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  • Indian Army Updates

    [pib] Exercise SALVEX

    Prelims Only | Security Issues | Mains Paper 3: Various Security Forces, Agencies & Their Mandates

    Central Idea

    • The Indian Navy and the US Navy recently concluded the seventh edition of the Salvage and Explosive Ordnance Disposal (EOD) exercise, known as SALVEX.

    Exercise SALVEX

    • Since its inception in 2005, SALVEX has facilitated the exchange of expertise and the enhancement of capabilities in maritime salvage and EOD operations.
    • The IN-USN SALVEX exercise has become a cornerstone of bilateral naval cooperation between India and the United States, fostering mutual trust and collaboration.
    • The exercise featured the participation of INS Nireekshak and USNS Salvor, along with Specialist Diving and EOD teams from both navies.

    Key outcomes

    • Shared Learning on Maritime Salvage: The Diving teams from both countries engaged in the exchange of experiences, lessons, and best practices in maritime salvage operations.
    • Training Synergies on EOD Operations: The exercise provided an ideal platform for joint training exercises, allowing divers and EOD teams to enhance their interoperability and refine their skills.
    • Mastery of Mine Detection and Neutralization: The participating divers received comprehensive training in the detection and neutralization of mines, enabling them to mitigate potential threats in underwater environments.
    • Efficient Wreck Location and Salvage Techniques: The exercise focused on honing the teams’ abilities to locate and salvage wrecks, a critical skill for ensuring safe navigation and effective disaster response.

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  • Freedom of Speech – Defamation, Sedition, etc.

    Should Internet shutdowns be used to maintain public order?

    op-ed snap | Governance | Mains Paper 2: Government Scheme/Policies

    Central Idea

    • In recent years, the Indian government has increasingly resorted to internet shutdowns as a means to control law and order in various regions, such as Jammu and Kashmir (J&K), Manipur, and Punjab. India has witnessed a staggering 60% of internet shutdowns worldwide between 2016 and 2022.

    Relevance of the topic

    India emerged as the single biggest offender for a fifth consecutive year, with at least 84 internet blackouts in 2022

    Shutdowns could have devastating impact on human lives such as , it may deepen the gender digital divide, disrupting the ability of women to conduct business or access information on reproductive healthcare

    Reasons behind internet shutdowns in India

    • Communal tensions: Approximately 40-50% of internet shutdowns in India are officially attributed to communal tensions. Shutdowns are imposed to prevent the spread of rumors, hate speech, and incitement to violence during periods of heightened communal tensions.
    • Protests and demonstrations: Shutdowns are frequently imposed during protests and situations of civil unrest to control the spread of information, coordinate activities, and prevent further mobilization of protesters.
    • Preventing cheating in exams: Internet shutdowns have been imposed during exams to curb cheating and prevent the use of online resources that may aid in dishonest practices.
    • Religious processions: Shutdowns have also been observed during religious processions, particularly in regions with religious sensitivities, to prevent the circulation of inflammatory content and maintain public order.

    Case study: Reviewing shutdowns in Jammu and Kashmir (J&K) and Manipur

    1. Jammu and Kashmir (J&K):
    • Prolonged Shutdown: The shutdown in J&K has been characterized by its extended duration, causing significant disruptions to the daily lives of residents. Internet access was severely restricted for an extended period, impacting essential services such as healthcare, education, and livelihoods.
    • Lack of Due Process: Concerns have been raised regarding the decision-making process, with instances of shutdowns imposed by district magistrates without higher-level involvement. This raises questions about procedural fairness and the adherence to due process.
    • Transparency and Justification: The lack of public information regarding shutdowns in J&K is a cause for concern. The transparency and clarity of justifications for imposing shutdowns are essential for accountability and safeguarding constitutional rights.
    1. Manipur:
    • Ongoing Shutdown and VPN Blocking: The Manipur High Court has formed a committee to explore blocking VPN servers while maintaining restrictions on social media websites. However, the feasibility of this solution is questioned as VPNs also play a role in the exercise of freedom of speech and expression.
    • Impact on Livelihoods and Services: The need to protect people’s livelihoods is emphasized, given the reliance on the internet for businesses and livelihoods. Ensuring access to critical services like healthcare and education during shutdowns becomes crucial.

    Impact of internet shutdowns

    • Restriction of Fundamental Rights: Internet shutdowns curtail the exercise of fundamental rights, such as freedom of expression, access to information, and the right to privacy. These shutdowns limit people’s ability to communicate, express themselves, and access essential information.
    • Economic Consequences: Internet shutdowns have adverse effects on businesses, particularly those that rely on the internet for their operations. E-commerce, online services, and digital platforms suffer financial losses during shutdowns.
    • Disruption of Essential Services: Internet shutdowns disrupt access to critical services like healthcare, education, and emergency services. Telemedicine, online education, and remote work become inaccessible, impacting people’s well-being, educational opportunities, and productivity
    • Human Rights Violations: Prolonged and arbitrary internet shutdowns can be seen as human rights violations. They limit people’s ability to exercise their rights, stifle dissent, and undermine democratic processes.
    • Negative Impact on Education: Internet shutdowns disrupt online education, e-learning platforms, and access to educational resources. This hampers educational progress and has long-term consequences for individuals and societies.
    • Psychological and Emotional Impact: The inability to connect with others, access information, and engage in online activities can have psychological and emotional implications.

    Justifications behind the frequent imposition of shutdowns

    • Maintaining Public Order: Internet shutdowns are often imposed as a measure to maintain public order and prevent the escalation of law and order situations.
    • Preventing the Spread of Misinformation: During times of crisis or unrest, shutting down the internet is seen as a way to prevent the rapid spread of misinformation and fake news. .
    • Curbing Organizational Activities: Shutdowns are also imposed to disrupt the organization and coordination of protests, demonstrations, or other activities perceived as a threat to public order.
    • Preserving Exam Integrity: Internet shutdowns may be implemented during examinations to prevent cheating. By restricting access to online resources, authorities aim to ensure the fairness and integrity of the examination process.

    The two significant Supreme Court judgments related to internet shutdowns in India

    • Anuradha Bhasin v. Union of India (2020): Recognized the right to access the internet as part of the right to freedom of speech and expression. Emphasized that internet shutdowns must be necessary and proportionate, subject to judicial review.
    • Faheema Shirin v. State of Kerala (2020): Reaffirmed the importance of internet access for exercising fundamental rights. Stressed that restrictions on internet access should be temporary, proportionate, and justified with reasons

    Way forward: Need for balance between maintaining public order and safeguarding the interests of internet-dependent individuals

    • Protecting Public Order: Maintaining public order is a legitimate concern for governments to ensure safety, security, and the functioning of society. Internet shutdowns may be employed in exceptional situations where there is a real and imminent threat to public safety or when it is necessary to prevent the spread of violence or unrest.
    • Proportionality: Any measure taken to maintain public order, including internet shutdowns, should be proportionate to the threat faced. Shutdowns should be targeted, time-limited, and precisely tailored to address the specific concerns, rather than imposing blanket restrictions that impact the entire population.
    • Judicial Oversight: Independent judicial oversight is crucial to ensuring that any restrictions on internet access align with constitutional principles and international human rights standards.
    • Transparency and Accountability: Governments should provide clear and transparent justifications for internet shutdowns, including detailing the specific risks or threats that justify such measures.  Accountability mechanisms should be in place to address any abuses or violations during shutdowns.
    • Targeted Measures: Rather than resorting to complete shutdowns, governments should explore alternative measures that target specific content or platforms that pose risks to public order. Content moderation, selective blocking, or targeted interventions can help address concerns without unduly infringing on individual rights or stifling access to essential services.

    Conclusion

    • The impact of shutdowns on livelihoods, education, and the economy underscores the urgency to seek alternative solutions. It is imperative that stakeholders reconsider the necessity and consequences of internet shutdowns to ensure a just and balanced approach to maintaining law and order.

    Also read:

    (more…)

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  • Food Procurement and Distribution – PDS & NFSA, Shanta Kumar Committee, FCI restructuring, Buffer stock, etc.

    Annapurti: The grain ATM

    Prelims OnlySchemes | Governance | Mains Paper 2: Government Scheme/Policies

    annapurti

    Central Idea

    • The recent demonstration of the Automated Multi-Commodity Grain Dispensing Machine, Annapurti, during the ‘National Conference of Food Ministers of States/UTs,’ showcased an innovative solution developed by the World Food Programme (WFP) India.

    What is Annapurti?

    • Annapurti, also known as the Grain ATM, offers a fast, clean, and precise method of providing subsidized grains to beneficiaries through the Public Distribution System.
    • Developed by WFP India, it is an automated multi-commodity dispensing solution that ensures efficient access to commodities like rice, wheat, and grains.
    • Beneficiaries can securely access their entitlements through Annapurti following biometric authentication.

    Key Features

    • Annapurti offers 24×7 access to full entitlements, eliminating spillage, waste, and inaccurate weighing.
    • The machine can dispense one or two grain commodities, up to 50 kilograms, within five minutes, with a minimal error rate of 0.01 percent.

    Advantages and Potential Applications

    (1) Ensuring Food Security:

    • Annapurti has significant potential for food-based safety nets, ensuring beneficiaries receive their monthly subsidized grains promptly.
    • The machine’s precision and reliability prevent losses and ensure individuals receive their entitled portions.

    (2) Emergency Food Grain Distribution:

    • During emergencies, such as natural disasters or humanitarian crises, Annapurti can facilitate efficient and timely distribution of food grains to affected populations.
    • Its automated system streamlines the process, reducing dependency on manual labor and minimizing errors.

    (3) Market Access for Smallholder Farmers:

    • Annapurti can play a crucial role in expanding market access for smallholder farmers.
    • By offering a reliable and efficient distribution channel, farmers can sell their produce directly to Annapurti, ensuring fair prices and reducing intermediaries.

    Sustainable and Modular Design

    (1) Energy Efficiency:

    • Annapurti is designed to prioritize food security while ensuring efficient energy consumption.
    • With a consumption rate of only 0.6 Watt per hour, it offers an environmentally friendly solution.

    (2) Modular Design:

    • Annapurti’s modular design allows for flexibility and scalability based on available space.
    • The storage unit and components can be easily assembled and customized to suit different requirements.

    (3) Integration with Renewable Energy:

    • Annapurti can be integrated with solar panels, inverter batteries, and elevators for automatic refilling.
    • This integration enhances the sustainability of the system by reducing dependency on conventional energy sources.

     

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  • Judicial Appointments Conundrum Post-NJAC Verdict

    SC Collegium proposes new CJs to 7 High Courts

    Prelims Only | Polity | Mains Paper 2: Executive & Judiciary

    collegium

    Central Idea

    • The Supreme Court Collegium, led by Chief Justice of India D. Y. Chandrachud, has recommended new Chief Justices for seven major High Courts in India.
    • The recommendations focus on criteria such as seniority, regional representation, and gender diversity.

    What is Collegium System?

    • The Collegium of judges is the Indian Supreme Court’s invention.
    • It does not figure in the Constitution, which says judges of the Supreme Court and High Courts are appointed by the President and speaks of a process of consultation.
    • In effect, it is a system under which judges are appointed by an institution comprising judges.
    • After some judges were superseded in the appointment of the CJI in the 1970s, and attempts made subsequently to effect a mass transfer of High Court judges across the country.
    • Hence there was a perception that the independence of the judiciary was under threat. This resulted in a series of cases over the years.

    Evolution: The Judges Cases

    • First Judges Case (1981) ruled that the “consultation” with the CJI in the matter of appointments must be full and effective.
    • However, it rejected the idea that the CJI’s opinion, albeit carrying great weight, should have primacy.
    • Second Judges Case (1993) introduced the Collegium system, holding that “consultation” really meant “concurrence”.
    • It added that it was not the CJI’s individual opinion, but an institutional opinion formed in consultation with the two senior-most judges in the Supreme Court.
    • Third Judges Case (1998): On a Presidential Reference for its opinion, the Supreme Court, in the Third Judges Case (1998) expanded the Collegium to a five-member body, comprising the CJI and four of his senior-most colleagues.

    Functions of the Collegium

    (1) Appointment of CJI

    • The President of India appoints the CJI and other Supreme Court judges.
    • The outgoing CJI recommends his successor, and the appointment is typically made based on seniority, following the controversy of the 1970s.
    • The Union Law Minister forwards the recommendation to the Prime Minister, who then advises the President on the appointment.

    (2) Appointment of Other SC Judges

    • The proposal for appointing other judges to the Supreme Court is initiated by the CJI.
    • The CJI consults other members of the Collegium, as well as the senior-most judge from the High Court to which the recommended person belongs.
    • The opinions of the consultees must be recorded in writing and included in the file.
    • The Collegium sends the recommendation to the Law Minister, who forwards it to the Prime Minister for the President’s advice.

    (3) Appointment of High Court Judges

    • Chief Justices (CJs) of High Courts are appointed based on the policy of having Chief Justices from outside the respective states. The Collegium makes the final decision on their elevation.
    • The appointment of High Court judges is recommended by a Collegium consisting of the CJI and two senior-most judges.
    • The Chief Justice of the High Court concerned initiates the proposal in consultation with two senior-most colleagues.
    • The recommendation is then sent to the Chief Minister, who advises the Governor to forward the proposal to the Union Law Minister.

    (4) Transfer Recommendations by the Collegium

    • The Collegium is also responsible for recommending transfers of Chief Justices and other judges.
    • Article 222 of the Constitution allows for the transfer of judges from one High Court to another.
    • When a Chief Justice is transferred, a replacement must be simultaneously appointed for the concerned High Court. An acting Chief Justice can be appointed for a maximum of one month.
    • In transfer matters, the CJI’s opinion is determinative, and the consent of the judge being transferred is not required.
    • However, the CJI should consider the views of the Chief Justice of the concerned High Court and one or more Supreme Court judges who are in a position to provide their opinions.
    • All transfers must be made in the public interest, aiming for the betterment of the administration of justice.

     

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  • Foreign Policy Watch: United Nations

    What is High Seas Treaty?

    IOCR | International Relations | Mains Paper 2: Bilateral, Regional and Global Groupings and agreements involving India

    high seas treaty

    Central Idea

    • The Marine Biodiversity of Areas Beyond National Jurisdiction (BBNJ) or the High Seas Treaty was adopted by the UN on June 19.
    • It became the third agreement under UNCLOS, following the establishment of the International Seabed Authority (ISB) and the Fish Stocks Agreement (FSA).

    BBNJ/ High Seas Treaty

    • The idea of protecting the marine environment emerged in 2002, leading to the recognition of the need for an agreement in 2008.
    • In 2015, the UN General Assembly formed a Preparatory Committee to create the treaty.
    • Intergovernmental conferences (IGC) were held, resulting in the adoption of the treaty in 2023.
    • The treaty’s objective is to implement international regulations for the protection of marine life beyond national jurisdiction through international cooperation.

    Key Provisions of Treaty

    (1) Marine Protected Areas:

    • The treaty establishes marine protected areas to safeguard the oceans from human activities.
    • Decisions on protected areas require a “three-quarter majority vote” to prevent obstruction by a few parties.

    (2) Sharing Benefits from Marine Genetic Resources:

    • The treaty mandates sharing scientific information and monetary benefits through a “clear house mechanism.”
    • The mechanism ensures open access to information on marine protected areas, marine genetic resources, and area-based management tools.

    (3) Capacity Building and Marine Technology:

    • The treaty emphasizes capacity building and the use of marine technology for environmental impact assessment.
    • The Scientific and Technical Body will create standards and guidelines, assisting countries with limited capacity in carrying out assessments.

    Challenges and Controversies

    (1) Marine Genetic Resources:

    • The issue of sharing and exchanging information on marine genetic resources was a contentious point during negotiations.
    • Debates focused on monitoring information sharing and the potential hindrance to bioprospecting research.

    (2) Definition and Language:

    • The use of phrases like “promote” or “ensure” in different parts of the treaty, particularly regarding benefit sharing, sparked heated debates.

    (3) Adjacency Issue:

    • Negotiations were prolonged due to the need for provisions allowing coastal states to exercise sovereign rights over seabed and subsoil in areas beyond their jurisdiction.
    • The interests of landlocked and distant states further complicated decision-making.

    Opposition to the Treaty

    • Several developed countries opposed the treaty due to their support for private entities involved in advanced research and development of marine technology.
    • Russia and China also expressed reservations, with Russia ultimately withdrawing during the final stage of consensus building, arguing that the treaty lacks a balance between conservation and sustainability.

    Significance of the treaty

    (1) Environmental Preservation:

    • The High Seas Treaty is crucial for protecting marine biodiversity and addressing pressing issues such as overfishing and pollution.
    • It represents a significant step towards international cooperation in preserving the health and sustainability of our oceans.

    (2) Global Cooperation and Research:

    • The treaty promotes the sharing of scientific information and encourages collaboration among countries.
    • This will foster research initiatives and facilitate a better understanding of marine ecosystems, leading to more effective conservation measures.

    Conclusion

    • The adoption of the High Seas Treaty marks a significant milestone in international efforts to protect marine biodiversity beyond national jurisdictions.
    • While challenges and controversies prolonged the negotiation process, the treaty sets the stage for enhanced global cooperation and the implementation of regulations to safeguard our oceans for future generations.

    Back2Basics:

    International Seabed Authority (ISA) Fish Stocks Agreement (FSA)
    Purpose Regulate and manage activities in the international seabed and ocean floor beyond national jurisdiction Ensure the conservation and management of straddling fish stocks and highly migratory fish stocks
    Legal Framework Established by the United Nations Convention on the Law of the Sea (UNCLOS) International treaty adopted by the United Nations
    Established Date 1994 1995
    Resource Focus Non-living resources (seabed minerals) and living resources (deep-sea ecosystems) Fish stocks (shared resources occurring in EEZs and beyond national jurisdiction)
    Cooperation Emphasizes cooperation among states and establishment of Regional Fisheries Management Organizations (RFMOs) Promotes cooperation among states for sustainable fisheries management
    Conservation Manages resources for the benefit of humankind as a whole, adhering to the common heritage of mankind principle Aims to conserve and sustainably manage fish stocks for present and future generations
    Licensing Issues licenses and contracts for seabed mineral exploration and exploitation N/A (Focuses on the management and conservation of fish stocks)
    Data Collection Promotes scientific research and international cooperation in the deep seabed area Encourages data collection, reporting, and scientific assessment of fish stocks
    Dispute Settlement Provides mechanisms for dispute settlement and peaceful resolution of conflicts Includes provisions for dispute settlement and peaceful resolution of conflicts
    Membership Consists of member states and the European Union Open to states committed to sustainable fisheries management
    Headquarters Located in Kingston, Jamaica N/A (Operates under the United Nations framework)

     

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  • Panchayati Raj Institutions: Issues and Challenges

    Supreme Court asks NGO to move govt against Sarpanch-Patism

    | Polity | Mains Paper 2: Indian Constitution – historical underpinnings, evolution, features, amendments, significant provisions and basic structure

    sarpanch

    Central Idea

    • The Supreme Court of India has stated that the government, rather than the judiciary, should address the issue of men exerting power behind elected women who remain “faceless wives and daughters-in-law” in grassroots politics.
    • The court’s remarks came in response to a petition filed by an NGO which highlighted the phenomenon of unelected male relatives wielding political influence, undermining the spirit of women’s reservation in Panchayati Raj Institutions (PRIs).

    Women in PRIs: Legal Aspects

    (a) 73rd Constitutional Amendment Act, 1992:

    • Mandates 33.3% reservation for women in PRIs across the country.
    • Recognizes the Gram Sabha as the foundation of the Panchayat Raj System, empowering it to perform functions and exercise powers entrusted by the State Legislatures.
    • Some states have increased the reservation to 50%, including Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Bihar, etc.
    • Out of the 30.41 lakh elected representatives in PRIs, 13.74 lakh (45.2%) are women.

    (b) Article 15(3) of the Constitution:

    • Empowers the State to make special provisions for women.
    • Allows the government to introduce measures to ensure gender equality and promote the interests of women.

    (c) Article 243D:

    • Provides for the reservation of one-third of the total number of seats and offices of Chairpersons in PRIs for women.
    • The reserved seats and offices are allocated through rotation to different constituencies within a Panchayat.
    • These reservations for women are in addition to the reservations for Scheduled Castes (SCs) and Scheduled Tribes (STs) in all three tiers of PRIs.

    (d) Intersectional Reservations:

    • The reservation of seats and offices for women in PRIs also falls within the overall reservations for Scheduled Castes (SCs) and Scheduled Tribes (STs) in all three tiers of PRIs.
    • This provision aims to address the intersecting disadvantages faced by women from marginalized communities.

    (e) Proposed 110th Constitution Amendment Bill:

    • Introduced in the Lok Sabha in 2009 to bring about 50% reservation for women in Panchayats across all states.
    • The bill aimed to increase the reservation beyond the existing 33.3% mandated by the 73rd Amendment Act.
    • Despite multiple tabled attempts, the bill was not passed into law.

    Proxy Sarpanchs in India

    • It is generally observed where an elected lady Sarpanch (the head of a Panchayat) delegates their powers and responsibilities to someone else, typically a family member or a trusted individual.
    • This proxy then acts as a representative or substitute for the Sarpanch in carrying out their duties.
    • Quite often, this delegation is forcefully acquired from women.

    Reasons behind Panchayat Pati syndrome

    • Gender Inequality: Deep-rooted gender inequalities prevalent in Indian society play a significant role in perpetuating the Panchayat Pati syndrome. Patriarchal norms and cultural beliefs that prioritize male authority and decision-making often restrict women’s agency and participation in public affairs.
    • Social Norms and Expectations: Traditional gender roles and societal expectations define women’s primary role as homemakers and caretakers. This perception often results in women being considered unfit or inexperienced in matters of governance
    • Lack of Awareness and Education: Limited access to education and awareness about women’s rights and the importance of their participation in local governance can contribute to the prevalence of Panchayat Pati. Lack of awareness among women themselves, as well as their families and communities, can lead to the perpetuation of discriminatory practices.
    • Male Domination and Resistance to Change: Male dominance in politics and resistance to gender equality can also contribute to the Panchayat Pati syndrome.
    • Political Dynamics and Power Struggles: In some cases, male family members or influential community leaders may strategically use the Panchayat Pati practice to retain power and influence. By controlling women’s decision-making, they can ensure their interests are protected and continue to exert control over the local governance processes.

    Impact of Panchayat Pati syndrome

          1. Economic Impact:

    • The practice of Panchayat Pati limits the active participation of women in decision-making processes within the panchayat.
    • This exclusion can hinder the effective utilization of resources and allocation of funds, potentially leading to suboptimal economic outcomes for the community.
    • Women’s perspectives and needs may not be adequately represented, and projects or initiatives that could benefit women, such as those related to education, healthcare, or livelihood opportunities, may not receive sufficient attention or support.

          2. Social Impact:

    • Panchayat Pati reinforces gender inequalities and perpetuates traditional gender roles within communities.
    • It hampers women’s ability to exercise agency and engage in community development activities. it diminishes their self-esteem and status within the community.

         3. Political Impact:

    • The practice of Panchayat Pati undermines the principles of democratic representation and participatory governance.
    • It restricts the political agency of women and denies them the opportunity to actively contribute to decision-making processes.
    • Women’s perspectives and priorities often differ from those of men, and their exclusion diminishes the diversity of voices and perspectives in local governance. This can lead to policy decisions that may not adequately address the needs and concerns of women and other marginalized groups.

    Court’s Response

    • Not an Executive Authority: The court acknowledged the issue but emphasized that it is not the role of the judiciary to create a spirit of empowerment.
    • Focus on women empowerment: The court pointed out that preventing influential individuals’ wives from contesting elections is not feasible, and empowering women requires an evolutionary process.
    • Government’s Responsibility: The court highlighted that the Ministry of Panchayati Raj should address the petitioner’s grievance and explore better mechanisms to implement the objectives of women’s reservation.
    • Expert Committee and Support Mechanism: The petitioner suggested the formation of an expert committee and the provision of the right support mechanism for women. However, the court deemed this an unrealistic expectation from the judiciary.

    Way forward

    • Engage Men as Allies: Promote male allies in supporting women’s representation in PRIs. Encourage men to actively advocate for gender equality, challenge patriarchal norms, and work towards creating a more inclusive and equitable political environment.
    • Capacity Building and Leadership Development: Provide training and capacity-building programs for women elected representatives in PRIs.
    • Political Awareness and Participation: Conduct awareness campaigns to educate women about their rights, the importance of political participation, and the impact of their involvement in PRIs.
    • Inter-Gender Dialogues: Organize inter-generational dialogues where older leaders and women can exchange knowledge, experiences, and perspectives. This can help bridge the generation gap, promote inter-generational collaboration, and strengthen the collective power of women in PRIs.

    Conclusion

    • It is the responsibility of the executive authority to find suitable solutions and ensure the effective implementation of women’s reservations in panchayat governance.

    Mains Mark enhancer: Successful Women Sarpanch in India

    • Kali Bein Panchayat, Punjab: Kali Bein Panchayat in Punjab gained recognition for its all-women panchayat led by Sarpanch Bibi Jagir Kaur. Under her leadership, the panchayat focused on various development initiatives, including infrastructure development, water conservation, and women empowerment programs.
    • Mawlynnong, Meghalaya: Mawlynnong, a village in Meghalaya, is known for its clean and well-maintained environment. The village achieved this feat under the leadership of women panchayat leaders who implemented strict cleanliness and waste management measures, making it one of the cleanest villages in Asia.
    • Devdungri, Rajasthan: Devdungri village in Rajasthan is an exemplary case of women’s leadership in panchayats. Women panchayat members successfully implemented initiatives to address issues such as child marriage, female foeticide, and women’s education. Their efforts resulted in significant positive changes in the community.

     

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  • FDI in Indian economy

    FinMin pushes for reforms to spur FDI inflows

    | Economics | Mains Paper 3: Investment Models

    fdi

    Central Idea

    • The Finance Ministry of India emphasized the need to address challenges faced by global investors to facilitate Foreign Direct Investment (FDI) flows.
    • In this article, we delve into the factors affecting FDI inflows and propose measures to attract and sustain FDI in India.

    What is Foreign Direct Investment (FDI)?

    • FDI refers to the investment made by individuals, companies, or governments from one country into business interests located in another country.
    • It involves the direct ownership or control of assets in the foreign country, typically in the form of establishing new ventures, acquiring existing businesses, or creating strategic partnerships.

    Understanding FDI

    Imagine you have a successful toy manufacturing company based in Country A. You have been experiencing steady growth and want to expand your business operations to a new market in Country B. However, entering a foreign market can be challenging due to unfamiliarity with the local business environment, regulations, and market dynamics.

    To overcome these challenges, you decide to make a Foreign Direct Investment (FDI) in Country B. Instead of exporting toys from Country A to Country B, you establish a new manufacturing plant or acquire an existing toy company in Country B. By doing so, you gain direct ownership and control over the assets and operations in Country B.

     

    India’s FDI feats

    • In terms of investor countries of FDI Equity inflow, Singapore is at the top with 27%, followed by the US with 18% and Mauritius with 16% for the FY 2021-22.
    • ‘Computer Software & Hardware’ has emerged as the top recipient sector of FDI Equity inflow during this period with around 25% share followed by Services Sector and Automobile Industry with 12% each.
    • With 53 % Karnataka has received the majority share of FDI equity in the `Computer Software & Hardware’ sector.

    FDI in India

    • Foreign investment was introduced in 1991 under Foreign Exchange Management Act (FEMA), driven by then FM Manmohan Singh.
    • Economic liberalisation started in India in the wake of the 1991 crisis and since then, FDI has steadily increased in the country.
    • India, today is a part of top 100-club on Ease of Doing Business (EoDB) and globally ranks number 1 in the Greenfield FDI ranking.

    There are two routes by which India gets FDI.

    1) Automatic route: By this route, FDI is allowed without prior approval by Government or RBI.

    2) Government route: Prior approval by the government is needed via this route. The application needs to be made through Foreign Investment Facilitation Portal, which will facilitate the single-window clearance of FDI application under Approval Route.

    • India imposes a cap on equity holding by foreign investors in various sectors, current FDI in aviation and insurance sectors is limited to a maximum of 49%.
    • In 2015 India overtook China and the US as the top destination for the Foreign Direct Investment.

    Sectors that come under the ‘100% Automatic Route’ category are

    • Agriculture & Animal Husbandry, Air-Transport Services (non-scheduled and other services under civil aviation sector)
    • Airports (Greenfield + Brownfield),
    • Asset Reconstruction Companies,
    • Auto-components, Automobiles,
    • Biotechnology (Greenfield),
    • Broadcast Content Services (Up-linking & down-linking of TV channels, Broadcasting Carriage Services,
    • Capital Goods, Cash & Carry Wholesale Trading (including sourcing from MSEs), Chemicals, Coal & Lignite, Construction Development,
    • Construction of Hospitals,
    • E-commerce Activities, Electronic Systems,
    • Food Processing, Gems & Jewellery, Healthcare, Industrial Parks, IT & BPM, Leather, Manufacturing, Mining & Exploration of metals & non-metal ores, Other Financial Services,
    • Pharmaceuticals, Plantation sector
    • Ports & Shipping, Railway Infrastructure, Renewable Energy, Roads & Highways,
    • Single Brand Retail Trading, Textiles & Garments,
    • Thermal Power,
    • Tourism & Hospitality and
    • White Label ATM Operations.

    Sectors that come under up to 100% Automatic Route’ category are–

    • Infrastructure Company in the Securities Market: 49%
    • Insurance: up to 49%
    • Medical Devices: up to 100%
    • Pension: 49%
    • Petroleum Refining (By PSUs): 49%
    • Power Exchanges: 49%

    Sectors that come under the ‘up to 100% Government Route’ category are–

    • Banking & Public sector: 20%
    • Broadcasting Content Services: 49%
    • Core Investment Company: 100%
    • Food Products Retail Trading: 100%
    • Mining & Minerals separations of titanium bearing minerals and ores: 100%
    • Multi-Brand Retail Trading: 51%
    • Print Media (publications/ printing of scientific and technical magazines/ specialty journals/ periodicals and facsimile edition of foreign newspapers): 100%
    • Print Media (publishing of newspaper, periodicals and Indian editions of foreign magazines dealing with news & current affairs): 26%
    • Satellite (Establishment and operations): 100%

    Prohibited Sectors

    There are a few industries where FDI is strictly prohibited under any route. These industries are

    • Atomic Energy Generation
    • Any Gambling or Betting businesses
    • Lotteries (online, private, government, etc.)
    • Investment in Chit Funds
    • Nidhi Company
    • Agricultural or Plantation Activities (although there are many exceptions like horticulture, fisheries, tea plantations, Pisciculture, animal husbandry, etc.)
    • Housing and Real Estate (except townships, commercial projects, etc.)
    • Trading in TDR’s
    • Cigars, Cigarettes, or any related tobacco industry

    Benefits offered by FDI

    • Employment generation: FDI boosts the manufacturing and services sector which results in the creation of jobs and helps to reduce unemployment rates in the country.
    • Economic growth: Increased employment translates to higher incomes and equips the population with more buying powers, boosting the overall economy of a country.
    • Human capital development: Skills that employees gain through training and experience can boost the education and human capital of a specific country. Through a ripple effect, it can train human resources in other sectors and companies.
    • Technology boost: The introduction of newer and enhanced technologies results in company’s distribution into the local economy, resulting in enhanced efficiency and effectiveness of the industry.
    • Increase in exports: Many goods produced by FDI have global markets, not solely domestic consumption. The creation of 100% export oriented units help to assist FDI investors in boosting exports from other countries.
    • Exchange rate stability: The flow of FDI into a country translates into a continuous flow of foreign exchange, helping a country’s Central Bank maintain a prosperous reserve of foreign exchange which results in stable exchange rates.
    • Improved Capital Flow: Inflow of capital is particularly beneficial for countries with limited domestic resources, as well as for nations with restricted opportunities to raise funds in global capital markets.
    • Creation of a Competitive Market: By facilitating the entry of foreign organizations into the domestic marketplace, FDI helps create a competitive environment, as well as break domestic monopolies.
    • Climate mitigation: The United Nations has also promoted the use of FDI around the globe to help combat climate change

    Factors Affecting recent FDI inflows

    (1) Inflationary Pressures and Tighter Monetary Policies

    • The dip in FDI inflows in 2022-23 can be attributed to inflationary pressures and tighter monetary policies.
    • Policymakers should address these factors to encourage a favorable investment climate.

    (2) Geopolitics vs. Geography

    • The Ministry highlights the influence of “political distance more than geographical distance” on FDI flows.
    • Geopolitical factors have dominated over traditional geographical considerations.

    (3) Global FDI Trends

    • Gross FDI flows declined by 16% in 2022, compared to the record high of $84.8 billion in 2021-22.
    • Net inflows experienced a sharper decline of 27.4%.
    • Similar trends were observed in emerging market economies, where net FDI inflows declined by 36% in 2022.

    Challenges for India’s Growth Outlook

    (1) External Sector Challenges:

    • The review identifies the external sector as a potential challenge for India’s growth in 2023-24.
    • Factors such as geopolitical stress, volatility in global financial systems, price corrections in global stock markets, El-Nino impact, and weak global demand could constrain growth.
    • Policymakers must closely monitor FDI data and undertake measures to facilitate FDI inflows.

    (2) Fragmentation of FDI Flows:

    • The Ministry highlights the phenomenon of “friend shoring,” wherein FDI is directed towards geopolitically aligned countries.
    • This has led to a fragmentation of FDI flows globally, as per research from the International Monetary Fund (IMF).
    • Additionally, inflows from foreign portfolio investors (FPIs) into Indian markets have become less volatile.

    Conclusion

    • To attract and sustain FDI inflows, India needs to address challenges related to inflation, monetary policies, geopolitical factors, and last-mile infrastructure.
    • Additionally, mitigating trade risks and fostering inclusive growth through job creation will contribute to a favorable investment climate.

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  • Poverty Eradication – Definition, Debates, etc.

    Issues with our national surveys

    op-ed snap | Governance | Mains Paper 3: issues relating to planning, mobilization of resources

    Central Idea

    • In India, the accuracy and reliability of data related to poverty, growth, employment, and unemployment are crucial for effective policy formulation. To ensure the well-being of its vast population, it is essential that surveys generating these estimates are conducted regularly, adhering to predetermined schedules, and maintain the highest standards of quality.

    *Relevance of the topic*

    There is significant gap in the data quality of India’s major surveys such as NSS, NFHS, and PLFS

    For Instance, Major surveys conducted post-2011, which utilized the Census 2011 as the sampling frame, have consistently overestimated the proportion of the rural population.

    There is need for a comprehensive sampling overhaul to accurately reflect India’s real economy.

    The Significance of Sample Surveys

    • Data for Policy Formulation: Sample surveys, such as the NSS, NFHS, and PLFS, are vital sources of data that policymakers rely on to evaluate the effectiveness of past policies and design new ones.
    • Identifying Socio-Economic Indicators: Sample surveys provide estimates related to household consumption expenditure, health outcomes, education, employment status, asset ownership, poverty levels, and more. These indicators help policymakers identify areas that require attention and allocate resources accordingly.
    • Representative Data: Sample surveys through carefully selected samples, they aim to capture the diversity and heterogeneity of different regions, communities, and socio-economic groups.
    • Monitoring Progress and Development: By conducting surveys at regular intervals, sample surveys facilitate the monitoring of progress and development over time. It helps to identify areas where progress is lagging or where interventions are needed.
    • Evidence-based Decision-making: Sample surveys provide policymakers with empirical evidence that supports evidence-based decision-making. Instead of relying solely on anecdotal evidence or assumptions, policymakers can access reliable data to understand the impact of policies and make informed choices that are backed by robust statistical analysis.
    • Transparency and Accountability: Sample surveys promote transparency and accountability in policy-making. The availability of detailed survey methodologies and data allows for scrutiny and peer review, ensuring that the processes and findings are subject to rigorous analysis.

    Issues in India’s major surveys

    • Outdated Sampling Frames: The surveys utilize outdated sampling frames, which means they do not accurately reflect the current population distribution in India. As a result, the surveys may underestimate the proportion of the urban population and overestimate the rural population, leading to biased estimates.
    • Inadequate Representation: The surveys’ sampling mechanisms are not adapted to rapid changes in India’s population and economy.
    • Data Quality: While there is a general consensus on the robustness and representativeness of the survey methodology, there is a lack of attention and scrutiny regarding the data quality of these surveys.
    • Non-Sampling Errors: The response rate in these surveys is not consistent across different wealth levels. This issue can introduce biases in the survey estimates, particularly with regards to the representation of wealthier households.
    • Underestimation of India’s Progress: In a dynamic economy like India, where there have been significant policy reforms and rapid urbanization, relying on outdated surveys can impede effective policy-making by creating a gap between ground realities and survey estimates.

    Consequences of faulty sampling

    • Biased Estimates: Faulty sampling can introduce biases into survey estimates, leading to inaccurate representations of the target population. Biases can result in misleading findings and hinder effective policy decision-making.
    • Underrepresentation and Exclusion: Faulty sampling may lead to underrepresentation or exclusion of specific population groups. This can result in neglecting their needs and perspectives, leading to inadequate policy interventions for those marginalized or underrepresented groups.
    • Lack of Generalizability: Inaccurate or non-representative sampling hampers the generalizability of survey results. When the sample does not accurately reflect the population, it becomes challenging to make valid inferences about the broader population based on the survey findings.
    • Compromised Data Quality: Faulty sampling undermines the overall quality of the collected data. Sampling errors introduce uncertainty and reduce the precision of estimates, impacting the reliability and trustworthiness of the data.
    • Misguided Resource Allocation: Biased estimates resulting from faulty sampling can lead to misallocation of resources. If policy decisions are based on inaccurate information, resources may be allocated inefficiently, missing opportunities to address the actual needs of the population.
    • Erosion of Confidence: Faulty sampling erodes confidence in the survey process and the credibility of the data collected. Stakeholders may question the reliability and integrity of the surveys, leading to decreased trust and potentially hindering the utilization of the data for decision-making.

    Way forward: Need for Reforms in Major surveys

    • Updating Sampling Frames: There is a need for a major sampling overhaul to address outdated sampling frames. Reforms should focus on ensuring that the sampling frames used in surveys like the NSS, NFHS, and PLFS accurately reflect the current population distribution in India.
    • Improved Survey Mechanisms: There is a necessity of adapting survey mechanisms to rapid changes in the population and economy. Reforms should be aimed at modernizing and streamlining the survey methodologies to better capture the true status of India’s real economy.
    • Addressing Data Quality Concerns: There is a lack of attention and scrutiny regarding the data quality of the major surveys. Reforms should prioritize enhancing data quality assurance measures throughout the survey process, including data collection, processing, and analysis.
    • Mitigating Non-Sampling Errors: Non-sampling errors, particularly related to low response rates correlated with wealth levels, need to be addressed. Reforms should focus on understanding and correcting for these errors to ensure more accurate and representative survey estimates.
    • Accurate Population Projections: Given the rapid pace of change, reforms should aim to improve population projections to align with ground realities. This would involve refining projections based on past trends and incorporating the current pace of urbanization and other demographic shifts.

    Conclusion

    • To ensure effective policy-making and accurate assessments of India’s socioeconomic landscape, it is imperative to address the existing data quality gap. By prioritizing data quality alongside data availability and size, India can better inform policies and bridge the gap between statistical estimates and ground realities, facilitating holistic and inclusive development.

    Also read:

    Poverty Estimates: Issues With PLFS Data

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  • FDI in Indian economy

    Internationalising the rupee without the ‘coin tossing’

    op-ed snap | Economics | Mains Paper 3: Indian Economy

    Central Idea

    • The recent announcement by the Indian government regarding a long-term road map for the internationalization of the rupee holds immense potential for the country’s economic growth. This move aims to revive the rupee’s historical prominence as a widely accepted currency in the Gulf region and strengthen its position in the global foreign exchange market.

    *Relevance of the topic*

    The Indian government has been consistently focused on promoting the internationalization of the rupee.

    India has been exploring the use of the rupee for bilateral trade settlements with its trading partners, for instance amidst Russian oil ban, India explored Rupee-Rubel settlement for oil imports.

    China, Russia and a few other countries have become more vocal in questioning the US dollar-dominated global currency system

    Historical Context

    • Indian Rupee as Legal Tender in the Gulf Region: In the 1950s, the Indian rupee held the status of legal tender in several Gulf countries, including the United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar. It was widely used for various transactions, and these Gulf monarchies purchased rupees using the pound sterling.
    • Introduction of the Gulf Rupee: To tackle challenges related to gold smuggling, the Reserve Bank of India (Amendment) Act was enacted in 1959. This legislation led to the creation of the Gulf Rupee, which was intended for circulation only in the West Asian region. The central bank issued notes specific to the Gulf region, and individuals holding Indian currency were given a six-week window to exchange their rupees for the new Gulf rupee.
    • Devaluation of Indian Rupee and Transition to Local Currencies: In 1966, India devalued its currency, which eventually had repercussions on the acceptance of the Gulf rupee. The devaluation eroded confidence in the stability of the Indian rupee, prompting some West Asian countries to replace the Gulf rupee with their own sovereign currencies. The introduction of sovereign currencies in the region was driven by both economic factors and concerns about the Indian rupee’s stability.
    • Impact of Demonetisation: In 2016, the Indian government implemented a demonetisation exercise, which involved invalidating high-value currency notes, including the ₹1,000 and ₹500 denominations. This move aimed to curb black money, corruption, and counterfeit currency. However, it also had an impact on the confidence in the Indian rupee, both domestically and among neighboring countries such as Bhutan and Nepal.
    • Withdrawal of ₹2,000 Note: In recent times, the decision to withdraw the ₹2,000 note from circulation has further affected confidence in the rupee. This move has led to concerns and uncertainties among the public and businesses, particularly regarding the stability and continuity of currency denominations.

    What does it mean by Internationalizing the Indian Rupee?

    • Internationalizing the Indian Rupee refers to the process of increasing the acceptance, use, and recognition of the Indian rupee as a global currency. It involves making the rupee more widely used and traded in international markets, increasing its convertibility, and promoting its adoption for cross-border transactions, trade settlements, and investment activities

    Advantages of internationalization of the rupee

    • Enhanced Trade and Investment: Internationalization of the rupee can facilitate smoother trade transactions between India and other countries. This can lead to increased bilateral trade, attract foreign investment, and boost economic growth.
    • Reduced Exchange Rate Risks: Internationalisation reduces exchange rate risks associated with fluctuations in major global currencies. When the rupee becomes more widely accepted and used in international transactions, it reduces the vulnerability of the Indian economy to external currency volatility.
    • Lower Transaction Costs: Greater international acceptance of the rupee can reduce transaction costs for businesses and individuals engaged in cross-border trade and remittances.
    • Strengthening Financial Markets: A more internationalized rupee would lead to the development of deeper and more liquid rupee-denominated financial markets. This includes rupee bond markets and derivatives markets. It helps diversify funding sources and provide greater stability and opportunities for investors and businesses.
    • Reserve Currency Status: The internationalisation of the rupee can potentially lead to its recognition as a reserve currency. Reserve currency status enhances a country’s monetary and financial influence globally and promotes stability in international financial systems.
    • Boosting India’s Global Standing: Internationalisation of the rupee signals the country’s economic strength, reforms, and openness to international trade and investment. It can improve India’s reputation as an attractive investment destination and strengthen its role in regional and global economic decision-making forums.

    The Challenge of International Demand for the rupee

    • Low Daily Average Share: The daily average share of the rupee in the global foreign exchange market is approximately 1.6%. This indicates that the rupee is not extensively traded or widely used for international transactions compared to currencies like the US dollar or the euro.
    • Limited International Transactions: Although India has taken steps to promote the internationalisation of the rupee, such as enabling external commercial borrowings in rupees and encouraging trade in rupees with select countries, the volume of such transactions is still limited. For instance, India continues to purchase oil from Russia in dollars, and efforts to settle trade in rupees with Russia have faced challenges.
    • Capital Account Convertibility Constraints: India imposes significant constraints on capital account convertibility, which refers to the movement of local financial investments into foreign assets and vice versa. These restrictions are in place to mitigate risks of capital flight and exchange rate volatility, given India’s current and capital account deficits. However, they limit the ease of converting rupees into other currencies, reducing international demand.
    • Lack of Reserve Currency Status: For a currency to be considered a reserve currency, it needs to be fully convertible, readily usable, and available in sufficient quantities. The rupee does not currently enjoy reserve currency status, and its limited convertibility and usage hinder its attractiveness for central banks and international institutions to hold significant amounts of rupees as part of their foreign exchange reserves.

    Learning from China’s Experience

    • Phased Approach: China adopted a phased approach to internationalise the Renminbi (RMB). It initially allowed the use of RMB outside China for current account transactions, such as commercial trade and interest payments, and gradually expanded it to select investment transactions. This gradual approach helped in managing risks and ensuring a smooth transition.
    • Offshore Markets and Clearing Banks: China established offshore markets, such as the “Dim Sum” bond and offshore RMB bond market, which allowed financial institutions in Hong Kong to issue RMB-denominated bonds. Additionally, China permitted central banks, offshore clearing banks, and offshore participating banks to invest excess RMB in debt securities. These measures enhanced the RMB’s liquidity and facilitated its usage in international transactions.
    • Currency Swap Agreements: China entered into currency swap agreements with several countries, including Brazil, the United Kingdom, Uzbekistan, and Thailand. These agreements enabled the exchange of equivalent amounts of money in different currencies, facilitating trade and investment transactions in RMB and reducing reliance on other currencies.
    • Free Trade Zones: China launched the Shanghai Free Trade Zone, which facilitated free trading between non-resident onshore and offshore accounts. This zone provided a platform for international businesses to transact in RMB and boosted the currency’s international usage.
    • Reserve Currency Status: China’s efforts towards internationalisation of the RMB led to its recognition as a reserve currency. By the second quarter of 2022, the RMB’s share of international reserves reached approximately 2.88%. This status further solidified the RMB’s acceptance and usage in global financial markets.

    Way forward: Reforms for Rupee Internationalisation

    • Full Convertibility: The rupee should be made more freely convertible, with a goal of achieving full convertibility by 2060. This would involve allowing financial investments to move freely between India and abroad, removing significant restrictions on currency exchange and capital flows.
    • Deeper and More Liquid Rupee Bond Market: The Reserve Bank of India (RBI) should focus on developing a deeper and more liquid rupee bond market. This would enable foreign investors and Indian trade partners to have more investment options in rupees, enhancing the attractiveness and usage of the currency.
    • Trade Settlement in Rupees: Indian exporters and importers should be encouraged to invoice their transactions in rupees. Optimising the trade settlement formalities for rupee import/export transactions would facilitate greater usage of the rupee in international trade, reducing reliance on foreign currencies.
    • Currency Swap Agreements: India can establish additional currency swap agreements with trading partners. These agreements would allow India to settle trade and investment transactions in rupees, eliminating the need for reliance on reserve currencies like the US dollar.
    • Tax Incentives for Foreign Businesses: The government can provide tax incentives to foreign businesses operating in India, encouraging them to utilize the rupee in their operations. This would boost the demand for the rupee and promote its usage in international transactions.
    • Currency Management Stability: The RBI and the Ministry of Finance should ensure consistent and predictable issuance and retrieval of notes and coins, promoting currency management stability. This stability is crucial for building confidence in the rupee’s value and maintaining trust among market participants.
    • Exchange Rate Regime Improvement: Improving the exchange rate regime by adopting transparent and market-based mechanisms can enhance the stability and credibility of the rupee’s exchange rate. This would instill confidence among investors and businesses dealing in rupee-denominated transactions.
    • Higher Profile in International Organizations: Efforts should be made to push for making the rupee an official currency in international organizations. This would raise the profile and acceptability of the rupee globally, contributing to its internationalisation.
    • Pursuing Expert Committee Recommendations: Recommendations from expert committees, such as the Tarapore Committees, should be pursued. These recommendations include reducing fiscal deficits, lowering gross inflation rates, and addressing banking non-performing assets. Implementing these measures would enhance macroeconomic stability and strengthen the rupee’s attractiveness.

    Conclusion

    • The government’s road map for the internationalisation of the rupee holds immense potential for Indian businesses, financial stability, and the government’s ability to finance deficits. With predictable currency management policies and a phased approach, the rupee’s journey towards internationalisation can contribute to India’s economic growth and strengthen its position in the global economy.

    Also read:

    Using a rupee route to get around a dominating dollar

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  • Innovations in Biotechnology and Medical Sciences

    Bio-Banks

    op-ed snap | Science Tech | Mains Paper 3: Awareness in various sc and tech fields

    biobanks

    Central Idea

    • The biotechnology economy, commonly known as the bioeconomy, has experienced significant growth in recent years, driven by advancements in genetic research, healthcare applications, and innovations in food security and bioproduction. However, the responsible collection, storage, and sharing of biological data, particularly in the form of biobanks, necessitate robust governance to ensure equitable access and benefit sharing.

    *Relevance of the topic*

    India’s participation in healthcare advancements, including vaccine development and deployment, highlights its potential in the bioeconomy.

    The pharmaceutical industry, coupled with expertise in medical research, positions India as a global leader in healthcare innovation and the production of drugs and therapies.

    Considering its vast populations and challenges in healthcare, personalised healthcare is the need of the hour which makes biobanks is crucial factor for India

    What is the biotechnology economy?

    • The biotechnology economy, also known as the bioeconomy, refers to the sector that encompasses various activities related to biotechnology, genetic research, and the utilization of biological resources for industrial and commercial purposes.
    • It encompasses the application of biological knowledge, principles, and techniques to develop innovative products, processes, and services in sectors such as healthcare, agriculture, food production, energy, environmental conservation, and more.
    • The biotechnology economy relies on advancements in genetic engineering, genomics, bioinformatics, and other fields to understand and manipulate biological systems for practical purposes.
    • It involves the development of new drugs, therapies, and medical treatments, the improvement of agricultural crops and livestock, the production of biofuels and renewable materials, and the creation of sustainable solutions for various industries.

    India’s potential in the Bioeconomy

    • Bioeconomy Market Value: India’s Bioeconomy Report projects a potential market value of US$300 billion for the bioeconomy in India by 2030. This indicates significant growth and economic prospects in the sector.
    • Biotech Start-up Growth: The number of biotech start-ups in India has witnessed exponential growth, increasing from 50 to over 5,300 in the last ten years. This thriving ecosystem reflects a robust foundation for research, development, and industrial participation in the bioeconomy.
    • Biobanking Landscape: India currently hosts 19 registered biobanks out of a total of 340 global biobanks. This infrastructure plays a crucial role in the collection, preservation, and sharing of biological data for research and development purposes.

    Significance of biobanks for India

    • Medical Research and Advancements: Biobanks store biological samples, such as blood, tissue, and DNA, along with associated health information. These samples and data enable researchers to study diseases, understand genetic factors, identify biomarkers, and develop new diagnostic tools and therapies.
    • Disease Understanding and Treatment: By collecting samples and health information from individuals with specific diseases or genetic conditions, biobanks facilitate research on disease etiology, progression, and treatment options.
    • Precision Medicine and Personalized Healthcare: By analyzing genetic and molecular data stored in biobanks, researchers can identify individual variations and develop tailored treatment approaches based on a person’s unique genetic makeup.
    • Public Health and Epidemiology: By analyzing large-scale data sets from biobanks, researchers can identify risk factors, understand disease prevalence, monitor disease trends, and develop strategies for disease prevention and public health interventions.
    • Drug Development and Clinical Trials: Biobanks play a crucial role in drug development and clinical trials. They provide researchers and pharmaceutical companies with access to well-characterized biological samples and associated health data, which are essential for evaluating drug efficacy, safety, and side effects.

    Inequitable Data Collection and Benefit Deployment

    • Global South Underrepresentation: The the majority of biobanks are housed in North America and Europe, covering about 95 percent of the biobanks globally. In contrast, the Global South, including India, only hosts approximately 5 percent of the world’s biobanks. This underrepresentation limits the Global South’s participation in health research and the deployment of health initiatives.
    • Research Bias: Due to the concentration of biobanks in the Global North, there is a bias in research and funding, focusing on genetic conditions and diseases that are prevalent in those regions. This bias hamper research on health challenges specific to the Global South, limiting the relevance and applicability of the findings to the populations in these regions.
    • Dissonance in Results: There is a dissonance in using samples from the Global South to cater to health requirements primarily in the Global North. This dissonance implies that research outcomes derived from data collected in the Global South may not adequately address the healthcare needs and challenges faced by the populations in that region.
    • Lack of Equitable Benefit Sharing: The lack of explicit return on results policies leads to inadequate sharing of benefits derived from the data collected in the Global South. The benefits and outcomes of research conducted using biobank data from the Global South are not shared equitably among the countries and populations from which the data originated.
    • Inequities During the Pandemic: The article cites an example of inequity during the COVID-19 pandemic, where the capacity of Afrigen, a biotech firm responsible for vaccine production in Cape Town, was limited due to the desire of private sector participants like Moderna and Pfizer to preserve their knowledge. This resulted in Africa’s reliance on global vaccine manufacturing, with only 1 percent of vaccines consumed on the continent being manufactured within Africa.

    India’s contributions and leadership in the bioeconomy

    • Healthcare and Vaccine Development: India has actively contributed to healthcare and vaccine development. The country has been involved in SARS-CoV-2 vaccine development, deployment, and diplomacy. Its expertise and participation have played a crucial role in addressing global health challenges.
    • Global South Representation: India’s involvement in advocating for global South representation in biobanking governance and global platforms demonstrates its commitment to addressing inequities. India’s leadership contributes to fostering collaboration, trust, and fair participation among countries in the Global South.
    • Multilateral Engagement: India’s association with the Quadrilateral Alliance and its G20 presidency provide platforms for global diplomacy and collaboration. These engagements enable India to advocate for global governance structures and mechanisms that promote equitable access, benefit sharing, and funding in the bioeconomy.
    • National Guidelines and Best Practices: India has established guidelines and best practices for biobanking, ethical data storage, sharing, and benefit distribution. The Department of Biotechnology and the Ministry of Science and Technology have played key roles in formulating these guidelines, ensuring responsible practices in the bioeconomy.
    • Exporting Health Information and Data: India has a history of exporting health information and data, which positions it as a contributor to global health initiatives. Leveraging its experience, India can emphasize the prioritization of diseases relevant to the Global South, prevent biopiracy, and establish rules for benefit sharing to benefit countries in these regions.
    • Global Diplomacy and Platforms: India’s involvement in global platforms, such as the G20 presidency, has enabled it to expand its national regulations and contribute to the establishment of a global governance structure for biobanking and data sharing. This allows India to advocate for relief from trust issues, mechanisms for benefit sharing, and incentives for funding in the Global South.

    Way forward: Addressing Inequities through Global Governance

    • Global South Representation: There is a need for greater representation of the Global South in global governance structures. This ensures that the specific requirements and perspectives of the Global South are considered in decision-making processes and policies.
    • Global Guidelines for Biobanking: There is need of the formulation of global guidelines for biobanking to establish standards and best practices. These guidelines would address ethical data collection, storage, sharing, and benefit distribution, taking into account the specific needs and concerns of the Global South.
    • Equitable Benefit Sharing: It is important to explicit return on results policies to ensure equitable benefit sharing. These policies would ensure that the benefits derived from data collected in the Global South are shared back with the countries and populations from which the data originated.
    • Collaboration and Knowledge Exchange: Global governance in the bioeconomy should foster collaboration, knowledge exchange, and technology transfer between countries and regions. This collaboration helps address disparities, build trust, and promote capacity-building efforts in the Global South.
    • Addressing Obstacles and Barriers: Global governance should address obstacles and barriers to data hosting, collection, and sharing in the Global South. This may include financial constraints, technological limitations, and infrastructure gaps that hinder effective participation and contribution.
    • Private Sector Engagement:  It is essential to define the role of the private sector in research and emergencies. Global governance should encourage responsible and ethical private sector engagement, fostering investment, innovation, and knowledge sharing in the Global South.

    Conclusion

    • The promotion of equitable governance in biobanking is crucial for advancing scientific research, ensuring equitable healthcare, and addressing the unique healthcare challenges faced by the global South. The time is ripe for India to champion this cause and drive transformative change in the field of biobanking on a global scale.

    Also read:

    Mainstreaming Biodiversity: A Pivotal Step Towards a Sustainable Future

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