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  • Trade Sector Updates – Falling Exports, TIES, MEIS, Foreign Trade Policy, etc.

    What is the Yen Carry Trade? Why is it unwinding right now?

    Explained | Economics | Mains Paper 3: Effects Of Liberalization On The Economy, Changes In Industrial Policy and their effects on Industrial Growth

    Why in the news?

    The global stock and bond markets, especially Japan’s, are experiencing turmoil due to the unwinding of the immensely popular yen carry trade.

    What is Yen carry trade?

    • The yen carry trade is a popular currency trading strategy that involves borrowing Japanese yen at low interest rates and using the funds to invest in higher-yielding assets denominated in other currencies, with the goal of profiting from the interest rate differential.

    Why is it unwinding right now?

    • Strengthening Yen: The Japanese yen has appreciated significantly, rising over 3% against the dollar after the Bank of Japan (BoJ) raised interest rates to 0.25% and announced a reduction in bond purchases. This strengthening of the yen diminishes the profitability of the carry trade, which relies on a weaker yen to remain viable.
    • Interest Rate Changes: Expectations of imminent interest rate cuts by the U.S. Federal Reserve have contributed to the dollar’s weakness, further impacting the carry trade. As the interest rate differential narrows, the incentive to maintain yen carry positions decreases.

    How does it work?

    • Mechanism: The yen carry trade involves borrowing yen at low interest rates and converting it into higher-yielding currencies. Investors use the borrowed yen to purchase assets in currencies that offer better returns, such as U.S. dollars or Australian dollars.
    • Investors typically aim for annualized returns of around 5% to 6% on dollar-yen carry trades, which is the difference between U.S. and Japanese interest rates. The strategy can be lucrative as long as the yen does not appreciate significantly against the currencies in which the investments are made.

    How did it begin?

    • The yen carry trade can be traced back to 1999 when Japan lowered its policy rates to zero following an asset price bubble burst. This led Japanese investors to seek better returns in international markets, effectively turning Japan into the world’s largest creditor nation.
    • The contemporary form of the carry trade gained prominence in 2013 under Prime Minister Shinzo Abe’s quantitative easing policies, coinciding with rising U.S. rates and a depreciating yen. This trend intensified in 2022 and 2023 as the Federal Reserve raised rates rapidly while the Bank of Japan maintained negative short-term rates.

    How large Is It?

    • The estimated size is about $350 billion in short-term external loans by Japanese banks attributed to yen-funded carry trades. However, this figure may not fully capture the extent of the trades, as it could include commercial transactions or loans to foreign businesses.
    • The actual size of yen carry trades could be larger due to the leverage used by hedge funds and computer-driven funds.

    Is it coming to an end?

    • The Bank of Japan has recently started raising rates, which has led to a stronger yen. As a result, the yield gap between Japanese and other currencies has narrowed, diminishing the profitability of carry trades.
    • The appreciation of the yen (by about 13% in a month) has prompted leveraged investors to unwind their positions, leading to a sell-off in global stock and bond markets. This unwinding is driven by the need to repay yen loans as the currency strengthens, causing further declines in asset prices internationally.

    Conclusion: The yen carry trade is unwinding due to the strengthening yen and narrowing interest rate differentials. As the yen appreciates, profitability decreases, prompting investors to exit positions, leading to global market sell-offs. This trend signifies a shift in monetary policies and changing economic conditions affecting currency trading strategies.

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  • Women empowerment issues – Jobs,Reservation and education

    [pib] Nandini Sahakar Yojana

    Schemes | Governance | Mains Paper 2: Government Scheme/Policies

    Why in the News?

    • The Minister of Cooperation has provided some information about the Nandini Sahakar Yojana.
      • NCDC has cumulatively disbursed financial assistance amounting to Rs. 6426.36 crore for the development of cooperative societies exclusively promoted by women across the country.

    About Nandini Sahakar Yojana

    • The Nandini Sahakar Scheme was initiated by the National Cooperative Development Corporation (NCDC) in 2010.
    • It is a women-focused framework providing financial assistance, project formulation, hand-holding, and capacity development.
    • The scheme aims to assist women cooperatives in undertaking business model-based activities under the purview of NCDC.

    Features of the Scheme

    • Any cooperative society with at least 50% women as primary members and a minimum of three months in operation is eligible to apply.
    • Assistance is provided in the form of credit linkage for infrastructure term loans and working capital, along with subsidies or interest subvention from other government schemes.
    • There is no minimum or maximum limit on financial assistance for projects by women cooperatives.
    • NCDC offers a 2% interest subvention on its rate of interest on term loans for new and innovative activities.
    • A 1% interest subvention is provided on term loans for all other activities, resulting in lower borrowing costs for women cooperatives.

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  • Innovations in Biotechnology and Medical Sciences

    The hormone Oestrogen

    Prelims Only | Science Tech | Mains Paper 3: Awareness in various sc and tech fields

    Why in the News?

    • “Osteoporosis” is a condition where bones become weak and brittle, with over 10 million cases annually in India.
      • It predominantly affects ageing women due to decreased oestrogen levels post-menopause.
    A recent study in Nature by researchers at the Universities of California uncovered a brain-derived hormone, CCN3, which increases bone mass in postpartum lactating mothers.

     

    What is Oestrogen?

      • Oestrogen is a primary female sex hormone essential for reproductive and sexual development.
      • It regulates the menstrual cycle and is crucial for the development of secondary sexual characteristics like breast development. 
      • Oestrogen also plays a vital role in maintaining bone density and cardiovascular health.
    • It is produced mainly in the ovaries but also in smaller amounts by the adrenal glands and fat tissue. 
    • The hormone influences various tissues, including the brain, heart, skin, and bones.
    • Imbalances in oestrogen levels can lead to various health issues, such as osteoporosis and cardiovascular disease.

    Role of Oestrogen in Bone Growth

    • Oestrogen is crucial for bone growth and formation, acting as a manager signaling the bone construction crew.
    • During breastfeeding, oestrogen production drops to focus on milk production, which should weaken bones.
    • Contrary to expectations, mothers’ bones become stronger to meet their babies’ high calcium demands.

    How does the ‘Hidden’ Hormone Keep Mice Mothers’ Bones Healthy?

    • During breastfeeding, the body suppresses oestrogen production to focus on milk production, which should weaken bones.
    • Despite low oestrogen, mothers’ bones strengthen.
    Researchers found that KISS1 neurons in the hypothalamus (a part of the brain) release the CCN3 hormone, which helps maintain and even increase bone mineralisation.

    Experimental Findings:

    • In experiments with genetically modified mice, those lacking the oestrogen receptor alpha still maintained healthy bones due to CCN3.
    • When CCN3 was introduced to skeletal stem cells, it significantly increased bone formation, showing its potential to strengthen bones independently of oestrogen.

    PYQ:

    [2019] ‘RNA interference (RNAi)’ technology has gained popularity in the last few years. Why?

    1. It is used in developing gene silencing therapies.
    2. It can be used in developing therapies for the treatment of cancer.
    3. It can be used to develop hormone replacement therapies.
    4. It can be used to produce crop plants that are resistant to virtual pathogens.

    Select the correct answer using the code given below.

    (a) 1, 2 and 4

    (b) 2 and 3

    (c) 1 and 3

    (d) 1 and 4 only

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  • [pib] New Schemes for Co-operatives

    Prelims Only | Economics | Mains Paper 3: Effects Of Liberalization On The Economy, Changes In Industrial Policy and their effects on Industrial Growth

    Why in the News?

    The Ministry of Cooperation, since its inception on 6th July 2021, has taken many initiatives to strengthen and deepen the cooperative movement at the grassroots level.

    What is a Co-operative?

    • A cooperative is “an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned enterprise”.
    • Cooperatives are democratically owned by their members, with each member having one vote in electing the board of directors.

    Evolution of Cooperatives in India:

    Pre-Independence Era:

    • First Cooperative Act (1904): Enacted after the Indian Famine Commission (1901) suggested cooperative credit societies to tackle rural debt.
    • Cooperative Societies Act (1912): Amended the 1904 Act to include non-credit societies and support the cooperative movement.
    • Maclagan Committee (1915): Evaluated the cooperative movement’s economic and financial stability.
    • Montague-Chelmsford Reforms (1919): Made cooperation a provincial subject, boosting regional cooperative initiatives.
    • Post Economic Depression (1929): Various committees in regions like Madras, Bombay, Travancore, Mysore, Gwalior, and Punjab restructured cooperatives.
    • Gandhian Influence: Gandhi promoted cooperatives for a socialistic society and decentralization. Established the Phoenix Settlement and Tolstoy Farm as cooperative settlements in South Africa.

    Post-Independence Era:

    • First Five-Year Plan (1951-56): Emphasized cooperatives for comprehensive community development.
    • Multi-State Co-operative Societies Act (2002): Regulated the formation and functioning of multi-state cooperatives.
      • Amendment (2022): Introduced the Co-operative Election Authority to oversee board elections in multi-state cooperatives.
    • 97th Constitutional Amendment (2011): Made the right to form cooperatives a fundamental right under Article 19.
      • Added Part IX-B to the Constitution, establishing “The Co-operative Societies” (Articles 243-ZH to 243-ZT).
      • Empowered Parliament to legislate for multi-state cooperative societies and state legislatures for other cooperatives.
    • Union Ministry of Cooperation (2021): Created to oversee cooperative affairs, previously under the Ministry of Agriculture.

    Initiatives Making Primary Cooperatives Economically Vibrant and Transparent

    Details
    Model Bye-Laws for Primary Agricultural Credit Societies (PACS)
    • Prepared and circulated to all States/UTs.
    • Enables PACS to undertake over 25 business activities.
    • Adopted by 32 States/UTs.
    Establishing New Multipurpose PACS/Dairy/Fishery Cooperatives
    • Plan to cover all Panchayats/villages in 5 years.
    • 6,844 new PACS, Dairy, and Fishery cooperative societies registered.
    World’s Largest Decentralized Grain Storage Plan
    • Create warehouses and agri-infrastructure at PACS level.
    • Pilot project extended to 500 additional PACS.
    Formation of New Farmer Producer Organizations (FPOs) by PACS
    • 1,100 additional FPOs to be formed by PACS.
    • 992 FPOs formed by NCDC.
    PACS Given Priority for Retail Petrol/Diesel Outlets
    • Included in Combined Category 2 (CC2) for allotment.
    • 270 PACS from 25 States/UTs applied online.
    PACS Eligible for LPG Distributorship
    • Allowed to apply for LPG distributorships.
    • 31 PACS from four States/UTs submitted applications.
    PACS as Pradhan Mantri Bharatiya Jan Aushadhi Kendra
    • Promote PACS to operate Janaushadhi Kendras.
    • 2,594 PACS given initial approval, 674 received drug licenses.
    PACS as Pradhan Mantri Kisan Samriddhi Kendras (PMKSK)
    • Ensure easy accessibility of fertilizer and related services.
    • 38,141 PACS functioning as PMKSK.
    Convergence of PM-KUSUM at PACS Level
    • Farmers can adopt solar agricultural water pumps and install photovoltaic modules.
    Micro-ATMs to Bank Mitra Cooperative Societies
    • Provide doorstep financial services.
    • 2,700 micro-ATMs distributed in Gujarat.
    Rupay Kisan Credit Card to Members of Milk Cooperatives
    • Provide credit at lower interest rates.
    • 48,000 Rupay KCC distributed in Gujarat.
    Formation of Fish Farmer Producer Organization (FFPO)
    • 69 FFPOs registered by NCDC.
    • Department of Fisheries allocated work to convert 1000 fisheries cooperative societies into FFPOs.

     

    Initiatives Strengthening Urban and Rural Cooperative Banks

    Details
    Urban Cooperative Banks (UCBs) Allowed to Open New Branches
    • Open up to 10% (max 5 branches) without prior RBI approval.
    Doorstep Services by UCBs
    • Provide banking facilities at home.
    Extended Time Limit for Priority Sector Lending (PSL) Targets
    • Timeline extended to March 31, 2026.
    Nodal Officer in RBI for UCBs
    • Designated for regular interaction.
    Increased Housing Loan Limit by RBI
    • Doubled for UCBs to Rs. 60 lakhs.
    • Increased to Rs. 75 lakhs for Rural Cooperative Banks.
    Rural Cooperative Banks Lending to Real Estate/Residential Housing
    • Diversify business to benefit Housing cooperative societies.
    Non-scheduled UCBs, StCBs, and DCCBs Notified as MLIs in CGTMSE Scheme Risk coverage up to 85% on loans.
    Doubled Monetary Ceiling for Gold Loan by RBI Increased from Rs. 2 lakhs to Rs. 4 lakh.
    Umbrella Organization for UCBs Approval given to NAFCUB for formation, providing IT infrastructure and operational support.

     

    PYQ:

    [2011] In India, which of the following have the highest share in the disbursement of credit to agriculture and allied activities?

    (a) Commercial Banks

    (b) Cooperative Banks

    (c) Regional Rural Banks

    (d) Microfinance Institutions

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  • Innovation Ecosystem in India

    Inaugural Rashtriya Vigyan Puraskar, 2024 announced 

    Prelims Only | Science Tech | Mains Paper 3: Achievements Of Indians In S&T

    Why in the News?

    G Padmanabhan, the Chandrayaan-3 team, Annapurni Subramaniam, and 30 others have been chosen for the inaugural Rashtriya Vigyan Puraskar (RVP), India’s new national science awards established last year.

    What is Rashtriya Vigyan Puraskar?

    • The RVP comprises four awards:
    1. Vigyan Ratna for lifetime achievement.
    2. Vigyan Shri for scientists of all ages.
    3. Vigyan Yuva for scientists under 45 years.
    4. Vigyan Team for collaborative research work.
    • These awards were instituted last year, replacing all existing science awards, including the prestigious Shanti Swarup Bhatnagar Prize.
    • The Vigyan Yuva now serves as a replacement for the Bhatnagar Prize, which also recognized outstanding scientists below 45 years.

    Ceremony Details:

    • These awards shall be announced on the National Technology Day (11th May) every year.
    • The Award Ceremony for all categories of awards shall be held every year on the National Space Day on 23rd August.
    • The Hon’ble President of India / The Hon’ble Vice President of India may confer the Awards.

    Notable Awardees

    • G Padmanabhan: At 86, G Padmanabhan, a renowned biochemist known for his work on the malaria parasite, has been named a Vigyan Ratna, recognizing his lifetime achievement in science. Padmanabhan is a towering figure in Indian science and has been honored with the Padma Shri and Padma Bhushan.
    • Chandrayaan-3 Team: The team behind Chandrayaan-3, which successfully landed India’s first spacecraft on the Moon last year, has been awarded the Vigyan Team award for their collaborative research work.
    • Vigyan Yuva Puraskar Recipients:
      • Vivek Polshettiwar (Tata Institute of Fundamental Research, Mumbai): A chemist working on carbon capture technologies.
      • Urbasi Sinha (Raman Research Institute, Bengaluru): A leading expert in quantum research.
      • Roxy Mathew Koll (Indian Institute of Tropical Meteorology, Pune): A climate scientist.
    • Annapurni Subramaniam:
      • Among the 13 scientists selected for the Vigyan Shri award, Annapurni Subramaniam’s main research focuses on the formation and evolution of star clusters and galaxies.
    • Other Vigyan Shri Recipients:
      • Jayant Bhalchandra Udgaonkar: A biologist and former director of IISER Pune.
      • Naba Kumar Mondal: A particle physicist from Saha Institute of Nuclear Physics, Kolkata.

    PYQ:

    [2009] For outstanding contribution to which one of the following fields is Shanti Swarup Bhatnagar Prize given?

    (a) Literature

    (b) Performing Arts

    (c) Science

    (d) Social Service

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  • Foreign Policy Watch: India-United States

    A shift in the US to autocratic trends   

    Explained | International Relations | Mains Paper 2: Bilateral, Regional and Global Groupings and agreements involving India

    Why in the news?

    Since WWII, U.S. foreign policy framed democracies vs. dictatorships, but this binary blurs with recent domestic political trends and shifting allegiances.

    The binary between democracy and autocracy in the USA  

    Difference between Democracy and Autocracy

    • Democracy is defined as a system of government where the population, typically through elected representatives, exercises power. It emphasizes freedom, constitutional governance, and the protection of fundamental rights.
    • In contrast, autocracy is characterized by absolute power held by a single ruler, where the will of the ruler supersedes the rights and freedoms of individuals. Autocracies suppress dissent and limit political pluralism, often relying on force and coercion to maintain control.

    • Current Political Climate

        • The political landscape in the U.S. has shifted towards a more autocratic style of governance, particularly among factions within the Republican Party. This shift is marked by a growing acceptance of strongman leadership, which seeks to undermine traditional democratic norms and institutions.
        • Trump’s rhetoric and actions have often reflected a disdain for the checks and balances that are foundational to American democracy. His assertion of broad presidential powers and his attempts to consolidate authority signal a move away from democratic principles toward a more autocratic governance model.

    • Implications of the Shift

      • This trend raises concerns about the future of democracy in the U.S. Supporters of Trump and similar populist leaders often view the federal government as an adversary, promoting a narrative that pits “the people” against a corrupt establishment. 

    What are the different phases of transformation?  

    • Rise of the Administrative State: The first phase was the rise of the administrative state under Theodore Roosevelt, Woodrow Wilson, Franklin Roosevelt, Lyndon Johnson and Richard Nixon.
        • This broadened the scope of government intervention and generated a complex bureaucracy to address social problems and welfare.
    • Centralizing Executive Power: As the administrative state grew, presidents needed to bring it under their direct control. During the 1980 transition, Ronald Reagan’s team employed a large staff to centralize control over policy, budgeting, and appointments. This led to the centralized apparatus that now resides in the Executive Office of the President.
    • In 2024, embracing autocratic tendencies: The populist faction of the Republican Party, concentrated among less educated, blue-collar, white, rural, and religious populations disadvantaged by globalization, embraces a strongman vision of leadership that operates beyond democratic norms.  
      • Trump waged a campaign against norms and institutions of two-party politics, culminating in his efforts to overturn the 2020 election. The Supreme Court’s ruling granting Trump immunity from prosecution for official acts has significantly blurred the line between democracy and autocracy.

    The present new normal

    • Erosion of Democratic Norms and Institutions: Trump showed disdain for legal limitations on presidential power and waged a campaign against democratic norms and institutions. His attempts to overturn the 2020 election results despite losing to Biden exemplified this authoritarian tendency.
    • Conservatism and Nationalism: Trumpism embraced conservative values like opposition to abortion, support for gun rights, and backing law enforcement.
      • Trump reshaped U.S. foreign policy to prioritize American interests over global cooperation and multilateralism.

    Way forward: 

    • Strengthen Democratic Institutions: Need to reinforce checks and balances to prevent executive overreach, enhance judicial independence, and protect electoral integrity to ensure democratic principles are upheld.
    • Promote Civic Education and Engagement: Need to educate citizens on democratic values, the importance of pluralism, and the dangers of autocracy to foster informed and active participation in the democratic process.

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  • Foreign Policy Watch: India-Bangladesh

    How India needs to deal with the new Bangladesh?  

    Explained | International Relations | Mains Paper 2: Bilateral, Regional and Global Groupings and agreements involving India

    Why in the News?

    India will require significant political and diplomatic acumen to navigate the fallout from Sheikh Hasina’s fall, which could destabilize and potentially reshape the geopolitics of the subcontinent.

    Why Hasina’s fall was not a surprise?

    • Long-standing Discontent: Widespread protests against Sheikh Hasina’s government had been brewing over issues like a controversial quota system for government jobs, indicating significant public discontent.
    • Authoritarian Drift: Hasina’s government has been accused of suppressing opposition and civil society through measures like the Digital Security Act, which has been used to arrest critics and journalists.
    • Historical Context: Since gaining independence in 1971, Bangladesh has experienced several military coups, political assassinations, and periods of military rule, including the killing of Hasina’s father, Mujibur Rahman, in 1975.

    Five Challenges Beyond 1971

    • Engagement with Opposition: Due to prevailing political uncertainity, India need to distance itself from Hasina and engage with her opponents to maintain credibility and influence in Bangladesh.
    • Managing Regional Rivalries: India needs to prepare for potential exploitation of the situation by Pakistan and China, which may seek to influence the new government against Indian interests.
    • Historical Narratives: India needs to navigate the complex historical narratives surrounding the 1971 liberation of Bangladesh, recognizing that many in Bangladesh do not share the same interpretation.
    • Economic Stability: Ensuring economic stabilization in Bangladesh will be crucial, requiring collaboration with regional partners to prevent extremism and maintain stability.
    • Recognition of Local Agency: India must acknowledge that Bangladesh has its own political dynamics and agency, which cannot be solely dictated by Indian interests or actions.

    What India must prepare for now? (Way forward)

    • Diplomatic Strategy: India needs to develop a proactive diplomatic strategy to engage with the new government in Bangladesh while avoiding perceptions of interference.
    • Security Concerns: India must be vigilant about border security and the potential resurgence of anti-India activities, especially if the new government leans towards Pakistan or China.
    • Economic Engagement: Strengthening economic ties and leveraging people-to-people connections will be essential for maintaining a positive relationship with Bangladesh, regardless of political changes.
    • Learning from Past Experiences: India should draw lessons from its past experiences with political transitions in the region, such as in Afghanistan, to navigate the current situation effectively.
    • Collaborative Approach: Working with international partners, including the US and Gulf nations, will be important to address the challenges posed by the political shift in Bangladesh and to ensure regional stability.

    Mains PYQ: 

    Q Critically examine the compulsions which prompted India to play a decisive role in the emergence of Bangladesh. (2013)

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  • Minority Issues – SC, ST, Dalits, OBC, Reservations, etc.

    On UP’s stringent Anti-conversion law     

    Explained | Polity | Mains Paper 2: Indian Constitution – historical underpinnings, evolution, features, amendments, significant provisions and basic structure

    Why in the news?

    The UP Assembly’s amendments to its regressive ‘Anti-conversion’ law appear aimed at facilitating misuse, with over 400 cases registered since the original 2021 law.

    What is UP’s ‘Anti-conversion’ law?

    • Uttar Pradesh’s “Anti-conversion” law, officially known as the Uttar Pradesh Prohibition of Unlawful Conversion of Religion Act, 2021, prohibits religious conversion through unlawful means such as misrepresentation, force, undue influence, coercion, allurement, or fraudulent means.

    Why was the Original 2021 Anti-Conversion Law Amended by UP?

    • Increased Stringency: The amendments aim to make the original law more stringent, responding to claims of rising cases of forced conversions and the alleged involvement of foreign and anti-national elements in demographic changes.
    • Response to Public Discontent: The government cited the need to enhance penalties and legal measures to prevent unlawful conversions, particularly concerning vulnerable groups such as minors and women.
    • Legitimacy of Complaints: The amendment allows third parties to file complaints about alleged unlawful conversions, expanding the scope of the law and potentially increasing its application against inter-faith marriages.

    What are Its concerning features?

    • Harsh Penalties: The amended law introduces severe penalties, including imprisonment of up to 20 years or life for targeting minors, women, or certain communities through coercion or force.
    • Bail Conditions: The law imposes stringent bail conditions that make it difficult for accused individuals to secure bail, requiring public prosecutor consent and a presumption of guilt.
    • Third-Party Complaints: The provision allowing anyone to file complaints against alleged conversions opens the door for misuse by communal organizations and individuals with vested interests, potentially targeting inter-faith couples.

    What does it state about bail conditions and ‘foreign funding’?

    • Bail conditions: The amended law states that an accused individual cannot be granted bail unless the public prosecutor has the opportunity to oppose it, and there is reason to believe the accused is not guilty and unlikely to repeat the offence.
    • Foreign funding: The law prescribes stiff penalties for receiving funds from foreign organizations for unlawful conversion, with fines and imprisonment aimed at deterring financial support for conversion activities.

    How is it different from other states?

    • Comparison with Other States: While several states like Odisha and Madhya Pradesh have anti-conversion laws, Uttar Pradesh’s amendments are notably harsher, including provisions for life imprisonment, which are not present in other states.
    • Bail and Proof Burden: Other states may not impose such severe bail conditions or the reverse burden of proof required in Uttar Pradesh, making it easier for accused individuals in those states to secure bail.
    • Scope of Complaints: In many states, only aggrieved individuals or their close relatives can file complaints, whereas Uttar Pradesh’s amendments allow for broader third-party complaints, increasing the potential for misuse.

    Way forward:

    • Promote Awareness of Rights: Implement comprehensive public awareness campaigns to educate citizens about their legal rights concerning religious conversion and inter-faith marriages.
    • Legal and Constitutional Review: Stakeholders, including civil society organizations and legal experts, should actively pursue legal challenges against the amended law in the Supreme Court of India.

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  • Poverty Eradication – Definition, Debates, etc.

    Counting the ‘poor’ having nutritional deficiency       

    Explained | Indian Society | Mains Paper 1: Poverty & Development Issues

    Why in the news?

    The National Sample Survey Office has released the Household Consumption Expenditure Survey (HCES) report for 2022-23, along with public access to unit-level data on household expenditures.

    What does the recent NSSO Report tell us?

    • The report utilizes various definitions of poverty established by past committees, with the poverty line (PL) being anchored to calorie norms of 2,400 kcal for rural and 2,100 kcal for urban areas as per the Lakdawala Committee. The Rangarajan Committee’s approach considers broader normative levels, including non-food expenses.
    • The average per capita calorie requirement (PCCR) is estimated at 2,172 kcal for rural and 2,135 kcal for urban populations. The report highlights that the average per capita calorie intake (PCCI) for the poorest segments falls significantly below these requirements, indicating nutritional deficiencies.
    • The total monthly per capita consumption expenditure (MPCE) thresholds are set at ₹2,197 for rural and ₹3,077 for urban areas, with proportions of the population identified as ‘poor’ being 17.1% in rural and 14% in urban contexts. If non-food expenditures for the poorest 10% are considered, these thresholds rise, increasing the proportion of the deprived.

    Approach for measurement is the Issue:

    • Defining Poverty: The report defines the poor based on MPCE, which is linked to the ability to purchase essential food and non-food items.
      • The reliance on MPCE does not adequately address nutritional needs. While the poverty line is linked to the ability to purchase food and non-food items.
    • Caloric Requirement Calculation: The PCCR is derived from the ICMR-National Institute of Nutrition’s latest recommendations, weighted by the population distribution across age-sex-activity categories.
      • The ICMR-National Institute of Nutrition’s (ICMR-NIN) recommendations for caloric requirements in India are derived from the Recommended Dietary Allowances (RDA) for Indians.
      • The RDA does not adequately account for regional and cultural differences in dietary habits and food availability.
    • Fractile Class Analysis: Households are categorized into 20 fractile classes based on MPCE, allowing for the calculation of average PCCI and MPCE for each class.
      • Each fractile class represents 5% of the population, allowing for a detailed understanding of expenditure distribution and nutritional intake variations within the population
      • MPCE reflects consumption patterns but does not capture the full spectrum of economic well-being or deprivation.
    • State-Specific Adjustments: The all-India thresholds are adjusted for regional price differences to derive state-specific MPCE thresholds.
      • The methodology for deriving state-specific MPCE thresholds relies on regional price indexes, which can vary significantly in their construction and accuracy.

    Recommendations for Improving Nutritional Levels (Way Forward) 

    • Nutritional Schemes: Govt. needs to develop and expand schemes specifically aimed at improving the nutritional intake of the poorest households.
    • Awareness and Education: Govt. should increase awareness about nutrition and healthy eating practices among low-income households.
    • Subsidized Food Programs: Need to enhance access to subsidised food items to ensure that households can meet their caloric and nutritional needs.
    • Monitoring and evaluation: Govt. should establish robust mechanisms to monitor the effectiveness of nutritional interventions and adjust strategies as necessary.

    Conclusion: ​​The NSSO HCES 2022-23 report reveals significant nutritional deficiencies among the poorest. To align with SDG goals, expanding targeted nutritional schemes, subsidized food programs, and robust monitoring is essential.

    Mains PYQ: 

    Q How far do you agree with the view that the focus on the lack of availability of food as the main cause of hunger takes the attention away from ineffective human development policies in India? (2013)

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  • RBI Notifications

    RBI Report on Currency and Finance (RCF), 2023-24

    Prelims Only | Economics | Mains Paper 3: Indian Economy

    Why in the News?

    The Reserve Bank of India (RBI) released the “Report on Currency and Finance (RCF)” for the year 2023-24 with the theme – India’s Digital Revolution.

    What is the Report on Currency and Finance (RCF)? 

    • The RCF is an annual publication by the Reserve Bank of India (RBI).
    • It covers various aspects of the Indian economy and financial system, providing insights and analysis on current economic conditions, financial stability, and policy issues.
    • The theme for the 2023-24 report is “India’s Digital Revolution.”
    • Focus: It focuses on the transformative impact of digitalization across various sectors in India, especially in the financial sector.
    • Highlights: The report highlights how digital technologies are reshaping economic growth, financial inclusion, public infrastructure, and the regulatory landscape. It also addresses the opportunities and challenges associated with digitalization.

    Key Highlights of the RCF:

    [1] Digital Revolution

    • The RCF emphasizes India’s leading role in the global digital revolution.
    • With robust digital public infrastructure (DPI), evolving institutional frameworks, and a tech-savvy population, India has emerged as a frontrunner in this arena.
    • Key initiatives such as Aadhaar, the world’s largest biometric-based identification system, and the UPI, a real-time, low-cost transaction platform, have revolutionized service delivery and financial inclusion.

    [2] Digitalization in Finance

    • The above-discussed initiatives have made retail payments faster and more convenient, while the RBI’s pilot runs of the E-Rupee position India at the forefront of digital currency initiatives.
    • The digital lending ecosystem is also vibrant, with the Open Credit Enablement Network and the Open Network for Digital Commerce (ONDC) driving growth.

    [3] Remittance Inflows in India

    • India continues to lead as the highest remittance recipient globally, with US$ 115.3 billion in 2023, accounting for 13.5% of the world’s total remittances.
    • The RCF highlights that more than half of India’s inward remittances in 2021 came from the Gulf countries, with North America contributing 22%.
    • The remittance-to-GDP ratio for India has risen from 2.8% in 2000 to 3.2% in 2023, surpassing the gross FDI inflows to GDP ratio of 1.9% in 2023.
    • Looking forward, India is poised to remain a leading supplier of labor, with its working-age population expected to rise until 2048, potentially propelling remittances to around $160 billion by 2029.

    [4] Smartphones Penetration

    • India’s mobile penetration has seen remarkable growth, with internet penetration reaching 55% in 2023 and an increase of 199 million internet users over the past three years.
    • The cost per gigabyte of data in India is the lowest globally, at an average of Rs. 13.32 per GB.
    • India has one of the highest mobile data consumption rates worldwide, with an average per-user per-month consumption of 24.1 GB in 2023.
    • The number of smartphone users in India was about 750 million in 2023, expected to reach 1 billion by 2026. 
    • The RCF projects that India will become the second-largest smartphone manufacturer within the next 5 years.

    PYQ:

    [2017] Which of the following is the most likely consequence of implementing the ‘Unified Payments Interface (UPI)’?

    (a) Mobile wallets will not be necessary for online payments.
    (b) Digital currency will replace physical currency in about two decades.
    (c) FDI inflows will drastically increase.
    (d) Direct transfer of subsidies to poor people will become very effective.

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  • Innovations in Biotechnology and Medical Sciences

    The Physics of Pressure

    Prelims Only | Science Tech | Mains Paper 3: Awareness in various sc and tech fields

    Why in the News?

    • Pressure is an indispensable part of life, often unnoticed but always present.
      • It’s the interaction of microscopic particles with the macroscopic world, creating phenomena like air pressure.

    What is Pressure?

    • Pressure is defined as the force exerted per unit area on a surface. 
    • For example, an apple weighing 100 g exerts a force of about 1 newton (N) on your hand and a pressure of approximately 500 Pa.
    • Atmospheric pressure is around 100,000 Pa, equivalent to the pressure exerted by about 200 apples on your hand.

    Everyday Examples of Pressure

    (1) Measuring Blood Pressure:

    • Blood pressure, measured in mm of mercury (mmHg), is an example of pressure in a different context.
    • Blood pressure is measured using a sphygmomanometer, which balances the pressure in an arm cuff with the pressure of the blood in the arteries.
    • The readings, such as 120/80 mmHg, represent the pressure during heartbeats (systolic) and between beats (diastolic).
    • Mercury, being 15 times heavier than water, allows for portable blood-pressure machines.

    (2) Pressure Cookers:

    • The whistle of a pressure cooker is a direct result of the increased pressure cooking the food efficiently.
    • The pressure cooker exemplifies the practical application of pressure in cooking, making it an indispensable kitchen tool.

    PYQ:

    [2021] In a pressure cooker, the temperature at which the food is cooked depends mainly upon which of the following?​

    1. Area of the hole in the lid​

    2. Temperature of the flame​

    3. Weight of the lid​

    Select the correct answer using the code given below.​

    (a) 1 and 2 only ​

    (b) 2 and 3 only​

    (c) 1 and 3 only ​

    (d) 1, 2 and 3​

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  • Goods and Services Tax (GST)

    GST on Health and Life Insurance Premiums

    Prelims Only | Economics | Mains Paper 3: Indian Economy

    Why in the News?

    • Insurance premiums on health and life policies have increased this year, and the 18% Goods and Services Tax (GST) has made insurance less affordable for many people.
      • Medical inflation, estimated at 14% towards the end of last year, along with increased premiums, has made buying medical insurance difficult for many.

    What is the GST on Health and Life Insurance Premiums?

    • GST replaced all indirect taxes like service tax and cess from July 1, 2017.
    • Currently, GST on health and life insurance policies is fixed at 18%.
    • According to the formula, the Centre collects 9% GST with a matching collection by states.
      • Before GST, life insurance premiums were subject to 15% service taxes, including Basic Service Tax, Swachh Bharat cess, and Krishi Kalyan cess.

    Rational behind the Tax

    • GST Council Recommendations:
      • GST rates and exemptions on all services, including insurance, are prescribed on the recommendations of the GST Council, which includes the Union Finance Minister and ministers nominated by state governments.
      • Insurance is considered a service, and policyholders pay tax on their premiums, generating significant revenue for the government.
    • Tax Deductions:
      • Insurance policies allow certain deductions while computing income tax under Sections 80C and 80D of the Income Tax Act, 1961. Customers can avail deductions on the premium, including the GST applicable.

    Arguments for Withdrawing the GST on Premiums

    • High Premium Increases:
      • Significant increases in premiums on health insurance policies this year have been observed, with some public sector insurers hiking premiums by 50%.
      • The renewal rate of policies is declining due to frequent premium hikes and medical inflation.
    • Comparative GST Rates:
      • The Confederation of General Insurance Agents’ Associations of India points out that GST on insurance in India is the highest in the world.
      • The high GST rate is seen as a deterrent to insurance penetration, which conflicts with the goal of “Insurance for All by 2047”.
    • Recommendations for Rationalisation:
      • The Standing Committee on Finance recommended rationalising the GST rate on insurance products to make them more affordable.
      • Suggestions include reducing GST rates for health insurance, especially for senior citizens, micro-insurance policies, and term policies.

    Insurance Penetration in India:

    • According to a Swiss Re Sigma report, insurance penetration in India’s life insurance sector reduced from 3.2% in 2021-22 to 3% in 2022-23, while the non-life insurance sector remained stagnant at 1%.
    • Overall insurance penetration reduced to 4% in 2022-23 from 4.2% in 2021-22.

     

    PYQ:

    [2018] Consider the following items:

    1. Cereal grains hulled

    2. Chicken eggs cooked

    3. Fish processed and canned

    4. Newspapers containing advertising material

    Which of the above items is/are exempted under GST (Goods and Services Tax)?

    (a) 1 only

    (b) 2 and 3 only

    (c) 1, 2 and 4 only

    (d) 1, 2, 3 and 4

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  • Anti Defection Law

    Anti-Defection Law: Features, limitations and reforms

    Prelims Only | Polity | Mains Paper 2: Indian Constitution – historical underpinnings, evolution, features, amendments, significant provisions and basic structure

    Why in the News?

    • Numerous examples in recent time exist in the history of Parliament and State Assemblies where MPs or MLAs have defected from their party.
      • These activities often led to the frequent falling of governments.

    What is Anti-Defection Law?

    • The 52nd Constitutional Amendment introduced the anti-defection law through the Tenth Schedule in 1985.
    • It aimed at tackling political defections destabilizing governments, especially after the 1967 general elections.
    • According to this Schedule, a member of the State Legislature or the House of Parliament who voluntarily resigns from their political party or abstains from voting in the House contrary to the party’s instruction may be removed from the House.
    • This voting instruction is issued by the party whip, a member of the parliamentary party nominated by the political party in the House.

    Process of Disqualification under Anti-Defection Law

    • Petition:
      • Any member of the House can initiate the process by filing a petition/complaint with the Speaker (Lok Sabha) or Chairman (Rajya Sabha) alleging defection by another member.
      • The Presiding Officer CANNOT initiate disqualification proceedings suo moto and can only act upon a formal complaint.
    • Deciding Authority:
      • The Speaker of Lok Sabha, the Chairman of Rajya Sabha, or the State Legislative Assembly decides disqualification petitions under the anti-defection law.
    • Timeframe:
      • The law does not specify a strict timeline for the decision, which has led to criticism due to potential delays.
    • Judicial Review:
      • The decision can be challenged in courts, ensuring a system of checks and balances.
      • The landmark judgment in Kihoto Hollohan vs. Zachillhu and Others (1992) upheld the constitutionality of the anti-defection law and affirmed that decisions regarding disqualification are subject to judicial review.
    • Exceptions:
      • No disqualification if 1/3rd members of the legislature party split to form a separate group (provision DELETED by the 91st Amendment in 2003).
      • Mergers of political parties are allowed when 2/3rd of the members of a legislative party agree to merge with another party.

    Three-Test Formula of the Supreme Court:

    • The Supreme Court in Sadiq Ali versus Election Commission of India (1971) laid down the three-test formula for recognizing the original political party:
    1. Test of Aims and Objectives of the party.
    2. Test of Party Constitution, which reflects inner-party democracy.
    3. Test of Majority in the legislative and organizational wings.

    Limitations of the Anti-Defection Law

    • Dictatorship of Party: The law has been criticized for undermining democratic principles by restricting legislators’ freedom of speech and making them more accountable to party leaders than their constituents.
    • Limited Political Choice: The law discriminates against independent members, disqualifying them immediately if they join a political party, while nominated members have a six-month grace period.
    • Partial Law: The law needs a more precise timeline for resolving defection cases. It allows large-group defections, fostering opportunistic mergers and “horse-trading”, destabilizing the political system.
    • Promotes Defection: It fails to address root causes like intra-party democracy, corruption, and electoral malpractices.

    Recommendations on Reforming the Law

    • Dinesh Goswami Committee (1990):
      • Disqualification should be limited to cases of voluntarily giving up membership or voting/abstention contrary to the party direction only in specific motions.
      • Decision on disqualification should be made by the President or Governor based on the advice of the Election Commission.
    • Law Commission of India (2015):
      • Proposed shifting the power to decide disqualification petitions from the Presiding Officer to the President or Governor based on the advice of the Election Commission.
    • Supreme Court in K. M. Singh v. Speaker of Manipur (2020):
      • Recommended transferring the Speaker’s decision-making authority over disqualification petitions to an independent tribunal presided over by judges.
    • Committee Led by Rahul Narwekar:
      • Announced by Lok Sabha Speaker Om Birla to review the nation’s anti-defection law.

    PYQ:

    [2022] With reference to anti-defection law in India, consider the following statements:

    1. The law specifies that a nominated legislator cannot join any political party within six months of being appointed to the House.
    2. The law does not provide any time-frame within which the presiding officer has to decide a defection case.

    Which of the statements given above is/are correct?

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

    [2013] The role of individual MPs (Members of Parliament) has diminished over the years and as a result healthy constructive debates on policy issues are not usually witnessed. How far can this be attributed to the anti-defection law, which was legislated but with a different intention?

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  • Minority Issues – SC, ST, Dalits, OBC, Reservations, etc.

    The Waqf Board Amendment Bill 2024

    Explained | Governance | Mains Paper 2: Governance, Transparency & Accountability, Citizens Charters

    Why in the News?

    The government has introduced the Waqf Act Amendment Bill 2024, in order to improve administration and management of the Waqf properties.

    Aim: To address existing issues in the management and administration of Waqf properties, ensuring better transparency and efficiency.

    • It also seeks to improve the legal framework governing Waqf boards and their operations across India.

    Background:

    • The Waqf Board Amendment Bill 2024 proposes changes to the Waqf Act of 1995.
    • The Waqf Board Act, initially enacted in 1995, is a legal framework governing the administration of Waqf properties in India.
    • Waqf refers to the endowment of property for religious or charitable purposes, and the act outlines the structure, functions, and powers of Waqf boards responsible for managing these properties.
    • The Central Waqf Council is a statutory body that advises and oversees the functioning of state-level Waqf Boards in India, established under the Waqf Act.
    • Wakf board’s income is exempt from Income Tax but revenue generated from leasing of properties can be taxed under the service tax and GST laws.

     Features of the Proposed Bill:

    • Waqf Board will mandatorily have two Non-Muslim members.
    • District magistrates may be involved in overseeing waqf properties to ensure proper management. The survey is to be carried out by the district collector, not by Waqf.
    • Properties are to be registered through a Centralized Portal for better scrutiny. Properties already claimed by boards will undergo new verification processes to resolve disputes and prevent misuse.
    • Waqf will lose the right to decide whether any property is a Waqf Asset or not.

    Present Composition of Waqf Board
    Chairperson Leads the Board
    State government nominees Representatives appointed by the state. (The Waqf Board operates under the supervision of the state government as per the provision of the Wakf Act 1995).
    Legislators and parliamentarians State representatives from the Muslim community
    State Bar Council members Muslim Legal experts providing guidance
    Mutawalis Managers of waqf with an annual income of Rs 1 lakh and above
    Islamic scholars Religious experts contributing to decision-making

     

    Significance of the Waqf Board Amendment Bill 2024:

    The bill seeks to bring about significant administrative reforms and ensure more inclusive and efficient management of Waqf assets. Here are some of the significances of the Waqf Board Amendment Bill 2024:

    • Enhanced Transparency: The bill includes provisions to digitize records and create a centralized database. This will make it easier to track and manage Waqf properties, reducing the potential for fraud and mismanagement.
    • Improved Governance: Administrative reforms proposed in the bill by the government will lead to more professional and efficient management of Waqf properties. This could result in better utilization of these resources for charitable and religious purposes​.
    • Protection of Waqf Properties: The bill aims to protect Waqf properties by regulating leasing and preventing encroachments. Unauthorized use and exploitation of these properties will be prevented, ensuring they are used for their intended religious and charitable purposes.
    • Inclusion and Representation: Including Muslim women and non-Muslims in Waqf Boards is a step toward more inclusive governance, ensuring diverse perspectives in decision-making.
    • Efficient Dispute Resolution: The new dispute resolution mechanism will help in resolving conflicts related to Waqf properties more effectively, reducing the burden on regular courts and ensuring quicker justice​.

     

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  • Trade Sector Updates – Falling Exports, TIES, MEIS, Foreign Trade Policy, etc.

    Why was a Customs Duty hike imposed for Lab Chemicals?   

    Explained | Economics | Mains Paper 3: Effects Of Liberalization On The Economy, Changes In Industrial Policy and their effects on Industrial Growth

    Why in the News?

    The Finance Ministry has reversed the proposed post-Budget customs duty hike on imported laboratory chemicals following an outcry from scientists.

    What are the different kinds of chemicals which are imported into the country?  

    • Inorganic Chemicals: This category includes substances like ammonia, phosphoric acid, and sulfuric acid, which are essential for various industrial applications.
    • Organic Chemicals: Key imports in this category are methanol, acetic acid, and phenol, which are used in the production of plastics, solvents, and pharmaceuticals.
    • Petrochemicals: Significant imports include polyethene, polypropylene, and styrene, which are crucial for manufacturing plastics and synthetic materials.
    • Speciality Chemicals: Chemicals such as ethyl vinyl acetate and maleic anhydride are imported for specific applications in industries like adhesives and coatings.
    • Agrochemicals: This includes various pesticides and herbicides, which are vital for agricultural productivity and crop protection.

    How important are these chemicals for scientific research?    

    • Foundation for Experimental Work: Laboratory chemicals are essential for conducting experiments in various scientific fields, enabling researchers to test hypotheses and validate results.
    • Facilitate Innovation: These chemicals allow for the development of new products and technologies, driving advancements in industries such as pharmaceuticals, biotechnology, and materials science.
    • Support Medical Diagnostics: Laboratory chemicals play a crucial role in medical testing and diagnostics, aiding in disease detection and treatment monitoring, which is vital for public health.

    What was the issue?

    • Steep Duty Increase: The hike in customs duty on laboratory chemicals alarmed the scientific community, with prices of essential chemicals projected to rise dramatically, such as a batch that typically costs ₹1,00,000 now estimated at ₹2,50,000.
    • Impact on Research: Researchers expressed concerns that the increased costs would hinder scientific research and experimentation, as many essential chemicals are imported and the hike could disrupt ongoing projects.

    Is Ethanol also imported into the country?

    • Import Volume: India imported approximately 635 million liters of ethanol in 2022, primarily for use as fuel and in industrial applications.
    • Types of Ethanol: There are two main types of ethanol relevant to India:
      • Denatured Ethanol: This type is mixed with additives to make it unfit for consumption and is primarily used in laboratories and industrial applications. India has reduced the import tariff on denatured ethanol to encourage its use in manufacturing.
      • Undenatured Ethanol: This type incurs a higher import tariff of 150% and is generally used for beverage production.
    • Domestic Production Challenges: Although India has a significant capacity for ethanol production, it often faces challenges such as insufficient molasses supply. The government has set ambitious goals for ethanol blending in gasoline, aiming for a 20% blend by 2025.

    How was the issue resolved?

    • The Finance Ministry clarified that all imported laboratory chemicals, except undenatured ethyl alcohol, will be taxed at the original 10% customs duty rate instead of the proposed 150% hike.
    • The customs department had initially hiked the duty to 150% to curb the import of undenatured ethyl alcohol that was being mis-declared as laboratory chemicals to avoid the higher 150% duty on undenatured ethanol.

    Way forward: 

    • Strengthen Local Production of Niche Chemicals: Need to invest in domestic manufacturing capabilities for niche and specialty chemicals to reduce dependency on imports, enhance self-sufficiency, and lower costs for research institutions.
    • Facilitate Smooth Import Processes: Govt. should streamline import regulations for essential laboratory chemicals, ensuring clear guidelines and minimal delays, while maintaining necessary checks to prevent misclassification and misuse.

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  • Renewable Energy – Wind, Tidal, Geothermal, etc.

    Powering India’s future  

    Explained | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

    Why in the News?

    In her seventh consecutive Budget address, the Finance Minister unveiled initiatives demonstrating India’s dedication to advancing its clean energy transition.

    Recent Observations

    • In a seventh consecutive Budget speech, the Finance Minister announced measures indicating India’s commitment to its clean energy transition, including developing policies on pumped hydro storage, energy transition pathways to support nuclear energy, and energy efficiency.
    • The memories of this summer’s record-breaking heatwaves, which drove up power demand, reflect both a growing economy and a warming climate.
    • India has achieved 3 key milestones in the last decade: 
      • Near-universal electrification through the Saubhagya scheme;
      • Five-fold increase in installed renewable energy capacity making India the fourth-largest country globally, and
      • 40% drop in aggregate losses of power distribution companies.
    • India’s annual electricity demand has been growing by 7-9% every year since the COVID-19 pandemic, with peak demand rising even faster. Climate change-induced weather extremes further exacerbate these challenges.
    • In 2023 alone, China added 300 GW of solar and wind capacity, while the European Union added 73 GW. As of March, India’s cumulative renewable capacity stood at 144 GW, with another 128 GW in the pipeline

    Investing in a cleaner, flexible, and resilient power grid will help our economy grow sustainably and create jobs in the clean energy sectors

    • Infrastructure Development: The government has allocated significant resources for infrastructure development, recognizing that a robust energy grid is crucial for economic growth.
    • Renewable Energy Capacity Goals: India aims to achieve 500 GW of renewable energy capacity by 2030. This goal is part of a broader strategy to increase the share of renewables in the energy mix, which currently stands at only 13%.
    • Job Creation: Investments in clean energy infrastructure are expected to create numerous jobs.
    • Diverse Clean Energy Resources: The Budget encourages the faster deployment of various clean energy resources, including solar and wind, to meet rising energy demands.
    • Energy Storage Solutions: The emphasis on developing pumped energy storage systems and battery storage solutions is crucial for addressing the intermittency of renewable energy sources, enhancing grid flexibility and reliability.
    • Taxonomy for Climate Finance: The introduction of a taxonomy to identify green activities aims to attract climate finance, facilitating investments in clean energy projects and supporting the transition to a sustainable energy economy.

    Way forward:

    • Accelerate Renewable Energy Deployment: Need to expedite the deployment of solar, wind, and other renewable energy projects to meet the 500 GW target by 2030.
    • Enhance Energy Storage and Grid Resilience: Need to develop robust energy storage solutions, such as pumped hydro and battery storage, to address renewable energy intermittency.

    Mains PYQ:

    Q Clean energy is the order of the day.’ Describe briefly India’s changing policy towards climate change in various international fora in the context of geopolitics. (2022)

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  • Women Safety Issues – Marital Rape, Domestic Violence, Swadhar, Nirbhaya Fund, etc.

    The issue of institutional violence, addressing it   

    Explained | Indian Society | Mains Paper 1: Role Of Women & Women Organization

    Why in the News?

    India’s election had 642 million voters, mostly women, but few candidates focused on women’s safety, failing to address the pervasive institutional violence that millions of survivors endure daily.

    Gender-based Violence: Prolonged and Institutional 

    • Judicial and Police Challenges: A significant barrier to justice is the perception among police officers that complaints of gender-based violence are often baseless as per the report published in 2019 by J-PAL, a global policy think tank.
      • Survivors frequently encounter a judicial process that is lengthy and traumatizing, which perpetuates a cycle of violence and silence.
    • Silence Among Survivors: Many women endure violence in silence due to societal stigma and fear of further victimization. 
      • National Crime Records Bureau reported 405,861 cases of crimes against women in 2021, including 32,033 cases of rape. However, these figures are believed to represent only a fraction of the actual incidents due to underreporting driven by societal stigma and fear of retaliation

    Problems in Rural India

    • Caste and Gender Dynamics: In rural areas, the dominance of male and upper-caste individuals in local governance (panchayats) creates additional barriers for women seeking justice.
      • The socio-cultural norms often discourage women from reporting violence, as divorce and legal recourse are rarely options available to them.
    • Access to Justice: The backlog of court cases (estimated at 40 million) disproportionately affects survivors from marginalized communities, making it even more difficult for them to seek redress.

    Strong laws: 

    • The Dowry Prohibition Act 1961: Made giving and receiving dowry a crime
    • The Criminal Law (Amendment) Act 2013: Introduced new offences like stalking, voyeurism, and acid attacks
    • The Protection of Women from Domestic Violence Act 2005: Defines domestic violence and provides legal recourse for survivors.

    Issue of Weak Implementation of Law: 

    • Ineffective Enforcement: Despite having strong laws, the enforcement is often inadequate. For example, there are approximately 40 million pending court cases in India, leading to significant delays in justice.
    • Corruption and Indifference: Corruption within law enforcement and the judiciary hampers the implementation of laws. Police officials may exhibit insensitivity towards marginalized communities, leading to a lack of trust in the system.
    • Administrative Fragmentation: The structure of local governance, particularly through panchayats, is often disempowered and fragmented. This limits their capacity to address local issues effectively, as they lack the necessary funds and authority to implement programs that meet community needs.
    • Lack of Coordination: Multiple departmental organizations operate separately, leading to a lack of coordinated action.
      • For instance, local officials may be unable to address pressing community issues due to rigid departmental mandates that do not align with the actual needs of the population.
    • Inadequate Resources and Training: Many implementing organizations suffer from inadequate staffing and lack of expertise.
      • For example, while there may be a sufficient number of government personnel, they often lack the necessary training and resources to execute their duties effectively.
    • Cultural and Societal Barriers: Societal attitudes and stigma surrounding issues like gender-based violence can lead to underreporting and a reluctance to seek help.

    Way forward: 

    • Enhance Law Enforcement Training: Need to implement comprehensive training programs for police and judicial personnel focused on gender sensitivity, trauma-informed responses, and the legal rights of survivors.
    • Empower Local Communities: Engage community leaders and organizations to create support networks for survivors of gender-based violence. This can include establishing helplines, counseling services, and safe spaces for women to seek help without fear of stigma or retaliation.

    Mains PYQ:

    Q Women empowerment in India needs gender budgeting. What are the requirements and status of gender budgeting in the Indian context? (2016)

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  • Liquor Policy of States

    On doorstep delivery of alcohol       

    Explained | Indian Society | Mains Paper 1: Salient features of Indian Society

    Why in the News?

    Delhi, Karnataka, Haryana, Punjab, Tamil Nadu, Goa, and Kerala are considering or have considered allowing doorstep delivery of alcohol through platforms such as Swiggy, BigBasket, and Zomato.

    Arguments in favour of Online Delivery of Alcohol:

    • Revenue Generation: Excise taxes on alcohol sales can help generate significant revenue for Central and State governments.
    • Reduce Drunk-Driving Incidents: Doorstep delivery can potentially reduce drunk-driving incidents and prevent road traffic crashes and injuries.
    • Access and Safety for Women:  Doorstep delivery may reduce on-premise violence against women and allow women to access alcohol without facing social stigma.

    Arguments against Online Delivery of Alcohol:

    • Economic Costs vs. Benefits: The costs due to alcohol use often exceed the economic benefits from alcohol sales.
    • Increased Consumption and Binge Drinking: The availability of alcohol on-demand can increase consumption, promote binge drinking, and lead to alcohol-related harms.
    • Public Health Concerns: Alcohol is associated with various health risks including cancers, mental illnesses, liver disease, and increased risk of inter-partner violence.

    Consumption of Liquor in India:

    • India is the sixth-largest alcohol market worldwide with $52 billion in revenue.
    • Per capita alcohol consumption has increased from 1.6 litres in 2003-2005 to 5.5 litres in 2016-2018.
    • According to a 2019 survey, there were about 16 crore alcohol users in India in 2018.
    • Of these, 5.7 crore frequently consumed alcohol leading to social or interpersonal problems, and 2.9 crore were dependent users requiring therapeutic intervention.

    Can such a system make it safer for women to access alcohol?

    • Doorstep delivery may help women access alcohol without dealing with social stigma.
    • There is some evidence that it could reduce on-premise violence against women, as seen in Kerala. However, domestic violence related to alcohol use is rampant, and the overall safety of women cannot be presumed.

    How should governments regulate liquor consumption? (Way forward)

    • Restrict Availability and Marketing: Implement policies to limit the availability and marketing of alcohol.
    • Higher Taxes: Increase taxes on alcohol to deter consumption and generate revenue.
    • Enforce Drunk-Driving Laws: Strengthen the enforcement of drunk-driving laws with stringent penalties.
    • Invest in Treatment Programs: Allocate funds for psychosocial treatments of alcohol-use disorders and mental health initiatives.
    • Monitor and Evaluate Impact: Governments should work with health departments to monitor and evaluate the impact of doorstep delivery on alcohol consumption and revise policies if necessary.
    • Uniform Policy Standards: Develop more uniform policy standards and ensure better implementation grounded in public health priorities over revenue generation.

    Mains question for practice:

    Q Analyze the trends in alcohol consumption in India over the past two decades. How has this trend impacted public health and social dynamics? 10M

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  • J&K – The issues around the state

    [pib] PM marks 5 years of abrogation of Articles 370 and 35(A)

    Prelims Only | Polity | Mains Paper 2: Indian Constitution – historical underpinnings, evolution, features, amendments, significant provisions and basic structure

    Why in the News?

    The Prime Minister recalled the Parliament’s 5-year-old decision to abrogate Articles 370 and 35(A), calling it a watershed moment.

    About Articles 370 and 35(A) of the Indian Constitution

    [1] Article 370: 

    Description
    Provision Grants special autonomous status to the state of Jammu and Kashmir.
    Nature Initially intended as a temporary provision, subject to eventual change or abrogation.
    Powers of State Allowed J&K to have its own Constitution and autonomy over internal matters except defense, foreign affairs, finance, and communications.
    Presidential Order President of India could extend or modify the application of Indian laws to J&K with the concurrence of the state government.
    Autonomy Details Provides a degree of autonomy to the state and permits the state to give some special privileges to its “permanent residents”.
    Emergency Provisions Emergency provisions are not applicable to the state on the grounds of “internal disturbance” without the concurrence of the State.
    State Boundaries Name and boundaries of the State cannot be altered without the consent of its legislature.
    Separate Institutions State has its own constitution, a separate flag, and a separate penal code (Ranbir Penal Code).
    Assembly Duration Duration of the state’s Assembly is 6 years, unlike five in the rest of India.
    Parliamentary Jurisdiction
    • Indian Parliament can pass laws regarding J&K in the matters of defense, external affairs, and communication only.
    • Any other law formed by Union will only be applicable in J&K by presidential order if it concurs with the state assembly.
    Abolishment Condition President may, by public notification, declare that this Article shall cease to be operative but only on the recommendation of the Constituent Assembly of the State.
    Abolishment In August 5, 2019, through a Presidential Order and a resolution passed by the Indian Parliament.
    Impact of Abrogation
    • J&K’s special status was revoked.
    • It was reorganized into two Union Territories: Jammu and Kashmir, and Ladakh.

     

    [2] Article 35A:  

    Description
    Provision Empowers the J&K legislature to define permanent residents of the state and provide them with special rights and privileges.
    Insertion Added to the Constitution through a Presidential Order in 1954.
    Permanent Residents Defined by the state as those who were state subjects on May 14, 1954, or have been residents for 10 years, and lawfully acquired immovable property.
    Special Rights Permanent residents were given exclusive rights to employment under the state government, acquisition of immovable property in the state, and scholarships.
    Constitutionality Debate Debated on the grounds that it was not added via an amendment procedure.
    Criticism Criticized for being discriminatory and creating a sense of separation from the rest of India.
    Revocation Along with Article 370, Article 35A was effectively nullified on August 5, 2019.

     

    PYQ:

    [2016] To what extent is Article 370 of the Indian Constitution, bearing marginal note “Temporary provision with respect to the State of Jammu and Kashmir”, temporary? Discuss The future prospects of this provision in the context of Indian polity.

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  • Coastal Zones Management and Regulations

    [pib] National Coastal Mission Scheme (NCM)

    Prelims Only | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

    Why in the News?

    The Ministry of Environment, Forest and Climate Change (MoEFCC) has expanded the National Coastal Mission Scheme (NCM) to address the challenges posed by rising sea levels.

    About National Coastal Mission Scheme (NCM)

    • The NCM was launched in July 2014.
    • It aims to address the climate change impact on coastal areas and ensure sustainable development of coastal regions.
    • It is part of India’s National Action Plan on Climate Change (NAPCC), focusing on sustainable development and climate resilience in coastal areas.
    • Key Areas:
      • Coastal protection
      • Conservation of coastal ecosystems
      • Development of sustainable livelihoods
      • Enhancing climate resilience
    • The MoEFCC, Government of India, is responsible for implementing the scheme.

    Key Strategies

    • Coastal Protection: Construction and maintenance of coastal protection infrastructure to prevent erosion and manage coastal disasters.
    • Ecosystem Conservation: Conservation and restoration of mangroves, coral reefs, and other critical coastal ecosystems.
    • Sustainable Livelihoods: Promotion of sustainable livelihoods for coastal communities through skill development and capacity building.
    • Climate Resilience: Improving the resilience of coastal communities and infrastructure to climate change impacts.

    Major Initiatives:

    1. Management Action Plan on Conservation of Mangroves and Coral Reefs
    2. Research & Development in Marine and Coastal ecosystem
    3. Sustainable Development of Beaches under Beach Environment & Aesthetic Management Service
    4. Capacity Building / Outreach Programme of Coastal States/UTs on conservation of marine and coastal ecosystem including beach cleaning drive.

    PYQ:

    [2022] Explain the causes and effects of coastal erosion in India. What are the available coastal management techniques for combating the hazard?

    [2011] The 2004 Tsunami made people realize that mangroves can serve as a reliable safety hedge against coastal calamities. How do mangroves function as a safety hedge?

    (a) The mangrove swamps separate the human settlements from the sea by a wide zone in which people neither live nor venture out.

    (b) The mangroves provide both food and medicines which people are in need of after any natural disaster.

    (c) The mangrove trees are tall with dense canopies and serve as an excellent shelter during a cyclone or tsunami.

    (d) The mangrove trees do not get uprooted by storms and tides because of their extensive roots.

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