The Centre has approved ₹1,237.58 crore worth of Industrial Training Institute (ITI) modernisation projects under the Prime Minister's Scheme for Transforming Existing ITIs (PM-SETU) across Odisha, Gujarat and Telangana. Cleared by the 4th National Steering Committee, the projects aim to strengthen vocational education through industry-led partnerships, upgraded infrastructure and modern training facilities. The initiative marks another significant step towards aligning India's skill development ecosystem with the needs of manufacturing, healthcare, mining and emerging industries while advancing the broader vision of Viksit Bharat 2047.
Transforming India's Vocational Training Ecosystem
PM-SETU is the Centre's flagship vocational education reform programme with an overall outlay of ₹60,000 crore. The scheme seeks to modernise 1,000 government ITIs, upgrade five National Skill Training Institutes (NSTIs) and provide industry-relevant training to nearly 20 lakh youth over five years.
The programme adopts a hub-and-spoke model, where a well-equipped hub ITI serves as the centre for advanced laboratories, faculty development, digital learning and innovation. Surrounding spoke ITIs benefit from shared infrastructure and expertise, extending quality vocational education to students in rural and semi-urban regions.
The initiative addresses longstanding concerns surrounding outdated equipment, inadequate industry participation and weak placement outcomes that have historically affected India's vocational training system.
Latest Approvals Under PM-SETU
The newly approved projects cover strategically important industrial regions where training will be directly linked with local economic activity and employment opportunities.
The approved investment includes:
· Odisha: ₹240.21 crore for the Barbil Cluster, anchored by Jindal Naveen Avasar Limited.
· Gujarat: ₹240.18 crore for the Surat Cluster, led by ArcelorMittal Nippon Steel India.
· Telangana: Three approved clusters, including:
1. Old City Cluster: ₹241.01 crore with Apollo MedSkills Limited as anchor partner.
2. Patancheru Cluster: ₹275.24 crore led by SSISPL.
3. A third Telangana cluster, further expanding the state's vocational training network.
Together, these approvals account for ₹1,237.58 crore, combining government support with significant industry participation.
State-Wise Cluster Development
The hub-and-spoke structure has been tailored to each state's industrial strengths:
· Odisha: Government ITI Barbil will function as the hub, supporting Anandapur, Koira, Karanjia and Barkote ITIs.
· Gujarat: Government ITI Surat will anchor Hajira, Bardoli, Sachin and Surat (Mahila) ITIs.
· Telangana (Old City): Government ITI Old City will support Warangal, Nalgonda Boys, Vikarabad Girls and Panjaguda ITIs.
· Telangana (Patancheru): Government ITI Patancheru will connect with Shadnagar, Marpally, New Nalgonda and Bhongir ITIs.
Each cluster is designed around local industry requirements, ensuring that curriculum, equipment and training standards closely match employer expectations.
Why The Initiative Matters
The programme represents a shift from conventional vocational education towards demand-driven skill development. By involving major industrial partners, PM-SETU aims to create job-ready graduates equipped with practical skills relevant to sectors such as steel, mining, healthcare, manufacturing and services.
For students, the benefits include upgraded workshops, modern laboratories, digital learning content, industry-designed curricula and stronger campus placement opportunities. For employers, the scheme promises to reduce skill shortages, improve workforce productivity and create a steady pipeline of trained professionals.
The initiative is also expected to enhance the attractiveness of ITIs as viable career pathways alongside traditional academic education.
Execution Will Determine Long-Term Success
The approval of ₹1,237.58 crore under PM-SETU represents a significant investment in India's future workforce. By integrating government support with industry expertise, the scheme has the potential to transform vocational education into a powerful engine of employment and industrial growth. However, the true measure of success will depend on timely implementation, modern infrastructure, quality instruction and measurable placement outcomes. If executed effectively, PM-SETU could become a landmark reform that bridges India's skill gap while supporting economic expansion and the vision of a developed India by 2047.
(With agency inputs)
