Skill, labour, talent for MSMEs: Tool Rooms or Technology Centres (TCs), which provide skill development training to unemployed youth and industry workforce, continue to churn out the highest number of trained personnel annually among all organisations under the MSME ministry. According to the data shared by the ministry in its 2022-23 annual report published last week, the TCs trained 1.02 lakh people till October 2022 in the current fiscal vis-a-vis 22,242 personnel trained by the National Small Industries Corporation, 10,420 by Khadi and Village Industries Commission (KVIC), and 1,473 by the Coir Board.
During the five-year period (FY19-23), the trained personnel count by TCs had peaked at 2.75 lakh in FY20 before it dropped to 1.34 lakh in FY21 amid the Covid pandemic. However, the recovery began in the following year itself with 1.46 lakh people trained in FY22. On the other hand, the number of people trained by KVIC – second highest after TCs – has been gradually increasing from 74,938 in FY20 to 81,221 in FY21 and 1.11 lakh in FY22., indicating the growing need for skilled manpower among existing and new enterprises. However, the number of trainees trained by the National Institute of Micro, Small and Medium Enterprises (ni-msme) wasn’t shared in the data provided in the report.
“Organizations under the ministry are providing skill training to the youths for wage employment and self-employment. They also provide skill up-gradation training to existing entrepreneurs and working force to enhance their performances,” the ministry said in its report.
These trainings are provided under various schemes such as MSME-TCs, Assistance to Training Institutions (ATI), National SC/ST Hub, Capacity Building, Coir Vikas Yojna – Skill Upgradation & Mahila Coir Yojna, etc. Furthermore, customized demand-driven training courses as per industry requirements are also conducted by organizations under the ministry, it added. Currently, 18 TCs present across the country supported 31,554 MSME units through trainees trained and earned revenue of Rs 219.72 crore in FY22.
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Out of 18 TCs, 10 provide technological support to industries through the design and manufacture of tools, precision components, moulds, dies, etc., while the remaining eight TCs provide technical services to develop and upgrade technologies, processes and products to MSMEs apart from training in the specific product categories such as forging & foundry, electronics, electrical measuring instruments, fragrance & flavour, glass, footwear & sports goods, according to the report.
Importantly, 15 new TCs are being established by the ministry under the World Bank-assisted Technology Centre Systems Programme (TCSP) and a new scheme Establishment of New Technology Centres/Extension Centres is being implemented to set up another 20 TCs and 100 Extension Centres (ECs) — smaller form of TCS — at a cost of Rs 3,500 crore. These TCs/ECs will provide services like technology support, skilling, incubation and consultancy to MSMEs. The government has proposed around Rs 125 crore investment per TC and Rs 10 crore per EC under the scheme.
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