AM/NS India-Led Visakhapatnam ITI Cluster Becomes First Industry-Led PM-SETU Project

Visakhapatnam ITI Cluster

New Delhi: In a significant milestone under the Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (PM-SETU) scheme, the Visakhapatnam ITI Cluster in Andhra Pradesh has received approval for its Strategic Investment Plan (SIP) from the National Steering Committee (NSC).

The proposal was submitted by ArcelorMittal Nippon Steel India (AM/NS India) in partnership with the New Age Makers Institute of Technology (NAMTECH), making the Visakhapatnam ITI Cluster the first project in the country to secure SIP approval under the ₹60,000 crore PM-SETU initiative.

The approval also positions Andhra Pradesh as the first state to operationalize an industry partnership under the PM-SETU scheme, marking a major advancement in the Government of India’s efforts to transform Industrial Training Institutes (ITIs) through industry-led governance and outcome-oriented skilling.

The approval was granted during the third meeting of the National Steering Committee convened by the Ministry of Skill Development and Entrepreneurship (MSDE) at Kaushal Bhawan in New Delhi.

The decision represents the first operational step towards implementing PM-SETU’s vision of upgrading Government ITIs into industry-managed institutions through strong collaboration between state governments and leading industry partners.

The meeting was chaired by Debashree Mukherjee, Secretary, Ministry of Skill Development and Entrepreneurship, and attended by Dilip Kumar, Director General of the Directorate General of Training (DGT), along with members of the National Steering Committee.

Senior representatives from the Capacity Building Commission (CBC), National Council for Vocational Education and Training (NCVET), Ministry of Commerce and Industry, Ministry of Heavy Industries, Ministry of Labour and Employment, participating state governments, and industry leaders including Hindustan Aeronautics Limited (HAL), Hero MotoCorp, Bajaj Auto, ITC Limited, and ArcelorMittal Nippon Steel India participated in the discussions.

Representatives from NAMTECH and development partners such as the Asian Development Bank (ADB) and the World Bank also attended the meeting.

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A key outcome of the deliberations was the approval of the Strategic Investment Plan for the Visakhapatnam ITI Cluster, submitted by ArcelorMittal Nippon Steel India.

With this approval, Andhra Pradesh becomes the first state under PM-SETU to onboard an Anchor Industry Partner (AIP), advancing the implementation of the industry-led Hub-and-Spoke model envisioned under the scheme.

The approval of the Visakhapatnam ITI Cluster marks a major step towards transforming Industrial Training Institutes into industry-managed and outcome-focused institutions capable of meeting evolving workforce requirements.

The initiative is expected to strengthen vocational education and training by aligning skilling programs more closely with industry needs and emerging employment opportunities.

The successful clearance of the Visakhapatnam ITI Cluster proposal is also expected to serve as a model for other states seeking to enhance industry participation in vocational education and accelerate PM-SETU implementation.

During the meeting, the National Steering Committee reviewed the overall progress of PM-SETU implementation across participating states and discussed policy and execution measures aimed at increasing industry participation, improving institutional governance, strengthening the financial sustainability of Special Purpose Vehicles (SPVs), and accelerating project operationalization.

Discussions focused on promoting industry-led governance structures, outcome-based skilling frameworks, and stronger partnerships among industries, state governments, and training institutions.

PM-SETU, a flagship initiative of the Government of India with a total outlay of ₹60,000 crore, aims to transform 1,000 Government ITIs through an industry-led Hub-and-Spoke model.

The scheme seeks to modernize infrastructure, deepen industry engagement, improve employability outcomes, and establish National Centres of Excellence (NCoEs) in high-growth sectors.

Through stronger government-industry collaboration, PM-SETU aims to build a future-ready workforce equipped for advanced manufacturing and emerging technologies.

The progress of the scheme has gained momentum nationwide. So far, 32 States and Union Territories have constituted their State Steering Committees, while 12 States and UTs have issued Requests for Proposals to invite industry participation for the selection of Anchor Industry Partners.

A growing pipeline of state-industry consultations, with multiple rounds already concluded and several more scheduled in the coming weeks, reflects increasing alignment between industry interest and state preparedness.

The approval of the Visakhapatnam ITI Cluster is expected to accelerate this momentum and encourage broader participation from industry stakeholders across the country.

With additional Strategic Investment Plans expected to receive approval in the coming months, PM-SETU is moving towards a full-scale industry-led implementation phase that aims to transform vocational education and training and support the vision of Viksit Bharat 2047.

Author

  • Salil Urunkar

    Salil Urunkar is a senior journalist and the editorial mind behind Sahyadri Startups. With years of experience covering Pune’s entrepreneurial rise, he’s passionate about telling the real stories of founders, disruptors, and game-changers.

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