In a milestone development for India’s vocational ecosystem, the National Steering Committee (NSC) has officially approved the first-ever Strategic Investment Plan (SIP) under the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme.
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The groundbreaking approval is for the Visakhapatnam Industrial Training Institute (ITI) Cluster in Andhra Pradesh, establishing the state as the nation’s pioneer in operationalizing industry-led ITI modernization.
The decision was formalized during the 3rd NSC meeting held at Kaushal Bhawan, New Delhi.
The session was chaired by Debashree Mukherjee, Secretary of the Ministry of Skill Development and Entrepreneurship (MSDE).
The Visakhapatnam ITI Cluster Blueprint
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The approved ₹200.21-crore plan was strategically formulated and submitted by ArcelorMittal Nippon Steel India (AM/NS India), which will serve as the Anchor Industry Partner (AIP).
To reinforce academic and instructional excellence, the National Institute of Advanced Manufacturing Technology (NAMTECH) has also signed on as the formal academic partner for this comprehensive modernization project.
This project intends to systematically reshape local ITIs into agile, industry-managed, and outcome-oriented institutions.
The program designs training to correspond with modern workforce parameters.
Through this approach, it aims to give students specialized skills in advanced manufacturing and emerging technological sectors.
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PM-Setu Scheme: A Nationwide Framework for ‘Viksit Bharat 2047’
The Central Government launched PM-SETU as an ambitious flagship scheme with a total budget outlay of ₹60,000 crore spread over a five-year timeline.
The initiative operates via a cluster-based ‘Hub-and-Spoke’ mechanism, intending to aggressively overhaul 1,000 government ITIs.
Under this layout, 200 high-tech “Hub” ITIs will act as core training centers supporting 800 connected “Spoke” institutes.
The governance of these upgraded clusters will shift toward Special Purpose Vehicles (SPVs).
In these vehicles, assigned industry partners will maintain a 51% majority ownership stake to ensure practical, job-market alignment.
Preparations are scaling fast across India, with 32 States and Union Territories successfully forming their respective State Steering Committees.
Meanwhile, 12 states have already floated Requests for Proposals (RFPs) to onboard further corporate anchors.
Officials expect the successful rollout in Andhra Pradesh to serve as the definitive execution blueprint for subsequent state-industry integrations nationwide.
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About the Author
Sahiba Sharma
Contributing Writer