**Executive Summary**
This report outlines the Ministry of Skill Development and Entrepreneurship’s initiatives to promote the Dual System of Training (DST) and enhance apprenticeship opportunities across India. Key highlights include the transition of all new third-shift ITI affiliations to DST mode, the launch of the AI Apprenticeship Programme, and the implementation of the Apprenticeship Embedded Degree/Diploma Programme (AEDP) following July 2025 guidelines. The document also details financial incentives for apprentices under NAPS-2 and administrative support for establishments via Third Party Aggregators.
**Key Points / Main Content**
**Craftsmen Training Scheme (CTS) and Examination Reforms**
* DGT offers 169 NSQF-compliant courses through ITIs, supported by digital resources on the Bharat Skills portal and Skill India Digital Hub (SIDH).
* Theory examinations are conducted as Computer Based Tests (CBT) managed entirely through the SIDH portal.
* Practical assessments are video-recorded, and marks are submitted online to ensure transparency and standardization.
**Promotion of Dual System of Training (DST)**
* DST integrates institutional training with structured On-the-Job Training (OJT) to improve trainee employability.
* All new ITI affiliations for third-shift operations are permitted exclusively in DST mode.
* The Data-Driven Grading mechanism for ITIs now includes weightage for DST enrollment to incentivize adoption.
**Apprenticeship Schemes and AI Integration**
* The National Apprenticeship Training Scheme (NATS) provides OJT for graduates and diploma holders under the Apprentices Act, 1961.
* A specialized AI Apprenticeship Programme has been launched to build talent in Data Science, Machine Learning, and Prompt Engineering.
* The Apprenticeship Embedded Degree/Diploma Programme (AEDP) allows undergraduate students to integrate apprenticeship into their degrees per AICTE/UGC guidelines.
**Financial Support and Administrative Efficiency**
* Under NAPS-2, the government provides a partial stipend (25% of minimum, capped at ₹1,500 per month) via Direct Benefit Transfer (DBT).
* Establishments are responsible for portal registration, contract issuance, training provision, and stipend processing.
* Third Party Aggregators (TPAs) have been empanelled to assist MSMEs and other establishments with administrative compliance.
**Impact Analysis**
**Industrial Training Institutes (ITIs)**
**Impact:**
ITIs are now required to prioritize the DST model for expansion and are evaluated based on their ability to enroll students in industry-linked training.
**Action Required:**
Align third-shift affiliations with DST requirements and ensure all practical examinations are video-recorded for online mark submission.
**Establishments and MSMEs**
**Impact:**
They must fulfill eight specific administrative requirements to engage apprentices, including contract issuance and stipend processing.
**Action Required:**
Register on the apprenticeship portal, select suitable courses, and provide structured OJT; they may empanel Third Party Aggregators (TPAs) to manage these tasks.
**Students and Trainees**
**Impact:**
Trainees benefit from increased industry exposure, specialized AI training paths, and direct financial support through government-subsidized stipends.
**Action Required:**
Utilize the SIDH portal for learning and certification, and register for NATS or AEDP programs to access apprenticeship opportunities.
**Higher Education Institutions (HEIs)**
**Impact:**
HEIs are integrated into the apprenticeship ecosystem through AEDP and formal Memorandums of Understanding (MOUs).
**Action Required:**
Implement apprenticeship training as an integral part of degree programs in accordance with July 2025 AICTE and UGC guidelines.
Key Entities Referenced
Dual System of Training (DST): A training model that integrates institutional training at ITIs with structured on-the-job training in industry to enhance trainee employability and industry exposure.
Apprentices Act, 1961: The primary legislative framework regulating apprenticeship training in India, establishing the legal requirements for industries to engage apprentices.
National Apprenticeship Training Scheme (NATS): A central scheme providing on-the-job training for graduates and diploma holders, which now includes the AI Apprenticeship Programme.
National Apprenticeship Promotion Scheme (NAPS): A government initiative aimed at promoting apprenticeship training nationwide by providing partial financial stipend support to apprentices.
Craftsmen Training Scheme (CTS): A nationwide vocational training program implemented through a network of Industrial Training Institutes (ITIs) to provide technical skill development.
Ministry of Skill Development and Entrepreneurship
PROMOTION OF DUAL SYSTEM OF TRAINING
Posted On: 30 MAR 2026 4:04PM by PIB Delhi
Directorate General of Training (DGT), under the Ministry of Skill Development and Entrepreneurship
(MSDE) implements the Craftsmen Training Scheme (CTS) through a nationwide network of Industrial
Training Institutes (ITIs), offering in 169 NSQF Compliant courses,catering to the youth of the country
including Maharashtra.A wide range of digital learning resources including e-content, e-books, videos,
and other materials is made available to trainees through the Bharat Skillsportal and theSkill India
Digital Hub (SIDH)platform.
The theory examinations under the All India Trade Test (AITT) for CTS are conducted in Computer Based
Test (CBT) mode to objectively assess the knowledge and competencies of ITI trainees. The complete
examination lifecycle such as scheduling, hall ticket generation, evaluation, result declaration, and
issuance of e-marksheets and e-certificates is seamlessly managed through the SIDH Portal.
For practical examinations, the State Skill Development and Entrepreneurship Committee (SSDEC) and
the respective State/UT Directorates are empowered to prepare question papers and conduct assessments
within ITIs. Practical exams are video-recorded, and marks are submitted online to ensure transparency
and standardisation.
The Dual System of Training (DST) is being actively promoted across Industrial Training Institutes (ITIs)
to enhance industry exposure, practical learning, and employability of trainees. Under this model,
institutional training is integrated with structured On-the-Job Training (OJT) in industry, and all trades
under the Craftsmen Training Scheme (CTS) are being offered in DST mode. To further strengthen
industry–institute collaboration, DGT has undertaken the following initiatives:
i. All new affiliations granted in the third shift of ITIs are permitted exclusively in DST mode,
encouraging wider adoption of the model and stronger linkages with industry.
ii. Weightage has been assigned in the Data-Driven Grading mechanism for enrolment under DST,
incentivizing ITIs to increase the proportion of trainees opting for the DST model.
National Apprenticeship Training Scheme (NATS) aims at providing on-the-job training and skilling of
Indian youth, under the Apprentices Act, 1961 and Apprenticeship Rules, 1992, and its subsequent
amendments. It is implemented by the Department of Higher Education, Ministry of Education through
four regional Boards of Apprenticeship Training/Practical Training (BoATs/BoPT) located at Mumbai,
Kanpur, Chennai and Kolkata.To meet the rising demand for AI talent, the Ministry of Education has launched the AI Apprenticeship
Programme under NATS. This initiative offers structured on-the-job training for graduates and diploma
holders seeking to develop expertise in various areas such as Data Science, Machine Learning,
Application Development, Prompt Engineering, and more. The programme involves establishments that
are either developing core AI/ML technologies and applications to tackle specific challenges or those
leveraging AI to solve sector-specific problems in fields like Agriculture, Healthcare, and Logistics. These
establishments provide AI Apprenticeship training to graduates, diploma holders, and students enrolled in
the Apprenticeship Embedded Degree/Diploma Program (AEDP). In the financial year 2025-26, a total of
74,486 apprentices participated in the AI Apprenticeship Programme.
The Apprenticeship Embedded Degree/Diploma Programme (AEDP) is an academic initiative that allows
students enrolled in undergraduate programmes to undertake apprenticeship training as an integral part of
their degree or diploma, in accordance with AICTE and UGC guidelines for AEDP implementation, issued
in July 2025. Over 300 Memorandums of Understanding (MOUs) have been signed with Higher
Education Institutions (HEIs) and universities, with more than 14,000 students currently enrolled in the
AEDP.
National Apprenticeship Promotion Scheme (NAPS) aims to promote apprenticeship training across the
country. Initially, launched in August 2016, the scheme is presently being implemented in its second phase
(NAPS-2). Under NAPS-2, the Government provides partial stipend support of up to 25% of the minimum
prescribed stipend, subject to a ceiling of ₹1,500 per apprentice per month. The stipend is transferred
directly to apprentices through the Direct Benefit Transfer (DBT) mechanism.
As per the Apprentices Act, 1961 and the relevant Rules, establishmentsincluding MSMEsare required to
undertake certain administrative activities for engaging apprentices. These include:
i. registration on the apprenticeship portal,
ii. selection of suitable apprenticeship courses,
iii. mobilization and selection of candidates,
iv. issuance of apprenticeship contracts through the portal,
v. provision of basic and on-the-job training,
vi. processing of stipend payments
vii. uploading attendance and assessment details, and
viii. uploading syllabus for Optional Trades, where applicable.
To ease the above administrative burden, the Ministry has empanelled Third Party Aggregators (TPAs).
Establishments, including MSMEs, may avail their services for smoother implementation of
apprenticeship training.
This information was given by the Minister of State (Independent Charge), Ministry of Skill Development
and Entrepreneurship (MSDE), Shri Jayant Chaudhary in a written reply in the Lok Sabha today.
***SH
(Release ID: 2246882) Visitor Counter : 85
Read this release in: Urdu , ही