POLITY AND GOVERNANCE

1. WHAT INDIA’S DRAFT DIGITAL PRIVACY LAW SAYS?

THE CONTEXT: The latest draft of the data protection law — the Digital Personal Data Protection Bill, 2022 (DPDP Bill, 2022) — has now been made open for public comments and the government is expected to introduce the Bill in Parliament in the budget session of 2023.

THE EXPLANATION:

• This is the fourth iteration of a data protection law in India. The first draft of the law — the Personal Data Protection Bill, 2018, was proposed by the Justice Srikrishna Committee set up by the Ministry of Electronics and Information Technology (MeitY) with the mandate of setting out a data protection law for India.
• The government made revisions to this draft and introduced it as the Personal Data Protection Bill, 2019 (PDP Bill, 2019) in the Lok Sabha in 2019. On the same day, the Lok Sabha passed a motion to refer the PDP Bill, 2019 to a joint committee of both the Houses of Parliament. Due to delays caused by the pandemic, the Joint Committee on the PDP Bill, 2019 (JPC) submitted its report on the Bill after two years in December, 2021.
• The report was accompanied by a new draft bill, namely, the Data Protection Bill, 2021 that incorporated the recommendations of the JPC. However, in August 2022, citing the report of the JPC and the “extensive changes” that the JPC had made to the 2019 Bill, the government withdrew the PDP Bill.

Why have there been so many revisions and changes?

• Constant interactions with digital devices have led to unprecedented amounts of personal data being generated round the clock by users (data principals). When coupled with the computational power available today with companies (data fiduciaries), this data can be processed in ways that increasingly impair the autonomy, self-determination, freedom of choice and privacy of the data principal.
• The current legal framework for privacy enshrined in the Information Technology Rules, 2011 (IT Rules, 2011) is wholly inadequate to combat such harms to data principals, especially since the right to informational privacy has been upheld as a fundamental right by the Supreme Court ( K.S.Puttaswamy vs Union of India [2017]).
• It is inadequate on four levels; first, the extant framework is premised on privacy being a statutory right rather than a fundamental right and does not apply to processing of personal data by the government; second, it has a limited understanding of the kinds of data to be protected; third, it places scant obligations on the data fiduciaries which, moreover, can be overridden by contract and fourth, there are only minimal consequences for the data fiduciaries for the breach of these obligations.

What is the scope of the present formulation of the Bill?

The DPDP Bill, 2022 applies to all processing of personal data that is carried out digitally. This would include both personal data collected online and personal data collected offline but is digitised for processing. In effect, by being completely inapplicable to data processed manually, this provides for a somewhat lower degree of protection as the earlier drafts only excluded data processed manually specifically by “small entities” and not generally.

HEALTH ISSUES

2. FIRST DRUG TO DELAY TYPE 1 DIABETES

THE CONTEXT: The US Food and Drug Administration recently approved Tzield – the first drug to delay the onset of Type 1 diabetes.

THE EXPLANATION:

What is Type 1 Diabetes?

Type 1 diabetes is a chronic medical condition in which the pancreas produces little to no insulin. It was formerly known as insulin-dependent or juvenile diabetes. While it generally appears in children, teens, and young adults, it is known to occur at any age. It is rarer than the occurrence of type 2 diabetes. Preventive measures for this chronic condition are unknown. Symptoms include maintaining blood sugar level through regular monitoring, insulin therapy, diet and exercise.

What is Tzield?

• Tzield is a monoclonal antibody injection that is capable of preventing the body’s immune system from mistakenly attacking cells in the pancreas that make insulin. It was developed by drugmakers Sanofi and Provention Bio. The common side effects of this drug are decreased levels of certain white blood cells, rashes and headache. It can be administered to people aging 8 and older, who have early symptoms of type 1 diabetes. It is capable of delaying the onset of stage 3 type 1 diabetes in adults and in pediatric patients aging 8 years and above who have stage 2 type 1 diabetes.
• The approval for the medication was given based on the results of phase 2 of the clinical trial, involving 76 participants, who randomly received the drug or a placebo once daily intravenously for 14 days.

Why is the approval significant?

• People with type 1 diabetes usually require multiple injections of insulin every day for the rest of their lives. This causes a huge financial burden. In the absence of these treatments, patients will develop serious health complications, including diabetic ketoacidosis or death.
• Tzield’s ability to delay the clinical diagnosis of type 1 diabetes will reduce the financial burden of the ailment for months to years. It will also improve the quality of life for those who have been diagnosed with type 1 diabetes.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

3. COP27 ESTABLISHES ‘LOSS AND DAMAGES’ FUND FOR CLIMATE REPARATIONS

THE CONTEXT: Delegates at the U.N.’s climate conference in Sharm el-Sheikh, Egypt thrashed out an agreement to establish a ‘Loss and Damages’ fund to compensate the most vulnerable countries for damages from climate-linked disasters.

THE EXPLANATION:

• The two-week long climate conference in Egypt has drawn to a close with a symbolic victory in the form of a fund that will compensate some of the countries bearing the brunt of climate change-linked natural disasters. However, progress on action to keep temperatures from rising beyond 1.5°C of pre-industrial levels was limited.
• The 27th edition of the United Nations Conference of the Parties was projected to be an ‘implementation’ COP that would have decisively resolved questions on how developed countries, responsible for the bulk of historical emissions, would make good on an old promise to provide developing countries $100 billion annually by 2020. And whether the world would commit to end all categories of fossil fuel, and not just coal. Despite hours of negotiations, these deadlocks remain.
• COP27 will certainly be remembered as the COP of Loss and Damages (L&D). A nearly three-decade old movement, first initiated by the island nation of Vanuatu and the Alliance of Small Island States, has come to partial fruition.
• There will now be a dedicated fund to compensate the most vulnerable developing countries that are already bearing the brunt of climate change-linked natural disasters. L&D refers to impacts of climate change that cannot be avoided either by mitigation (cutting greenhouse gas emissions) or adaptation (modifying practices to buffer against climate change impacts).
• They also include not only economic damage to property but also loss of livelihoods, and the destruction of biodiversity and sites that have cultural importance. This broadens the scope for affected nations to claim compensation.

Who will contribute ?

• The text approved at Sharm el-Sheikh only commits to a fund being created and leaves discussions for how it is to be set up and, most importantly, who will pay how much to it, for future COP negotiations. While there have been nominal commitments by Scotland and Wallonia (Belgium) to donate to such a fund, the estimated L&D is already over $500 billion.
• During negotiations this year, the European Union pressed hard for China, the Arab states and “large, developing countries” — and this could include India — to contribute on the grounds that they were large emitters.
• This already opens up fresh occasion for acrimony in future COPs and given that barely a third of committed climate finance has made its way to developing countries, the L&D fund too might take years before it can meaningfully operate. While the gain is incremental, countries ought not to lose momentum and must work harder to ensure that COPs remain credible catalysts and are not occasions for pyrrhic victories.

PRELIMS PERSPECTIVE

4. GEOGRAPHICAL INDICATION TAG FOR THE NICOBARI HODI CRAFT

THE CONTEXT: The Geographical Indications Registry, Chennai, has received an application from the Tribal Development Council, Andaman & Nicobar Islands, seeking the Geographical Indication (GI) tag for the Nicobarihodi craft. This is the first application from the Union Territory seeking a tag for one its products.

THE EXPLANATION:

About Nicobari hodi-

• The hodi is the Nicobari tribe’s traditional craft.
• It is an outrigger canoe, very commonly operated in the Nicobar group of islands.
• The technical skills for building a hodi are based on indigenous knowledge inherited by the Nicobarese from their forefathers.
• The hodi is built using either locally available trees or from nearby islands, and its design varies slightly from island to island.
• Considerations to be taken into account including the length of the finished canoe, which has to be 12 times that of its width while the length of the undressed tree trunk has to be 15 times this width.
• Hodis are used for transporting people and goods from one island to another, for sending coconuts, for fishing and racing purposes.
• The tuhet, a group of families under a headman, consider the hodi an asset.
• Hodi races are held between islands and villages.

About Geographical Indication (GI) Tag-

• Geographical Indication (GI) is an indication used to identify goods having special characteristics originating from a definite geographical territory.
• The Geographical Indications of Goods (Registration and Protection) Act, 1999 seeks to provide for the registration and better protection of geographical indications relating to goods in India.
• It is governed and directed by the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).
• It was decided and also stated under Articles 1 (2) and 10 of the Paris Convention that the protection of industrial Property and Geographical Indication are elements of Intellectual Property.
• It is primarily an agricultural, natural or a manufactured product (handicrafts and industrial goods).
• This tag is valid for a period of 10 years following which it can be renewed.

5. BLACK-NAPED PHEASANT-PIGEON

THE CONTEXT: Scientists have rediscovered the black-naped pheasant pigeon, a rare bird that was last sighted almost 140 years ago in Papua New Guinea. The bird was spotted deep in the forests of Papua New Guinea in footage captured by the research team.

THE EXPLANATION:

About Black-Naped Pheasant-Pigeon

• Before the recent rediscovery, Black-Naped Pheasant-Pigeon was first and last seen in 1882.
• It is a large, terrestrial pigeon having black and orange feathers and red eyes.
• It feeds on seeds and fallen fruits.
• The species is endemic to Fergusson Island in Papua New Guinea.
• It split from the species Otidiphaps nobilis, which diverged from all other species some 26.1 million years ago. Otidiphaps nobilis is part of the Columbidae family, which diverged from all other species during the Paleogene period, some 32.7 million years ago.
• The population is dwindling because of the loss of forest habitats, which is caused by the logging and conversion for subsistence agriculture gardens. Conservation activities of the species’ habitat are few and far between.
• In July 2021, though the species’ population is undetermined, was listed as a critically endangered species by the International Union for Conservation of Nature (IUCN), with an estimated population of 50 to 249 birds.

How was the species rediscovered?

• Black-Naped Pheasant-Pigeon was rediscovered by a research team that was part of The Search for Lost Birds – a collaboration between BirdLife International, Rewild, and American Bird Conservancy. The objective of the collaborative initiative is to rediscover bird species that have not been declared as extinct but has not been sighted for more than a decade. Currently, there are 150 such species that has remained elusive for more than 10 years.
• Researchers, as part of The Search for Lost Birds, sought to find Black-Naped Pheasant-Pigeon since 2019. In September 2022, they found the species at the western slope of Mount Kilkerran – the highest peak of Fergusson Island. This is only the second time in history that the species has been spotted. Confirmation of the species’ presence gives hope for other birds that have not been spotted in decades. The detailed data provided by the research team will form the basis for the conservation of endemic bird species of Fergusson Island.

6. DALAI LAMA RECEIVES GANDHI MANDELA AWARD

THE CONTEXT: The 14th Dalai Lama was conferred the Gandhi Mandela Award 2022 at Thekchen Choeling in Dharamshala’s McleodGanj by Himachal Pradesh governor Rajendra Vishwanath Arlekar.

THE EXPLANATION:

• The Tibetan spiritual leader, receiving the peace prize from the New Delhi-based Gandhi Mandela Foundation, said the qualities of non-violence and compassion had been ingrained in Indian culture for thousands of years.
• “The Gandhi Mandela Foundation is overwhelmed to accomplish the historical ceremony when the Gandhi Mandela Award is conferred to His Holiness Dalai Lama.
• The event was attended by former Chief Justice of India Justice KG Balakrishnan and former Supreme Court Justice Gyan Sudha Misra.

What is the Gandhi Mandela Award?

• A government of India registered Trust, the Gandhi Mandela Foundation is a non-profit organisation, formed with the motive to promote Mahatma Gandhi’s and former President of South Africa Nelson Mandela’s values of non-violence. It has constituted an international prize, the Gandhi Mandela Award.
• The foundation instituted the award on the 150th birth anniversary of the Father of the Nation, MK Gandhi.

Who gets the award and how are they selected?

• The award is given to personalities who have carried forward the legacies of Gandhi and Mandela by making significant contributions in the fields of Peace, Social Welfare, Culture, Environment, Education, Healthcare, Sports and Innovation.

This time, the awardee, Dalai Lama, was selected by a jury including former Chief Justice of India KG Balakrishnan and Justice Dipak Misra, former Supreme Court Judge Gyan Sudha Misra, former Chief Justice of Nepal Justice Kedarnath Upadhyay and former Chief Justice of Bangladesh Justice MD Tafazzul Islam.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. Consider the following statements:
1. Barren Island is the only active volcano of India.
2. Narcondam Island is an example of dormant volcano.
3. Barren Island is located north of Narcondam Island.
Which of the statements given above is/are correct?
a) 1 and 2 only
b) 2 and 3 only
c) 3 only
d) 1, 2 and 3

Answer: A
Explanation:
Please refer to the given map:

1. The paradox of sacrifice READ MORE
2. A Positive Engagement READ MORE

1. A tigress entered Almora from Corbett and was shot; Where is the accountability? READ MORE
2. Health as the focus of air pollution policy READ MORE
3. Joint effort. ‘Water credits’ can fund climate needs READ MORE

1. Focus is on education, conserving culture & customs READ MORE
2. Is climate change affecting global health? READ MORE  

1. Chasing utopia — the quest for a Uniform Civil Code READ MORE
2. Earning the ticket: Dropping underperforming MLAs is good practice. But it’s possible only in parties with strong leadership READ MORE
3. Electoral reforms must in all quarters READ MORE
4. JUDICIAL REFORM: A DAUNTING DECELERATION READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. Xi urges better ties in rare summit with Australia READ MORE
2. Nine Russian banks open Vostro accounts for rupee trade READ MORE
3. India’s population growth appears to be stabilising: UN READ MORE
4. In worst slide since 2020, October exports drop 16.7% to $29.78 bn READ MORE
5. Kashi Tamil Sangamam begins Thursday: What is the ancient connect between Kashi and the Tamil land? READ MORE
6. India abstains on UNGA resolution calling for Russia to pay reparations to Ukraine READ MORE
7. Data protection Bill revised: Penalty up to Rs 200 crore if firms don’t have safeguards READ MORE
8. State of the Climate in Asia 2021 READ MORE
9. Explained | Google’s 1,000 language AI model READ MORE

Main Exam

GS Paper- 1

1. Focus is on education, conserving culture & customs READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Chasing utopia — the quest for a Uniform Civil Code READ MORE
2. Earning the ticket: Dropping underperforming MLAs is good practice. But it’s possible only in parties with strong leadership READ MORE
3. Electoral reforms must in all quarters READ MORE
4. JUDICIAL REFORM: A DAUNTING DECELERATION READ MORE

SOCIAL ISSUES

1. Is climate change affecting global health? READ MORE  

INTERNATIONAL ISSUES

1. G20: India’s development model can lead the way READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. The shape of the Indian economic pie must change READ MORE
2. RBI should pause rate hikes, boost growth READ MORE
3. Can India Seize the Demographic Advantage? READ MORE

ENVIRONMENT AND ECOLOGY

1. A tigress entered Almora from Corbett and was shot; Where is the accountability? READ MORE
2. Health as the focus of air pollution policy READ MORE
3. Joint effort. ‘Water credits’ can fund climate needs READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. The paradox of sacrifice READ MORE
2. A Positive Engagement READ MORE

Questions for the MAIN exam

1. ‘The EWS quota is unfair because it twists the idea of social justice by bequeathing further privilege to communities who are historically situated to benefit from the caste system’. How far do you agree with this view? Analyse your views.
2. ‘The agriculture of tomorrow is going to be science-based, and the winners will be those who adopt it and develop it further today’. In the light of this statement, discuss whether India should start genetically modified cropping?
3. ‘The US is welcome to cement its partnership with India in various sectors, but it is well advised not to dictate terms to the latter with regard to Russia’. Comment on the statement in the light of recent developments in International politics.

QUOTATIONS AND CAPTIONS

• You cannot spend your way out of recession or borrow your way out of debt.
• With S&P Global’s latest Business Outlook survey pointing to an intensification of wage pressures and producer pass-through of costs, authorities can ill-afford to drop their guard in the fight against inflation.
• A discussion on the viability of an otherwise unenforceable UCC has been made possible only because it finds an inscrutable mention in the Directive Principles of State Policy.
• The majority needs to benefit much faster than a tiny minority on top, which will require reforms of institutions and economic ideology and the Government listening to the needs of common citizens.
• India’s long-term strategy for low carbon development is consistent with its net-zero targets and outlines a road map for key industries.
• As the second highest user of freshwater in the country, industry can use its CSR funds imaginatively so that conservation gains are maximized.
• Water credits represent a fixed quantum of water that is conserved or generated and can be transacted between water deficit and water surplus entities within a sub-basin.
• To make the electoral system free and fair in the world’s largest democracy, the use of money and muscle power must be curbed in the Indian context.
• Without an efficient justice delivery system and a subsisting rule of law, a country’s development would be a utopian thought only.
• Judicial Infrastructure of our country has not improved & paced up to achieve the desired level since the British period.
• The demand for justice and change in the justice delivery system cannot be suppressed or ignored in the manner it is perverting in India. It needs to be enhanced with technology for curtailing the cost and the barrier of language in the Indian judicial system.
• The demand for justice and change in the justice delivery system cannot be suppressed or ignored in the manner it is perverting in India. It needs to be enhanced with technology for curtailing the cost and the barrier of language in the Indian judicial system.
• Paramount change in the existing law and adequate judicial infrastructure is required to accelerate the judicial system, to deliver qualitative, speedy justice to the citizens of India by saving millions of lives from being frustrated with the judicial system and the process of access to justice.
• In the new India, access to justice is the privilege of the powerful and rich people. Poor people are still suffering from the quantum of injustice which begins with a traffic constable up to the Supreme Court.

50-WORD TALK

• India’s COP27 commitment to raise its installed nuclear power capacity by threefold by 2032 as part of its long-term low-carbon development strategy is encouraging. India’s nuclear sector has enormous potential to expand but overcautious government plans have crawled. Nuclear is expensive, which’s where rich countries should step in and help.

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 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 370]

THE CONTEXT: In June 2021, the export of about 500 tonnes of rice from India has triggered an uproar in several European countries on the grounds that it was genetically modified (GM) rice. It was due to the use of one ingredient: rice flour with genetically modified (GM) contamination that allegedly originated in India, according to notifications on the European Commission’s rapid alert system.

However, the Indian government has denied this possibility with a Commerce Ministry spokesperson alleging that the contamination may have happened in Europe “to cut costs”. In this backdrop, India has indicated that it will commission an investigation involving its scientific bodies.

In this article, we will analyse, what are GM crops, their merits, implications, causes and their way forward for India.

WHAT IS THE ISSUE?

India asks European Commission to back up GM-rice claims with evidence

The Centre has identified a Maharashtra based exporter as Omprakash Shivaprakash, a wholesaler from Akola in Maharashtra.

Also, it’s stated, “There is no possibility of cross-contamination even during inland transit as the final sample was prepared at the port of loading by an independent inspection agency which is internationally accredited, which after proper testing and verification have obtained a non-GMO proof prior to shipment, the certificate was issued by Bureau Veritas (India) Pvt Ltd.

“GMO contamination was suspected in rice flour that was processed in the European Union, and they themselves are not sure of the exact source of the contaminant. Exported from India,” a commerce ministry statement said. Broken white rice, which is reportedly one of the possibilities, has passed through several hands before reaching the actual processors in the European Union.

Reiterating that GM rice is not grown commercially in India, the ministry has asked genetic and rice experts including the Indian Agricultural Research Institute (IARI) to conduct an investigation.

WHAT ARE GM CROPS?

• Genetically Modified Organisms are defined as organisms including plants, animals, and micro-organisms in which the genetic material (DNA) is altered in a way that does not occur naturally by mating or natural recombination.
• The technology used is referred to as gene technology, genetic engineering, or recombinant DNA technology. GM crops are those crops whose DNA has been modified by introducing alien genes in the seeds to get desired effects such as resistance to pest attacks.
• Unlike what plant breeders did traditionally in cross-breeding by combining genes from the same or closely related plant species, GM technology does not restrict trait selection. Genes from any living organism, be it plants or animals, is used to arrive at the desired traits.
• India has approved the commercial cultivation of only one GM crop, Bt cotton. No GM food crop has ever been approved for commercial cultivation in the country. However, confined field trials have been allowed for at least 20 GM crops.

GM CROPS IN INDIA

Golden rice:

It is a variety of rice produced through genetic engineering to biosynthesize beta-carotene, a precursor of vitamin A, in the edible parts of rice. It is intended to produce a fortified food to be grown and consumed in areas with a shortage of dietary vitamin A.

Vitamin A deficiency causes xerophthalmia, a range of eye conditions from night blindness to more severe clinical outcomes such as keratomalacia and corneal scars, and permanent blindness. It also increases the risk of mortality from measles and diarrhoea in children.

In 2013, the prevalence of deficiency was the highest in sub-Saharan Africa (48%; 25–75), and South Asia (44%; 13–79).

Although golden rice has met significant opposition from environmental and anti-globalisation activists, more than 100 Nobel laureates in 2016 encouraged the use of genetically modified golden rice which can produce up to 23 times as much beta-carotene as the original golden rice

Bt Cottons:

Bacillus thuringiensis (Bt) cotton is a genetically modified plant. For the time being, the genetically modified crop that is under cultivation in India is Bt cotton which is grown over 10.8 million hectares. Bt Cotton was first utilize in India in 2002.

Bt Brinjal:

The Genetic Engineering Appraisal Committee (GEAC) in 2007 recommended the commercial release of Bt Brinjal, which was developed by Mahyco (Maharashtra Seeds Company) in collaboration with the Dharwad University of Agricultural Sciences & the Tamil Nadu Agricultural University. But the proposal was blocked in 2010.This has been commercially grown in Bangladesh since 2013.

GM Mustard:

Dhara Mustard Hybrid-11 or DMH-11 is a genetically modified selection of mustard developed by the Delhi University’s Centre for Genetic Manipulation of crops plants.

The researchers at Delhi University have created hybridized mustard DMH-11 using “barnase or barstar” technology for genetically modification. GM Mustard is an herbicide Tolerant (HT) crop.In 2017, GEAC has recommended the commercial approval of our first food biotech crop. With the decision pending with the environment ministry, the farming and scientific community hopes that GM mustard will get clearance soon. If approved by the centre, this will be the second GM crop, after Bt Cotton, and the first transgenic food crop to be acceptable for cultivation in the country.

WHAT IS THE LEGAL POSITION OF GENETICALLY MODIFIED CROPS IN INDIA?

• Constituted under the ‘Rules for the Manufacture, Use /Import /Export and Storage of Hazardous Microorganisms/Genetically Engineering Organisms or Cells, 1989’ notified under the Environment (Protection) Act, 1986.
• In India, the Genetic Engineering Appraisal Committee (GEAC) is the apex body that allows for the commercial release of GM crops.
• In 2002, the GEAC had allowed the commercial release of Bt cotton. More than 95 per cent of the country’s cotton area has since then come under Bt cotton.
• Use of the unapproved GM variant can attract a jail term of 5 years and a fine of Rs 1 lakh under the Environmental Protection Act,1989.
• In August 2020, FSSAI had also issued the order that 24 food crops the country imports would need a ‘non-GM-origin-cum-GM-free certificate’.
• FSSAI is the authorized body to regulate the imported crops in India.

ADVANTAGES OF GM CROPS

• The Main advantage of genetically modified foods is that crop yields become more consistent and productive, allowing more people to be fed. According to Oxfam, the world currently formed about 20% more food calories than what is required for every human being to be healthier.
• It improves production and raises farmers income. Indian farmers are still practising the traditional procedure of seeding and cultivation, which required scientific moves for raising their production. Hence, it is one of the moves to develop farm production.
• GM foods have a longer shelf life. This enhances the ease of transportation and storage. Also, GM crops are high yielding crops but the problem lies in the fragmentation of land.
• GMOs may have fewer pesticides. Many GMO crops have been altered to be less vulnerable to insects and other pests. For example, Bt-cornis a GMO crop that has a gene added from Bacillus thuringiensis, a naturally occurring soil bacteria. This gene causes the corn to produce a protein that kills many pests and insects, helping to protect the corn from damage.
• GMOs are usually cheaper. GMO crops are bred to grow efficiently – this means that farmers can produce the same amount of food using less land, less water, and fewer pesticides than conventional crops. In some cases, the costs of foods like corn, beets, and soybeans may be cut by 15% to 30%.
• GMOs may have more nutrients. Certain GMO crops are designed to provide more nutrients like vitamins or minerals. For example, researchers have been able to create a modified form of African corn that contains:
• 2 times as much folate when compared to traditional crops
• 6 times as much vitamin C when compared to traditional crops
• 169 times more beta-carotene than traditional crops. This may be especially helpful in regions where people suffer from nutritional deficiencies.

CONCERNS OF GM CROPS

• The production imposes high risks to the disruption of ecosystem and biodiversity because the ‘better’ traits formed from the engineering genes can affect the favouring of one organism. Hence, it can eventually disrupt the natural procedure of gene flow.
• GM Crops increase the cost of cultivation and are more inclined towards marketization of farming that works in immoral profits.
• The transgenic crops endanger not only farmers but also the trade, and the environment as well.
• GMOs may cause allergic reactions. Because GMO foods contain DNA from other organisms, it’s possible that the new DNA can trigger allergies in people who wouldn’t normally be allergic to the food. In one instance, a GMO soybean crop created using DNA from a Brazil nut was unsafe for people with nut allergies and couldn’t be released to the public.
• GMOs may increase antibiotic resistance. When GMO scientists insert new DNA into plant cells, they will often add in an additional gene that makes the modified cells resistant to antibiotics. They can then use an antibiotic to kill off any plant cells that didn’t successfully take in the new DNA.

THE WAY FORWARD

Government should set up an independent regulator at the earliest: In 2014, more than 18 million farmers in 28 countries planted GM crops on 181.5 million hectares. While that in itself is not reason enough for India to push transgenic crops, the government should go beyond what is politically expedient and set up an independent regulator at the earliest. The charged atmosphere surrounding GM crops notwithstanding, the government’s policy should be led by science, not emotions.

Need for Refined Policies, a major global seed maker, says the policy on GM crops needs to be clearly defined, and the government should provide a level-playing field to both public and private sector companies.

Lack of Research & Awareness: Besides the increased incidence of pest attacks, Srinivas has not seen an adverse impact from Bt cotton on his soil or groundwater. His observation may just be anecdotal, but there is not enough conclusive research to counter him. A 2013 study by Italian researchers of 1,783 studies published between 2002 and 2012 did not find any significant hazard to human health, biodiversity, or the environment caused by GM crops.

Niti Aayog released a report that said, “As a part of its strategy to bring a Second Green Revolution, India must return to permitting proven and well tested GM technologies with adequate safeguards. Additionally, India urgently needs a technological breakthrough in oilseeds and pulses.”

Pew Research Centre survey published in January 2015, 88% of American scientists polled found GM foods safe. “GM crops go through the kind of rigorous testing that no other Agri product goes through. There is no evidence of their impacting biodiversity or soil health,”

Similarly, the 2015-2016 Economic Survey has also called for a faster rollout of GM crops: “Concerns about the affordability of hybrids and GM seeds, environmental and ethical issues in the cultivation of GM crops, risks to the food chain, disease spread and cross-pollination have resulted in their non-introduction. These issues need to be debated, tested, evaluated, so that introduction of hybrids is facilitated in the next three to six months.”

THE CONCLUSION

• The second decade of the 21st century, 2011 to 2020, has turned out to be the lost decade for India, as far as agriculture biotechnology is concerned. The GEAC has held only 35 meetings in 10 years and even recommended trials were not held.This contrasts sharply with the previous decade, when the GEAC held almost 81 meetings, and over a dozen GM crops were in various stages of development.
• This is a complete reversal of the fundamental legal philosophy of modern civilisation, which holds that one is innocent unless proven guilty. The yardstick now being used for GM crops is that these crops are inherently dangerous, and therefore presumed guilty unless it can be shown that they are not. But a negative can never be proven.
• The illegal cultivation of HT Bt cotton, Bt brinjal and gave us a clear indication that there is a trend of GM crops from field trials ending up in our farms and food. It is an unfortunate truth that our regulatory system has been found ineffective in curbing this. It is also shocking that GEAC has failed to take effective action to even identify those behind seed supply.
• Indian farmers are the true representatives of Aatmanirbhar Bharat, and their product is the original ‘Make in India’, long before these slogans were coined.

Value Addition:

India’s Rice Export:

India holds more than 85% share of global Basmati Rice exports

• India already accounts for a lion’s share of Basmati rice exports. More than 85% of the global Basmati exports (by quantity and by value) are from India. In India, the quantity of Basmati exported is about 37% of the total rice exported by quantity and 60% by value in 2018-19. During the same period, in Pakistan, Basmati exports comprised 13% of rice exports by quantity and almost 29% by value.
• India’s annual rice exports amount to 18 million tonnes worth Rs 65,000 crores and reach more than 75 countries.
• After exporting a record 17.71 million tonnes of rice in 2020-21, an increase of 86% over the previous year’s 9.5 million tonnes, India is set for another good season of exports in 2021-22 as well, despite high freight costs.

INTERNATIONAL RELATIONS

1. FRANCE ENDS OPERATION BARKHANE

THE CONTEXT: France ended the decade-long Operation Barkhane in Africa. This comes amid the deteriorating ties between France and countries in the Sahel –Mali, Burkina Faso and Guinea – following a series of military coups.

THE EXPLANATION:

What is Operation Barkhane?

• France launched Operation Serval in January 2013 in the Sahel in North Africa. The operation was limited to countering Islamic extremists linked to al-Qaeda, who have taken up control of northern Mali.
• In 2014, this Operation Serval was scaled up and renamed as Operation Barkhane. The upgraded operation’s objective is to assist local armed forces in preventing resurgence of non-state armed groups across the Sahel region. It launched counter-terror operations in Mali, Niger, Burkina Faso, Mauritania and Chad. As part of this mission, some 4,500 French personnel were deployed alongside the local joint counter-terrorism force.

Has France achieved the objectives of the Operation Barkhane?

The French military operation in Sahel had two goals:

• Liberate Mali from the insurgents in the north
• Neutralize key terrorists in West Africa using counter-terrorism operations

Some of the major successes of Operation Serval are:

• In 2014, the French-led forces were able to regain northern parts of Mali from the extremists.
• In 2020, two key leaders of al-Qaeda in the Islamic Maghreb and al-Qaeda-affiliate Groupe de Soutien à l’Islam et aux Musulmans were neutralized.

Due to the success of Operation Serval, Operation Barkhane was launched. This operation saw a series of failures such as:

• Emergence of new groups linked to terrorist organizations like the Islamic State
• Humanitarian crisis emerged because of the operation’s failure to combat terrorism. Violence resulted in 5,450 deaths across Mali, Burkina Faso, and Niger in just the first half of 2022. This is a significant increase when compared with the previous years.
• Over 2,000 incidents of Islamist violence were recorded in the Sahel in 2021. The previous year recorded over 1,180 incidents.
• Due to the failure to resolve the region’s insurgency, civilian support has increased to the military. This has contributed to the political uncertainty in the Sahel.

2. NEW ENTRANTS TO AGREEMENT ON PORT STATE MEASURES (PSMA)

THE CONTEXT: Four African countries recently backed the Food and Agricultural Organization’s (FAO) Agreement on Port State Measures (PSMA). With this, the number of signatories to the PSMA has risen to 100.

THE EXPLANATION:

What is PSMA?

The Agreement on Port State Measures (PSMA) is the first internationally binding instrument that specifically aims to prevent and eliminate illegal, unreported and unregulated (IUU) fishing by denying port access to foreign vessels that are engaged in or supporting such practices. The Agreement came into force in June 2016.

Why is PSMA needed?

• The IUU fishing refers to fishing or fishing-related activities that are:
  • Against national, regional and international laws
  • Non-reporting, misreporting or underreporting of information on fishing operations and their catches
  • Fishing aboard stateless vessels
• Non-party vessels fishing in areas that are under the mandate of the regional fisheries management organizations.
• Fishing activities that are not regulated by the government and cannot be monitored.
• One in every five fish caught across the world every year originates from IUU fishing. The IUU fishing is responsible for the loss of over 11 to 26 million tonnes of fish each year, having economic value of 10 billion to 23 billion USD.
• Sustainable fishing is required to maintain the fish stock and preserve the environment and livelihoods of communities that rely on fishing activities.
• The 2030 SDG goals mandate the effective regulation of fishing and the elimination of overfishing, IUU fishing and destructive fishing practices by 2020. This target was never achieved.
• Therefore, the implementation of the PSMA is one of the cost effective ways to bring down IUU fishing instances.

Who are the signatories of the PSMA?

• Four African countries – Angola, Eritrea, Morocco and Nigeria – became the new entrants of the PSMA. According to the IUU Fishing Index 2021, Nigeria is among the top 10 worst-performing countries.
• Currently, over 60 per cent of port countries are globally committed to the PSMA to combat IUU fishing. Around 100 countries that have endorsed the agreement are currently able to exchange information via the PSMA Global Information Exchange System, which was launched by FAO in December 2021.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

3. KORONIVIA JOINT WORK ON AGRICULTURE

THE CONTEXT: India opposed the Koronivia Joint Work on Agriculture that sought to minimize greenhouse gas emissions from the agriculture sector.

THE EXPLANATION:

What is Koronivia Joint Work on Agriculture?

• The Koronivia Joint Work on Agriculture (KJWA) is a special decision under the United Nations Framework Convention on Climate Change (UNFCCC) that aims to recognize the unique potenti al of the agriculture sector in addressing the climate change.
• It addresses 6 interrelated topics on soil, nutrient usage, livestock, water, methods for gauging adaptation and socio-economic and food security dimensions of climate change across the agriculture sector.
• This decision is in line with the core mandate of the Food and Agriculture Organization (FAO) – elimination of hunger, food insecurity, and malnutrition; reduction of rural poverty; and increase productivity and sustainability of agriculture, forestry and fisheries sectors.
• The KJWA proposes many approaches that have a high potential for adaptation, adaptation co-benefits, and mitigation related to land and food systems. These include the conservation and restoration of ecosystems, improving the sustainability of agricultural practices, and minimizing food wastage and losses.

Why has India opposed the KJWA?

• India held that emissions from the agricultural sectors are not “luxury” emissions but “survival emissions” of the poor. It blamed the developed countries’ historic emissions for the current climate crisis.
• Currently, agricultural tasks are the livelihood of small and marginal farmers who will find it difficult to make a rapid transition to sustainable agricultural practices. Developed countries are proposing sustainable agriculture to become a site for countering their excessive emissions.
• India pointed out that developed countries owe the world a carbon debt of 790 gigatonnes of carbon dioxide, which is worth 79 trillion USD even at the modest pricing of 100 USD per tonne. South Asia’s historic total carbon emissions from the pre-industrial period until 2019 are less than 4 per cent despite hosting a quarter of the global population. India’s per capita yearly emissions are about one-third of the global average. If the entire world emits carbon at the same per capita level as India, climate crisis can be addressed.

PRELIMS PERSPECTIVE

4. UNESCO-MADANJEET SINGH PRIZE FOR THE PROMOTION OF TOLERANCE AND NON-VIOLENCE

THE CONTEXT: Recently,Franca Ma-ih Sulem Yong won the 2022 edition of the UNESCO-Madanjeet Singh Prize.

THE EXPLANATION:

About UNESCO-Madanjeet Singh Prize

• The UNESCO-Madanjeet Singh Prize for the Promotion of Tolerance and Non-Violence rewards significant activities in the scientific, artistic, cultural and communication fields aimed at the promotion of a spirit of tolerance and non-violence.
• The Prize was established in 1995 on the occasion of the United Nations Year for Tolerance and the 125th anniversary of the birth of Mahatma Gandhi. The same year UNESCO Member States adopted the Declaration of Principles on Tolerance. The creation of the Prize has been inspired by the ideals of UNESCO’s Constitution that proclaims that “peace if it is not to fail, must be founded on the intellectual and moral solidarity of mankind”.
• The UNESCO-Madanjeet Singh Prize for the Promotion of Tolerance and Non-Violence is conferred every two years by UNESCO. The award was created based on the ideals of UNESCO’s Constitution, which states that “peace if it is not to fail, must be founded on the intellectual and moral solidarity of mankind”.

Who is Franca Ma-ih Sulem Yong?

• Franca Ma-ih Sulem Yong, with 7-year experience as a journalist, strived to change the perception related to mental illness.
• With training in art therapy and psychology, she founded two non-governmental organizations (NGOs) – Afrogiveness Movement and Positive Youths Africa (PYA).
• These two NGOs are peace education initiatives that aim to help traumatized survivors of interfaith and intercultural conflicts in African countries to heal using the universal language of the arts.
• They operate in nine African countries – Cameroon, Central African Republic, Chad, Congo, Mali, Niger, Nigeria, Sudan, and Togo.
• Through these NGOs, Franca Ma-ih Sulem Yong is promoting tolerance and non-violence by reintegrating survivors from opposing sides of war and conflicts into their host communities.
• She is providing psycho-social and educational support (art therapy), socio-economic aid (distribution of university scholarship, diploma training, hygienic products, and books), and legal assistance.
• She is also combating online hate speech by promoting digital citizenship education.

5. KEEN SWORD MILITARY EXERCISE

THE CONTEXT: The Japanese Self-Defence Forces and the US Military launched a joint military exercise, titled ‘Keen Sword’, to boost their operational capabilities and readiness with an eye on China.

THE EXPLANATION:

What is the Keen Sword exercise?

• Exercise Keen Sword is a joint and bilateral field training exercise between the US military and the Japan Self-Defence Force.
• It is held once in two years to boost the preparedness and interoperability between the military personnel of Japan and the United States.
• This biennial exercise has been held since 1986.
• This exercise provides opportunities for the US military and the JSDF to train together across various mission areas in realistic scenarios.
• Its ultimate goal is to build credible deterrence amid growing Chinese aggression in the region.
• It aims to create comprehensive scenarios to challenge the critical capabilities required to support the security of Japan and the stability of the Indo-Pacific.

About Exercise Keen Sword 2023

• The two-week-long exercise was held around Tokunoshima Island, situated southwest of Japan. It includes the participation of 26,000 personnel from JSDF and another 10,000 personnel from the US military. A total of 4 warships and 2 aeroplanes from Australia, Canada and Britain also participated in the military exercise.
• The exercise includes several anti-submarine warfare and surface gunnery events that will help the Pacific partners to improve their joint and advance multilateral tactics. It also focuses on responding to ballistic missiles and new threats like operations in space and cyberspace. Simulations drills on remote islands is a major focus area of the exercise Tokunoshima Island in Kagoshima Prefecture.

Why is this exercise significant?

• The exercise comes amid the Chinese military’s growing presence near Taiwan, the neighbouring country of Japan. Also, the Chinese vessels are continuously trespassing into the Japanese territorial waters close to the Senkaku Islands in the Indo-Pacific. The Senkaku Islands are Japanese-controlled, uninhabited islands in the East China Sea. China is currently claiming that these islands are part of its territory.

MISCELLANEOUS

6. GLOBAL MEDIA CONGRESS

THE CONTEXT: Abu Dhabi National Exhibitions Company is set to host the first edition of the Global Media Congress, in partnership with Emirates News Agency.

THE EXPLANATION:

About the World Media Congress

• The Global Media Congress (GMC) was organized by the ADNEC Group in collaboration with the Emirates News Agency (WAM).
• The GMC’s theme is “Shaping the Future of the Media Industry”.
• It is a conference-cum-exhibition Congress that sought to provide a platform for international-level discussions about the present-day challenges and opportunities in the media sector.
• The conference and workshops for young media persons provided the platform for journalists, tech firms, content creators, digital marketing professionals, streaming giants, entertainment executives, regulators and important media stakeholders to share ideas and exchange experiences.
• As part of this event, an exhibition was also be organized. It hosted more than 170 famous media establishments and companies from across 29 countries. These exhibitions showcased the latest international technologies specializing in media-related sectors.
• Some 10,000 delegates and media companies took part in the event.
• Discussions were held on topics like digital communications, impact of artificial intelligence on contemporary media and the integration of advanced technology and innovation in the media sector.
• The event provided networking opportunities for facilitating business connections globally and fostering brand reinvention in the new media landscapes.

Key outcomes of the event

• Short-from video content is preferred by people across the world because of their short duration and concise information delivery. The importance of media organizations and media influencers was also recognized during this conference. They are playing a major role in keeping pace with the changing trends in the content industry and satisfying the taste of diverse customer base.
• During the event, the Emirates News Agency (WAM) unveiled the “Tolerance Charter for News Agencies and Media Outlets” which seeks to unite media entities from across the world to promote tolerance, coexistence, and intercultural dialogue via global cooperation.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. Two-time national award-winning space startup, Skyroot, has launched India first private rocket named –

a) Sky-S

b) Vikram-S

c) Prarambh

d) Kalam-S

Answer: B

Explanation:

• Vikram-S, India’s first privately-developed rocket, lifted off precisely from Indian Space Research Organisation’s (ISRO) launchpad in Sriharikota.
• Developed by Hyderabad-based start-up Skyroot Aerospace Private Limited, six-metre-tall vehicle hit a peak altitude of 89.5 km and then splashed into Bay of Bengal about five minutes after the launch. This mission was titled Prarambh.
• The rocket Vikram-S is a single-stage solid fuelled, sub-orbital rocket developed over two years by incorporating advanced technologies including carbon composite structures and 3D-printed components.
• This was a technology demonstration flight to showcase capabilities of company. Rocket will help validate technologies that will be used in subsequent Vikram-1 orbital vehicle of Skyroot that is planned for launch next year.
• Founded in June 2018 Skyroot Aerospace is a two-time national award-winning space startup.

THE CONTEXT: Addressing the nation from the Red Fort on the 75th Independence Day, Prime Minister said, “Be it the rice distributed through ration shops or the rice provided to children in the mid-day meal, the rice available through every scheme will be fortified by the year 2024.” In this article, we will analyse what is biofortification and its role in tackling the hidden hunger across the life cycle.

ALL YOU NEED TO KNOW ABOUT BIOFORTIFICATION

What is Biofortification?

• Biofortification is the process by which the nutritional quality of food crops is improved through agronomic practices, conventional plant breeding, or modern biotechnology.
• Biofortification differs from conventional fortification in that biofortification aims to increase nutrient levels in crops during plant growth rather than through manual means during processing of the crops.
• Biofortification may therefore present a way to reach populations where supplementation and conventional fortification activities may be difficult to implement and/or limited.

Examples of Biofortification projects include:

• Iron-biofortification of rice, beans, sweet potato, cassava and legumes;
• Zinc-biofortification of wheat, rice, beans, sweet potato and maize;
• Provitamin A carotenoid-biofortification of sweet potato, maize and cassava; and
• Amino acid and protein-biofortification of sorghum and cassava.
• The far bowl on the right contains Golden Rice, an example of biofortification using genetic engineering. The golden color of the grains comes from the increased amounts of beta-carotene a precursor of vitamin A.

FORTIFICATION Vs BIOFORTIFICATION

FORTIFICATION

• Fortification is the deliberate addition of key vitamins and minerals such as Iron, Iodine, Zinc, Vitamins A & D to staple foods such as rice, wheat, oil, milk and salt to improve their nutritional content.
• These nutrients may or may not have been originally present in the food before processing or may have been lost during processing.
• It does not alter the characteristics of the food like the taste, aroma or the texture of the food.
• Hence fortification of food is a safe method of improving nutrition among people as the addition of micronutrients to food does not pose a health risk to people.

BIOFORTIFICATION

• Biofortification is a feasible and cost-effective means of delivering micronutrients to populations that may have limited access to diverse diets and other micronutrient interventions. Research efforts have demonstrated that this agriculture-based method of addressing micronutrient deficiency through plant breeding works.
• Biofortification is targeted primarily to the rural poor who rely heavily on locally produced staple foods as their primary source of nutrition, and who often have restricted financial or market access to commercially processed fortified foods

IMPORTANCE OF NUTRITION

• Essential nutrients are compounds that the body can’t make or can’t make in sufficient quantity. According to the World Health Organization, these nutrients must come from food, and they’re vital for disease prevention, growth, and good health.
• Despite this there is a decline in the percentage of the number of women and children suffering from anaemia in the past few years, the high absolute numbers are worrying. Incidentally, anaemia accounts for 20% of the maternal deaths that take place in the country.
• As such, biofortification is seen as an upcoming strategy for dealing with deficiencies of micronutrients in low and middle-income countries. In the case of iron, the WHO estimated that biofortification could help curing the 2 billion people suffering from iron deficiency-induced anemia.

NUTRITIONAL STATUS OF INDIA

Global Hunger Index 2021

• In the 2021 Global Hunger Index, India ranks 101st out of the 116 countries with sufficient data to calculate 2021 GHI scores. With a score of 27.5, India has a level of hunger that is serious,   published by Concern Worldwide and Welthungerhilfe.
• It is calculated on the basis of four indicators:  Child nourishment, Child wasting, Child Stunting and Child Mortality.

The Food and Agriculture Organization (FAO) estimates that 194.4 million people in India (about 14.5% of the total population) are undernourished.

According to the National Family Health Survey (NFHS-4):

• 4% of children (6-59 months) are anemic
• 1% women in the reproductive age group are anemic
• 7% of children under 5 are underweight
• Also, It is estimated that 50-70% of these birth defects are preventable. One of the major causes is deficiency of Folic Acid.

HIDDEN HUNGER AND EMPTY CALORIES

• Hidden hunger is the term use to describe the deficiencies in micronutrients such as zinc, iron and vitamin A can cause profound and irreparable damage to the body—blindness, growth stunting, mental retardation, learning disabilities, low work capacity, and even premature death.
• The effects of hidden hunger are acute during the first 1,000 days of a child’s life—from conception to the age of two years. Micronutrient deficiencies are especially damaging to women. Five hundred million women aged 15 to 49, at the peak of their productive years, are anemic due to iron deficiency. This condition reduces their productivity, decreases their economic potential, and affects their reproductive health outcomes. With the fast growing urbanisation, and urban to rural migration paves the way for packaged food items and readily consumables that are need to be addressed with nutritional values.
• This approach may have advantages over other health interventions such as providing foods fortified after processing, or providing supplements. Although these approaches have proven successful when dealing with the urban poor, they tend to require access to effective markets and healthcare systems which often just do not exist in rural areas. Biofortification is also fairly cost effective after an initial large research investment – where seeds can be distributed, the “implementation costs [of growing biofortified foods] are nil or negligible”, as opposed to supplementation which is comparatively expensive and requires continued financing over time, which may be jeopardized by fluctuating political interest.
• Research on this approach is being undertaken internationally, with major efforts ongoing in Brazil, China and India.

HOW BIOFORTIFICATION HELPS IN ADDRESSING INDIA’S DEFICIENCY?

• Biofortified crops are rich in iron and have the potential to improve iron status and cognition. That helps in improving the overall health of human.
• Biofortified crops are also often more resilient to pests, diseases, higher temperatures, drought and provide a high yield.
• Biofortification fills an important gap as it provides a food-based, sustainable and low-dose alternative to iron supplementation. It does not require behavior change, can reach the poorest sections of the society, and supports local farmers.
• After the initial investment to develop the biofortified seed, it can be replicated and distributed without any reduction in the micronutrient concentration. This makes it highly cost-effective and sustainable.
• Considering the various implementation barriers faced by genetically modified crops in India, biofortification which can be done through non-genetically-modified methods as well can be a better alternative. So far we are focusing on

VARIOUS MEASURES TAKEN BY THE GOVERNMENT

• National Nutrition Strategy by NITI Aayog, Government of India envisages alleviation of malnutrition in the country through food-based solution.
• Integrated Child Development Services (ICDS) by Women and Child Development Ministry which provides a package of six services namely supplementary nutrition, pre-school non-formal education, nutrition & health education, immunization, health check-up and referral services.
• Inclusion of these biofortified cereals in different government sponsored programmes such as National Food Security Mission,Rashtriya Krishi Vikas Yojana as well as nutrition intervention programme such as Integrated Child Development Services scheme, ‘Mid-day meal’ and Nutrition Education and Training through Community Food and Nutrition Extension Units would help in providing the much needed balanced food to poor people.
• National Nutrition Mission: To reduce stunting and wasting by 2 per cent per year (total 6 per cent until 2022) among children and anaemia by 3 per cent per year (total 9 per cent until 2022) among children, adolescent girls and pregnant women and lactating mothers.
• The central government has recently declared millets (sorghum, pearl millet, foxtail millet, finger millet, kodo millet, proso millet, little millet and barnyard millet) besides two pseudo millets (buck-wheat and amaranthus) which have high nutritive value as ‘Nutri Cereals’.
• The inclusion of biofortified products in these government-sponsored schemes would especially benefit the children, pregnant women and elderly people, and would help in their quick dissemination.

CHALLENGES FOR BIOFORTIFICATION IN INDIA

• Lack of consumer acceptance due to color changes (e.g. golden rice) and last mile reach of fortified food remains a big challenge.
• Adoption of farmers and cost involved in the process of fortification also poses a challenge for biofortification in India.
• Though biofortification can be done using non-genetically-modified methods it is a slower process than genetic modification.
• The lack of an effective seed and rural extension system for multiplication and dissemination of new varieties will also pose a challenge.

RECENT DEVELOPMENTS

• Vallabhhai Vasrambhai Marvaniya, a farmer scientist from Gujarat has developed Madhuban Gajar, a biofortified carrot variety with high β-carotene and iron content.(He has been conferred with a National Award by the President of India during Festival of Innovation (FOIN) in 2017 and was also conferred with Padma Shri in 2019 for his extraordinary work in this field).
• Madhuban Gajar has been cultivated in over 1000 hectares of land in Gujarat, Maharashtra, West Bengal, Rajasthan and Uttar Pradesh.
• It is used for several value-added products like carrot chips, juices, and pickles.
• It possesses a significantly higher root yield and high plant biomass.
• It has been tested by National Innovation Foundation (NIF) of India, an autonomous institute under the Department of Science and Technology during 2016-17.

THE WAY FORWARD:

• The lack of nutrition is not only a denial of a fundamental human right, but it is also poor economics. Biofortification is a partial solution, which must go hand in hand with efforts to reduce poverty, food insecurity, disease, poor sanitation, social and gender inequality.
• Increasing Maternal Health Literacy, ending societal discrimination faced by women and adolescent girls, making healthcare and proper sanitation accessible will also help in eradicating malnutrition.
• The government should facilitate public-private partnerships. Private sector engagement can leverage technological solutions for scaling up food fortification initiatives, and complement the government’s outreach efforts through mass awareness and education campaigns in communities.
• There is a need to shift dietary patterns from cereal dominance to the consumption of nutritious foods such as livestock products, fruits and vegetables, pulses, etc. Diverting a part of the food subsidy on wheat and rice to more nutritious foods can help.
• Strategies for delivery of biofortified crops must be tailored to the local context for each crop–nutrient pair.
• New Agricultural techniques: Achieving zero hunger requires agriculture and food systems to become more efficient, sustainable, climate-smart and nutrition-sensitive. India must adopt new agricultural technologies of bio-fortifying cereals, such as zinc-rich rice, wheat, iron-rich pearl millet, and so on.

THE CONCLUSION: Biofortification is a delicate technique that needs elaborate study to assess effect of alteration on human body. Thus, biofortification is indeed a novel way to reduce global hunger in areas of large population and high poverty. Proper planning and implementation can contribute towards reducing poverty using biofortification.

INDIAN POLITY AND GOVERNANCE

1. THE PLACES OF WORSHIP (SPECIAL PROVISIONS) ACT, 1991

THE CONTEXT: Recently, the Varanasi court rejected the application of the Anjuman Intezamia Masjid Committee challenging the maintainability of a suit seeking court direction to worship the “Shivling” said to have been found in the Gyanvapi mosque complex.

THE EXPLANATION:

• The Places of Worship Act 1991 was passed by parliament during the Ram Janmabhoomi movement.The Act was introduced to promote peace, harmony and brotherhood.
• The main objective of the Act is to maintain the religious character of any such place as it existed on the 15th day of August 1947 (at the time of Independence).
• The act prohibits conversion of any place of worship or changing the religious character of any place from its status at the time of Independence.
• The main purpose behind the Act was to check and control communal hatred and promote peace and harmony in the country.
• The 1991 Act covered all disputed sites to which religious groups had raised a claim.
• The Ram Janmabhoomi-Babri case was excluded from the provision of the Act.
• Section 4(2) of the Act says that any legal proceeding with respect to the conversion of the religious character of any place of worship existing on August 15, 1947, pending before any court, shall be dropped and no fresh suit or legal proceeding shall be initiated.

Criticisms surrounding the law:

The law has been challenged on the ground that it bars judicial review, which is a basic feature of the Constitution, imposes an “arbitrary irrational retrospective cutoff date”, and abridges the right to religion of Hindus, Jains, Buddhists and Sikhs.

THE SCIENCE AND TECHNOLOGY

2. THE MISSION PRARAMBH

THE CONTEXT: Recently, India’s first privately developed launch vehicle, Vikram-S, blasted off on its maiden flight from the Indian Space Research Organisation’s (ISRO’s) Sriharikota spaceport.

THE EXPLANATION:

• The mission, named Prarambh, or ‘the beginning’, marks the Indian private sector’s first foray into the promising space launch market. The liftoff was at 11.30 am IST.

Mission Prarambh, Vikram S Rocket: In the names of Sarabhai and Kalam

• The rocket has been developed by Hyderabad-based Skyroot Aerospace, a company that was started in 2018. It is called Vikram-S. It is named after Vikram Sarabhai, the founder of India’s space programme.
• “The Vikram-S rocket is a single-stage sub-orbital launch vehicle which will carry three customer payloads and help test and validate technologies in the Vikram series space launch vehicles.
• The company is designing three Vikram rockets that will use various solid and cryogenic fuels. The Vikram series of rockets are among the few launch vehicles that have their core structure built using carbon composites. The thrusters used for spin stability in the vehicle have been 3D printed.
• The engine used in the launch vehicle is named after former president Dr A P J Abdul Kalam. The performance of the ‘Kalam-80’ will be one of the key areas that the company will monitor during the flight of Vikram-S.

More coming from private sector

• Although Skyroot is the first private company to launch its rocket, others are not far behind.
• Agnikul Cosmos, whose semi-cryogenic Agnilet engine was test- fired for 15 seconds this week at ISRO’s vertical testing facility at Thumba Equatorial Rocket Launching Station (TERLS), Thiruvananthapuram. And ISRO’s Small Satellite Launch Vehicles (SSLV) are also likely to be manufactured and operated by private players soon.
• Regarding the entry of private players in the space sector in India, ISRO chairperson said that around 100 start-ups have registered with the space agency and are working closely with it in “various domains of the space sector”.

Government step to inclusion of private player in space industry:

Several steps have been initiated towards opening the space sector for private entities in a phased manner.

• In the 2019 budget, the government announced the setting up of New Space India Limited (NSIL) with a mandate to mass-produce and manufacture small satellite launch vehicles (SSLVs) and polar satellite launch vehicles (PSLVs) in partnership with the private sector through technology transfer.
• The Draft National Space Policy 2020 was thus unveiled with the aim to increase public-private partnerships in space research and exploration activities. Instead of only partnering on the manufacturing and logistical side of operations earlier, private players were now given access to ISRO’s infrastructure, technical resources and data to grow.
• In addition, the Union Cabinet in 2020 approved the creation of the Indian National Space Promotion and Authorisation Centre (IN-SPACe) to act as a single-window, independent nodal agency between ISRO and private entities to utilise India’s space resources efficiently.
• Recently, India’s space agency unveiled a draft “Humans In Space Policy 2021” that would look at facilitating participation of non-traditional players in undertaking space activities.

Indian private startups in space industry:

Several Indian startups have started their operations. Some of the startups include:

• Digantara: It is an Indian private company working to secure long-term space flight safety by developing space debris tracking and monitoring services.
• Bellatrix Aerospace: Headquartered in Bangalore, it is an Indian private aerospace manufacturer and small satellite company.
• Tathya Earth: The company leverages deep learning algorithms for satellite imagery and maritime data to identify important real-time trends in the global economy.
• Skyroot,A startup founded by two former ISRO scientists. The company is building “Vikram” rockets from scratch, which are the first brand of rockets made by the private sector in India.
• Agnikul Cosmos, a startup founded by two 21-year-old college students became the world’s first company to successfully test a 3D printed rocket engine, which is a new and upcoming tech in the space industry and is predicted to replace conventional assembly models.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

3. SIBERIAN RUBYTHROAT RECORDED IN THE NILGIRI

THE CONTEXT: Recently, a rare winter migrant, Siberian rubythroat (Calliope calliope), has been recorded in the Nilgiris.

THE EXPLANATION:

The Siberian rubythroat is a ground-loving songbird. The male has a red throat edged with a narrow black border and a broad white border. Females lack brightly coloured throat and borders.

• The Siberian rubythroat is a ground-loving songbird. The male has a red throat edged with a narrow black border and a broad white border. Females lack brightly coloured throat and borders. Each year, bird watchers from across south India watch for winter migrants to the Nilgiris.
• The Siberian Rubythroat is a ground-loving songbird of Asia. They primarily breed in Siberia, while wintering in southern and southeastern Asia.  While very similar in overall appearance to thrushes, they may more properly be classified as Old World flycatchers, and are now often placed in the family Muscicapidae instead of the thrush family Turdidae.
• They have occasionally wandered outside of their normal breeding and wintering range, particularly in Eurasia where they have been found as far west as Great Britain on occasion. In North America, they are primarily known from several sightings on islands off the coast of Alaska.
• Habitat: Found in brushy forest clearings, edge of taiga or boreal forest, shrubby streamside thickets, or other similar semi-open habitats with available brush.
• Migration: During the summer they are found as breeding birds in Siberia. They move to eastern India, Thailand, Indonesia, and other nearby countries for the winter.
• IUCN STATUS: Least Concern.

PRELIMS PERSPECTIVE

4. BALIYATRA: CELEBRATING ODISHA’S ANCIENT LINKS WITH INDONESIA AND SOUTHEAST ASIA

THE CONTEXT: During the G20 Summit, Prime Minister mentioned Baliyatra, literally ‘voyage to Bali’, one of the country’s largest open-air fairs that commemorates the 2,000-year-old maritime and cultural links between ancient Kalinga and Southeast Asia.

THE EXPLANATION:

• In his address to the Indian diaspora in Bali on the sidelines of the G20 summit, Prime Minister mentioned the annual Baliyatra on the banks of the Mahanadi in Cuttack, which celebrates the ancient trade relations between India and Indonesia.
• This year’s Baliyatra, which concluded on Thursday, also found a place in the Guinness World Records for achieving an impressive feat of origami, the creation of beautiful paper sculptures.

Historical significance

• Baliyatra, literally ‘voyage to Bali’, is one of the country’s largest open-air fairs, which is organised every year to commemorate the 2,000-year-old maritime and cultural links between ancient Kalinga (today’s Odisha) and Bali and other South and Southeast Asian regions like Java, Sumatra, Borneo, Burma (Myanmar) and Ceylon (Sri Lanka).
• The origins of the festival, which begins on Kartik Purnima (full moon night in the month of Kartik) can be traced back more than 1,000 years. The Bay of Bengal region had several ports, and sadhavas (traders) traditionally began their voyage across the sea on this auspicious day, when the winds were favourable for the boats, known as boita, to sail.
• According to historians, popular items of trade between Kalinga and Southeast Asia included pepper, cinnamon, cardamom, silk, camphor, gold, and jewellery.
• Besides the cultural and historical aspects, Baliyatra has an important commercial dimension. It is a time when people purchase everything from automobiles and electronic devices to local artisanal products at prices that are comparatively low. The district administration allots more than 1,500 stalls to traders through an auction, and the fair is estimated to see business worth more than Rs 100 crore over its nine days.

5. THE EXCELL AWARDS-2022

THE CONTEXT: In a significant development and recognition to the country’s efforts in improving access to modern family planning methods, India is the only country to have received the Leadership in Family Planning (EXCELL) Awards-2022 in the ‘country category’ at the International Conference on Family Planning held in Pattaya city, Thailand.

THE EXPLANATION:

• India has made outstanding progress not only in improving access but also adoption of modern contraceptive methods enabling couples to make informed choices about family planning. These are reflected in the National Family Health Survey (NFHS) – 5
• As per NFHS-5 data, overall Contraceptive Prevalence Rate (CPR) has increased substantially from 54 percent to 67 percent in the country, from NFHS-4. Similarly, unmet needs of family planning have witnessed a significant decline from 13 per cent to 9 per cent. The unmet need for spacing has also come down to less than 10 per cent.
• The total ‘demand satisfied’ for family planning among currently married women aged 15-49 in India increased from 66 percent in 2015-16 to 76 percent in 2019-21 which has already crossed the SDG target of 75 set globally for 2030. The government’s focus on improving easy and affordable access to modern contraceptives are reflected in the fact that 68% modern method contraceptive users obtain their method from the public health sector, as per NFHS-5 data. Mission Parivar Vikas, one of the government’s flagship programmes, to reduce unmet needs in family planning, has also been a critical factor in the overall improvement.
• India’s efforts in improving family planning demonstrate the progress the country is making towards achieving the SDG targets on women and maternal health.

What is ICFP?

• The International Conference on Family Planning has convened the global development community around a shared vision of universal access to family planning since 2009.A network of advocates, researchers and scientists, community and government leaders, health practitioners, economists, conveners, civil society members, and young people.
• The 2022 theme, “Family Planning & Universal Health Coverage: Innovate. Collaborate. Accelerate.” underscores our belief that family planning should be a core component of universal health coverage. Not only is access to family planning and reproductive health services a pillar of good personal health, it is also a critical component of a country’s economic health. ICFP 2022 will be a strategic benchmark as the community prepares to recommit to a goal of universal access by 2030.

VALUE ADDITION:

Mission ParivarVikas- The Government has launched Mission Parivar Vikas for substantially increasing access to contraceptives and family planning services in146 high fertility districts with Total Fertility Rate (TFR) of 3 and above in seven high focus states. These districts are from the states of Uttar Pradesh, Bihar, Rajasthan, Madhya Pradesh, Chhattisgarh, Jharkhand and Assam that itself constitutes 44% of the country’s population.

6. COASTAL DEFENCE EXERCISE SEA VIGIL-22

THE CONTEXT: Recently, Exercise Sea Vigil-22, the Coastal Defence exercise was conducted in Visakhapatnam:

THE EXPLANATION:

• The exercise involved participation of more than 17 Government agencies from nine Coastal States and four Union Territories that are involved in the Coastal Defence Mechanism and Coastal Security construct. More than 500 surface assets from the Indian Navy (IN), Coast Guard (CG), States Marine/ Coastal Police, Customs, Forest Department, Port Authorities and private operators participated in the exercise.
• The exercise also validated the technical surveillance infrastructure called the National Command, Control, Communication and Intelligence (NC3I) Network. The Information Management and Analysis Centre (IMAC) at Gurugram and its various nodes across IN and CG stations were exercised for coordinating the surveillance and information dissemination mechanism.
• The envisaged objectives of the exercise were met by the whole-hearted participation of all stakeholders. The cooperation and coordination amongst various agencies involved is a reassuring sign of progress made in the realm of Coastal Defence and the exercise would go a long way in enhancing Coastal Defence and National Security in the maritime domain.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. Drug ‘sodium pentothal’, seen in news, is used for-

a) Clinical trials

b) Narco test

c) Polygraph test

d) Treatment of TB

Answer: B

Explanation:

• In a ‘narco’ or narco analysis test, a drug called sodium pentothal is injected into the body of the accused, which transports them to a hypnotic or sedated state, in which their imagination is neutralised. In this hypnotic state, the accused is understood as being incapable of lying, and is expected to divulge information that is true.
• Sodium pentothal or sodium thiopental is a fast-acting, short duration anaesthetic, which is used in larger doses to sedate patients during surgery. It belongs to the barbiturate class of drugs that act on the central nervous system as depressants.
• Because the drug is believed to weaken the subject’s resolve to lie, it is sometimes referred to as a “truth serum”, and is said to have been used by intelligence operatives during World War II.

THE CONTEXT: After the repealing of three farm laws in November 2021, farmers are now demanding for the legalized Minimum Support Price for their crops.  Although, India is already providing MSP for some crops but Farmers are demanding a legal status for MSP for all crops. In this article, we will analyse the issue in detail.

HOW MANY CROPS DOES THE MINIMUM SUPPORT PRICE COVER?

• The Central Government sets a minimum support price (MSP) for 23 crops every year, based on a formula of one-and-a-half times production costs. This considers both paid-out costs (A2) such as seeds, fertilizers, pesticides, fuel, irrigation, hired workers and leased-in land, as well as the imputed value of unpaid family labour (FL).
• Farm unions are demanding that a comprehensive cost calculation (C2) must also include capital assets and the rentals and interest forgone on owned land as recommended by the National Commission for Farmers.
• There is currently no statutory backing for these prices, nor any law mandating their enforcement.
• The government only procures about a third of wheat and rice crops at MSP rates (of which half is bought in Punjab and Haryana alone), and 10%-20% of select pulses and oilseeds.
• According to the Shanta Kumar Committee’s 2015 report, only 6% of the farm households sell wheat and rice to the government at MSP rates. However, such procurement has been growing in the last few years, which can also help boost the floor price for private transactions.

WHY DO FARMERS WANT A LAW ON MSP?

• Farmers are saying that MSP based on a C2+50% formula should be made a legal entitlement for all agricultural produce, so that every farmer of the country can be guaranteed at least the MSP announced by the government for their entire crop.
• According to them, most of the cost should be borne by private traders, noting that both middlemen and corporate giants are buying commodities at low rates from farmers and slapping on a huge mark-up before selling to end consumers.
• Farmers want a law that simply stipulates that neither the government nor private players will be allowed to buy produce from the farmer at a rate lower than MSP.
• All farmers groups seeking legal backing for MSP also want it extended to fruit and vegetable farmers who have been excluded from benefits so far.

WHAT IS THE GOVERNMENT’S POSITION?

• The Prime Minister announced the formation of a committee to make MSP more transparent, as well as to change crop patterns, often determined by MSP and procurement, and to promote zero budget agriculture which would reduce the cost of production but may also hit yields.
• The panel will have representatives from farm groups as well as from the State and Central Governments, along with agricultural scientists and economists.
• The government has assured that the MSP regime is here to stay, even while dismissing any need for statutory backing.

SHOULD MSP BE LEGALIZED?

YES, MSP SHOULD BE LEGALISED?

TO DECIDE THE MINIMUM PRICE OF A CROP

• The demand for a guaranteed remunerative Minimum Support Price is not about the government procuring products from every farmer in the country at the MSP.
• It is indeed preposterous to think so. It is about reinstating the MSP as the bottom price for all agriculture produce through an Act so that farmers are able to realise at least this minimum price, whoever buys the product.

FREEDOM TO SELL

• A legalized MSP means even as the government agencies continue to remunerate the farmers at the MSP; the private sector would also have to do the same.
• Farmers will have a right to the MSP, even as they continue to enjoy the freedom to sell anywhere.

HIGHER-INCOME TO FARMERS

• The corporate world has welcomed the three farm laws and reiterated that it would benefit the farmer by higher incomes. The government also claims the same. But it is not willing to legalise and institutionalise the only instrument that can guarantee this higher income, the MSP.

PRESENT MSP REGIME SHOWS BETTER RESULT

• Farmers in States with MSP procurements and APMC controlled mandis realise better prices than in States like Bihar, which did away with the APMC.
• A free open market is a traders’ delight but can never be a farmers’ choice, if it cannot guarantee remunerative prices.

A STANDARD MECHANISM

• It will also have to set up stand-by mechanisms to intervene in the market when traders show reluctance to buy.
• Kerala, for instance, has announced base prices for 16 vegetables, fruits and tuber crops, though it does not procure them.
• Still it has allocated ₹35 crore as a market intervention fund, in case they have to procure or compensate to intervene in a price crash situation.
• Similarly, post the Indo-Asean agreement, the price of rubber fell drastically, and Kerala has now a budget head with an allocation to compensate the farmers for price loss.

MARKET ITSELF CAN’T GIVE AN APPROPRIATE PRICE TO FARMERS

• According to the Shantha Kumar Committee on restructuring FCI, only 6 per cent of the farmers benefit from procurement. This figure is outdated after decentralised procurement that now covers 23 States for paddy and 10 States for wheat, out of which 10 States for paddy and five for wheat contribute significantly. Still the number of farmers realising MSP rates is between 15-25 per cent.
• This means most of India’s farmers have to sell their produce at much lesser prices, dictated by the markets.

TO MAKE INDIA A $5 TRILLION ECONOMY.

• India can’t be a five-trillion economy without improving its farm sector and for that a good price policy for farmers cropping is a must.
• Seventy years’ experience shows that the government needs to intervene in cropping patterns in India to ensure a better price for farmers crops.

MSP should not be legalized because of the following reasons-

THE ISSUE OF INFLATION

• A law barring purchases of the other 21 crops below MSPs by any private trader will immediately fuel high inflation.
• Every one percentage point increase in MSPs leads to a 15-basis point increase in inflation.
• Higher MSPs could also upend the Reserve Bank of India’s inflation targets, hurting economic growth.

IMPACT ON PRIVATE TRADERS

• If it is not profitable for traders to buy at MSPs, then the private sector will exit the markets.
• A mandatory MSP means that it will be illegal for anyone to buy any notified commodity at below MSP anywhere in India.
• Traders might find it safer to stay away from the market and wait for the government to offload stocks in the market.

GOVERNMENT WILL BE THE SOLE TRADER

• If private buyers will not purchase, the government then becomes the sole trader.
• It would be a disastrous situation as the government will purchase all the commodities.

FISCAL BURDEN ON THE GOVERNMENT

• The value of the 23 crops presently covered under MSP works out to about Rs 7 lakh crore.
• But after a legalized MSP for all crops, it will cost the government only an additional Rs 47,764 crore (2017-18 data).

NOT IN FAVOUR OF COMPETITION

• Mandatory MSPs will render India’s agri- exports non-competitive because the government’s assured prices are way higher than both domestic and international market prices.

WTO RULING

• Surplus cereals can’t be exported without a subsidy, which invites the World Trade Organization (WTO)’s objections. WTO rules cap government procurement for subsidised food programmes by developing countries at 10% of the total value of agricultural production based on 1986-88 prices in dollar terms.

NEED FOR REFORMS IN PRESENT MSP REGIME

Bias in favour of surplus states

The MSPs benefited farmers in only a few states. Nearly all states in India grow rice, and approximately 20 states grow wheat. However, FCI procures approximately 95 percent of wheat from three states: Punjab, Haryana and (Western) Uttar Pradesh. Approximately 85 to 90 percent of rice is procured from 5 states: Punjab, Andhra Pradesh, Haryana, Uttar Pradesh and Tamil Nadu.

Adverse impact on Investment

Hike in procurement prices leads to an additional expenditure by the government. Given the overall resources constraint, the additional expenditure comes at the cost of a decline in fixed investments. While this additional expenditure on stocks favours only rice and wheat (as it is the procurement price of these two crops that has been raised considerably year after year), the decline in fixed investments adversely affects the demand for many non-agricultural sectors.

Distortions in cropping pattern

As pointed out in the Report on Currency and Finance, 2001-02, the agricultural price policy of the government has led to distortions in the cropping pattern. This is because the MSP of rice and wheat (particularly of wheat) has generally been higher than the cost of production. This has made the cultivation of rice and wheat more attractive than pulses and coarse cereals leading to a diversion of area towards them.

Bias in favour of large farmers

Increases in MSP and procurement prices over the years have acted as an incentive to producers to increase their output. However, most of the benefits have been cornered by the large farmers who could implement the new agricultural strategy and easily obtain credit and other inputs.

Economically Unsustainable

The economic cost of procured rice comes to about Rs 37/kg and that of wheat is around Rs 27/kg. However, rice and wheat market prices are much lower than the economic cost incurred by the Food Corporation of India (FCI). Due to this, the FCI’s economic burden is touching Rs 3 lakh crore. This amount eventually will have to be borne by the Union government and may subsequently lead to divergence of funds from being invested in agriculture infrastructure.

HOW CAN INDIA ADDRESS THE ISSUE OF CROPS PROCUREMENT?

DEFICIENCY PAYMENT

• Making MSP a legal entitlement makes it a justifiable right, and there are two ways of ensuring this. The first is through physical procurement by the government. The second is to allow farmers to sell in the private market and if they get a lower price than MSP, then to reimburse the difference between the two. Such a payment is called ‘deficiency payment (DP)’.
• Procurement is the best option for ensuring MSP. However, there are two major constraints to this physical storage capacity and administrative capability (governance), limiting the quantum of procurement. Thus, farmers also need to be supported through DPs.

DIRECT PAYMENTS

• It is important to explore other options that may be fiscally prudent and administratively convenient. One such is direct payments to farmers. However, a different approach is needed for non-staple food commodities. For many of non-staple commodities, MSPs are announced with little or no procurement. This is really ineffective. Thus, a gradual movement to an income-based support system is needed. PM-KISAN is currently attempting this, but the support under the programme is grossly inadequate.

GOVERNMENT SHOULD NOT COME OUT FROM THIS MECHANISM

• However, it needs to be noted that during the Covid-19 crisis as well as earlier food crises in 1975 and 2008, India’s buffer stock system served the country exceedingly well. There is also a large PDS of 80 crore beneficiaries to cater to. Thus, the MSP procurement system needs to be continued for staple food grains and, if possible, be extended to pulses.

Apart from the above measures, the agriculture sector needs some more measures for a permanent solution

• Devise ways to address price- and production-related risks. In addition to insurance and immediate relief for crop loss, the government can make a “deficiency price payment” when prices crash. Under such a system, farmers get the difference between the market price and a pre-agreed price that will act as a form of price insurance. Restructure the marketing framework to allow free movement of farm products.
• Connect the lab to the field: agriculture cannot grow without modern scientific research.
• Pay attention to resource-use efficiency in water and fertilizers. Increase irrigation-related investments in rain-fed areas as the monsoon uncertainties are here to stay.
• Undertake long-term research on how the crop cycle can be aligned with the changing monsoon. Improve availability of early maturing, drought resistant and short duration crops that can handle weather uncertainties.
• Provide alternative jobs to farmers as it is difficult to earn a living from small pieces of land (average land holding is a little over one hectare in India). Liberalize land lease markets as small farms are not viable. Inject funds into rural India to kick-start demand. Announce a package that can revive wage employment by creating rural infrastructure.
• Bring extension services back on the agenda. Farmers need to know about better seeds, proper use of fertilizers, and access to better technologies. Information and communications technology-based services like kisan call centres aren’t enough.
• Make crop insurance more effective. Increase penetration and subsidize premiums so that farmers can avail insurance; carry out damage assessment at the field level to settle claims.

THE CONCLUSION: public procurement needs to continue for staple cereals, but farmers of non-staple food crops need to be provided with direct income transfers, these are fiscally prudent, obviate the need for physical procurement and storage by the government, do not distort current production, and provide a basic income to farmers. These will also address the main concern over the recent farm laws related to the vulnerability of small and marginal farmers and may help these farmers to avoid distress sales.

JUST ADD TO YOUR KNOWLEDGE

ALL ABOUT MSP

MSP

• It is a form of market intervention by the Government of India to insure agricultural producers against any sharp fall in farm prices.
• A guarantee price for farmers produces from the government.

Objectives of MSP?

• To protect the producer – farmers – against excessive fall in price during bumper production years.
• To support the farmers from distress sales and to procure food grains for public distribution.
• If market price for the commodity falls below the announced minimum price due to bumper production and glut in the market, government agencies purchase the entire quantity offered by the farmers at the announced minimum price.

History of MSP

• First time announced by the Government of India in 1966-67  for the wheat in the wake of the Green Revolution and extended harvest, to save the farmers from depleting profits.

How MSP is decided?

The government decides the support prices for various agricultural commodities after taking into account the following:

• Recommendations of Commission for Agricultural Costs and Prices
• Views of State Governments
• Views of Ministries
• Other relevant factors
• Fixing the MSP Policy

Current status

26 commodities are currently covered.

They are as follows.

• Cereals (7) – Paddy, Wheat, Barley, Jowar, Bajra, Maize And Ragi
• Pulses (5) – Gram, Arhar/Tur, Moong, Urad And Lentil
• Oilseeds (8) – Groundnut, Rapeseed/Mustard, Toria, Soyabean, Sunflower Seed, Sesamum, Safflower Seed And Niger seed
• Copra
• De-Husked Coconut
• Raw Cotton
• Raw Jute
• Sugarcane (Fair And Remunerative Price)
• Virginia Flu Cured (VFC) Tobacco

Point to be noted

• Sugarcane is a kharif crop.
• 60% of India’s food grain and oilseeds grown in Kharif Season.

WHAT IS PROCUREMENT PRICE

• At this price FCI will purchase foodgrain for PDS distribution system.
• Procurement prices always higher than MSP.

OPEN ENDED PROCUREMENT (CONDUCTED BY FCI)

For Wheat and Rice (Conducted)

Government will buy AT MSP, from any farmer who comes forward to sell. (even if market prices are running higher than MSP)

other crops (not conducted)

Government will buy ONLY when their prices fall below MSP in open market.

INTERNATIONAL RELATIONS

1. WHAT ARE VOSTRO ACCOUNTS AND NOSTRO ACCOUNT?

THE CONTEXT: The government announced that nine special Vostro accounts have been opened with two Indian banks after permission from the RBI to facilitate trade in rupee in the wake of sanctions on Russia by the US and European countries.

THE EXPLANATION:

What is a Vostro account?

• A Vostro account is an account that a domestic bank holds for a foreign bank in the domestic bank’s currency — which, in the case of India, is the rupee. The RBI allowed nine such accounts, including IndusInd Bank and Uco Bank.
• In the case of trade with Russia, payments in rupee for the export and import of goods will go to these Vostro accounts. The owners and beneficiaries of this money will be the exporters and importers in both the countries. The banks will keep the record of money transferred.

And what is a Nostro account?

• Two kinds of accounts, Vostro and Nostro, are often mentioned together. Both Vostro and Nostro are technically the same type of account, with the difference being who opens the account and where.
• So, if an Indian bank like the SBI wants to open an account in the United States, it will get in touch with a bank in the US, which will open a Nostro account and accept payments for SBI in dollars.
• The account opened by the Indian bank in the US will be a Nostro account for the Indian bank, while for the US bank, the account will be considered a Vostro account.
• Literally, Nostro means ‘ours’ and Vostro means ‘yours’ in Latin. Therefore, the accounts opened by IndusInd and UCO are Vostro, and the ones opened by Russia’s Sberbank and VTB Bank are Nostro accounts.

What led to creation of the Vostro accounts?

• Recently,, the RBI put in place a mechanism to settle international trade in rupees “in order to promote growth of global trade with emphasis on exports from India and to support the increasing interest of the global trading community in the rupee”.
• The central bank’s move has come in the wake of increasing pressure on the Indian currency in the wake of Russia’s invasion of Ukraine and sanctions by the US and the EU.
• According to the central bank, AD (authorised dealer) banks in India have been permitted to open rupee Vostro accounts. Accordingly, for settlement of trade transactions with any country, an AD bank in India may open special rupee Vostro accounts of correspondent banks of the partner trading country.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

2. INDIA OPPOSES ‘CARBON BORDER TAX’ AT COP-27

THE CONTEXT: With the 27th edition of the Conference of Parties (COP) in Sharm El Sheikh nearing its final stages and efforts being ramped up to arrive at a conclusive agreement, a consortium of countries that includes India has jointly stated that carbon border taxes, that could result in market distortion and aggravate the trust deficit amongst parties, must be avoided.

THE EXPLANATION:

• The European Union has proposed a policy — called the Carbon Border Adjustment Mechanism — to tax products such as cement and steel, that are extremely carbon intensive, with effect from 2026.
• BASIC, a group constituting Brazil, India, South Africa and China, and therefore large economies that are significantly dependent on coal, has for several years voiced common concerns and reiterated their right to use fossil fuel in the interim during their countries’ eventual transformation to clean energy sources.
• “Unilateral measures and discriminatory practices, such as carbon border taxes, that could result in market distortion and aggravate the trust deficit amongst Parties [signatory countries to the United Nations climate agreements], must be avoided. BASIC countries call for a united solidarity response by developing countries to any unfair shifting of responsibilities from developed to developing countries.”
• Their joint statement expressed “grave concern” that developed countries were still not showing leadership or responding with a matching progression of effort. Developed countries had “backtracked on finance and mitigation commitments and pledges” and there was a “significant increase” in the consumption and production of fossil fuels in the past year by developed countries, their statement underlined, even as they continue to press developing countries to move away from the same resources. “Such double standards are incompatible with climate equity and justice.”

About Carbon Border Adjustment Mechanism:

• Carbon border adjustments, also referred to as “carbon border adjustment mechanisms” (CBAM), are an emerging set of trade policy tools that aim to prevent carbon-intensive economic activity from moving out of jurisdictions with relatively stringent climate policies and into those with relatively less stringent policies.
• Border adjustments have the potential to increase the environmental effectiveness of climate policies, by averting shifts in economic activity that could lead to higher total greenhouse emissions — a phenomenon known as “carbon leakage.” They are also seen as a way of protecting industrial competitiveness by reducing the incentive for businesses to move production abroad.

SCIENCE AND TECHNOLOGY

3. ARTEMIS MISSION

THE CONTEXT: NASA’s giant Moon rocket lifted off on its debut flight at 1.47 am EST (12.17 pm IST) on November 16, 2022 heralding an exciting new phase of deep space exploration a half century after the six Apollo human Moon landings between 1969 and 1972.

THE EXPLANATION:

The mission, known as Artemis 1, is unmanned, but headed to the Moon on board Orion are three dummies that mimic astronauts — with the intention of carrying out tests ahead of future manned missions to the Moon and beyond.

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 colour 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?

QUICK FACTS:
The Deep Space Network – – is NASA’s international array of giant radio antennas that supports interplanetary spacecraft missions, plus a few that orbit Earth. The DSN also provides radar and radio astronomy observations that improve the understanding of the solar system and the larger universe.

• SLS and Orion under Artemis I will be launched from the Kennedy Space Centre in Florida, the 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 toward 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.

SECURITY AFFAIRS

4. INDIA DEPLOYS NEW DOCKS, UPGRADES SPEEDBOATS FOR PANGONG TSO PATROL

THE CONTEXT: The Army has deployed new landing docks and speedboats for patrolling on the Pangong Tso in eastern Ladakh, matching the Chinese deployments on the lake.

THE EXPLANATION:

• According to Indian Army, this is a part of an overall capability enhancement and infrastructure development taken up by India since the 2020 stand-off to plug deficiencies and catch up with the Chinese build-up along the Line of Actual Control (LAC).
• “The induction has given huge impetus to our patrolling capability and we now have boats which match the adversary”. The landing crafts are capable of carrying 35 troops or one jeep and 12 personnel, while the speedboats can reach speeds of 35 knots.
• Also, the new landing crafts have also been deployed at Sir Creek in Gujarat facing Pakistan.
• Pangong Tso has been an area of constant friction between India and China for a long time. India holds one-third of the 135-km-long boomerang shaped lake.
• The lake, a glacial melt, has mountain spurs of the Chang Chenmo range jutting down referred to as ‘fingers’ and the brackish water lake freezes in winter.
• India has always held until Finger 4 while it claims till Finger 8, which is where the Indian perception of the LAC lies.
• The north bank of the lake, which has a much more higher difference in perception of the LAC than the south bank, was the initial site of the clash in May 2020, the beginning of the stand-off. The Indian Army has a permanent position near Finger 3.

GOVERNMENT SCHEMES IN NEWS

5. WHY THE OLD PENSION SCHEME IS BOTH BAD ECONOMICS AND BAD POLITICS

THE CONTEXT: Amid elections in Gujarat and Himachal, the political parties are promising to switch to the Old Pension Scheme. UPA has already reverted to the Old Pension Scheme in Rajasthan and Chhattisgarh, and AAP has said it would do the same in Punjab.

THE EXPLANATION:

OPS vs NPS: Difference

• National Pension Scheme replaced the OPS with effect from April 1, 2004. Under the old pension scheme, retired employees received 50% of their last salary as monthly pensions. In contrast, NPS is a contributory pension scheme under which employees contribute 10% of their salary (Basic + Dearness Allowance), and the Government contributes 14% towards the employees’ NPS accounts.
• PFRDA-approved pension fund managers manage the funds under NPS. The onus of purchasing the annuity plan from approved pension providers is on the employee under NPS. At the time of retirement, employees must purchase an annuity plan for a monthly pension with a minimum of 40% of the accumulated corpus. The employee can withdraw the remaining amount as a lump sum.

What was the origin of the New Pension Scheme?

• The New Pension System proposed by the Project OASIS report became the basis for pension reforms — and what was originally conceived for unorganised sector workers, was adopted by the government for its own employees.
• The New Pension Scheme (NPS) for Central government employees was notified on December 22, 2003. Unlike some other countries, the NPS was for prospective employees — it was made mandatory for all new recruits joining government service from January 1, 2004.
• The defined contribution comprised 10 per cent of the basic salary and dearness allowance by the employee and a matching contribution by the government — this was Tier 1, with contributions being mandatory. In January 2019, the government increased its contribution to 14 per cent of the basic salary and dearness allowance.
• Individuals can choose from a range of schemes from low risk to high risk, and pension fund managers promoted by public sector banks and financial institutions, as well as private companies.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. Which of the following seaway between Canada and the U.S. that permits oceangoing vessels to travel from the Atlantic Ocean to the Great Lakes of North America?
a) Labrador Sea
b) Hudson Bay
c) St. Lawrence Seaway
d) Baffin Bay

Answer: C
Explanation:

[WpProQuiz 369]

THE CONTEXT: The Union government has a noble objective of doubling farmer income by 2022 Thus the Indian agriculture sector has been witnessing a slew of reforms especially on corporate and contract farming. Against this backdrop, this article comprehensively discusses the issues of corporate and contract farming by adopting an in-depth approach.

UNDERSTANDING CORPORATE FARMING

• Corporate farming refers to agricultural operations that involve the production of food on an exceptionally large scale.
• It also involves a wide range of additional services that are important to the marketing of the foods produced.
• Thus this concept is not limited to the actual production of food but also includes the entire agriculture production system like marketing, distribution, etc.
• In other words, corporate farming deals with all the operations from “the farm to the fork”.
• These companies also influence agricultural education, research, and public policy through funding initiatives and lobbying efforts which are also needed to be considered while analyzing the concept of corporate farming.

UNDERSTANDING CONTRACT FARMING

• Contract farming means agriculture production carried out as per an agreement between a buyer and farmer.
• The contract sets out the rights and obligations of both parties concerning production, marketing, etc.
• The buyer agrees to buy the product at a mutually decided price from the farmer subject to conditions like timeliness, quality, etc.
• In some cases of contract farming, the buyer also provides seeds and other inputs including technical assistance.

ADVANTAGES AND DISADVANTAGES OF CORPORATE FARMING

ADVANTAGES

• It provides greater scope for investment in agriculture by big businesses and MNCs. This will improve Gross capital Formation in the Agriculture value chain especially in the food processing segment
• As per Economic Survey 19-20, farm mechanization in India is only 40%. Thus the entry of corporates will improve the status of farm mechanization which will improve production and productivity.
• It will promote the Industrialization of agriculture through the rapid production of crops to meet the needs of the economy. It will improve the GVA of agriculture in the overall GDP.
• Nearly 40 percent of the food produced in India is wasted every year due to fragmented food systems and inefficient supply chains as per Food and Agricultural Organisation.
• Timely harvesting of crops helps avoid wastage of food, increases the yield which leads to a decrease in food prices.
• The government subsidy for agriculture including MSP for farmers has huge fiscal implications. Corporate farming will reduce the fiscal burden of the exchequer.
• Many Indian corporates are involved in Agriculture in many African countries due to facilitative laws and local factors.
• For instance, the Tata group and RJ Corp have a significant presence in the Agri sector in Uganda.
• It enables reaping the benefits of economies of scale especially in the context of the high fragmentation of lands in India.

DISADVANTAGES

• It can adversely affect the livelihood opportunities of small and marginal farmers who form around 85% of the farming community in India.
• It can compromise the nutritional value of the food by increased usage of pesticides, insecticides, coloring agents, chemical and hormone injections, etc.
• Corporates farming poses the dangers of monopoly or cartelization in the Agri economy by dominating the whole Agri system value chain. This can impact the needs of food security of millions of poor people in India.
• The production techniques adopted interfere with the natural and biological processes of the environment.
• Moreover, corporate farming can be a threat to the water bodies that will quickly dry up from excess irrigation, polluting of fisheries by disposal of chemical wastes, and also pollutes the soil.
• The methods of corporate farming also pose challenges to human and animal health due to the extensive use of growth-stimulating drugs and chemicals
• The problem of Anti-Microbial Resistance is a case in point.
• Corporate farming heavily depends on Industrial agriculture which contributes to climate change.
• The IPCC report on Climate Change and Land 2019 points out how changing land-use patterns and food systems are driving anthropogenic emissions.
• In economies thriving on this type of farming, farmers face problems of reduced profits or increased costs. They then are forced to enter into a contract on unfavorable terms

ADVANTAGES AND DISADVANTAGES OF CONTRACT FARMING

ADVANTAGES

• The assured market for farmers for their produce. This captive market lowers the marketing and other transaction costs by eliminating middlemen.
• The farmers are saved from the vagaries of price volatility in the market due to assured procurement at the defined price
• Can make small farming competitive as they can access technology, credit, various farming inputs and can also open up new marketing channels
• Contract farming agreements assure the seamless supply of inputs to agri businesses which reduces the costs of their operations.
• It enables direct private investment in agriculture thereby making the Agri sector competitive and remunerative.
• For instance, it can promote investments in post-harvest management segments.
• The consumers will also be benefited as they can have more choices available at reasonable prices with good quality.
• It will have a wholesome influence on the socio-economic life in the rural area due to improved livelihood securities and income from farming.
• Companies/buyers provide farmers good quality products, such as breeds and best advisors to give efficient advice to the farmers.

DISADVANTAGES

• The greatest disadvantage of contract farming from the perspective of farmers is the loss of bargaining power.
• Due to the guaranteed markets, the contractors keep prices very low for farmers to earn maximize profit.
• Farmers get bound and they have to produce a certain amount of the crop at a specific time period. Thus the scope for alternative crop production is lost.
• The farmers cannot take advantage of the increase in prices of the crops in the markets due to a pre-determined price structure.
• Farmers don’t have the opportunity to get feedback from the consumer, and this leads to no improvements in production due to no communication between consumers and farmers.
• Environmental risks will increase due to the practice of monocropping which inter alia impact soil fertility and productivity. This is the long run would increase the cost of farming operations.
• The threat of creating monopolies in agriculture due to the domination of the value chain can have serious repercussions on food availability at affordable prices.
• The Big business has the wherewithal to decide the terms of the contract which put the farmers, especially the small and marginal ones  in a highly vulnerable position

INDIAN SCENARIO

CORPORATE FARMING

• Agriculture is a state subject and many states have land ceiling laws that limit the area of land one can own.
• Many state governments in India have attempted liberalization of these land laws, especially land ceiling laws and land leasing laws.
• The states of Gujarat, Madhya Pradesh, Karnataka, and Maharashtra have allowed agribusiness firms to buy and operate large land holdings for R&D, and export-oriented production purposes.
• The states of Maharashtra and Gujarat have also enacted laws to allow corporate farming on government wastelands by providing large tracts of these lands to agribusiness companies on a long-term (20 years) lease.
• But, in general, corporate farming is not well-established practice in India.

CONTRACT FARMING

• Under the Model, APMC Act, 2003, contract farming was permitted and the Agricultural Produce Marketing Committees (APMCs) were given the responsibility to record the contracts.
• So far, 21 States like Andhra Pradesh, Arunachal Pradesh, Assam, and Chhattisgarh, etc have amended their Agricultural Produce Marketing Regulation (APMR) Acts to provide for contract farming. Of them, only 13 States have notified the rules to implement the provision.
• Currently, contract farming requires registration with the APMC in a few states. This means that contractual agreements are recorded with the APMCs, which can also resolve disputes arising out of these contracts.
• But the current law passed by the parliament related to contract farming (The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services act, 2020) has changed this system.
• Recently, In Madhya Pradesh, hundreds of farmers have lodged complaints against a private firm that has cheated and disappeared after entering into a contract in 2018.

SUCCESSFUL EXAMPLES OF CORPORATE AND CONTRACT FARMING

CORPORATE FARMING

DOMESTIC

• The Jamnagar Farms, the 1700 acre agri-forestry, Agri horticulture farm set up in previously arid land near the RIL refinery is a sterling example of a successful corporate farming business model. It is the largest Mango orchard in Asia. Though initially taken up as part of the plan to improve the environment, the company has now become a profitable proposition. Recently, it has been allotted government and community-owned land for its 5000 crores project which is oriented towards export-oriented farming.

INTERNATIONAL

• In some of the oil-rich Middle East countries, corporate farming including large-scale irrigation of desert lands for cropping, are carried out mostly through partially or fully state-owned companies
• Three American corporate companies namely Cargill, Archer Daniels Midland Company (ADM), and Bunge control more than 50% of the agrarian market of the world through vertical integration and corporate farming.

CONTRACT FARMING

DOMESTIC

• In India, contract farming effectively began in 1989 when Pepsi Co has established a tomato processing plant in Hoshiarpur, Punjab.
• A Karnataka case study on contract farming of baby corns and chilies has found positive impacts on income, access to technology, and credit for contract farmers compared to non-contract farmers.
• Landcraft agro a Kolhapur based agree startup established by IITians carryout aquaponics & hydroponics farming. The company grows more than 40 varieties of exotic plants and vegetables which are sent across various cities in India. This success of the company shows that corporate farming can also be conducted on relatively small scale of land.

INTERNATIONAL

• An FAO report documents a success story of contract farming in Kenya about the South Nyanza Sugar Company (SONY) in Kenya.
• The company places a strong emphasis on field extension services to its 1 800 contracted farmers, at a ratio of one field officer to 65 sugar-cane growers. The extension staff’s prime responsibilities are focused on the managerial skills required when new techniques are introduced to SONY’s farmers. These include transplanting, spacing, fertilizer application, cultivation, and harvesting practices. Also, SONY promotes farmer training programmes and organizes field days to demonstrate the latest sugar-cane production methods to farmers.

CHALLENGES IN CORPORATE AND CONTRACT FARMING

CORPORATE FARMING

• The land ceiling laws in states put restrictions on the landholding size. Also, there are problems with the acquisition of agricultural land on a large scale.
• Since the companies would offer prices that may be too tempting for the poor farmers to resist. They may not be able to negotiate fair prices for their land. Landowners, therefore, would run the risk of becoming landless
• Tenant farmers, Agri laborers’ women or children, may run the risk of losing access to land and therefore food security and social status. This has serious gender implications in an already gender-biased rural context.
• When governments transfer wastelands to corporates either on sale or on a lease, often it is found that they include Common Property Resources in it. Thus there is popular resistance against such transfer of land.
• The benefits of efficiency, productivity, and greater capital formation through corporate farming are not supported by conclusive evidence.
• Corporate farming needs large land parcels which require land consolidation. But highly fragmented nature of the Indian Agri landscape makes this process extremely difficult.
• Also, there are challenges of diversion of land into non-agri purposes, environmental degradation, monopolistic behavior, etc.

CONTRACT FARMING

• The manner of the passage of farm bills without adequate discussion in parliament and consultation with states created a hostile atmosphere in the country about contract farming, especially among farmers.
• Only last year, a few Gujarat farmers were sued for more than Rs 1 crore for illegally growing and selling a potato variety registered by PepsiCo. The incidence left a question mark over the future of contract farming in which resource-poor farmers were pitted against a powerful multinational.
• Price settings are not transparent and both producers and consumers are often cheated. Word-of-mouth contracts are observed in the breach. Thus farmers often become apprehensive to enter into contracts.
• Small and marginal farmers may not benefit from the contract farming system as they cannot provide the farm produce in such large quantities. Thus it is often criticized for bias towards large farmers.
• It may lead to a situation of Monopsony in the Agri market having only one buyer and multiple sellers (farmers). This distorts competition and efficient price discovery in the economy.
• The dispute resolution mechanisms provided under the state laws or in the current Union law have numerous complexities which can disincentive the stakeholders to enter into contract farming.

INTERNATIONAL EXPERIENCES: A LEARNING CURVE

• Around 9 states in the USA have enacted laws to prevent or restrict corporate farming. Yet the U.S. agriculture suffers from abnormally high levels of concentration. It means just a handful of corporations control nearly all of the food production, processing, and distribution.
• If the concentration ratio is above 40%, economists believe competition is threatened and market abuses are more likely to occur. Almost every sector in agriculture is well above these levels.
• The razor-thin profit margins on which farmers are forced to operate often push them to “get big or get out”—either expanding into mega-operations or leaving the land altogether
• Studies in the USA indicate that farmers are pressurized by corporations; they are paid low prices for their products such as soya, wheat, and maize, and they pay high prices for seeds, pesticides, energy, fertilizers, and animal feed.
• In the case of the developing world, many Brazilian farmers are indebted to the American corporate giant Bunge; which now has a claim on their harvest and land. Land grabbing has particularly affected Africa and South America where small-scale farming families are brutally evicted from their lands and the area is sold or leased to foreign (private) investors.

WHAT SHOULD BE THE WAY FORWARD?

CRUCIAL ROLE OF GOVERNMENT

• The government and its agencies should play the role of a third party and as a facilitator between the farmers and the companies.
• It should not act as a mouthpiece for the companies but must ensure the landowners/farmers receive a fair deal. This is crucial in the current scenario of farmer’s prolonged agitation against the recently enacted farm laws.

ADDRESSING ISSUES OF DOMINATION

• Competition in the agricultural systems across the value chains should be ensured through proper regulation.
• The role of the Competition Commission of India becomes vital in this regard which needs to develop strategies and rules to prevent abuse of dominant position in the food economy.

ENSURING FOOD SECURITY

• Food security including nutrition security for millions of poor Indians impinges on affordability and accessibility of food.
• Corporate and contract farming poses a threat to these aspects by excessive profiteering by the companies. Government must ensure that PDS and MSP operations must not suffer due to private participation in agriculture.

ADDRESSING ENVIRONMENTAL CONCERNS

• The threats of monoculture, land and water pollution, global warming, and poisoning of food chains through bioaccumulation, etc need to be addressed. This requires effective control of land-use change and a comprehensive environmental management plan.

PROTECTING AGRICULTURAL DIVERSITY

• Different foods and food groups are good sources for various macro and micronutrients. Thus a diverse diet best ensures nutrient adequacy and human health.
• This requires that the corporations must be prevented from destroying the Agri diversity by an extreme emphasis on economies of scale through intensive agriculture.

INTRODUCING POLICY CLARITY

• The National Agriculture Policy 2010 aims at increasing private participation in agriculture for a sustainable Agri growth of 4 % per annum.
• Thus the government needs to come out with specific policies dealing with corporate farming and also address the concerns of all stakeholders concerning the legal aspects of contract farming.

PARTNERSHIP WITH STATES

• Agriculture is a state subject and the legal/policy measures taken at the union level should be built on consensus building with states.
• Also, the states must revisit/modify the land ceiling and tenancy regulations along with enacting/reforming laws related to private sector participation in the agricultural system.
• States must encourage the utilization of NABARD’s special to refinance packages for contract farming arrangements aimed at promoting increased production of commercial crops and creation of marketing avenues for the farmers.

CONCLUSION: The need for greater involvement of private players in the agriculture sector is a foregone conclusion. But the debate is about the manner and the extent of the participation. In the quest for greater capital formation and improved agriculture production and productivity, the dysfunctional aspects of corporate and contract farming must not be neglected. A comprehensive policy regime rooted in the ethos of “the last man on the street” formulated through wide-ranging and effective participation of all relevant stakeholders can take agriculture to new heights in India.

HEALTH ISSUES

1. EXPERIMENTAL ALZHEIMER’S DRUG FROM ROCHE FAILS IN TRIALS

THE CONTEXT: According to a study by the pharmaceutical company, the Roche’s Alzheimer’s drug candidate could not be shown to slow dementia progression in two drug trials.

THE EXPLANATION:

The study

• According to the twin studies, known as Graduate 1 and 2, had not reached their main goal of showing that the drug gantenerumab could preserve abilities such as remembering, solving problems, orientation and personal care in patients suffering from early stages of Alzheimer’s disease.
• The Swiss drugmaker conducted two identically designed studies, each with about 1,000 participants, who were examined and queried by physicians over more than two years. Within each study, volunteers were randomly assigned to receive either the injectable antibody drug gantenerumab or a placebo.
• The drug was associated with a relative reduction in clinical decline of 8 per cent in Graduate 1 and 6 per cent in Graduate 2 compared with the placebo, but those results were not statistically reliable.
• Gantenerumab is a fully human IgG1 antibody designed to bind with subnanomolar affinity to a conformational epitope on Aβ fibrils. It encompasses both N-terminal and central amino acids of Aβ. The therapeutic rationale for this antibody is that it acts centrally to disassemble and degrade amyloid plaques by recruiting microglia and activating phagocytosis.

VALUE ADDITION:

Alzheimer’s Disease:

• Alzheimer’s disease is a progressive neurologic disorder that causes the brain to shrink (atrophy) and brain cells to die.
• The disease is the most common cause of dementia – a continuous decline in thinking, behavioural and social skills that affect a person’s ability to function independently.

Caused by: Alzheimer’s disease is thought to be caused by the abnormal build-up of proteins in and around brain cells.

• One of the proteins involved is called amyloid, deposits of which form plaques around brain cells.
• The other protein is called tau, deposits of which form tangles within brain cells.

Vulnerability: Alzheimer disease most commonly affects older adults, but it can also affect people in their 30s or 40s.

Cases:

• According to WHO estimates for 2017, dementia affects approximately 50 million people worldwide, a number that is projected to grow to 82 million by 2030.
• In India, it is estimated that 5.3 million people (1 in 27) above the age of 60 have dementia in 2020. This is projected to rise to 7.6 million by 2030.

SOCIAL ISSUES AND SOCIAL JUSTICE

2. UNITED NATIONS POPULATION FUND REPORT

THE CONTEXT: The United Nations recently revealed that the world population has reached 8 billion mark. India is the largest contributor to the milestone, having added 177 million people.

THE EXPLANATION:

• The UN also noted that China, which added 73 million people, the projection is its contribution to the next billion in the global population is to be in the negative. This means the most populous country would now contribute in negative to the world population.
• the UN’s World Population Prospects 2022 report has also specified tat eight countries will be the biggest contributors in the next billion mark population rise. This includes India, Pakistan, Egypt, Congo, Ethiopia, Nigeria, Philippines, and Tanzania.
• According to a report half of the population still lives in just seven countries: China, India, the US, Indonesia, Pakistan, Nigeria and Brazil. While the world’s population will continue to grow to around 10.4 billion in the 2080s, the overall rate of growth is slowing down.
• The UN warned that India may soon surpass China to become the most populated country in the world. However, the UN also stated that the population growth in India is stablising than understood previously.
• “The good news is that India’s population growth appears to be stabilising. The Total Fertility Rate — more or less the average number of children born per woman — has declined from 2.2 to 2.0 at the national level”.
• Population growth has become increasingly concentrated among the world’s poorest countries, most of which are in sub-Saharan Africa.

Good record

• A total of 31 States and Union Territories (constituting 69.7% of the country’s population) have achieved fertility rates below the replacement level of 2.1, it said.
• The main reasons for the decline in fertility include increase in adoption of modern family planning methods (from 47.8% in 2015-16 to 56.5% in 2019-21) and a reduction in unmet need for family planning by four percentage points over the same period. “This indicates significant improvements in access to family planning related information and services. In summary, it shows that India’s national population policies and health systems are working”.
• India is a youthful nation with the largest cohort of young people anywhere in the world, with major potential to achieve its demographic dividend. While many parts of the world are ageing, India’s youthful population can be a global resource to solve global problems.

INTERNATIONAL RELATIONS

3. EAST TIMOR TO BECOME 11TH MEMBER OF ASEAN

THE CONTEXT: The AEAN members agreed in principle to admit East Timor as the 11th member of the bloc.

THE EXPLANATION:

What is ASEAN?

The Association of Southeast Asian Nations (ASEAN) is a regional bloc founded on August 8, 1967 in Bangkok, Thailand. Its member states are Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. East Timor was added as a new member of this regional grouping.

About East Timor

• Timor Leste or East Timor is a half-island nation in the eastern Lesser Sunda Islands. It is situated at the southern extreme of the Malay Archipelago. It occupies the eastern half of the Island of Timor. It is bounded by the Timor Sea to the southeast, the Wetar Strait to the north, the Ombai Strait to the northwest and the western Timor (part of Indonesian territory) to southwest.
• East Timor that was previously part of Indonesian territory. Indonesia occupied the island nation in 1976. Hundreds of thousands have died on the island while resisting the annexation of Indonesia. Due to the global pressure, the Indonesian government authorized a referendum in 1999 to determine future of East Timor. In the UN-supervised referendum, the country voted to secede from Indonesia. It was recognized by the United Nations in 2002. This makes it the youngest democracy in Asia.

East Timor and ASEAN
East Timor started applying for ASEAN membership in 2011. The ASEAN decided to admit the island nation as its 11th member more than a decade after Timor-Leste requested membership. This decision was made at Cambodia’s capital, Phnom Penh, where the 40th and 41st ASEAN and related summits officially began recently. East Timor was granted observer status at ASEAN meetings, including summit plenaries, until it is formally inducted into the regional bloc.

4. EAST ASIA SUMMIT

THE CONTEXT: Vice President recently addressed the East Asia Summit on the last day of his visit to Cambodia, as the three-day Association of South East Asian Nations (ASEAN) summit concluded.

THE EXPLANATION:

What is the East Asia Summit?

• Beginning in 2005, 16 participating countries comprised this grouping, with their first meeting in Kuala Lumpur, Malaysia. These members were the 10 ASEAN countries,Australia, China, India, Japan, New Zealand, and the Republic of Korea.
• ASEAN’s 10 member countries are Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The United States and the Russian Federation joined at the 6th East Asia Summit in 2011.
• The EAS is an ASEAN initiative and refers to the annual Meeting of Heads of States/Governments of these countries, where they are able to discuss common concerns and interests
• Its creation was based on the idea of enhancing cooperation among East Asian countries and those in the neighbouring regions. Six priority areas of cooperation were identified – environment and energy, education, finance, global health issues and pandemic diseases, natural disaster management, and ASEAN Connectivity.
• In the past, the issues of claims over the South China Sea, the United Nations Convention on the Law Of the Sea, terrorism, the actions of North Korea and the conflict situation in Myanmar have been discussed by the countries.

What are the EAS’s links with India?

• This (2022) year marks the 30th anniversary of ASEAN-India relations and is being celebrated as the ASEAN-India Friendship Year.
• In a joint statement, ASEAN-India acknowledged the deep civilisational linkages, maritime connectivity, and cross-cultural exchanges between Southeast Asia and India which have grown stronger over the last 30 years, providing a strong foundation for ASEAN-India relations.
• Vice President announced an additional contribution of USD 5 million to the ASEAN-India science and technology fund to enhance cooperation in sectors of public health, renewable energy and smart agriculture.
• According to a 2021 statement by the Prime Minister’s website, “ASEAN-India Strategic Partnership stands on a strong foundation of shared geographical, historical and civilizational ties. ASEAN is central to our Act East Policy and our wider vision of the Indo-Pacific.”

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

5. GLOBAL SHIELD AGAINST CLIMATE RISKS INITIATIVE

THE CONTEXT: The Global Shield Against Climate Risks initiative was launched on November 14, 2022 by the Vulnerable Twenty (V20) countries and G7 countries. While V20 countries represent 58 countries that are vulnerable to climate change, the G7 represent seven of the world’s most industrialized countries.

THE EXPLANATION:

About the initiative

• The Global Shield Against Climate Risks initiative was launched at the 27th Conference of Parties (COP27) to the United Nations Framework Convention on Climate Change in Sharm El-Sheikh, Egypt.
• It is a social protection and insurance-based finance mechanism for loss and damage outside the UNFCCC process.
• It will provide pre-arranged financial aid that can be rapidly deployed to respond to disasters like the devastating flood that occurred in Pakistan in August 2022.
• It will help expand the financial protection instruments for governments, communities, businesses and households.
• These instruments will minimise the impacts of disasters by helping vulnerable economies become more resilient, ensure sustainable development and protect lives and jobs.

How will the initiative be implemented?

• The initiative will be implemented in a way that it aligns with the vulnerable country’s financial and economic strategies so that the financing gaps are removed. This initiative will support countries in ensuring livelihood protection, social protection systems, livestock and crop insurance, property insurance, business interruption insurance, risk-sharing networks and credit guarantees. The support will be provided at the level of government, humanitarian agencies and non-profits so that the finances are present whenever necessary.
• Pakistan, Bangladesh, Costa Rica, Fiji, Senegal, Philippines and Ghana will be the first to receive assistance under this initiative. The initial contributions for this initiative are provided Germany, Denmark, Ireland and Canada. The US, which is also part of this initiative, is providing funding for the African Risk Capacity – an insurance and disaster risk solutions company. Other countries like the UK and the international organizations like the UNDP and the UN Office of Disaster Risk Reduction are also backing this initiative.

GOVERNMENT SCHEMES IN NEWS

6. POSOCO RENAMED AS “GRID CONTROLLER OF INDIA LIMITED”

THE CONTEXT: India’s national grid operator Power System Operation Corporation Limited (POSOCO) was renamed as Grid Controller of India Limited.

THE EXPLANATION:

About Grid Controller of India Limited (Grid-India)

• The Grid Controller of India Limited (Grid-India) is a wholly owned central government enterprise that comes under the aegis of the Ministry of Power.
• Previously, it was a fully owned subsidiary of the Power Grid Corporation of India Limited (Powergrid) – the central public sector undertaking (PSU) owned by the Union Power Ministry.
• It was set up in March 2009 to take care of the power management functions of the PGCIL.
• It was later made a separate company, with PGCIL being involved only in setting up transition link.
• Grid-India, as a separate company, was given the load despatch functions. It oversees the operations of the national load despatch centre (NLDC) and 5 regional load despatch centres (RLDCs). The NLDC is the apex body that ensures the integrated operation of national power system.
• Grid-India currently works as the nodal agency for major reforms in the power sector like the implementation and operation of Green Energy Open Access Portal, Renewable Energy Certificate (REC) Mechanism, transmission pricing, short-term open access in transmission, deviation settlement mechanism, Power System Development Fund (PSDF) and others.

Why was the name changed?

• The name was changed to reflect the important role played by the grid operators in ensuring integrity, reliability, resilience and sustainable operation of the Indian electricity grid. It also points to the unique position held by the Grid-India in connecting people to energy they use. The name reflects the functions performed by the grid managers in India at the national and state levels.
• It also explains the role played by the Grid-India in the country’s transition towards renewable energy. It also reflects the vision of the PSU to become a “global institution of excellence for reliable and resilient power systems, fostering efficient electricity markets, promoting economy and sustainability”.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. Consider the following statements about Atal Tunnel:
1. It is located near Baralacha La pass in Himachal Pradesh.
2. It provides all weather connectivity from Manali to Lahaul and Spiti valley.
Which of the statements given above is/are correct?
a) 1 only
b) 2 only
c) Both 1 and 2
d) Neither 1 nor 2
Answer: B
Atal Tunnel:

• It is located near Rohtang pass in Himachal Pradesh.
• It provides all weather connectivity from Manali to Lahaul and Spiti valley.

1. The paradox of sacrifice READ MORE
2. A Positive Engagement READ MORE

1. A tigress entered Almora from Corbett and was shot; Where is the accountability? READ MORE
2. Health as the focus of air pollution policy READ MORE
3. Joint effort. ‘Water credits’ can fund climate needs READ MORE

1. Focus is on education, conserving culture & customs READ MORE
2. Is climate change affecting global health? READ MORE  

1. Chasing utopia — the quest for a Uniform Civil Code READ MORE
2. Earning the ticket: Dropping underperforming MLAs is good practice. But it’s possible only in parties with strong leadership READ MORE
3. Electoral reforms must in all quarters READ MORE
4. JUDICIAL REFORM: A DAUNTING DECELERATION READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. Xi urges better ties in rare summit with Australia READ MORE
2. Nine Russian banks open Vostro accounts for rupee trade READ MORE
3. India’s population growth appears to be stabilising: UN READ MORE
4. In worst slide since 2020, October exports drop 16.7% to $29.78 bn READ MORE
5. Kashi Tamil Sangamam begins Thursday: What is the ancient connect between Kashi and the Tamil land? READ MORE
6. India abstains on UNGA resolution calling for Russia to pay reparations to Ukraine READ MORE
7. Data protection Bill revised: Penalty up to Rs 200 crore if firms don’t have safeguards READ MORE
8. State of the Climate in Asia 2021 READ MORE
9. Explained | Google’s 1,000 language AI model READ MORE

Main Exam

GS Paper- 1

1. Focus is on education, conserving culture & customs READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Chasing utopia — the quest for a Uniform Civil Code READ MORE
2. Earning the ticket: Dropping underperforming MLAs is good practice. But it’s possible only in parties with strong leadership READ MORE
3. Electoral reforms must in all quarters READ MORE
4. JUDICIAL REFORM: A DAUNTING DECELERATION READ MORE

SOCIAL ISSUES

1. Is climate change affecting global health? READ MORE  

INTERNATIONAL ISSUES

1. G20: India’s development model can lead the way READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. The shape of the Indian economic pie must change READ MORE
2. RBI should pause rate hikes, boost growth READ MORE
3. Can India Seize the Demographic Advantage? READ MORE

ENVIRONMENT AND ECOLOGY

1. A tigress entered Almora from Corbett and was shot; Where is the accountability? READ MORE
2. Health as the focus of air pollution policy READ MORE
3. Joint effort. ‘Water credits’ can fund climate needs READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. The paradox of sacrifice READ MORE
2. A Positive Engagement READ MORE

Questions for the MAIN exam

1. ‘The EWS quota is unfair because it twists the idea of social justice by bequeathing further privilege to communities who are historically situated to benefit from the caste system’. How far do you agree with this view? Analyse your views.
2. ‘The agriculture of tomorrow is going to be science-based, and the winners will be those who adopt it and develop it further today’. In the light of this statement, discuss whether India should start genetically modified cropping?
3. ‘The US is welcome to cement its partnership with India in various sectors, but it is well advised not to dictate terms to the latter with regard to Russia’. Comment on the statement in the light of recent developments in International politics.

QUOTATIONS AND CAPTIONS

• You cannot spend your way out of recession or borrow your way out of debt.
• With S&P Global’s latest Business Outlook survey pointing to an intensification of wage pressures and producer pass-through of costs, authorities can ill-afford to drop their guard in the fight against inflation.
• A discussion on the viability of an otherwise unenforceable UCC has been made possible only because it finds an inscrutable mention in the Directive Principles of State Policy.
• The majority needs to benefit much faster than a tiny minority on top, which will require reforms of institutions and economic ideology and the Government listening to the needs of common citizens.
• India’s long-term strategy for low carbon development is consistent with its net-zero targets and outlines a road map for key industries.
• As the second highest user of freshwater in the country, industry can use its CSR funds imaginatively so that conservation gains are maximized.
• Water credits represent a fixed quantum of water that is conserved or generated and can be transacted between water deficit and water surplus entities within a sub-basin.
• To make the electoral system free and fair in the world’s largest democracy, the use of money and muscle power must be curbed in the Indian context.
• Without an efficient justice delivery system and a subsisting rule of law, a country’s development would be a utopian thought only.
• Judicial Infrastructure of our country has not improved & paced up to achieve the desired level since the British period.
• The demand for justice and change in the justice delivery system cannot be suppressed or ignored in the manner it is perverting in India. It needs to be enhanced with technology for curtailing the cost and the barrier of language in the Indian judicial system.
• The demand for justice and change in the justice delivery system cannot be suppressed or ignored in the manner it is perverting in India. It needs to be enhanced with technology for curtailing the cost and the barrier of language in the Indian judicial system.
• Paramount change in the existing law and adequate judicial infrastructure is required to accelerate the judicial system, to deliver qualitative, speedy justice to the citizens of India by saving millions of lives from being frustrated with the judicial system and the process of access to justice.
• In the new India, access to justice is the privilege of the powerful and rich people. Poor people are still suffering from the quantum of injustice which begins with a traffic constable up to the Supreme Court.

50-WORD TALK

• India’s COP27 commitment to raise its installed nuclear power capacity by threefold by 2032 as part of its long-term low-carbon development strategy is encouraging. India’s nuclear sector has enormous potential to expand but overcautious government plans have crawled. Nuclear is expensive, which’s where rich countries should step in and help.

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 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 368]

THE CONTEXT: Recently the Government of India has passed three farm bills that are being widely criticised by many farmer organisations. The farm bills are criticised for being pro market reforms that has the potential of harming farmer’s interest in the long run.

HISTORICAL BACKGROUND

• Since 1991, economic liberalisation and reforms by successive governments across the political spectrum – except during the lost decade of 2004-14 – have enabled a return to these core economic principles.
• That these timeless principles – advocated in as disparate Indian literature as the Arthashastra and the Thirukural – work is seen in the enormous prosperity well-regulated markets have delivered since 1991. Even the Chinese economic miracle is testimony to the role of markets in enabling economic prosperity for citizens.

WHAT IS FARM BILL 2020?

• In September 2020, the Indian government passed three agricultural bills, which are – Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bil, 2020, Farmers (Empowerment and Protection) Agreement of Price Assurance, Farm Services Bill, 2020, and the Essential Commodities (Amendment) Bill, 2020.
• The new farmers’ bill allows the farmers to sell their products directly to private buyers breaking the monopoly of man is regulated by the government. The people get empowered to get into a legal deal with the companies and produce agro-products for them. The farmers’ bill India also allows stocking of food articles by the agri-businesses removing the ability of the government to impose arbitrarily.

The three farm acts:

1.Farmer’s Produce Trade and Commerce (Promotion and Facilitation) Act, 2020

• This act allows farmers to engage in trade of their agricultural produce outside the physical markets notified under various state Agricultural Produce Marketing Committee laws (APMC acts). Also known as the ‘APMC Bypass Bill’, it will override all the state-level APMC acts.
• Promotes barrier-free intra-state and inter-state trade of farmer’s produce.
• Proposes an electronic trading platform for direct and online trading of produce. Entities that can establish such platforms include companies, partnership firms, or societies.
• Allows farmers the freedom to trade anywhere outside state-notified APMC markets, and this includes allowing trade at farm gates, warehouses, cold storages, and so on.
• Prohibits state governments or APMCs from levying fees, cess, or any other charge on farmers produce.
• The three farm acts are likely to have a significant impact on farmers and agriculture in the country.

2. Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Act, 2020

• The act seeks to provide farmers with a framework to engage in contract farming, where farmers can enter into a direct agreement with a buyer (before sowing season) to sell the produce to them at pre-determined prices.
• Entities that may strike agreements with farmers to buy agricultural produce are defined as “sponsors’’ and can include individuals, companies, partnership firms, limited liability groups, and societies.
• The act provides for setting up farming agreements between farmers and sponsors. Any third parties involved in the transaction (like aggregators) will have to be explicitly mentioned in the agreement. Registration authorities can be established by state governments to provide for electronic registry of farming agreements.
• Agreements can cover mutually agreed terms between farmers and sponsors, and the terms can cover supply, quality, standards, price, as well as farm services. These include supply of seeds, feed, fodder, agro-chemicals, machinery and technology, non-chemical agro-inputs, and other farming inputs.
• Agreements must have a minimum duration of one cropping season, or one production cycle of livestock. The maximum duration can be five years. For production cycles beyond five years, the period of agreement can be mutually decided by the farmer and sponsor.
• Purchase price of the farming produce—including the methods of determining price—may be added in the agreement. In case the price is subject to variations, the agreement must include a guaranteed price to be paid as well as clear references for any additional amounts the farmer may receive, like bonus or premium.
• There is no mention of minimum support price (MSP) that buyers need to offer to farmers.
• Delivery of farmers’ produce may be undertaken by either parties within the agreed time frame. Sponsors are liable to inspect the quality of products as per the agreement, otherwise they will be deemed to have inspected the produce and have to accept the delivery within the agreed time frame.
• In case of seed production, sponsors are required to pay at least two-thirds of the agreed amount at the time of delivery, and the remaining amount to be paid after due certification within 30 days of date of delivery. Regarding all other cases, the entire amount must be paid at the time of delivery and a receipt slip must be issued with the details of the sale.
• Produce generated under farming agreements are exempt from any state acts aimed at regulating the sale and purchase of farming produce, therefore leaving no room for states to impose MSPs on such produce. Such agreements also exempt the sponsor from any stock-limit obligations applicable under the Essential Commodities Act, 1955. Stock-limits are a method of preventing hoarding of agricultural produce.
• Provides for a three-level dispute settlement mechanism: the conciliation board—comprising representatives of parties to the agreement, the sub-divisional magistrate, and appellate authority.

3. Essential Commodities (Amendment) Act, 2020

• An amendment to the Essential Commodities Act, 1955, this act seeks to restrict the powers of the government with respect to production, supply, and distribution of certain key commodities.
• The act removes cereals, pulses, oilseeds, edible oils, onion, and potatoes from the list of essential commodities.
• Government can impose stock holding limits and regulate the prices for the above commodities—under the Essential Commodities, 1955—only under exceptional circumstances. These include war, famine, extraordinary price rise, and natural calamity of grave nature.
• Stock limits on farming produce to be based on price rise in the market.  They may be imposed only if there is: (i) a 100 percent increase in retail price of horticultural produce, and (ii) a 50 percent increase in the retail price of non-perishable agricultural food items. The increase is to be calculated over the price prevailing during the preceding twelve months, or the average retail price over the last five years, whichever is lower.
• The act aims at removing fears of private investors of regulatory influence in their business operations.
• Gives freedom to produce, hold, move, distribute, and supply produce, leading to harnessing private sector/foreign direct investment in agricultural infrastructure.

ARGUMENTS SUPPORTING THE FARM LAWS

The purpose of the new farm laws is to end the historic exploitation of farmers at the APMC markets and free them from the clutches of the middlemen.Farmers who sell their produce to mandi merchants, or ‘arhatiyas’, at agricultural produce market committee (APMC) markets still receive informal white slips with the transaction amount scribbled on them, making the record non-transparent.The purpose of the new farm laws is to end the historic exploitation of farmers at the APMC markets and free them from the clutches of the middlemen.

1. Economic history of exploitation at mandis

• Fifty-five years since the APMCs were introduced, the country’s farmers are still receiving a low share of the consumer’s rupee as indicated by an Reserve Bank of India study covering mandis in 16 states, 16 food crops and 9,400 farmers, traders, retailers.
• The farmers’ shares were 28 per cent for potato, 33 per cent for onion, 49 per cent for rice, an crop with minimum support price (MSP) guarantee.
• The provision of MSP alone will not ensure farmers to draw a greater share of the consumer’s rupee because supply is greater than demand.
• The demand is also influenced by schemes such as national food security mission, where food grains are offered free or at low prices. When rice and wheat are offered virtually free of cost, why will the consumer buy ragi, jowar, bajra at a higher price?
• Injecting competition by widening farm markets will benefit farmers which the three farm laws aim at.

2. Inefficiencies in APMCs

• The APMCs still don’t issue formal receipts which are supposed to mention the price, quantity or quality of the produce.
• Further, due to interlocked markets, farmers are forced to sell to those middlemen who they have borrowed money from, starting off a vicious circle of exploitation in times of distress sales.
• Buyers make a large income from informal lending. Such illegal paired with unfair deductions, undercover sales, cartels and collusions at APMCs have continued denying remunerative prices to the farmers.

3. Widened markets benefit farmers

• Due to green revolution technologies, supply has increased but is limited to APMCs for handling. This causes the prices to be capped at a lower value. Permission to buy or sell outside APMCs will benefit farmers by creating new supply or value chains.
• The nominal protection coefficient (domestic price divided by international price) for agriculture is 0.87. This implies that farmers can get at least 13 per cent higher prices in international markets by exporting.

4. Infringement of rights

• Farmers’ right to sell their produce to whomever, wherever, whenever and in whichever quantity cannot be infringed upon. The elasticity of price transmission between  that at APMCs and farmgate price (market value minus selling cost) is impressive. Thus, buyers outside APMC will have to compete with APMC prices and vice versa to attract farmers’ produce.

5. No interference with state

• Entry 26 of the state list enables states to regulate trade in agricultural commodities within their boundary. But this is subject to entry 33 in the concurrent list, which allows both the Centre and the states to frame these regulations.
• Such market reforms can double farmer incomes. Also, with Article 249, the Centre can enact law in national interest of saving farmers from exploitation by middleman.

6. Multiple markets and competition

• Allowing buyers outside APMC mandis promotes competition and halts exploitation. At present, while consumers are paying higher price, farmers are still receiving lower returns due to inefficiencies and imperfections. Thus, setting the markets right is crucial through the new laws.
• Unified market platform (UMP) in Karnataka resulted in increase of prices by 38 per cent. This implies that current market prices are depressed by 38 per cent due to lack of adequate competition. Opening up the markets can push the APMCs to offer competitive prices.
• Competition in procurement and distribution cost can also reduce from 30 per cent to 15 per cent.

7. Bihar’s impressive performance

• Economic reforms in Bihar in 2005 that removed the APMC act resulted in impressive agricultural and overall performance.
• Before 2005, Bihar’s economy grew at a rate of 5.3 per cent while India’s economy grew at 6.8 per cent. After the reforms, Bihar’s economy grew at 11.7 per cent with 4.7 per cent agriculture boost, while India’s economy grew at 8.3 per cent with agricultural growth at 3.6 per cent.
• Between the pre and post-reform period, average wholesale price of paddy increased by 126 per cent, maize by 81 per cent and wheat by 66 per cent.
• Considering the impact of reforms on crop output, in the pre-reforms (2000 to 2007) and post-reforms (2008 to 2015) period, the growth rates of output of field crops (1.53 per cent, 4.29 per cent) were higher than that of horticulture crops (-3.51 per cent, 2.85 per cent), with an impressive growth rate of overall output of agriculture and allied sectors (2.57 per cent, 4.66 per cent).

8. Contract farming

• Contract farming enabled farmers to offer produce at a predetermined price. When the market price is above contractual price, farmers have the liberty to sell at the higher price.
• Small farmers have benefitted more than large farmers in contract farming as income derived per acre was the highest for small farmers.

9. Agriculture markets starved of 3Cs

• Agricultural markets are starved of capital, competition and commitment. Capital injection postpones operation of the law of diminishing marginal returns.
• The gross private capital formation in agriculture is 75 per cent. Investment in marketing infrastructure, processing, logistics benefits society, where private sector has potential. For these, political will is crucial and hence, the Union government should not repeal the three laws.
• New provisions of Essential Commodities Act enable scale economies in agricultural marketing attract private sector investment.

10. National overseeing authority

• Farmers cannot be left to the free will of competitive markets due to skewed asset distribution. A national body, national agricultural marketing board similar to TRAI and SEBI, needs to be created to enhance the bargaining power of farmers and protect them, along with purchasers, sellers and consumers from possibilities of exploitation.

WHY ARE THE FARMERS PROTESTING AGAINST THE FARM BILLS?

• More than half of all government procurement of wheat and paddy in the last five years has taken place in Punjab and Haryana, according to Agriculture Ministry data. More than 85% of wheat and paddy grown in Punjab, and 75% in Haryana, is bought by the government at MSP rates. Farmers in these States fear that without MSPs, market prices will fall.
• These States are also most invested in the APMC system, with a strong mandi network, a well-oiled system of arthiyas or commission agents facilitating procurement, and link roads connecting most villages to the notified markets and allowing farmers to easily bring their produce for procurement. The Punjab government charges a 6% mandi tax (along with a 2.5% fee for handling central procurement) and earns an annual revenue of about ₹3,500 crore from these charges.
• The very right of the Centre to enact legislation on agricultural marketing. Article 246 of the Constitution places “agriculture” in entry 14 and “markets and fairs” in entry 28 of the State List. But entry 42 of the Union List empowers the Centre to regulate “inter-State trade and commerce”. While trade and commerce “within the State” is under entry 26 of the State List, it is subject to the provisions of entry 33 of the Concurrent List – under which the Centre can make laws that would prevail over those enacted by the states.
• Entry 33 of the Concurrent List covers trade and commerce in “foodstuffs, including edible oilseeds and oils”, fodder, cotton and jute. The Centre, in other words, can very pass any law that removes all impediments to both inter- and intra-state trade in farm produce, while also overriding the existing state APMC Acts.

ISSUE REGARDING THE BILL

• Yes, there were many flaws in the decades old APMC Act, but critics believe that the need was to plug the loopholes instead of introducing a new system altogether. A similar system has already been introduced in America and some European countries where it has failed miserably, we can only hope this does not happen in India and government will not repeat those mistakes.
• From the attitude of government, the stand of government is very clear that it is not going to change anything because already it has been termed as Masterstroke. Right now, it is just an Act both are results are possible; farmers income becomes double as said by the government, or their conditions worsen as feared by farmers. History is the best judge. While the intent of Government is laudable, we will be able to see the results of these new Acts after few years only. Right now, everything is just a speculation.
• The  bill have triggered strong protests all over the country. Let’s have a look at the issues that are triggering so many protests across the nation.
• These new farmers’ bills might end MSP or minimum support prices and this bothers the farmers.
• Another concern is the lack of bargaining capability with big companies. The people involved in farming might get the freedom to deal with the biggest of the companies but due to the lack of knowledge, he/ she might not be able to negotiate the best possible terms.
• Outside the mandis or government-regulated markets, there is hardly any regulation, and grievance re-dressal system is also not present there.
• The new farmers’ bill may weaken the APMC system which is considered to be very helpful for small farmers.
• As per the suggestions of agricultural economists, the focus should be given on strengthening APMCs rather than transferring everything to private entities.
• Many are fearing that the people involved in agriculture might be turned into slaves due to contractual farming.
• Due to the removal of restrictions on food storage, big companies may store agro products in huge quantities and create artificial hikes in price.

WAY FORWARD

Three fundamental reforms are necessary to make India’s growth more just and more inclusive.

• The first is, policymakers must listen to the less powerful people in markets. Therefore, institutions that represent small people — associations and unions of farmers, informal workers and small enterprises — must be strengthened, not repressed. When reforms are supposedly in their interests, they have a right to be heard.
• The second is the formation of cooperatives of producers and workers. By aggregating the small into larger-scale enterprises owned by themselves, not only do the producers have more power in negotiations with their buyers, suppliers, and with government, they are also able to retain a larger part of the value they generate and increase their own incomes and wealth. Government regulations must encourage the formation of strong cooperatives, and improve their ease of doing business.
• The third is, market reformers must clean up their ideological lenses and see the reality of where power lies in markets. As Barbara Harriss-White, a scholar of India’s agricultural markets once observed, “deregulated imperfect markets may become more, not less, imperfect than regulated imperfect markets.”

CONCLUSION:

• Farmers are debt ridden, starved of funding and of assured price mechanism. The three legislations if taken together accentuate the crisis even further. In the absence of a guaranteed support price mechanism, the legislations even fail to mention a very strong support for the MSP as a benchmark price as a fundamental condition for open agriculture trade and winding up of mandis.For years farmers have demanded statutory support price for their produce from the government.
• There is a need to restore the shaken confidence of the agrarian sector. In order for that to happen the government of India needs to give an iron clad guarantee on holding the price line 100% over and above the inflation-linked cost of production to the primary producer and not allowing any players to offer a price below that line to them. Only such a guarantee will ensure the confidence of the farmers in the system.
• We need to understand that if the country has to come out of her grave economic crisis, the answer does not lie in the economies of the urban or of the extractive economies of the capital. The answer decisively lies in the revival of the rural with dignity and respect. The country, it must be understood, cannot survive if the rural falls and chances of such an event happening today can only be averted with a considered policy response initiated with empathy and care.