The MSME minister recently declared that the government would set up 500 incubation centres on PPP model across the country. Needless to say this will be a positive step toward skill development, but in a country where around 65 percent of the population is below 35 years of age and only 2 percent of them are skilled, steps like this sound grossly inadequate. We need a comprehensive plan to skill our workforce and make the best of our demographic potential.

According to an estimate, currently India has approximately 3.4 million skilled workers and there will be a demand for 500 million by 2022. This means we have to create 496.6 million skilled workers in eight years only to meet the shortage. The estimate adds that if the current state of affairs continues, the auto and auto component sector will face a shortage of 35 million skilled workers, the construction sector will face a shortage of 1.4 million, and gems and jewellery will face a shortfall of 4.6 million skilled workers by 2022. This sounds alarming.

I think our education system, which is theory-centric and hardly focuses on training students in employable skills, is largely responsible for this. The system needs a complete overhaul. Vocational education should be encouraged at every level -- secondary, post-secondary and higher education level. In addition, it is high time to vigorously follow a model like Germany's Dual Education system. Also, there is an urgent need to reform the existing vocational training facilities and strengthen the industry-academia link for adequate job creation.

The new government has created a dedicated ministry for skill development and entrepreneurship. Several measures, including the flagship Skill India programme, have been launched. It has been reported that hundreds of new ITIs and skill development centres will be set up. These are positive measures, but considering the depth of the problem, I think enhanced efforts are required. The latest NSDA data also signals to this – 21 government departments and ministries succeeded in training 7.6 million people in 2014-15, as against a target of 10.5 million people.

Involvement of the states is also crucial. At present, skill development programmes conducted at state level are far from success. First of all, funds allotted under most of the schemes are diverted for private gain at every level. In addition, the officials do little to create mass awareness about these programmes. Under some schemes, a handful of beneficiaries are provided training, but there is hardly any effort to connecting trainees with jobs. Equipment and tools are provided to self-help groups, but little is done to help them climb the ladder of entrepreneurship. Something has to be done to change this situation.

I invite your opinions.