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  • What is Taiwan’s ‘Porcupine Strategy’ to protect itself if China attacks?

    As the long-range, live-fire drills began with China’s Eastern Theatre Command firing several ballistic missiles, Taiwan said that it was “preparing for war without seeking war”. What is Taiwan’s strategy to fight back in case China attempts to occupy it by force?

    What is a Military Doctrine?

    • Military doctrine is the expression of how military forces contribute to campaigns, major operations, battles, and engagements.
    • It is a guide to action, rather than being hard and fast rules. Doctrine provides a common frame of reference across the military.

    Why do need such a doctrine?

    • It helps standardize operations, facilitating readiness by establishing common ways of accomplishing military tasks.
    • It decides what you buy, produce, or prioritize, all of which flows from deciding your best fighting foot.

    What is the ‘Porcupine Doctrine’?

    • This doctrine was proposed in 2008 by US Naval War College research professor William S Murray.
    • It is a strategy of asymmetric warfare focused on fortifying a weak state’s defences to exploit the enemy’s weaknesses rather than taking on its strengths.
    • It is about building defences that would ensure that Taiwan could be attacked and damaged but not defeated, at least without unacceptably high costs and risks.

    How does this work?

    It identifies three defensive layers in the porcupine approach.

    1. The outer layer is about intelligence and reconnaissance to ensure defence forces are fully prepared. Behind this come plans for guerrilla warfare at sea with aerial support from sophisticated aircraft provided by the US.
    2. The innermost layer relies on the geography and demography of the island.
    3. While the outer surveillance layer would work to prevent a surprise attack, the second one would make it difficult for China to land its troops on the island in the face of a guerrilla campaign at sea using “agile, missile-armed small ships, supported by helicopters and missile launchers”.

    Another tactic: Asymmetric systems of defence

    • Asymmetric systems are ones that are small, numerous, smart, stealthy, mobile and hard to be detected and countered and associated with innovative tactics and employments.
    • These asymmetric capabilities will be aimed at striking the operational centre of gravity and key nodes of the enemy.
    • The geographic advantages of the Taiwan Strait shall be tapped to shape favourable conditions to disrupt the operational tempo of the enemy, frustrate its attempts and moves of invasion.
    • Taiwan underlined its shift to an asymmetric approach by adopting the Overall Defence Concept (ODC) in 2018.

    Do you know?

    Indian armed forces follow the Cold Start Doctrine that involves joint operations between India’s three services and integrated battle groups for offensive operations. A key component is the preparation of India’s forces to be able to quickly mobilize and take offensive actions without crossing the enemy’s nuclear-use threshold.

    Need for such a strategy

    • China enjoys overwhelming military superiority over Taiwan.
    • Over the past decade, Beijing has developed far more accurate and precise weapon systems to target Taiwan.
    • China has been more vocal about its intention to “reunite” the island with the mainland, by force or coercion if needed.
    • The PLA has already achieved the capabilities needed to conduct an air and naval blockade, cyberattacks, and missile strikes against Taiwan.
    • PLA leaders now likely assess they have, or will soon have, the initial capability needed to conduct a high-risk invasion of Taiwan (following Russia’s path).

    How easy will it be for China?

    • Missile strikes, cyberattacks, air and naval blockade aside, undertaking a full-scale invasion across the Taiwan Strait, with attendant risks of anti-ship and anti-air attacks, could present challenges for China.
    • The PLA is estimated to have air and naval resources to carry out an initial landing of 25,000 or more troops, which could increase if it deploys civilian ships to meet its military objectives.
    • However, it will have to first select and secure a suitable beachhead from among the handful that is available.
    • Also, with small and agile weapons systems, Taiwan can turn its coastline into a kill zone that would deny China a walkover.
    • Beijing would have to rely on cyberattacks, missile strikes on Taiwan’s air bases and runways, and a blockade to choke it into surrendering.

     

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  • Centre launches ‘Ration Mitra’ Portal to register for Rations

    The Centre has launched a common facility to register names in ration cards on a pilot basis for 11 States and Union Territories.

    Ration Mitra

    • Ration Mitra’ Portal aims to enable these States to identify and verify the eligible beneficiaries for coverage under the National Food Security Act.
    • Named as Ration Mitr, this software developed by the National Informatics Centre can be used to enrol people of any State.
    • The portal is an enabler for States/UTs to complete their inclusion exercise under NFSA.
    • The NFSA provides food security coverage for 81.35 crore persons in the country. The present NFSA coverage is about 79.74 crore.

    About National Food Security (NFS) Act

    • The NFS Act, 2013 aims to provide subsidized food grains to approximately two-thirds of India’s 1.2 billion people.
    • It converts into legal entitlements for existing food security programs of the GoI.
    • It includes the Midday Meal Scheme, Integrated Child Development Services (ICDS) scheme and the Public Distribution System (PDS).
    • Further, the NFSA 2013 recognizes maternity entitlements.
    • The Midday Meal Scheme and the ICDS are universal in nature whereas the PDS will reach about two-thirds of the population (75% in rural areas and 50% in urban areas).
    • Pregnant women, lactating mothers, and certain categories of children are eligible for daily free cereals.

    Key provisions of NFSA

    • The NFSA provides a legal right to persons belonging to “eligible households” to receive foodgrains at a subsidised price.
    • It includes rice at Rs 3/kg, wheat at Rs 2/kg and coarse grain at Rs 1/kg — under the Targeted Public Distribution System (TPDS). These are called central issue prices (CIPs).

     

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  • When pharma companies cross red lines

    pharma companiesMarketing practices of pharma companies are under scrutiny after tax officials searched the premises of a drugmaker, and an association of medical representatives moved the Supreme Court alleging unethical marketing practices by drugmakers.

    paharma companiesThe Dolo controversy

    • Bengaluru-based pharmaceuticals company Micro Labs Ltd came under the spotlight recently over the promotion of its anti-fever drug Dolo 650, which was widely used during the covid-19 pandemic.
    • Surprisingly, this drug which contained paracetamol was widely endorsed by doctors all across the India.
    • The Supreme Court last week ordered the central government to respond to a petition filed on the issue of unethical marketing practices by drug makers.
    • The Income Tax department too has accused it of claiming unallowable expenses made on freebies meant to boost sales.

    How do drugmakers incentivize doctors?

    • While many medical professionals claim that financial incentives do not influence their practice, some say that private sector doctors are enticed by pharmaceutical companies’ marketing agents to promote their drugs.
    • Pharma companies’ sales executives visit doctors to brief them about new drugs or a new drug component.
    • They try to impress upon them to prescribe their brands and in return, doctors are offered some gifts name reminders such as pens, writing pads, books and sometimes expensive gifts and holidays.
    • Such benefits extended to doctors depend upon the kind of drug, the disease burden etc.

    pharma companiesIs this a widespread industry practice?

    • A government doctor said no pharma firm can sustain without marketing its drug.
    • It mostly happens when there is an outbreak, or if there is great demand for a particular drug or when a drug is being launched.
    • Unlike in the case of other products, the decision to buy a drug is not made by the consumer, but by the doctor.
    • This makes pharma a marketing-driven industry.

    Are hospitals incentivized too?

    • Yes; doctors at a top private hospital which treated a large number of covid-19 patients said drug giants do try to incentivize hospitals.
    • The possibilities increase when a large corporate hospital chain operating across the country buys a drug in bulk.
    • A doctor at a corporate hospital does not have any control over the drugs sold in the in-house pharmacy of the hospital.
    • Doctors running small clinics see limited patients, and they do not have pharmacies; so, the issue of incentivization does not arise.

    What does the I-T dept find wrong in this?

    • While pharma companies treat freebies as a marketing expense which is deducted while computing their taxable income, getting the beneficiary of this spending to report it as his income has been a challenge.
    • In some cases, tax officials have denied promotional expenses as a deduction.
    • Hence, the government introduced a 10% tax to be deducted at source (TDS) effective 1 July, so that doctors and social media influencers report such benefits in their tax returns and pay tax on what it is worth.

     

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  • Who was Vannuramma?

    The fort of legendry Vannuramma in Nallamala forest in the present day Mydukur mandal of Kadapa district is trending due to its rundown condition.

    Who was Vannuramma?

    • Vannuramma ruled five ‘Durgams’ (under fiefdom) between 1781 and 1796 with Sakarlapadu as the administrative headquarters.
    • According to historical accounts, she was born in Pathimadugu Rekulakunta, now in Kadapa district, and got married to Veerneni Chinna Narasimha Naidu in 1764.
    • The family had the practice of praying at Vannuru Swamy temple in Kalyanadurgam of Anantapur district.
    • Vannuramma thus got her name as she was born, as believed, as the god’s gift.
    • Though there are not many historical accounts, Kadapa-based writer Bommisetty Ramesh brought out the first book last year on her.
    • Based on information culled out from the Mackenzie Kaifiyat of Kadapa, he extensively toured the region ruled by her, collected folklore and verified the same with historians.

    Her legend

    • The very mention of the name ‘Vannuramma’ brought chill to the spine of the Matli kings and Kadapa Nawabs.
    • Of all the Polegars (local chieftains) who had ruled the regional territories of Rayalaseema before the advent of the British, the lone woman ruler remains forgotten from the pages of history.
    • Under attack from fellow Polegars, Vannuramma’s family fled Thippireddypalle and took shelter in Chagalamarri fort, where they lived for eight years before her husband breathed his last in 1780.
    • Vannuramma wielded the sword when the Matli king Appayya Raju and Mysore Sultan Hyder Ali’s follower Meeru Saheb waged a war, invaded Sakerlapadu Durgam and robbed the property of locals.
    • Mobilising her army, she declared a war and brought the territory back into her fold in 1781.

    Her death

    • Even the Golconda Nawabs, through their Kadapa henchman Khadarvali Khan, tried in vain to control her.
    • It was then they hatched a plan to woo her adopted son and arrested her on some flimsy charges.
    • When the unsuspecting Vannuramma attended the Matli king’s court to prove her innocence, she was slapped with charges of treason.
    • The Nawabs captured her and sentenced her with ‘Korthi’, an inhuman form of punishment where a person is made to sit on a sharpened tree stump and left to die.
    • Vannuramma died in full public view in the year 1718 of Salivahana Saka, which translates to August 16, 1796, i.e., 226 years back.

     

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  • India and Minerals Security Partnership (MSP)

    India is aspiring to join the 11-member US-led partnership for critical mineral supply chains called ‘Minerals Security Partnership (MSP)’.

    Why in news?

    • A group of western nations are cooperating to develop alternatives to China to ensure key industrial supplies.
    • This is a part of a global ‘China-plus-one’ strategy adopted post pandemic that caused massive supply-chain disruptions.
    • India is not part of this arrangement but New Delhi is working through diplomatic channels to fetch an entry.

    What is the Minerals Security Partnership (MSP)?

    • The US and 10 partners — Australia, Canada, Finland, France, Germany, Japan, the Republic of Korea (South Korea), Sweden, the United Kingdom, and the European Commission — have come together to form the MSP.
    • The new grouping is aimed at catalysing investment from governments and the private sector to develop strategic opportunities.
    • Demand for critical minerals, which are essential for clean energy and other technologies, is projected to expand significantly in the coming decades.
    • The MSP will help catalyse investment from governments and the private sector for strategic opportunities — across the full value chain — that adhere to the highest environmental, social, and governance standards.

    Focus of MSP

    • The new grouping could focus on the supply chains of minerals such as Cobalt, Nickel, Lithium, and also the 17 ‘rare earth’ minerals.
    • The alliance is seen as primarily focused on evolving an alternative to China, which has created processing infrastructure in rare earth minerals and has acquired mines in Africa for elements such as Cobalt.

    What are Rare Earth Elements?

    • The 17 rare earth elements (REE) include the 15 Lanthanides (atomic numbers 57 — which is Lanthanum — to 71 in the periodic table) plus Scandium (atomic number 21) and Yttrium (39).
    • REEs are classified as light RE elements (LREE) and heavy RE elements (HREE).
    • Some REEs are available in India — such as Lanthanum, Cerium, Neodymium, Praseodymium and Samarium, etc.
    • Others such as Dysprosium, Terbium, and Europium, which are classified as HREEs, are not available in Indian deposits in extractable quantities.

    Why are these minerals important?

    • Minerals like Cobalt, Nickel, and Lithium are required for batteries used in electric vehicles.
    • REEs are an essential — although often tiny — component of more than 200 consumer products, including mobile phones, computer hard drives, electric and hybrid vehicles, semiconductors etc.

    Where does India stand?

    • There is a dependence on countries such as China for HREEs, which is one of the leading producers of REEs, with an estimated 70 per cent share of the global production.
    • India is seen as a late mover in attempts to enter the lithium value chain, coming at a time when EVs are predicted to be a sector ripe for disruption.
    • The year 2022 is likely to be an inflection point for battery technology — with several potential improvements to the Li-ion technology.
    • India has an ambitious plan to convert a large percentage of its transport to electric, and would require these minerals.
    • According to the plan, 80 per cent of the country’s two- and three-wheeler fleet, 40 per cent of buses, and 30 to 70 per cent of cars will be EVs by 2030.

    What is India’s major concern at this moment?

    • If India is not able to explore and produce these minerals, it will have to depend on a handful of countries, including China, to power its energy transition plans to electric vehicles.
    • That will be similar to our dependence on a few countries for oil.

    Why was India excluded?

    • Industry watchers say that the reason India would not have found a place in the MSP grouping is that the country does not bring any expertise to the table.
    • In the group, countries like Australia and Canada have reserves and also the technology to extract them, and countries like Japan have the technology to process REEs.

     

     

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  • Ocean Thermal Energy Conversion Plant in Lakshadweep

    The National Institute of Ocean Technology is establishing an Ocean Thermal Energy Conversion (OTEC) plant with a capacity of 65 kilowatts (kW) in Kavaratti, the capital of Lakshadweep.

    What is OTEC Plant?

    • Ocean thermal energy conversion (OTEC) is a process or technology for producing energy by harnessing the temperature differences (thermal gradients) between ocean surface waters and deep ocean waters.
    • Energy from the sun heats the surface water of the ocean.
    • In tropical regions, surface water can be much warmer than deep water.
    • This temperature difference can be used to produce electricity and to desalinate ocean water.

    How do they work?

    • The OTEC technology uses the temperature difference between the cold water in the deep sea (5°C) and the warm surface seawater (25°C) to generate clean, renewable electricity.
    • The technology requires a minimum of 20°C difference between the surface and deep ocean temperatures.
    • Warm surface water is pumped through an evaporator containing a working fluid. The vaporized fluid drives a turbine/generator.
    • The vaporized fluid is turned back to a liquid in a condenser cooled with cold ocean water pumped from deeper in the ocean.
    • OTEC systems using seawater as the working fluid can use the condensed water to produce desalinated water.

     

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  • Demographic dividend

    Context

    The UN report, World Population Prospects 2022, forecasts that the world’s population will touch eight billion this year and rise to 9.8 billion in 2050. What is of immediate interest to India is that its population will surpass China’s by 2023 and continue to surge.

    India’s potential workforce and growth as projected by consulting firms

    •  Deloitte’s Deloitte Insights (September 2017) expects “India’s potential workforce to rise from 885 million to “1.08 billion people over the next two decades from today”, and “remain above a billion people for half a century,” betting that “these new workers will be much better trained and educated,” than their existing counterparts.
    • McKinsey & Company’s report, ‘India at Turning Point’ (August 2020), believes the “trends such as digitisation and automation, shifting supply chains, urbanisation, rising incomes and demographic shifts, and a greater focus on sustainability, health, and safety are accelerating” to “create $2.5 trillion of economic value in 2030 and support 112 million jobs, or about 30% of the non-farm workforce in 2030.”
    • Four pillarsIn its May 14, 2022 issue, The Economist had this to say about India, “As the pandemic recedes, four pillars are clearly visible that will support growth in the next decade. The four pillars are:
    • 1) The forging of a single national market.
    • 2) An expansion of industry owing to the renewable-energy shift and a move in supply chains away from China,
    • 3) Continued pre-eminence in IT.
    •  4) High-tech welfare safety-net for the hundreds of millions left behind by all this.
    • The Financial Times in an article, ‘Demographics: Indian workers are not ready to seize the baton’, believes that India’s bad infrastructure and poorly skilled workforce will impede its growth.

    Comparing India’s preparedness with China’s in 1970s

    • China is enduring an ongoing population implosion, which by 2050, will leave it with only 1.3 billion people, of whom 500 million will be past the age of 60.
    • India’s population, by contrast, would have peaked at 1.7 billion, of whom only 330 million will be 60 years or older.
    • Simply put, India is getting a demographic dividend that will last nearly 30 years.
    • There is so much going on for India today compared to China, the only country it can be reasonably compared to.
    • It is still a young country and in a much better position to transform itself compared to China of the 1970s.
    • It is still an open society where mass protest matters and produces results.
    • Indians have not been traumatised as Chinese were at the time of Mao Zedong’s death.
    • IT backbone: The IT technologies now available in India, and most importantly the Internet they run on have matured exponentially.
    • Many things right from video conferencing to instantaneous payments and satellite imaging are getting better and cheaper by the day.
    • Better administrative system: Creaky and inadequate as they are, India’s administrative systems manage to deliver and its infrastructure is in far better shape today than it was for China at the start of its reforms.
    • No rural urban divide: India does not have a Hukou system which in China tethers rural folk to rural parts creating a deep divide between a small and prosperous urban China and a much larger, very deprived rural China.

    Way forward for India

    • To wring the best out of its demographic dividend, India needs to invest massively in quality school and higher education as well as healthcare across India on an unprecedented scale, literally in trillions of rupees between now and 2050 when it would have reached the apogee of its population growth.

    Conclusion

    India must seize the moment and not be incremental in its approach. Given the will it can initiate and see through a transformation that will stun the world, even more than China’s has so far.

  • Govt withdraws Data Protection Bill

    The government has withdrawn the Personal Data Protection Bill from Parliament after several amendments were proposed by the Joint-Parliamentary Committee.

    What is Personal Data?

    • Data can be broadly classified into two types: personal and non-personal data.
    • Personal data pertains to characteristics, traits or attributes of identity, which can be used to identify an individual.
    • Non-personal data includes aggregated data through which individuals cannot be identified.
    • For example, while an individual’s own location would constitute personal data; information derived from multiple drivers’ location, which is often used to analyse traffic flow, is non-personal data.

    What is Data Protection?

    • Data protection refers to policies and procedures seeking to minimise intrusion into the privacy of an individual caused by collection and usage of their personal data.

    Why was a bill brought for Personal Data Protection?

    • In August 2017, the Supreme Court had held that Privacy is a fundamental right under Article 21 of the Constitution.
    • The Court also observed that privacy of personal data and facts is an essential aspect of the right to privacy.
    • In July 2017, a Committee of Experts, chaired by Justice BN Srikrishna, was set up to examine various issues related to data protection in India.
    • The committee submitted its report, along with a Draft Personal Data Protection Bill, 2018 to the Ministry of Electronics and Information Technology in July 2018.

    How is personal data regulated currently?

    • Currently, the usage and transfer of personal data of citizens is regulated by the Information Technology (IT) Rules, 2011, under the IT Act, 2000.
    • The rules hold the companies using the data liable for compensating the individual, in case of any negligence in maintaining security standards while dealing with the data.

    Issues with IT Rules, 2011

    • The IT rules were a novel attempt at data protection at the time they were introduced but the pace of development of digital economy has shown its shortcomings.
    • For instance, (i) the definition of sensitive personal data under the rules is narrow, and (ii) some of the provisions can be overridden by a contract.
    • Further, the IT Act applies only to companies, not to the government.

    What the Personal Data Protection Bill sought to provide?

    • Collection and storage: The bill regulate personal data related to individuals, and the processing, collection and storage of such data.
    • Data Principal: Under the bill, a data principal is an individual whose personal data is being processed.
    • Data fiduciary: The entity or individual who decides the means and purposes of data processing is known as data fiduciary.
    • Data processing: The Bill governs the processing of personal data by both government and companies incorporated in India.
    • Data localization: It also governs foreign companies, if they deal with personal data of individuals in India.
    • General consent: The Bill provides the data principal with certain rights with respect to their personal data. Any processing of personal data can be done only on the basis of consent given by data principal.
    • Data Protection Authority: To ensure compliance with the provisions of the Bill, and provide for further regulations with respect to processing of personal data of individuals, the Bill sets up a DPA.

    Issues with the PDP Bill

    • Exemptions to the govt: Section 35 of the bill permits the Central Government to exempt any agency of the Government from the provisions of the law.
    • No reasonable exemptions: There is no sufficient reason for government agencies to be exempted from basic provisions of the Bill.
    • Easy breach: Though this would be subject to procedures, safeguards, and oversight mechanisms to be prescribed by the Government.
    • Executive hegemony: There is no scope for oversight over the executive’s decision to issue such an order.
    • Arbitrary and intrusive: As demonstrated by the Pegasus case, the current frameworks for protecting citizens from arbitrary and intrusive State action lack robustness.

    Why is the state given exemption?

    • Biggest needy of Data: The State is one of the biggest processors of data, and has a unique ability to impact the lives of individuals.
    • Welfare objectives: It has a monopoly over coercive powers as well have the obligation to provide welfare and services.

    Issues with Exemption to State

    • Grounds of expediency: the use of this provision on grounds of expediency is an extremely low bar for the Government to meet.
    • Non requirement for exemption order: There is no requirement for an exemption order to be proportionate to meeting a particular State function.
    • No oversight on executive actions: There is no scope for oversight over the executive’s decision to issue such an order or any safeguards prescribed for this process.
    • State surveillance: Section 36(a) of the Bill provides for an exception where personal data is being processed against criminal investigation. This provision could therefore encourage vigilantism or enable privatized surveillance.

    Best practices followed across the world

    • The European GDPR (General Data Protection Regulation) is commonly seen as the pinnacle of data protection regulation worldwide.
    • The EU law has in place a separate law that deals with the processing of personal data by law enforcement agencies.
    • UK’s Data Protection Act dedicates Part 3 that liberalises certain obligations while at the same time ensuring that data protection rights are also protected.

    Way forward

    • Balancing privacy interests with those of public needs (such as that of State security) is a difficult task.
    • This should undergo rigorous consultations in Parliament taking into confidence all stakeholders.
    • Once debated in Parliament, one can only hope that adequate time and attention is given to finding a better balance between competing interests.

     

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  • Centre raises Fair Prices for Sugarcane Harvest

    The Cabinet Committee on Economic Affairs has approved Fair and Remunerative Price (FRP) of sugarcane for sugar season 2022-23 (October – September) at ₹305 per quintal.

    What is FRP?

    • FRP is fixed under a sugarcane control order, 1966.
    • It is the minimum price that sugar mills are supposed to pay to the farmers.
    • However, states determine their own State Agreed Price (SAP) which is generally higher than the FRP.

    Factors considered for FRP:

    • The amended provisions of the Sugarcane (Control) Order, 1966 provides for fixation of FRP of sugarcane having regard to the following factors:
    1. a) cost of production of sugarcane;
    2. b) return to the growers from alternative crops and the general trend of prices of agricultural commodities;
    3. c) availability of sugar to consumers at a fair price;
    4. d) price at which sugar produced from sugarcane is sold by sugar producers;
    5. e) recovery of sugar from sugarcane;
    6. f) the realization made from the sale of by-products viz. molasses, bagasse, and press mud or their imputed value;
    7. g) reasonable margins for the growers of sugarcane on account of risk and profits.

    Who determines Sugarcane prices?

    Sugarcane prices are determined by the Centre as well as States.

    1. The Centre announces Fair and Remunerative Prices which are determined on the recommendation of the Commission for Agricultural Costs and Prices (CACP) and are announced by the Cabinet Committee on Economic Affairs, which is chaired by Prime Minister.
    2. The State Advised Prices (SAP) are announced by key sugarcane producing states which are generally higher than FRP.

    Minimum Selling Price (MSP) for Sugar

    • The price of sugar is market-driven & depends on the demand & supply of sugar.
    • However, with a view to protecting the interests of farmers, the concept of MSP of sugar has been introduced since 2018.
    • MSP of sugar has been fixed taking into account the components of Fair & Remunerative Price (FRP) of sugarcane and minimum conversion cost of the most efficient mills.

    Basis of price determination

    • With the amendment of the Sugarcane (Control) Order, 1966, the concept of Statutory Minimum Price (SMP) of sugarcane was replaced with the Fair and Remunerative Price (FRP)’ of sugarcane in 2009-10.
    • The cane price announced by the Central Government is decided on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP).
    • This is done in consultation with the State Governments and after taking feedback from associations of the sugar industry.

    Try this PYQ:

     

    Q.The Fair and Remunerative Price (FRP) of sugarcane is approved by the:

    (a) Cabinet Committee on Economic Affairs

    (b) Commission for Agricultural Costs and Prices

    (c) Directorate of Marketing and Inspection, Ministry of Agriculture

    (d) Agricultural Produce Market Committee

     

    [wpdiscuz-feedback id=”uwa0gzukwy” question=”Please leave a feedback on this” opened=”1″]Post your answers here.[/wpdiscuz-feedback]

     

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  • Making sense of the ‘freebies’ issue

    Context

    Concern over ‘freebies’ in Indian politics has recently been expressed by those in the highest offices in the country.

    Issue of irrational freebies

    • Challenge in defining freebies: There is often confusion on what constitutes ‘freebies’, with a number of services that the Government provides to meet its constitutional obligations towards citizens also being clubbed in this category.
    • Distortion of electoral process: A Bench headed by the Chief Justice of India recently heard a public interest litigation in which the petitioner argued against the promise of ‘irrational freebies’ by claiming that these distort the electoral process.
    • The bench asked the Central government to take a stand on the need to control the announcement of ‘freebies’ by political parties during election campaigns.
    • The Court also suggested that the Finance Commission could be involved to look into the matter and propose solutions.
    • The basic argument is that these are a waste of resources and place a burden on already stressed fiscal resources.
    • Discussions on ‘freebies’ not only include the free distribution of what may be considered ‘club goods’ such as televisions but also welfare schemes such as free or subsidised rations under the Public Distribution System (PDS) and work provided through the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

    Can we term foodgrain distribution under PDS as freebies?

    • It ensures food security: Subsidised foodgrains distributed under the PDS not only contribute to ensuring basic food security but also act as an implicit income transfer allowing the poor to afford commodities that they otherwise could not.
    • Price support for farmers: Further, the PDS also plays an important role in our country where public procurement at minimum support prices (MSPs) is one of the main instruments of support to farmers.
    • The PDS allows foodgrains to be available for cheap for consumers while assuring remunerative prices to farmers.
    • Food security during emergency: The PMGKAY is probably what kept many away from the brink of starvation during the novel coronavirus pandemic.
    • From around the mid-2000s, the PDS increasingly became a political issue, with State governments expanding coverage and reducing prices.
    •  This ultimately led to the National Food Security Act being passed by Parliament unanimously in 2013.
    • Despite its shortcomings, it cannot be denied that the PMGKAY and the support that it provided during the pandemic would have been impossible had it not been for the NFSA which expanded the coverage of the PDS to about two thirds of the population.
    • In its absence, a much smaller number of people would have had ration cards with high errors in identification.

    Other welfare schemes

    •  At a time when there are few employment opportunities, working under MGNREGA can guarantee some assured wages; if implemented in the true spirit of the legislation this is also demand-based and, therefore, responds to as much need as there is.
    • Similarly, mid-day meals in schools have been proven to contribute to increased enrolment and retention in schools and addressing classroom hunger.
    • A number of other schemes such as old age, single women and disabled pensions, community kitchens in urban areas, free uniforms and textbooks for children in government schools, and free health-care services play a critical role in providing social security and access to basic entitlements in our country.

    Way forward

    • Building public pressure towards making welfare delivery an electoral issue is the need of the hour.
    • It is important to recognise that most welfare schemes contribute to improving human development outcomes, which also results in higher economic growth in future.
    • As suggested by the Supreme Court, the Finance Commission could be tasked with formulating the criterion to come up with the criterion for freebies.
    • Sometimes, this process throws up initiatives that seem ‘wasteful’ — while these must be discussed, one cannot deny them completely.

    Conclusion

    There are a number of lacunae in these programmes which call for expansion in coverage, allocation of greater resources, along with putting in place mechanisms for greater accountability and grievance redress.

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