local talent, export promotion and requirement of less capital and technical knowledge.

Being a developing state, MSMEs are the backbone of Rajasthan's economy. After the independence, the central and state governments have paid a lot of attention to the development of these industries. The scope of MSMEs is very wide as the economic life of a large number of people depends on these industries only. This paper attempted to explain the role and importance of the MSMEs sector in the Rajasthan economy, and the efforts made by the central and state government to develop and strengthen the MSMEs sector to its continuous contribution to the development of state.