Note4Students
From UPSC perspective, the following things are important :
Prelims level: India's Services and manufacturing sector
Mains level: India's Manufacturing versus Services Debate, performance, challenges and way forward
Central Idea
- The ongoing debate regarding India’s preferred path for economic growth, whether it should prioritize manufacturing or services, has resurfaced in public discussions. While India’s software exports previously flourished, questioning why the services sector couldn’t spearhead the nation’s progress. In light of the disappointing manufacturing growth post the 1991 economic reforms, it becomes evident that a structural obstacle inhibits the sector’s progress
Unfulfilled Promises of Manufacturing Reforms
- Limited Increase in Manufacturing Share: Despite the economic reforms of 1991, which were primarily focused on manufacturing, there was not a significant increase in the share of manufacturing in the economy. The expected growth and expansion in the sector did not materialize as anticipated.
- Rising Income Inequality: Although there have been qualitative improvements in the range and quality of products manufactured in India since 1991, the limited expansion of manufacturing in proportion to the overall economy has resulted in a rising income inequality. The benefits of these improvements have not been distributed equitably across the population.
- Persistence of Structural Challenges: Despite policy initiatives and reforms focused on manufacturing, the sector continues to face deep-rooted structural challenges. These challenges have impeded the sector’s growth and hindered its ability to reach its full potential. There is a need for a comprehensive approach to address these underlying issues.
- Limited Demand Constraints: Manufacturing growth is constrained by demand considerations, which are largely independent of supply-side reforms. Household demand for manufactured goods is closely linked to the satisfaction of basic necessities such as food, housing, health, and education. The dominance of food expenditure in a significant portion of Indian households limits the growth of demand for other manufactured products.
- Educational Gap and Skill Development: India lags behind successful manufacturing nations in terms of educational outcomes. Poor performance in international assessments and low literacy and numeracy levels among Indian children highlight the need for significant improvements in the education system.
- Insufficient Focus on Ecosystem Development: The economic reforms of 1991 primarily focused on policy changes but overlooked the need for a comprehensive ecosystem to support manufacturing growth. This ecosystem should encompass aspects such as schooling, training, infrastructure, and supportive policies. A more holistic approach is required to build a conducive environment for the manufacturing sector to flourish.
Recent Initiatives and Underwhelming Performance
- Make in India: Launched in 2014, this initiative aimed to promote manufacturing in India and attract foreign direct investment (FDI). Despite its ambitious goals, the initiative has not yielded the expected results in terms of substantial manufacturing growth and contribution to the economy.
- Production-Linked Incentive (PLI) Scheme: This scheme, introduced more recently, provides production subsidies to incentivize the manufacturing of specific products. While announced with fanfare, the article highlights that the record of these schemes has been unimpressive.
- Low Manufacturing Growth: The first advance estimates for 2022-23, as mentioned in the article, indicate a manufacturing growth rate of only 1.3% for the year. This growth rate lags behind agriculture and major segments of the services sector, suggesting a lack of substantial progress in manufacturing.
The Need for a Manufacturing Push in India’s economy
- Job Creation: Manufacturing sectors have the potential to generate a significant number of jobs, particularly for the growing workforce in India. The government and policymakers recognize the importance of manufacturing in addressing the unemployment challenge and providing livelihoods for the population.
- Economic Growth: A vibrant manufacturing sector can contribute to overall economic growth. By expanding manufacturing, India can increase its GDP and strengthen its position as a global economic player. A robust manufacturing base can enhance productivity, attract investments, and drive economic development.
- Private Sector Readiness: The finance minister, in addressing corporate leaders, emphasizes that the private sector needs to be ready to contribute to the manufacturing push. The private sector’s active involvement is seen as crucial for driving manufacturing growth.
- Public Investment: The government’s increased capital expenditure in the last Union Budget is expected to support the private sector by raising aggregate demand. This investment in infrastructure and other sectors can provide a stimulus to manufacturing and create an enabling environment for its expansion.
Demand Constraints and the Role of Food
- Household Expenditure: Demand for manufactured goods is influenced by household expenditure patterns, which are largely determined by the satisfaction of basic necessities such as food, housing, health, and education. These necessities take up a significant share of household expenditure and are considered non-discretionary expenses that cannot be postponed.
- Food Expenditure: Food occupies a large share of expenditure for a substantial section of Indian households. The high share of food expenditure leaves a smaller portion of disposable income available for spending on other goods and services, which can constrain the growth of demand for manufactured products.
- Negative Relationship with Per Capita Income: Globally, there is a strong negative relationship between per capita income and the share of food in household expenditure. Wealthier countries, such as the United States and Singapore, tend to have lower shares of expenditure allocated to food. In contrast, India, with its lower GDP per capita, experiences a larger share of food expenditure, which can limit the growth of demand for manufactured products.
- Manufacturing Demand Implications: The dominance of food expenditure in household budgets suggests that the demand for manufactured goods is closely linked to the satisfaction of basic needs. As households prioritize spending on food, housing, health, and education, the demand for other manufactured products may be constricted, affecting the growth potential of the manufacturing sector.
- Export Potential: Smaller countries in East Asia have achieved significant manufacturing growth by relying on global markets rather than relying solely on their domestic markets. By diversifying into exports, manufacturers can tap into broader consumer markets and mitigate the constraints imposed by domestic demand limitations.
Exports as a potential solution for the manufacturing sector
- Overcoming Limited Domestic Market: Exporting provides a significant opportunity for the manufacturing sector to overcome the constraints of a limited domestic market. By tapping into global markets, manufacturers can reach a larger customer base and increase their sales potential beyond domestic demand alone.
- Diversification of Markets: Exporting allows manufacturers to diversify their markets and reduce dependency on a single market. This helps mitigate risks associated with fluctuations in domestic demand or economic conditions in the home country.
- Global Competitiveness: To succeed in the export market, manufacturers need to focus on enhancing their global competitiveness. This includes factors such as product quality, innovation, pricing, branding, and customer service. Manufacturers must strive to offer products that meet international standards and are competitive in terms of cost and quality.
- Infrastructure and Logistics: Manufacturers need reliable transportation networks, including roads, railways, and ports, to move their goods to international markets. Access to efficient seaports, airports, and customs facilities helps streamline export processes and reduce turnaround times.
- Cost of Production: Manufacturers need to ensure that their cost structure, including labor, raw materials, energy, and overheads, is competitive compared to other exporting countries. Cost-efficient production methods and economies of scale can contribute to enhancing export competitiveness.
- Trade Agreements and Market Access: Engaging in trade agreements and securing preferential market access can provide manufacturers with a competitive advantage. By accessing markets with reduced tariffs or trade barriers, manufacturers can improve their competitiveness and expand their export opportunities.
- Export Promotion and Support: Governments can play a crucial role in supporting exports through export promotion initiatives, financial incentives, export credit facilities, and market intelligence services. These measures help manufacturers navigate export procedures, access information on international markets, and avail financial assistance to expand their export capabilities.
Conclusion
- India’s economic growth requires careful consideration of the manufacturing versus services debate. While the services sector has played a significant role, a comprehensive ecosystem supporting manufacturing is crucial. Only through concerted efforts and holistic reforms can India truly unlock its manufacturing potential and secure long-term economic prosperity.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Periodic Table
Mains level: Read the attached story
Central Idea
- Changes notified by NCERT: The NCERT notified changes in its June 2022 circular, omitted the Periodic Table from 10th class books. This has been widely debated in academic circles.
- New textbooks hit the market: The textbooks with the deletions and changes have now been released in the market.
What is Periodic Table?
|
Description |
| History |
Developed by Dmitri Mendeleev in 1869. He arranged elements based on their atomic masses and predicted the existence of undiscovered elements. |
| Organization |
Elements are arranged based on their atomic numbers, electron configurations, and properties. |
| Periods |
There are seven periods (rows) in the table, representing different principal energy levels. |
| Groups |
The table has 18 groups (columns), with elements in the same group sharing similar properties. |
| Main Groups |
Elements in groups 1, 2, and 13 to 18 are referred to as main group elements. |
| Transition Metals |
Groups 3 to 12 consist of transition metals, known for their variable oxidation states. |
| Lanthanides |
The first row of the f-block contains the 15 lanthanide elements. |
| Actinides |
The second row of the f-block contains the 15 actinide elements. |
| Periodic Trends |
Various trends exist across the table, such as atomic radius, ionization energy, and electronegativity. |
| Periodic Law |
The chemical and physical properties of elements repeat in a periodic manner based on their atomic numbers. |
| Modern Versions |
Modern versions incorporate atomic numbers and reflect our understanding of atomic structure. |
| International Union of Pure and Applied Chemistry (IUPAC) |
IUPAC is the international organization responsible for the standardization of chemical nomenclature, symbols, and the Periodic Table. |
| Database Management |
Several organizations and databases manage and maintain comprehensive information about the elements, their properties, and the Periodic Table. Examples include the IUPAC, the National Institute of Standards and Technology (NIST), and the Royal Society of Chemistry (RSC). |
Why this matters?
- NCERT textbooks as a cornerstone: NCERT textbooks are considered a cornerstone for guiding the publication of State board textbooks, affecting nearly 60 State boards.
- Concerns for non-science stream students: With a significant number of students opting for Arts and Commerce streams, they may lose the opportunity to learn crucial basic Chemistry concepts now only accessible in Class XI.
Controversial Deletions and Omissions by NCERT
- Fundamental knowledge of chemistry: Experts argue that leaving out the periodic table and logical organization of elements from the textbooks hinders students’ understanding of fundamental chemistry concepts.
- Rationalization of contents due to the pandemic: The NCERT claims that the exercise of reducing the content load on students is carried out across all classes in response to the COVID-19 pandemic.
- Previous controversial deletions: Earlier, NCERT dropped Darwin’s theory of evolution from Class X textbooks and deleted chapters from Political Science textbooks, including Democracy and Diversity, Popular Struggles and Movements, Political Parties, and Challenges to Democracy.
Additional controversial omissions
- Exclusion of Maulana Abul Kalam Azad: Any mention of Maulana Abul Kalam Azad, a freedom fighter and India’s first Education Minister, has been deleted from the textbooks.
- Omission of J&K’s accession to India: The fact that Jammu and Kashmir acceded to India on the basis of autonomy has been removed from the revised Class XI textbook.
- Further omissions in the CBSE syllabus: The history of Mughal courts, references to the 2002 communal riots in Gujarat, the Naxalite movement, and mention of Dalit writers were also omitted from the CBSE syllabus.
Reasons cited for curriculum revamp
- Multiple sets of authors: Textbooks have undergone changes over the years, written by different sets of historians. There have been no controversies regarding these changes.
- Celebration of diversity and assimilation: Exclusively holding on to one set of textbooks is contrary to the spirit of a civilization that celebrates diversity and assimilation.
- NCF’s efforts for inclusive representations: The National Curriculum Framework (NCF) aims to bring a plurality of voices and more inclusive representations of marginalized and previously excluded history.
Allegations of Distortions in history textbooks
- Deliberate distortions: Some sections of the media allege that the corrections and improvements made in the NCERT history textbooks are deliberate distortions or rewriting of history.
- Sense of entitlement: The charge of rewriting history under a specific ideology betrays a sense of entitlement, suggesting that only one set of historians had the knowledge to determine what should be taught.
- Autonomy breach: While autonomy in academic and intellectual activities is crucial, the notion that institutional autonomy has been undermined and academic freedom is under stress is a one-sided and pointless exercise.
Way forward
- Logical revision: There is an urgent need for a comprehensive revision of NCERT textbooks, not only in history but in all subjects, to incorporate new knowledge and discoveries.
- Prudent use of existing textbooks: Until a detailed plan and advice for a comprehensive revision of books and syllabi is formulated, NCERT has chosen to use the existing textbooks.
- Presenting facts lucidly: Textbooks should present facts lucidly, allowing students to acquire the knowledge they seek.
- Avoid politicizing: Academics and politicians should refrain from politicizing school textbooks and instead focus on telling students the stories of the past without weaving in half-truths or erasing vast chunks of history.
- Addressing gaps and inclusivity: Continuous revision of the curriculum is necessary to address gaps, make textbooks relevant, and ensure inclusivity.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: BRICS
Mains level: Read the attached story
Central Idea
- External Affairs Minister S Jaishankar is in Cape Town, South Africa, to participate in a meeting of foreign ministers from the BRICS countries.
- The foreign ministers’ meeting aims to finalize the agenda for the upcoming BRICS summit, scheduled to be held in South Africa in August.
What is BRICS?
|
Explanation |
| About |
BRICS is a grouping of the world’s leading emerging economies: Brazil, Russia, India, China, and South Africa. |
| History |
The term BRIC was coined in 2001 by British Economist Jim O’Neill to describe the four emerging economies of Brazil, Russia, India, and China. The grouping was formalized in 2006, and South Africa joined in 2010. |
| Composition |
BRICS comprises the four emerging economies of Brazil, Russia, India, and China, with South Africa joining later. |
| Footprints |
BRICS represents 41% of the global population, 24% of global GDP, and 16% of global trade. |
| Chairmanship |
Rotates annually among the members, with India holding the chair in 2021. |
| Initiatives |
- New Development Bank: NDB funds infrastructure and sustainable development projects.
- Contingent Reserve Arrangement: CRA provides mutual support and strengthens financial stability among BRICS nations.
- BRICS Payment System: Aims to create an alternative payment system to SWIFT.
- Customs agreements: BRICS signed agreements to coordinate and ease trade transport.
- Satellite: A constellation of remote sensing satellites has been launched in collaboration with BRICS nations.
|
Key agenda of this meet
- Geopolitical consolidation and potential expansion: Two key items on the agenda attracting attention are the plan to expand the membership of BRICS and the discussion of a common currency.
- Friends of BRICS meet: South Africa, as the chair this year, is hosting a Friends of BRICS meeting with foreign ministers from Africa and the Global South.
Potential Expansion of BRICS
- Countries in queue for BRICS membership: Around 19 countries are reportedly seeking to join BRICS, including Argentina, Nicaragua, Mexico, Uruguay, Venezuela, Nigeria, Algeria, Egypt, Senegal, Morocco, Saudi Arabia, the UAE, Turkey, Syria, Iran, Kazakhstan, Bangladesh, Afghanistan, Indonesia, and Thailand.
- Inclusion of big oil producers: The list of potential new members includes major oil-producing countries like Saudi Arabia, Iran, the UAE, Nigeria, and Venezuela.
China’s Role in BRICS
- China driving expansion: China is leading the effort to expand its membership of BRICS and is promoting the idea of creating a bigger space for the Global South.
- Focus on multilateralism: China emphasizes multilateralism as it criticizes US hegemony, using the theme of “multilateralism” rather than “multipolarity” in discussions about BRICS.
- Challenging the Western geopolitical view: The conflict in Ukraine has strengthened the China-Russia partnership and transformed BRICS into an aspiring bloc that challenges the western geopolitical narrative.
India’s Position in BRICS
- India’s participation in BRICS and the G7: India’s involvement in both BRICS and the G7 demonstrates its engagement with multiple groupings and does not indicate alignment with an anti-Western coalition.
- Non-Western group: India views BRICS as a non-western group and believes it should remain so, focusing on its role as a platform for Global South countries to express solidarity.
- New challenges for India: Some analysts argue that as BRICS expands and more members join, it could sidelines India’s influence within the group.
What about BRICS Common Currency?
- Proposal for a common currency: Russia proposed the idea of a common currency at the BRICS summit in Beijing last year. Leaders established a committee to study its feasibility.
- Cautious reception and challenges: The proposal for a common currency received cautious feedback, with concerns about its viability and complexities such as different economic and political systems among member countries.
- Insulation from the dollar: The idea of a common currency presents an opportunity to reduce reliance on the US dollar, but not all members are convinced it is the right time.
- Difficulties in currency trade: Negotiations between India and Russia for trading in their respective currencies have encountered difficulties, with Moscow preferring dollar payments due to limited imports from India.
China’s stance on the US dollar
- Retreating US dollar hegemony: China has expressed discontent with the “hegemony of the US dollar” and aims to promote the use of the Yuan as a trading currency in Central Asia.
- No open voices abandoning the dollar: Despite its criticisms, there is no evidence to suggest that China is ready to completely abandon the US dollar at present.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Mekedatu Project
Mains level: Interstate water disputes
Central Idea
- Announcement of dam and reservoir: The Deputy CM of Karnataka announced plans for the construction of a dam and reservoir called Mekedatu near the state’s border with Tamil Nadu.
- Objections raised by Tamil Nadu: Tamil Nadu expressed strong objections to the project, arguing that it goes against the rulings of both the Cauvery Water Disputes Tribunal and the Supreme Court.
- Warning of protests: Political parties in Tamil Nadu have warned of potential protests and opposition if the construction of the Mekedatu dam proceeds.
What is Mekedatu Project?
- Location and purpose: The Mekedatu dam project is planned to be constructed in Ramanagaram district, approximately 100 km south of Bengaluru. Its primary purpose is to address the drinking water needs of Bengaluru and replenish the regional groundwater table.
- Proposed capacity and estimated cost of the dam: The dam is proposed to have a capacity of 48 TMC (thousand million cubic) feet and is estimated to cost Rs 6,000 crore.
- Background and previous developments of the project: The idea of the Mekedatu dam has been under consideration for several years. In 2014, the Karnataka government invited expressions of interest for the project and allocated funds for a detailed project report in the following year.
Opposition to the Project
- Widespread protests and state-wide bandh in TN: When the project was initially proposed, Tamil Nadu witnessed widespread protests against it. These protests culminated in a statewide bandh, supported by various stakeholders.
- Resolutions passed by TN Assembly against the project: The Tamil Nadu Assembly, representing the voice of the people, passed unanimous resolutions expressing strong opposition to the Mekedatu project in December 2018 and January 2022.
- Political actions and legal involvement in the dispute: Various political leaders and parties in Tamil Nadu have taken actions, including raising the issue with the central government and approaching the Supreme Court to challenge the project’s legality.
Arguments against the Project
- Concerns over modification of river flow: Critics of the Mekedatu project argue that constructing reservoirs on the Cauvery River would modify its natural flow, potentially leading to adverse effects downstream.
- Violation of the final award of the water disputes tribunal: Tamil Nadu contends that the proposed dam violates the final award of the Cauvery Water Disputes Tribunal, which determined the water-sharing arrangements between the two states.
- Impact on water flow in catchment areas: Tamil Nadu raises concerns that the project’s implementation would impound the flow in catchment areas, affecting the availability of water downstream and potentially leading to water scarcity in the state.
Justifications and proposals
- Ensuring adequate flow to TN: Karnataka argues that the construction of the Mekedatu dam will not hinder the stipulated quantum of water release to Tamil Nadu nor be utilized for irrigation purposes.
- Allocation of funds and willingness to negotiate: The Karnataka government has earmarked Rs 1,000 crore for the project, indicating its commitment. It also expresses willingness to engage in discussions and negotiations with Tamil Nadu to address concerns and find a resolution.
- Clearance of feasibility study: The Central Water Commission cleared a feasibility study for the Mekedatu project in 2018, providing additional support for Karnataka’s justifications and indicating the project’s viability.
Historical context of the dispute
- Past opposition and protests against the dam: The Mekedatu dam has been a subject of contention and opposition for several years. Tamil Nadu has witnessed widespread protests, reflecting public sentiment against the project.
- Political actions and involvement of state delegations: Political leaders from Tamil Nadu and Karnataka have been actively involved in addressing the issue. Delegations from both states have approached the central government seeking support or intervention.
- Legal challenges and the role of the Supreme Court: Tamil Nadu’s approach to the Supreme Court against the Mekedatu project highlights the legal dimension of the dispute. The involvement of the court plays a crucial role in considering the arguments and reaching a resolution.
Environmental and Economic considerations
- Potential benefits of the dam for water supply: Proponents of the Mekedatu project argue that it will address the pressing drinking water needs of Bengaluru, ensuring a stable water supply for the growing city.
- Concerns about environmental impact and ecosystem disruption: Critics raise concerns about the potential environmental impact of constructing the dam and reservoir. They highlight potential disruptions to local ecosystems and the natural flow of the river.
- Evaluating the economic viability of the project: Given the significant estimated cost of the Mekedatu project, there is a need to evaluate its cost-effectiveness and long-term economic viability, considering factors such as funding sources, returns on investment, and sustainable utilization of resources.
Way forward
- Importance of negotiation and finding common ground: The conflict surrounding the Mekedatu project emphasizes the importance of dialogue, negotiations, and finding mutually acceptable solutions that address the concerns of both Karnataka and Tamil Nadu.
- Role of the Supreme Court and other mediators in resolving conflicts: The involvement of the Supreme Court and other mediators can play a crucial role in facilitating discussions, mediating conflicts, and reaching a resolution that adheres to legal frameworks and considers the interests of both states.
- Promoting inter-state cooperation for sustainable water management: The dispute underscores the need for robust inter-state cooperation and collaboration on water management issues. It is crucial to ensure sustainable and equitable utilization of shared water resources, respect legal frameworks, and address the concerns of all stakeholders involved.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Graphene, semiconductors and its applications
Mains level: Potential of graphene to transform industries
Central Idea
- In the realm of technological advancements, certain breakthroughs possess the power to revolutionize entire industries. Artificial Intelligence (AI) for software, quantum computing for computers, and graphene for materials are such game-changers. While India has made commendable progress in AI and shows promise in quantum computing, it is crucial for the country to catch up in the domain of graphene.
What is Graphene?
- Graphene is a single layer of carbon atoms arranged in a hexagonal lattice pattern. It is a two-dimensional material that is incredibly thin, strong, and lightweight. In fact, it is the thinnest material known to date, with a thickness of just one atom.
- Despite its thinness, graphene is remarkably strong, around 200 times stronger than steel, yet incredibly flexible.
Why Graphene is known as The Wonder Material?
- Exceptional Strength: Despite being only one atom thick, graphene is incredibly strong. It is approximately 200 times stronger than steel, yet it is incredibly flexible. This combination of strength and flexibility makes it highly desirable for applications where strength and durability are crucial.
- Superb Electrical Conductivity: Graphene is an excellent conductor of electricity, even surpassing traditional conductors like copper. It allows the flow of electrons with minimal resistance, making it ideal for developing high-performance electronics and electrical devices.
- High Thermal Conductivity: Along with its electrical conductivity, graphene also exhibits excellent thermal conductivity. It can efficiently transfer heat, making it valuable for applications requiring efficient heat management, such as in electronics, thermal management systems, and energy storage devices.
- Transparency: Graphene is nearly transparent and can absorb only 2% of light passing through it. This property makes it an intriguing material for optoelectronic devices, transparent conductive films, and touchscreens, as it enables the transmission of light while maintaining conductivity.
- Impermeability to Gases: Graphene is impermeable to gases, even those as small as hydrogen and helium. This property opens up possibilities for applications in gas separation, filtration, and storage, as well as creating barriers against moisture or gas permeation in various industries.
- Versatility and Composite Formation: Graphene can be combined with other materials to create composite materials with enhanced properties. Even in small quantities, graphene can significantly improve the strength, conductivity, and other characteristics of composite materials. This versatility expands its potential applications in fields such as aerospace, automotive, construction, and sports equipment.
- Wide Range of Applications: Graphene has the potential to revolutionize numerous industries and sectors. It can be used in energy storage devices like batteries and supercapacitors, for developing sensors, inks, membranes for water purification, and in healthcare for drug delivery systems and biosensors. Its applications also extend to areas such as defense and aerospace, where its exceptional strength, conductivity, and sensitivity to environmental changes offer unique advantages.
Global Graphene Landscape
- China: China declared graphene a priority in its 13th Plan. China has emerged as a global leader in the production and commercialization of graphene. China’s emphasis on graphene is evident from its graphene-related patent filings, which have surpassed those of other leading nations in recent years.
- United States: The United States has a strong presence in the graphene landscape, with active research and development initiatives. Several universities, research institutions, and companies in the U.S. are at the forefront of graphene research, exploring its potential applications and commercialization prospects. The country has a considerable number of graphene-related patents and is home to leading graphene companies and startups.
- United Kingdom: The UK has been a pioneer in graphene research since its discovery. The University of Manchester, where graphene was first isolated, remains a hub for graphene research and innovation. The UK government has invested in the National Graphene Institute and the Graphene Engineering Innovation Centre to support research and development in graphene applications.
- South Korea: South Korea has active research programs, industry collaborations, and graphene-related patent filings. South Korean companies are involved in graphene production, commercialization, and application development across various sectors.
- Japan: Japan has a significant presence in graphene research and commercialization. Japanese universities and research institutions have made notable contributions to the field. The country has a strong focus on developing graphene-based technologies in areas such as electronics, energy storage, and composite materials. Japanese companies are actively involved in graphene production and application development.
- Russia: Russia has a growing presence in the graphene landscape, with notable research activities and patents in the field. Russian universities and research institutes are engaged in graphene research, and the country has witnessed the establishment of graphene-focused companies.
- Singapore: Singapore has invested in graphene research and development, aiming to position itself as a regional hub for graphene-related technologies. The country has established research institutes and centers focused on graphene and has attracted collaborations with international partners.
India’s progress in the graphene sector
- Research and Academic Contributions: The Centre for Nano Science and Engineering at the Indian Institute of Science (IISc) Bangalore, in collaboration with KAS Tech, has been actively involved in graphene research and development.
- Start-ups and Industry Initiatives: Several start-ups and foreign subsidiaries have emerged in India, focusing on graphene or graphene derivatives. Notably, Tata Steel has achieved success in growing graphene using annealing and extracting atomic carbon from steel surfaces. They have also explored the use of graphene in recycling plastic products. Other start-ups, such as Log 9 and RF Nanocomposites, have patented graphene-based technologies for ultracapacitors, EMI shielding, and stealth applications, respectively.
- Graphene Innovation Centre in Kerala: In a laudable step, the India Innovation Centre for Graphene was established in Kerala. This center, implemented by the Digital University Kerala in partnership with Tata Steel and C-MET, Thrissur, aims to foster large-scale innovation activity around graphene. It serves as a collaborative platform for research, development, and commercialization of graphene-based technologies.
- Patents and Intellectual Property: While India’s graphene-related patent filings are relatively modest compared to other leading countries, there have been efforts to secure intellectual property. Indian researchers and institutions have filed patents for graphene-based technologies and applications, demonstrating innovation and progress in the field.
Facts for prelims: Semiconductors
- Semiconductors are materials that have properties that are in between those of conductors (such as copper) and insulators (such as rubber).
- They have the ability to conduct electricity under certain conditions, but not under others.
- The conductivity of semiconductors can be manipulated through the introduction of impurities or doping with other materials.
- This process alters the electronic properties of the material and creates regions of excess or deficit of electrons, called p-type and n-type regions respectively.
- The interface between these regions is known as a p-n junction, which is a fundamental building block of many semiconductor devices.
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Way Ahead: India’s graphene sector
- National Graphene Mission: Establish a dedicated National Graphene Mission, similar to initiatives undertaken by other countries. This mission should focus on fostering research, development, and commercialization of graphene-based technologies, with clear objectives, timelines, and allocated resources.
- Increased Research and Development: Encourage and fund research and development activities in graphene across academic institutions, research organizations, and industry. Foster collaborations between academia, industry, and government to drive innovation and accelerate the discovery of new applications for graphene.
- Infrastructure and Facilities: Invest in infrastructure and facilities for large-scale production, characterization, and testing of graphene. Develop advanced laboratories equipped with state-of-the-art instruments to support graphene research and development.
- Skill Development and Training: Promote skill development programs and training initiatives to build a skilled workforce with expertise in graphene technology. Develop specialized courses and training modules at educational institutions to produce a talent pool proficient in graphene research, fabrication, characterization, and application development.
- Industry-Academia Collaboration: Foster stronger collaboration between industry and academia to bridge the gap between research and commercialization. Encourage joint research projects, technology transfer, and the establishment of industry-academia consortia focused on graphene.
- Funding and Financial Support: Increase funding for graphene research and development through government grants, industry investments, and venture capital. Provide financial support and incentives for start-ups and companies working on graphene technologies to encourage entrepreneurship and product development.
- Intellectual Property Protection: Strengthen intellectual property protection mechanisms and encourage researchers and companies to file patents for graphene-based technologies and applications. Support the development of patent pools and licensing frameworks to facilitate technology transfer and commercialization.
Conclusion
- The potential of graphene to transform industries cannot be understated. As the world advances towards the graphene age, India must secure its position as a leader rather than a bystander. The time to prioritize graphene is now, as the production of high-grade graphene may become concentrated in select global locations, similar to semiconductors. India has witnessed the consequences of missing out on the semiconductor wave, and it cannot afford to repeat history.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Trends in India's GDP Growth
Mains level: Read the attached story
Central Idea
- The National Statistical Office (NSO) has released provisional national income data revealing that India’s GDP growth in the January to March 2023 quarter reached 6.1%.
- This growth in the fourth quarter is the fastest among major economies, indicating better prospects for the current year compared to previous expectations.
Key Highlights
(1) Manufacturing Sector Growth Slows, Despite Q4 Rebound
- Gross Value Added (GVA) in the economy rose by 7% in 2022-23, compared to 8.8% in the previous fiscal year.
- Manufacturing GVA growth declined significantly, reaching only 1.3% compared to 11.1% a year ago.
- The sector experienced a rebound of 4.5% in the final quarter after six months of contraction, but overall growth remained subdued.
(2) Agri and Services Sectors Propel Economic Growth
- The agricultural GVA grew by 4% in 2022-23, an increase from 3.5% in the previous year.
- Financial, real estate, and professional services sectors experienced a 7.1% growth in GVA, compared to 4.7% in 2021-22.
- Trade, hotels, transport, and communication sectors, along with services related to broadcasting, witnessed a marginal increase of 14% in GVA.
(3) Revised GDP and GVA Figures Reflect Changes in Economic Performance
- The NSO revised GDP and GVA numbers for the first half of 2022-23, with slight decreases, but the third-quarter figures were slightly increased.
- The first quarter’s GDP growth in 2022-23 is now pegged at 13.1%, followed by 6.2% in the second quarter and 4.5% growth in the third quarter.
- GVA growth estimates for the first and second quarters were revised to 11.9% and 5.4% respectively, while the third quarter GVA growth increased to 4.7% from the earlier estimate of 4.6%.
(4) Consumer Sentiment and Consumption Growth
- Despite a slight uptick in private final consumption expenditure to 2.8% in Q4 from 2.2% in Q3, consumption growth remained muted.
- This contradicted the uptick in consumer sentiments as per the RBI’s consumer confidence survey, highlighting the disparity between sentiment and actual spending.
(5) Outlook and Challenges for Future Growth
- Maintaining growth above 6% will be challenging amid a global economic slowdown, according to economists.
- Higher-than-expected GDP growth in the previous year may temper growth expectations for the current year, with the government and central bank projecting around 6.5% growth.
- Pent-up demand that supported growth previously may not be as strong, and private sector investment needs to pick up since exports are not expected to contribute significantly to growth.
What can we as an Aspirant infer?
- The resilience of the Indian economy and its promising trajectory despite global challenges is often highlighted in news.
- This article justifies this perception about better performance of Indian Economy.
Conclusion
- To sustain and enhance economic growth, focus on stimulating private sector investment to complement the performance of agriculture and services sectors.
- Addressing the challenges in the manufacturing sector and boosting consumer confidence can lead to increased consumption and overall economic expansion.
- Efforts to diversify and promote exports should be prioritized to contribute to future growth and reduce dependence on domestic consumption.
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[Static Revision] National Income Determination, GDP, GNP, NDP, NNP, Personal Income
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From UPSC perspective, the following things are important :
Prelims level: Biodiversity, National Mission on Biodiversity and Human Wellbeing
Mains level: Biodiversity, significance challenges and conservation
Central Idea
- The observance of International Biodiversity Day on May 22 serves as a powerful reminder of the critical role our natural world plays in addressing the climate change crisis and the threat to our future posed by declining biodiversity. Preserving and enhancing biodiversity emerges as a cost-effective approach to sequester carbon dioxide and mitigate climate change.
What is Biodiversity?
- Biodiversity refers to the variety of life forms found on Earth, including plants, animals, microorganisms, and their interactions within ecosystems. It encompasses the diversity of species, genetic diversity within species, and the diversity of ecosystems.
- Biodiversity is not limited to specific areas but exists everywhere, from terrestrial habitats like forests, grasslands, and deserts to aquatic environments such as rivers, lakes, and oceans.
- It also includes the diversity of habitats, ecological processes, and the complex web of relationships between organisms and their environment.
- Biodiversity is crucial for the functioning of ecosystems and provides numerous benefits to humans. It supports essential ecosystem services, such as pollination, nutrient cycling, soil formation, and water purification.
- Biodiversity also contributes to food security by providing a variety of crops, livestock, and wild foods. Additionally, it plays a vital role in medicine, as many pharmaceuticals are derived from natural sources.
The Decline of Biodiversity: key contributing factors
- Habitat Loss: The conversion of natural habitats into agricultural lands, urban areas, and industrial zones is a primary driver of biodiversity loss. Deforestation, land degradation, and habitat fragmentation disrupt ecosystems and displace numerous species.
- Climate Change: Rising temperatures, altered precipitation patterns, and extreme weather events associated with climate change have a profound impact on biodiversity. Species may struggle to adapt or migrate quickly enough, leading to population declines and even extinction.
- Pollution: Pollution, including air and water pollution, poses a severe threat to biodiversity. Chemical contaminants, such as pesticides, herbicides, and industrial pollutants, can accumulate in ecosystems and harm both flora and fauna.
- Overexploitation: Unsustainable harvesting of wildlife, overfishing, and illegal wildlife trade put immense pressure on species populations. This overexploitation disrupts ecological balance and can lead to the collapse of ecosystems.
- Invasive Species: Non-native species introduced into new environments can outcompete native species, disrupt ecological interactions, and cause harm to local ecosystems. Invasive species often lack natural predators or controls, allowing them to multiply rapidly.
- Agricultural Practices: Intensive agricultural practices, including the use of chemical inputs, monoculture farming, and the destruction of natural habitats for agriculture, contribute to the loss of biodiversity. This impacts both terrestrial and aquatic ecosystems.
- Disease and Pathogens: The spread of diseases and pathogens, both natural and human-mediated, can have devastating effects on wildlife populations. Diseases can cause mass die-offs and population declines, leading to decreased biodiversity.
- Inadequate Conservation Efforts: Inadequate conservation measures, weak enforcement of protective laws, and insufficient funding for conservation initiatives contribute to the decline of biodiversity. Conservation efforts are often fragmented and not prioritized, further exacerbating the problem.
- Lack of Public Awareness and Engagement: Limited awareness among the general public about the importance of biodiversity and the consequences of its decline hinders collective action. Engaging communities and fostering a sense of responsibility towards biodiversity is crucial for effective conservation.
Reimagining Biodiversity Management: A holistic and inclusive approach
- Multifunctional Landscapes: Moving beyond the traditional focus on forests, biodiversity management should encompass diverse ecosystems such as grasslands, savannas, alpine pastures, and deserts. Recognizing the value of multifunctional landscapes allows for the conservation and sustainable use of various ecological communities.
- Community Engagement: Empowering local communities and indigenous groups in biodiversity management is crucial. Their traditional knowledge, practices, and direct involvement are valuable assets for effective conservation and sustainable use of biodiversity. Establishing platforms such as gram sabhas and biodiversity management committees facilitates community participation and decision-making.
- Mainstreaming Biodiversity: Biodiversity considerations should be integrated into all sectors and aspects of society. Development programs, government departments, public and private institutions, and industries should incorporate biodiversity conservation and sustainable practices as core principles.
- Policy and Legal Frameworks: Ensuring effective implementation of regulations, enforcing laws against biodiversity crimes, and revisiting policies that hinder biodiversity protection are key steps. It is also important to support the rights of indigenous communities and local stakeholders through legal mechanisms.
- Education and Awareness: Promoting biodiversity education and raising awareness about its importance among the general public, policymakers, and stakeholders is crucial. This includes integrating biodiversity topics into educational curricula, conducting awareness campaigns, and disseminating information about the benefits of biodiversity conservation.
- Research and Science-Based Approaches: Investing in scientific research, monitoring, and data collection is vital for evidence-based decision-making and effective biodiversity management. This includes studying biodiversity patterns, understanding ecosystem dynamics, and identifying key species and habitats for conservation priorities.
- Collaborative Partnerships: Building partnerships and collaborations among various stakeholders is essential. This includes government agencies, non-governmental organizations, research institutions, local communities, and private sectors. Collaboration fosters knowledge sharing, resource mobilization, and the implementation of joint initiatives for biodiversity conservation.
- Sustainable Financing: Ensuring sustainable financing mechanisms for biodiversity conservation is crucial. This includes exploring innovative funding models, leveraging public-private partnerships, and integrating biodiversity into sustainable development financing frameworks.
- International Cooperation: Collaborating at the global level is necessary to address transboundary biodiversity issues. Sharing best practices, knowledge exchange, and aligning efforts with international conventions and agreements such as the Convention on Biological Diversity (CBD) can strengthen biodiversity management.
Facts for prelims
What is biosphere reserve?
- Protected area: A biosphere reserve is an area of land or water that is protected by law in order to support the conservation of ecosystems, as well as the sustainability of mankind’s impact on the environment.
Current status of Biosphere reserves
- Worldwide: There are 738 biosphere reserves in 134 countries, including 22 transboundary sites.
- In India:
- Presently, there are 18 notified biosphere reserves in India. Ten out of the eighteen biosphere reserves are a part of the World Network of Biosphere Reserves, based on the UNESCO Man and the Biosphere (MAB) Programme list.
- In India, the first biosphere reserve was designated by UNESCO in 2000, namely, the blue mountains of the Nilgiris stretching over Tamil Nadu, Karnataka and Kerala.
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Our Role as Caretakers: key actions we can take as responsible stewards
- Sustainable Land Use: Promoting sustainable land use practices is essential to minimize habitat loss and degradation. This includes supporting initiatives such as reforestation, afforestation, and sustainable agriculture that maintain ecosystem integrity.
- Responsible Consumption: Making informed choices as consumers can have a significant impact on biodiversity. Supporting sustainable and ethically sourced products, reducing waste, and opting for environmentally friendly practices can reduce the demand for products that harm biodiversity.
- Preservation of Natural Habitats: Protecting and preserving natural habitats, including forests, wetlands, and marine ecosystems, is critical. This involves advocating for the establishment and expansion of protected areas, national parks, and wildlife reserves.
- Sustainable Fisheries: Supporting sustainable fishing practices, such as responsible fishing quotas, implementing fishing regulations, and avoiding overfishing, helps maintain healthy marine ecosystems and protect marine biodiversity.
- Support Conservation Organizations: Contributing to and supporting conservation organizations and initiatives can make a significant difference. Donations, volunteering, and participation in citizen science projects can aid in research, conservation efforts, and advocacy for biodiversity protection.
What is The National Mission on Biodiversity and Human Wellbeing?
- Objective: The mission aims to integrate biodiversity conservation and ecosystem services into various sectors to address critical challenges related to climate change, regenerative agriculture, and ecosystem and public health.
- Enhancing Human Wellbeing: The mission focuses on fostering human well-being by enhancing and conserving biodiversity. It aims to support the United Nations Sustainable Development Goals related to poverty alleviation, nutrition and health, and environmental protection.
- People-Centric Approach: The mission recognizes the importance of active engagement and participation of all citizens in biodiversity conservation and sustainable use. It places people at the center of the mission’s activities.
- Mainstreaming Biodiversity: The mission seeks to embed biodiversity considerations into development-oriented programs of both the public and private sectors. This ensures that biodiversity conservation becomes an integral part of decision-making processes and actions.
- Education and Awareness: The mission aims to create awareness about the importance of biodiversity and foster curiosity about nature. It seeks to instill a sense of responsibility for safeguarding biodiversity in every child and student.
- Nature-Based Solutions: The mission emphasizes the utilization of nature-based solutions to address challenges related to climate change, agriculture, and public health. It recognizes the value of ecosystems and biodiversity in providing sustainable solutions.
- Traditional Knowledge and Community Participation: The mission promotes the integration of traditional knowledge and the active participation of local communities and indigenous groups in biodiversity management. It acknowledges their role in conservation efforts.
- Sustainable Development Goals Alignment: The mission aligns with the United Nations Sustainable Development Goals, aiming to contribute to poverty alleviation, nutrition and health, and environmental protection.
- Pending Implementation: Although the mission has received preliminary approval from the Prime Minister’s Science, Technology, and Innovation Council, it is still in the proposal stage and yet to be fully implemented.
Conclusion
- The mainstreaming of biodiversity represents a significant step toward securing a sustainable future. Recognizing the interconnectedness of all life forms and ecosystems, we must redefine our approach to biodiversity management. The proposed National Mission on Biodiversity and Human Wellbeing provides a roadmap and empowers all citizens to take part in safeguarding our precious natural heritage.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Combined Maritime Forces (CMF)
Mains level: Not Much
Central Idea
The United Arab Emirates (UAE) has announced its withdrawal from the U.S.-led Combined Maritime Forces (CMF), a maritime coalition responsible for securing Gulf waterways crucial to global oil trade.
What is Combined Maritime Forces (CMF)?
| Establishment |
2002 |
| Location |
Bahrain |
| Objective |
Promoting security, stability, and prosperity across maritime regions |
| Member Nations |
Over 30 member nations |
| Primary Task Forces |
Combined Task Force 150 (CTF 150), Combined Task Force 151 (CTF 151), Combined Task Force 152 (CTF 152) |
| Operations |
Counter-terrorism, counter-piracy, maritime security, and cooperation |
| Collaborations |
United Nations, European Union, NATO, and regional partners |
| Contributions |
Naval assets including warships, aircraft, and maritime patrol vessels |
| Focus Areas |
Arabian Sea, Gulf of Oman, Gulf of Aden, Red Sea, Indian Ocean, Arabian Gulf, and surrounding areas |
Reasons for UAE’s withdrawal
- UAE has not provided specific reasons for its withdrawal from the Combined Maritime Forces (CMF) in the official statement.
- One potential factor could be a desire to distance themselves from perceived dependencies or entanglements with the US.
- This could be part of a broader strategy by the UAE to assert its own regional influence, pursue independent foreign policies, or rebalance its relationships with China and Iran.
Recent incidents and tensions in Gulf Waters
- In late April and early May, Iran seized two tankers, one of which was empty and travelling between the UAE ports of Dubai and Fujairah.
- Iran was also accused of launching a drone attack on an Israeli-owned tanker in November 2022, escalating tensions with the United States.
- As a response to increasing harassment by Iran, the US announced the deployment of reinforcements to the Gulf, a vital route for a significant portion of the world’s sea-borne oil.
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From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Tobacco consumption and issues
Central Idea
- Over-the-top (OTT) streaming platforms must display anti-tobacco warnings similar to those seen in movies screened in theatres and on TV.
- The requirement is based on a Union Health Ministry notification that amends the rules under the Cigarettes and Other Tobacco Products Act (COTPA), 2004.
What is COTPA, 2004?
|
Description |
| Purpose |
Regulate production, sale, distribution, and consumption of tobacco products |
| Prohibition of Smoking in Public Places |
Smoking prohibited in public areas like offices, restaurants, parks, public transport, etc. |
| Health Warnings on Tobacco Products |
Mandatory display of health warnings on cigarette packages and other tobacco products |
| Ban on Advertisement and Promotion |
Prohibition on direct and indirect advertising of tobacco products |
| Prohibition on Sale to Minors |
Selling tobacco products to individuals below 18 years of age is strictly prohibited |
| Packaging and Labelling Requirements |
Health warnings and pictorial representations of harmful effects on cigarette packages |
| Powers of Enforcement |
Authorities empowered to enforce the act, conduct inspections, and seize contraband products |
New requirements for Anti-Tobacco Warnings
- Publishers of online curated content displaying tobacco products or their use must show anti-tobacco health spots at the beginning and middle of the program.
- When tobacco products or their use are displayed during the program, an anti-tobacco health warning must be prominently displayed as a static message at the bottom of the screen.
- The warning message should be legible and readable, with black font on a white background.
- The specified warnings are ‘Tobacco causes cancer’ or ‘Tobacco kills.’
- Health spots, warnings, and audio-visual disclaimers should be in the same language as used in the show.
Negative health impacts of tobacco
- Cancer: Tobacco use is the leading cause of preventable cancer. It can cause cancer of the lungs, mouth, throat, larynx, pancreas, bladder, kidney, and cervix.
- Respiratory diseases: It may cause chronic obstructive pulmonary disease (COPD), which includes chronic bronchitis and emphysema. It can also worsen asthma symptoms.
- Cardiovascular diseases: Consumption increases the risk of heart attack, stroke, and other cardiovascular diseases. It damages blood vessels and increases the risk of blood clots.
- Reproductive health: Tobacco use can lead to infertility, premature birth, and low birth weight in babies.
Socio-economic impact
(1) On an individual level:
- Decreased productivity: Smoking-related illnesses can result in absenteeism from work, decreased work performance, and increased medical expenses.
- Decreased life expectancy: Tobacco consumption can lead to decreased life expectancy, which reduces the overall productive years of an individual.
(2) On a societal level:
- Healthcare cost: Tobacco consumption can lead to decreased economic development due to the increased burden of healthcare costs and decreased productivity.
- Increased social expenditure: According to a study conducted by the World Health Organization (WHO), tobacco-related illnesses cost India about $22.4 billion in healthcare costs and lost productivity annually
Why tobacco isn’t completely banned?
- Revenue loss: The industry contributes a significant amount of tax revenue to the government. Banning tobacco would result in the loss of these tax revenues, which are used for various public welfare programs and initiatives.
- Economic Impact: The tobacco industry provides employment to a large number of people, especially in the agricultural sector, where tobacco farming is prevalent.
- Not a psychotropic substance: While the harmful effects of tobacco are well-documented, banning a legal product entirely requires careful consideration and legal processes.
- Regulatory approach: Instead of a complete ban, the Indian government has adopted a regulatory approach to control tobacco use.
Way forward
- Strengthen tobacco control laws: Review and enhance existing laws to effectively reduce tobacco consumption.
- Conduct public awareness campaigns: Educate the public about the health risks of tobacco use and the benefits of quitting.
- Expand access to tobacco cessation programs: Increase availability of affordable and effective programs to support individuals who want to quit tobacco.
- Implement sin taxes on tobacco products: Increase taxes to discourage consumption, especially among price-sensitive populations.
- Enforce smoke-free environments: Strictly implement smoke-free laws in public places, workplaces, and public transport.
- Support tobacco farmers: Provide alternative livelihood options and assistance for farmers transitioning away from tobacco farming.
- Conduct research and surveillance: Invest in data collection and analysis to inform evidence-based policies and interventions.
- Collaborate with international organizations: Partner with global entities like WHO to leverage expertise and resources in tobacco control.
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From UPSC perspective, the following things are important :
Prelims level: CITIIS 2.0, Smart Cities Mission
Mains level: Not Much
Central Idea
- The Union government has approved the second phase of the City Investments to Innovate, Integrate, and Sustain (CITIIS) project.
What is CITIIS 2.0?
- It is a part of the Smart Cities Mission and aims to promote integrated waste management and climate-oriented reform actions.
- The project will be implemented in 18 cities selected through a competition process.
- The project will span over a period of four years, from 2023 to 2027.
Objectives of the project
- CITIIS 2.0 supports competitively selected projects focusing on circular economy and integrated waste management at the city level.
- It also emphasizes climate-oriented reform actions at the State level and aims to strengthen institutions and disseminate knowledge at the national level.
Implementation Partners
- The project is implemented in partnership with the French Development Agency (AFD), Kreditanstalt fur Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA).
Components
The project consists of three major components:
- Financial and technical support for developing climate-resilient projects in up to 18 smart cities.
- Interventions at the center, state, and city levels to enhance climate governance.
- Promotion of climate adaptation and mitigation measures.
Back2Basics: Smart Cities Mission
- The Smart Cities Mission is an initiative of the Union Housing and Urban Affairs Ministry that was launched in 2015.
- Cities across the country were asked to submit proposals for projects to improve municipal services and to make their jurisdictions more liveable.
- Between January 2016 and June 2018 (when the last city, Shillong, was chosen), the Ministry selected 100 cities for the Mission over five rounds.
- The projects were supposed to be completed within five years of the selection of the city, but in 2021 the Ministry changed the deadline for all cities to June 2023, which was earlier the deadline for Shillong alone.
- With an increase on urban population and rapid expansion of areas, government is looking at smarter ways to manage complexities, increase efficiencies and improve quality of life.
- The mission will cover 100 cities that have been distributed among the States /Union Territories (UT) on the basis of an equitable criteria.
- The formula gives equal weightage (50:50) to urban population of the State/UT and the number of statutory towns in the State/UT.
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From UPSC perspective, the following things are important :
Prelims level: Centralised Laboratory Network (CLN)
Mains level: Not Much
Central Idea
- India has recently become a member of the Centralized Laboratory Network (CLN), which is a part of the Coalition for Epidemic Preparedness Innovations (CEPI).
Centralised Laboratory Network (CLN)
- CLN consists of 15 partner facilities in 13 countries and aims to test vaccines for use during pandemics and epidemic disease outbreaks.
- It focuses on testing vaccines for pandemic and epidemic disease outbreaks.
- It is part of the Coalition for Epidemic Preparedness Innovations (CEPI).
- The network aims to standardize testing methods and materials.
New members of the CLN
- Indian Council of Medical Research-National Institute of Virology (ICMR-NIV) joins CLN.
- Institute Pasteur de Dakar (IPD) from Senegal is a new member.
- KAVI Institute of Clinical Research (KAVI ICR) and University of Nairobi Institute of Tropical and Infectious Diseases (UNITID) from Kenya join CLN.
- Synexa Life Sciences from South Africa becomes a member.
- Uganda Virus Research Institute (UVRI) from Uganda is also a new member.
Objectives of the CEPI-funded network
- The CEPI-funded network aims to identify promising vaccine candidates rapidly and accurately.
- The network focuses on emerging infectious diseases.
- The goal is to support sustainable regional outbreak preparedness infrastructure.
CEPI-Funded Network Objectives
- The CEPI-funded network, which includes CLN, has the primary objective of identifying the most promising vaccine candidates rapidly and accurately against emerging infectious diseases.
- In addition to vaccine testing, the expanded network also aims to support the development of sustainable regional outbreak preparedness infrastructure.
- By working collaboratively and sharing standardized methods and materials, the network enhances global preparedness for potential disease outbreaks.
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From UPSC perspective, the following things are important :
Prelims level: Ahilyabai Holkar, Ahmednagar
Mains level: Not Much
Central Idea
- Government decision: Ahmednagar district was renamed after Punyashlok Ahilya Devi Holkar.
- Support from officials: Government officials express gratitude and believe it enhances district honour.
- Previous discussions: Maharashtra Education Minister planned to rename the city as ‘Punyashlok Ahilyadevi Nagar’.
Origin and History of Ahmednagar
- Ancient references: Ahmednagar was mentioned in reference to Mauryan Emperor Ashok (240 BC).
- Rule of prominent kingdoms: Rashtrakuta Dynasty, Western Chalukyas, and Delhi Sultanate.
- Emergence of Ahmednagar: Revolt led to the establishment of Bahmani kingdom, with Ahmednagar as one of the five independent kingdoms.
Malik Ahmad Nizam Shah and Ahmednagar
- PM of Bahmani Sultanate: Malik Ahmad Nizam Shah assumed the position in 1486.
- Victory and city foundation: Defeated the king of Bahmani kingdom and founded Ahmednagar in 1494.
- Unifying communities: Gained loyalty of Muslims, Maratha peasants, and warriors.
Ahilyabai Holkar: Early Life and Marriage
- Remarkable upbringing: Ahilyabai born in Chondi village, received rare education.
- Marriage to Khande Rao: Malhar Rao Holkar arranged the marriage after being impressed by Ahilyabai’s devotion.
Administration and Temple-building
- Assumption of power: Ahilyabai took control of Malwa after her husband’s death in 1754.
- Effective governance: Excelling in administration and military strategies under her father-in-law’s guidance.
- Temple restoration: Notable efforts in restoring Hindu temples, earning respect as a capable ruler.
Legacy of Ahilyabai Holkar
- Recognizing achievements: Prime Minister Narendra Modi’s inauguration of Samudra Darshan Path and Somnath Exhibition Gallery.
- Symbol of inspiration: Somnath temple built by Ahilyabai Holkar in 1783, representing triumph of truth and faith.
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From UPSC perspective, the following things are important :
Prelims level: SCO and its Anti-Terrorism Agenda
Mains level: Pakistan's State Sponsored Terrorism, SCO's Limited Authority and Implications
Central Idea
- The Council of Foreign Ministers (CFM) of the Shanghai Cooperation Organisation (SCO) recently convened in Goa to address pressing regional issues. Unfortunately, on the same day, the People’s Anti-Fascists Front (PAF), an offshoot of Pakistan-sponsored Jaish-e-Muhammad (JeM), claimed the lives of five Indian army personnel in Jammu and Kashmir’s Rajouri district.
Background: SCO’s Anti-Terrorism Agenda
- The SCO’s origins trace back to the establishment of the Shanghai Five in 1996, consisting of Russia, China, Kazakhstan, Kyrgyzstan, and Tajikistan.
- In 1998, the group recognized the joint fight against separatism, extremism, and terrorism originating from the Af-Pak region as a top priority. The inclusion of Uzbekistan in 2001 led to the organization’s renaming as the SCO.
- Subsequently, the Regional Anti-Terrorists Structure (RATS) was formed in Tashkent, Uzbekistan, to institutionalize and consolidate anti-terrorism efforts within the SCO.
- RATS facilitated joint counterterrorism exercises, training, and the preparation of countermeasures.
Pakistan’s Role in State-Sponsored Terrorism
- Safe Haven for Terrorist Groups: Pakistan has served as a safe haven and provided sanctuary for various terrorist groups. These groups, such as the Taliban, Haqqani Network, Lashkar-e-Taiba (LeT), and Jaish-e-Mohammed (JeM), operate from Pakistani soil, carry out attacks in neighboring countries, and then seek refuge in Pakistan.
- Training and Recruitment: Pakistan has been involved in training and recruiting terrorists. Extremist organizations have established training camps within Pakistan where individuals are indoctrinated, radicalized, and trained in various aspects of terrorism, including bomb-making, guerrilla warfare, and ideological indoctrination.
- Financial and Logistical Support: Pakistan has been accused of providing financial and logistical support to terrorist groups. This support includes funding, weapons, ammunition, and intelligence assistance, enabling these groups to carry out their activities with impunity.
- Proxy Warfare: Pakistan has used terrorism as a proxy warfare strategy to achieve its geopolitical objectives. By sponsoring terrorist groups, Pakistan seeks to influence and destabilize neighboring countries, particularly India and Afghanistan, with the aim of furthering its own interests in the region.
- Infiltration of Terrorists: Pakistan has facilitated the infiltration of terrorists across its borders into neighboring countries. This includes providing safe passage, forged documents, and logistical support to terrorists to carry out attacks or join insurgencies in other regions.
- State-Sponsored Radicalization: Pakistan has promoted and facilitated the radicalization of individuals, both within its own territory and abroad. Madrasas (religious schools) in Pakistan have been accused of spreading extremist ideologies, fueling hatred, and recruiting individuals for terrorist activities.
- Instrument of Influence: Pakistan has used terrorism as a tool to exert influence and control over regions and communities. By supporting and sponsoring terrorist groups, Pakistan seeks to manipulate political dynamics, create instability, and maintain a degree of control over areas of strategic importance.
Impact of Pakistan-Sponsored Terrorism in Jammu and Kashmir
- Loss of Lives: Pakistan-sponsored terrorism in Jammu and Kashmir has resulted in the loss of countless innocent lives, including civilians, security forces, and terrorists themselves. The region has witnessed numerous terror attacks, suicide bombings, and armed encounters, leading to a tragic loss of human lives.
- Destabilization and Conflict: The continuous infiltration of terrorists from Pakistan into Jammu and Kashmir has fueled instability and prolonged the conflict in the region. The presence of terrorist groups has created an atmosphere of fear and insecurity, hindering the social and economic development of the region.
- Human Rights Violations: The activities of Pakistan-sponsored terrorist groups have been accompanied by human rights violations in Jammu and Kashmir. These violations include targeted killings, forced disappearances, torture, and intimidation of civilians, leading to a climate of fear and repression.
- Disruption of Normalcy: The persistent threat of terrorism has disrupted normal life in Jammu and Kashmir. Educational institutions, businesses, and daily activities have been severely affected as people live under constant fear and uncertainty.
- Obstruction of Peace Processes: Pakistan-sponsored terrorism acts as a major obstacle to the peace process between India and Pakistan. The violence and unrest created by these terrorist groups hinder any meaningful dialogue and diplomatic efforts aimed at resolving the Kashmir issue.
- Economic Impact: The sustained presence of terrorist activities has had a detrimental impact on the economy of Jammu and Kashmir. Tourism, a significant source of revenue for the region, has suffered due to the prevailing security concerns, leading to job losses and economic downturn.
- Psychological Impact: The ongoing terrorism has taken a toll on the mental health and well-being of the people of Jammu and Kashmir. The constant threat of violence, loss of loved ones, and living under a state of fear have resulted in psychological trauma for individuals and communities.
Consequences of Pakistan-sponsored terrorism on internal peace in Pakistan
- Increased Violence and Insecurity: Pakistan-sponsored terrorism has led to a rise in violence and insecurity within the country. Terrorist attacks carried out by extremist groups have resulted in the loss of numerous lives and widespread fear among the population.
- Loss of Civilian Lives: Innocent civilians have been the primary victims of terrorist attacks sponsored by Pakistan. These attacks have targeted public places, religious institutions, markets, and educational institutions, causing significant casualties among the civilian population.
- Sectarian and Ethnic Tensions: Pakistan has witnessed an escalation in sectarian and ethnic tensions as a result of state-sponsored terrorism. Extremist groups have targeted specific religious and ethnic communities, exacerbating divisions and leading to a breakdown of social harmony.
- Internal Displacement: The violence and insecurity caused by Pakistan-sponsored terrorism have resulted in internal displacement of populations within Pakistan. People are forced to leave their homes and seek refuge in safer areas, leading to the displacement crisis and additional socio-economic burdens.
SCO’s Limited Authority and Implications
- Lack of Enforcement Power: The SCO does not possess strong enforcement power or mechanisms to compel member states to adhere to its mandates or take action against state-sponsored terrorism. It heavily relies on voluntary cooperation among member states, making it challenging to address non-compliance effectively.
- Ineffectiveness in Holding States Accountable: The absence of robust mechanisms for accountability limits the SCO’s ability to hold member states accountable for their actions, including Pakistan’s involvement in state-sponsored terrorism. This undermines the credibility and effectiveness of the organization in addressing terrorism-related issues.
- Risk of Becoming a Platform for Political Maneuvering: The limited authority of the SCO creates a risk that member states, including Pakistan, may use the organization as a platform for political maneuvering rather than genuinely addressing the issue of terrorism. Geopolitical rivalries and divergent interests among member states can impede the organization’s ability to effectively combat terrorism.
- Compromised Regional Security: The limited authority of the SCO in dealing with state-sponsored terrorism hampers its ability to effectively address security threats in the region. This compromises the overall regional security and stability, as terrorist groups continue to exploit the gaps and operate with impunity.
- Diminished Credibility: The inability of the SCO to take decisive action against state-sponsored terrorism can lead to a diminished credibility of the organization in the international community. The lack of concrete measures to address terrorism undermines its role as a regional security organization and casts doubts on its effectiveness
- Weakening of Counterterrorism Efforts: The limited authority of the SCO hampers its ability to coordinate and implement comprehensive counterterrorism efforts among member states. This undermines the potential of collective action in addressing the shared threat of terrorism and limits the effectiveness of joint initiatives and cooperation.
Conclusion
- The limited authority of the Shanghai Cooperation Organisation (SCO) to address state-sponsored terrorism, coupled with growing divergence among member states and the inclusion of rogue nations like Pakistan, threatens its effectiveness in countering terror threats. Without stronger mechanisms and unified action, the SCO risks becoming ineffective in tackling the rising challenges of terrorism, thereby compromising regional security and stability.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: India's UNSC presidency
Mains level: Switzerland's foreign policy and alignment with India's principles
Central Idea
- Switzerland, known for its long-standing commitment to neutrality and diplomacy, has concluded its month-long presidency of the United Nations Security Council. Switzerland’s historical experiences and its alignment with the principles of ahimsa (non-violence) make it a natural partner for India, a country rooted in similar values.
Switzerland’s Historical Journey
- Civil Wars (16th to 19th century): Switzerland experienced a series of civil wars between Catholics and Protestants, lasting for up to 300 years. These conflicts ravaged the country and led to a moment of deep reflection.
- The Swiss Confederation (1848): The civil war of 1847 prompted the Swiss people to envision a more peaceful future. In 1848, the Swiss Confederation was established, creating inclusive federal institutions that aimed to build domestic peace.
- League of Nations (1920): Switzerland played a significant role in the establishment of the League of Nations, an international organization founded in Geneva after World War I. The League aimed to maintain peace and prevent future conflicts through collective security and diplomacy.
- United Nations (1945): Switzerland actively supported the founding of the United Nations, a global organization formed after World War II to promote international cooperation, peace, and security. The UN has since played a vital role in addressing global challenges and conflicts.
Priorities set by Switzerland during its UNSC presidency
- Building Sustainable Peace: Switzerland emphasized the importance of building sustainable peace in conflict-affected regions. Switzerland advocated for dialogue, trust-building, and diplomacy as essential tools to address the root causes of conflicts and promote lasting peace.
- Protection of Civilians: Recognizing the plight of civilians caught in armed conflicts, Switzerland focused on the protection of civilians as a critical aspect of its foreign policy agenda. This involved raising awareness about the challenges faced by civilians in conflict zones and urging the international community to take concrete measures to safeguard their rights and well-being.
- Humanitarian Action: Switzerland placed significant importance on humanitarian action during its UNSC presidency. It sought to mobilize support and resources for humanitarian assistance in areas affected by armed conflict, ensuring the provision of critical aid to vulnerable populations, including access to food, shelter, healthcare, and education.
- Promotion of Multilateralism: As a strong advocate for multilateralism, Switzerland prioritized the promotion of international cooperation and collaboration. Switzerland aimed to foster dialogue and consensus-building among Security Council members to effectively address pressing global issues and work towards shared solutions.
Switzerland’s Foreign Policy alignment with India’s Principles
- Non-Violence (Ahimsa): Switzerland and India both emphasize the principle of non-violence (ahimsa) in their foreign policy outlook. Switzerland’s commitment to peace promotion and the protection of civilians in zones of armed conflict resonates with India’s longstanding belief in non-violence as a means to resolve conflicts and maintain harmonious relations.
- Shared Historical Legacies: Switzerland’s historical struggles with civil wars and subsequent efforts to establish inclusive federal institutions for domestic peace parallel India’s own historical journey toward independence and the construction of an inclusive democratic system.
- Value of Diplomacy: Switzerland’s role as a neutral and diplomatic hub and India’s long-standing commitment to diplomatic engagements underline the significance of dialogue, negotiation, and consensus-building in addressing global challenges and conflicts.
- International Cooperation: Switzerland actively engages in international organizations and initiatives, such as the United Nations, while India’s active participation in multilateral platforms like the United Nations and the G20 underscores its commitment to international cooperation. Both countries value multilateralism and collaborative efforts to address shared challenges.
- Promotion of Peace: Switzerland’s focus on building sustainable peace and protecting civilians in conflict zones aligns with India’s commitment to peace promotion and conflict resolution. Both countries prioritize peaceful means of resolving disputes and work towards creating a peaceful and secure world.
Facts for Prelims: The UNITE Aware technology platform
- The UNITE Aware technology platform is a system developed by India in collaboration with the United Nations to enhance the safety and security of peacekeepers deployed in conflict zones.
- It is a real-time situational awareness system that uses advanced technologies such as satellites, drones, and geospatial tools to provide up-to-date information on the ground situation to peacekeeping forces.
- The system also includes a mobile app that allows peacekeepers to report incidents and receive alerts in real-time.
- The platform is designed to help peacekeepers make informed decisions and respond effectively to emerging threats, thereby reducing the risks to their safety and security.
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Conclusion
- Switzerland’s foreign policy, anchored in peace promotion and protection of civilians in armed conflict zones, aligns with India’s principles of non-violence. Switzerland’s active initiatives and participation in the United Nations Security Council’s open debates reflect its commitment to fostering a peaceful future. Together, Switzerland’s position in New York and India’s G20 presidency offer a promising path towards a more harmonious and peaceful world.
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From UPSC perspective, the following things are important :
Prelims level: Latest developments and applications of AI
Mains level: AI, advantages, concerns and policies
Central Idea
- The second half of March 2023 may be remembered as the turning point when artificial intelligence (AI) truly entered a new era. The launch of groundbreaking AI tools such as GPT-4, Bard, Claude, Midjourney V5, and Security Copilot surpassed all expectations, defying predictions by a decade. While these sophisticated AI models hold great promise, their rapid deployment raises both positive and negative implications.
The Existential Threat of Artificial General Intelligence (AGI)
- Compromising Humanity: The development of artificial general intelligence (AGI) raises concerns about its potential impact on fundamental elements of humanity. A poorly designed AGI, or one governed by unknown “black box” processes, could carry out tasks in ways that compromise our core values and ethics.
- Unpredictable Behavior: AGI’s ability to teach itself any cognitive task that humans can do poses a challenge in terms of predicting its behavior. As AGI surpasses human intelligence, its decision-making processes may become increasingly complex and opaque, making it difficult to understand and control its actions.
- Superintelligence: AGI has the potential to rapidly surpass human intelligence and become superintelligent. This raises questions about whether AGI would act in the best interests of humanity or pursue its own objectives, potentially leading to unintended and undesirable consequences.
- Unintended Consequences: AGI’s ability to optimize for specific objectives may lead to unforeseen outcomes. If these objectives are not aligned with human values, AGI could inadvertently cause harm or disrupt essential systems.
- Lack of Control: AGI’s self-improvement capabilities could enable it to evolve and surpass human understanding and control. This lack of control raises concerns about the potential for AGI to develop its own goals and values, which may not align with those of humanity.
- Accelerating Technological Progress: AGI could rapidly accelerate technological progress, leading to a potential “intelligence explosion” where AGI drives advancements at an exponential rate. This rapid pace of development could be challenging for society to adapt to and may have unintended consequences.
- Ethical Dilemmas: AGI will face complex ethical dilemmas, such as decision-making in life-or-death situations or trade-offs between different values. Determining how AGI should navigate these dilemmas poses significant challenges and requires careful consideration.
- Security Risks: AGI development could also pose security risks if advanced AI capabilities fall into the wrong hands or are misused. Malicious actors could exploit AGI for nefarious purposes, potentially leading to significant global security threats.
The Imperative for Global Governance
- Addressing Global Impact: The development and deployment of artificial intelligence (AI) have far-reaching implications that transcend national boundaries. Issues such as AI-driven job displacement, data privacy, cybersecurity, and ethical concerns require global cooperation to effectively address their impact on societies worldwide.
- Ensuring Ethical and Responsible AI Development: Collaborative efforts can help define principles and frameworks that ensure AI is developed and deployed in a responsible and transparent manner, safeguarding human rights and avoiding harm to individuals or communities.
- Promoting Fair and Equitable Access: Global governance can help bridge the digital divide by ensuring equitable access to AI tools, infrastructure, and benefits, particularly for marginalized and underserved populations.
- Managing Global Security Risks: AI technologies have implications for global security, including cyber warfare, autonomous weapons, and information warfare. International cooperation is crucial to develop norms, regulations, and agreements that mitigate security risks associated with AI and ensure responsible use of these technologies.
- Harmonizing Standards and Regulations: Harmonizing AI standards and regulations across countries can facilitate international collaboration and interoperability. Global governance frameworks can help establish common norms, protocols, and best practices that promote consistency and compatibility in AI deployment, fostering innovation and cooperation.
- Addressing Transnational Challenges: AI-driven challenges, such as cross-border data flows, algorithmic biases, and the impact on labor markets, require international coordination. Global governance can facilitate discussions, negotiations, and agreements to tackle these challenges collectively, ensuring a cohesive and coordinated approach.
- Balancing Innovation and Regulation: AI technologies evolve rapidly, outpacing the development of regulatory frameworks. Global governance can help strike a balance between fostering innovation and ensuring adequate regulation, promoting responsible AI development while allowing room for experimentation and advancement.
International cooperation to address the challenges posed by AI and emerging technologies
- Limiting Battlefield Use: International agreements are needed to limit the use of certain AI technologies on the battlefield. A treaty banning lethal autonomous weapons would establish clear boundaries and prevent the development and deployment of AI systems that can make life-and-death decisions without human intervention
- Regulating Cyberspace: International accords should be established to regulate cyberspace, particularly offensive actions conducted by autonomous bots. Clear rules and norms can help prevent cyberattacks, information warfare, and the manipulation of online platforms, ensuring a safer and more secure digital environment.
- Trade Regulations: Unfettered exports of certain technologies can empower governments to suppress dissent, augment their military capabilities, or gain an unfair advantage. International accords can establish guidelines for responsible technology trade and prevent misuse or misuse of AI capabilities.
- Ensuring a Level Playing Field: International agreements are required to ensure a level playing field in the digital economy. This includes addressing issues such as fair competition, intellectual property rights, and appropriate taxation of digital activities.
- Global Framework for AI Ethics: Supporting the efforts of organizations like UNESCO to create a global framework for AI ethics is essential. International accords can help establish ethical guidelines and principles that govern the development, deployment, and use of AI technologies. This framework can address issues such as privacy, bias, accountability, and transparency.
- Ethical Standards for Data Use: International accords can establish ethical standards for data use in AI applications. This includes addressing issues of data privacy, consent, and protection. Establishing global norms for responsible data practices can ensure that AI systems respect individual rights and maintain public trust.
- Addressing Cross-Border Implications: By establishing international accords, countries can address challenges related to cross-border data flows, algorithmic biases, and the impact on labor markets. Cooperation can enable a coordinated response to shared challenges and ensure the benefits of AI are equitably distributed.
Way ahead: Engaging with Emerging Powers
- Engagement with emerging powers, such as India, plays a crucial role in shaping the future of AI.
- As India’s economy continues to grow and its influence in the digital sphere expands, it is imperative to develop strategies that accommodate its cultural and economic context.
- Partnerships between Western economies and India, exemplified by initiatives like the US-India Initiative on Critical and Emerging Technology and the EU-India Trade and Technology Council, should prioritize shared interests and mutual understanding.
- By appreciating the nuances of different nations’ approaches to AI regulation, a prosperous and secure digital future can be achieved.
Conclusion
- The era of artificial intelligence demands global governance to harness its potential while addressing its risks. Embracing responsible AI deployment and fostering global cooperation are imperative to ensure a prosperous, equitable, and secure digital era.
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From UPSC perspective, the following things are important :
Prelims level: Demonetization
Mains level: withdrawal of the ₹2,000, the demonetization chapter, rationale and implications
Central Idea
- The withdrawal of the ₹2,000 note from circulation by the Reserve Bank of India (RBI) on May 19, 2023, marks the conclusion of a tumultuous chapter in the dramatic saga of demonetisation. The presence of this high-denomination note had been a constant reminder of the hardships faced by the people during the chaotic demonetisation period. The note’s withdrawal was long anticipated, given the government’s decision to cease its printing after 2018-19.
About the ₹2000 Notes
- The ₹2000 denomination banknote was introduced in November 2016 under Section 24(1) of RBI Act, 1934.
- It primarily aimed to meet the currency requirement of the economy in an expeditious manner after withdrawal of the legal tender status of all ₹500 and ₹1000 banknotes in circulation at that time.
Reasons for withdrawal
- Demonetization purpose served: Printing of ₹2000 notes was stopped in 2018-19 as other denominations became available in adequate quantities.
- Clean Note Policy: This aims to provide good-quality currency notes with enhanced security features and withdraw soiled notes from circulation.
- Ending timespan: Majority of the ₹2000 notes were issued prior to March 2017 and have reached their estimated lifespan of 4-5 years.
- Disappeared from circulation: This denomination is not commonly used for transactions, and there is sufficient stock of banknotes in other denominations to meet public requirements.
The mixed impact of the withdrawal of the ₹2,000 note
- Reduced Circulation: As of March 31, 2023, the ₹2,000 note accounted for only 10.8% of all notes in circulation, down from 37.3% on March 31, 2018. This significant reduction indicates that the withdrawal of the ₹2,000 note will have a relatively small direct impact on the overall currency circulation in the country.
- Remnant of Demonetisation: The ₹2,000 note was closely associated with the 2016 demonetisation policy, which aimed to combat black money and promote a digital economy. Its withdrawal marks the end of a chapter in the demonetisation saga and symbolically represents the closure of that particular phase of currency reform.
- Economic Stability: The note had been associated with various challenges, including logistical issues, poor printing quality, and difficulties in conducting transactions due to the scarcity of smaller denomination notes. Removing the note from circulation could help streamline currency operations and enhance confidence in the currency system.
- Public Perception: The ₹2,000 note had become a symbol of the hardships and inconveniences faced by the public during demonetisation, with long queues and limited availability of smaller denomination notes. Its withdrawal may generate mixed reactions among the public.
- Future Monetary Policy: The withdrawal of the ₹2,000 note raises questions about the potential introduction of a new higher denomination note or alternative measures to address currency logistics and store of value concerns. It may prompt policymakers to reassess the currency composition and devise strategies to meet the evolving economic requirements
Errors occurred in relation to the ₹2,000 note during demonetization
- Insufficient Replacement Planning: The government failed to anticipate the need for an adequate supply of replacement notes when demonetisation was implemented. As a result, more ₹2,000 notes had to be printed to facilitate remonetisation, causing logistical challenges.
- Recalibration Crisis: The introduction of the new ₹2,000 note, with its larger size, necessitated the recalibration of all ATMs in India. This massive and complex exercise required coordination across various entities, leading to disruptions and delays.
- Shortage of Smaller Denomination Notes: In an ad hoc measure to address the shortage of ₹100 notes, banks filled ATMs with soiled and worn-out currency, which frequently jammed the machines and added to the chaos.
- Poor Quality Printing: Many ₹2,000 notes were poorly printed, exhibiting defects such as shadows of Mahatma Gandhi’s face, uneven borders, and variations in color shades and sizes. This compromised the authenticity of the notes and made it easier for criminals to circulate counterfeit copies.
- Difficulty in Transactions: Even when people managed to obtain a ₹2,000 note, they often faced difficulties in spending it. Businesses were reluctant to provide change or balance payments for transactions involving the high-denomination note, exacerbating the shortage of smaller denomination notes.
The need for a larger denomination note
- Store of Value: In an economy with rising per capita incomes and inflation, the highest denomination note serves as a store of value. As the value of lower denomination notes erodes over time, a higher denomination note becomes necessary to preserve and facilitate transactions involving larger amounts of money.
- Cash-to-GDP Ratio: The cash-to-GDP ratio in India has been increasing, indicating a higher circulation of cash in the economy. To accommodate this growing cash flow and maintain efficiency in currency logistics, the introduction of a larger denomination note may be warranted.
- Inflation and Real Interest Rates: With rising inflation and falling real interest rates, a larger denomination note can help individuals and businesses better manage their financial transactions and store value without being adversely affected by the eroding value of smaller denomination notes.
- Currency Management Challenges: The withdrawal of the ₹2,000 note raises questions about whether the ₹500 note, the next highest denomination, can effectively serve as a store of value. The increasing cash circulation, coupled with the challenges of managing currency logistics, may necessitate the introduction of a new higher denomination note
- Stability and Credibility: Introducing a larger denomination note can help restore stability and confidence among individuals and businesses, providing them with a reliable store of value and a means to conduct transactions more efficiently.
Way Ahead
- Introducing a New Higher Denomination Note: The introduction of a new note, such as ₹1,000, ₹5,000, or ₹10,000, could address the evolving cash-to-GDP ratio and ensure efficient currency logistics.
- Assessing Currency Logistics: The increasing circulation of cash, rising inflation, and falling real interest rates necessitate careful evaluation of currency supply and demand. The RBI will need to consider whether the current denominations are sufficient or if additional higher denomination notes are required.
- Evaluating Digital Currency Options: As technology advances, digital currencies, such as e-rupee, are being explored as potential alternatives to physical cash. However, the properties and infrastructure required for a digital currency to become a widely accepted store of value are still evolving. The RBI needs to assess the viability, stability, and acceptance of digital currencies before considering them as potential substitutes for higher denomination notes.
- Ensuring Currency Stability: To restore stability and confidence, the RBI needs to adopt consistent policies and provide clarity on the future of higher denomination notes. Maintaining a stable currency is essential for economic growth and the confidence of individuals and businesses.
- Adapting to Economic Dynamics: The evolving economic landscape, including factors like cash usage patterns, inflation, and real interest rates, should be closely monitored. Currency management strategies must align with the changing needs of the economy and the preferences of individuals and businesses
Conclusion
- The withdrawal of the ₹2,000 note signifies the end of a troubled chapter in India’s demonetisation saga. As the economy progresses, the need for a larger denomination note or alternative solutions to address currency logistics and store of value concerns must be carefully considered to ensure the stability and credibility of India’s monetary system.
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From UPSC perspective, the following things are important :
Prelims level: Tradition toys industry
Mains level: India's transition to a net exporter in the toy industry, reforms, challenges and way ahead
Central Idea
- India’s toy industry has witnessed a remarkable turnaround in recent years, transitioning from being a net importer to becoming a net exporter during 2020-21 and 2021-22. The credit for this achievement is often attributed to the Make in India initiative launched in 2014 and related policies. However, it is crucial to examine whether this surge represents sustained industrial growth or is a temporary outcome of protectionist measures.
The import-export dynamic of India’s toy industry
- Historical Imbalance: Historically, India’s toy industry has been characterized by a significant imbalance, with imports dominating the market. Imports accounted for a substantial share of domestic toy sales, often reaching up to 80% of the market.
- Recent Shift: In recent years, there has been a notable shift in the import-export dynamic. Between 2018-19 and 2021-22, toy exports from India have seen significant growth, increasing from $109 million (₹812 crore) to $177 million (₹1,237 crore). At the same time, toy imports have declined from $371 million (₹2,593 crore) to $110 million (₹819 crore), according to official data.
- Factors Driving the Shift: Several factors have contributed to this shift. The “Make in India” initiative launched in 2014, aimed at promoting domestic manufacturing and boosting exports, has played a crucial role. Additionally, policy measures such as higher import duties and non-tariff barriers have influenced the decline in toy imports.
- Positive Transformation: The shift in the import-export dynamic represents a positive transformation for the Indian toy industry. It signifies improved manufacturing capabilities, enhanced competitiveness, and the ability to meet domestic and international demand through domestic production and exports.
- Small Global Share: Despite the positive shift, India’s share in the global toy trade remains relatively small, representing only a fraction of the overall market. There is still room for further growth and expansion to increase market share and global competitiveness.
- Key Considerations: Monitoring and nurturing the import-export dynamic is crucial for sustaining this positive trend. Factors such as policy support, investment in research and development, innovation, quality improvement, and adherence to international standards will play essential roles in strengthening India’s position as an exporter of toys.
- Opportunities and Challenges: The evolving import-export dynamic of the toy industry presents both opportunities and challenges. Continued efforts to foster domestic manufacturing, promote innovation, enhance product quality, and implement export-oriented policies will be critical for sustained growth and competitiveness in the global market
The impact of reforms and the ‘Make in India’ initiative on India’s toy industry
- Increased Focus on Domestic Manufacturing: ‘Make in India’ aimed to promote domestic manufacturing and reduce dependence on imports. It led to a renewed focus on developing and enhancing the manufacturing capabilities of the toy industry in India.
- Policy Reforms: Reforms such as the abolition of the reservation policy and the introduction of ease of doing business measures created a more favorable environment for businesses, including toy manufacturers, to operate and invest in India.
- Boost to Organized Sector: The entry of new firms into the organized sector following the abolition of the reservation policy contributed to improved productivity growth. It allowed for the formalization of the industry and attracted investments.
- Increased Customs Duties: As part of the protectionist measures, the basic custom duty on toys was tripled from 20% to 60% in February 2020. This increase in import duties aimed to discourage toy imports and promote domestic production.
- Non-tariff Barriers: Along with higher import duties, the imposition of non-tariff barriers such as production registration orders and safety regulation codes contributed to a contraction in toy imports, further supporting the domestic toy industry.
Facts for prelims
| Traditional Toys |
Region |
Materials |
Unique Features |
| Channapatna Toys |
Karnataka |
Wood |
Colorful, organic vegetable dyes, smooth finish |
| Kondapalli Toys |
Andhra Pradesh |
Wood |
Carved, vibrant colors, rural and mythological themes |
| Thanjavur Dolls |
Tamil Nadu |
Terracotta |
Intricate details, decorative, used in ceremonies |
| Terracotta Toys |
Various regions |
Clay |
Earthy tones, rustic charm |
| Dokra Crafts |
Odisha and West Bengal |
Metal (Dokra) |
Intricate figurines, tribal-inspired designs |
Critique on Sustainable Improvements or Protectionist Measures
- Lack of Long-term Evidence: The shift from being a net importer to a net exporter has occurred in just a few years, and it may be premature to conclude that these improvements are sustainable in the long run. A more extended period of consistent growth and performance would provide a stronger basis for claiming sustainable improvements.
- Dependency on Protectionist Measures: Relying solely on protectionism can create artificial market conditions and hinder the industry’s ability to compete globally on its merits. Sustainable improvements should be based on factors like innovation, productivity, and competitiveness rather than protectionism.
- Short-term Solution: Protectionist measures, such as higher import duties and non-tariff barriers, may provide temporary relief to domestic industries by limiting imports. However, they often fail to address the underlying challenges and structural issues within the industry.
Way ahead
- Comprehensive Policy Framework: Develop a comprehensive policy framework specifically tailored to the needs of the toy industry. This framework should address issues related to infrastructure development, access to finance, technology upgradation, skill development, and innovation support.
- Encouraging Investment: Encourage both domestic and foreign investment in the toy industry by providing incentives, tax breaks, and streamlined procedures for setting up manufacturing units.
- Enhancing Competitiveness: Focus on improving the competitiveness of Indian toy manufacturers through measures such as improving quality standards, promoting design capabilities, and fostering innovation.
- Skill Development and Training: Implement skill development programs to enhance the capabilities of the workforce engaged in the toy industry.
- Strengthening Industry-Academia Collaboration: Foster collaboration between industry players and academic institutions to promote research and development activities, knowledge exchange, and skill development.
- Export Promotion: Actively promote Indian-made toys in international markets through trade fairs, exhibitions, and targeted marketing campaigns. Develop export-oriented strategies to tap into global demand and establish India as a reliable and competitive toy manufacturing hub.
- Supporting MSMEs: Provide specific support and incentives to micro, small, and medium-sized enterprises (MSMEs) in the toy industry. This can include access to finance, technology support, marketing assistance, and capacity-building programs to enhance their competitiveness and contribute to the growth of the sector.
Conclusion
- India’s transition to a net exporter in the toy industry is a positive development. While protectionist measures may have played a role in the recent turnaround, sustaining net exports necessitates strengthening domestic investment and production on a sustained basis. By considering lessons learned, India can chart a path towards sustainable growth and competitiveness in its toy industry and beyond.
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From UPSC perspective, the following things are important :
Prelims level: Angkor Wat
Mains level: India-Cambodia Relations
Central Idea
- Cambodian King Norodom Sihamoni is on his maiden state visit to India to mark the culmination of 70th anniversary of diplomatic relations with India.
Marking 70th Anniversary of Diplomatic Ties
- This visit holds special significance as it is the first state visit by a Cambodian King in nearly six decades, with the last visit being made by King Norodom Sihamoni’s father in 1963.
- India and Cambodia share warm and friendly relations, characterized by deep-rooted people-to-people ties, cultural connections, and a commitment to mutual economic growth.
India-Cambodia Diplomatic Ties: A Backgrounder
[A] Historical Background
|
Additional Information |
| Indianization of Southeast Asia |
Spread of Indian religions, cultural practices, art, architecture, and literature across Southeast Asia |
| Funan Kingdom (1st to 6th century CE) |
Indian traders establishing commercial links with Funan, leading to the exchange of goods, ideas, and cultural practices |
| Chenla Kingdom (6th to 9th century CE) |
Emergence of Chenla as an Indianized kingdom with continued Indian cultural and religious influence |
| Khmer Empire (9th to 15th century CE) |
Peak of Indian influence, adoption of Hinduism and later Buddhism, construction of monumental temples and structures like Angkor Wat |
| Sanskrit Inscriptions and Literature |
Adoption of Sanskrit as court language, creation of inscriptions and literary works in Sanskrit |
| Cultural Exchange and Artistic Influence |
Indian art, architecture, and performing arts influencing Cambodian temples, sculptures, and dance forms |
| Royal Ties and Religious Connections |
Close connections between ruling elites of the Khmer Empire and Indian kingdoms, the transmission of Buddhist teachings and scriptures from India |
[B] Diplomatic Relations
- Establishment of Diplomatic Ties: India and Cambodia established diplomatic relations in 1952 after Cambodia’s independence from French colonial rule.
- High-Level Visits: Frequent visits by Indian Prime Ministers and Presidents to Cambodia and vice versa to strengthen bilateral relations and political dialogue.
- Bilateral Agreements: Signing of agreements covering areas such as economic cooperation, cultural exchanges, defense, and tourism.
- Resident Diplomatic Missions: Indian Embassy in Phnom Penh and Cambodian Embassy in New Delhi facilitating regular communication and coordination.
- Regional and Multilateral Engagement: Collaboration within organizations like ASEAN and East Asia Summit, providing platforms for regional cooperation and addressing challenges.
Various facets of India-Cambodia Relations
(1) Economic Cooperation
- Growing Bilateral Trade: Focus on sectors like textiles, pharmaceuticals, automobiles, agriculture, and information technology.
- Development Assistance: India’s support in sectors like agriculture, irrigation, human resource development, and capacity building.
- Investment and Joint Ventures: Exploring opportunities for investment and collaborative projects.
(2) Defense and Security Cooperation
- Training and Capacity Building: Defense cooperation through training programs for Cambodian armed forces personnel.
- Defense Dialogues and Exchanges: Regular engagement in discussions on maritime security, counter-terrorism, and defense industry collaboration.
(3) Cultural and Educational Exchanges
- Art, Music, Dance, and Literature: Fostering cultural ties through exchanges and appreciation of each other’s cultural heritage.
- Scholarships and Education: ICCR scholarships facilitate Cambodian students’ higher education in India.
- People-to-People Connections: Cultural festivals, events, and tourism enhance mutual understanding and interactions.
Strategic significance of Cambodia for India
- Geostrategic Location: Cambodia’s position in Southeast Asia provides India with access to crucial sea routes and enhances its engagement in the Indo-Pacific region.
- Regional Connectivity: Cambodia’s connectivity with other ASEAN countries allows India to strengthen regional partnerships and facilitate trade, investment, and people-to-people exchanges as part of its Act East Policy.
- Balancing China’s Influence: Strengthening relations with Cambodia enables India to maintain a balanced approach and counterbalance China’s growing influence in the region.
- Maritime Security: Cambodia’s coastal geography and access to the Gulf of Thailand are strategically important for India’s maritime security concerns. Cooperation with Cambodia supports regional stability and ensures the safety of vital sea routes.
- Economic Engagement: Cambodia’s growing economy and investment potential offer opportunities for India to enhance economic cooperation, boosting trade, investments, and joint ventures for mutual benefit.
- Cultural Diplomacy: Cambodia’s historical and cultural linkages with India provide a foundation for strong cultural and people-to-people ties, enhancing India’s soft power in the region.
- Defense and Security Cooperation: Collaborating with Cambodia in defence and security areas contributes to regional security, including capacity building, joint exercises, and information sharing.
Way Forward
- Strengthen Economic Ties: Expand bilateral trade and investment, explore new sectors, and foster business partnerships.
- Enhance Defense Cooperation: Continue training and capacity-building programs, and deepen discussions on shared security challenges.
- Cultural Exchanges and Tourism: Promote greater cultural understanding, organize more cultural events, and facilitate tourism exchanges.
- People-to-People Contacts: Encourage more interactions between citizens, foster academic collaborations, and promote tourism.
- Regional Cooperation: Engage actively within ASEAN and other regional forums to address common challenges and pursue shared interests.
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From UPSC perspective, the following things are important :
Prelims level: Utkarsh 2.0 initiative, LPPS
Mains level: Cashless payments
Central Idea
The Reserve Bank of India (RBI) has proposed the development of a Light weight and Portable Payment System (LPSS).
Light weight and Portable Payment System (LPSS)
- LPSS is referred to as a “bunker” equivalent, to ensure uninterrupted digital payments during exigencies such as natural calamities or war.
- This system will operate independently of existing payment technologies like UPI, NEFT, and RTGS.
- It can be operated from anywhere by a minimal staff during exigencies.
- It will process critical transactions, such as bulk payments and interbank payments, during extreme and volatile situations.
- The system operates on minimalistic hardware and software and is activated only when needed.
Why such move?
- As part of the Utkarsh 2.0 initiative, the RBI is working on strengthening the oversight framework for Centralised Payment Systems, including NEFT and RTGS.
- The initiative aims to enhance the existing payment systems and introduce new functionalities to improve efficiency and reliability.
Importance of an LPSS
- Near-zero downtime: The RBI aims to create a payment system that can operate on minimalistic hardware and software, ensuring near-zero downtime of the payment and settlement system in the country.
- Continuous liquidity pipeline: The lightweight system will facilitate uninterrupted functioning of essential payment services like bulk payments, interbank payments, and provision of cash to participant institutions, thereby keeping the liquidity pipeline of the economy alive and intact.
- Stability of the economy: It is expected to process critical transactions, including government and market-related transactions that are crucial for maintaining the stability of the economy.
- Enhancing public confidence: The resilient nature of the system will act as a bunker equivalent in payment systems, enhancing public confidence in digital payments and financial market infrastructure, even during extreme conditions.
Differences between LPSS and UPI
- Existing payment systems: The RBI acknowledges the availability of various payment systems in India for individuals and institutions, each with its distinct character and application.
- Handling large transaction volumes: Conventional systems like RTGS, NEFT, and UPI are designed to handle large volumes of transactions while ensuring sustained availability, relying on complex wired networks and advanced IT infrastructure.
- Vulnerability to catastrophic events: However, catastrophic events such as natural calamities and war can temporarily render these payment systems unavailable by disrupting the underlying information and communication infrastructure.
- Preparedness for extreme situations: To address this vulnerability, the RBI believes it is prudent to be prepared with a lightweight payment system capable of functioning in extreme and volatile situations.
Conclusion
- The RBI has not provided a specific timeline for the launch of the lightweight payment and settlements system.
- However, the concept serves as a crucial step towards ensuring the resilience of the payment ecosystem during emergencies.
- Further research and development efforts are necessary to bring this system to fruition and enhance the overall stability and confidence in digital payments in India.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: G7
Mains level: US delinking from China, Implications for India
Central Idea
- The US is transitioning its policy on China from decoupling to de-risking, signalling a new approach.
- The EU has already adopted a de-risking approach in its China policy, and the G-7 summit also expressed consensus on de-risking.
Understanding the De-risking
- After establishing diplomatic ties in 1979, the US and China developed a deep economic interdependence, benefiting China’s global engagement.
- China’s rise challenged US global clout and impacted its domestic industries.
- The Trump administration initiated a “decoupling” strategy to address the techno-economic challenge from China.
- The Biden administration continues with a modified approach, shifting from decoupling to de-risking.
- De-risking focuses on resilient supply chains to ensure the US is not subjected to coercion from other countries.
Rationale behind De-risking
- Geopolitical Competition: China’s rise as a strategic competitor challenges US global influence, prompting de-risking to reduce vulnerabilities and maintain an advantage.
- National Security: Concerns about risks like intellectual property theft and cyber threats lead to de-risking to safeguard sensitive technologies and protect national security interests.
- Resilient Supply Chains: The COVID-19 pandemic exposed vulnerabilities in supply chains, driving the need for de-risking to ensure diversified and resilient networks.
- Fair Trade Practices: De-risking addresses concerns over China’s trade practices, such as intellectual property infringement and forced technology transfers, aiming for fairer trade by diversifying partners.
- Alliance Building: De-risking aligns with allies’ interests, promoting collaboration and a united front against China’s rise.
Geopolitical Ramifications
- De-risking for Stronger Alliances: The US adopts de-risking to strengthen alliances in its rivalry with China, as seen in the G-7 summit declaration.
- China’s Skepticism: China views de-risking as disguised decoupling, shifting blame for risks to China.
- Aligning with Decoupling and United Front: De-risking aligns with decoupling by diversifying supply chains, while fostering a united front among allies.
- Uncertain Effectiveness: The effectiveness of de-risking is uncertain, influenced by China’s response and challenges in diversifying supply chains.
- Short-Term Indo-Pacific Impact: De-risking may temporarily divert focus from the Indo-Pacific, necessitating a balance with maintaining a robust strategy in the region.
Way forward
- The de-risking approach should be further developed and coordinated with allies to effectively counter China’s rise.
- Balancing the benefits of de-risking with the need to maintain a robust Indo-Pacific strategy is crucial.
- Engaging in strategic dialogues and strengthening alliances can help shape a cohesive approach in addressing China’s influence while minimizing risks.
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