The Ministry of Skill Development and Entrepreneurship has approved investment plans worth ₹1,194.92 crore for upgrading five Industrial Training Institute (ITI) clusters across Maharashtra, Odisha and Jammu & Kashmir under the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme.
The approvals, announced on October 16, 2026, will support the modernisation of 25 government ITIs through partnerships with major industrial enterprises. The initiative aims to strengthen vocational education, introduce industry-oriented training programmes and improve employment opportunities for young people.
The decisions were taken during the 6th National Steering Committee meeting of PM-SETU, chaired by Debashree Mukherjee, Secretary, Ministry of Skill Development and Entrepreneurship (MSDE).
The latest approvals bring the cumulative investment sanctioned under PM-SETU to ₹3,687 crore, marking further progress in the government’s efforts to transform traditional vocational training institutions into modern, industry-linked centres of technical education.
Five industry partners will participate in the newly approved projects: Tata Steel Foundation, BVG India, Belrise Industries, Eagle Infra India and Inderdeep Infra India.
PM-SETU Strengthens Industry-Linked Vocational Training
PM-SETU is a major government initiative designed to improve the quality and relevance of vocational education by modernising government Industrial Training Institutes and strengthening collaboration with industry.
The scheme was launched on October 4, 2025, with a total financial outlay of ₹60,000 crore. The funding framework comprises ₹30,000 crore from the Central Government, ₹20,000 crore from State Governments and ₹10,000 crore from participating industries.
The programme aims to upgrade 1,000 government ITIs through an industry-led Hub-and-Spoke model. This includes 200 Hub ITIs and 800 Spoke ITIs, allowing groups of training institutions to share resources, industry partnerships and advanced training infrastructure.
Under the model, a designated Hub ITI serves as the principal institution within a cluster, while nearby Spoke ITIs participate in coordinated infrastructure development and training activities.
The scheme provides for modern workshops, upgraded machinery, smart classrooms, digital learning resources and courses aligned with emerging industrial requirements.
Industry participation forms an important component of PM-SETU. Companies collaborate with State Governments and training institutions to identify relevant skills, improve training facilities and strengthen employment-oriented education.
The latest approvals will extend this approach to five additional clusters, each comprising one Hub ITI and four Spoke ITIs.
Odisha: ₹240.50 Crore Approved for Kataka ITI Cluster
The National Steering Committee approved a ₹240.50 crore Strategic Investment Plan for the Kataka ITI Cluster in Odisha, with Tata Steel Foundation serving as the industry partner.
Government ITI Kataka will function as the Hub institution, while Madhusudan Government ITI Choudwar, Government ITI Paradeep, Government ITI Jajpur and Government ITI Dhenkanal will operate as Spoke institutions.
The project will strengthen technical training infrastructure across the participating institutions and introduce new-age programmes aligned with emerging industrial requirements.
Tata Steel Foundation’s involvement will support stronger engagement between vocational training institutions and industry, helping students develop practical skills relevant to employment opportunities.
Odisha has an established industrial base encompassing steel, mining, metals, manufacturing and associated engineering activities. The modernisation of the Kataka cluster will contribute to developing a skilled workforce capable of meeting the evolving requirements of these sectors.
The project also provides an opportunity to improve technical education across multiple locations by combining institutional resources and industry expertise.
Maharashtra: ₹241 Crore Approved for Pune ITI Cluster
The Committee approved a ₹241 crore investment plan for the Pune ITI Cluster in Maharashtra, with BVG India Limited participating in consortium with BVG Foundation.
Government ITI Aundh, Pune, will serve as the Hub institution. The Spoke institutions will comprise Government ITI Aundh (Women), Government ITI Pimpri Chinchwad, Government ITI Khed (Rajgurunagar) and Government ITI Mulshi.
The project will modernise training infrastructure and support the introduction of courses that respond to changing industrial and technological requirements.
Pune is an important centre for automotive manufacturing, engineering, industrial machinery, information technology and advanced manufacturing. These industries require a workforce equipped with practical technical knowledge and the ability to work with modern production systems.
Strengthening the Pune ITI cluster will support vocational training opportunities for students preparing to enter these industries.
The inclusion of Government ITI Aundh (Women) also provides an opportunity to strengthen technical training infrastructure for women and support their participation in industry-oriented skill development.
The collaboration between BVG India, BVG Foundation and participating ITIs will help integrate industry requirements into the development of training facilities and programmes.
Maharashtra: ₹238.01 Crore Approved for Chhatrapati Sambhajinagar Cluster
The National Steering Committee approved another ₹238.01 crore Strategic Investment Plan for the Chhatrapati Sambhajinagar ITI Cluster, with Belrise Industries Limited serving as the industry partner.
Government ITI Chhatrapati Sambhajinagar will function as the Hub institution, supported by Government ITI Paithan, Government ITI Khultabad, Government ITI Phulambri and Government ITI Gangapur as Spoke institutions.
The project will support infrastructure modernisation and strengthen training capabilities across the participating institutes.
Chhatrapati Sambhajinagar is an important manufacturing centre in Maharashtra, with industrial activities spanning automotive components, engineering, pharmaceuticals and other manufacturing sectors.
The partnership with Belrise Industries will provide opportunities to align vocational training more closely with the requirements of industrial employers.
Modernised workshops and industry-oriented courses will help students develop practical competencies relevant to manufacturing and technical occupations.
The Hub-and-Spoke arrangement will also extend the benefits of infrastructure improvement beyond the principal training institution to surrounding areas, supporting wider access to technical education.
Jammu & Kashmir: ₹240 Crore Approved for Jammu ITI Cluster
The National Steering Committee approved a ₹240 crore investment plan for the Jammu ITI Cluster in the Union Territory of Jammu & Kashmir, with Eagle Infra India Limited participating as the industry partner.
Government ITI Jammu will serve as the Hub institution, while Government ITI R.S. Pura, Government ITI Nowshera, Government ITI Samba and Government ITI Kathua will function as Spoke institutions.
The investment will support the modernisation of vocational training facilities and strengthen the delivery of industry-linked technical education across the region.
The Jammu region has opportunities for industrial development across manufacturing, construction, infrastructure, logistics and associated technical services.
Improving ITI infrastructure can help young people acquire practical skills relevant to these activities while expanding access to modern vocational education.
The involvement of an industry partner will also support closer engagement between training institutions and employers, contributing to the development of programmes that reflect practical workforce requirements.
The approval represents an important addition to the skill development infrastructure of Jammu & Kashmir and supports the expansion of employment-oriented training opportunities.
Jammu & Kashmir: ₹235.41 Crore Approved for Srinagar ITI Cluster
The Committee also approved a ₹235.41 crore Strategic Investment Plan for the Srinagar ITI Cluster, with Inderdeep Infra India Limited serving as the industry partner.
Government ITI Srinagar will function as the Hub institution, while Government ITI Ganderbal, Government ITI Kangan, Government ITI Budgam and Government ITI Charar-i-Sharief will participate as Spoke institutions.
The project will strengthen training infrastructure and support the development of industry-aligned vocational programmes across the Kashmir Valley.
Improved technical education facilities can help students acquire skills relevant to construction, infrastructure development, electrical systems, mechanical maintenance and other technical occupations.
The cluster model will allow participating institutes to benefit from coordinated modernisation and closer collaboration with industry.
The investment will also support the government’s efforts to expand access to employment-oriented training in Jammu & Kashmir, particularly by strengthening institutions serving students outside major urban centres.
Together, the Jammu and Srinagar clusters account for ₹475.41 crore in newly approved investment, providing substantial support for technical education and workforce development in the Union Territory.
Jammu & Kashmir’s Progress in Skill Development Receives Recognition
During the National Steering Committee meeting, MSDE Secretary Debashree Mukherjee highlighted the importance of improving vocational training quality and increasing industry participation in the PM-SETU programme.
She encouraged participating clusters to work towards ISO certification and incorporate at least one trade or competency area aligned with WorldSkills standards in their approved implementation plans.
ISO certification can help training institutions strengthen quality management practices, while WorldSkills-aligned competencies provide opportunities to improve training standards in occupations assessed through international skills competitions.
Mukherjee also appreciated the progress achieved by Jammu & Kashmir in implementing the scheme, highlighting the Union Territory’s commitment to strengthening vocational education and expanding opportunities for young people.
The two newly approved clusters in Jammu and Srinagar will contribute to these efforts by improving training facilities across ten government ITIs.
The investments will support the development of technical skills relevant to emerging employment opportunities while strengthening the region’s vocational training ecosystem.
PM-SETU to Upgrade 1,000 Government ITIs Nationwide
The newly approved projects form part of the larger PM-SETU programme, which aims to transform 1,000 government ITIs into modern, industry-responsive training institutions.
The scheme follows a Hub-and-Spoke model in which 200 Hub ITIs will coordinate infrastructure and training improvements with 800 Spoke ITIs.
This arrangement is intended to improve the use of training resources while strengthening collaboration between institutions and industry partners.
The programme also allows participating industry-led Special Purpose Vehicles to recommend improvements in training curricula, infrastructure, teaching methods and industry exposure.
These arrangements are designed to make vocational education more responsive to changes in manufacturing technologies, workplace requirements and emerging occupations.
India’s industrial sector is increasingly adopting automation, digital manufacturing systems, electric mobility technologies and advanced equipment. Technical training institutions must continually update their facilities and programmes to prepare students for these developments.
PM-SETU seeks to address this requirement by combining public investment with industry participation and institutional modernisation.
Government Trains 3,744 ITI Instructors Under PM-SETU
In addition to approving new ITI clusters, the National Steering Committee reviewed the progress of the Training of Trainers programme under Component II of PM-SETU.
According to the Ministry of Skill Development and Entrepreneurship, 3,744 trainers had completed training under the programme through National Skill Training Institutes (NSTIs) as of October 2026.
The initiative aims to develop a pool of instructors equipped with contemporary technical knowledge and modern teaching competencies.
Teacher training is particularly important because the introduction of advanced industrial equipment and emerging technology courses requires instructors who understand both the technologies and appropriate methods for teaching them.
Under Component II, the government plans to strengthen five National Skill Training Institutes located in Bhubaneswar, Chennai, Hyderabad, Kanpur and Ludhiana.
The programme includes the establishment of sector-specific National Centres of Excellence focused on advanced instructor training, curriculum development and specialised technical education.
International partnerships are also envisaged to support the development of advanced training capabilities.
By improving instructor competencies alongside institutional infrastructure, PM-SETU aims to strengthen the overall quality of vocational education.
Industry Partnerships to Improve Employment-Oriented Training
Industry participation is central to the implementation of PM-SETU because vocational education must remain aligned with the practical requirements of employers.
The five newly approved clusters will involve Tata Steel Foundation, BVG India, Belrise Industries, Eagle Infra India and Inderdeep Infra India in the modernisation of government training institutions.
These partnerships will support infrastructure development, industry-aligned courses, trainer capacity building and closer engagement between training institutions and businesses.
The involvement of companies in vocational education can provide valuable insights into the skills required for industrial operations, equipment maintenance, production processes and emerging occupations.
Such collaboration also creates opportunities to strengthen practical training and improve students’ familiarity with workplace technologies.
By integrating industry expertise into vocational education, PM-SETU seeks to improve the relevance of training programmes and strengthen employment outcomes for graduates.
The initiative complements India’s broader efforts to expand domestic manufacturing capabilities and develop a workforce capable of supporting industrial growth.
PM-SETU Investment Approvals Reach ₹3,687 Crore
With the latest approval of ₹1,194.92 crore for five ITI clusters, the cumulative investment approved under PM-SETU has reached approximately ₹3,687 crore.
The programme’s implementation involves coordination between the Central Government, State Governments, participating institutions and industry partners.
Each approved Strategic Investment Plan provides a framework for upgrading the corresponding cluster through infrastructure improvements, training modernisation and industry collaboration.
The latest approvals cover 25 government ITIs across Maharashtra, Odisha and Jammu & Kashmir, extending the programme’s reach across major industrial centres and regions seeking stronger vocational education infrastructure.
The development also reflects the government’s emphasis on strengthening the relationship between technical education and employment.
As India expands manufacturing, infrastructure development and emerging technology industries, demand for skilled technicians and trained industrial workers is expected to remain important.
Modernising ITIs will contribute to meeting these requirements by providing young people with access to updated facilities and training programmes.
PM-SETU Advances India’s Skilled Workforce Development
The approval of ₹1,194.92 crore for five ITI clusters represents another important milestone in the implementation of PM-SETU.
The investments will strengthen vocational training infrastructure across Maharashtra, Odisha and Jammu & Kashmir while expanding the participation of industry partners in technical education.
The development of modern workshops, industry-oriented training programmes and improved instructor capabilities will support the preparation of young people for evolving employment opportunities.
The significant investment in Jammu and Srinagar will also contribute to strengthening technical education in Jammu & Kashmir, where modern vocational training institutions can play an important role in workforce development.
With cumulative approved investments reaching ₹3,687 crore and 3,744 trainers already trained, PM-SETU is advancing India’s efforts to build a modern, industry-linked vocational education system. The programme will support skilled workforce development, strengthen domestic manufacturing capabilities and contribute to the country’s long-term economic growth under Make in India and Viksit Bharat 2047.
References
- Ministry of Skill Development and Entrepreneurship, Government of India — October 16, 2026. National Steering Committee Approves ₹1,194.92 Crore Investment Under PM-SETU for Five ITI Clusters Across Maharashtra, Odisha and Jammu & Kashmir. Press Information Bureau.
https://www.pib.gov.in/PressReleseDetailm.aspx?PRID=2324330 - Ministry of Information and Broadcasting, Government of India — October 3, 2026. PM-SETU: One Year of Transforming India’s ITIs. Press Information Bureau.
https://www.pib.gov.in/PressNoteDetails.aspx?NoteId=160303 - Ministry of Skill Development and Entrepreneurship, Government of India — July 22, 2026. Expansion and Modernisation of ITI Ecosystem. Press Information Bureau.
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2287682 - Ministry of Skill Development and Entrepreneurship, Government of India — September 8, 2026. PM-SETU Strengthens Industry-Led ITI Transformation; 5th National Steering Committee Approves SIPs Worth ₹735.70 Crore. Press Information Bureau.
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2307775 - Ministry of Skill Development and Entrepreneurship, Government of India — December 17, 2025. Hub and Spoke Model Under PM-SETU. Press Information Bureau.
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2205175
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