PM-SETU and ITI Upgradation

Why in news

The government has highlighted the significant increase in the number of Industrial Training Institutes (ITIs) and their enrolment across the country, alongside the introduction of the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme.

Exam relevance

GS2, GS3 · Governance, Economy, Society · Prelims · Mains

Key facts

1. The number of ITIs in the country increased from 9,642 in 2014 to 13,856 in 2026.
2. Enrolment in ITIs increased from 9,51,168 in session 2014-15 to 14,70,277 in session 2025-26.
3. The Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme aims to enhance the quality and relevance of vocational training.
4. PM-SETU has a total outlay of Rs. 60,000 crore, with contributions from Central, State, and Industry shares.
5. Component I of PM-SETU involves the upgradation of 1,000 Government ITIs (200 Hub ITIs and 800 Spoke ITIs) in a Hub and Spoke model.
6. Upgradation under Component I includes smart classrooms, modern labs, digital content, and new industry-aligned courses.
7. Component II of PM-SETU focuses on capacity augmentation of five National Skill Training Institutes (NSTIs) located in Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana.

Prelims pointers

• Number of ITIs in 2014 vs. 2026.
• ITI enrolment in 2014-15 vs. 2025-26.
• Full form of PM-SETU.
• Objective of PM-SETU scheme.
• Total outlay and funding pattern (Central, State, Industry shares) of PM-SETU.
• Components of PM-SETU scheme (Upgradation of ITIs, Capacity Augmentation of NSTIs).
• Number of Government ITIs to be upgraded (Hub and Spoke model).
• Names of the five NSTIs mentioned for capacity augmentation.

Mains practice question

Critically analyze the role of vocational training in India's economic development. Discuss how schemes like PM-SETU can address the challenges in skill development and enhance the employability of the youth.

Static linkage

The news relates to India's broader agenda of skill development and vocational training, which is crucial for enhancing employability, leveraging demographic dividend, and achieving economic growth. It connects to national skill missions and policies aimed at bridging the skill gap and making the workforce industry-ready.

Significance

The increase in ITIs and enrolment signifies a growing focus on vocational training, which is vital for providing employable skills to a large segment of the youth. The PM-SETU scheme, with its substantial outlay and focus on modernizing ITIs and NSTIs, is crucial for improving the quality and relevance of vocational education. This initiative can lead to better job opportunities, reduce unemployment, and contribute to economic productivity by creating a skilled workforce aligned with industry demands. The multi-stakeholder funding model involving central, state, and industry shares reflects a collaborative approach to skill development.