Table of Contents
1. DECREASE IN CROP ACREAGE IN KHARIF SEASON
TAG: GS 3: ECONOMY
THE CONTEXT: The acreage of paddy, the main crop of the Kharif season, has decreased by 24 per cent compared to last year. There has been a huge decrease in the area in Maharashtra, Karnataka and Chhattisgarh.
EXPLANATION:
- According to the data of the National Food Security Mission website of the Union Ministry of Agriculture and Farmers Welfare, sowing of all kharif crops, including paddy, decreased even as the first week of July 2023 came to an end.
- An area of 35.34 million hectares (MHA) had been sowed as of July 7. This is 3.36 MHA (8.68 per cent) less than last year. It is 9.48 mha or 22 per cent less compared to 2021.
Paddy acreage
- Rice is the main crop of the Kharif season.
- Paddy is sown between June 15 and July 15 in most rice-producing states of the country, as this time is considered to be appropriate for production. This period will elapse in seven days.
- According to the figures, 23.89 per cent of the area has not been sown till July 7, compared to the same period last year. Paddy has been sown in 5.41 mha till the first week of July this year. Last year, paddy had already been sown in 7.11 mha till the first week of July. That is, paddy has not been sown in 1.7 mha this time.
- In the case ofpulses, too, this season has been bad so far. Pulses have been cultivated in 3.26 mha so far this year, compared to 4.4 mha (23.90 per cent more) hectares last year. The decrease in sowing of arhar (pigeon pea) has become a cause of concern.
- The sowing of oilseeds has also declined by 14 per cent this year compared to last year. The sowing of sunflowers has decreased significantly.
Cropping pattern in India:
- Based on the climatic conditions and crops grown in those seasons, India has two main crop seasons, which are the Kharif crop season and the Rabi crop season.
Rabi crops
- It is also known as Winter crops that are grown during the winter season that typically start in October and March.
- Rabi crops require less water to grow. Therefore, they can easily grow with the help of routine water irrigation to flourish.
- Rabi Crops Example: Some examples of rabi crops grown in India are wheat, mustard, barley, green peas, sunflower, coriander, cumin, etc.
Kharif Crops:
- Kharif crops are mainly harvested in Autumn (September or October). They are also known as monsoon crops as they are sowed in monsoons. Moreover, they grow well in rain-fed areas with hot and humid climates.
- Also, they are highly dependent on rainfall patterns. The amount and timings of rain are the two most important parameters to determine the output of the Kharif crop.
- These crops are harvested at the end of the monsoon season, and their seeds are sowed at the start of the monsoon season.
- Kharif crops Examples: Some examples of Kharif crops are rice, bajra, groundnut, cotton, pulses, maize, oilseeds, etc
Difference between Rabi and Kharif Crops:
| Factors | Kharif Crops | Rabi Crops |
| Temperature | Kharif crops require warm temperatures | Rabi crops are grown in cool temperatures. |
| Season | The ideal farming season for these crops is early summer and mid-summer. | These crops are generally cultivated in the months of October to December. |
| Water requirements | Kharif crops generally have more water requirements. | Rabi crops don’t require too much water supply. |
| Crops duration | Kharif crops have a short harvesting duration. This is why farmers have two harvests of many crops in one farming season. | As compared to Kharif crops, the crop growth cycle of Rabi crops is longer. Most of the rabi crops only yield one harvest per season. |
| Ideal Region | The ideal geographical regions for these crops are plains and topical parts of India. | They are mostly grown in hilly areas of Northern India as temperatures in these regions are cooler than in the rest of India. |
2. NEW PANEL TO REVIEW ALL NSO DATA
TAG: GS 2: POLITY AND GOVERNANCE
THE CONTEXT: The government has constituted a new internal oversight mechanism for official data, revamping India’s statistical machinery to identify and plug data gaps.
EXPLANATION:
- A Standing Committee on Economic Statistics (SCES) was set up in late 2019, soon after the findings from the last round of household surveys on consumption expenditure and employment were junked, citing data quality issues.
- The Statistics Ministry said that the SCES, which was tasked with examining economic indicators only, will now be replaced by a Standing Committee on Statistics (SCoS).
- SCoS will have a broader mandate to review the framework and results of all surveys conducted under the aegis of the National Statistical Office (NSO).
- India’s first chief statistician and the former chairman of the National Statistical Commission (NSC) has been named the chair of the new committee.
Standing Committee on Economic Statistics (SCES):
- It subsumed in it the four standing committees on labour force statistics, industrial statistics, services sector and unincorporated sector enterprises.
- It reviews the existing framework of data sources, indicators and definitions of the index of industrial production, periodic labour force survey, time use survey, economic census and unorganised sector statistics, among others.
- It had 28 members, including 10 non-official members.
- The panel was mandated to review the framework for economic indicators pertaining to the industrial sector, the services sector and the labour force statistics.
- This meant that their purview was limited to datasets like the Periodic Labour Force Survey, the Annual Survey of Industries, the Index of Industrial Production and the Economic Census.
Standing Committee on Statistics (SCoS):
- The SCoS, with enhanced terms of reference vis-à-vis the SCES to ensure more coverage has 10 official members and four non-official members who are eminent academics.
- The panel can have up to 16 members, as per the order issued by the Ministry of Statistics and Programme Implementation (MoSPI).
- The term of the SCES was coming to an end, so it was decided to expand the committee’s mandate beyond economic data and advise the Ministry on technical aspects for all surveys, such as sampling frame, survey methodology and finalisation of results.
- Its terms of reference include the identification of data gaps that need to be filled by official statistics, along with an appropriate strategy to plug those gaps.
- It has been mandated to explore the use of administrative statistics to improve data outcomes.
National Statistical Office (NSO):
- The government formed an overarching body NSO by merging the National Sample Survey Office (NSSO), Computer Centre and Central Statistical Office (CSO).
- It is the statistical wing of the Ministry of Statistics and Programme Implementation (MoSPI).
- NSO was first envisaged by Rangarajan Commission to implement and maintain statistical standards and coordinate statistical activities of Central and State agencies as laid down by the National Statistical Commission (NSC).
- NSO would be headed by Secretary (Statistics and Programme Implementation).
- CSO coordinates the statistical activities in the country and also evolves statistical standards.
- NSSO is responsible for the conduct of large-scale sample surveys in diverse fields on an all-India basis.
National Statistical Commission (NSC):
- It is an autonomous body which formed in January 2000 under the recommendation of the Rangarajan Commission.
- The Chairperson of the Commission enjoys the status of a Minister of State, and the Members of the Commission have the status equivalent to the Secretary to the Government of India.
- The Chairperson and the Members can be removed only by the President after the Supreme Court of India has an inquiry held in accordance with the procedure of Article 145 of the Constitution of India.
- The objective of its constitution is to reduce the problems faced by statistical agencies in the country in relation to collection of data.
Significance of ‘Data’ for governance:
- Improved Data quality: It leads to improved quality of data which ensures data accuracy, completeness and consistency that meets policies and standards.
- Better Compliance: By implementing and enforcing quality, government can ensure compliance with regulations and standards, reducing the risk of penalties and other legal consequences.
- Increased efficiency: Effective utilisation of data can streamline processes and reduce redundancies, leading to more efficient use of resources.
- Enhanced decision making: With reliable data, decision-makers can make more informed decisions based on a complete and accurate understanding of the data.
3. NATIONAL ASSET RECONSTRUCTION COMPANY (NARCL)
TAG: GS 3: ECONOMY
THE CONTEXT: The government has finally renewed its federal guarantee to the National Asset Reconstruction Company (NARCL), making it easier for the entity to acquire bad loans from lenders.
EXPLANATION:
- The guarantee has been approved by the department of financial services (DFS).
- It is now expected that NARCL will complete the takeover of SPML debt, the first takeover by the bad bank in more than three months.
- Government Guarantee acts as resolution mechanisms of this nature which deal with a backlog of NPAs and typically require a backstop from Government.
- This imparts credibility and provides for contingency buffers. GoI’s guarantee will also enhance the liquidity of Security Receipts (SRs) as such SRs are tradable.
National Asset Reconstruction Company (NARCL):
- In the Union Budget 2021, the formation of an ARC-AMC structure, comprising of two entities viz. National Asset Reconstruction Company Limited (NARCL) and India Debt Resolution Company Limited (IDRCL) were introduced
- It was set up for aggregation and resolution of Non-Performing Assets (NPAs) in the Banking Industry.
- It is a government entity that has been incorporated in 2021 with a majority stake held by Public Sector Banks and a balanced by private banks, with Canara Bank being the sponsor bank.
- It is registered with the Reserve Bank of India as an Asset Reconstruction Company under Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002.
- Though ARCs have been helpful in the resolution of stressed assets, especially for smaller value loans. It was introduced considering the large stock of legacy NPAs.
- The NARCL acquires assets by making an offer to the lead bank. Once NARCL’s offer is accepted, then, IDRCL gets engaged for management and value addition.
- It incentivizes quicker action on resolving stressed assets, thereby helping in better value realization. This approach permits the freeing up of personnel in banks to focus on increasing business and credit growth.
- Capitalization of NARCL is done through equity from banks and Non-Banking Financial Companies (NBFCs), which helps in raising debt as required.
- NARCL have a public sector character, unlike ARC, since the idea is mooted by the government, and majority ownership is likely to rest with state-owned banks.
What is an Asset Reconstruction Company (ARC)?
- It is a specialized financial institution that buys the Non-Performing Assets (NPAs) from banks and financial institutions so that they can clean up their balance sheets.
- This helps banks to concentrate on normal banking activities.
- The asset reconstruction companies or ARCs are registered under the RBI.
4. INDIA UAE TRADE RELATIONS
TAG: GS 2: INTERNATIONAL RELATIONS
THE CONTEXT: After discussions between the Indian Prime Minister and the UAE President, India and the United Arab Emirates jointly announced the commencement of a trade settlement using their respective local currencies.
EXPLANATION:
- India and UAE Inked 3 Agreements and have signed two Memoranda of Understanding (MoUs).
- The first aims to establish a framework that encourages the utilisation of local currencies, specifically the Indian rupee (INR) and the UAE Dirham (AED), for cross-border transactions.
- The second MoU focuses on cooperation for interlinking their payment and messaging systems.
- Further, the Indian Unified Payments Interface will be interconnected with the Gulf Kingdom’s Instant Payment Platform (IPP).
- The primary objective of the MoU is to establish a framework for the use of local currencies to implement a Local Currency Settlement System (LCSS) that promotes the bilateral use of the INR and AED for transactions between India and the UAE.
- Trade between India and the UAE has experienced a notable 20% growth since the signing of the Comprehensive Economic Partnership Agreement in the previous year.
India-UAE Economic Relations:
- India-UAE economic engagement is multi-dimensional and rapidly growing. The UAE has consistently remained India’s third-largest trading partner and the second-largest export destination for Indian products.
- For the UAE, India is the second-largest trading partner. The UAE is also the seventh-largest investor in India, with an estimated investment of $18bn.
- Both nations signed a Comprehensive Economic Partnership Agreement (Cepa) in 2022 during a virtual summit.
- It is expected to increase the bilateral trade in goods to $100bn within five years and trade in services to $15bn.
- The historical India-UAE Cepa was the first bilateral trade agreement of its type concluded by the UAE and India’s first bilateral trade agreement in the Middle East Region.
- It is a wide-ranging agreement covering all aspects of India’s economic engagement with the UAE, including trade, investments, health care, digital trade, government procurement and intellectual property rights, among other things.
Main Areas of Cooperation between India-UAE
- Defence Cooperation: With the spread of radicalism in Gulf India looks to enhance security cooperation with UAE to counter terrorist threats and combat radicalization. ‘Desert Eagle II’, which is a ten-day air combat exercise, was held between the air forces of India and UAE.
- Energy Cooperation: UAE is India’s fourth-largest crude oil supplier. This type of cooperation has evolved from a buyer-seller connection to one that involves a Strategic Partnership. An agreement to store strategic crude oil at Padur and Mangalore, Karnataka has been reached between the United Arab Emirates and India.
- Cultural Relations: In terms of diaspora, there are currently over 3 million Indians living in UAE which send remittances each year and build cultural relations. Indian cinema/ TV / radio channels are easily available and have good viewership.
- Technology partnerships: India and the UAE have signed a number of digital innovation, technology partnerships, and also plans for ISRO and UAESA to cooperate on missions like the Red Moon mission.
Recent Development in India-UAE relations
- ONGC Videsh, Indian Oil Corp. Ltd (IOC) and a unit of Bharat Petro Resources Ltd (BPCL) paid $600 million for a 10% stake in the UAE’s offshore oil and gas field Zakum. This is the first Indian Investment in upstream oil sector of UAE, transforming the traditional buyerseller relationship to a long-term investor relationship.
- Both sides signed a MoU that aims to institutionalise the collaborative administration of contractual employment of Indian workers in the Gulf country. Under the MoU, both the sides will work for ending the existing malpractices, combat trafficking and organise collaborative programmes for education and awareness of contractual workers.
- A MoU for technical cooperation in railways was also signed. It will facilitate development of joint projects, knowledge sharing, joint research and technology transfer in railways sector.
5. AGE OF CONSENT FOR DATA PROTECTION
TAG: GS 2: GOVERNANCE
THE CONTEXT: The upcoming data protection Bill could empower the central government to lower the age of consent from 18 for accessing Internet services without parental oversight.
EXPLANATION:
HOW THE DEFINITION OF A CHILD HAS CHANGED OVER THE YEARS
- Lowering the age of consent under the 2022 data protection bill has been a key task of the industry, especially social media companies, as it would mean business disruptions for them.
- It could also exempt certain companies from adhering to additional obligations for protecting kids’ privacy if they can process their data in a “verifiably safe” manner.
- This marks a key departure from the previous data protection Bill that was floated in 2022, where the threshold of children’s age was hard coded at 18 years.
- The change is in line with data protection regulations in the Western world, with regions like the European Union and the United States prescribing a lower age of consent.
Journey of a clause: How the definition of a child kept changing
- Justice BN Sri Krishna committee report, 2018: The report relied on the definition of majority under the Contract Act, where the age of majority is 18 years and recommended that for individuals under 18 years, entities will have to seek parental consent.
- Personal Data Protection Bill, 2019:The Justice Srikrishna committee report served as the precursor to the Personal Data Protection Bill, 2019 (PDP Bill, 2019), which retained its recommendation and defined a child as an individual under the age of 18.
- Joint Committee of Parliament recommends lowering the age of consent: The PDP Bill 2019 was referred to a Joint Committee of Parliament, which came up with its final set of recommendations and proposed that the definition of children should be restricted to 13/14/16 years of age and be reduced from 18 years.
- Digital Personal Data Protection Bill, 2022:Under the bill, children were defined as those under 18 years of age. The Bill proposed that for children, companies will have to seek “verifiable parental consent”.
- Final change: Under the data protection Bill that received Cabinet’s nod earlier this month, the definition of a child is understood to have been changed to an “individual who has not completed the age of eighteen years or such lower age as the Central Government may notify”.
- Certain entities that deal in collecting and processing children’s data can also be exempted from seeking parental consent if they can ensure that the “processing of personal data of children is done in a manner that is verifiably safe”.
How the world defines children in data protection regulations?
- In data protection legislation globally, the definition of children varies from 13 to 16 years of age.
- EU’s General Data Protection Regulation (GDPR):Under the GDPR, the age of consent has been kept at 16, but it allows member states to lower it to as much as 13. The law affords specific protection to children’s personal data since they “may be less aware of the risks, consequences and safeguards concerned and their rights”. However, parental consent is not required.
- USA’ Children’s Online Privacy Protection Act (COPPA): The COPPA defines children as being under 13 years of age, and parental consent is needed for processing the personal data of those under that age. It also prohibits entities from conditioning children’s participation in activities on the collection of more personal information than is “reasonably necessary” to participate in such activities.
- Australia: There is currently no set age for defining a child. However, a recommendation has been made in the country to set the age at 18 years. Australia’s Privacy Act of 1988 protects an individual’s personal information regardless of their age and doesn’t specify an age after which an individual can make their own privacy decision.
- China’s Personal Information Protection Law (PIPL):Under the PIPL, entities handling personal data of individuals younger than 14 years must obtain their parents’ or other guardians’ consent before processing their data. The law counts children’s data under the “sensitive” category and requires entities to provide a specific privacy policy if they process children’s personal information.
Data protection bill:
- This is a crucial pillar of the overarching framework of technology.
- The proposed law will apply to the processing of digital personal data within India and to data processing outside the country if it is done for offering goods or services or for profiling individuals in India.
- It requires entities that collect personal data, called data fiduciaries, to maintain the accuracy of data, keep data secure, and delete data once their purpose has been met.
- It is expected to allow voluntary undertaking, where any violation of the provisions will be addressed by the Data Protection Board by accepting settlement fees.
- It deals with cross-border data flows to international jurisdictions moving from a ‘whitelisting’ approach to a ‘blacklisting’ mechanism.
- The proposed law could allow global data to flow by default to all jurisdictions other than a Specified, negative list of countries, essentially an official blacklist of countries where transfers would be prohibited.
Data Protection Bill and RTI
The proposed Digital Personal Data Protection Act has two provisions that can seriously weaken the Indian Citizen’s Right to Information.
- The proposed bill plans to amend the RTI Act Section 8 (1)(j) which exempts personal information which is not part of a public activity, or which is an invasion of the privacy of an individual. If this amendment is made, all information that can be related to a person could be legally denied. Most information could be shown as being related to a person and hence the law would become a Right to Deny for Persons who do not wish to give information.
- The proposed bill defines ‘person’ very widely to include individuals, companies, and the State. Most information except budgets would be linked to one of these. Thus, RTI would become a Right to Deny Information, which can make it ineffective too.