Assistance to Training Institutions (ATI) Scheme

What is the Assistance to Training Institutions (ATI) Scheme?

Assistance to Training Institutions (ATI) Scheme is a central sector scheme of the Ministry of Micro, Small and Medium Enterprises that funds the training infrastructure behind India's MSME skilling system. The scheme does not pay money to individuals. It pays capital grants to institutions so that they can build classrooms, workshops, hostels and laboratories, and run entrepreneurship and skill development programmes.

According to the Ministry of MSME guidelines, the objective of the ATI Scheme is to strengthen training capacity for skill development and entrepreneurship, to support research and studies on MSME-related issues, and to train the staff of District Industries Centres and other government institutions that deal with the MSME sector.

Key objectives

• Create and strengthen physical training infrastructure at MSME training institutions.
• Support entrepreneurship development and skill development training programmes run by those institutions.
• Build capacity in state-level Entrepreneurship Development Institutes so training reaches beyond the national institutes.
• Train officers of District Industries Centres and allied government bodies working on MSME promotion.

Main features

• Central sector scheme, funded by the Government of India through the Ministry of MSME.
• Assistance is given as a capital grant for infrastructure, plus support for running training programmes.
• National-level institutions under the Ministry receive grants against approved project cost; state EDIs are capped at Rs 3 crore in each case.
• Assets created with the grant are locked in, they cannot be sold, leased or encumbered without written permission from the Ministry.

Who is eligible for the ATI Scheme?

These institutions are eligible:

• National-level training institutions functioning under the Ministry of MSME, the National Institute for Micro, Small and Medium Enterprises (NI-MSME), the Khadi and Village Industries Commission (KVIC), the Coir Board, MSME Technology Centres (formerly Tool Rooms), the National Small Industries Corporation (NSIC) and the Mahatma Gandhi Institute for Rural Industrialisation (MGIRI).
• State-level Entrepreneurship Development Institutes (EDIs) that are owned and controlled by a State Government or Union Territory administration.

Who cannot apply:

• Individuals cannot apply. There is no personal grant, stipend or loan component under the ATI Scheme for a citizen, student or entrepreneur.
• Private training institutions and NGOs are not eligible for infrastructure support or training programme support under the revised ATI guidelines.
• Privately promoted EDIs that are not owned and controlled by a state government are not eligible for the state EDI grant.
• Institutions that have failed to submit audited accounts or utilisation certificates for an earlier grant are not eligible for a fresh release until those are cleared.

This is the single most misunderstood point about the scheme. If you are looking for a personal skilling stipend from the Ministry of MSME, the relevant route is the entrepreneurship and skill development programmes run at these institutions, not an ATI application.

What documents are required for the ATI Scheme?

How to apply for the ATI Scheme

The ATI route is institutional. An eligible training institution, not a citizen, initiates the process.

1. Confirm that the applicant institution falls in an eligible category — a national institution under the Ministry of MSME, or a state EDI owned and controlled by a State Government or UT administration.
2. Prepare a detailed project proposal setting out the infrastructure to be created or strengthened, the training programmes it will enable, the cost estimate and the implementation schedule.
3. Have the proposal recommended by the controlling State Government department where the applicant is a state-level EDI.
4. Submit the proposal to the Director/Deputy Secretary (EDI), Ministry of Micro, Small and Medium Enterprises, Udyog Bhawan, Rafi Marg, New Delhi 110011, along with audited accounts and supporting documents.
5. Respond to the Ministry's appraisal queries; the proposal is examined against the scheme ceilings before sanction.
6. On sanction, execute the project, maintain the asset register, and submit utilisation certificates and audited annual reports each year for at least five years.

The Ministry maintains a dedicated ATI portal at ati.msme.gov.in carrying scheme guidelines, formats and reporting information.

How can an individual benefit from the ATI Scheme?

An individual benefits from the ATI Scheme indirectly. The scheme pays for the buildings, workshops and equipment where entrepreneurship awareness, skill development and management development programmes are conducted. A candidate who wants training should approach the institution itself. An MSME Technology Centre, an MSME Development and Facilitation Office, NI-MSME in Hyderabad, or the state Entrepreneurship Development Institute, and enrol in the course offered there.

Fees, stipends and course duration are set by each programme, not by the ATI Scheme. Many entrepreneurship and skill programmes conducted for SC, ST, women and persons with disabilities are run without a course fee.

How much assistance does the ATI Scheme provide?

According to the Ministry of MSME, assistance under the scheme takes two forms. National-level training institutions functioning under the Ministry receive capital grants for creating and strengthening infrastructure, assessed against approved project cost. State-level Entrepreneurship Development Institutes receive a grant capped at Rs 3 crore in each case.

Support for entrepreneurship development and skill development training programmes is released at the rates prescribed in the scheme guidelines, against programmes actually conducted and reported.

What conditions apply after assistance is sanctioned?

Two obligations follow every ATI grant and are worth reading before applying.

• The assisted institution cannot dispose of, lease out or create any charge over the assets created with ATI assistance without written permission from the Ministry of MSME.
• The assisted institution must get its accounts audited every year and submit an annual report with financial statements to the Ministry for at least five years after receiving the assistance.

Failure on either count blocks further releases and can trigger recovery of the grant.

Help and contact for the ATI Scheme

• Scheme portal: ati.msme.gov.in
• Ministry of MSME: msme.gov.in, Udyog Bhawan, Rafi Marg, New Delhi 110011
• MSME/Udyam helpline: 1800-180-6763
• Proposal address: Director/Deputy Secretary (EDI), Ministry of MSME

No fee is payable to any agent for filing an ATI proposal. Proposals are submitted directly by the institution to the Ministry.