Maharashtra has embarked on an ambitious reform of its vocational education ecosystem, approving a large-scale modernisation of Industrial Training Institutes (ITIs) under the Pradhan Mantri Scheme for Skill, Entrepreneurship and Technical Upgradation (PM-Setu). The decision, taken at a recent cabinet meeting chaired by Chief Minister Devendra Fadnavis, seeks to reposition ITIs as dynamic, industry-aligned skill development hubs capable of producing job-ready manpower for emerging sectors.
Skill Development, Employment, Entrepreneurship and Innovation Minister Mangal Prabhat Lodha said the initiative reflects Prime Minister Narendra Modi’s vision of sustainable development through skills and self-reliance. He emphasised that the focus is not merely on infrastructure upgrades but on fundamentally reorienting vocational training towards market-linked, practical education that translates into real employment opportunities.
First phase to cover Nagpur, Pune and Chhatrapati Sambhaji Nagar
Under the first phase of the project, ITIs in Nagpur, Pune and Chhatrapati Sambhaji Nagar (formerly Aurangabad) will be comprehensively modernised. These locations were selected due to their regional importance, existing industrial ecosystems, and potential to serve as training anchors for surrounding districts. Officials indicated that more districts will be brought under the programme in subsequent phases based on performance and demand.
The programme adopts a “hub and spoke” model, under which one central ITI in each cluster will function as a hub, providing advanced infrastructure, specialised courses, and industry partnerships. Four surrounding ITIs will operate as spokes, benefiting from shared resources, upgraded curricula, and coordinated training standards.
In Nagpur, the Government ITI will be developed as the hub, with Girls’ ITI Nagpur, Kamptee, Hingna and Butibori ITIs functioning as spokes. In the Marathwada region, Chhatrapati Sambhaji Nagar ITI will serve as the hub, supporting ITIs in Paithan, Khultabad, Gangapur and Phulambri. In western Maharashtra, Aundh ITI in Pune will anchor the cluster, with Girls’ ITI Aundh, Khed–Rajgurunagar and Mulshi linked to it.
Rs 242-crore investment with industry participation
The total financial outlay for the project stands at Rs 242 crore, to be spent over five years. The funding follows a tripartite cost-sharing model involving the Centre, the Maharashtra government and industry partners. The Centre will contribute 50 per cent of the project cost, the state government 33 per cent, and industry partners the remaining 17 per cent.
For each cluster, the estimated expenditure over five years is approximately Rs 241 crore, including Rs 112 crore from the Centre, Rs 98 crore from the state exchequer, and around Rs 31 crore from industry. Officials said the inclusion of industry funding is crucial to ensure accountability, relevance of training, and sustained engagement with employers.
The state government believes that this collaborative model will help bridge the long-standing mismatch between the skills imparted in ITIs and the requirements of employers, a gap that has historically limited the employability of vocational graduates.
Curriculum overhaul and new courses planned
A key pillar of the reform is a comprehensive overhaul of ITI curricula. Each hub ITI will introduce an average of four new courses aligned with current and future industry demand, while upgrading at least ten existing programmes with modern equipment, updated syllabi and enhanced practical training components.
Spoke ITIs will add two new courses each and upgrade eight existing ones. The emphasis will be on emerging sectors, multi-skill training, and service-oriented courses that offer livelihood opportunities even in regions with limited industrial presence.
Officials said special attention will be given to sectors such as electrical services, electronics, renewable energy maintenance, logistics, healthcare support services, hospitality, and digital skills. Livelihood-based training programmes will also be introduced to support self-employment and micro-entrepreneurship, particularly in semi-urban and rural areas.
Focus on Employability and Entrepreneurship
Minister Lodha said the primary objective of the initiative is to make young people employable in real-world conditions rather than merely certifying them with technical qualifications. “This is about preparing young people for real jobs and real opportunities. Our aim is to ensure that ITI graduates can walk straight into the workforce or start their own ventures with confidence,” he said.
The revamped ITIs are also expected to play a key role in promoting entrepreneurship by offering short-term skill modules, incubation support, and linkages with government schemes and financial institutions. By combining traditional craftsmanship with modern technology and market access, the government hopes to revive India’s legacy of skill-based livelihoods in a contemporary framework.
For decades, ITIs across India have struggled with outdated infrastructure, obsolete equipment, weak industry linkages and declining student interest. Despite their critical role in skill formation, many institutes have failed to keep pace with rapid technological change and evolving labour market needs.
Officials involved in the PM-Setu rollout said the Maharashtra initiative is designed to address these structural weaknesses by integrating industry participation at every stage, from curriculum design and trainer capacity-building to internships, apprenticeships and placements.
The hub ITIs, in particular, will be equipped with advanced labs, digital classrooms and trainer upskilling programmes to ensure consistent quality across the cluster. Industry partners are expected to provide technical inputs, on-the-job training opportunities and placement support.
Strengthening local economies
Beyond employability, the state government views the ITI transformation as a tool for regional economic development. By creating skilled manpower locally, the initiative aims to attract investment, support small and medium enterprises, and reduce distress migration from less-developed districts.
Officials noted that service-sector and multi-skill courses will be especially important in districts with limited industrial presence, enabling youth to find or create work within their own regions. Over time, the government expects the programme to contribute to balanced regional growth and social mobility.
The Maharashtra government believes the PM-Setu-driven ITI reform marks a decisive shift in how vocational education is conceptualised and delivered. By aligning training with industry needs, involving employers as stakeholders, and focusing on outcomes rather than enrolment numbers, the initiative seeks to build a future-ready workforce.
As the first phase rolls out in Nagpur, Pune and Chhatrapati Sambhaji Nagar, policymakers will closely track placement outcomes, employer feedback and student participation to refine the model before expanding it statewide.
If successful, the programme could serve as a template for other states seeking to revitalise vocational education and harness India’s demographic dividend through skills, entrepreneurship and innovation.
