PYQ Relevance:
[UPSC 2021] Investment in infrastructure is essential for more rapid and inclusive economic growth.” Discuss in the light of India’s experience.
Linkage: Vizhinjam Port is seen as a major infrastructure project that can bring big economic benefits and boost growth in the region. This “port of the future” is a clear example of how building key infrastructure can help speed up development and strengthen India’s role in global sea trade. |
Mentor’s Comment: The town of Vizhinjam in Kerala has been an important part of global sea trade since ancient times. Inscriptions from the Pandya-Chola period (1129 AD) refer to it as Rajendra Chola Pattinam, a key port in Kerala. Some historians believe that Vizhinjam was earlier known as Balita, a port mentioned in the 1st-century travel book The Periplus of the Erythraean Sea. Over time, however, Vizhinjam lost its importance when colonial powers began to focus on developing other ports like Cochin and Madras.
Today’s editorial analyses the first deep-water container transhipment port at Vizhinjam. This content would help in the GS Paper II (International Relations) and GS Paper III (Port & Infrastructure).
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Let’s learn!
Why in the News?
India’s first deep-water container transshipment port at Vizhinjam has been officially opened by the Prime Minister.
What historical records highlight Vizhinjam’s ancient maritime significance?
- Inscriptions from the Pandya-Chola Era (1129 AD): Vizhinjam was referred to as Rajendra Chola Pattinam, highlighting its importance under Chola rule. Eg: Inscriptions found in Tamil Nadu indicate Vizhinjam was a maritime outpost under Rajendra Chola I.
- Mention in The Periplus of the Erythraean Sea (1st century AD): Scholars correlate Vizhinjam with Balita, a port listed in this Greco-Roman navigational text. Eg: The Periplus details trade with South Indian ports exporting spices, pearls, and textiles.
- Vital Node in the Ancient Spice Route: Vizhinjam facilitated trade in pepper and aromatics between India and the Greco-Roman world. Eg: Goods from Kerala were shipped to Alexandria and further into Europe via this port.
- Geographic Advantage as a Natural Port: Vizhinjam’s deep-sea location and sheltering coastline made it ideal for anchorage and monsoon navigation. Eg: Sailors preferred Vizhinjam for docking during the southwest monsoon season.
- Decline Due to Colonial Maritime Reorientation: Colonial interests bypassed Vizhinjam in favor of Cochin and Madras, leading to its historical obscurity. Eg: The British East India Company developed Cochin, reducing Vizhinjam’s strategic relevance.
Why is Vizhinjam Port crucial for India’s transshipment strategy?
- Proximity to International Shipping Routes: Vizhinjam lies just 10 nautical miles from the busy east–west international sea route, reducing diversion time for vessels. Eg: Ships plying between the Persian Gulf and the Malacca Strait can easily access Vizhinjam without significant deviation.
- Natural Deep-Draft Port: It has a natural depth of over 20 meters, allowing large container ships (like Ultra Large Container Vessels) to dock without dredging. Eg: Unlike ports such as Chennai or Kolkata, Vizhinjam can handle Mother Vessels directly.
- Reduces India’s Dependence on Foreign Ports: India currently transships ~75% of its cargo through ports like Colombo, Singapore, and Jebel Ali. Vizhinjam aims to internalize this traffic. Eg: Container traffic from Kochi or Tuticorin often goes to Colombo first—Vizhinjam can bypass this.
- Strategic Location for Regional Hub Development: Located on the southern tip of India, it can serve as a transshipment hub for South Asia and East Africa. Eg: Ports in Maldives, Seychelles, and even parts of the African east coast could be serviced via Vizhinjam.
- Boosts Sagarmala and Atmanirbhar Bharat Goals: It aligns with India’s vision to develop port-led development and reduce logistic costs under the Sagarmala Programme. Eg: Vizhinjam complements other projects like Vadhavan and Paradip in creating an integrated maritime network.
Who are the main stakeholders in the Vizhinjam Port project?
- Government of Kerala: Owns the port infrastructure and plays a key role in policy, land acquisition, and facilitating local support. Eg: Kerala State Industrial Development Corporation (KSIDC) is involved in project coordination.
- Adani Ports and SEZ Ltd (APSEZ): The main private developer and operator of the port under a Public-Private Partnership (PPP) model. Eg: APSEZ is responsible for design, build, finance, operate, and transfer (DBFOT) of the port.
- Central Government of India: Provides financial assistance and regulatory approvals via the Ministry of Ports, Shipping and Waterways. Eg: The project received viability gap funding (VGF) from the Centre to make it commercially feasible.
- Local Community and Fisherfolk: Crucial stakeholders impacted by land use, fishing access, and environmental changes. Eg: Protests by fishing communities in 2022 highlighted concerns over displacement and livelihood loss.
- Environmental and Regulatory Bodies: Ensure compliance with Coastal Regulation Zone (CRZ) norms, environmental clearances, and sustainable development. Eg: The Ministry of Environment, Forest and Climate Change (MoEFCC) granted conditional clearance after EIA studies.
How can Vizhinjam’s economic potential mirror global models like Shenzhen?
- Strategic Coastal Location for Global Trade: Like Shenzhen, Vizhinjam lies close to major global shipping routes, enabling it to become a vital logistics hub. Eg: Vizhinjam is just 10 nautical miles from the international east-west shipping corridor, ideal for transshipment.
- Integrated Industrial and Port Development: Shenzhen’s success came from combining port infrastructure with export-oriented industrial zones; Vizhinjam can follow suit with Special Economic Zones (SEZs). Eg: Planned industrial corridors around Vizhinjam can attract electronics, pharmaceuticals, and marine processing units.
- Private Sector-Led Infrastructure Expansion: Like Shenzhen’s model of leveraging private investment for rapid development, Vizhinjam is being developed under PPP with Adani Ports. Eg: Adani Ports has experience in developing Mundra Port as an integrated commercial port ecosystem.
- Tech-Driven, Green Port Initiatives: Shenzhen is a pioneer in using smart and sustainable technologies; Vizhinjam can adopt automation, renewable energy, and green logistics. Eg: Vizhinjam’s deep draft allows handling of mega ships with less dredging, reducing ecological footprint.
- Employment and Urban Transformation: Shenzhen evolved from a fishing village to a global metropolis; Vizhinjam can drive local employment, urbanisation, and socioeconomic growth. Eg: Development of port-linked infrastructure is expected to boost tourism, services, and real estate in the Trivandrum region.
What are the challenges for the ports in India?
- Labor Disputes and Industrial Actions: Indian ports have experienced significant disruptions due to labor strikes and protests. Eg: In August 2024, approximately 20,000 port workers initiated a strike demanding wage revisions and improved pension benefits. This industrial action threatened to halt operations across major ports, causing delays in cargo handling and impacting global trade.
- Inadequate Last-Mile Connectivity: Despite improvements in port infrastructure, many Indian ports suffer from poor last-mile connectivity. Eg: The Jawaharlal Nehru Port in Navi Mumbai often faces delays due to inefficient road networks and underdeveloped transport links, affecting overall port efficiency.
- Port Congestion and Operational Inefficiencies: Indian ports are grappling with congestion issues, leading to delays in cargo handling and increased turnaround times for vessels. Eg: Factors like outdated cargo tracking systems and regulatory bottlenecks have forced some shipping lines to skip Indian port calls to maintain schedules.
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Way forward:
- Improve Port Infrastructure and Last-Mile Connectivity: Enhance road, rail, and port connectivity to streamline cargo movement and reduce congestion. Investments in modernizing transport networks and implementing smart technologies can ensure smoother operations and quicker turnaround times.
- Strengthen Labor Relations and Efficiency: Resolve labor disputes through better communication and negotiations, ensuring worker welfare while maintaining productivity. Implementing automation and improving operational processes can also reduce dependency on manual labor and improve efficiency.
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Why in the News?
Since the Goods and Services Tax (GST) system started in 2017, India’s GST collections every April have regularly reached new record highs.
What was the GST collection in April and its year-on-year growth?
- Record High Collection: In April 2025, India collected ₹2.37 lakh crore in gross GST, marking the highest ever monthly collection since the GST regime began in 2017. Example: This was up from ₹2.10 lakh crore in April 2024.
- Strong Year-on-Year Growth: This represented a 12.6% growth over the previous year’s April figures, showing improved compliance and economic activity. Example: After refunds, the net collection for the Centre rose by 9.1% compared to April 2024.
How has GST compliance and fintech adoption boosted tax collection?
- Higher Tax Filing Discipline: Increased awareness and digital tracking have improved GST compliance among businesses. Eg: The consistent rise in GST collections every April since 2018 from ₹1.03 lakh crore to ₹2.37 lakh crore indicates better adherence to filing norms.
- Faster Refunds Encourage Participation: Swift processing of refunds, especially for small businesses, has encouraged timely and accurate GST filing. Eg: Refunds to exporters rose by 86% in April 2025, indicating improved trust in the system.
- Fintech Integration Supports MSMEs: With 87% fintech adoption in India, MSMEs have better access to formal banking and invoicing systems, helping them meet compliance requirements. Eg: Digital invoicing apps and GST-ready accounting tools have simplified filings for small traders and manufacturers.
- Digital Audit Trails Enhance Enforcement: Fintech tools enable real-time tracking of transactions, reducing scope for tax evasion. Eg: E-invoicing and auto-generated returns allow tax authorities to detect discrepancies quickly.
- COVID-19 Accelerated Formalization: The pandemic years pushed many informal businesses into the digital and formal economy, making tax compliance a necessity. Eg: Many first-time filers from the MSME sector were onboarded via digital platforms during 2020–21, increasing the taxpayer base.
What led to the 86% rise in refunds to exporters?
- Improved GST Processing Systems: The government has streamlined refund procedures with faster digital approvals and reduced delays. Eg: Automation of refund claims has enabled quicker credit settlements to exporters within defined timelines.
- Higher Volume of Export Orders: A surge in international demand led to increased export activity, resulting in more refund claims under GST. Eg: Orders from regions like Africa, Asia, and the Americas rose significantly in April 2025, boosting GST refund outflow.
- Greater GST Compliance by Exporters: Better record-keeping and digital documentation encouraged more businesses to file refund claims accurately and on time. Eg: Exporters using fintech platforms for e-invoicing were able to submit error-free refund claims swiftly.
What is HSBC India PMI?
The HSBC India PMI refers to the Purchasing Managers’ Index compiled by HSBC in partnership with S&P Global to track the economic health of India’s manufacturing and services sectors.
What is Purchasing Managers’ Index (PMI)?
- Purchasing Managers’ Index (PMI) is an economic indicator that measures the health and performance of a country’s manufacturing and services sectors. It is based on surveys of purchasing managers across various industries.
- Index Scale:
- Above 50: Indicates expansion in economic activity
- Below 50: Indicates contraction
- Exactly 50: No change
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Why did the HSBC India PMI show a 10-month high in April?
- Surge in New Business Orders: Domestic and international demand for Indian-manufactured goods increased, boosting factory activity. Eg: Indian companies saw the largest increase in overseas orders in over 14 years.
- Export Growth from Global Demand: Strong demand from key regions like Africa, Asia, Europe, West Asia, and the Americas fueled export-oriented production. Eg: Exporters rushed to fulfill orders before the U.S. tariff pause on Chinese goods ends in July.
- Positive Business Sentiment: Companies expanded production and hiring in response to growing order books and market optimism. Eg: Firms ramped up manufacturing capacity to take advantage of global supply chain shifts toward India.
How has the U.S. tariff pause on China affected India’s manufacturing sector?
- Increased Export Orders to India: Global buyers are shifting orders from China to India to avoid potential U.S. tariffs. Eg: Indian manufacturers received a surge in foreign orders, especially from the U.S., ahead of the July 9 tariff deadline.
- Realignment of Supply Chains: India is emerging as an alternative manufacturing base due to U.S.–China trade tensions. Eg: Apple announced plans to source ‘most of its iPhones’ for the U.S. market from India.
- Short-Term Boost in Manufacturing Activity: Anticipated U.S. tariffs on Chinese goods have created temporary opportunities for Indian exporters. Eg: India’s manufacturing sector saw a sharp rise in April output, contributing to a 10-month high in the HSBC PMI.
Way forward:
- Strengthen Fintech-GST Integration: Deepen digital infrastructure and incentivize e-invoicing adoption among small businesses to sustain high compliance and broaden the tax base.
- Enhance Export Ecosystem: Build long-term trade resilience through export incentives, logistics upgrades, and faster refund systems to capitalize on shifting global supply chains.
Mains PYQ:
[UPSC 2019] Explain the salient features of the constitution(One Hundred and First Amendment) Act, 2016. Do you think it is efficacious enough ‘to remove cascading effect of taxes and provide for common national market for goods and services’?
Linkage: The article shares the latest information on how much money the government collected through GST and how well people are following GST rules. The question is asking about which earlier taxes were included under GST and how GST has affected government income.
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Why in the News?
Indian Americans earn more than any other Asian group in the U.S., making about 40% more than Chinese and Japanese households.
What is the median annual income of Indian American households?
- Highest Median Income Among Asian Groups: Indian American households had a median annual income of $151,200 in 2023, the highest among all Asian ethnic groups in the U.S. Eg: Indian Americans earn about 40% more than both Chinese and Japanese households.
- Income Reflects High Educational Attainment: The high income level is linked to strong educational achievements—77% of Indian Americans aged 25+ hold a bachelor’s degree or higher, second only to Taiwanese Americans. Eg: Despite similar education levels, Mongolian Americans earn far less, highlighting that factors beyond education (like job type, geography, or discrimination) may also impact income.
How does it compare to other Asian groups?
| Asian Group |
Median Household Income (2023) |
Key Comparison Point |
Example |
| Indian Americans |
$151,200 |
Highest income among all Asian groups |
40% higher than Chinese or Japanese households |
| Taiwanese Americans |
Slightly below Indians (~$140,000+) |
Second highest, due to even higher educational attainment (83%) |
Close to Indian income levels, driven by education |
| Mongolian Americans |
$54,300 |
Despite high education (69% with degrees), lowest income |
Shows income isn’t always proportional to education |
Who are the largest Asian ethnic groups in the U.S. as of 2023?
- Chinese Americans: Approximately 5.5 million individuals, making up 22% of the Asian American population. Example: Chinese Americans are the largest Asian ethnic group in the U.S.
- Indian Americans: Around 5.2 million individuals, accounting for 21% of the Asian American population. Example: Indian Americans are the second-largest Asian ethnic group in the U.S.
- Filipino Americans: Approximately 4.6 million individuals, representing 18% of the Asian American population. Example: Filipino Americans rank third among Asian ethnic groups in the U.S.
What is the significance of the Indian diaspora?
- Economic Influence: Indian diaspora communities contribute significantly to the economies of their host countries through entrepreneurship, skilled labor, and remittances. Example: Indian-Americans contribute to the U.S. economy, particularly in the technology sector, with companies like Google and Microsoft having Indian-origin CEOs.
- Cultural Exchange: The Indian diaspora has played a major role in promoting Indian culture globally, including its festivals, cuisine, music, and film. Example: Bollywood films and Indian cuisine have a large following across the world, especially in the UK, the U.S., and the Middle East.
- Political Influence: The Indian diaspora has a growing presence in political leadership positions, influencing policies in their respective countries. Example: Kamala Harris, the Vice President of the United States, and Priti Patel, the Home Secretary of the UK, are of Indian origin and have shaped political discourse.
- Educational Contributions: Indian diaspora members are highly skilled professionals and students, making notable contributions to global research and academic excellence.
Example: Indian-origin scientists and engineers have made significant strides in fields like space exploration, medicine, and technology worldwide.
What are the challenges?
- Caste-Based Discrimination: Despite migration, caste-based discrimination persists within diaspora communities. Marginalized groups, such as Dalits, often face exclusion and prejudice in educational institutions, workplaces, and social settings.
- Racial and Religious Intolerance: Indian diaspora communities frequently encounter racism and xenophobia, particularly in countries with complex immigration histories. These discriminatory practices can hinder social integration and economic mobility.
- Political Polarization and Identity Conflicts: Global political tensions, such as those related to the Kashmir issue, can lead to divisions within diaspora communities. Protests and calls for calm in response to international conflicts reflect how such issues can strain local community relations.
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Way forward:
- Promote Inclusivity and Social Integration: Efforts should be made to combat caste-based discrimination, racism, and xenophobia within diaspora communities by fostering inclusive policies and promoting intercultural dialogue. This can help create a more harmonious environment for integration and equal opportunities.
- Encourage Political and Civic Engagement: To address political polarization, the Indian diaspora should engage in local politics and civic activities to bridge divides and advocate for constructive dialogue, ensuring their concerns are heard and their influence in the host country’s policies is constructive and united.
Mains PYQ:
[UPSC 2023] Indian diaspora has scaled new heights in the West. Describe its economic and political benefits for India.
Linkage: The high earnings of Indian Americans, as indicated in the article, are a clear example of the Indian diaspora “scaling new heights” economically in the West. This economic strength directly contributes to the potential economic benefits (like remittances, investment, trade promotion) and political influence (lobbying, soft power) that the diaspora provides to India. This question requires discussing precisely these benefits stemming from the diaspora’s success, of which high income is a key metric.
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Why in the News?
The National Biodiversity Authority (NBA) has released new rules to regulate access to biological resources and ensure fair and equitable benefit sharing, as approved by the Central Government.
About New Biodiversity Regulation, 2025:
- It governs how benefits from the use of biological resources and associated traditional knowledge or digital sequence information (DSI) are to be shared.
- It introduces a tiered benefit-sharing structure based on annual turnover of the user:
- No sharing for turnover up to ₹5 crore.
- 0.2% for turnover between ₹5–50 crore.
- 0.4% for ₹50–250 crore, and 0.6% above ₹250 crore.
- Users must submit resource usage statements annually if turnover exceeds ₹1 crore.
- Cultivated medicinal plants are exempt, aligning with the Biodiversity (Amendment) Act, 2023.
- For high-value or threatened species like red sanders, agarwood, and sandalwood, sharing must be at least 5%, rising to 20% or more for commercial use.
- The Regulation covers researchers, IP right seekers, and includes digital data as part of benefit sharing for the first time.
Back2Basics: Convention on Biological Diversity (CBD):
- CBD was adopted at the 1992 Rio Earth Summit; it came into force since 29 December 1993 with secretariat in Montreal, Canada.
- It is ratified by 196 countries, excluding the US.
- Key objectives:
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- Conservation of biological diversity.
- Sustainable use of biodiversity components.
- Fair sharing of benefits from genetic resources.
- It is governed by the Conference of the Parties (COP), meeting biennially.
- COP16 (2024) in Colombia established a multilateral benefit-sharing mechanism for Digital Sequence Information (DSI).
- It ensures fair reward for communities protecting biodiversity when their knowledge or genetic data is used commercially.
Nagoya Protocol on ABS:
- It was adopted in 2010, enforced in 2014, it supplements the CBD.
- It provides a legal framework for fair benefit-sharing from the use of genetic resources with the country of origin or local communities.
- It strengthens the global framework for responsible biodiversity use.
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| [UPSC 2023] Consider the following statements:
1. In India, the Biodiversity Management Committees are key to the realization of the objectives of the Nagoya Protocol.
2. The Biodiversity Management Committees have important functions in determining acces and benefit sharing, including the power to levy collection fees on the access of biological resources within its jurisdiction.
Which of the statements given above is/are correct?
Options: (a) 1 only (b) 2 only (c) Both 1 and 2* (d) Neither 1 nor 2 |
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Why in the News?
Tensions escalated between Punjab and Haryana after the Bhakra Beas Management Board (BBMB) decided to release an extra 4,500 cusecs of water from the Bhakra dam to Haryana, sparking political and legal opposition from Punjab.
About the Punjab-Haryana Water Dispute:
- The dispute dates back to 1966 when Haryana was created from Punjab and was promised a share of river waters from the Ravi and Beas rivers.
- The Satluj-Yamuna Link (SYL) canal was proposed to deliver Haryana’s share but remains incomplete due to Punjab’s resistance.
- The current issue involves Punjab and Haryana over the release of additional water from the Bhakra dam, managed by the Bhakra Beas Management Board (BBMB).
- On April 30, 2025, BBMB ordered the release of 8,500 cusecs of water to Haryana for drinking needs, which Punjab opposed, claiming Haryana had already withdrawn 104% of its annual share.
- Water levels in the Bhakra, Pong, and Ranjit Sagar dams are low due to poor snowfall in the Himalayas.
- Punjab argues that BBMB’s decision is unilateral and has refused to open the Nangal dam sluice gates.
Inter-State Water Dispute Resolution in India:
- Article 262 of the Constitution empowers Parliament to legislate on inter-state river water disputes and bar courts from intervening in such matters.
- River Boards Act, 1956 allows creation of boards for inter-state river management, but no such board has ever been constituted.
- Inter-State Water Disputes Act, 1956 provides for:
- Conciliation by the Centre among aggrieved states.
- Tribunal formation if conciliation fails.
- The 2002 amendment mandates:
- Formation of a tribunal within 1 year.
- Tribunal decision within 3 years.
- Supreme Court cannot question the award of a tribunal but can examine procedural issues.
- Other prominent disputes include Krishna, Cauvery, and the Satluj Yamuna Link canal disputes.
| [UPSC 2006] Recently Uttar Pradesh and Madhya Pradesh governments signed a Memorandum of Understanding for the linking of two rivers as a link project. Which are these two rivers?
Options: (a) Betwa and Chambal (b) Betwa and Ken* (c) Chambal and Son (d) Ken and Narmada |
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Why in the News?
India’s Agriculture Minister has introduced ‘Kamala’ and ‘Pusa DST Rice 1’, the country’s first genome-edited rice varieties, developed by ICAR. These are also the world’s first genome-edited rice varieties.
About ‘Kamala’ and ‘Pusa DST Rice 1’:
- Kamala (DRR Dhan 100): Developed by ICAR-IIRR Hyderabad, derived from Samba Mahsuri; shows higher yield, early maturity, drought tolerance.
- Pusa DST Rice 1: Developed by ICAR-IARI Delhi, based on MTU1010; improves drought and salinity tolerance.
- Agencies involved: Indian Council of Agricultural Research (ICAR), ICAR-IIRR, ICAR-IARI.
- They were created using CRISPR-Cas9-based genome editing, specifically Site Directed Nuclease 1 (SDN1). It has NO foreign DNA inserted.
- It has been approved by Institutional Biosafety Committees (IBC) and Review Committee on Genetic Manipulation (RCGM) under relaxed genome-edit rules.
Specific Benefits Offered:
- Yield boost:
- Kamala: +19% over Samba Mahsuri (avg. 5.37 t/ha, max. up to 9 t/ha).
- Pusa DST Rice 1: +9.6% to +30.4% over MTU1010 under stress conditions.
- Climate resilience:
- Kamala: Drought tolerance, early maturity.
- Pusa DST: Salt and drought tolerance for saline/alkaline/coastal soils.
- Water saving: Kamala matures 20 days early → saves 3 irrigations, i.e., 7,500 million m³ water.
- Emission reduction: Cultivation over 5 million ha may reduce 32,000 tonnes GHG emissions (20% drop).
- Food security support: Improved paddy output enhances India’s average yield, critical for 40% of total foodgrain basket.
| [UPSC 2018] With reference to the Genetically Modified mustard (GM mustard) developed in India, consider the following statements:
1. GM mustard has the genes of a soil bacterium that give the plant the property of pest-resistance to a wide variety of pests.
2.GM mustard has the genes that allow the plant cross-pollination and hybridization.
3.GM mustard has been developed jointly by the IARI and Punjab Agricultural University.
Which of the statements given above is/are correct?
Options: (a) 1 and 3 only (b) 2 only* (c) 2 and 3 only (d) 1, 2 and 3 |
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Why in the News?
The Committee formed to design India’s Repairability Index (RI) framework has submitted its report to Department of Consumer Affairs.
About Repairability Index (RI):
- The RI is a standardized label that indicates how easily a product can be repaired by assessing multiple parameters.
- It is designed to empower consumers to make informed decisions and promote sustainable consumption.
- The RI is applicable initially to smartphones and tablets and uses a 5-point numeric scale for scoring.
- The six key parameters used to calculate RI are:
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- Disassembly Depth
- Repair Information
- Spare Parts Availability
- Software Updates
- Tools Required
- Fasteners Used
- The scoring covers priority components such as battery, display, cameras, charging port, microphone, speaker, and hinge mechanism.
- RI labels must be displayed at the point of sale, on e-commerce platforms, and via QR code on packaging.
Recommendations of the RI Framework:
- The RI framework must align with global best practices while maintaining ease of doing business for manufacturers.
- Original Equipment Manufacturers (OEMs) will self-declare RI scores based on standard criteria, with no extra compliance burden.
- A clear scoring methodology has been developed, with weightages assigned to each parameter for key parts.
- The committee identified smartphones and tablets as the initial focus under the RI framework.
- Stakeholder consultations included manufacturers, consumer groups, academic bodies, and government departments.
- The framework complements the existing Right to Repair Portal (launched in 2022), which provides repair-related information across four sectors.
- The committee emphasized the need for a robust post-sale ecosystem for both urban and rural consumers.
| [UPSC 2021] R2 Code of Practices’ constitutes a tool available for promoting the adoption of:
Options: (a) environmentally responsible practices in electronics recycling industry*
(b) ecological management of Wetlands of International Importance under the Ramsar Convention
(c) sustainable practices in the cultivation of agricultural crops in degraded land
(d) ‘Environmental Impact Assessment’ in the exploitation of natural resources |
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Why in the News?
Japanese companies, along with other global players, are increasingly turning to India under the China Plus One strategy, aiming to diversify supply chains and reduce overdependence on China.
About China Plus One Strategy:
- It is a global business model introduced in 2013 to reduce dependence on China by adding another country to the manufacturing or sourcing base.
- It emerged due to concerns about geopolitical risks, trade tensions, and regulatory unpredictability in China.
- The strategy gained momentum after the US–China trade war, China’s Zero-Covid policy, and increasing labour and compliance costs.
- Its goal is to create resilient and diversified supply chains by operating in China and one or more alternative countries.
- Vietnam, Mexico, and Taiwan have become early beneficiaries in sectors like machinery, electronics, and transport.
Benefits for India:
- India offers a large market, skilled labor, and cost advantages, making it an attractive destination for diversification.
- The growing digital infrastructure and industrial corridors support the relocation of manufacturing, with government schemes like PLI and Make in India aligning with the China Plus One goals.
- Challenges:
- India faces limited integration into global value chains, logistics inefficiencies, and regulatory bottlenecks.
- Historical protectionist trade policies and lack of participation in trade agreements like RCEP hinder its full potential.
- To compete with nations like Vietnam or Mexico, India needs labour reforms, improved ease of doing business, and better trade facilitation.
| [UPSC 2021] Consider the following:
1.Foreign currency convertible bonds 2.Foreign institutional investment with certain conditions 3.Global depository receipts 4.Non-resident external deposits Which of the above can be included in Foreign Direct Investments?
Options: (a) 1, 2 and 3* (b) 3 only (c) 2 and 4 (d) 1 and 4 |
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