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GS Paper: GS3

  • Aravalli Hills: 90% Lose Protection, FSI Red-Flag Ignored

    Why in the News?

    • On 20 Nov 2025, the Supreme Court approved the government’s definition of Aravalli Hills as any hill 100 m or higher above local ground.
    • Problem: This definition excludes 90% of Aravalli hills, making them open for mining and construction.

    Background

    • The Aravalli Range runs from Delhi to Gujarat through Haryana and Rajasthan.
    • It is oldest fold mountains in India and plays a key role in ecology, dust control, groundwater, and wildlife corridors.
    • In 2024, the SC asked the government to create a uniform Aravalli definition.

    FSI’s Warning

    • Lower hills (20–100 m) act as natural windbreaks, blocking sand and dust from Thar desert.
    • Removing protection risks:
      • Higher air pollution in NCR
      • Loss of wildlife corridors
      • Impact on agriculture and farmer livelihoods
    If there were no Himalayan ranges, what would have been the most likely geographical impact on India? (2010)

    1. Much of the country would experience the cold waves from Siberia. 

    2. Indo-gangetic plain would be devoid of such extensive alluvial soils. 

    3. The pattern of monsoon would be different from what it is at present. 

    Which of the statements given above is/are correct? 

    (a) 1 only 

    (b) 1 and 3 only 

    (c) 2 and 3 only 

    (d) 1, 2 and 3

    The profound geographical and ecological functions of a major mountain range, which directly parallels the catastrophic risks associated with losing the Aravallis.

  • Rupee is Asia’s worst performing currency

    Introduction

    The Indian Rupee has depreciated 4.3% against the US Dollar in 2025, making it Asia’s worst-performing currency. Analysts warn that the INR may slide to ₹90 per USD if the India-US trade deal does not materialise soon. The rupee’s movement is now driven more by global dollar strength than by domestic fundamentals. Persistent capital outflows, a rising trade deficit, U.S. tariffs, and a surge in gold imports have intensified pressure on the domestic currency.

    Why This Matters: Rupee Hits Asia’s Lowest Position

    The rupee’s sharp 4.3% calendar-year depreciation marks one of the steepest declines among Asian currencies. This contrasts sharply with the appreciation seen in much of the Asian currency complex, led by the Chinese Yuan through strong intervention by China’s central bank. The situation is aggravated by India’s record $41.7 billion trade deficit, U.S. tariff shocks, and a gold price spike that spurred a 200% rise in ETF investments. The worsening outlook raises concerns of the rupee breaching ₹90 per USD, a level not previously approached in recent years.

    Drivers Behind the Rupee’s Depreciation

    1. Global Dollar Strength: Dollar appreciation of 3.6% over two months increased pressure on most Asian currencies, including the INR.
    2. External Shocks:
      1. U.S. tariffs on Indian goods directly added stress.
      2. High precious metal prices increased import bills.
    3. Capital Outflows: The current account remains “benign”, but the depreciation is driven by capital flight, not trade fundamentals.
    4. Comparative Weakness: INR weakened more than IDR (2.9%) and PHP (1.3%), marking a distinct underperformance.

    Rupee’s Position Relative to Asian Peers

    1. Underperformance vs. China and Indonesia: Specialists note that while Indonesian Rupiah and Chinese Yuan have depreciated, INR weakened further.
    2. Better Than Structurally Weak Majors: INR still fares better than the Japanese Yen and Korean Won, which face domestic policy constraints.
    3. Asian Currency Complex Trend: Most Asian currencies appreciated, driven by Chinese intervention through PBOC/SAFE signalling.

    Market Movements and Recent Lows

    1. New Lows Recorded: Rupee touched 88.8 per USD on 21 November 2025, breaking earlier RBI-supported levels.
    2. Intraday Weakness: Fell further to 89.66, signalling intense currency-market stress.
    3. Partial Recovery: Rupee recovered to 89.22 by Tuesday, though still significantly weaker on a monthly basis.

    Trade Deficit and Macro Pressures Intensifying Rupee Weakness

    1. Record Trade Deficit: October witnessed a $41.7 billion merchandise trade deficit triggered by tariff hikes.
    2. Gold Import Surge:
      1. Gold imports spiked to $14.72 billion in October.
      2. Gold ETF demand rose by 200% due to soaring global prices.
    3. Twin External Shocks: Tariffs + gold price rise combine with geopolitical uncertainty to pressure the currency.

    Impact of the U.S. Tariffs and Policy Changes

    1. 50% Tariff Imposed by U.S.: Direct impact on India’s export competitiveness, worsening the trade deficit.
    2. Cumulative Effect on Rupee: Tariffs + gold imports + dollar strength + capital outflows create a compounding depreciation effect.
    3. Forward Outlook: Without a trade deal with the U.S., the rupee may breach ₹90 per USD.

    Conclusion

    The rupee’s position as Asia’s worst-performing currency signals deeper stresses in India’s external sector. The depreciation stems from global dollar dominance, tariff shocks, capital outflows, and rising import bills. While partial recoveries occur, the broader trajectory depends heavily on the India-US trade negotiations and management of external vulnerabilities. Ensuring macroeconomic stability will require coordinated steps in trade policy, forex management, and domestic economic resilience.

    PYQ Relevance

    [UPSC 2018] How would the recent phenomena of protectionism and currency manipulations in world trade affect macroeconomic stability of India?

    Linkage: It is directly linked to GS-3: External Sector, as it examines how tariffs and currency moves affect India’s macroeconomic stability. It is relevant for understanding exchange-rate volatility, CAD pressures, and global protectionist trends.

  • Pazhayar River Pollution in Nagercoil

    Why in the News?

    • Rampant sewage discharge into the Pazhayar River in Nagercoil (Tamil Nadu), especially near Ozhuginesary, has raised serious environmental and public health concerns.
    • A 2024 situational report highlighted severe domestic, agricultural, and industrial (rubber processing) pollution in the river.
    • Nagercoil Corporation has initiated steps to seal sewage inlets, but pollution remains widespread.

    About the Pazhayar River

    • A perennial river in Kanniyakumari district, Tamil Nadu.
    • Part of the Kodhayar River Basin, covering 1,646.964 sq km.
    • Basin lies entirely within Tamil Nadu, with a small stretch in Radhapuram (Tirunelveli district).

    Biological Oxygen Demand (BOD) is a standard criterion for (2017)

    (a) Measuring oxygen levels in blood 

    (b) Computing oxygen levels in forest ecosystems 

    (c) Pollution assay in aquatic ecosystems 

    (d) Assessing oxygen levels in high altitude regions

  • Capital Gains Accounts (Second Amendment) Scheme, 2025

    Why in the news? 

    The Ministry of Finance has notified the Capital Gains Accounts (Second Amendment) Scheme, 2025, introducing major changes to the existing Capital Gains Account Scheme (CGAS), 1988. The amendments aim to modernise processes, expand banking access, and increase clarity for taxpayers seeking capital gains exemptions.

    About Capital Gains Account Scheme (CGAS), 1988

    • Launched by the Central Government in 1988.
    • Objective: To help taxpayers claim exemptions on long-term capital gains when reinvestment cannot be completed before the ITR filing due date.
    • Linked mainly to Section 54, 54F, and related provisions of the Income Tax Act.

    Why CGAS is Needed?

    • Exemption requires reinvestment of capital gains within:
      • 2 years (purchase of property)
      • 3 years (construction of property)
    • If this period extends beyond the ITR filing deadline, the taxpayer can temporarily deposit unutilised gains in CGAS to keep the exemption claim valid.

    Important Conditions

    • Deposit must be made before filing Income Tax Return.
    • Money deposited is treated as reinvested for exemption.
    • If the amount is not utilised within the stipulated period, it becomes taxable long-term capital gains in that year.
    • Only long-term capital gains qualify — short-term gains are NOT eligible.

    Who Can Deposit in CGAS?

    • Any person with long-term capital gains, including: Individuals, HUFs, Companies, Firms, Trusts, and Any eligible taxpayer seeking exemption
    • Mainly used by property sellers who need more time to reinvest.

    Capital Gains Accounts (Second Amendment) Scheme, 2025 — Key Changes

    • Expansion of Authorized Banks: Previously limited mostly to Public Sector Banks + IDBI Bank.
      • Now extended to 19 private and small finance banks at all non-rural branches.
    • Non-rural branch condition: Branch must be located in an area with population ≥ 10,000 (2011 Census).
      • Rural branches cannot open CGAS accounts.
    • Wider Definition of Electronic Payments: Electronic deposits can now be made through: Credit cards, Debit cards, Net banking, IMPS, UPI, RTGS, NEFT and BHIM Aadhaar Pay.This modernises the earlier narrow definition of “electronic mode”.
    • Online Closure of CGAS Accounts (From April 1, 2027): Closure requests can be submitted electronically using:
      • Digital Signature (DSC)
      • Electronic Verification Code (EVC)
      • Earlier: Closure only through physical branches.
    • Clarification on Effective Date of Deposit: For cheque/DD/electronic transfers, the date of receipt of the payment instrument along with account application at the Deposit Office is treated as the effective date.Removes ambiguity around last-day deposits for tax exemption.
    • Electronic Statements Permitted: Banks can now issue electronic statements instead of physical passbooks.
      • Aligns CGAS with general digital banking norms.
    •  Extension of CGAS to Section 54GA: CGAS can now be used for exemptions under Section 54GA:

      • Relates to capital gains arising from shifting an industrial undertaking from an urban area to a Special Economic Zone (SEZ).
      • Broadens applicability beyond property-related reinvestments.
    Consider the following statements: (2025)

    I. Capital receipts create a liability or cause a reduction in the assets of the Government. 

    II. Borrowings and disinvestment are capital receipts. 

    III. Interest received on loans creates a liability of the Government. 

    Which of the statements given above are correct? 

    (a) I and II only 

    (b) II and III only 

    (c) I and III only 

    (d) I, II and III

  • African Grey Parrot Trade in India

    Why in the News?

    • A series of RTI applications filed by The Hindu across 19 States/UTs revealed that most State Forest Departments have no records of breeders, pet shops, or ownership registrations for the African Grey Parrot, despite the species being widely available in pet markets.
    • Only Kerala reported receiving 17 breeder licence applications through the PARIVESH portal, exposing major gaps in India’s monitoring of exotic species trade.

    About Species Profile

    • African Grey Parrot (Psittacus erithacus)
    • IUCN Status: Endangered
    • CITES Status: Appendix I (Highest level of protection; commercial international trade highly restricted)
    • WPA 1972: Listed under Schedule IV (post-2022 amendments)

    Legal & Regulatory Framework (India)

    Living Animal Species (Reporting and Registration) Rules, 2024

    • Mandatory registration of all exotic live species on PARIVESH 2.0.
    • Applies to: Pet owners, Pet shops and Breeders.

    Breeders of Species Licence Rules, 2023

    To breed any CITES Appendix I species, an applicant must possess:

    • Breeding Licence from State Chief Wildlife Warden
    • CITES Import Permit
    • DGFT Import Licence Number
    • NOC from State Chief Wildlife Warden prior to import

    Wildlife Protection Act (WPA), 1972

    • African Grey Parrot → Schedule IV
    • Illegal possession/trade punishable under WPA
    With reference to the International Union for Conservation of Nature and Natural Resources (IUCN) and the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), which of the following statements is/are correct? (2015)

    (1) IUCN is an organ of the United Nations and CITES is an international agreement between governments. 

    (2) IUCN runs thousands of field projects around the world to better manage natural environments. 

    (3) CITES is legally binding on the States that have joined it, but this Convention does not take the place of national laws. 

    Select the correct answer using the code given below. 

    (a) 1 only 

    (b) 2 and 3 only 

    (c) 1 and 3 only 

    (d) 1, 2 and 3

  • Auramine O Adulteration in Food: A Persistent Food-Safety Challenge in India

    Why in the News?

    • Recent inspections by state food-safety departments and laboratory analyses by academic institutions have once again detected the presence of Auramine O — a banned industrial dye — in sweets, savoury items, and brightly coloured chickpeas sold in public.

    What is Auramine O?

    • A synthetic bright yellow industrial dye.
    • Uses: textiles, leather, printing inks, paper, microbiological staining.
    • Not permitted as food colour in India, USA, EU, or most countries.
    • IARC Classification: Possibly carcinogenic to humans (Group 2B).

    Why is Auramine O Harmful?

    • Toxicological risks:
      • Liver & kidney damage
      • Spleen enlargement
      • Mutagenic effects
      • Potential carcinogenicity
      • Organ lesions even at low doses

    How Does Auramine Enter the Food Chain?

    • Cheap industrial dyes are sold informally in markets.
    • Used by small vendors to mimic:
      • Saffron
      • Turmeric
      • Approved synthetic colours
    • Usage spikes during festivals when brightly coloured sweets/snacks are in demand.
    • Lack of awareness and cost pressure lead to misuse.

    Commonly Adulterated Food Items

    • Bright yellow chickpeas
    • Laddus, peda, halwa
    • Namkeen, mixtures
    • Pickles and condiments

    Regulatory Framework – India

    Food Safety and Standards Act (2006)

    • Defines adulteration.
    • Penalties: fines + imprisonment (for injury/death).

    FSSAI Initiatives

    • Sampling & crackdown during festive seasons.
    • Seizures of illegal dyes and prosecution.
    • New order: bold, larger nutritional information on labels.
    • Awareness programs for:
      • Micro and small enterprises
      • Street vendors

     

    Consider the following statements: (2018)

    1. The Food Safety and Standards Act, 2006 replaced the Prevention of Food Adulteration Act, 1954. 
    2. The Food Safety and Standards Authority of India (FSSAI) is under the charge of Director General of Health Services in the Union Ministry of Health and Family Welfare. 

    Which of the statements given above is/are correct? 

    1. 1 only 
    2. 2 only 
    3. Both 1 and 2 
    4. Neither 1 nor 2
  • DRI Seizes 32 kg Methamphetamine in North East

    Why in the News?

    The Directorate of Revenue Intelligence (DRI) has seized 32 kg methamphetamine tablets worth ₹32 crore in two separate operations in Assam and Tripura, exposing the continued use of the Indo–Myanmar route for drug trafficking. Three persons have been arrested under the NDPS Act, 1985.

    About Methamphetamine  

    • A synthetic psychostimulant
    • Known as Ya Ba / Speed pills in Southeast Asia
    • Highly addictive
    • Controlled under Schedule of NDPS Act, 1985

    What is Hydroponic Weed?

    • Marijuana grown in nutrient-rich water systems, not soil
    • Higher potency due to controlled conditions
    • New smuggling trend: carried by air passengers into NE India

    NDPS Act, 1985  

    • Regulates narcotic drugs and psychotropic substances
    • Provides for seizure, arrests, forfeiture
    • Commercial quantity offences: 10–20 years imprisonment
    • Empowered agencies: DRI, NCB, Customs, State Police, BSF, Assam Rifles
    Q: India’s proximity to two of the world’s biggest illicit opium-growing states has enhanced her internal security concerns. Explain the linkages between drug trafficking and other illicit activities such as gunrunning, money laundering and human trafficking. What countermeasures should be taken to prevent the same? (UPSC 2018) 
  • HMDA to use bioremediation to clean up Hussainsagar lake

    Why in the News?

    The Hyderabad Metropolitan Development Authority (HMDA) has announced a new advanced bioremediation initiative using enzyme solutions and biochar-based Bokashi balls to clean and restore Hussainsagar Lake, which has long suffered from algal blooms, foul odour, sewage inflow, and industrial pollution.

    About Hussainsagar Lake

    • A 16th-century artificial lake in Hyderabad.
    • Faces severe pollution due to:
      • Sewage inflow
      • Nutrient overload (nitrates, phosphates)
      • Industrial waste
    • Problems: algal blooms, foul odour, low Dissolved Oxygen (DO), high Biochemical Oxygen Demand (BOD).

    What Is Bioremediation?

    • Definition: Use of microorganisms, enzymes, or biological materials to break down pollutants and restore ecosystems.
    • Types relevant here:
      • In-situ bioremediation – treating the lake onsite without removing water.
      • Bio-augmentation – adding microbial cultures to enhance degradation.
      • Aerobic/oxygenation systems – boost DO to improve water quality.

    New Intervention Planned by HMDA

    • Enzyme Solutions

        • Enhance microbial breakdown of organic pollutants.
        • Help reduce nutrient load responsible for algal blooms.
    • Bokashi Balls (with Biochar)

      • Bokashi = fermented organic matter rich in beneficial microbes.
      • Biochar:
        • Carbon-rich material produced from biomass.
        • Increases microbial activity, absorbs toxins, improves water clarity.
      • Purpose:
        • Reduce algae, odour, pathogenic bacteria.
        • Increase water transparency and DO levels.
    In the context of solving pollution problems what is/are the advantage/disadvantages of bioremediation technique? (2017)

    1. It is a technique for cleaning up pollution by enhancing the same biodegradation process that occurs in nature. 

    2. Any contaminant with heavy metals such as cadmium and lead can be readily and completely treated by bioremediation using microorganisms. 

    3. Genetic engineering can be used to create microorganisms specifically designed for bioremediation. 

    Select the correct answer using the code given below: 

    (a) 1 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3

  • Moss Spores Survive Months in Space

    Why in the news?

    A recent study published in iScience revealed that moss spores (Physcomitrium patens) survived nine months outside the International Space Station (ISS), enduring vacuum, cosmic radiation, microgravity, and temperature extremes. Over 80% of the spores survived and successfully germinated on return to Earth. Scientists estimate moss could survive up to 15 years in space.

    Key Findings of the Study

    • 20,000 moss spores were placed outside the ISS in March 2022.
    • Exposed to: Vacuum, Cosmic radiation, Microgravity and Extreme temperatures
    • After 283 days, the spores were retrieved.
    • Results: 80% survived
      • Among survivors, 89% germinated successfully
      • Chlorophyll levels normal except a 20% drop in chlorophyll a, but not harmful
    • Survival attributed to multiple spore wall layers offering passive protection.

    About the Species

    • Species: Physcomitrium patens
    • Model organism for plant evolutionary studies
    • Mosses are one of the earliest land plants
    • Already known for surviving:
      • Antarctica
      • Volcanic fields
      • Deserts

    Why Moss Survived – Scientific Insight

    • Multiple thick-walled layers → physical shielding
    • Ability to remain in dormant state
    • Natural mechanisms to handle:
      • Radiation
      • Desiccation
      • Freezing and thawing cycles

    Why Is This Significant?

    • Implications for Space Exploration: 
        • Ability to survive harsh space environments → potential role in: Oxygen generation, Humidity control, Soil formation on Moon/Mars.
        • Supports concepts of bioregenerative life-support systems
        • It could be used in terraforming experiments on other celestial bodies
    • Astrobiology

        • Supports the idea that primitive plant life could survive interplanetary transport.
        • Relevant to panspermia hypothesis (life spreading across planets via spores).
    • Long-term Human Habitats

      • Moss can grow with minimal resources
      • Can contribute to:
        • Closed-loop ecosystems
        • Sustainable habitats
        • Psychological well-being in isolated environments (greenery)
    Consider the following statements: (2023)

    1. Some microorganisms can grow in environments with temperature above the boiling point of water. 

    2. Some microorganisms can grow in environments with temperature below the freezing point of water. 

    3. Some microorganisms can grow in highly acidic environment with a pH below 3. 

    How many of the above statements are correct? 

    (a) Only one (b) Only two (c) All three (d) None

  • Labour codes: what changes for workers and employers

    Introduction

    The four labour codes, Code on Wages, Code on Social Security, Industrial Relations Code, and Occupational Safety, Health and Working Conditions Code, aim to simplify compliance for industries, expand social security to workers, and improve ease of doing business. However, labour being a concurrent subject, implementation depends on states, and concerns have emerged about job security, worker rights, and the impact on collective bargaining.

    Why in the News

    The government has notified the implementation of four labour codes after over five years of deliberation and the consolidation of 29 central labour laws. This marks the first time India will operate under a uniform nationwide wage system and a consolidated social security architecture. While the reforms promise simplified compliance and a push for manufacturing efficiency, trade unions warn of reduced strike power, easier employee termination, and increased precarity for informal workers, making it one of the most debated labour reforms in recent times.

    Labour Codes and the Changing Labour Landscape

    1. Consolidation of 29 laws into four codes to create uniformity and remove overlapping provisions.
    2. Target shift from penal to compliance-based enforcement, especially for small firms and first-time offences.
    3. Push for economies of scale in manufacturing, signalling alignment with global production norms.

    Code on Wages: What changes for employees and employers?

    1. Uniform definition of wages: It ensures consistency in minimum wage calculation across states and sectors.
    2. Mandated national floor wage: It enables states to set minimum wages only above the national baseline.
    3. Time-bound wage payment: within 2 days of resignation/termination and 7 days of completion of the wage period.
    4. Broader coverage for all employees irrespective of industry or wage threshold.
    5. Overtime provisions strengthened: capped at 48 hours weekly, 12 hours daily shift duration permitted with breaks.

    Code on Social Security: Is the social net expanding?

    1. Unified ecosystem of social security: It covers unorganised, informal, gig, and platform workers for the first time.
    2. National Social Security Board: For recommendations, registration, schemes, and funding decisions.
    3. Corporate Co-contribution: Corporates may co-contribute to gig/platform worker benefits but funding split still unclear.
    4. ESIC expansion: Applies to sectors previously exempt; plantation workers included voluntarily.
    5. Formalisation incentive through maternity benefits, gratuity reforms, and inclusion of fixed-term employees.

    Industrial Relations Code: Does it limit collective bargaining?

    1. Stricter strike rules: 60-day notice before strike and prohibition of strike in the next 14 days of conciliation.
    2. Increase in threshold: Threshold for prior permission for layoffs raised from 100 to 300 workers, enabling easier hiring-firing.
    3. Negotiating Union provision: Only unions with 51% membership can negotiate; multi-union negotiation councils for fragmented memberships.
    4. Push for stable industrial climate: It is criticised for shrinking bargaining space for workers.

    OSH Code: Will workplace safety improve?

    1. Standardised norms: Across industries norms for working hours, workplace safety, and facility obligations.
    2. Mandatory free annual health check-ups: For workers in notified industries.
    3. Women allowed in all sectors and night shifts: subject to safety conditions.
    4. Increased accountability for establishments: In case of handling hazardous activities and migrant labour.

    Conclusion

    The labour codes aim to simplify compliance and strengthen India’s labour market to support manufacturing-led growth. However, concerns persist regarding job security, collective bargaining, and implementation across states. Successful outcomes depend on balancing economic flexibility with worker protection and ensuring that reforms lead to formalisation without vulnerability.

    PYQ Relevance

    [UPSC 2024] Discuss the merits and demerits of the four ‘Labour Codes’ in the context of labour market reforms in India. What has been the progress so far in this regard?

    Linkage: Growth driven mainly by labour productivity has led to GDP rising without proportional job creation. This links to the four Labour Codes, which seek higher productivity and flexibility, but face concerns on whether they will create jobs while protecting workers.