- The Government of India has approved Strategic Investment Plans worth ₹1,237.58 crore under the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme and decided to expand the programme beyond its pilot phase to all 200 identified Industrial Training Institute (ITI) clusters across the country.
- The decision marks a major step towards strengthening India’s vocational education ecosystem through industry-led partnerships and modern skill development infrastructure.
PM-SETU Expanded to 200 ITI Clusters
- The decision was taken during the Fourth Meeting of the National Steering Committee (NSC) under the Ministry of Skill Development and Entrepreneurship (MSDE).
- The committee approved the transition of PM-SETU from a pilot initiative to a nationwide programme covering all 200 identified ITI hub-and-spoke clusters.
- Implementation will be undertaken by states and Union Territories based on Industry readiness, Availability of implementation partners and Institutional capacity.
- The expansion is expected to accelerate the modernisation of government ITIs across India.
₹1,237.58 Crore Investment Plans Approved
- The National Steering Committee approved strategic investment plans worth ₹1,237.58 crore for five ITI clusters located in Odisha, Gujarat and Telangana.
- These projects will be implemented through partnerships with leading private sector companies serving as anchor industry partners.
Approved Projects
Odisha
- Government ITI Barbil (Hub)
- Anchor Partner: Jindal Naveen Avasar Limited
- Investment: ₹240.21 crore
Gujarat
- Government ITI Surat (Hub)
- Anchor Partner: ArcelorMittal Nippon Steel India
- Investment: ₹240.18 crore
Telangana
Three clusters received approval:
- Government ITI Old City
- Anchor: Apollo MedSkills Limited
- Investment: ₹241.01 crore
- Government ITI Patancheru
- Anchor: Sri Siddharth Infratech & Services (India) Pvt. Ltd.
- Investment: ₹275.24 crore
- Government ITI Sangareddy
- Anchor: Neuland Foundation
- Investment: ₹240.94 crore
These investment plans were recommended by the respective State Steering Committees before receiving final approval from the National Steering Committee.
What is PM-SETU?
Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) is a flagship skill development initiative aimed at transforming government Industrial Training Institutes into world-class centres of vocational excellence.
The scheme focuses on:
- Modernising ITI infrastructure.
- Industry-driven curriculum.
- Advanced training facilities.
- Improved employability.
- Stronger industry-academia partnerships.
The programme encourages private companies to actively participate in vocational education.
Objectives of PM-SETU
The scheme aims to:
- Upgrade 1,000 Government ITIs.
- Develop 200 hub-and-spoke ITI clusters.
- Improve industry-relevant skill training.
- Increase employability of youth.
- Promote advanced manufacturing skills.
- Strengthen public-private partnerships.
The initiative supports India’s long-term workforce development strategy.
Industry Partners to Play a Key Role
Participating industry partners will contribute by:
- Upgrading training infrastructure.
- Designing industry-oriented curriculum.
- Providing modern equipment.
- Supporting faculty development.
- Facilitating internships.
- Enhancing placement opportunities.
The model aims to bridge the gap between industrial requirements and vocational education.
Implementation Framework Simplified
The National Steering Committee also approved several reforms to improve project implementation.
The revised framework includes:
- Easier project execution.
- Greater industry participation.
- Increased involvement of public sector undertakings.
- Stronger institutional support mechanisms.
These measures are expected to accelerate project rollout across states.
Budgetary Support
PM-SETU was:
- Announced in the Union Budget 2024–25.
- Approved by the Union Cabinet in May 2025.
For FY 2026–27, the scheme has received a budget allocation of ₹6,140.50 crore, reflecting the government’s commitment to strengthening vocational education.
Conclusion
The nationwide expansion of PM-SETU, backed by ₹1,237.58 crore in approved investment plans, represents a significant milestone in India’s skill development journey. By modernising ITIs through industry partnerships and improving vocational education infrastructure, the programme aims to equip millions of young Indians with future-ready skills and strengthen the country’s workforce for sustained economic growth.