THE PHYSICAL AND HUMAN GEOGRAPHY

1. THE DEMAND FOR TWO TIME ZONES IN INDIA

THE CONTEXT: A favorite question of parliamentarians that has repeated, time after time, in every session of Parliament since 2002, is fittingly about time. Cutting across party lines, members from both Houses have for two decades asked the Centre at least 16 times if India proposes to have two time zones and the steps taken to implement it.

THE EXPLANATION:

The India debates,

India extends from 68°7’E to 97°25’E, with the spread of 29° representing almost two hours from the geographic perspective. This has led to the argument that early sunrise in the easternmost parts — the Northeast — causes the loss of many daylight hours by the time offices or educational institutions open, and that early sunset, for its part, leads to higher consumption of electricity.

To deal with this tea gardens of Assam have been following ‘Chaibagaan time’ which is one hour ahead of India Standard Time (IST).

How time is maintained?

If lines of longitude are drawn exactly a degree apart, they will divide the Earth into 360 zones. Because the Earth spins 360° in 24 hours, a longitudinal distance of 15° represents a time separation of 1 hour, and 1° represents 4 minutes. Theoretically, the time zone followed by any place should relate to its longitudinal distance from any other place. Political boundaries, however, mean that time zones are often demarcated by bent lines rather than straight lines of longitude. This is “legal time”, as defined by a country’s law.

The geographic “zero line” runs through Greenwich, London. It identifies GMT, now known as Universal Coordinated Time (UTC), which is maintained by the Bureau of Weights and Measures (BIPM) in France. Indian Standard Time, maintained by CSIR-NPL, is based on a line of longitude that runs through Mirzapur in UP. At 82°33’E, the line is 82.5° east of Greenwich, or 5.5 hours (5 hours 30 minutes) ahead of UCT. While India follows one IST, the United States follows several time zones across its breadth.

New Study:

• Recently, a study done by team of researchers from CSIR-NPL has been published in the journal Current Science that supported the demand of dual time zones for these states and said it is feasible to have dual time zones for them. The study said that technically it is feasible to have two time zones and two ISTs in India.
• It recommended that IST-I for most of India and IST- II for the North-eastern region, this would be separated by difference of one hour. At present, the country observes a single time zone based on the longitude passing through 82°33′E.

THE POLITY AND GOVERNANCE

2. STATES CAN IDENTIFY MINORITIES: CENTRE

THE CONTEXT:  In an affidavit filed in the top court, the Union Ministry of Minority Affairs said “state governments can also declare a religious or linguistic community as a ‘minority community’ within the state”.

THE EXPLANATION:

What is the current issue?

The petition by Advocate has contended that the 2011 census showed that Hindus have become a minority in Lakshadweep (2.5%), Mizoram (2.75%), Nagaland (8.75%), Meghalaya (11.53%), J&K (28.44%), Arunachal Pradesh (29%), Manipur (31.39%), and Punjab (38.40%), but were bring denied minority benefits that are currently being enjoyed by the respective majority communities in these places.

Centre’s response:

• The Ministry of Minority Affairs, in an affidavit, said: “It is submitted that the state governments can also declare a religious or linguistic community as a minority community within the said state. For instance, the government of Maharashtra has notified Jews as a minority community within the state of Maharashtra.”
• According to the affidavit,it stated that the Karnataka government has notified Urdu, Telugu, Tamil, Malayalam, Marathi, Tulu, Lamani, Hindi, Konkani, and Gujarati languages as minority languages within the state. “Further, the states too can certify institutions as being minority institutions as per the rules of the said state.
• The ministry clarified that most of these schemes do not involve quotas in jobs and admissions but efforts to raise the education level and participation in employment, skill and entrepreneurship development and reducing deficiencies in civic amenities and infrastructure.
• These are mostly targeted at the most disadvantaged among the minorities such as women and children and those who are economically weaker and hence do not violate the right to equality guaranteed to all under the Constitution.

Where the lacuna lies?

• The constitution mentioned the term ‘minority’ only on two occasions in Article 29 and in Article 30, but it nowhere defines the term, and no effort was made to define it. It was left at the discretion of central government to determine what constitute minorities and they found five religious minorities in India not bothering itself that these minorities are in fact majority in few states.
• The Central government notified six communities, namely Muslims, Christians, Sikhs, Buddhists, Parsis and Jains, as minorities under Section 2(c) of the National Commission for Minorities Act of 1992”.
• The definition provided by United Nations is “Any group or community which is socially, political and economically non-dominant and inferior in population are minorities”.Similarly, Section 2(f) of the National Commission for Minority Educational Institutions Act provides that ‘minority’ means a community notified as such by the Central government.

THE ENVIRONMENT AND ECOLOGY

3. RHINO CENSUS BEGINS AT KAZIRANGA NATIONAL PARK

THE CONTEXT: The Assam Forest Department began the 14th census of the one-horned rhinoceros at the Kaziranga National Park and Tiger Reserve.

THE EXPLANATION:

• The forests of the Kaziranga National Parkare home to the world’s largest population of Indian one-horned rhinoceroses. The last rhino census was held three years ago in 2018 and since then as many as 400 rhinos died as devastating floods swept Assam, even though the menace of poaching declined significantly.
• Forest officials have identified 76 blocks and invited 60 enumerators and observers for this census.

ABOUT ONE-HORNED RHINOS:

• Only the Great One-Horned Rhino is found in India.
• Also known as the Indian Rhino, it is the largest of the rhino species.
• It is identified by a single black horn and grey-brown hide with skin folds.
• They primarily graze, with a diet consisting almost entirely of grasses as well as leaves, branches of shrubs and trees, fruit, and aquatic plants.
• Conservation status:

• CITES Appendix I
• Wildlife Protection Act, 1972: Schedule I.

Types of Rhinos:

The Greater One-Horned Rhino is one among the five different species of Rhino. The other four are:

1. Black Rhino: Smaller of the two African species. (IUCN: Critically Endangered)
2. White Rhino: Recently, researchers have created an embryo of the northern white Rhino by using In-vitro Fertilization (IVF) process. (ICUN: Near Threatened)
3. Javan Rhino: Critically endangered in IUCN Red List.
4. Sumatran Rhino: Recently gone extinct in Malaysia, but Critically Endangered in IUCN Red List.

Kaziranga National Park:

• It was declared as a National Park in 1974.
• It has been declared a tiger reserve since 2007. It has a total tiger reserve area of 1,030 sq km with a core area of 430 sq. km.
• It was declared a UNESCO World Heritage Site in 1985
• It is recognized as an Important Bird Area by BirdLife International.
• The National Highway 37 passes through the parking area.

The park also has more than 250 seasonal water bodies, besides the Diphlu River running through it.

THE SECURITY AFFAIRS

4. DRDO’S CORNER-SHOT WEAPON SYSTEM (CSWS)

THE CONTEXT: A corner-shot weapon system (CSWS) designed and developed by the Defence Research and Development Organisation (DRDO) is at an advanced stage of being inducted by the Central Reserve Police Force (CRPF) and the Jammu and Kashmir police.

THE EXPLANATION:

• The CSWS is a special purpose weapon designed by the Armament Research and Development Establishment (ARDE), Pune. It can engage targets located around the corners as the system bends and captures video feed thus saving soldiers from any surprise counter attack and is best suited for urban, close quarter situations.
• The CSWS is equipped with weapon, camera, laser, infrared illuminator and torch in front portion, while display, electronics, battery and swivelling mechanism are located at rear portion, the official said. The body is made from high–grade aluminium alloy to make it lighter and durable.
• Features like day night firing capability, colour display, digital zoom, zeroing facility, hot keys, high power battery along with status display and compliance with JSS 5855 makes it a very potent system for security forces engaged in Counter Insurgency and Counter Terror (CI/CT) operations.
• According to the officials,this indigenously designed and developed system available in 9 mm GLOCK 17/19 and 1A1 Auto Pistol variant.

THE GOVERNMENT SCHEMES AND INITIATIVES IN NEWS

5. THE EXTENSION OF PRADHAN MANTRI GARIB KALYAN ANN YOJANA (PMGKAY)

THE CONTEXT: Union Cabinet has approved the extension of the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) for a period of another six months till September 2022.

THE EXPLANATION:

• In the wake of economic disruptions caused by the unprecedented outbreak of COVID-19 in the country, the Government in March 2020 had announced the distribution of additional free-of-cost food grains (Rice/Wheat) to about 80 Crore National Food Security Act (NFSA) beneficiaries at the scale of 5 Kg per person per month under the PM Garib Kalyan Anna Yojana (PM-GKAY).
• Phase-I and Phase-II of this scheme were operational from April to June 2020 and July to November 2020 respectively. Phase-II of the scheme was operational from May to June 2021. Phase-IV of the scheme is currently operational for July-November 2021 months.
• Pradhan Mantri Garib Kalyan Anna Yojana (PM-GKAY) under the Ministry of Finance is a scheme as part of Atmanirbhar Bharat to supply free food grains to migrants and the poor.

Eligibility

• Families belonging to the Below Poverty Line – Antyodaya Anna Yojana (AAY) and Priority Households (PHH) categories will be eligible for the scheme.
• PHH are to be identified by State Governments/Union Territory Administrations as per criteria evolved by them. AAY families are to be identified by States/UTs as per the criteria prescribed by the Central Government:
• Households headed by widows or terminally ill persons, or disabled persons or persons aged 60 years or more with no assured means of subsistence or societal support.
• All primitive tribal households.
• Landless agriculture labourers, marginal farmers, rural artisans/craftsmen such as potters, tanners, weavers, blacksmiths, carpenters, slum dwellers, and persons earning their livelihood on daily basis in the informal sector like porters, coolies, rickshaw pullers, hand cart pullers, fruit and flower sellers, snake charmers, rag pickers, cobblers, destitute and other similar categories in both rural and urban areas.
• All eligible Below Poverty Line families of HIV positive persons.

THE PRELIMS PERSPECTIVE

6. RAMA LAKSHMANA KAMBALA FESTIVAL

THE CONTEXT: The fifth edition of Rama-Lakshmana Kambala organised by Mangaluru Kambala Samiti will be held at Gold Finch City in Bangrakuloor.

THE EXPLANATION:

About Kambala

• Kambala is the traditional buffalo slush track race Buffalo Race held annually in coastal Karnataka.
• The Kambala season lasts from November to March.
• About 150 kambalas are held in Dakshina Kannada, Udupi and neighbouring Kasaragod (Kerala) districts in the season between November and March. This area is called Tulunadu (Land of Tulu Language).
• A pair of buffaloes is tied to the plough and one person anchors it.
• There are two parallel muddy tracks, on which two competing pairs of buffaloes run. Fastest team wins.

Belief

• According to one belief, Kambala is a festival that originated in the farming community of Karnataka around 800 years back.
• The festival is dedicated to Kadri’s Lord Manjunatha, an incarnation of Lord Shiva.
• It is believed to be celebrated to please the Gods for a good harvest.
• It is a form of recreational sport for the farming community and also another belief is that it is considered as the Sport of the royal (landlord) Family.

THE PRELIMS PRACTICE QUESTIONS

QUESTIONS OF THE DAY 28^th MARCH  2022

Q1. If you visit National Chambal Sanctuary, which of the following threatened species you may find?

1. Gharial
2. Indian skimmer
3. Red-crowned roofed turtle
4. Gangetic dolphin

Select the correct answer using the code given below:

a) 1 and 2 only

b) 1, 2 and 3 only

c) 1, 3 and 4 only

d) All of them

ANSWER FOR 26^TH MARCH 2022

Answer: C

Explanation:

Organization of Islamic Cooperation (OIC)

• It is the second largest intergovernmental organization after the United Nations with a
• membership of 57 states.
• It was established in September 1969.
• Headquarter- Jeddah, Saudi Arabia. (therefore, statement C is incorrect)
• It is the collective voice of the Muslim world.
• India is not member of OIC.

[WpProQuiz 187]

THE INTRODUCTION: The Agriculture sector which accounts for 18.8 percent of the Gross Value Added (GVA) of the country in 2021-22 has experienced buoyant growth in the past 2 years. It grew at 3.9 percent in 2021-22 and 3.6 percent in 2020-21 showing resilience in the face of COVID-19 shock. The Survey attributes this to “good monsoon, various Government measures to enhance credit availability, improve investments, create the market facility, promote infrastructure development and increased provision of quality inputs to the sector”. It also observes that livestock and fisheries have experienced buoyant growth and had helped the sector perform well.

GROSS VALUE-ADDED AND GROSS CAPITAL FORMATION

• The share of the agriculture and allied sector in total GVA of the economy has settled at around 18 percent in the long term states the Survey. In the year 2021-22 it is 18.8 percent and in the year 2020-21, it was 20.2 percent. Another trend observed is, higher growth in allied sectors (Livestock, Forestry and Logging, Fishing and Aquaculture) compared to the crop sector. Recognizing these allied sectors as engines of high growth the Committee on Doubling Farmers’ Income (DFI 2018) had also recommended focused policy with a concomitant support system to boost agricultural incomes.
• There is a direct correlation between capital investments in agriculture and its growth rate. The Gross Capital Formation in the agricultural sector relative to the GVA in the sector is showing a fluctuating trend in sync with the variation in private sector investments, whereas the public sector investments have remained stable at 2-3 percent over the years. The Survey suggests “higher access to institutional credit to farmers and greater participation of the private corporate sector” may improve private sector investment in agriculture. Towards this end, the Survey recommends offering an appropriate policy framework to crowd-in corporate investments along with an increase in public investments along the entire agricultural value chain.

AGRICULTURAL PRODUCTION

• The Survey states that as per the First Advance Estimates for 2021-22 (Kharif only), total food grain production is estimated at a record level of 150.50 million tonnes, an increase of 0.94 million tonnes over Kharif production in the year 2020-21. Survey also points out that the production of rice, wheat, and coarse cereals had increased at Compound Annual Growth Rates (CAGR) of 2.7, 2.9, and 4.8 percent respectively over the period between 2015-16 and 2020-21. For pulses, oilseeds, and cotton during the same period, it has been 7.9, 6.1, and 2.8 percent respectively.
• India is the second-largest producer of sugar in the world. India has become a “sugar surplus nation” says the Survey. It points out that since 2010-11, the production has outstripped the consumption except in the year 2016-17.  This has been made possible by ensuring and protecting the sugarcane farmers against price risk through Fair and Remunerative Price (FRP), enhancing the liquidity of mills by incentivizing them to divert excess sugarcane/sugar to ethanol production and provide financial assistance for transportation to sugar mills to facilitate the export of sugar says Survey.

CROP DIVERSIFICATION

• The existing cropping pattern is skewed towards the cultivation of sugarcane, paddy, and wheat which has led to the depletion of fresh groundwater resources at alarming rates, it also points out that extremely high water stress levels are recorded in the country’s north-western region.
• To promote water use efficiency and sustainable agriculture and ensure higher incomes to farmers, the Government is implementing the Crop Diversification Programme in the original green revolution States viz., Punjab, Haryana, and Western Uttar Pradesh as a sub-scheme under Rashtriya Krishi Vikas Yojana since 2013-14 to shift area under paddy cultivation towards less water-intensive crops such as oilseeds, pulses, and Nutri-cereals, etc. The program also focuses on shifting areas under tobacco cultivation to alternative crops in States viz. Andhra Pradesh, Bihar, Gujarat, Karnataka, Maharashtra, West Bengal among other tobacco-producing states. The government is also using price policy to signal farmers to diversify their crops.

WATER AND IRRIGATION

• 60 percent of the net irrigated area in the country is serviced through groundwater. The rate of extraction of groundwater is very high (more than 100%) in the states of Delhi, Haryana, Punjab, and Rajasthan. Noting that increased coverage under micro-irrigation can be the most effective mode of water conservation, the Survey suggests these States need to focus on both medium and long-term groundwater recharge and conservation plans.
• To mobilize resources to expand coverage of micro-irrigation, a Micro-Irrigation Fund (MIF) with a corpus of Rs. 5000 crores were created under NABARD during 2018-19. As of 01.12.2021, projects with loans under MIF amounting to Rs. 3970.17 crore has been approved for 12.81 lakh hectares of micro-irrigation area. Further, the Survey highlights that under Pradhan Mantri Krishi Sinchayee Yojana, as of 14.12.2021 total area of 59.37 lakh hectares has been covered under micro-irrigation in the country from 2015-to 16.

NATURAL FARMING

• To sustain agricultural production through eco-friendly processes in tune with nature, ensure chemical-free produce and preserve soil productivity government is also encouraging farmers to adopt natural farming techniques. Towards this end, the government is implementing a dedicated scheme of the Bharatiya Prakritik Krishi Paddhati Programme (BPKP).

AGRICULTURAL CREDIT AND MARKETING

• The agricultural credit flow for the year 2021-22 has been fixed at Rs. 16,50,000 crores and till 30^thSeptember 2021, against this target a sum of Rs.7,36,589.05 crores has been disbursed. Moreover, under the Atma Nirbhar Bharat program, the government also announced an Rs. 2 lakh crore concessional credit boost to 2.5 crore farmers through Kisan Credit Cards (KCC). Towards this end, banks have issued KCCs to 2.70 crore eligible farmers as of 17.01.2022. Further Government has extended the KCC facility to the fisheries and animal husbandry sector in 2018-19.
• To link the farmers with markets and to help them in trading and realizing competitive and remunerative prices for their produce the government has been working continuously to improve market linkages and marketing infrastructure. Towards this end, the APMCs have been recognized as eligible entities under Agriculture Infrastructure Fund (AIF). Additionally, under the National Agricultural Market (e-NAM) scheme as of 1^stDecember 2021, 1000 mandis of 18 States and 3 UTs have been integrated with the e-NAM platform.

• The Government has also launched a central sector scheme of ‘Formation and Promotion of 10,000 Farmer Producer Organisations (FPOs)’ to form and promote 10,000 FPOs by 2027-28. As of January 2022, a total of 1963 FPOs have been registered under the scheme. The government has also established a full-fledged Ministry of Co-operation in July 2021 to provide a greater focus on the cooperative sector.

NATIONAL MISSION ON EDIBLE OILS

• India is the world’s second-largest consumer and number one importer of vegetable oil. The oilseed production in India has been steadily growing since 2016-17. It was showing a fluctuating trend before that. It had grown at almost 43 percent from 2015-16 to 2020-21.
• The demand for edible oil in India would remain high due to population growth, urbanization, and the consequent change in dietary habits and traditional meal patterns.
• Given the persistently high import of edible oil, to increase oil production the Government had been implementing a centrally sponsored scheme of National Food Security Mission: Oilseeds (NFSM – Oilseeds) since 2018-19 across all districts in the country.
• The scheme the government has set up 36 oilseed hubs between 2018-19 and 2019-20 to increase the availability of high yielding quality seed. For Kharif 2021, the union government had allocated 9.25 lakhs of oilseed mini kits of high yielding varieties to states for distribution.
• Further, in August 2021, the Government had launched the National Mission on Edible Oils – Oil Palm (NMEO-OP) to augment the availability of edible oils by “harnessing area expansion and through price incentives”. The scheme aims to cover an additional area of 6.5 lakh hectares for oil palm by 2025-26 and thereby reach a target of 10 lakh hectares ultimately.
• Currently 3.70 lakh hectares area under oil palm cultivation. Also, the scheme aims to increase the Crude Palm Oil (CPO) production to 11.20 lakh tonnes by 2025-26 and up to 28 lakh tonnes by 2029-30.

FOOD MANAGEMENT

• India runs one of the largest food management programs in the world. The Survey highlights that during the year 2021-22, the government had allocated 1052.77 lakh tonnes of food grains to States/UTs under the National Food Security Act, 2013, and other welfare schemes compared to 948.48 lakh tonnes in 2020-21.
• The government has further extended the coverage of food security through the additional provision of 5Kg food grains per person per month through the Pradhan Mantri Gareeb Kalyan Yojana (PMGKY). Under the scheme during 2021-22, the government had allocated 437.37 LMT of food grains and in 2020-21, 322 LMT of food grains free of cost to around 80 crore NFSA beneficiaries to ameliorate the hardships faced by the poor due to economic disruption caused by COVID-19 pandemic.
• The government had also approved the centrally sponsored pilot scheme ‘Fortification of Rice and its Distribution under PDS’ on 14.02.2019 for three years.
• The scheme is being implemented in 15 districts (1 district per State) and the government had distributed 3.38 LMT of fortified rice till December 2021 under the pilot scheme.
• During Kharif Marketing Season (KMS) 2020-21, 601.85 lakh metric tonnes (LMT) of rice have been procured against an estimated target of 642.58 LMT. In the KMS 2021-22, a total of 566.58 LMT of paddy (equivalent to 379.98 LMT rice) was procured as of 16.01.2022. During RMS 2021-22, 433.44 LMT of wheat was procured against 389.92 LMT procured during RMS 2020-21. Also, during the Kharif & Rabi Marketing Season 2020-21, approximately 11.87 LMT of coarse grains has been procured which is the highest in the last five years.

AGRICULTURAL RESEARCH AND EDUCATION

• Every rupee spent on agricultural research and development, yields much better returns. Increasing R&D spending on agriculture is, therefore, not only a vital necessity for ensuring food security but also important from the socio-economic point of view.
• Agricultural research and education are crucial for “development of environmentally sustainable global food system, ensuring food and nutrition security and increasing farm income by cost minimization and yield maximization” says the Survey. It points out that the National Agricultural Research System of India has produced significant results. The Indian Council of Agricultural Research (ICAR) during 2020 and 2021 notified/released a total of 731 new varieties/hybrids of field crops. The Department of Agriculture Research and Education (DARE) has developed 35 special trait varieties including bio-fortified and stress-tolerant varieties of field and horticulture crops during 2021-22.

CONCLUSION: The performance of the agriculture and the allied sector has been resilient to the COVID 19 shock. The sector grew at 3.6 percent in 2020-21 and improved to 3.9 percent in 2021- 22. However, as shown by the latest SAS report, the fragmentation of landholdings has led to alternate sources such as livestock, fishery, and wage labor becoming significantly important for an agricultural household. The increasing importance of allied sectors including animal husbandry, dairying, and fisheries in the growth and income of the farmers indicates that focus needs to shift more towards harnessing the potential of allied activities. There is also a need to improve the productivity of small and marginal farmers through the development and implementation of smallholding farm technologies.

THE INTERNATIONAL RELATIONS

1. SRI LANKA TO SET UP SPECIAL NORTH-EAST FUND

THE CONTEXT: The Sri Lankan government will set up a ‘North-East Development Fund’ to increase investments in the war-affected areas, while probing cases of enforced disappearances and land grabs that remain chief concerns of the Tamil people 13 years after the war ended.

THE EXPLANATION:

• It was first meeting with the country’s Tamil political leadership since his election to office in November 2019.
• The TNA has been demanding that the government deliver the long-pending political solution to Sri Lanka’s national question, through a new constitutional settlement.
• The President agreed to focus on four key areas, including
  • possibly releasing long-term detainees under the country’s draconian Prevention of Terrorism Act — which the government recently amended but critics want repealed — and suspects held without being charged.
  • ending the incessant land grabs in the north and east by different state agencies to allegedly change the demographics of the region.
  • inquiring into cases of enforced disappearances.
  • establishing a special development fund for the north and east.
• The initiative to set up a development fund exclusively for the war-affected areas comes nearly three years after his election, amid widespread joblessness, indebtedness, and poverty in the region that the pandemic and Sri Lanka’s current economic crisis have only aggravated.

2. INDIA, U.K. END ROUND TWO TALKS ON FTA

THE CONTEXT: India and the United Kingdom concluded a second round of negotiations towards a bilateral Free Trade Agreement (FTA) in London, with a draft treaty text discussed across most chapters that will make up the pact.

THE EXPLANATION:

• The FTA is expected to facilitate the target of doubling bilateral trade between India and the United Kingdom by 2030, set by the Prime Ministers of both nations.
• According to the agreements, the Mutual Recognition Agreements (MRAs) on Pharma could provide additional market access. There is also great potential for increasing exports in service sectors like IT/ITES, Nursing, education, healthcare, including AYUSH and audio-visual services. India would also be seeking special arrangements for the movement of its people.
• India-UK FTA will also contribute to integrating value chains and help augment our mutual efforts to strengthen the resilience of supply chains. Reminding that the leaders of both nations had envisioned launching the FTA Negotiations in early 2022.

What is a Free Trade Agreement (FTA)?

A free trade agreement is a pact between two or more nations to reduce barriers to imports and exports among them. Under a free trade policy, goods and services can be bought and sold across international borders with little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange.

Key features of Free Trade Agreements (FTAs):

1. The member nations of FTAs explicitly identify the duties and tariffs that are to be imposed on member countries when it comes to imports and exports.
2. FTAs typically cover trades in (a) merchandise — such as agricultural or industrial products (b) services — such as banking, construction, trading and so forth (c) intellectual property rights (IPRs), (d) investment (e) government procurement (f) competition policy and so on.
3. FTAs additionally, for the most part, provide a criterion called the ‘Rules of Origin (RoO)’, required for the determination of the product’s country of origin for the imposition of the preferential tariff on international trade.
4. FTAs act as an exception to the Most Favored Nation principle adopted by WTO (World Trade Organization).

Value Addition:

India-UK bilateral trade

• Bilateral trade between India and UK stood at 18.3 billion in the year 2020. It was lesser than the trade of 3 billion pounds in 2019. India and UK have also launched a new Enhanced Trade Partnership. It opened ways for future Free Trade Agreements.
• Currently, India is the largest market with which the UK has committed to negotiating any trade deal. India is the second-largest investor in the UK economy.
• About 842 Indian companies in the UK, are employing more than 110,000 people. The combined revenue of Indian companies has increased by 87% in the last five years.

3.  THE HOUTHI ATTACK ON THE UNITED ARAB EMIRATES

THE CONTEXT: A Yemeni rebel attack on a Saudi oil plant set off a huge fire near Jeddah’s Formula One circuit, part of a wave of assaults on Aramco facilities.

THE EXPLANATION:

• The Shia Houthi rebels of Yemen, who have been controlling the northern parts of the country, including the capital Sana’a, for almost seven years, have claimed responsibility for the attack.

Who are the Houthis?

Founded in the 1990s by Hussein Badreddin al-Houthi, a member of Yemen’s Shia majority, the Houthi movement has a pretty straightforward slogan or sarkha: “God is great, death to America, death to Israel, the curse on the Jews, victory to Islam.” After Yemeni soldiers killed Hussein in 2004, his brother Abdul Malik took over.

How did Saudi Arabia get involved?

The rise of the Houth is sent alarm bells ringing across Sunni Arab states, particularly Saudi Arabia. A Saudi-led coalition — backed by the US, UK and France — then launched an air campaign in Yemen, with the aim of defeating the rebel group.

THE ECONOMIC DEVELOPMENTS

4. RBI SETS GEO-TAGGING RULES FOR PAYMENT TOUCH POINTS

THE CONTEXT: The Reserve Bank of India (RBI) released a framework for geo-tagging of payment system touch points, issuing instructions to bank and non-bank payment system operators to maintain and submit to it the geographical locations of their touch points on a regular basis.

THE EXPLANATION:

According to the central bank, this framework is intended to ensure that there is a robust payment acceptance infrastructure with multiple types of touch points across India, available and accessible at all times.

According to RBI, the banks and non-bank payment system operators need to capture and maintain geographical coordinates for all payment touch points.

Both banks and non-banks need to maintain a registry with accurate location of all payment touch points across the country that should include merchant-related information and payment acceptance infrastructure details.

Besides, banks and non-banks need to report information on payment touch points to the RBI through the Centralised Information Management System (CIMS) of RBI, the framework said.

How does it work?

• In a geo-tagging infrastructure, the geographical coordinates (latitude and longitude) of payment touch points deployed by merchants to receive payments from their customers are captured. According to the RBI, geo-tagging has several benefits including providing insights on regional penetration of digital payments, monitoring infrastructure density across different locations, identifying scope for deploying additional payment touch points, facilitating focused digital literacy programmes.
• The central bank had focussed on the setting up of Payments Infrastructure Development Fund (PIDF) to encourage deployment of acceptance infrastructure, and creating additional touch points is a step in this direction.

 5. ‘GUJARAT TOPS AGAIN IN EXPORT PREPAREDNESS INDEX’

THE CONTEXT: Gujarat has been named India’s top State in terms of export preparedness for the second year in a row as per an index released by the NITI Aayog.

THE EXPLANATION:

Maharashtra, Karnataka, Tamil Nadu were ranked second, third and fourth in the index, as coastal States with higher industrial activity and access to seaports account for a majority of India’s exports.

Challenges:

The index identifies three major challenges to India’s export promotion efforts.

• “These are intra- and inter-regional differences in export infrastructure.
• Weak trade support and growth orientation across States and
• Lack of R&D infrastructure to promote complex and unique exports,”

EPI 2021 – Key Goals

The EPI’s primary goal is to instill competition among all Indian states (‘Coastal’, ‘Landlocked’, ‘Himalayan’, and ‘UTs/City-States’) to bring about favourable export-promotion policies, ease the regulatory framework to prompt sub national export promotion, create the necessary infrastructure for exports, and assist in identifying strategic recommendations for improving export competitiveness. It promotes competitive federalism and a fair contest among States/UTs.

THE GOVERNMENT SCHEMES/INITIATIVES IN NEWS

6. ‘PROJECT UDAAN’ GIVES GIRLS WINGS TO A BETTER FUTURE IN RURAL RAJASTHAN

THE CONTEXT: The Udaan project, launched by the Rajasthan government in collaboration with a development consulting group ‘IPE Global’, has made attempts to keep girls in schools through their enrollment at the secondary level while ensuring that the eligible ones among them get their scholarships. While generating awareness about scholarship schemes, the programme has also mobilised rural communities to support girls’ education and facilitate their attendance in school without a break.

THE EXPLANATION:

• Project Udaan seeks to reduce adolescent pregnancies in Rajasthan by leveraging existing government platforms and programmes across the Health and Education Departments, for scale up and sustainability.
• It adopts a multi-sectoral approach to prevent adolescent pregnancy, layering interventions beyond sexual health, to fundamentally change the way adolescent programming is carried on.
• Udaan attempts to keep girls in school through their enrollment (school-going and dropout girls) at secondary school level while ensuring that the eligible girls receive their scholarship through collective efforts.
• School and community-level interventions have been designed to increase girls’ enrollment at secondary level school by generating wide public awareness on the scholarship schemes and mobilising communities to support girls’ education and facilitate their going back to school. It works towards strengthening scholarship delivery systems (IT enabled) and builds capacities of government functionaries for effective state-wide scale up to ensure sustainability and stability.
• It is an integrated intervention which seeks to prevent adolescent pregnancies in Rajasthan by leveraging existing government programmes and platforms for realizing girl’s potential and reducing the number of babies born low birth weight from teenager mothers.

THE PRELIMS PRACTICE QUESTIONS

QUESTIONS OF THE DAY 26^th MARCH 2022

Q1. Which of the following statement is incorrect about Organization of Islamic Countries (OIC)?

a) It was established in 1969.

b) It has total 57 member countries.

c) Its headquarter is located in Abu Dhabi, UAE.

d) India is not a member of OIC.

ANSWER FOR 25^TH MARCH 2022

Answer: C

Explanation:

Statement 1 is correct: National Initiative for Proficiency in Reading with Understanding and Numeracy (NIPUN Bharat) seeks to create an enabling environment to ensure universal acquisition of foundational literacy and numeracy, so that every child achieves the desired learning competencies in reading, writing and numeracy by the end of Grade 3, by 2026-27.

Statement 2 is incorrect: Although the National Education Policy had included a 2025 deadline to achieve the goal, the Centre has pushed back the target date to 2026-27, given that COVID-19 has already disrupted two academic years.

THE INTRODUCTION: In 2020-21, India progressed further on achieving the Sustainable Development Goals (SDGs). In 2021, India continued exercising significant climate leadership at the international stage under the International Solar Alliance (ISA), Coalition for Disaster Resilient Infrastructure (CDRI), and Leadership Group for Industry Transition (LeadIT Group). The chapter discusses several initiatives taken in the area of sustainable finance by the Ministry of Finance, RBI, and SEBI.

INDIA’S PROGRESS ON SUSTAINABLE DEVELOPMENT GOALS

• India has been making strides towards achieving the social, economic, and environmental goals covered under SDGs.
• This achievement gains further significance in the face of the considerable human and economic costs imposed by the COVID-19 pandemic, which has set countries back on their developmental goals and created serious impediments to the attainment of the SDGs, the world over.

GOAL WISE PERFORMANCE OF INDIA AS A WHOLE: NITI AAYOG SDG INDIA INDEX REPORT AND DASHBOARD 2020-21

• India’s overall score on the NITI Aayog SDG India Index & Dashboard improved to 66 in 2020-21 from 60 in 2019-20 and 57 in 2018-19, showing progress in India’s journey towards achieving the SDGs.
• Despite 2020-21 being a pandemic year, India performed well on eight of the 15 SDGs measured by the NITI Aayog SDG India Index.
• These included – goal 3 (good health and well-being), goal 6 (clean water and sanitation), goal 7 (affordable and clean energy), goal 10 (reduced inequalities), goal 11 (sustainable cities and communities), goal 12 (responsible consumption and production), goal 15 (life on land) and goal 16 (peace, justice, and strong institutions).

PERFORMANCE OF STATES AND UTS ON THE NITI AAYOG SDG INDIA INDEX, 2021

• The number of Front Runners (scoring 65-99) increased to 22 states and UTs in 2020-21 from 10 in 2019-20. All remaining states and UTs were Performers (scoring 50- 64).
• Amongst states, additions to the Front Runner category in 2020-21 included Uttarakhand, Gujarat, Maharashtra, Mizoram, Punjab, Haryana, and Tripura. Amongst us, additions to the Front Runner category included Andaman and Nicobar Islands, Delhi, Jammu and Kashmir, Ladakh, and Lakshadweep.

STATE OF THE ENVIRONMENT

• Sustainable development requires balancing rapid economic growth with conservation, ecological security, and environmental sustainability. This section explores the state of the environment across the land, water, and air.

LAND FORESTS

• Russia, Brazil, Canada, USA, and China were the top five largest countries by forest area in 2020, while India was the tenth-largest country by forest area.
• The top 10 countries account for 66 percent of the world’s forest area.

• Forests covered 24 percent of India’s total geographical area accounting for two percent of the world’s total forest area in 2020.
• India has increased its forest area significantly over the past decade. It ranks third globally in an average annual net gain in forest area between 2010 to 2020, adding an average of 2,66,000 ha of additional forest area every year during the period, or adding approximately 0.38 percent of the 2010 forest area every year between 2010 to 2020.
• Madhya Pradesh (11 percent of India’s total forest cover) had the largest forest cover in India in 2021, followed by Arunachal Pradesh (9 percent), Chhattisgarh (8 percent), Odisha (7 percent), and Maharashtra (7 percent).
• Mizoram (85 percent), Arunachal Pradesh (79 percent), Meghalaya (76 percent), Manipur (74 percent), and Nagaland (74 percent) were the top five states in terms of the highest percent of forest cover w.r.t. total geographical area of the state in 2021

PLASTIC WASTE MANAGEMENT AND ELIMINATION OF IDENTIFIED SINGLE-USE PLASTICS

• India is committed to mitigating pollution caused by littered single-use plastics.
• In 2018, the Hon’ble Prime Minister announced that India would phase out single-use plastic by 2022.
• The Hazardous and Other Wastes (Management and Transboundary Movement) Rules, 2016 as amended regulate the import of identified plastic waste into the country by SEZ and EOUs.
• The regulation of import of plastic waste prevents dumping of plastic waste by other countries in the country and allows for recycling of plastic waste generated in the country.
• The following domestic regulatory actions have been taken in 2021:
• In August 2021, the Ministry of Environment, Forest and Climate Change, Government of India, notified the Plastic Waste Management Amendment Rules, 2021 prohibiting identified single-use plastic items, which have low utility and high littering potential, by 2022.
• The plastic packaging waste, which is not covered under the phase-out of identified single-use plastic items.
• In October 2021, the Ministry of Environment, Forest, and Climate Change notified the draft Regulations on the Extended Producer Responsibility for plastic packaging under Plastic Waste Management Rules, 2016.

WATER

GROUNDWATER

• Ground Water Resources Assessment of states/UTs is carried out jointly by state groundwater/ nodal departments and Central Ground Water Board at periodic intervals, and the Dynamic Ground Water Resources of India is published by compiling the state/UT wise groundwater resources assessed.
• Such groundwater assessments have been undertaken in 2004, 2009, 2011, 2013, 2017, and 2020.
• The annual groundwater recharge, annual extractable groundwater resources, annual groundwater extraction, and the stage of total groundwater extraction of India during 2004-2020.
• Overall, the annual groundwater extraction has been in the range of 58-63 percent during this period.

RESERVOIRS

• Reservoirs are an important source of water resources for the country. However, they are particularly prone to seasonality and are greatly impacted by rainfall and temperature patterns.
• The capacity at full reservoir levels in 138 monitored reservoirs of India along with the live storage during June-December 2021, June 2020–May 2021, and the ten-year average during June – May.
• It may be seen that reservoir live storage is at its peak during monsoon months and lowest in summer months, requiring careful planning and coordination of storage, release, and utilization of reservoirs.

RIVERS

• The Ganga River Basin is the largest in India, covering more than a quarter of the country’s land area, hosting about 43 percent of its population and contributing 28 percent of India’s water resources.
• The Government of India launched the Namami Gange Mission in 2014 as an integrated and multi-sectoral mission for the conservation of Ganga and its tributaries.

Namami Gange Mission

• The total expenditure incurred under the Namami Gange Mission from 2014-15 to December 2021. Lower expenditure incurred in 2020-21 and 2021-22 needs to be viewed in the context of the COVID pandemic and recent changes in accounting norms.

• Under the Gyan Ganga (Research and Knowledge Management) component, the Ganga Knowledge Centre was set up to create a state-of-the-art center to support the NMCG and create a comprehensive knowledge base on Ganga.
• The Centre for Ganga Management & Study was set up at IIT Kanpur for long-term basin studies and technology development.

AIR

• The Government of India launched the National Clean Air Programme (NCAP) in 2019 to tackle the air pollution problem comprehensively, with a target to achieve 20-30 percent reduction in particulate matter (PM) concentrations by 2024 across the country keeping 2017 as the base year for the comparison of concentration.
• The NCAP is implemented in 132 cities, of which 124 cities have been identified based on non-conformity with national ambient air quality standards for five consecutive years.
• This includes 34 million-plus cities / urban agglomerations identified by the Fifteenth Finance Commission (XV-FC).
• In addition, NCAP also covers eight other million-plus cities, which fall under the XV-FC grant for receiving performance-based grants for air quality improvement. Figure 26 shows the funds released under the NCAP in 2019-20 and 2020-21.
• In 2019-20, the highest funds were released to Uttar Pradesh, followed by Maharashtra and Madhya Pradesh while in 2020-21, the highest funds were released to Andhra Pradesh, Punjab, and West Bengal.
• Several steps are being taken to control and minimize air pollution from various sources in the country, which inter alia include:
• Vehicular Emission: India has leapfrogged from BS-IV to BS-VI norms for fuel and vehicles since April 2020.
• Industrial Emission: Stringent emission norms for coal-based thermal power plants have been introduced.
• Air Pollution due to dust and burning of waste: Six waste management rules covering solid waste, plastic waste, e-waste, bio-medical waste, construction, and demolition waste, and hazardous waste have been notified.
• Monitoring of Ambient Air Quality: The air quality monitoring network of manual as well as continuous monitoring stations, under programs such as the National Air Monitoring Programme, have been expanded.

AVERAGE ANNUAL AIR QUALITY INDEX, DELHI (2016-2021)

CLIMATE CHANGE

India launched the National Action Plan on Climate Change (NAPCC) in 2008, establishing eight National Missions to advance action on the country’s climate priorities.

NATIONAL MISSIONS UNDER NAPCC

MAJOR DECISIONS AT THE COP26 CLIMATE SUMMIT, GLASGOW

• The COP26 adopted outcomes on all pending issues of the “Paris Rule Book”, which is the procedures for implementation of the Paris Agreement, including market mechanisms, transparency, and common timeframes for NDCs.
• The “Glasgow Climate Pact” emphasizes adaptation, mitigation, finance, technology transfer, capacity-building, loss, and damage.
• The decision urges the developed country Parties to fully deliver on the USD 100 billion mobilization goal urgently and through till 2025 and emphasizes the importance of transparency in the implementation of their pledge.
• COP26 also welcomed the launch of a comprehensive two-year Glasgow–Sharm el-Sheikh work program on the global goal of adaptation. The Glasgow Dialogue between Parties, relevant organizations, and stakeholders on loss and damage was established to explore the ways to fund loss and damage due to climate change.

India’s NDC and its voluntary commitment to enhanced climate action.

India submitted its Nationally Determined Contribution (NDC) under the Paris Agreement on a “best effort basis” keeping its developmental imperatives in mind. India committed to

1. Reduce the emission intensity of GDP by 33 to 35 percent by 2030 as compared to the 2005 level.
2. Create an additional carbon sink of 2.5 to 3 billion tonnes of CO2 equivalent through additional forest and tree cover by 2030.
3. Achieve about 40 percent cumulative electric power installed capacity from non-fossil fuel energy resources by 2030.

FINANCE FOR SUSTAINABLE DEVELOPMENT

DEALING WITH FINANCIAL RISKS ASSOCIATED WITH CLIMATE CHANGE:

To assess the progress of its regulated entities in managing climate risk, RBI is preparing a consultative discussion paper covering, inter alia,

1. Governance
2. Strategy
3. Risk management
4. Disclosure

AUGMENTING FINANCE FOR SUSTAINABLE DEVELOPMENT:

• India is actively contributing to the global efforts towards green finance.
• RBI joined the Central Banks and Supervisors Network for Greening the Financial System (NGFS) as a member on April 23rd, 2021, and has begun participating in the workstreams of the NGFS.

INDIA’S INITIATIVES AT THE INTERNATIONAL STAGE

Lifestyle for Environment (LIFE):

• In November 2021, the Hon’ble Prime Minister proposed a One-Word Movement in the context of climate: LIFE – Lifestyle for Environment, at the COP 26 in Glasgow.

International Solar Alliance (ISA):

• In November 2021, the Hon’ble Prime Minister launched the joint Green Grids Initiative One Sun One World One Grid (GGI –OSOWOG) at the World Leaders’ Summit in Glasgow.

Coalition for Disaster Resilient Infrastructure:

• India’s call for promoting disaster resilience of infrastructure through the Coalition for Disaster Resilient Infrastructure (CDRI) has been receiving global attention.
• Since CDRI’s launch in September 2019, its membership has expanded to 28 countries and seven multilateral organizations, with several member countries committing to provide technical assistance and financial resources.

Leadership Group for Industry Transition (LeadIT Group):

• LeadIT was launched by India and Sweden, with the support of the World Economic Forum at the UN Climate Action Summit in New York in September 2019, as one of the nine action tracks identified by the UN Secretary-General to boost climate ambitions and actions to implement the Paris Agreement.

CONCLUSION: Going forward, there is a need to further improve forest and tree cover. Social forestry could also play a significant role in this regard. States/UTs need to improve management of their groundwater resources through improving its recharge and by stemming its over-exploitation and preventing the critical and semi-critical assessment units from further worsening. There is a greater thrust on climate action following the announcement of India’s target of becoming Net-Zero by 2070. Climate finance will remain critical to successful climate action by developing countries, including India.

HIGHLIGHTS

• India’s overall score on the NITI Aayog SDG India Index and Dashboard improved to 66 in 2020-21 from 60 in 2019-20 and 57 in 2018-19.
• Number of Front Runners (scoring 65-99) increased to 22 States and UTs in 2020-21 from 10 in 2019-20.
• In North-East India, 64 districts were Front Runners and 39 districts were Performers in the NITI Aayog North-Eastern Region District SDG Index 2021-22.
• India has the tenth largest forest area in the world.
• In 2020, India ranked third globally in increasing its forest area from 2010 to 2020.
• In 2020, the forests covered 24% of India’s total geographical, accounting for 2% of the world’s total forest area.
• In August 2021, the Plastic Waste Management Amendment Rules, 2021, was notified which is aimed at phasing out single-use plastic by 2022.
• Draft regulation on Extended Producer Responsibility for plastic packaging was notified.
• The Compliance status of Grossly Polluting Industries (GPIs) located in the Ganga main stem and its tributaries improved from 39% in 2017 to 81% in 2020.
• The consequent reduction in effluent discharge has been from 349.13 million liters per day (MLD) in 2017 to 280.20 MLD in 2020.
• The Prime Minister, as a part of the national statement delivered at the 26th Conference of Parties (COP 26) in Glasgow in November 2021, announced ambitious targets to be achieved by 2030 to enable further reduction in emissions.
• The need to start the one-word movement ‘LIFE’ (Lifestyle for Environment) urging mindful and deliberate utilization instead of mindless and destructive consumption was underlined.

THE HEALTH AND SOCIAL ISSUES

1. INDIA TO BE TB FREE BY 2025: INDIA TB REPORT 2022

THE CONTEXT: On World Tuberculosis Day, Union Health Ministry released India TB Report 2022 and it’s reaffirmed the government’s commitment to making India tuberculosis–free by 2025 and this will be achieved by ensuring access to quality healthcare and advanced treatment.

THE EXPLANATION:

• According to the report, 19% increase was witnessed in 2021 from the previous year in TB patients’ notification. The number of incident TB patients (new and relapse) notified during 2021 was 19,33,381 against the 16,28,161 in 2020.
• In terms of DS-TB (Drug sensitive) treatment performance, in 2021, among 21,35,830 patients diagnosed, 20,30,509 (95%) patients were put on treatment. While the dis aggregated treatment success rate of patients notified from the public and private sectors are 83% and 82%, respectively.
• Regarding DR-TB (Drug Resistant) treatment performance, in 2021, 48,232 MDR/RR-TB patients were diagnosed and 43,380 (90%) were put on treatment.
• In 2021, the data was captured for 72% of total notified patients, out of which 7% admitted to alcohol usage. Similarly, out of the 74% of the known tobacco usage among all TB patients, 12% of TB patients were reported to be tobacco users. Among those screened, 30% were linked to tobacco cessation services.
• In India, childhood Tuberculosis remains a staggering problem, contributing to approximately 31% of the global burden. Over the last decade, consistently, children constitute 6-7% of all the patients treated under NTEP annually, pointing to a gap of 4-5% in total notification against the estimated incidence. To that end, intersectoral coordination is critical for ensuring wide-reach of the programme to remedy this gap.

TB Prevention

‘Prevent’ is one of the four critical pillars (Detect – Treat – Prevent – Build) of India’s National Strategic Plan for Elimination of Tuberculosis (NSP 2017-25) that focuses on preventing the emergence of TB in a vulnerable population. The program has offered TB Preventive Therapy (TPT) for more than a decade, albeit limitedly to children below the age of six years and People living with HIV/AIDS (PLHIV) for the past few years.

Value Addition:

Visions & Goals of the National Strategic Plan 2017 – 2025

• The Vision is of a TB free India with zero deaths, disease and poverty due to tuberculosis.
• The Goal is to achieve a rapid decline in the burden of TB, mortality and morbidity, while working towards the elimination of TB in India by 2025.
• The requirements for moving towards TB elimination in India have been arranged in four strategic areas of Detect, Treat, Prevent & Build. There is also across all four areas, an overarching theme of the Private Sector. Another overarching theme is that of Key Populations.

Targets

The targets of the National Strategic Plan are set out as consisting of both outcome and impact indicators. There are also four main “thrust” or priority areas in the NSP which are:

• Private sector engagement;
• Plugging the “leak” from the TB care cascade (i.e. people with TB going missing from care);
• Active case finding among key populations;
• People in “high risk” groups, preventing the development of active TB in people with latent TB.

Nikshay Poshan Yojana has been implemented from 01^st April 2018, wherein 500 rupees per month is being provided to All TB patients towards nutritional support for the duration of their treatment. Tribal patient travel support, wherein 750 rupees is being provided to all TB patients in tribal notified blocks towards travel support is an ongoing scheme since the twelfth plan.

THE INTERNATIONAL RELATIONS

2. INDIA ABSTAINS ON UNGA VOTES

THE CONTEXT: India abstained on two resolutions at the United Nations General Assembly (UNGA) on related to the humanitarian crisis in Ukraine following the Russian invasion.

THE EXPLANATION:

What are the resolutions?

• The first abstention was on a draft resolution proposed by Ukraine that held Russia responsible for the crisis.
• The second was a procedural vote — on whether the UNGA ought to take up a second resolution, proposed by South Africa, for action at all. This resolution did not mention Russia.

Background:

• The first resolution was adopted with support from 140 countries and the second was not put to vote because it did not have sufficient support.
• The draft version of Ukraine’s resolution named Russia, the UNGA “demands an immediate cessation of the hostilities by the Russian Federation against Ukraine, in particular of any attacks against civilians and civilian objects.”
• The 140 countries that voted in its favour included the U.S. and European Union countries. India was among 38 abstentions, as were China, South Africa and Sri Lanka. Five countries voted against it: Russia, Belarus, North Korea, Syria and Eritrea.

Value Addition:

 United Nations General Assembly (UNGA)

• About: Established in 1945 under the Charter of the United Nations, the UN General Assembly occupies a central position as the chief deliberative, policy making and representative organ of the United Nations.
• The UNGA is headed by its President, who is elected for a term of one year.
• Composition: It comprises all 193 Members of the United Nations.
• Mandate: provides a unique forum for multilateral discussion of the full spectrum of international issues covered by the Charter.
• It also plays a significant role in the process of standard-setting and the codification of international law.

THE ECONOMIC DEVELOPMENTS

3. EXPLAINED: WHAT IS THE NATIONAL PHARMACEUTICAL PRICING AUTHORITY’S ROLE IN FIXING DRUG PRICES?

THE CONTEXT: According to the Government sources, for the first time in many years, prices of nearly 800 drugs and medical devices under the National List of Essential Medicines (NLEM) are set to increase by over 10 percent, owing to a sharp rise in the Wholesale Price Index (WPI).

THE EXPLANATION:

• If the National Pharmaceutical Pricing Authority (NPPA) allows a price hike of over 10% in the drugs and devices listed under the National List of Essential Medicines (NLEM) the consumers may have to pay more for medicines and medical devices.
• The escalation which is expected to have an impact on nearly 800 drugs and devices is propelled by the rise in the Wholesale Price Index (WPI). Lobby groups that represent domestic pharmaceutical companies have been engaging with the Central Government to ask it to extend the 10% annual hike to scheduled formulations under price control.
• NELM lists drugs used to treat common conditions such as fever, infection, heart disease, hypertension, skin diseases and anaemia, among others.
• It includes paracetamol and antibiotics such as azithromycin, used to treat bacterial infections, anti-anaemia prescriptions such as folic acid, vitamins and minerals.
• Some drugs used for treating moderately to severely sick COVID-19 patients, steroids like prednisolone, are also included

 About NPPA:

• The National Pharmaceutical Pricing Authority (NPPA) is a government regulatory agency that controls the prices of pharmaceutical drugs in India.
• It was constituted by a Government of India Resolution dated 29th August, 1997 as an attached office of the Department of Pharmaceuticals (DoP), Ministry of Chemicals and Fertilizers as an independent regulator for pricing of drugs and to ensure availability and accessibility of medicines at affordable prices with Headquarter at New Delhi, India.

Functions of NPPA:

4. FARM INCOME FELL IN FOUR STATES: REPORT BY PARLIAMENTARY PANEL

THE CONTEXT: According to the Parliamentary panel, While National farm income rose 27% between 2015-16 and 2018-19, Jharkhand saw a drop in monthly income by 30%.

THE EXPLANATION:

• The Committee recommended that the Department of Agriculture and Family Welfare “should formulate a Special Team to figure out the reasons for falling farmers’ income in those States and take some course corrective measures so that the doubling of farmers income is not lost sight of.”
• The Doubling Farmers’ Income (DFI) committee had calculated the 2015-16 baseline by extrapolating the National Statistical Organization’s (NSO) survey data from 2012-13, calculating that the national average monthly income of a farm family in that year was ₹8,059. By the time the next NSO survey was conducted in 2018-19, monthly income had risen 27% to ₹10,218.
• In Jharkhand, however, a farm family’s average income fell from ₹7,068 to ₹4,895 over the same period. In Madhya Pradesh, it fell from ₹9,740 to ₹8,339, in Nagaland, from ₹11,428 to ₹9,877, and for Odisha, it dipped marginally from ₹5,274 to ₹5,112.
• The panel also noted that while the Department’s budgetary allocation may have risen in absolute terms, it has consistently declined in percentage terms. In the 2019-20 Budget, announced just before Lok Sabha polls, the department received 4.7% of total allocations. That proportion has dropped every year since, and in 2022-23, the department’s budget accounted for only 3.1% of the total.

Value Addition:

Committee on Doubling of Farmers Income:

The Government constituted an Inter-ministerial Committee (on the recommendation of Ashok Dalwai) in April, 2016 to examine issues relating to “Doubling of Farmers Income” (DFI) and recommend strategies to achieve the same. The Committee submitted its Report to the Government in September, 2018 containing the strategy for doubling of farmers’ income by the year 2022.  The DFI strategy as recommended by the Committee include seven sources of income growth viz.,

1. improvement in crop productivity.
2. improvement in livestock productivity.

• resource use efficiency or savings in the cost of production.

1. increase in the cropping intensity.
2. diversification towards high value crops; (vi) improvement in real prices received by farmers; and (vii) shift from farm to non-farm occupations.

5. FCRA REGISTRATION EXTENDED

THE CONTEXT: The Ministry of Home Affairs (MHA) extended the validity of FCRA [Foreign Contribution (Regulation) Act] registration of NGOs till June 30, 2022 revising its previous extended deadline of March 31, 2022.

THE EXPLANATION:

The registration of thousands of non-governmental organizations and associations that were up for renewal in October 2021 were stuck and the deadline for the same was December 31.

Value Addition:

Foreign Contribution (Regulation) Act:

It is an act of Parliament enacted in 1976 and amended in 2010. It was to regulate foreign donations and to ensure that such contributions do not adversely affect internal security.

• Coverage: It is applicable to all associations, groups, and NGOs which intend to receive foreign donations.
• Registration: It is mandatory for all such NGOs to register themselves under the FCRA. The registration is initially valid for five years. Further, it can be renewed subsequently if they comply with all norms.
• Registered NGOs can receive foreign contributions for five purposes — social, educational, religious, economic, and cultural. There are 22,591 FCRA registered NGOs.

Foreign Contribution Regulation (Amendment) Rules 2020:

• New rules require any organization that wants to register itself under the FCRA to have existed for at least three years. Further, it should have spent a minimum of Rs. 15 lakh on its core activities during the last three financial years for the benefit of society.

• Office bearers of the NGOs seeking registration under the Foreign Contribution (Regulation) Act must submit a specific commitment letter from the donor. It should indicate the amount of foreign contribution and the purpose for which it is proposed to be given.
• Any NGO or person making an application for obtaining prior permission to receive foreign funds shall have an FCRA Account.

THE PRELIMS PERSPECTIVE

6. IMD LAUNCHES CLIMATE HAZARDS E-BOOK AND VULNERABILITY E-ATLAS

THE CONTEXT: The India Meteorological Department (IMD) launched an e-book, Climate Hazards and Vulnerability Atlas of India- State: Tamil Nadu, as part of the World Meteorological Day celebrations.

THE EXPLANATION:

• According to the officials, the e-atlas would help disaster management agencies take preventive steps. Also, it helps in challenges in hydrological modelling in urbanized river basins for flood forecasting.
• The newly launched atlas can be accessed by the public from the website mausam.imd.gov.in.
• This e-atlas will help the disaster management agencies to take preventive steps against any disaster that they might face.
• A topic of discussion during the launch event of this e-atlas was about the challenges faced in the hydrological modelling in urbanised river basins for the forecasting of floods.
• An exhibition was hosted by the IMD, and its facilities were opened to the members of the public.

Value Addition:

About IMD

The India Meteorological Department (IMD) falls under the ambit of the Ministry of Earth Sciences. It is the country’s principal agency that is responsible for forecasting weather, meteorological observations, and seismology. This organization is headquartered in Delhi and has hundreds of other observation stations stationed across India and Antarctica. The regional offices of the IMD are Mumbai, Chennai, Nagpur, Kolkata, New Delhi, and Guwahati.

The IMD is also one among the World Meteorological Organisation’s six Regional Specialised Meteorological Centres. IMD is responsible for naming, forecasting, and warnings distribution for tropical cyclones in the region of the Northern Indian Ocean that includes the Bay of Bengal, the Malacca Straits, the Persian Gulf, and the Arabian Sea.

THE PRELIMS PRACTICE QUESTIONS

QUESTIONS OF THE DAY 25^th MARCH 2022

Q1. Consider the following statements about ‘NIPUN Bharat’ initiative:

1. It seeks to ensure universal acquisition of foundational literacy and numeracy by the end of Grade 3 of schooling.
2. Target is to be achieved by 2025.
3. It is being funded through Samagra Shiksha Abhiyaan.

Which of the above given statements are correct?

a) 1 and 2 only

b) 2 and 3 only

c) 1 and 3 only

d) 1, 2 and 3

ANSWER FOR 24^th MARCH 2022

Answer: A

Explanation:

• Statement 1 is correct: The Abel Prize recognizes contributions to the field of mathematics that are of extraordinary depth and influence.
• Statement 2 is incorrect: It was established by the Norwegian government in 2002, on the occasion of the 200th anniversary of Niels Henrik Abel's birth. The Norwegian Academy of Science and Letters awards the Abel Prize based on a recommendation from the Abel committee.

1. An Ethical View of the Current Geopolitics Behind the War on Ukraine READ MORE
2. Concept of creation and evolution of unit mind READ MORE

1. Why has Earth’s Northern Hemisphere witnessed year’s shortest day today? READ MORE
2. Mumbai Climate Action Plan aims to remove carbon emissions by 2050. Can it be done? READ MORE

1. There’s a darkness over India, who will show the light?  READ MORE
2. Women and Indian society READ MORE

1. Sealed justice: On sealed cover jurisprudence READ MORE
2. Explained: What is the reason for the large number of vacancies in the IAS? READ MORE
3. ‘Love jihad’ laws and the path Supreme Court can take READ MOR

(Newspapers, PIB and other important sources)

Prelim and Main

1. IMD launches climate hazards e-book and vulnerability e-atlas READ MORE
2. Edu ministry conducts first-of-its-kind study to propel NIPUN Bharat Mission READ MORE
3. Concluding Evening Of Dhauli-Kalinga Mahotsav Drops With Tabla Recital, Odissi And Martial Dance THANG-TA READ MORE
4. MHA extends FCRA validity of NGOs till June 30 READ MORE
5. Explained: Google’s new pilot programme on third-party payment systems and its significance READ MORE
6. Mange in Jaisalmer’s desert foxes worries experts READ MORE
7. UN sets five-year goal to broaden climate early warning systems READ MORE
8. India Abstains on the Second Resolution on Ukraine in UN General Assembly READ MORE

Main Exam    

GS Paper- 1

1. Why has Earth’s Northern Hemisphere witnessed year’s shortest day today? READ MORE
2. There’s a darkness over India, who will show the light?  READ MORE
3. Women and Indian society READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Sealed justice: On sealed cover jurisprudence READ MORE
2. Explained: What is the reason for the large number of vacancies in the IAS? READ MORE
3. ‘Love jihad’ laws and the path Supreme Court can take READ MOR

SOCIAL ISSUES

1. The problems with Common University Entrance Test that need examination READ MORE
2. Criminalizing marital rape: When is an exception not an exception? READ MORE

INTERNATIONAL ISSUES

1. India abstains in two UNGA votes on Ukraine humanitarian crisis READ MORE
2. View: How BIMSTEC can play a crucial role in regional cooperation READ MORE
3. India’s QUAD play in the Indo-Pacific’ READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. Crisis in Sri Lanka: India should help Sri Lanka during the crisis and also resolve some of the bilateral issues READ MORE
2. The effect of farm sector changes on agrarian movements in India READ MORE
3. Unlocking the potential of agri-tech READ MORE
4. Farmers and FCI need a new regime of MSP READ MORE
5. Economic Recovery a Myth Unless India Takes Inclusive Path READ MORE

ENVIRONMENT AND ECOLOGY  

1. Mumbai Climate Action Plan aims to remove carbon emissions by 2050. Can it be done? READ MORE

DISASTER MANAGEMENT

1. Two years on: India had major successes and big failures in Covid response. Right lessons must be learnt READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. An Ethical View of the Current Geopolitics Behind the War on Ukraine READ MORE
2. Concept of creation and evolution of unit mind READ MORE

Questions for the MAIN exam

1. Indian farm sector needs reforms to address its long-time distress but legalised MSP is not among them. Discuss.
2. ‘India will have to carefully calibrate its place in the changing geopolitics’. In the light of the statements, discuss how BIMSTEC can play a crucial role to give a right a right direction to India’s foreign policy?

QUOTATIONS AND CAPTIONS

• Life is a matter of choices, and every choice you make makes you.
• India should help Sri Lanka during the crisis and also resolve some of the bilateral issues.
• Supreme Court should lay down the limits of using sealed cover material to adjudicate cases.
• The time has come for the Supreme Court to determine and circumscribe the circumstances in which confidential government reports, especially those withheld from the other side, can be used by courts in adjudication.
• India faced the pandemic on the heels of a slowdown in economic momentum. This factor and the uncertain trajectory of the pandemic justified a fiscally cautious stance at first.
• At a time when India’s rural economy has been in distress for a long period amid declining agricultural profits and stagnant wages, agrarian mobilizations will require a broadening of the movement for it to have any political impact.
• Fostering public-private partnerships is vital for creating a viable ecosystem for agriculture technology.
• To realise the opportunity of emerging technologies for agriculture and food systems much change is needed.
• The world, despite ideological differences, cannot ignore the US and its strategic importance as a large superpower.
• The Supreme Court’s human rights judgments based on interpretation in light of disadvantaged class can act as a great tool for the court to decide on the constitutionality of ‘love jihad’ laws to protect the rights of women.
• India needs a new regime of MSP surmounting past legacy which will enable the farmers to get MSP while the fiscal and debt burden of the Government.

 50-WORD TALK

• India’s record $400 billion exports this fiscal is cause to celebrate, even if it was pushed by commodities and post-pandemic global demand. This shouldn’t be a one-off or an exception. India should build on the growth in engineering and electronics goods, boost manufacturing exports and ensure the PLI schemes succeed.
• Afghan Taliban’s decision to shut girls out of high schools isn’t surprising. Since it captured power, the Taliban has reimposed gender apartheid, using violence to stop women from working, accessing medical care and education. Pious Western talk about protecting global freedoms and rights means nothing if Taliban savagery remains unpunished.

Things to Remember:

• For prelims-related news try to understand the context of the news and relate with its concepts so that it will be easier for you to answer (or eliminate) from given options.
• Whenever any international place will be in news, you should do map work (marking those areas in maps and also exploring other geographical locations nearby including mountains, rivers, etc. same applies to the national places.)
• For economy-related news (banking, agriculture, etc.) you should focus on terms and how these are related to various economic aspects, for example, if inflation has been mentioned, try to relate with prevailing price rises, shortage of essential supplies, banking rates, etc.
• For main exam-related topics, you should focus on the various dimensions of the given topic, the most important topics which occur frequently and are important from the mains point of view will be covered in ED.
• Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.

[WpProQuiz 186]

THE CONTEXT: As economic activity started showing signs of picking up in the second year of the pandemic, the global economy faced the fresh challenge of rising global inflation. COVID-19 related stimulus spending in major economies along with pent-up demand boosting consumer spending pushed inflation up in many advanced and emerging economies. The surge in energy, food, non-food commodities, and input prices, supply constraints, disruption of global supply chains, and rising freight costs across the globe stoked global inflation during the year.

RETAIL INFLATION

The retail inflation, as measured by Consumer Price Index-Combined (CPI-C) moderates to 5.2% in 2021-22 (April-December) from 6.6% in the corresponding period of 2020-21. The Survey also says effective supply-side management kept prices of most essential commodities under control during the year.

DOMESTIC INFLATION

Compared to many Emerging Markets and Developing Economies (EMDEs) and advanced economies, the Survey finds that Consumer Price Index – Combined (CPI-C) inflation in India has remained range-bound in the recent months, touching 5.2% in December 2021. This was possible largely because of the proactive steps taken by the Government for effective supply management.

GLOBAL INFLATION

• In 2021, inflation picked up globally as economic activity revived with the opening up of economies. Inflation surged from 0.7 % in 2020 to around 3.1 % in 2021 in the advanced economies. For instance, inflation in the USA touched 7.0 % in December 2021, the highest since 1982. In the UK, it hit a nearly 30 years high of 5.4% in December 2021. Among emerging markets, Brazil witnessed inflation of 10.1% in December 2021 and Turkey also saw double-digit inflation touching 36.1%. Argentina has been experiencing inflation rates above 50% during the last 6 months.

RECENT TRENDS IN RETAIL INFLATION

• Retail inflation, well within the target limits of 2% to 6%, declined to 5.2% as against 6.6% during April – December 2020-21. The Survey states that this was largely attributed due to the easing of food inflation. Food inflation, as measured by the Consumer Food Price Index (CFPI), averaged at a low of 2.9% in 2021-22 (April-December) as against 9.1% in the corresponding period last year.
• A “refined” Core inflation has been constructed to exclude the volatile fuel items. The items of “petrol for vehicle” and “diesel for vehicle” and “lubricants & other fuels for vehicles”, in addition to “food and beverages” and “fuel and light” have been excluded from headline retail inflation. Since June 2020, refined core inflation has been much below the conventional core inflation, indicating the impact of inflation in fuel items in the “conventional” core inflation measure.

DRIVERS OF RETAIL INFLATION

• Major drivers of retail inflation have been the “miscellaneous” and “fuel & light” groups. Contribution of miscellaneous increased to 35% in 2021-22 (April – December) from 26.8% in 2020-21 (April – December). According to the Survey, within the miscellaneous group, a subgroup of “transport and Communication” contributed the most, followed by “health”. On the other hand, the contribution of food & beverages declined from 59% to 31.9%.

“FUEL & LIGHT” AND “TRANSPORT & COMMUNICATION”

• Inflation in the above two groups for the period of 2021-22 (April – December) has been largely due to the high international crude oil, petroleum product prices, and higher taxes.

MISCELLANEOUS

• Apart from transport & communication; “clothing and footwear” inflation also saw a rising trend during the current financial year possibly indicating higher production and input costs (including imported inputs) as well as due to revival of consumer demand.

FOOD AND BEVERAGES

• “Oils and fats” contributed around 60% of “food and beverages” inflation despite having a weight of only 7.8% in the group. The demand for edible oils is largely met through imports (60%) and fluctuations in international prices have been responsible for the high inflation in this subgroup. Though India’s imports of edible oils have been the lowest in the last six years, in terms of value, it has increased by 63.5% in 2020-21 as compared to 2019-20.
• Inflation in pulses declined to 2.4% in December 2021from 16.4% in 2020-21.With an increase in area sown for Kharif pulses to a new high of 142.4 lakh hectares (as of 1^stOctober 2021) pulses inflation is on a downward trajectory.

RURAL-URBAN INFLATION DIFFERENTIAL

• The gap between rural and urban CPI inflation declined in 2020 as compared to the higher gaps witnessed from July 2018 to December 2019. The factor largely responsible for divergence, for brief periods, is the component of food and beverages.

TRENDS IN WHOLESALE PRICE INDEX-BASED INFLATION

• WPI inflation has shown an increasing trend and has remained high during the current financial year touching 12.5% during 2021-22 (April – December). The Survey describes that part of the high inflation could be because of a low base in the previous year as WPI inflation has been benign during 2020-21.

• Crude petroleum & natural gas subgroup under WPI has witnessed very high inflation and stood at 55.7% in December 2021. Within manufactured food products, edible oils were a major contributor.

DIVERGENCE BETWEEN WPI AND CPI-BASED INFLATION RATES

• The Survey attributes a host of factors for the divergence witnessed between the two indices. Some of them, amongst others, include the variations due to base effect, the conceptual difference in their purpose and design, the price behavior of the different components of the two indices, and lagging demand pick up. The Survey states that with the gradual waning of base effect in WPI its divergence in WPI and CPI inflation is expected to narrow down.

HOUSING PRICES

• The residential housing sector was also affected by COVID-19 induced restrictions through both supply and demand channels.
• Amidst initial COVID-19 restrictions, not only did the construction of new houses slow down but the launch of new housing projects also got delayed. With the loss of income, uncertainty about future income, and stay-at-home orders, home buyers delayed their housing purchases.
• During the second COVID-19 wave (April-June, 2021), transactions of housing properties were once again impacted adversely, but not as much as it was seen during the first COVID-19 wave (April-June, 2020).

PHARMACEUTICAL PRICING

• Several steps have been taken to ensure the affordability of drugs and medical devices. Ceiling prices for 355 medicines and 886 formulations were fixed for medicines under the National List of Essential Medicines, 2015 until 31 December 2021.
• Retail prices for approximately 1798 formulations were fixed under DPCO, 2013 till 31 December 2021.
• During the recent years, exercising extraordinary powers under DPCO, 2013 in the public interest, prices of coronary stents and knee implants have also been fixed.
• NPPA also capped the trade margin up to 30 percent on selected 42 anti-cancer non-schedule medicine on a pilot basis in February 2019.

LONG TERM PERSPECTIVE

• Given the importance of supply-side factors in having a predominance in the determination of inflation in India, certain long-term policies are likely to help. This includes changing production patterns which would lead to diversification of production of crops, calibrated import policy to address uncertainty, and increased focus on transportation and storage infrastructure for perishable commodities.
• Better storage and supply chain management is required to ensure availability in lean season and reduced wastages of horticulture and other perishable essential commodities to reduce the seasonal spikes in prices for consumers, glut for the farmers in times of good harvests due to lack of marketing infrastructure, resulting in distress sales.
• Effective utilization of the Agriculture Infrastructure Fund for investment in viable projects for post-harvest management infrastructure for perishable commodities can help improve agriculture infrastructure in the country.
• Schemes like Operation Green and Kisan Rail need to be exploited further to protect the interests of the farmers as well as the consumers.

HIGHLIGHTS

• The average headline CPI-Combined inflation moderated to 5.2 percent in 2021-22 (April-December) from 6.6 percent in the corresponding period of 2020-21.
• The decline in retail inflation was led by the easing of food inflation.
• Food inflation averaged at a low of 2.9 percent in 2021-22 (April to December) as against 9.1 percent in the corresponding period last year.
• Effective supply-side management kept prices of most essential commodities under control during the year.
• Proactive measures were taken to contain the price rise in pulses and edible oils.
• Reduction in central excise and subsequent cuts in Value Added Tax by most States helped ease petrol and diesel prices.
• Wholesale inflation based on the Wholesale Price Index (WPI) rose to 12.5 percent during 2021-22 (April to December).
• This has been attributed to:
• Low base in the previous year,
• Pick-up in economic activity,
• Sharp increase in international prices of crude oil and other imported inputs, and
• High freight costs.
• Divergence between CPI-C and WPI Inflation:
• The divergence peaked to 9.6 percentage points in May 2020.
• However, this year there was a reversal in divergence with retail inflation falling below wholesale inflation by 8.0 percentage points in December 2021.
• This divergence can be explained by factors such as:
• Variations due to base effect,
• Difference in scope and coverage of the two indices,
• Price collections,
• Items covered,
• Difference in commodity weights, and
• WPI being more sensitive to cost-push inflation led by imported inputs.

THE POLITY AND GOVERNANCE

THE CONTROVERSY OVER THE PROPOSED MEKEDATU WATER PROJECT

THE CONTEXT: Karnataka and Tamil Nadu are at loggerheads over the Mekedatu drinking water project across river Cauvery. Tamil Nadu’s Assembly has passed a resolution against the project, while Karnataka’s legislative assembly is set to counter it with a resolution seeking the project’s early implementation and clearance.

THE EXPLANATION:

• Mekedatu is a drinking water cum power generation project proposed by Karnataka across the river Cauvery. The ₹9,000 crore balancing reservoir at Mekedatu on the Karnataka-Tamil Nadu border envisages impounding of 67.15 tmc (thousand million cubic feet) ft. of water.
• Karnataka has argued that since the project falls inside its own jurisdictional limit, Tamil Nadu’s permission is not needed.

What is the project?

• Originally mooted in 1948, Mekedatu (which translates as Goat’s crossing) is a drinking water cum power generation project across river Cauvery.
• Karnataka gave the project shape after the final award of the Cauvery Water Disputes Tribunal was notified in February 2013 allocating the riparian states their shares.
• After a pre-feasibility study report was submitted in 2018, the State submitted a detailed project report to the Central Water Commission in 2019.
• The project, which will involve submergence of nearly 5,100 hectares of forest in Cauvery wild life sanctuary hosting rich flora and fauna, will help the state in utilising the additional 4.75 tmc ft. of water allocated by Supreme Court in 2018 for consumptive use for drinking purpose for Bengaluru and neighbouring areas.
• Karnataka’s share in the award has been decided at 284.75 tmc ft. In July 2019, the Expert Appraisal Committee on River Valley and Hydroelectric Projects constituted by the Union Ministry of Environment, Forest and Climate Change (MoEFCC) has said the proposal could be reconsidered only after Tamil Nadu and Karnataka reach an “amicable solution.”

How will it benefit Karnataka?

• The water from Mekedatu is to be pumped to quench the thirst of the burgeoning population of Bengaluru which is estimated to be around 1.3 crore. Currently, more than 30% of Bengaluru is dependent on borewell water. Along with the 5th stage of the Cauvery Water Supply Scheme, which will be completed shortly, the water from Mekedatu is projected to meet the water requirement of the State capital for the next 30 years.
• Besides, there are also plans to generate 400 MW of power. The revenue earned from power generation is expected to compensate the Government its investment on the project within a few years.
• Karnataka argues that the reservoir will also help to ensure monthly flow stipulated in the award for Tamil Nadu rather than harm the neighbouring State’s interest in any way.

What is Karnataka’s stand?

• Karnataka says that there is no case for Tamil Nadu after its share of 177.75 tmc ft. of water is ensured at the inter-State border gauging centre at Biligundlu. Also, the project falls inside the jurisdictional limit of Karnataka and Tamil Nadu’s permission is not needed.
• The State also argues that since there is no stay in any court for the project, Karnataka can go ahead. On utilising the surplus water, Karnataka says that any allocation in this sphere should be done after hydrology studies to ascertain the quantum of excess water available in the basin.

Why is Tamil Nadu opposed to it?

• According to the TN Govt, through the project, Karnataka will impound and divert flows from “uncontrolled catchments” to it, a component which was taken into account by the Tribunal in the 2007 order while arriving at the water allocation plan for the State.
• As per an estimate, around 80 tmc ft of water flows annually to Tamil Nadu, thanks to the catchments including the area between Kabini dam in Karnataka and Billigundulu gauging site on the inter-State border, and the area between Krishnaraja Sagar dam in Karnataka and the gauging site.
• As the upper riparian State has adequate infrastructure even now to address the water needs of Bengaluru, there is no need for the Mekedatu project, according to Tamil Nadu.
• Mekedatu also does not find mention in the Tribunal’s final order or the Supreme Court judgement. Besides, given the unpleasant experiences that it has had with Karnataka in securing its share of the Cauvery water, as per the monthly schedule of water release, Tamil Nadu is wary of assurances from the other side.

THE SCIENCE AND TECHNOLOGY

2. THE ARTEMIS PROGRAMME, NASA’S NEW MOON MISSION

THE CONTEXT: In early March 2022, the NASA rolled out its Artemis I moon mission to the launchpad for testing at the Kennedy Space Centre in Florida, United States. The Space Launch System (SLS) rocket and Orion capsule of the mission were hurled out to the launchpad by NASA’s Crawler-Transporter 2 vehicle.

THE EXPLANATION:

What is the Artemis mission?

• NASA’s Artemis mission is touted as the next generation of lunar exploration and is named after the twin sister of Apollo from Greek mythology. Artemis is also the goddess of the moon.

• Artemis I is the first of NASA’s deep space exploration systems. It is an uncrewed space mission where the spacecraft will launch on SLS — the most powerful rocket in the world — and travel 2,80,000 miles from the earth for over four to six weeks during the course of the mission. The Orion spacecraft is going to remain in space without docking to a space station, longer than any ship for astronauts has ever done before.
• The SLS rocket has been designed for space missions beyond the low-earth orbit and can carry crew or cargo to the moon and beyond. With the Artemis programme, NASA aims to land humans on the moon by 2024, and it also plans to land the first woman and first person of color on the moon.
• With this mission, NASA aims to contribute to scientific discovery and economic benefits and inspire a new generation of explorers.
• NASA will establish an Artemis Base Camp on the surface and a gateway in the lunar orbit to aid exploration by robots and astronauts. The gateway is a critical component of NASA’s sustainable lunar operations and will serve as a multi-purpose outpost orbiting the moon.
• The Canadian Space Agency has committed to providing advanced robotics for the gateway, and the European Space Agency will provide the International Habitat and the ESPRIT module, which will deliver additional communications capabilities among other things. The Japan Aerospace Exploration Agency plans to contribute habitation components and logistics resupply.

What is the mission trajectory?

• SLS and Orion under Artemis I will be launched from the Kennedy Space Centre in Florida, U.S. in the summer of 2022. The spacecraft will deploy the interim cryogenic propulsion stage (ICPS), a liquid oxygen/liquid hydrogen-based propulsion system that will give Orion the thrust needed to leave the earth’s orbit and travel towards the moon.
• The spacecraft will communicate with the control centre back on Earth through the deep-space network. The aim of the exercise is to collect data and to allow mission controllers to assess the performance of the spacecraft.
• To re-enter the earth’s atmosphere, Orion will do a close flyby within less than 100 km of the moon’s surface and use both the service module and the moon’s gravity to accelerate back towards the earth. The mission will end with the spacecraft’s ability to return safely to the earth.

THE GOVERNMENT SCHEMES/ INITIATIVES IN NEWS

3. JAL SHAKTI MINISTRY LAUNCHES SUJLAM 2.0 CAMPAIGN TO BOOST GREYWATER MANAGEMENT

THE CONTEXT: On the occasion of World Water Day, the central government launched a nationwide campaign for greywater management. Called Sujlam 2.0, the campaign will focus on creation of community and institutional greywater management assets.

THE EXPLANATION:

The objective of this campaign

The Sujlam 2.0 campaign was launched with the objective of managing greywater through the participation of the people. Under this campaign, there are plans to mobilize communities such as schools, panchayats, and anganwadis to help in greywater management.

Funding of this campaign

Funds for greywater management will be provided from the Swachh Bharat Mission-Gramin Phase II or through grants under the 15th Finance Commission as well as the MGNREGS or through the convergence between all of them.

What is Greywater?

Greywater refers to the domestic wastewater that is generated in households, office buildings, etc. and is without faecal contamination. Sources of greywater include showers, sinks, washing machines, baths, etc.’

Since greywater contains less pathogens compared to domestic wastewater, it is safer to treat, handle, and reuse for the purpose of landscape, toilet flushing, crop irrigation, etc.

How can Greywater be managed?

It can be best managed where greywater is generated.  It can turn into a major infrastructure and management challenge if greywater is allowed to be accumulated and thus, can stagnate.

THE PRELIMS PERSPECTIVE

4. THE AHIR REGIMENT DEMAND

THE CONTEXT: An ongoing agitation by members of the Ahir community disrupted traffic on a 6-kilometre stretch of the Delhi-Gurgaon highway. The protesters demanding an Ahir Regiment in the Indian Army.

THE EXPLANATION:

WHAT IS THE REASON BEHIND THE DEMAND?

Members of the community have long argued that the Ahirs deserve a full-fledged Infantry Regiment named after them, not just two battalions in the Kumaon Regiment and a fixed percentage in other regiments.

The demand got a boost during the 50th anniversary of the 1962 War in 2012 when the saga of the Ahirs’ heroism was recounted repeatedly and has received renewed traction in the 60th anniversary year.

• The protesters contend that the Indian Army had several caste-based regiments (for Sikhs, Gorkhas, Jaats, Garhwals, Rajputs).
• In the battle of Rezang La in 1962, out of 120 casualties, 114 were Ahirs.
• It is unfortunate that Ahirs have not got the recognition like other communities.
• The recruitment to President’s Bodyguard (PBG) is open only for Rajputs, Jats and Sikh regiments.
• The Ahirs are variously described as a caste, a clan, a community, a race and a tribe.
• The traditional occupations of Ahirs are cattle-herding and agriculture.

What has been the Army’s response to the demand?

The Army has rejected the demand for any new class or caste-based regiment. It has said that while the older regiments based on castes and regions like the Dogra Regiment, Sikh Regiment, Rajput Regiment, and Punjab Regiment will continue, no new demands on the lines of an Ahir Regiment, Himachal Regiment, Kalinga Regiment, Gujarat Regiment, or any tribal regiment would be entertained.

 5. EXPLAINED: WHAT ARE BLACK BOXES, AND WHY ARE THEY IMPORTANT IN A CRASH INVESTIGATION?

THE CONTEXT: The Eastern Airlines of Boeing 737-800 with 132 people on board crashed in Guangxi province of southern China after a sudden plunge from cruising altitude at about the time when it would normally start to descend ahead of its landing.

THE EXPLANATION:

Black boxes

• These are two large metallic boxes containing recorders that are required to be kept on most aircraft, one in the front and the other in the rear. The recorders record the information about a flight, and help reconstruct the events leading to an aircraft accident.
• The cockpit voice recorder (CVR) records radio transmissions and other sounds in the cockpit, such as conversations between the pilots, and engine noises. The flight data recorder (FDR) records more than 80 different types of information such as altitude, airspeed, flight heading, vertical acceleration, pitch, roll, autopilot status, etc.
• Black boxes are mandatory on commercial flights. Their purpose on aircraft is not to establish legal liability, but to identify the causes of a mishap and, therefore, help to prevent adverse incidents in the future.

Orange, not black

Black boxes are a blazing, high-visibility orange in colour, so that crews looking for them at a crash site have the best chance of finding them. The use of black boxes dates back to the early 1950s, when, following plane crashes, investigators were unable to arrive at a conclusive cause for the accidents.

Surviving the crash

• In the initial days of the black box, a limited amount of data were recorded on wire or foil. Thereafter magnetic tape was used, and modern models contain solid state memory chips.
• The recording devices, each weighing about 4.5 kg, are stored inside a unit that is generally made out of strong substances such as steel or titanium, and are insulated from extreme heat, cold or wetness. The FDR is located towards the tail end of the aircraft because that is usually where the impact of a crash is the least.
• To make black boxes discoverable under water, they are equipped with a beacon that sends out ultrasound signals for 30 days.

Retrieving the data

• It usually takes 10-15 days to analyse the data recovered from the black boxes. Meanwhile investigators look for other clues such as taking accounts from air traffic control personnel and recordings of the conversation between ATC and the pilots’ moments before the crash.
• This helps investigators understand if pilots were aware that they were in a situation that was headed to such an eventuality and if so, whether they had reported any problems regarding controlling the aircraft.

6. ABEL PRIZE FOR 2022

THE CONTEXT: Dennis Parnell Sullivan, an American mathematician, has been announced as the winner of the Abel Prize 2022.

THE EXPLANATION:

• The math genius received the award for his work in topology and its branches, specifically “for his groundbreaking contributions to topology in its broadest sense, and in particular its algebraic, geometric and dynamical aspects.”
• Topology is a branch of mathematics that considers two objects of different shapes equivalent if they can be deformed into one another through shrinking, stretching and similar forces, but gluing foreign parts or tearing them apart is not allowed in the study of topology. This stream of mathematics is comparatively new as it was born in the late 19th century. The study of topology has been remarkably important in maths and other fields such as economics, data science and physics.

Abel Prize

• Abel Prize is an annual prize given annually to a person by the King of Norway, who has done a remarkable job in the field of mathematics.
• The annual award for mathematics is named after the great Norwegian mathematician Niels Henrik Abel. The award is inspired by the famous Nobel Prize. It is pertinent to note that there is no Nobel Prize for mathematics, though some mathematicians have won the prestigious Nobel Prize in different fields other than Mathematics.
• The Fields Medal is another annual award that is sometimes considered the ‘Mathematics Nobel’ but is only awarded to those below 40 years of age.

THE PRELIMS PRACTICE QUESTIONS

QUESTIONS OF THE DAY 24^th MARCH 2022

Q1. Consider the following statements about Abel Prize:

1. It recognizes contributions to the field of mathematics that are of extraordinary depth and influence.
2. It is established by the Sweden government in 2002.
3. The award has been awarded biennially since 2003.

Which of the statements given above is/are correct?

a) 1 only

b) 1 and 2 only

c) 1 and 3 only

d) 1, 2 and 3

ANSWER FOR 23^RD MARCH 2022

Answer: B

Explanation:

• Statement 1 is incorrect: It was launched during 12th Five Year Plan. It was approved and notified on 29.09.2014.
• Statement 2 is correct: It is centrally sponsored scheme.
• Statement 3 is correct: Government of India has recently announced its continuation of its implementation up to 2026.

1. Conservative Framing of the Hijab Issue and the Muslim Women’s Movement READ MORE
2. Teachable moments: CUET has merit but pitfalls too READ MORE

1. Mind, body & growth: How to ensure India’s government schools, healthcare deliver quality service for the majority READ MORE
2. THE PITIFUL CAUSES OF WAR AND THE DUTY OF EVERYONE TO STRIVE FOR PEACE READ MORE

CASE STUDY

1. MP to serve show-cause notice to IAS officer for tweet on Kashmir Files READ MORE

1. Tackling Delhi’s air pollution READ MORE
2. Where Does India’s New Arctic Policy Stand Amid Russian Invasion, Climate Change? READ MORE
3. The controversy over the proposed Mekedatu water project READ MORE

1. Delink the Rajya Sabha seat from privilege READ MORE
2. India’s law enforcement framework needs to strike a balance between legal and illegal READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. FDI INFLOW READ MORE
2. India crosses $ 400 bn milestone in exports READ MORE
3. The Artemis programme, NASA’s new moon mission READ MORE
4. Explained: What are black boxes, and why are they important in a crash investigation? READ MORE
5. Modi govt reorganises AGMUT civil service cadre, keeps IPS strength same in J&K after merger READ MORE
6. Kamrup vulture deaths: It is time to fight for the birds, if we want to secure our own future READ MORE
7. Jal Shakti Minister Gajendra Singh Shekhawat launches Sujalam 2.0 campaign for greywater management in New Delhi READ MORE

Main Exam    

GS Paper- 1

1. The controversy over the proposed Mekedatu water project READ MORE
2. Conservative Framing of the Hijab Issue and the Muslim Women’s Movement READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Delink the Rajya Sabha seat from privilege READ MORE
2. India’s law enforcement framework needs to strike a balance between legal and illegal READ MORE

SOCIAL ISSUES

1. Teachable moments: CUET has merit but pitfalls too READ MORE

INTERNATIONAL ISSUES

1. Explained: What is OIC, and what are its relations with India? READ MORE
2. India holds its own: Justified in resisting US pressure over Russia READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. Global uncertainties, India’s growth prospects: Normalisation of the economy has been disturbed and the growth objective would be served by apt fiscal policy moves READ MORE
2. India sets $400 billion export record: Its significance and key drivers of growth READ MORE
3. Priority sector lending needs a tweak READ MORE
4. Turning the spotlight on unemployment crisis READ MORE

ENVIRONMENT AND ECOLOGY  

1. Tackling Delhi’s air pollution READ MORE
2. Where Does India’s New Arctic Policy Stand Amid Russian Invasion, Climate Change? READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. Mind, body & growth: How to ensure India’s government schools, healthcare deliver quality service for the majority READ MORE
2. THE PITIFUL CAUSES OF WAR AND THE DUTY OF EVERYONE TO STRIVE FOR PEACE READ MORE

CASE STUDY

1. MP to serve show-cause notice to IAS officer for tweet on Kashmir Files READ MORE

Question for the MAIN exam

1. How far do you agree with this view that the culture of privilege and political commitment for Rajya Sabha seats affecting the quality of debate in Parliament? Analyse your view.

QUOTATIONS AND CAPTIONS

• I believe healthcare is a civil right. — Dennis Kucinich
• Normalisation of the economy has been disturbed and the growth objective would be served by apt fiscal policy moves.
• Lending institutions must demonstrate a moral duty towards the society and environment protection. The rationale of priority sector lending deserves a review.
• It is lack of demand rather than past baggage of bad loans that is holding back investment and demand for credit.
• On the medical oxygen front, the nation is unlikely to witness shortage; on the district hospital front, there is a long way to go; and in terms of science- and evidence-based decision making, some progress has been made.
• The Upper House of the Indian Parliament has become a parking lot for discredited politicians.
• The US understands the importance of India for Quad in the Indo-Pacific and that even if they do differ on Russia, their relationship is deep and resilient.
• The CUET should focus on not perpetuating the limitations of the Indian education system, which continues to focus on rote learning and exam-cracking techniques.
• India needs a mechanism that enables the law enforcement and security agencies to intervene legally, without having to adopt grey tactics.
• It is an irony that the language of rights leads to depoliticisation of these groups from the larger universal concern such as non-violence, secularism, and individual and collective freedom.
• Such a conception of reified autonomy then raises the question as to where do these parties stand in terms of the larger issues of humanism and social harmony.

50-WORD TALK

• In November 2021, at a meeting with Rajya Sabha Chairman Venkaiah Naidu, floor leaders of various parties expressed concern about the comments made on Parliament by Chief Justice NV Ramana. The CJI had described the lack of debate in the two Houses as a ‘sorry state of affairs’. The comment is bang on. There have been some notable speeches delivered in the House of Elders, but to largely empty benches. Our ‘learned’ parliamentarians not only do not know, they do not even care to know.
• As developed countries are being forced to raise their interest rates and inflationary pressures continue to mount in India and abroad, the RBI may find it advisable to raise the policy rate with a view to stemming inflationary pressures and outward flow of the U.S. dollar even as the growth objective would be served by fiscal policy initiatives.

Things to Remember:

• For prelims-related news try to understand the context of the news and relate with its concepts so that it will be easier for you to answer (or eliminate) from given options.
• Whenever any international place will be in news, you should do map work (marking those areas in maps and also exploring other geographical locations nearby including mountains, rivers, etc. same applies to the national places.)
• For economy-related news (banking, agriculture, etc.) you should focus on terms and how these are related to various economic aspects, for example, if inflation has been mentioned, try to relate with prevailing price rises, shortage of essential supplies, banking rates, etc.
• For main exam-related topics, you should focus on the various dimensions of the given topic, the most important topics which occur frequently and are important from the mains point of view will be covered in ED.
• Try to use the given content in your answer. Regular use of this content will bring more enrichment to your writing.

[WpProQuiz 185]

THE CONTEXT: Since the beginning of the COVID-19 pandemic, the monetary policy and liquidity operations have been geared towards mitigating its adverse impact on the economy. Accommodative monetary policy and other regulatory dispensations, asset classification standstill, temporary moratorium, and provision of adequate liquidity were put in place to provide a safety net to the system. In 2021-22, RBI’s measures like CRR reduction reached pre-set sunset dates, liquidity has been wound down partly but remains in surplus mode and regulatory measures have been realigned.

MONETARY DEVELOPMENTS

The Monetary Policy Committee (MPC) maintained the status quo on the policy repo rate from April to December 2021 after a substantial cut of 115 basis points (bps) during February May 2020 and a cumulative 250 basis points cut since February 2019. The repo rate which currently stands at 4 percent is the lowest in the last decade (Figure 1). Since May 2020, the policy rates have been on hold along with an accommodative monetary policy stance with forwarding guidance that this stance will continue as long as necessary to revive growth on a durable basis while ensuring that inflation remains within the target.

 Repo and reverse repo rate (percent)

LIQUIDITY CONDITIONS AND THEIR MANAGEMENT

• Liquidity has remained in surplus in the system since mid-2019 in sync with the easing of monetary conditions (Figure 6). The liquidity conditions were further eased during the year 2020-21 after the covid pandemic, and RBI has since then maintained ample surplus liquidity in the banking system to support growth.
• In 2021-22 so far, the RBI resumed normal liquidity operations in a phased manner and engaged in rebalancing liquidity from passive absorption under fixed-rate reverse repo under its Liquidity Adjustment Facility (LAF) to market-based reverse repo auctions (like Variable Rate Reverse Repo (VRRR)).
• At the same time it also ensured adequate liquidity in the system in consonance with the accommodative monetary policy stance to support growth. The liquidity conditions remained in surplus in 2021-22.

DEVELOPMENTS IN G-SEC MARKET

• The yields on 10-year G sec which had reached 8.2 percent on 26th September 2018 reduced substantially to reach 5.75 percent in June 2020. It has since then increased to stand at 6.45 percent as of 31st December 2021.

BANKING SECTOR

 The economic shock of the pandemic has been weathered well by the commercial banking system so far, even if some lagged impact is still in pipeline. The Survey also notes that the bank credit growth stands at 9.2 percent as of 31st December 2021.

GROWTH IN PERSONAL LOANS IMPROVED TO DOUBLE DIGITS:

• The Survey highlights that the growth in personal loans improved to 11.6% as compared with 9.2% in the previous year. Housing loans, the largest constituent of personal loans, registered a growth of 8 percent in November 2021. The growth of vehicle loans, the second-largest constituent, improved to 7.7 percent in November 2021 from 6.9 percent in November 2020.

CREDIT GROWTH

• The Survey states that the credit to Agriculture continued to register robust growth, and was at 10.4 percent (YoY) in 2021 as compared with 7 percent in 2020. Credit growth to micro & small industries accelerated to 12.7 percent in 2021 from 0.6 percent a year ago, reflecting the effectiveness of various measures taken by the Government and the RBI to boost credit flow to the micro, small and medium enterprises (MSME) sector.

MONETARY TRANSMISSION

• According to the Survey, Large surplus systemic liquidity, forward guidance of continuing with the accommodative stance, and the external benchmark system for pricing of loans in select sectors aided monetary transmission.

FACTORING IN INDIA

• The Survey states that Factoring is an important source of liquidity worldwide, especially for MSMEs. Hence, the Factoring Regulation (Amendment) Act, 2021 was enacted with the amendments in line with the recommendations of the UK Sinha Committee. The significant regulations about the amendment act have been notified by the RBI in January 2022. The amendments have liberalized the restrictive provisions in the Act and at the same time ensured that a strong regulatory / oversight mechanism is in place under RBI. Overall, this change would lead to the widening of the factoring ecosystem in the country and help MSMEs significantly, by providing added avenues for availing credit facilities.

DEPOSIT INSURANCE IN INDIA

• The Survey asserts that The Deposit Insurance and Credit Guarantee Corporation (Amendment) Act, passed by the Parliament in 2021, made significant changes in the landscape of deposit insurance in India. The Survey also notes that Bank-group wise, the percentage of insured deposits vis-à-vis total deposits is 84 percent for RRBs, 70 percent for cooperative banks, 59 percent for SBI, 55 percent for PSBs, 40 percent for private sector banks, and 9 percent for foreign banks. Up to 31st March 2021, a cumulative amount of Rs 5,763 crores has been paid towards claims since the inception of deposit insurance (Rs 296 crore in respect of 27 commercial banks and Rs 5,467 crores in respect of 365 co-operative banks).

DEPOSIT INSURANCE AND CREDIT GUARANTEE CORPORATION (AMENDMENT) ACT(DICGC)

• Bill seeks to ensure that account holders will get up to Rs 5 lakh within 90 days of the RBI imposing a moratorium on their banks from the Deposit Insurance and Credit Guarantee Corporation (DICGC).
• It provides immediate relief to lakhs of depositors, whose money is parked in stressed lenders such as the PMC Bank and other small cooperative banks.
• According to the previous provisions, the deposit insurance of up to Rs 5 lakh comes into play when the license of a bank is canceled, and the liquidation process starts and they needed 8-10 years for the depositors of a stressed bank to get their insured money and other claims.
• DICGC, a wholly-owned subsidiary of the RBI, provides an insurance cover on bank deposits.

DIGITAL PAYMENTS

• According to the Survey, Unified Payments Interface (UPI) is currently the single largest retail payment system in the country in terms of volume of transactions, indicating its wide acceptance In December 2021, 4.6 billion transactions worth Rs 8.26 lakh crore were carried out by UPI. RBI and the Monetary Authority of Singapore announced a project to link UPI and PayNow, which is targeted for operationalization by July 2022, Bhutan recently became the first country to adopt UPI standards for its QR code. It is also the second country after Singapore to have BHIM-UPI acceptance at merchant locations.

NBFCs

• The Survey states that the total credit of the NBFC sector increased marginally from Rs 27.53 lakh crore in March 2021 to Rs 28.03 lakh crore in September 2021. The credit intensity of NBFCs, measured by NBFC credit as a ratio of GDP has been rising consistently and stood at 13.7% at the end-March 2021. Industry remained the largest recipient of credit extended by the NBFC sector, followed by retail loans and services.

EQUITY

• The Survey observes that In April-November 2021, IPOs of 75 companies have been listed, garnering Rs 89,066 crore, as compared to 29 companies raising Rs 14,733 crore during April-November 2020, indicating a stupendous rise of 504.5 percent in fund mobilization. The money raised by IPOs has been greater than what has been raised in any year in the last decade by a large margin. Amount raised by way of preferential allotment increased by 67.3 percent during April-November 2021, as compared to the previous year. Overall, during April-November 2021, Rs 1.81 lakh crore has been raised through equity issues through diverse modes viz., public offerings, rights, QIP, and preferential issues.

MUTUAL FUND ACTIVITIES

• The Survey highlights that the net Assets under Management (AUM) of the mutual fund industry rose by 24.4 percent to Rs 37.3 lakh crore at the end of November 2021 from Rs 30.0 lakh crore end of November 2020. Net resource mobilization by mutual funds was Rs 2.54 lakh crore during April-November 2021, as compared to Rs 2.73 lakh crore during April-November 2020.

PENSION SECTOR

• The total number of subscribers under the Nthe ew Pension Scheme (NPS) and Atal Pension Yojana (APY) increased from 374.32 lakh as of September 2020 to 463 lakh as of September 2021, recording a growth of 23.7 percent over the year. The overall contribution under NPS grew by more than 29 percent during the period September 2020 – September 2021.
• Maximum growth in contribution was registered under the All Citizen model (51.29 percent) followed by Corporate Sector (42.13 percent), APY (38.78 percent), State Government Sector (28.9 percent), and Central Government Sector (22.04 percent).
• The Assets under Management (AUM) of NPS and APY stand at Rs 6.67 lakh crore at the end of September 2021 and thereby recorded an overall growth (YoY) of 34.8 percent.
• The gender gap in enrolments under APY has narrowed down with increased participation of female subscribers, which has increased from 37 percent as of March 2016; to 44 percent as of September 2021.

SCHEDULED COMMERCIAL BANKs (SCBs)

• The Survey observes that the Gross Non-performing Advances (GNPA) of the SCBs reduced to 6.9% in the year 2021, the Net Non-performing advances (NNPA) stands @2.2% Restructured Standard Advances (RSA) ratio of SCBs increased from 0.4 percent to 1.5 percent.
• Overall, the Stressed Advances ratio of SCBs increased to 8.5% at the end of September 2021. The Survey claims that COVID-19 related dispensations/moratoriums provided concerning asset quality contributed towards an increase in restructured assets and as a result, stressed advances ratio.

PUBLIC SECTOR BANKs (PSBs)

• The Survey highlights that the GNPA decreased to 8.6 percent at the end-September 2021, The Stressed Advances ratio of PSBs increased to 10.1 percent during the same period on account of rising in restructured advances. Based on the capital position as of September 30, 2021, all Public Sector and Private Sector banks maintained the Capital Conservation Buffer (CCB) well over 2.5 percent.

INSOLVENCY AND BANKRUPTCY CODE

• The Insolvency and Bankruptcy Code (IBC) has created a cohesive and comprehensive insolvency ecosystem. With the enactment of IBC, India has witnessed the birth of two professions, namely, the insolvency profession and the valuation profession that have professionalized insolvency services.
• The Code has opened possibilities of the resolution, including merger, amalgamation, and restructuring of any kind, which often requires professional help. This has created markets for services of Insolvency Professionals, Registered Valuers, Insolvency Professional Entities and expanded the scope of services of Advocates, Accountants, and other professionals.

Cross Border Insolvency

• Cross border insolvency signifies circumstances in which an insolvent debtor has assets and/or creditors in more than one country.
• Typically, domestic laws prescribe procedures, for identifying and locating the debtors’ assets; calling in the assets and converting them into a monetary form; making distributions to creditors by the appropriate priority, etc. for domestic creditors/debtors.
• However, there are various insolvency cases in which corporations owe assets and liabilities in more than one country.
• At present, the Insolvency and Bankruptcy Code, 2016 (IBC) provides for the domestic laws for the handling of an insolvent enterprise. IBC at present has no standard instrument to restructure the firms involving cross-border jurisdictions.
• The problem of not having a cross-border framework problem was also expressed by the National Company Law Tribunal (NCLT) in Mumbai in a cross-border insolvency case involving an Indian entity.
• India needs to adopt the United Nations Commission on International Trade Law (UNCITRAL) with certain modifications to make it suitable to the Indian context.
• It has been adopted by 49 countries until now, such as Singapore, the UK, the US, South Africa, Korea, etc. This law addresses the core issues of cross border insolvency cases with the help of four main principles:
• Access: It allows foreign professionals and creditors direct access to domestic courts and enables them to participate in and commence domestic insolvency proceedings against a debtor.
• Recognition: It allows recognition of foreign proceedings and enables courts to determine relief accordingly.
• Cooperation: It provides a framework for cooperation between insolvency professionals and courts of countries.
• Coordination: It allows for coordination in the conduct of concurrent proceedings in different jurisdictions.

HIGHLIGHTS

• The liquidity in the system remained in surplus.
• Repo rate was maintained at 4 per cent in 2021-22.
• RBI undertook various measures such as G-Sec Acquisition Programme and Special Long-Term Repo Operations to provide further liquidity.

The economic shock of the pandemic has been weathered well by the commercial banking system:

• YoY Bank credit growth accelerated gradually in 2021-22 from 5.3 per cent in April 2021 to 9.2 per cent as on 31^stDecember 2021.
• The Gross Non-Performing Advances ratio of Scheduled Commercial Banks (SCBs) declined from 11.2 per cent at the end of 2017-18 to 6.9 per cent at the end of September 2021.
• Net Non-Performing Advances ratio declined from 6 percent to 2.2 per cent during the same period.
• Capital to risk-weighted asset ratio of SCBs continued to increase from 13 per cent in 2013-14 to 16.54 per cent at the end of September 2021.
• The Return on Assets and Return on Equity for Public Sector Banks continued to be positive for the period ending September 2021.

Exceptional year for the capital markets:

• 89,066 crore was raised via 75 Initial Public Offering (IPO) issues in April-November 2021, which is much higher than in any year in the last decade.
• Sensex and Nifty scaled up to touch peak at 61,766 and 18,477 on October 18, 2021.
• Among major emerging market economies, Indian markets outperformed peers in April-December 2021.

THE POLITY AND GOVERNANCE

1. BIHAR TO BECOME THE FIRST STATE TO IMPLEMENT DYNAMIC MAP TO TRACK LAND OWNERSHIPS

THE CONTEXT: New technological interventions are leading to better management and ease of living. Aligning with this, Bihar has become the first state in the country to introduce the concept of the dynamic map for villages. The dynamic map will automatically get updated, each time land ownership changes hands. The objective of the move is to reduce legal disputes.

THE EXPLANATION:

About the Initiative

As stated by the Bihar government, since February 2021, the state has seen almost 37,000 cases of land disputes and others. The move aimed to implement dynamic maps is taken as the state government’s initiative to resolve the issue of long-pending land reforms. It is pertinent to mention that the state Assembly has recently passed the Bihar Land Mutation Amendment Bill, 2021, that made the mutation of maps mandatory.

How will it work?

Every time a mutation takes place now, it will entail three changes, including

• A change in the text
• A change in the land parcel
• A modification of the survey map

What is Bihar Land Mutation Amendment Bill 2021?

• The Bill is aimed at reducing land-related disputes in the state. According to the Bihar government, in just about a year since February 2021, the state has seen almost 37,000 cases of some land dispute or the other. The move towards dynamic maps is part of a series of steps taken by the state government to implement long-pending land reforms.
• Therefore, dynamic maps of the village would ultimately reduce the cases related to land disputes considerably.

THE ENVIRONMENT AND ECOLOGY

2. RISE IN HUMAN-WILDLIFE CONFLICT IN KERALA

THE CONTEXT: The Wildlife Institute of India-Dehradun and Periyar Tiger Conservation Foundation in Kerala had jointly conducted a study to identify the reasons behind the increasing incidents of man-animal conflict in the state.

THE EXPLANATION:

• According to Kerala Forest Department data, the state has, since 2011, reported 34,875 cases of wildlife attacks, leaving 1,233 dead and 6,803 injured. A large number of deaths have been caused by snake bites. The incidents of attacks have been reported from across the state with a slight increase in central and northern forest circles.
• Wildlife attacks on humans have assumed alarming proportions in Kerala, where as many as 1,233 people have been killed in such attacks in the last one decade. One of the major factors behind the menace is the depletion in the quality of forest habitats in the state due to the growth of invasive alien plants.

• The Forest Department sources said the study has specifically pointed out that foreign invasive plants at forests have reduced the availability of fodder in forests, forcing animals to foray into settlements and farmlands.
• The quality of forest habitats has been lost due to the cultivation of alien plants mainly acacia, mangium and eucalyptus in forest tracts for commercial purpose. In Kerala, these alien trees have been cultivated at 30,000 hectares of forest land, impacting the quality of animal habitats.
• Other factors identified behind the increase in wildlife attacks are changing patterns of crops cultivated in farmlands near forests. Sugarcane, banana and similar crops are largely cultivated in such areas. Besides, the area of cultivation near forest tracts has increased leading to the conflict.
• The study also noted an increase in wildlife population due to effective conservation strategies. The movement of wildlife has been disrupted due to the fragmentation of habitats coupled with the increased movement of humans through such fragmented areas during odd hours.
• Recently, Kerala government had submitted a proposal to the Ministry of Environment, Forest and Climate Change to declare wild boar as vermin, which would make the culling of the animal legal. However, the Union Ministry turned down the proposal.

3. MOST OF GANGA CLEAN, CLAIMS JAL SHAKTI MINISTRY

THE CONTEXT: According to the Ministry of Jal Shakthi, the water quality of the river Ganga was clean enough for bathing and capable for supporting the river ecosystem for almost the entire stretch of the river.

THE EXPLANATION:

• According to the Ministry, the Dissolved Oxygen (DO), which is an indicator of river health was within “acceptable limits” of “bathing water quality criteria”.
• A report by the Central Pollution Control Board in 2018, pointed out four polluted stretches on the main stem of river Ganga. There are five categories ranked 1 to 5, with 1 the most polluted and 5 the least. An updated 2021 report noted that none of the stretches of the Ganga stretches were now in Priority Category I to IV and only two stretches are in Priority Category V with Biological Oxygen Demand (BOD), a parameter different from DO, ranging between 3-6 microgram/litre as per CPCB categorisation of polluted stretch.
• A comparison of median data of water quality parameters such as DO, Bio-chemical Oxygen Demand (BOD) and Faecal Coliform (FC) from 2014 and 2021; DO (Median) has improved at 31 locations; BOD at 46 and FC at 23 locations, respectively, the Ministry data noted.
• The 2018 report of the CPCB had identified 351 polluted stretches on 323 rivers based on monitoring results of 521 rivers in terms of Bio-chemical Oxygen Demand (BOD). “Based on the assessment of water quality, various measures are being taken both by the Centre and the States to prevent pollution of rivers and drains out–falling into them. River cleaning is a continuous process and the Central government assists the State governments and urban local bodies through schemes like ‘Namami Gange’ and National River Conservation Plan (NRCP).

Value Addition:

National Mission for Clean Ganga (NMCG)

• NMCG has been focusing on youth as part of its outreach and public communications efforts as they are the impellers of change.
• NMCG has tied-up with Diamond Toons to develop and distribute comics, e-comics and animated videos.
• The content will be designed with the objective of bringing about behavioral change amongst children towards Ganga and other rivers.

Namami Gange Programme

It is an Integrated Conservation Mission, approved as ‘Flagship Programme’ by the Union Government in June 2014 with budget outlay of 20,000 Crore to accomplish the twin objectives of effective abatement of pollution, conservation and rejuvenation of National River Ganga.

Main pillars of the Namami Gange Programme are:-

• Sewerage Treatment Infrastructure
• River-Front Development
• River-Surface Cleaning
• Bio-Diversity
• Afforestation
• Public Awareness
• Industrial Effluent Monitoring
• Ganga Gram

Its implementation has been divided into

• Entry-Level Activities (for immediate visible impact),
• Medium-Term Activities (to be implemented within 5 years of time frame) and
• Long-Term Activities (to be implemented within 10 years).

4. NEW DELHI REMAINS THE WORLD CAPITAL IN AIR POLLUTION, SWISS SURVEY FINDS

THE CONTEXT: New Delhi has topped the list of most polluted capitals in 2021, a dubious first position it has now held for four successive years, according to the World Air Quality Report prepared by Swiss organization IQ Air.

HIGHLIGHTS OF THE REPORT:

• According to the report, “Central and South Asia had some of the world’s worst air quality and was home to 46 of the world’s 50 most polluted cities” in 2021.
• “India was home to 11 of the 15 most polluted cities in Central and South Asia in 2021.Delhi saw a 14.6% increase in PM2.5 concentrations in 2021 with levels rising to 96.4 µg/m3 from 84 µg/m3 in 2020.
• Delhi is followed by the following capitals — Dhaka (Bangladesh), N’Djamena (Chad), Dushanbe (Tajikistan) and Muscat (Oman). The city is topping the list for the fourth consecutive year. Delhi topped a list of 92 capital cities in 2020, 85 such cities in 2019, and 62 such cities in 2018.
• Bhiwadi also topped the list of the ‘world’s most polluted cities’ in 2021 — 50 cities ranked in terms of PM 2.5 levels. This was followed by Ghaziabad and Hotan, China. Delhi was fourth on the list, while Noida was seventh with a PM 2.5 level of 91.4 µg/m3, and Gurgaon was eighteenth with 83.4 µg/m3. Faridabad, Baghpat, Bulandshahr, Meerut, and Sonipat are other NCR areas that were on the list.
• Sources of PM 2.5 “include internal combustion engines, power generation, industrial processes, agricultural processes, construction, and residential wood and coal burning. The most common natural sources for PM 2.5 are dust storms, sandstorms, and wildfires,” the report stated.
• In 2021, none of the cities in India met the prescribed World Health Organization air quality standards of 5 micrograms per cubic meter, the report stated.
• India also continues to feature prominently among the most polluted cities with 35 of the top 50 most polluted cities being in this country. India’s annual average PM 2.5 levels reached 58.1 μg/m3 in 2021, ending a three-year trend of improving air quality.”

WHO’S NEW AIR QUALITY GUIDELINES

Governments Measures taken:

• Notification of National Ambient Air Quality Standards and sector-specific emission and effluent standards for industries.
• Setting up of monitoring network for assessment of ambient air quality.
• Introduction of cleaner gaseous fuels like CNG, LPG etc and ethanol blending.
• Launching of National Air Quality Index (AQI);
• Leapfrogging from BS-IV to BS-VI standards for vehicles by 1st April 2020.
• Regulating the bursting of pollution-emitting crackers.
• Notification of graded response action plan for Delhi identifying source wise actions for various levels of air pollution, etc.
• National Clean Air Programme.

THE ECONOMIC DEVELOPMENT

5. GOVERNMENT INCREASES MINIMUM SUPPORT PRICE FOR JUTE

THE CONTEXT: The Cabinet Committee on Economic Affairs, chaired by Prime Minister approved a proposal to raise the minimum support price (MSP) for raw jute to ₹4,750 a quintal for the 2022-23 season, an increase of ₹250, or 5.5%, over the previous year.

THE EXPLANATION:

• According to the Government, the new MSP would ensure a return of 60.53% over the all-India weighted average cost of production.
• The hike is in line with the principle of fixing the MSP at a minimum of 1.5 times the all-India weighted average cost of production, as announced in the budget for 2018-19. This assures a minimum 50% profit margin.
• The Commission for Agricultural Costs and Prices had recommended the higher MSP.
• The Jute Corporation of India (JCI) will continue as the central government nodal agency to undertake the price support operation. In case of any losses in the operation, they would be fully reimbursed by the central government.

Value Addition:

About MSP:

• MSP is the rate at which the government purchases crops from farmers and is based on a calculation of at least one-and-a-half times the cost of production incurred by the farmers.
• The government of India sets the MSP twice a year for 23 crops (13 Kharif, 6 Rabi and 4 commercial crops).
• The Commission for Agricultural Costs and Prices (CACP)attached the Ministry of Agriculture office, which decides the minimum support price and recommends it to the government. It is an advisory body whose recommendations are not binding to the government.

FRP for Sugarcane:

• The central government and State Government determine them.
• The Central Government announces Fair and Remunerative Prices, which are determined on the recommendation of the Commission for Agricultural Costs and Prices (CACP) and are announced by the Cabinet Committee on Economic Affairs, which Prime Minister chairs.
• The State Advised Prices (SAP) are announced by key sugarcane producing states generally higher than FRP.

 Additional information about crops:

6. EXPLAINED: NATIONAL LAND MONETIZATION CORPORATION

THE CONTEXT: The Union Cabinet, chaired by Prime Minister has approved the setting up National Land Monetization Corporation (NLMC),it will be wholly owned Government of India company with an initial authorized share capital of Rs 5000 crore and paid-up share capital of Rs 150 crore.

THE EXPLANATION:

• NLMC will undertake monetization of surplus land and building assets of Central Public Sector Enterprises (CPSEs) and other Government agencies. The proposal is in pursuance of the Budget Announcement for 2021-22.

WHAT IS THE SIGNIFICANCE?

• At present, CPSEs hold considerable surplus, unused and under used non-core assets in the nature of land and buildings. For CPSEs undergoing strategic disinvestment or closure, monetization of these surplus land and non-core assets is important to unlock their value.
• NLMC will support and undertake monetization of these assets. This will also enable productive utilization of these under-utilized assets to trigger private sector investments, new economic activities, boost local economy and generate financial resources for economic and social infrastructure.
• NLMC is also expected to own, hold, manage and monetize surplus land and building assets of CPSEs under closure and the surplus non-core land assets of Government owned CPSEs under strategic disinvestment.
• Efficiency:NLMC will undertake surplus land asset monetization as an agency function. It is expected that NLMC will act as a repository of best practices in land monetization, assist and provide technical advice to Government in implementation of asset monetization programme.
• Technical Experts: NLMC will have necessary technical expertise to professionally manage and monetize land assets on behalf of CPSEs and other Government agencies. The Board of Directors of NLMC will comprise senior Central Government officers and eminent experts to enable professional operations and management of the company.  The Chairman, non-Government Directors of the NLMC will be appointed through a merit-based selection process.

NLMC will be a lean organization with minimal full time staff, hired directly from the market on contract basis.  Flexibility will be provided to the Board of NLMC to hire, pay and retain experienced professionals from the private sector.

• Nodal Agency: Department of Public Enterprise, Ministry of Finance, will set up the company and act as its administrative ministry.

What does monetisation mean?

• When the government monetises its assets, it essentially means that it is transferring the revenue rights of the asset (could be idle land, infrastructure, PSU) to a private player for a specified period of time.
• In such a transaction, the government gets in return an upfront payment from the private entity, regular share of the revenue generated from the asset, a promise of steady investment into the asset, and the title rights to the monetised asset.
• There are multiple ways to monetise government assets; in the case of land monetisation of certain spaces like offices, it can be done through a Real Estate Investment Trust (REIT) — a company that owns and operates a land asset and sometimes, funds income-producing real estate. Assets of the government can also be monetised through the Public Private Partnerships (PPP) model.

What is the Need?

• There are different reasons why the government monetises its assets. One of them is to create new sources of revenue.
• Second is to unlock the potential of unused or underused assets by involving institutional investors or private players.
• Thirdly, it is also done to generate resources or capital for future asset creation.

THE PRELIMS PRACTICE QUESTIONS

QUESTIONS OF THE DAY 23^rd MARCH 2022

Q1. Consider the following statements about National Ayush Mission (NAM):

1. It was launched during 11 th Five Year Plan
2. It is centrally sponsored scheme.
3. Government of India has recently announced its continuation of its implementation up to2026.

Which of the above given statements is/are correct?

a) 1 and 2 only

b) 2 and 3 only

c) 3 only

d) 1, 2 and 3

ANSWER FOR 22^ND MARCH 2022

Answer: A

Explanation:

• Stagflation is a situation in an economy when inflation and unemployment both are at higher levels.
• Conventional thinking that a trade-off existed between inflation and unemployment (i.e., Phillips Curve) was falsified when a situation first arose in the 1970s in the US economy (average unemployment rate above 6 per cent and the average rate of inflation above 7 per cent) and in many Euro-American economies. This took place as a result of oil price increases of 1973 and 1979 and anticipation of higher inflation.

When the economy is passing through the cycle of stagnation and the government shuffle with the economic policy, a sudden and temporary price rise is seen in some of the goods—such inflation is also known as stagflation. Stagflation is basically a combination of high inflation and low growth.

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