## Policy Summary: National Scheme for Upgradation of Industrial Training Institutes (ITIs)
The Government of India, through the Ministry of Skill Development and Entrepreneurship, is implementing a National Scheme for Upgradation of Industrial Training Institutes (ITIs) and setting up National Centres of Excellence (NCOEs) for skilling. Approved by the Cabinet, this initiative aims to modernize 1,000 ITIs across the country, focusing on future-oriented skills such as Artificial Intelligence (AI), robotics, and climate-friendly technologies.
**Objectives:**
* Address longstanding skill gaps in the workforce.
* Create a future-ready skilled workforce to meet the dynamic needs of India's economy.
* Enhance industrial value addition.
**Funding:**
The scheme entails an estimated cost of ₹60,000 crore, with funding shared between the Central Government (₹30,000 crore), State Governments (₹20,000 crore), and Industry (₹10,000 crore).
**Implementation:**
The upgradation will be implemented through a hub-and-spoke model, emphasizing outcome orientation in collaboration with state governments and industry. Key aspects include:
* Alignment of course content and design with industry skill needs.
* Introduction of new courses in emerging areas like AI, robotics, and climate-friendly technologies.
* Provision for training of trainers.
**Targets:**
The scheme aims to improve placement rates and employability of ITI graduates through defined Key Performance Indicators (KPIs). Upgraded ITIs will offer industry-aligned courses, On-the-Job Training (OJT), and foster stronger industry partnerships to enhance employment outcomes.
**Scope:**
The scheme targets 1,000 Government ITIs across the country. State-wise allocation has not been specified under the scheme.
Key Entities Referenced
Ministry of Skill Development and Entrepreneurship: The Indian government ministry responsible for skill development and entrepreneurship.
Industrial Training Institute ITI UpScaling Project: A government project aimed at modernizing Industrial Training Institutes with a focus on AI, robotics, and climate-friendly technologies.
SMT. SAJDA AHMED: Member of Parliament who raised a question about the ITI UpScaling Project.
SHRI JAYANT CHAUDHARY: The Minister of State in the Ministry of Skill Development and Entrepreneurship who answered the question.
National Scheme for Upgradation of Industrial Training Institutes ITIs: A scheme to upgrade Industrial Training Institutes and establish National Centres of Excellence for skilling.
National Centres of Excellence NCOEs: Centres established for skilling under the National Scheme for Upgradation of Industrial Training Institutes.
West Bengal: A state in India mentioned in relation to the number of ITIs selected under the project.
Howrah district, West Bengal: A district in West Bengal, specifically mentioned regarding the ITI UpScaling Project.
GOVERNMENT OF INDIA
MINISTRY OF SKILL DEVELOPMENT AND ENTREPRENEURSHIP
LOK SABHA
UNSTARRED QUESTION NO. 1362
ANSWERED ON 28.07.2025
ITI UP-SCALING PROJECT
1362. SMT. SAJDA AHMED:
Will the Minister of SKILL DEVELOPMENT AND ENTREPRENEURSHIP be pleased to
state:
(a) whether the Government is implementing any Industrial Training Institute (ITI) Up-Scaling
Project to modernize ITIs with focus on AI, robotics, and climate-friendly technologies;
(b) if so, the main objectives, funding details and steps taken/being taken by the Government
to address long-standing skill gaps in the workforce;
(c) the number of ITIs in West Bengal, especially in Howrah district, selected under the said
project; and
(d) whether targets have been set up to improve placement rates and employability of ITI
graduates and if so, the details thereof?
ANSWER
THE MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF SKILL
DEVELOPMENT AND ENTREPRENEURSHIP
(SHRI JAYANT CHAUDHARY)
(a) & (b) Yes, Sir. The Cabinet has approved National Scheme for Upgradation of Industrial
Training Institutes (ITIs) and setting up National Centres of Excellence (NCOEs) for skilling, at
an estimated cost of ₹60,000 crore (Central Share: ₹30,000 crore, State Share: ₹20,000 crore,
and Industry Share: ₹10,000 crore). The scheme aims to upgrade 1,000 ITIs through hub-and-
spoke arrangements, focusing on outcome orientation in collaboration with state governments
and industry. Under the scheme, course content and design will be aligned with industry skill
needs, and new courses will be introduced to address emerging areas such as AI, robotics, and
climate-friendly technologies, with the objective of creating a future-ready skilled workforce to
meet the dynamic needs of India’s economy and enhance industrial value addition. Provision for
training of trainers has also been included under the scheme.
(c) The scheme aims to upgrade a total of one-thousand (1,000) Government ITIs across the
country in hub-and-spoke model. No State-wise allocation have been made under the scheme.
d) Yes, Sir. The scheme sets clear targets to improve placement rates and employability
through defined Key Performance Indicators (KPIs). Upgraded ITIs will offer industry-aligned
courses, On-the-Job Training (OJT), and stronger industry partnerships to enhance employment
outcomes for graduates.
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