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Centre urges states and industry bodies to enhance ITI and skills training revamp

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In Short:

The government plans to invest Rs 60,000 crore over five years to upgrade industrial training institutes (ITIs) through a new scheme announced in the Union Budget 2024-25. This initiative aims to provide skills training in sectors like construction, green energy, textiles, and automobiles for two million youth via 1,000 revamped ITIs. States will oversee trained instructors, while industry will help design courses and provide equipment. The plan includes creating 200 hub ITIs with short-term courses linked to 800 spoke ITIs. This redesign aims to enhance course relevance, boost enrollment, and improve the quality of training for trainers.


Upgrading ITIs for a skilled future

The Government’s Bold Move: Upgrading ITIs

The Indian government is stepping up to the plate with a substantial push to modernize its **Industrial Training Institutes (ITIs)**. This initiative comes in light of the new scheme introduced in the **Union Budget 2024-25**, which is designed to elevate skill training and ensure the future workforce is equipped for modern challenges.

A Significant Investment in Youth

Sources from the **Ministry of Skill Development and Entrepreneurship (MSDE)** revealed that they are gearing up to consult with various states and industry representatives. The aim? To finalize a groundbreaking scheme that anticipates an investment of **Rs 60,000 crore** over the next five years! The goal is clear: impart skills to **two million youth** through the revamping of **1,000 ITIs**.

What Sectors Are in Focus?

Key sectors identified for this initiative include:

  • Construction
  • Green Energy
  • Textiles and Garments
  • Advanced Manufacturing
  • Heavy Engineering
  • Automobiles
  • Process Industry
  • Electronics
  • Telecom

With a focus on rigorous training programs, the initiative aims to cultivate a robust workforce that meets industry demands head-on.

Roles and Responsibilities

Under this scheme, states will take charge of ensuring properly trained instructors are in place. Financial support from the Centre will be directly linked to how well states manage to recruit these instructors.

Meanwhile, the industry will play a crucial role in shaping the curriculum and providing the necessary trainers and equipment. This collaboration will be monitored closely to ensure effective implementation.

Consultations for a Seamless Roll-Out

“These consultations are key to fine-tuning the scheme,” noted one source. The aim is to optimize funding, stimulate state and industry engagement, and develop clear guidelines for a smooth launch of this ambitious scheme.

A Dual Approach: Hub and Spoke ITIs

The plan includes creating **200 hub ITIs** and **800 spoke ITIs**, selected through a competitive process. Hub ITIs will offer short-term courses tailored to meet industry needs, while spoke ITIs will ensure the necessary infrastructure is in place, linking directly to their hub counterparts.

Enhancing Course Relevance

The government strongly believes that redesigning courses to align with industry needs will not only enhance their attractiveness but also drive higher enrollment rates, paving the way for an outcome-driven implementation strategy.

Supporting ITI Trainers

Additionally, the scheme will bolster the capacity of **five National Skill Training Institutes**, which are instrumental in training ITI instructors. Aimed at providing pre-service and in-service training, it will extend support to **50,000 individuals**.

Investment Breakdown

From the projected **Rs 60,000 crore** investment, the Centre will contribute **Rs 30,000 crore** as grant-in-aid, while state governments will allocate **Rs 20,000 crore** for training initiatives. The industry is expected to invest **Rs 10,000 crore** to enhance infrastructure.

Historically, funding through various schemes was insufficient to cover the essential upgrades for ITIs. This new initiative aims to close that gap, ensuring they can keep pace with burgeoning demands for infrastructure and modern trades.

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