Government Clears ₹1,238cr for 5 ITI Clusters; Rolls Out PM-SETU Scheme Nationwide

New Delhi: The Ministry of Skill Development and Entrepreneurship on Tuesday approved strategic investment plans worth ₹1,237.58 crore for the upgradation of five ITI clusters-one each in Odisha and Gujarat and three in Telangana-under the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme. The ministry also rolled out the scheme nationwide to cover all 200 ITIs.

"The 4th National Steering Committee approved the transition of PM-SETU from its pilot phase to a nationwide rollout, enabling states and Union Territories to undertake implementation based on industry readiness and capacity," the Ministry of Skill Development and Entrepreneurship (MSDE) said in a statement.

Read more: MSDE approves Rs 1,237 crore investment plans for upgradation of ITIs in Odisha, Gujarat, Telangana


The committee also cleared measures to simplify implementation, enhance industry participation, encourage greater involvement of public sector undertakings (PSUs), and expand the institutional ecosystem supporting PM-SETU, it added.

Jindal Naveen Avasar will be the anchor industry partner for Odisha, while ArcelorMittal Nippon Steel will upgrade ITIs in Gujarat and Apollo Medskills will lead the upgradation in Telangana.

The Odisha cluster will see investments of ₹240.21 crore, Gujarat ₹240.18 crore, and Telangana ₹241.01 crore.

In addition, one cluster in Telangana will be upgraded by Siddharth Infratech & Services with a proposed investment of ₹275.24 crore, while another will be handled by Neuland Foundation with an outlay of ₹240.94 crore.

Read more: Union Budget 2026 boosts skilling drive, ministry allocation sees sharp rise

PM-SETU is a ₹60,000 crore flagship scheme aimed at modernising 1,000 industrial training institutes (ITIs) into industry-aligned skill centres through a hub-and-spoke model, bridging the gap between youth employability and real-world industry needs.