1. What makes pleasure different from joy? READ MORE
2. Empathy and compassion READ MORE
3. Science vs religion-I READ MORE
4. Science vs religion-II READ MORE

1. At COP27, one hit and many misses READ MORE
2. COP27: 18 countries join group on cryosphere loss, see it as major contributor to sea-level rise READ MORE
3. Look beyond COP for climate action READ MORE

1. Strategy to save: On the National Suicide Prevention Strategy READ MORE
2. Can India Seize the Demographic Advantage? READ MORE  

1. Persisting issues: On the new data protection bill READ MORE
2. The dissenting judgment versus the razing of equality READ MORE
3. A solution to the problem of judicial pendency, posed by the law minister – don’t mechanically arrest a suspect READ MORE
4. The executive-judiciary tussle READ MORE
5. Fair deal for EWS, thanks to the SC READ MORE
6. Prosecution’s slapdash approach in graft cases READ MORE
7. Polls and consequences READ MORE
8. Aadhar Act to Data Protection Bill—Parliament isn’t playing a big role in lawmaking READ MORE

(Newspapers, PIB and other important sources)

Prelim and Main

1. In Arittapatti, Tamil Nadu gets its first biodiversity heritage site READ MORE
2. Six killed in firing; Meghalaya, Assam differ on details of clash READ MORE
3. India’s fiscal consolidation trend intact; to see strong revenues, debt stabilisation, says Moody’s READ MORE
4. Supreme Court calls out Centre over short tenures of Chief Election Commissioners READ MORE
5. Australian Parliament clears path for free trade agreement with India READ MORE
6. India’s unusual abstention in CITES vote on reopening ivory trade READ MORE
7. UN’s Highest Environmental Honour For Assam Conservationist Purnima Devi Barman READ MORE

Main Exam

GS Paper- 1

1. Strategy to save: On the National Suicide Prevention Strategy READ MORE

GS Paper- 2

POLITY AND GOVERNANCE

1. Persisting issues: On the new data protection bill READ MORE
2. The dissenting judgment versus the razing of equality READ MORE
3. A solution to the problem of judicial pendency, posed by the law minister – don’t mechanically arrest a suspect READ MORE
4. The executive-judiciary tussle READ MORE
5. Fair deal for EWS, thanks to the SC READ MORE
6. Prosecution’s slapdash approach in graft cases READ MORE
7. Polls and consequences READ MORE
8. Aadhar Act to Data Protection Bill—Parliament isn’t playing a big role in lawmaking READ MORE

SOCIAL ISSUES

1. Can India Seize the Demographic Advantage? READ MORE  

INTERNATIONAL ISSUES

1. The ‘India pole’ in international politics READ MORE
2. India-US relationship is on a strong footing READ MORE
3. Geopolitical rift at G20 meet READ MORE
4. World against terror: Global effort a must to demolish terror networks READ MORE

GS Paper- 3

ECONOMIC DEVELOPMENT

1. Explained | RBI’s concerns on slow deposit growth READ MORE
2. Human capital. Why informal employment poses a major challenge for India READ MORE
3. Smooth flow: Inland waterways have benefits in terms of cost and the environment READ MORE
4. Soaring Bad Loans, Abysmal Recoveries Show Bankruptcy Code Is Itself Bankrupt READ MORE

ENVIRONMENT AND ECOLOGY

1. At COP27, one hit and many misses READ MORE
2. COP27: 18 countries join group on cryosphere loss, see it as major contributor to sea-level rise READ MORE
3. Look beyond COP for climate action READ MORE

GS Paper- 4

ETHICS EXAMPLES AND CASE STUDY

1. What makes pleasure different from joy? READ MORE
2. Empathy and compassion READ MORE
3. Science vs religion-I READ MORE
4. Science vs religion-II READ MORE

Questions for the MAIN exam

1. How far do you agree with this view that anti-conversion laws are not coherent with fundamental rights and breach the right to privacy of individuals? Analyse your view with the help of relevant examples.
2. ‘If India is to seize the advantage of its burgeoning young workforce, it needs to strategically implement economic and industrial policies’. Comment.
3. The role of Parliament in drafting laws has been diminishing in recent times and India seen the rise of administrative state. Critically examine.

QUOTATIONS AND CAPTIONS

• The best social reform in the world is a job.
• If India is to seize the advantage of its burgeoning young workforce, it needs to strategically implement economic and industrial policies.
• The Anti-Conversion law should be coherent with the fundamental rights guaranteed under the constitution and should not be based on vagaries.
• Only 13% recovery on loan defaults of Rs 10 lakh crore shows that all is not well with the operation of the bankruptcy reforms.
• There is no doubt the energies of India’s young women and men can be tapped to lift the entire country’s prospects. But this can be achieved only with strategic investments and interventions by the government, alongside well-directed social, employment and industrial policies.
• Parliament needs to take back its core responsibility of drafting legislation. It also needs to provide for adequate space for healthy debate on its proposed statutes.
• Government must form a committee comprising agency chiefs and prosecution to monitor high-profile cases.
• Institutional solutions on weighty issues like inter-institutional balancing and efficiency enhancement require a balanced, institutionalised approach.
• In the Supreme Court of India’s verdict on the case of the economically weaker section, it is the dissenting judgment that imparts strength to fight for the promise of equality forming the core of the Constitution.
• Notwithstanding the geopolitical difficulties that India faces today, India is a pivotal power in the Indo-Pacific and beyond, with an ability to help tackle security, climate and other challenges of global consequence.

ESSAY TOPIC

• The best social reform in the world is a job.

50-WORD TALK

• COP27 has ended with little to show in terms of progress, barring the creation of a loss and damage fund. The familiar attempts by rich, more polluting countries to obfuscate, distract and offload their responsibilities on developing countries spell trouble and tragedy for the planet. This is a cop-out.
• By seeking recall of Supreme Court orders setting free Prime Minister Rajiv Gandhi’s assassins, the central government has pushed back against a dangerous precedent. Ethnic and religious groups have long lobbied for lenient treatment of terrorists who kill in their name. India cannot afford to be soft on such claims.

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 372]

The Context: Amid widespread economic disruptions caused by Covid 19 pandemic, the discussions on Universal Basic Income (UBI) and its forms have gained momentum. Recently, NHRC had informed UNHRC that the idea of UBI is being actively considered by the Union government. UNDP, in a recent report, recommended immediate introduction of a Temporary Basic Income for the world’s poorest so that people could stay at home amidst rising number of cases.

What is UBI?

• According to Basic Income Earth Network (BIEN), “A basic income (BI) is a periodic cash payment unconditionally delivered to all on an individual basis, without means-test or work requirement.” (A means test determines eligibility of a person or household to receive welfare benefits)
• Basic income (BI) is a fixed income an adult receives from government by the virtue of being citizen. It is “basic” because it is just enough to provide for basic consumption and income security. The idea is that a society should look out for its people’s survival.
• UBI has three components: universality, unconditionality, and agency(by providing support in the form of cash transfers to respect, not dictate, recipients’ choices).

What are different forms of UBI?

• Forms vary on the funding proposal, the level of payment, the frequency of payment, and the particular policies proposed around it.
• Each of the parameters (a universal, unconditional, individual, regular and cash payment) is fundamental.
• In Indian discussions, the term is frequently used but most discussions revolve around some sort of a Quasi UBI which is based on exclusion rather than inclusion criteria. (The rich are excluded rather than including the poor).
• A Guaranteed Basic Income is a guaranteed, non-universal income transfer to the poor which is enough to provide for their basic needs. Its only difference with UBI is ‘universality’.

Defining characteristics of UBI

• Periodic
• Cash payment
• Universal
• Individual
• Unconditional

DIFFERENT UBI PROPOSALS

Universal Basic Income (UBI)

An unconditional cash transfer to all residents in a country.

Guaranteed Minimum Income (GMI)

A social assistance means-tested scheme similar to UBI but targeted to the poor.

Quasi Universal Basic Rural Income (QUBRI)

Proposed by Arvind Subramanian, to tackle the agrarian and rural distress in India. 75% of the rural population (farmers and non-farmers) can be covered by not targeting IN the deserving poor but excluding OUT the demonstrably non-poor.  It is advocated as a more effective policy than MSP and loan waivers.

Partial Basic Income (PBI)

Any income guarantee set at a level that is less than enough to meet a person’s basic needs.

Negative Income Tax (NIT)

Proposed by Milton Friedman. It is an income support payment for individuals with no income. The amount reduces with increasing income. Break-even point is fixed at a certain level of income and after that point taxes start.

IS THIS A NEW IDEA?

• The idea was first suggested by Sir Thomas More in 16th century and in 1970s, it was advocated by free-market economists such as Friedrich Hayek and Milton Friedman.
• ‘Industry 4.0’ may permanently reduce the demand for labour leading to job losses, stagnant incomes and worsening inequality.
• Previously, technological developments mostly affected less skilled workers which required greater investment in education and skilling.
• The fears are that new digital technology is also destroying higher-skilled, better-paid jobs.
• Hence it will no longer be possible for governments to deal with unemployment, insecure work and stagnant incomes by usual measures.
• In India a Planning Commission study of 1962 led by Pitambar Pant analysed how every citizen could be guaranteed a minimum standard of living by 1977.
• The idea was discussed by the 2016-17 Economic Survey. It was part of manifesto of Congress Party (NYAY) in 2019 Lok Sabha elections.
• Basic income has moved into the mainstream of public debate in contemporary times mainly as a a response to two concerns which aggravate each other:
  1. Structural changes in the global economy – low wages and insecure employment with increasing the mobility of capital and increasing incomes from ownership of capital resulting in high inequalities. Thomas Piketty and Oxfam have drawn attention to this.
  2. ‘Industry 4.0’ and associated technological changes are expected to worsen these problems especially in developing countries.
• UBI is argued to be a better and efficient policy alternative to combat poverty, rising inequalities and unemployment.
• Its advocates range across the ideological spectrum. It is by both developed and developing countries for reasons which are briefly discussed in the table below.

JUSTIFICATIONS FOR DEVELOPED AND DEVELOPING COUNTRIES

DEVELOPED COUNTRIES

• Ageing population, stagnant median incomes, demand slump
• Increased automation (industrial revolution 4.0), rise of gig economy and job insecurity

DEVELOPING COUNTRIES

• Poverty alleviation
• Failure of trickle down model
• Reduction of market distortion caused by government subsidies
• Administrative efficiency

How the context of present discussions is different?

• Covid‐19 presents the need for rapid and immediate relief. An income support can provide immediate help due to its design simplicity.
• Growth Contraction – Global growth is projected to be -4.9% (IMF, WEO, June update) in 2020. India’s GDP growth is projected at -4.5% (IMF, WEO, June update), lowest since 1961.
• Unemployment – the lockdown may push almost 40 crore people into poverty (ILO). Unemployment, already at a 45-year high in 2018, will only rise post-Covid-19. Even if there is a faster recovery, employment growth will take longer to recover.
• Large unorganized sector – Almost 90% of India’s workforce is in the informal sector characterized by less than minimum wages and no social security. This sector has also witnessed widespread job losses. Present schemes serve only pre-existing set of beneficiaries and a large number of deserving individuals are left out.
• The economic consequences of the virus will remain for several months ahead. Governments around the world are considering income transfers to ensure basic sustenance for the poor and vulnerable groups and boost domestic demand, at least till the economy normalises.

What is the case for Basic Income?

A) Social Justice

• UBI promotes a just and non-exploitative society.
• A society that fails to guarantee a decent minimum income to all citizens will fail the test of justice (John Rawls).
• UBI respects all individuals as free and equal. It promotes liberty because it is anti-paternalistic.
• It also promotes equality by reducing poverty.

B) Poverty Reduction

• A Basic Income may be the fastest way of reducing poverty.
• UBI is also more feasible in a low middle income country like India, as relatively low levels of guaranteed income can yield immense welfare gains.
• Such a scheme can address intra-household poverty and vulnerable sections such as small and marginal farmers, informal and low skilled workers and women.
• It can also act as a safety net against events like sudden job losses, income shocks and health issues which can trap individuals into poverty.

C) Agency

• The current welfare system reduces dignity of the poor by assuming that they cannot take correct economic decisions.
• As different individuals face different dimensions of poverty, the state is not in the best position to take economic decisions for them.
• BI releases citizens from paternalistic and clientelistic relationships with the state. A basic income treats them as active agents, not passive recipients.

D) Employment

• BI can provide minimum income security in an era of uncertain employment generation.
• It can create flexible and non-exploitative labour markets since individuals will no longer be forced to accept unjust working conditions for subsistence.
• It would not result in withdrawal of beneficiaries from the labour force if the income support is not too large.
• In fact, it can promote employment and economic activities as extra income can be used as interest-free working capital.
• While programmes like MNREGS lock up beneficiaries in low-productivity work, income support will provide them the opportunity for skilling and better employment options.

E) Administrative Efficiency:

• Existing welfare schemes suffer from defects like misallocation, leakages and exclusion errors.
• When the JAM trinity is fully adopted, a more administratively efficient mode of welfare delivery can be implemented.
• An income support scheme is better due to its in-built simplicity. (Abhijit Banerjee)

F) Alleviating rural distress

• LPG reforms have largely passed agriculture, rural India and the poor. This has resulted in agrarian and rural distress.
• The latest NSS All India Debt and Investment Survey (2013) show over 70% rural population is indebted.
• The poor borrow to meet consumption as well as contingency needs and rarely for productive purposes. They rarely accumulate assets.
• A guaranteed income transfer will reduce their vulnerability, boost rural demand without affecting labour-supply.

WHAT IS THE CASE AGAINST BASIC INCOME?

A) Reduces the incentive to work

• An income guarantee will discourage potential workers.
• Necessity is one of the dominant motivations for work without which workers will choose leisure over work.
• It has potential to create labour market distortions by affecting labour mobility like MGNREGA.
• But a minimal level of income support is unlikely to be a disincentive to work.
• Basic income is not meant to replace employment. One cannot live entirely on basic income.

B) Should income be detached from employment?

• Traditionally income and employment have been aligned in most societies
• But, society already delinks income from employment the rich and privileged in the form of inheritance or non-work related income.

C) Reciprocity

• Society is a “scheme of social cooperation” and income should be conditional to individual’s contribution to society (eg MNREGS and Food for Work programmes)
• But, social objectives dictate to create a society where extreme poverty doesn’t exist.

A Brief Summary of arguments

Favour

• Poverty and vulnerability reduction
• Choice and Agency
• Better targeting (inclusion) of poor.
• Insurance against income and other shocks.
• Improved financial inclusion due to greater usage of bank accounts and higher profits for banking correspondents (BC). Access to credit will improve due to increased incomes.
• Psychological benefits
• Administrative efficiency

Against

• Conspicuous and wasteful spending.
• Moral hazard (reduction in labour supply)
• Increased gender disparity as men are likely to exercise control over spending.
• Difficult implementation due to the current status of financial inclusion among the poor.
• High fiscal cost given political economy of exit. It may become difficult for the government to withdraw the scheme in case of failure.
• Opposition may arise from inclusion of rich individuals.
• Exposure to market risks (cash vs. food)

What is the evidence from empirical studies?

Various pilots and experiments have been conducted. Two of them are discussed below:

India

A pilot project conducted between 2010 and 2013, by SEWA, UNICEF and UNDP covering 6,000 beneficiaries in Delhi and Madhya Pradesh.

Findings

• An unconditional income support was not a major disincentive to work.
• Beneficiaries became more productive as they shifted from wage labour to own cultivation which resulted in increased agricultural production and land cultivated.
• Improved nutritional uptake, school enrolment and attendance of female students and reduced incidence of indebtedness were observed.
• No statistical evidence of any increase in economic “bads” such as consumption of alcohol and tobacco.
• The study also shows that a right amount as a basic income has disproportionately higher positive effect than the monetary value.

Finland

Introduced its version of the UBI in 2017 as a social-welfare experiment for the unemployed section of society with roughly $600 every month as financial aid.

Findings

• Beneficiaries enjoyed greater financial security and mental health but there was no disincentive to work.
• They were free to do work they found meaningful, they were more able to take flexible but insecure opportunities
• But the trials have been inconclusive, showing psychological improvements among recipients but limited success in achieving economic or social objectives.

Recently, the Spanish government has decided to implement a national minimum income. People in around 1 million low-income households will get roughly $500 a month in income. The plan aims to reach 2.3 million people, and is expected to cost the government about 3 billion euros a year.

How a Basic Income Scheme is better than in-kind schemes?

A) What are the drawbacks of existing schemes?

• Large number of schemes – The Union government runs about 950 central sector and centrally sponsored sub-schemes accounting for about 5% of the GDP.Besides, most of the central sector schemes were ongoing for at least 15 years and 50% of them were over 25 years old. (Economic Survey 2015-16)
• Misallocation of resources across districts – The poorest districts receive a lower share of government resources when compared to their richer counterparts. The backward districts together accounts for 40% of the poor but receive 33% of the resources.
• Exclusion of genuine beneficiaries – Misallocation would mean that then some genuine beneficiaries would be excluded. For instance, Bihar, Madhya Pradesh, Rajasthan, Orissa and Uttar Pradesh account for over 50% of the poor in the country but access only a third of the resources spent on the MGNREGS in 2015-16.

B) How can income transfers overcome these Issues?

a) Misallocation

• The UBI, by design, should effectively tackle issues related to misallocation.
• The simplicity of the process also implies that the success of a UBI depends much less on local bureaucratic ability than other schemes.

b) Out of system leakage

• Could be reduced as direct transfers are made to the beneficiaries’ bank accounts.
• Since discretionary powers of authorities are eliminated almost wholly, the scope for diversion is reduced considerably.

c) Exclusion error

• Given the link between misallocation and exclusion errors, exclusion errors should be automatically reduced.
• Due to expanded coverage, exclusion errors under the scheme should be lower than existing targeted schemes.
• Most of these schemes are non-universal targeted programmes whose main problem is identification.
• Narrowly-targeted programmes are prone to exclusion and inclusion errors out of system leakages.

The core arguments over a universal basic income remain but Covid 19 pandemic makes a case for emergency temporary income payments targeted at the poor.

How the poor can be targeted?                                                                                                                                     

• India’s record of targeting has been poor with evidences of data manipulation and corruption, exclusion of the poor and leakages to the rich. Targeting was both inefficient and inequitable.
• Recognizing this, individual states- like Tamil Nadu and Chhattisgarh – universalized the PDS and a few other government schemes. The NFSA (2013) also mandated access to the PDS to nearly 70% of all households, choosing to exclude only the identifiably well-off.
• Empirical evidence suggests that the higher the coverage, the lower the leakages. Thus there is a gradual move towards greater inclusion error in order to avoid exclusion issues.
• But if basic public services are maintained, there is limited fiscal space for direct income support. It will have to be limited to some extent. Instead of targeting IN the poor, demonstrably well off should be targeted OUT.
• Datasets like SECC, 2011 can be used. It can be complemented by other datasets like the Agriculture Census, 2015-16 (small and marginal farmers), MGNREGA rolls from 2019 and those covered by Jan Arogya and Ujjwala schemes. Aadhaar can be used to rule out duplications.
• But none of these lists are perfect. The priority should be to err on the side of being inclusive.

Where is the fiscal space to finance a BI scheme?

• Indian economy was struggling even before the Covid-19 crisis. The fiscal deficit was already higher (4.6% of the GDP) than the limit prescribed by the FRBM Act (3.8%). Due to economic slowdown, revenue collection will also be certainly lowered this fiscal.
• Yet most observers have argued that in these extraordinary circumstances, if India believes that a basic income is required, then it should be able to find the money for it.
• Former Chief Economic Adviser Arvind Subramanian has suggested various measures to create the fiscal space like reallocation of budget outlays, external borrowing, issuing government bonds and direct monetization of government deficit (having the Reserve Bank “print money” in exchange for government bonds).
• An analysis of budgetary allocations revealed that reduction of allocation by half to 11 departments, such as the election commission, department of posts etc could free up funds up to about 1% of the GDP.

ILO Recommended Financing Mechanisms

• Re-allocating public expenditures
• Increasing tax revenues
• Lobbying for aid and transfers
• Eliminating illicit financial flows
• Using fiscal and central bank foreign exchange reserves
• Restructuring existing debt

a) Streamlining inefficient subsidies

• Fiscal space for a basic income scheme can be created by streamlining and removing some extremely inefficient and difficult–to-remove middle class subsidies like the subsidy to Air India and fertilizer subsidy (Abhijit Banerjee)
• Estimates by NIPFP suggest that subsidies (central plus state) that mainly go to better-off people (‘non-merit subsidies’) amount to about 5% of GDP. The Economic Survey 2016-17 estimates that central subsidies for the non-poor/middle class households are equivalent to about 1% of GDP.
• A basic income should be additional to the poor’s existing consumption which includes consumption from public programs (PDS, MNREGA, etc.).
• Healthcare, education, water conservation and other merit subsidies should not be reduced to fund income transfers as these are meant for long-term improvement in human development.

b) Taxation

• ‘Revenues foregone’ (primarily tax concessions to companies) in the Union Budget are about 6% of GDP (2014-15 actuals). At least one-third of these revenues foregone can be made available.
• There is also scope for more taxation. India has a low tax-to-gdp ratio (around 10.6%) which is substantially lower than in China, Brazil and some other developing countries.
• Arvind Subramanian argues for redistributive equality for financing a basic income scheme by relying on a wealth tax of 1.5% for billionaires, a tax on properties worth more than Rs 1 crore and eliminating some “middle class subsidies”.

c) Merger of existing schemes

• The top 10 centrally sponsored or central sector schemes (not including subsidies) cost about 1.4% of GDP (2014-15 actuals) and the remaining 940-odd sub-schemes account for 2.3%.
• Many of these schemes have overlapping objectives and can be merged.
• Some resources may also be released by terminating some of the wasteful welfare programmes, but programmes like ICDS, mid-day meals, and MGNREGA should not be replaced.

d) State’s contribution

• The Central and state governments should work together because the Centre can provide resources more easily while the states will have a critical role in implementation.
• Initially, a minimum UBI can be funded wholly by the centre.
• The centre can then adopt a matching grant system wherein the centre’s contribution is equal to the state’s contribution.

While the fiscal space exists for a basic income scheme, the government will have to decide what expenditures to prioritize. Though BI may seem to be an attractive policy option, it should not take over the fiscal space for a well-functioning state. As the present crisis will persist for some time, former RBI Governor Urjit Patel has advocated that the government should keep some fiscal space open. At the same time adequate funding should be made available to help those suffering from severe deprivation.

How should an UBI should be designed and implemented?

The design should incorporate lessons learned through pilots and other experiments. It should consider the following constraints and guiding principles.

Constraints

• maximum possible coverage but no strict universality
• containing fiscal costs
• difficulty of exit from existing programmes
• the implementation capability of the Indian state

Guiding Principles

• De jure universality, de facto quasi-universality – to reduce the powerful resistance and high fiscal costs produced by complete universality, the scheme should approach targeting from an exclusion of the non-deserving perspective than the current inclusion of the deserving perspective.
• Gradualism – the UBI must be embraced in a deliberate, phased manner, weighing the costs and benefits at every step.

Schemes similar to UBI in India

• National Social Assistance Programme
• DBT for various scholarships and LPG subsidy
• PM Garib Kalyan package
• PM-KISAN
• Rythu Bandhu
• KALIA
• Rythu Bharosa

Considering the above some of the probable approaches are mentioned below:

• Start by offering UBI as a choice to beneficiaries of existing programs.
• UBI for women – Empirical evidence shows the higher social benefits and the multi-generational impact by investing in women.
• Universalize across groups – Basic Income first for certain vulnerable groups – widows, pregnant mothers, the old and the infirm.
• Redistributive resource transfers to states – A part of the redistributive resource transfers may be transferred by the centre directly into beneficiaries’ accounts.
• UBI in urban areas – These areas are less likely to suffer from poor banking infrastructure and lack of individuals with bank accounts.

Prerequisites for Success: JAM

• Effective financial inclusion and expansion of banking infrastructure is crucial for the success of basic income scheme.
• To reduce leakages a transparent and safe financial architecture that is accessible to all is required which can be provided by JAM.
• Success of the BI depends on the success of JAM.

How should UBI be determined?

• The 2016-17 Economic Survey calculated an income of Rs 7620/ individual/year based on the 2011-12 poverty estimates (Suresh Tendulkar).
• As the methodology adopted by the Suresh Tendulkar committee faced severe criticisms, there is a need to reassess what constitutes the minimum consumption basket.
• Although there is no universal principle of determination but a target a transfer should represent about 1/3rd of the current consumption of the poorest 40%.
• Income transfers can have various slabs as per multiplicity of deprivations and degree of vulnerability (as per SECC data).
• As Abhijit Banerjee has argued, the key is to create fiscal space first.

How to shield the income transfers from politics and inflation?

• To protect the ‘real’ value of cash transfers from inflation it should be revised periodically by indexing it to CPI.
• A politically neutral mechanism should be created to insulate the amount from blowing up due to competitive politics. For this income transfers could be set as a constant proportion of GDP.
• Alternatively, a special fund financed on a permanent basis from wealth and property taxes and the revenues from elimination of middle class subsidies can be created. (Subramanian)

What are the implementation challenges and concerns?

A) Financial Inclusion

• Financial inclusion in India has progressed substantially since the PMJDY but still nearly 1/3^rd of adults, mostly women, SCs, STs and elderly still do not have a bank account.
• Researchers have found that 53% of poor women in India don’t have PMJDY account.
• Last mile concerns – In a majority of states people are 3-5 km away from any form of access point (bank branches, ATMs and BCs). 26% of poor women live more than 5 km away from their nearest banking point
• In terms of JAM preparedness, considerable ground has been covered, but there is quite some way to go.
• Independent evaluations of the pilot exercises of DBT in lieu of PDS in Chandigarh and Pondicherry emphasize the need for an improved digital financial infrastructure.

B) High Fiscal Costs

• Cash transfers offering even poverty-line income are estimated to cost around 10% of GDP.
• In theory, non-merit subsidies could be abolished but in practice, this is politically unlikely. Therefore cash transfers may be over and above current expenditure.
• Also, the fiscal deficit has already breached the limit and government revenues are expected to decline sharply this fiscal.
• Additional borrowing can be counter-productive as higher fiscal deficit will fuel inflation which will hurt the poor the most.

C) Political challenges

• Vested interests against replacing existing welfare programmes are too strong.
• Once implemented, competitive politics will ensure the continuation of schemes like BI, even if it fails.
• Electoral competition will push the amount of BI further at the risk of fiscal imbalance.

D) Authentication errors

• While Aadhar is designed to solve the identification problem, it cannot, on its own, solve the targeting problem.
• While Aadhaar coverage has improved but some states report authentication failures: 49% failure rates are estimated for Jharkhand which has led to starvation deaths.
• Failure to identify genuine beneficiaries result will in exclusion errors.

E) Supply side and capacity problems

• A basic income can address the problems of demand and purchasing power, but not supply-side and capacity problems.
• Without addressing supply-side bottlenecks, income support will be inflationary.
• But inflationary pressures may trigger a virtuous cycle with entrepreneurs responding to the assured demand.

F) Leakages

• While evidence supports universalization of in-kind transfers reduced leakages in India, it is not clear if a cash transfer will necessarily result in lower leakages.
• Due to very large amount of cash flowing through the system, there could be a perverse incentive resulting in greater corruption.
• It is an open question if a basic income today will necessarily work better than simply universalizing other in-kind transfers it tends to replace.

Way Forward

Basic income may be a good idea which can lead to improved health and educational outcomes and a more productive workforce. But it is untested anywhere with India’s level of income disparity and inequality. There is need for good large scale pilots of sufficient time to generate empirical evidence.

At the same time, basic income system is not a substitute for state capacity; it is a way of ensuring that state welfare transfers are more efficient. In the long run, state capacity needs to be enhanced to provide a whole range of public goods. State institutions must be strengthened to deliver the universal basic services (7 core services: health care; education; shelter; food; transport; legal and democracy; and information – which should be available to all citizens regardless of their ability to pay) and to regulate delivery of services by the private sector. Direct transfers should not be at the expense of these services.

BI should not decrease the incentive for real reforms like land and labour reforms, justice system reforms, logistics and connectivity infrastructure etc. Jobs creation remains crucial and focus should be on deepening and widening the labour market. A BI could remain as a safety net, but not as an alternative to employment generation.

For now, a targeted income support should be the priority rather than universal one because poorer households require more help than richer ones. Income support would boost demand as well as provide a safety net.The situation surely justifies temporary emergency income payments rather than a permanent income stream. The recent UNDP report concludes that the measure is feasible and urgently needed. A guaranteed basic income system can be a source of basic security for the poor. It should be paid at least for the duration of the pandemic and economic slowdown.

Raghuram Rajan has also advocated a temporary income transfer scheme. But Jean Dreze is skeptical that an emergency BI scheme can be quickly implemented. He voices concern if income transfers are meant to replace programmes like PDS and MGNREGS.

Rapid and inclusive economic growth is the most powerful poverty-reduction tool in the long term. In the interim, the core complementarity between income and in-kind transfers should be understood. A mix of cash as well as in-kind transfers like food is vital for an efficient response to the crisis.

ENVIRONMENT, ECOLOGY AND CLIMATE CHANGE

1. DEVELOPMENT OF GREAT NICOBAR STRATEGIC IMPERATIVE AND ECOLOGICAL CONCERNS

THE CONTEXT: Ministry of Environment, Forest and Climate Change gave environmental clearance for the ambitious Rs 72,000 crore development project on the strategically important Great Nicobar Island.

THE EXPLANATION:

• A greenfield city has been proposed, including an International Container Trans-shipment Terminal (ICTT), a greenfield international airport, a power plant.
• The port will be controlled by the Indian Navy, while the airport will have dual military-civilian functions and will cater to tourism as well.
• A total 166.1 sq km along the southeastern and southern coasts of the island have been identified for project along a coastal strip of width between 2 km and 4 km.
• Some 130 sq km of forests have been sanctioned for diversion, and 9.64 lakh trees are likely to be felled.

SIGNIFICANCE:

• Great Nicobar is the southernmost island of the Andaman and Nicobar Islands.
• The Andaman and Nicobar Islands are a cluster of about 836 islands in the eastern Bay of Bengal.
• The two groups of which are separated by the 150-km wide Ten Degree Channel.
• The Andaman Islands lie to the north of the channel, and the Nicobar Islands to the south.
• Indira Point on the southern tip of Great Nicobar Island is India’s southernmost point, less than 150 km from the northernmost island of the Indonesian archipelago.

Ecosystem

• The Great Nicobar Island has tropical wet evergreen forests, mountain ranges reaching almost 650 m above sea level, and coastal plains.
• The Island has two national parks (Campbell Bay National Park &Galathea National Park) and a biosphere reserve.
• Many endangered species are found at the Island. The leatherback sea turtle is the island’s flagship species.

Tribes of Nicobar

• Great Nicobar is home to the Shompen and Nicobarese tribal peoples.
• The Shompen are hunter-gatherers who depend on forest and marine resources for sustenance.
• The Nicobarese, who lived along the west coast of the island were mostly relocated after the 2004 tsunami.
• An estimated 237 Shompen and 1,094 Nicobarese individuals now live in a 751 sq km tribal reserve, some 84 sq km of which is proposed to be de-notified.

Why government is keen to develop this Island?

Economic reasons

• The government’s greater goal is to leverage the locational advantage of the island for economic and strategic reasons.
• Great Nicobar is equidistant from Colombo to the southwest and Port Klang and Singapore to the southeast.
• It is positioned close to the East-West international shipping corridor, through which a very large part of the world’s shipping trade passes.
• The proposed ICTT can potentially become a hub for cargo ships travelling on this route.
• As per the NITI Aayog report, the proposed port will allow Great Nicobar to participate in the regional and global maritime economy by becoming a major player in cargo transhipment.

Strategic & Security reasons

• The proposal to develop Great Nicobar was first floated in the 1970s, and its importance for national security and consolidation of the Indian Ocean Region has been repeatedly underlined.
• Increasing Chinese assertion in the Bay of Bengal and the Indo-Pacific has added great urgency to this imperative in recent years.

Steps taken by the government to address these concerns

• The Zoological Survey of India is currently in the process of assessing how much of the reef will have to be relocated for the project.
• India has successfully translocated a coral reef from the Gulf of Mannar to the Gulf of Kutch earlier.
• A conservation plan for the leatherback turtle is also being put in place.
• As per the government, the project site is outside the eco-sensitive zones of Campbell Bay and Galathea National Park.

2. INDIA GETS CITES RULES EASED FOR EXPORT OF SHISHAM ITEMS

THE CONTEXT: During the 19th meeting of the Conference of Parties to CITES is being held in Panama where India got rules for export of timber-based products made of Shisham or North India Rosewood eased under the Convention on International Trade in Endangered Species of wild fauna and flora (CITES).

THE EXPLANATION:

About Sheesham:

• Sheesham wood is also known as Dalbergia Sissoo, a deciduous tree, called Sheesham in the Indian subcontinent. It is grown across the length and breadth of the sub-Himalayan region, extending from Assam in the east to River Indus.
• These forests go all the way across Punjab, Uttar Pradesh, West Bengal and Assam. Here, it is known by various names, like Sheesham, Shishan, Shisham, Sissoo or Sisu.
• It is the state tree of the Indian state of Punjab where this wood ranks No. 2 after teak in size of cultivation. It has various applications apart from supplying timber, such as being planted on roadsides and on tea plantations for shade and along canals.
• Sheesham (Dalbergia sissoo) is included in Appendix II of the convention, thereby requiring to follow CITES regulations for the trade of the species. As of now every consignment of weight above 10 kg requires CITES permit.
• Due to this restriction exports of furniture and handicrafts made of Dalbergia sissoo from India has been continuously falling from an estimated Rs 1000 crore per annum before the listing, to Rs 500-600 crore per annum after the listing.
• The decrease in exports of Dalbergia sissoo products has affected the livelihoods of around 50,000 artisans who work with the species.

Changes approved:

• On India’s initiative a proposal to clarify the quantity of Shisham (Dalbergia sissoo) items such as furniture and artefacts was considered in the current meeting.
• After sustained deliberations by Indian representatives, it was agreed upon that any number of Dalbergia sissoo timber-based items can be exported as a single consignment in a shipment without CITES permits if the weight of each individual item of this consignment is less than 10 kg.
• Further, it was agreed that for net weight of each item only timber will be considered and any other item used in the product like metal etc. will be ignored.
• This is a great relief for the Indian artisans and furniture industry.

VALUE ADDITION:
CITES

• CITES, which stands for the Convention on International Trade in Endangered Species of Wild Fauna and Flora, is a global agreement among governments to regulate or ban international trade in species under threat.
• In the mid-20th century, governments were beginning to recognize that trade in some wild animals and plants had a devastating impact on those species.
• These species were being driven toward extinction through unsustainable use for food, fuel, medicine, and other purposes.
• And while individual governments could control what happened within their borders, they did not have a way to address the impacts of international trade in these species.
• In 1973, 21 countries addressed this issue by signing the CITES agreement.

About the Agreement:

• CITES remains one of the cornerstones of international conservation.
• There are 184-member Parties and trade is regulated in more than 38,000 species.
• Representatives of CITES nations meet every two to three years at a Conference of the Parties (or COP) to review progress and adjust the lists of protected species.

The protected species are grouped into three categories with different levels of protection:
Appendix I –

• Includes the world’s most endangered plants and animals, such as tigers and gorillas.
• International commercial trade in these species, or even parts of them, is completely banned, except in rare cases such as scientific research.

Appendix II –

• Contains species like corals that are not yet threatened with extinction, but which could become threatened if unlimited trade were allowed.
• Also included are “look-alike” species that closely resemble those already on the list for conservation reasons.
• Plants and animals in this category can be traded internationally, but there are strict rules.

Appendix III –

• Species whose trade is only regulated within a specific country can be placed on Appendix III if that country requires cooperation from other nations to help prevent exploitation.
• CITES also brings together law enforcement officers from wildlife authorities, national parks, customs, and police agencies to collaborate on efforts to combat wildlife crime targeted at animals such as elephants and rhinos.

3. NEW SPECIES OF TARDIGRADE

THE CONTEXT: New species of tardigrade named Macrobiotusnaginae was discovered by researchers at Finland’s Rokua National Park.

THE EXPLANATION:

What are tardigrades?

• Tardigrades are tiny and highly resilient creatures that are capable of withstanding a variety of threats, including those that are capable of wiping out the majority of known species. Various species of tardigrades are found across diverse terrains, from mountains to oceans to ice sheets. Due to their adaptability, opportunities exist outside tardigrades’ natural habitats.
• While tardigrades generally require water, they are also capable of enduring prolonged dry spells, making them highly adaptable to desert regions.
• During dry weather, tardigrades enter into the state of anhydrobiosis – the process in which an organism becomes dry and dormant until favorable environmental conditions return.

During anhydrobiosis, tardigrades expel their body’s water and become a dry and nearly unbreakable speck called a tun. The tardigrade can remain as a tun for years or even decades. It will revive rapidly in the presence of water. The tun state can shield tardigrades from a variety of threats like high temperature, little to no oxygen levels, X-ray bombardment, gunfire and space vacuum. This will help tardigrades survive in foreign terrains when wind sweeps them away from the natural habitats.

About the new species

• The new species was named Macrobiotus naginae, after Nagini – the fictional snake character from Harry Potter books.
• It was found at the Rokua National Park in Finland’s North Ostrobothnia region.
• It was found to subsist in a dune woodland on lichen and moss. This habitat is currently threatened because of human activities.
• The new species is the fifth known member of the Macrobiotus pseudo hufelandi complex, a small group of tardigrades having smaller legs and claws for living underground.
• They developed smaller limbs to effectively crawl through sand or soil.

About Rokua National Park

The Rokua National Park is a UNESCO global geopark in Finland. It is one of Finland’s oldest national parks. It was established in 1956 to protect the natural-state of lichen heaths and the unique geological features of the region.

GOVERNMENT POLICIES AND INTERVENTIONS

4. CENTRE UNVEILS NORMS TO CURB FAKE REVIEWS ON E-COMMERCE SITES

THE CONTEXT: The Central government recently unveiled the new standard – Indian Standard (IS) 19000:2022 on “Online Consumer Reviews” and ratings, which has been prepared by the Bureau of Indian Standards (BIS).

THE EXPLANATION:

To combat the threat of fraudulent and deceptive product and service reviews, all e-commerce players, travel and ticketing portals and online food delivery platforms will soon be required to voluntarily reveal all paid or sponsored reviews.

Why it is significant?

• Online reviews have greater influence on consumers mainly in three sectors – tour and travel, restaurant and eateries, and consumer durables. With the notification of the standard, India will be the first country in the world to have such a norm for Online Consumer Reviews.
• As per the new standard, the BIS has defined reviews as solicited and unsolicited.
• The person responsible for handling the review in any organisation will be called the review administrator. The new standard gives an option for the reviewers to withdraw their reviews
• The new standard will be applicable even for independent third-party entities that post such reviews on any online platform. There are websites in countries like Turkey and Moldova where there is a business of fake reviews and companies pay money and get reviews.
• The focus of the new standard is adequate disclosure, as the online platforms have to specify the period when the reviews were collected so that consumers are not misled.
• Representatives from all major players, including Google and Meta, were part of the committee that developed the final standard, thus high compliance is to be expected, as fake reviews also harm the industry.
• Failure to comply with the BIS standard is unfair trade practice, and such entities may face legal action under the Consumer Protection Act.
• The BIS will come up with a conformity assessment scheme to certify the websites hosting such reviews. The websites will display such certification for consumers information.

VALUE ADDITION:

The Bureau of Indian Standards (BIS):

• It is the National Standards Body of India under Department of Consumer affairs, Ministry of Consumer Affairs, Food & Public Distribution, Government of India.
• Initially established as a society, the BIS was made a statutory body under the Bureau of Indian Standards Act, 2016, with its headquarters in New Delhi.
• It has 25 members drawn from Central or State Governments, industry, scientific and research institutions and consumer organisations.
• It also works as a WTO-TBT enquiry point for India.
• The Agreement on Technical Barriers to Trade (WTO-TBT) Agreement, is an international treaty (binding on all WTO members) administered by the World Trade Organisation (WTO).

The activities of BIS:

• Standards formulation
• International activities
• Product Certification
• Hallmarking
• Laboratory services
• Training services – National Institute of Training for Standardisation
• Consumer Affairs and Publicity

Standard formulation:

• BIS formulates Indian Standards in line with the national priorities for various sectors that have been grouped under 15 Departments.
• Corresponding to these Departments 15 Division Councils exist.
• The standards cover important segments of the economy and help the industry in upgrading the quality of their goods and services.

5. KAMENG HYDROPOWER STATION

THE CONTEXT: Recently, the Prime Minister dedicated the 600 MW Kameng Hydro Power Station (HPS) to the nation on 19 November.

THE EXPLANATION:

About Kameng hydropower station

• The 600 MW Kameng hydropower project was developed by the state-owned North Eastern Electric Power Corporation (NEEPCO).
• It is situated in Arunachal Pradesh’s West Kameng district.
• Stretching across more than 80 km, this project was developed at the cost of some Rs.8,200 crore.
• This run-of-the-river scheme makes use of the flows from Bichom and Tenga rivers – the tributaries of River Kameng.
• It has 2 dams (Bichom and Tenga) and a powerhouse having four units of 150 MW each to generate 3,353 million units of electricity each year.
• The water from the two dams is transported via a Head Race Tunnel into the powerhouse in West Kameng to drive 150 MW vertical turbine in each of the four units.

How will the project benefit Arunachal Pradesh?

• The project will contribute towards making Arunachal Pradesh a power-surplus state. It will enable the state to receive a share of 83 MW power. In 2022-23, the state is likely to have a power surplus both in terms of peak demand and energy requirements on yearly basis for the year 2022-23. The yearly demand for power in Arunachal Pradesh is 851 million units. The state will have 1,373 million units available. This creates a surplus of 521 million units.
• Besides generating revenue, this project will also increase job opportunities for educated youth and promote industrialization of the region.
• The project will be a major step towards achieving India’s Nationally Determined Contributions (NDCs) pledged under the 2015 Paris Agreement. It will be part of the projected hydro capacity addition of 30,000 MW by the end of the present decade.

How Arunachal Pradesh have hydropower potential?

• Arunachal Pradesh accounts for 40% of India’s hydropower potential. Therefore, this state is considered the “powerhouse of India”. It is endowed with a hydropower potential of 50,064 MW. Despite this huge potential, the actual utilization is less than 800 MW. Several hydropower projects are being implemented by the central and state governments to address this gap.

SCIENCE AND TECHNOLOGY

6. GLOBAL PARTNERSHIP ON ARTIFICIAL INTELLIGENCE

THE CONTEXT: On November 21 this year, India is set to take over the chair of the Global Partnership on Artificial Intelligence (GPAI) for 2022-23.

THE EXPLANATION:

What is Global Partnership on Artificial Intelligence (GPAI)?

• The Global Partnership in Artificial Intelligence was launched on June 15, 2020. It is a multi-stakeholder initiative that was developed by the G7 alliance.
• Its objective is to fill the gap between theory and practice on artificial intelligence by promoting cutting-edge research and related activities.
• This initiative promotes global cooperation on artificial intelligence technology by bringing together experts from fields like science, industry, civil society, governments, international bodies and academia on a single platform.

Who are the members of the GPAI?

• The GPAI currently has 25 member states. These are Australia, Belgium, Brazil, Canada, Czech Republic, Denmark, France, Germany, India, Ireland, Israel, Italy, Japan, Mexico, the Netherlands, New Zealand, Poland, the Republic of Korea (South Korea), Singapore, Slovenia, Spain, Sweden, the UK, the US and the EU. India became part of this international alliance in 2020 as a founding member.

GPAI summits

The inaugural edition of the GPAI summit was held on December 3 and 4 of 2020. It was hosted by Montreal, Canada. The second edition was held on November 11 and 12, 2021. The two offices of the GPAI are situated in these two cities, with one in each location.
The third edition of the summit, which is being held in 2022, was organized in Tokyo. It was held in Hotel Chinzanso Tokyo. It focuses on 4 themes. These are:

• Responsible AI
• Data governance
• Future of work
• Innovation and commercialisation

On the first day of the 3rd GPAI summit, France – the current Council Chair – handed over the presidency to India. India became the Council Chair after it received more than two-thirds majority of the first-preference votes, followed by Canada and the United States respectively.

THE PRELIMS PRACTICE QUESTION

QUESTION OF THE DAY

Q1. ‘Arribadas’ refers to which of the following?
a) Folk dance form of Assam
b) Mass nesting phenomenon of Olive Ridley Sea Turtles
c) Nesting of Migratory birds in Chilika lake
d) Seasonal migration of nomads in Himalayan region

Answer: B

Explanation:

• Mass nesting phenomenon of Olive Ridley Sea Turtles is called arribadas (Spanish term for mass nesting)

About Olive Ridley Turtles:

• Olive Ridley Turtles (Lepidochelys olivacea) are migratory species visiting Indian coasts for nesting.
• These turtles travel from South Pacific Ocean to breed on the coast of Gahirmatha.
• Gahirmatha in Kendrapara district, 150 km from State capital Bhubaneswar, is the world’s largest rookery for Olive Ridley sea turtles.
• Their mass nesting phenomenon is called arribadas.
• IUCN Status: Vulnerable
• They have highest degree of protection as they are included in Schedule-I of the Wildlife (Protection) Act, 1972.
• The turtle eggs normally take 45 days to hatch. After this, tiny hatchlings come out and make their way to the sea.
• Threats: Heavy predation of eggs by dogs and wild animals, indiscriminate fishing with trawlers and gill nets, and beach soil erosion.

[WpProQuiz 371]

THE CONTEXT: In order to deal with the Covid-19 pandemic, governments across the world have imposed measures like lockdown and social distancing. However, these measures have caused collateral damage to almost every sector of the economy, so much so that the IMF held the current economic crisis could be the worst ever since the Great depression 1929. There is a need for the preservation of the socio-economic system during the Great Lockdown. The government of India can think of implementing Emergency Basic Income (EBI). EBI is a kind of Universal Basic Income provided during a crisis like the Covid-19, but subject to a rollback when normalcy returns.

THE PRESENT ECONOMIC CRISIS DUE TO COVID-19

The present situation poses a unique economic challenge. Unlike a normal slump, when policies can be tailored to finance and raise demand, here, the challenge is of keeping productive capacity intact, even as many firms and workers remain idle.The global economic system that has taken shape over the past four decades is much more fragile than in 1918. What further distinguishes the current crisis from earlier ones, including the 2008 financial crisis is that this one is not just economic but also a social one, instantly affecting the lives of everyone in more ways than one. Millions are going to lose their incomes and will not be able to get daily necessities for survival.

According to Nobel Prize-winning economist Paul Krugman called the present situation “coronacoma”, means it the economic equivalent of a medically induced coma, “in which some brain functions are deliberately shut down to give the patient time to heal.”

As Krugman argued, the economic response to the crisis will have to include two parts:

1. An immediate disaster relief component- that ensures the survival of both firms and workers who have been rendered idle.
2. A stimulus component – that aims to repair and restart production lines during the exit phase of the lockdown.

For a country like India, with a large informal sector and a weak social safety net, the immediate disaster relief component is going to be much tougher than the stimulus component.India’s informal economy has about 50 crore working persons and would be among the most affected by the COVID-19 related shutdowns.

THE RELIEF MEASURES BY INDIA

The Union and state governments have announced some relief measures, they appear to be grossly inadequate to meet the challenge. Compared to most other countries, India’s relief-cum-stimulus measures so far appear puny.

India’s measures are very lower than the fiscal packages announced by various countries.

• The US announced a $2.2 trillion stimulus on a $20 trillion GDP base.
• Malaysia, whose per capita income is four times that of India, has announced a package that is 16 times bigger.
• Even poorer neighbour Pakistan has a much larger covid-19 response package (as share of its GDP) compared to India.
• Thailand, whose per capita income (PPP) is a little more than two times that of India, has announced a package that is 10 times bigger (as a share of GDP) than India.

EBI IS NEED OF THE HOUR

Due to the present lockdown, millions may lose their incomes and face difficulty in receiving things of daily necessities for survival, resulting in social unrest. The Emergency Basic Income (EBI) could solve this unrest.

The Emergency Basic Income (EBI) is a kind of

What is Universal Basic Income?

• The Economic Survey of India 2016-17 has advocated the concept of Universal Basic Income (UBI) as an alternative to the various social welfare schemes in an effort to reduce poverty.
• Idea behind the Universal Basic Income is that every person should have a right to a basic income to cover his needs, just by virtue of being a citizen.

The components of UBI

UBI has three components

• Universality- It is universal in nature.
• Unconditionality- There are no preconditions attached with the cash transferred to the beneficiary.
• Agency – Respecting the poor persons’ decision making ability and not having a paternalistic attitude towards them.

Universal Basic Income(UBI) provided during a crisis like the Covid-19, but subject to a rollback when normalcy returns.

• The EBI provided through the direct cash transfer mechanism will not only arrest potential social unrest but also ensure that there is continued aggregate demand to sustain the economy.

Some of the states have announced the enhancement of rations under the Food Security Act.

• While providing additional foodgrains is useful, with broken supply chains and crumbling logistics, it may have its own challenges.
• Also, the circumstances, risk and shocks in which people are trapped in lockdown are varied. The EBI allows that individual to decide how such risks should be mitigated and how priorities are to be set.
• Thus, EBI will complement the steps (providing essential goods through PDS) taken by the government.

The lockdown has dragged many people into the poverty trap. Thus, EBI may simply be the fastest way of reducing poverty induced by the lockdown.

Existing welfare schemes are riddled with misallocation, leakages and exclusion of the poor. However, the trinity of Jan-Dhan, Aadhaar and Mobile (JAM) can enable proper implementation of EBI and can reduce inclusion and exclusion issues to a larger extent.

CHALLENGES

• Although most people have a unique ID by now (Aadhaar), the most vulnerable section of society doesn’t have Aadhar and a functional bank account or access to mobile or internet (for e-transfers).
• The latest district-wise data on these parameters come from the National Family Health Survey for 2015-16. It showed that despite gains in access to bank accounts and mobile phones, there were still significant disparities across districts. Internet access was limited across most districts.

• The Union Government has sought to provide Rs 500 per month to women in a household (during the lockdown). However, the amount is quite low to call it a significant income support.
• Already Indian government has been facing a financial crunch with respect to social sector schemes. Thus, providing an EBI may add to the fiscal burden of the government.

WAY FORWARD

The EBI programme with a fixed and transparent clause can inspire the confidence of both ordinary citizens and help resolve the trade-off between lives and livelihoods. EBI must also include an in-kind transfer component. The ratio of cash to in-kind transfers is something that is best left for states to decide. The Union Government can channelize the savings from the global crude oil price fall to fund EBI, without compromising macroeconomic fundamentals. There is need for a functional JAM (Jan Dhan, Aadhar and Mobile) system, as it will ensure that the cash transfer directly into the account of a beneficiary.

CONCLUSION: In the outbreak of COVID-19, several countries are considering massive fiscal stimulus packages to blunt the concurrent crises of the pandemic and the unravelling economic depression. In such situation, Emergency basic income will not only arrest potential social unrest but also ensure that there is continued aggregate demand to sustain our economy. Like other countries, India too could explore unconventional options, such as a special purpose vehicle, to fund this programme as long as the Great Lockdown lasts.

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: