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MUMBAI: Maharashtra’s recent cabinet approval for revamping Industrial Training Institutes (ITIs) through a public-private partnership (PPP) model has garnered praise from skilling experts and industry stakeholders, who call it a much-needed step toward building an industry-aligned, outcome-driven vocational ecosystem.
Launched as a pilot across 25 ITIs—with plans to scale up to 100—the initiative aims to transform government-run ITIs into Centres of Excellence offering training in high-demand areas like artificial intelligence, cybersecurity, Internet of Things (IoT), robotics, and green energy.
The policy has been framed by the Department of Skill Development, Employment and Entrepreneurship in partnership with Maharashtra Institution for Transformation (MITRA), with a focus on future-ready curricula, industry participation, and improved employability. Nearly 2,00,000 students are expected to benefit from the reform.
“Our goal is to ensure that ITI students not only receive globally relevant training but also get access to better employment opportunities through strong industry linkages,” said Mangal Prabhat Lodha, Minister for Skill Development, Maharashtra.
From Enrolment to Employability
While welcoming the shift, experts underline that the true measure of success lies in employability outcomes, not just infrastructure upgrades.
“This is a significant shift from traditional vocational centers to dynamic, industry-aligned talent pipelines,” Dr Nipun Sharma, CEO, TeamLease Degree Apprenticeship, said.
He pointed out that despite sizable enrolments, only 40% of ITI graduates are employable, and India’s apprenticeship engagement stands at a low 0.27%, compared to 3% in advanced economies.
“Embedding apprenticeships and demand-driven training will be critical,” Sharma added.
Investment Model with Guardrails
Under the new framework, private and philanthropic entities can invest ₹10 crore over 10 years or ₹20 crore over 20 years to upgrade ITI infrastructure, establish industry-specific labs, and introduce specialized courses. They will receive tax benefits but cannot rebrand campuses or claim ownership of assets. Oversight remains with a government steering committee that retains termination rights.
The move complements the Union Cabinet’s broader ₹60,000 crore national scheme to develop Centres of Excellence in ITIs, providing states with a template for collaborative governance.
Tech Integration & Local Relevance
Industry leaders also see the policy as an opportunity to embed next-gen technologies in vocational education.
“We see strong potential to create real-world lab environments for AI, cloud computing, and green tech,” Bhavesh Goswami, Founder & CEO, CloudThat, said.
However, Goswami cautioned that infrastructure must be matched by curriculum reform and faculty upskilling to fully realize this potential.
Experts further stressed the importance of regional alignment, especially in automotive clusters like Pune and Chhatrapati Sambhajinagar, where localized skilling could directly impact manufacturing supply chains.
Execution, Clarity, and Scale
Reports such as NITI Aayog’s 2023 ITI review have long flagged the employability gap and the need for private sector engagement in India’s skilling ecosystem. As the country eyes global leadership in manufacturing, clean energy, and semiconductors—sectors expected to create over 1 million jobs by 2026—timely and coordinated skilling reforms are seen as essential.
“Complex rules often discourage private participation. If the government offers clarity and consistency, it can pave the way for strong long-term partnerships,” said Dr. Nipun Sharma.
With the first 25 PPP-enabled ITIs expected to be operational by early 2026, all eyes are now on how Maharashtra translates this model into tangible job opportunities and scalable national best practices.
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