India is diversifying from being a largely agro-based economy to a manufacturing and service-based economy. This has resulted in an increased demand for skilled manpower over the past few decades. The National Policy on Skill Development and Entrepreneurship, 2015 notes this increased demand for skills, and highlights that “large sections of conventionally educated youth” have little or no job skills. The Micro, Small and Medium Enterprises (MSMEs) sector is the second largest employer after agriculture, but only contributes 17% of the GDP. They face challenges in hiring and retaining skilled manpower, and this gap is even more significant in the case of future skilled manpower requirements.

To bridge this gap, Siemens and GIZ plan to implement a new initiative, Indo-German Initiative for Technical Education (IGnITE), which focuses on improving vocational training to respond to the needs of the industry and industry practices. IGnITE aims to bring a systemic change in India's skilling environment to create Industry Ready technicians for trades like Electrician, Electronics Mechanic, Fitter, Turner and Machinist. 

Focal areas under the German Dual VET (combining classroom-based education with practical on-the-job training) methodology:

• Enhanced pedagogy at Government Industrial Training Institutes (ITIs) – Inquiry-based and project-based learning
• In-plant training at local industries for improved hands-on learning
• Continuous industry interface leading to enhanced industry-relevant curriculum
• Green skills - making future-ready technicians
• Enhanced employability due to industry training and improved pedagogy at the ITI
• Engaged local industry to become active stakeholders in the skilling ecosystem
• Partnership with the Ministry of Skill Development & Entrepreneurship (MSDE)
• ‘Cluster Approach’ and engagement with State Governments, Business Membership Organisations (BMOs) and Government ITIs

IGnITE approach enhances pedagogy and engagement with local industry creating a sustainable pipeline from academia to industry: IGnITE employs a cascade model to impact trainees via the ITI Instructors and the in-company training. At the ITI level, the project focuses on developing teaching / learning pedagogy which optimizes learning of skills required by employers. The outreach to local industry, at the same time, will ensure in-plant training opportunities for the ITI trainees.