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  • Europe de-recognizes 6 Indian clearing corporations

    Central Idea

    • The European Securities and Markets Authority (ESMA) has de-recognised 6 clearing corporations in India as Third Country Central Counterparty (TC-CCP) with effect from April 30.
    • However, it allowed European banks to continue business with them till April 2023 without penal consequences.

    What are Clearing Corporations?

    • Clearing corporations, also known as central counterparties (CCPs), are financial institutions that act as intermediaries between buyers and sellers in financial markets.
    • They help to manage the risk of default by ensuring that each party involved in a trade has the necessary funds or securities to fulfil their obligations.
    • Clearing corporations also ensure that trades are settled in a timely and efficient manner.
    • In the context of this article, clearing corporations refer to those involved in the clearing and settlement of trades in India’s cash and derivatives market.

    Decisions by ESMA

    • ESMA has withdrawn recognition of six Indian clearing corporations including- CCIL, Indian Clearing Corporation Ltd, NSE Clearing Ltd, Multi Commodity Exchange Clearing, India International Clearing Corporation, and NSE IFSC Clearing Corporation.
    • ESMA asked Indian regulators to sign an agreement to give it the power to monitor and supervise the clearing corporations.
    • Indian regulators refused to give supervisory power to foreign entities in Indian clearing corporations.
    • ESMA recognised these clearing corporations as Third Country Central Counterparty (TC-CCP) in the EU region.

    India’s rebuttal

    • ESMA had asked the RBI and the Securities and Exchange Board of India (SEBI) to sign an agreement giving it the power to monitor and supervise the clearing corporations.
    • Indian regulators did not agree to give supervisory power to a foreign entity on Indian clearing corporations.

     

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  • Free Webinar: 10 things an IAS* Topper would ensure for a rank in UPSC 2024 that ‘Most Aspirants will IGNORE’ | Pranav’s (IAS, AIR 65) Masterclass (Join FREE)

    Free Webinar: 10 things an IAS* Topper would ensure for a rank in UPSC 2024 that ‘Most Aspirants will IGNORE’ | Pranav’s (IAS, AIR 65) Masterclass (Join FREE)


    A Game-Changing Webinar/Masterclass for UPSC aspirants by AIR 65, Pranav, IAS

    The journey to success in the UPSC exam is a rollercoaster ride, filled with ups and downs, and stories of aspirants who defy the odds to achieve their dreams. One such inspiring story is that of Pranav Vijayvergiya, an IIT Bombay graduate who, despite failing to clear the Prelims in his first two attempts in 2018 and 2019, bounced back and secured an impressive AIR 65 in the UPSC 2020 exam.

    From Failing Prelims to AIR 65: Pranav Vijayvergiya’s 10-Step Strategy for Sure-shot Success in UPSC 2024

    Contrary to the popular myth that UPSC exams are a cakewalk for IITians, Pranav’s journey shows that success in the prestigious exam requires more than just an impressive educational background. It takes perseverance, smart strategies, and the right guidance to sail through the exam.

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    Webinar Details:

    Don’t miss this opportunity to learn from an expert in the field! Here are the details for Pranav Vijayvergiya’s (AIR-65, UPSC 2020) live webinar:

    Date: 6th May (Saturday) 2023

    Time: 7:30 PM Onwards

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    What to Expect in the Webinar:

    In this enlightening webinar, Pranav will share:

    1. The 10-step strategy that helped him secure a top rank in UPSC 2020.
    2. The approach and strategic interventions went into overcoming five critical gaps in his preparation.
    3. How to improve bit by bit if you are weak in any subject?
    4. How to start answer writing and what topics you should pick if you don’t have any prior knowledge?
    5. What does IAS current affairs preparation mean? What are the best and most Effective, Holistic, and Minimalistic ways to prepare for Current Affairs?
    6. How to re-start or re-boost your Preparation if you have any previous failed attempts?
    7. What is the best platform for sectional and FLT online mock test series for Prelims & main?
    8. The secret behind choosing study materials meticulously. he consolidated his study materials and revised them as many times as he could.
    9. What is the role of 1-1 Mentorship in IAS Preparation?
    10. Many more UPSC Preparation secrets for success that only a topper can explain.

    Why Should You Attend?

    This webinar is a must-attend for UPSC 2024 aspirants, whether you’re attempting for the first time or repeating the exam after a failure. You’ll gain valuable insights from Pranav’s personal experience and learn the strategies that can help you succeed in your own UPSC journey.

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    What The Hindu opined about Civilsdaily Mentorship

    AIR 65, Pranav, IAS (Serving IAS officer, Gujrat)

    He’s an IIT Bombay Mechanical Engineer graduate and yet he failed 2 Prelims. Most folks will move on after 2 failures. Waiting for the 3rd is just too painful, but he remained hooked on the goal he had envisioned. He is presently serving as an IAS in Gujarat.

    Karishma Nair, AIR 14 was also Sajal sir’s student
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  • CEPA is the Growth Engine For India-UAE Bilateral Trade

    CEPA

    Central Idea

    • The India-UAE Comprehensive Economic Partnership Agreement (CEPA) signifies a deep, fraternal, and strategically important relationship between the two countries that goes beyond just economic cooperation. The success of the agreement in stimulating economic growth and providing investment opportunities has unlocked new possibilities for multi-sectoral collaboration and partnerships

    Background: India-UAE relationship

    • Historical ties: The India-UAE relationship has been shaped by centuries of cultural and economic engagement on the Indian Ocean’s network of exchange. The two countries share historical ties that go back to pre-modern times, with Arab traders having visited the west coast of India since the fourth century AD.
    • India’s third-largest trading partner: The UAE emerged as India’s third-largest trading partner, highlighting the two countries’ positive outlook towards economic cooperation.
    • Trade partnership strengthened with oil: The India-UAE partnership was forged first on the trade of traditional items, and then strengthened with oil. It found a formal dimension after the creation of the UAE Federation in 1971, and then accelerated in the 1990s when a liberalised India embraced the opportunity to export to the UAE and markets beyond.
    • Relationship is today more than an economic partnership: It speaks to the Emirates’s deep, fraternal, and strategically important relationship with India, reinforcing the UAE’s position as a key partner in India’s foreign policy. The two countries share strong cultural and people-to-people ties, with a significant Indian diaspora in the UAE.
    • key partner in India’s development agenda: The UAE has been a key partner in India’s development agenda, including investments in the oil and gas sector, renewable energy, and infrastructure. The UAE has also been supportive of India’s efforts in combating terrorism and enhancing security cooperation.

    India- UAE Comprehensive Economic Partnership Agreement (CEPA)

    • The India-UAE Comprehensive Economic Partnership Agreement (CEPA) is a bilateral trade agreement that aims to strengthen economic ties between the two countries.
    • The CEPA covers a wide range of subjects, including trade in goods, trade in services, investment, intellectual property rights, and competition policy.
    • The CEPA has been in the making for several years, with negotiations starting in 2017 and the agreement finally coming into force on May 1, 2022. The agreement builds on the decades of mutual enterprise between the two countries, with the UAE emerging as India’s third-largest trading partner.

    How India- UAE CEPA benefits both the countries?

    • Increased trade: The CEPA is expected to significantly increase trade volumes between India and the UAE, with the potential to create new investment opportunities and increase business partnerships. This will help both countries to diversify their trade relationships beyond their traditional trading partners.
    • Diversified trade: The CEPA covers a wide range of subjects, including trade in goods, trade in services, investment, intellectual property rights, and competition policy, allowing for a more diversified trade relationship between the two countries.
    • Access to new markets: The CEPA is inspiring innovators and investors, catalysing SMEs, startups, and India Inc to make decisive inroads into new markets, particularly the Emirati market, and from there to the Middle East, Africa, and Europe. This will benefit both countries in terms of access to new markets and opportunities.
    • Support for entrepreneurship: The CEPA provides support for startups in both India and the UAE, enabling them to explore growth and diversification into each other’s markets, as well as other markets in the region and beyond. The India-UAE Startup Bridge will also enable them to attract investment from venture capitalists and angel investors.
    • Addressing developmental challenges: The CEPA provides a trade lens to tackle issues such as energy and food security, agriculture, and sustainability, making it a strategic catalyst in addressing vital developmental challenges.

    CEPA

    Facts for prelims: UPI in UAE

    • Indian travelers can now seamlessly make payments in the UAE using the UPI-based apps.
    • National Payments Corporation of India (NPCI) has partnered with the Mashreq Bank’s NEOPAY to enable UPI-based payments in the Gulf Nation.
    • UPI payments will only be possible in UAE shops that have NEOPAY terminals. The user should have a bank account with an Indian bank account along with a mobile app like BHIM that supports UPI payments.
    • Currently, UPI payments are accepted in Bhutan and Nepal. It is likely to go live in Singapore by the end of this year.
    • Back in 2021, the UPI services were launched in Bhutan in collaboration with its central bank, the Royal Monetary Authority.

    Way ahead?

    • Looking ahead, the India-UAE CEPA presents a unique opportunity to further deepen economic and strategic ties between the two countries. Some of the key steps that can be taken to build on the success of the CEPA include:
    • Strengthening infrastructure: India and the UAE can collaborate to strengthen infrastructure, including ports, airports, and logistics networks, to facilitate the movement of goods and people between the two countries.
    • Enhancing cooperation in emerging sectors: The two countries can explore cooperation in emerging sectors such as renewable energy, artificial intelligence, and fintech, among others, to promote innovation and economic growth.
    • Promoting investment: Both India and the UAE can take steps to promote investment in each other’s markets, including through the creation of investment promotion agencies, bilateral investment treaties, and other measures.
    • Strengthening cultural ties: Cultural exchanges and people-to-people contacts can be further enhanced to deepen the historical and cultural ties between the two countries.
    • Addressing developmental challenges: The CEPA provides a platform for addressing key developmental challenges faced by both countries, such as energy and food security, sustainability, and agriculture. Further efforts can be made to leverage this platform to achieve meaningful progress in these areas.

    Conclusion

    • The UAE-India CEPA has unlocked new possibilities for multi-sectoral collaboration and partnerships, leading the nations to build competitive, resilient, sustainable, and vibrant economies.

    Mains Question

    Q. India-UAE completed its one year of Comprehensive Economic Partnership Agreement (CEPA) implementation. In this background discuss impact on the Bilateral Trade.

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    Also read:

    India-UAE Food Security Partnership Stands to Benefit From Multiple Points of Convergence
  • Aspirational Cities Programme (ACP): A Step in the Right Direction

    ACP

    Central Idea

    • Maharashtra’s Aspirational Cities Programme (ACP) aims to address the challenges of rapid urbanisation by adopting a holistic approach to urban governance. The ACP is set to focus on improved governance, address persistent civic issues, and increase funding avenues for the urban local bodies. The success of the ACP could have a significant impact on Maharashtra’s economy and lead to ease of living in urban areas.

    Urban population of India

    • According to the Census of India 2011, the urban population of India was 377 million, which accounted for 31.16% of the total population. Around 590 million people would live in the cities by 2030.
    • While cities constitute about 3 per cent of the land in the country, they generate 70 per cent of the Gross Domestic Product (GDP) and contribute substantially to economic growth and opportunities.
    • There is a robust relationship between the index of cities’ liveability and the country’s GDP per capita suggesting that long-term growth is only feasible if the city attributes in terms of providing equitable access to basic services, residences, and improved economic management are woven seamlessly through digital service delivery platforms.

    Challenges of urbanization in Maharashtra

    • Deficient Infrastructure: Maharashtra’s cities are grappling with issues of deficient infrastructure, such as inadequate roads, public transport, water supply, and waste management systems.
    • Air Pollution: Urbanization has led to an increase in air pollution in Maharashtra’s cities, primarily due to vehicular emissions and industrial activities.
    • Social Inequities: The growth of informal settlements and slums in Maharashtra’s cities has led to social inequities, with the urban poor lacking access to basic services, such as healthcare, education, and housing.
    • Mobility and Migration: Maharashtra’s cities continue to face the challenge of frequent mobility and migration, with an inward net movement of people for better livelihood opportunities.
    • Vulnerabilities to Disasters and Climate Change: Rapid urbanization has increased the vulnerability of Maharashtra’s cities to disasters and climate change, such as floods and heatwaves.
    • Poor Urban Planning: Many of the challenges faced by Maharashtra’s cities are a result of poor urban planning, with a lack of coordination between various government departments and inadequate implementation of policies and programmes.

    What is Aspirational Cities Programme (ACP)?

    • The Aspirational Cities Programme (ACP) is an initiative of the Government of Maharashtra aimed at addressing the challenges of rapid urbanization in the state by adopting a holistic approach to urban governance.
    • The ACP has identified 57 cities that have been proposed for the programme. Service level benchmarking will be done for the cities based on the data collected on the Performance Assessment System of the Government of Maharashtra.
    • The performance of the 57 selected cities would be monitored and ranked quarterly through a standard digital monitoring platform with indicators on the themes of urban infrastructure, education, urban services, skill development, and climate change.
    • The ACP is based on three priority areas: inclusive urban development, scientific data methods for assessing and monitoring outcomes, and citizen participation in civic affairs.

    ACP

    The Maharashtra government’s Aspirational Cities Programme (ACP) focuses on three priority areas

    1. Inclusive Urban Development: The ACP aims to bring an integrated approach to urban programming that involves all development sectors. This is aimed at ensuring that the benefits of urban development reach all sections of society, including the most vulnerable.
    2. Scientific Data Methods: The ACP seeks to adopt scientific data methods for assessing and monitoring the outcomes of both state and central schemes. This will provide a better understanding of the impact of various policies and programmes on the ground.
    3. Citizen Participation: The ACP aims to enhance the voice and participation of citizens in civic affairs through physical and digital means. This is aimed at ensuring that governance is citizen-centric and responsive to the needs and aspirations of the people.

    Other key features of Maharashtra’s ACP

    • Improved Governance: The ACP is set to focus on improved governance, address persistent civic issues, and increase funding avenues for the urban local bodies. This is aimed at ensuring that the governance of cities is efficient, transparent, and accountable.
    • Service Level Benchmarking: Service level benchmarking will be done for the cities based on the data collected on the Performance Assessment System of the Government of Maharashtra. This will enable the state government to monitor and rank the performance of the 57 selected cities quarterly through a standard digital monitoring platform.
    • Provision of Adequate Potable Tap Water: The ACP agenda includes provisioning adequate potable tap water to all households by taking advantage of the ambitious Jal Jeevan Mission.
    • Reformed Property Tax: The ACP aims to reform property tax by delinking it from the reasonable rental value method and adopting the market value of the property as a base for assessment.

    Facts for prelims

    What is Urban 20 (U20)?

    • Within the G20 ecosystem, a city diplomacy initiative called the Urban 20 (U20) was launched in December 2017.
    • As one of the formal Engagement Groups under G20, the U20 forum was meant to collectively raise critical urban issues of G20 cities during the G20 negotiations.
    • Despite U20’s concerted efforts to run parallel to G20, the absence of any written constitution, procedures, or formal agreement has made U20 unable to effectively address the aspirations and concerns of cities.

    Conclusion

    • It is time to accept the reality that New India is moving from its villages to the cities, and therefore, the need for renewed thinking and policies that are citizen-centric. The ACP is an example of a policy that puts people first as part of urban development. This effort by the Government of Maharashtra is strategically contextualised with the Viksit Bharat vision for India in 2047.

    Mains Question

    Q. New India is moving from its villages to the cities which highlights the need for renewed thinking and policies that are citizen-centric. In light of this discuss how Maharashtra’s Aspirational Cities Programme (ACP) could help to address the challenges of urbanization

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    Also Read:

    [Sansad TV] Perspective: Urban Planning

     

  • Nikaalo Prelims Spotlight || Current affairs Developments in Economics


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here


    5th May 2023

    Current affairs Developments in Economics

    Refer to the economics current affairs compilation.

     


  • [Sansad TV] Mudda Aapka: India’s Logistics Sector

    [Sansad TV] Mudda Aapka: India’s Logistics Sector

    Central Idea: India’s Logistics Progress

    • India improves in the logistics ranking of the World Bank by jumping 6 places to Rank 38 out of 139 countries in the 7th edition of Logistics Performance Index (LPI 2023).
    • This is a strong indicator of India’s global positioning, with this development being powered by our Government’s laser focus on reforms for improving logistics infrastructure.

    Reasons behind

    • GatiShakti: In October 2021, the Government of India launched the PM GatiShakti National Master Plan (PMGS-NMP) towards a coordinated approach, leveraging technology, for infrastructure planning and development.
    • National Logistics Policy (NLP): In September 2022, the Prime Minister launched the National Logistics Policy (NLP) which acts as a guiding document for States / UTs seeking to formulate logistics policy (19 States / UTs have notified their logistics policy).

    India’s logistics sector: A backgrounder

    (1) Road Transport

    • The country faces a skewed logistic modal mix with nearly 71% of all freight transport being done by roads.
    • Highways only account for 2.2 % of the entire road network but carry 40% of all freight traffic, thereby putting immense strain on the highway network of the nation.

    (2) Railways 

    • The Railways’ share in freight transport has dropped from 89% in 1950-51 to only 18%in 2020.
    • The average speed of a freight train in India is only 25 km/hour with a permitted axle load (freight capacity of wagons) of around 20 tonnes.
    • The US, which has a vast rail network like India, runs its freight trains at an average speed of 38 mph (60 kmph) and permits an axle load of nearly 30 tonnes.

    (3) Air Cargo 

    • The picture is similar in terms of the air cargo handled.
    • According to the Ministry of Civil Aviation’s Annual report 2019-20, India has 23 domestic cargo terminals and 20 international cargo terminals which handled a total of 3.56 million tonne (mt) of cargo in 2018-19.
    • In contrast, the Shanghai Pudong International Airport in China alone handled 3.63 mt of cargo in 2019.

     What is NLP?

    • First introduced in 2020 during Finance Minister’s Budget speech, the policy will bring in an integrated and tech-enabled approach to logistics operations to bridge the efficiency gap.
    • A comprehensive action plan is proposed under the policy, with major features including:
    • Integrated digital logistics systems;
    • Unified logistics interface platform;
    • Ease of logistics and standardisation of physical assets and
    • Benchmarking service quality standards, state engagement,
    • Human resource development and capacity building,
    • Export-import logistics
    • Sectoral plans for efficient logistics, and facilitation of the development of logistics parks.

    Need for such a policy

    • Organizing and consolidating the sector: India’s logistics sector is largely unorganized and fragmented. As per estimates, the worth of Indian logistics market is over $200 billion.
    • Reducing logistics cost: This is why the country’s logistics costs are as high as 14-15% of the GDP, against 7-8% in developed nations such as Singapore and the US, who leverage it to boost exports. The NLP aims to bring down India’s logistics cost to 8% in the next five years.
    • Preventing waste of perishable items: As per some estimates in India, about 16% of agri-production is wasted at different stages of the supply chain.
    • Warehousing development: Moreover, due to factors such as limited capacity and availability of warehouses, the cost of transaction increases.
    • Multi-modal integration: The new policy is going about simplification, technology and will have a multimodal approach that will combine rail, water, and air — all modes of transport.
    • Reducing operational complexities: The sector is complex with more than 20 government agencies, 40 PGAs (Partner Government Agencies), 37 export promotion councils, 500 certifications, over 10,000 commodities.
    • Employment generation: The sector provides livelihood to more than 22 million people and improving it will facilitate 10 per cent decrease in indirect logistics cost leading to the growth of 5 to 8 per cent in exports.

    What are the focus areas?

    According to several reports, the policy is expected to touch upon four main steps:

    • Integration of Digital System (IDS): This system will look forward to integrating 30 different systems of seven different departments, which are road transport, railway, customs, aviation, foreign trade, and commerce ministries.   
    • Unified Logistics Interface Platform (ULIP): This system will monitor smooth cargo movement.
    • Ease of Logistics (ELOG): Under this, the new policy will simplify the rules, which is expected to simplify basic business.
    • System Improvement Group (SIG): This system will be used to monitor all logistics-related projects regularly and will facilitate the removal of any hurdle. An empowered group of secretaries (EGoS), constituted under the PM Gati Shakti, would monitor and review the implementation of the policy.  

    How will the NLP increase the participation of state governments?

    • Under the policy, every state in India will have to set up a State Logistics Coordination Committee/Cell.
    • The policy will also annually review the performance of every state through the Logistics Ease Across Different States (LEADS) index.
    • The central government will also let states develop their logistics ecosystems and provide a roadmap for improving logistics efficiency.
    • The SIG will also carry out the annual LEADS performance index of states and union territories in India.
    • The agency will work closely with the states and prepare a comprehensive annual State Engagement Report covering the above-mentioned aspects.

    Policy measures till now

    • Mission Gati-Shakti: This mission has been launched as a national master plan for multi-modal connectivity.
    • Bharatmala Pariyojana: The 34,000 km of road infrastructure works would be undertaken, of which, 11,000 km have been targeted to be completed by March 2022. (Also read about Sagarmala, Parvatmala etc.)
    • High budgetary allocation: Government allocated Rs5.54 trillion towards capital expenditure across various ministries in the Union Budget 2021-22, a 34.5% jump from the previous year.
    • Dedicated freight corridor: There is Eastern and Western Dedicated Freight Corridors commissioned which can be a game-changer for boosting railway freight share
    • National Air Cargo Policy: This has also been formulated that seeks to build air transport shipment hubs in all major airports by 2025.

    Various challenges

    • Skewed modal mix: Nearly 71% of all freight transport is done by roads, while other modes such as railways, air cargo, and waterways remain underutilized.
    • Congestion on highways: Highways carry 40% of all freight traffic, despite accounting for only 2.2% of the entire road network, putting immense strain on the highway network of the nation.
    • Decline in railways’ share: The Railways’ share in freight transport has dropped from 89% in 1950-51 to only 18% in 2020. The average speed of a freight train in India is only 25 km/hour with a permitted axle load of around 20 tonnes, which is significantly lower than that of other countries like the US.
    • Limited air cargo infrastructure: India has only 23 domestic cargo terminals and 20 international cargo terminals, which handled a total of 3.56 million tonnes of cargo in 2018-19. This is much lower than other countries like China.
    • Fragmented sector: India’s logistics sector is largely unorganized and fragmented, with more than 20 government agencies, 40 PGAs (Partner Government Agencies), 37 export promotion councils, 500 certifications, and over 10,000 commodities, making it complex and challenging to navigate.
    • High logistics costs: India’s logistics costs are as high as 14-15% of GDP, against 7-8% in developed nations such as Singapore and the US, which affects its competitiveness and reduces its ability to boost exports.
    • Wastage of perishable items: About 16% of agri-production is wasted at different stages of the supply chain, leading to significant economic losses.
    • Limited warehousing capacity: The availability and capacity of warehouses are limited, increasing the cost of transactions.

    Way forward

    • Use of blockchain technology: The use of blockchain technology can improve transparency, efficiency and traceability in the logistics sector. It can also help reduce fraud and errors, and increase security.
    • Promote inland waterways: The government can promote the use of inland waterways for freight transport by building more ports and terminals, improving infrastructure and providing incentives to transporters.
    • Use of UAV: The use of drones can help improve last-mile delivery and reduce delivery times. They can be used for delivering packages in remote areas and for monitoring the movement of goods in real-time.
    • Encourage multi-modal transportation: Multi-modal transportation involves using more than one mode of transport for freight movement.  
    • Collaboration between private and public sector: The government can collaborate with private players to develop a robust logistics infrastructure.  
    • Development of logistics parks: The government can develop logistics parks that provide warehousing, cold storage, and other facilities required for efficient logistics operations.  
    • Green logistics: The government can promote green logistics by encouraging the use of electric vehicles, promoting the use of renewable energy and adopting sustainable logistics practices.  

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  • Article 355 imposed in Manipur

    manipur

    Central Idea

    • Recently, unrest in the state of Manipur was triggered by a decision of the High Court to pursue a 10-year-old recommendation to grant Scheduled Tribe (ST) status to the non-tribal Meitei community.
    • In view of the prevailing unprecedented burning situation, the Centre has imposed Article 355 in the state, in an effort to control the situation, according to reliable sources.

    What is Article 355?

    • Article 355 of the Indian Constitution is a provision that empowers the Union government to protect every state in India against external aggression and internal disturbances.
    • It is a provision under Part XVIII of the Constitution, titled “Emergency Provisions”.
    • It is based on the principle of “duty to protect” enshrined in the Constitution, which makes it mandatory for the Union government to protect every state from external and internal threats.

    Restrictions under Article 355

    Under Article 355, the Union government has the power to issue directions to any state to ensure compliance with the Union’s laws and regulations. However, there are certain restrictions on this power:

    • The directions can only be given when there is a failure of the state machinery to comply with or give effect to any Union law or regulation.
    • The directions should be of an urgent nature and may not extend beyond the necessary period for remedying the failure of the state machinery.
    • The state government should be given an opportunity to submit its views before the issuance of such directions.
    • The Union government cannot use this power to intervene in the internal affairs of a state unless there is a failure of the state machinery.

    Duration of restriction

    • The duration of the assistance provided under Article 355 is not specified in the Constitution.
    • The Union government can withdraw its assistance when the situation is normalized or when the state government requests it to do so.
    • The duration of the assistance provided under Article 355 is subject to judicial review and can be challenged in court if it violates any fundamental rights or constitutional provisions.

    Circumstances of imposition

    Article 355 can be invoked by the President of India in certain circumstances, such as:

    1. When a state fails to comply with or to give effect to any of the directions given by the Union under the Constitution.
    2. When the security of India is threatened by external aggression or internal disturbance.
    3. When there is a threat to the unity and integrity of India due to any violent activities by any group or organization.
    4. When a state requests for assistance from the Union to maintain public order and the Union is satisfied that the situation in the state cannot be controlled by the state’s own forces.
    5. When a state fails to provide adequate protection to minorities, particularly in cases of communal violence.
    6. When a state government fails to ensure that the constitutional machinery is maintained in the state.

    Reasonable restrictions

    It is important to note that the use of Article 355 is subject to certain restrictions:

    1. The President cannot use this article on his/her own initiative; it must be done on the advice of the Union Council of Ministers.
    2. The use of Article 355 does not authorize the President to intervene directly in the affairs of the state.
    3. The President can use this article only to give directions to the state government, and not to the state legislature or the judiciary.
    4. The use of Article 355 should be limited in duration and scope, and should not result in the permanent erosion of the state’s autonomy or the violation of its constitutional rights.

    Centrestage of the row: Meitei Community

    • Manipur is geographically divided into the Imphal Valley and the surrounding hills.
    • The Imphal Valley is dominated by the non-tribal Meitei community, which accounts for more than 64% of the population.
    • The hills, which comprise 90% of Manipur’s geographical area, are inhabited by more than 35% recognized tribes, which are largely Christians.
    • The Meiteis are largely Hindus followed by Muslims, while the 33 recognized tribes are broadly classified into ‘Any Naga tribes’ and ‘Any Kuki tribes.’

    Behind the ST status: The Meitei Argument

    • The Manipur High Court directed the State government to submit a 10-year-old recommendation for the inclusion of the Meitei community in the Scheduled Tribe (ST) list.
    • The ST status is needed to “preserve” the community and “save the ancestral land, tradition, culture, and language” of the Meiteis.
    • The Meiteis were recognized as a tribe before the merger of the State with the Union of India in 1949.

    Tribal groups’ opposition to the ST Status

    • Advantaged community: Many tribal groups say the Meiteis have a demographic and political advantage besides being more advanced than them academically and in other aspects.
    • Benefits at others cost: They feel the ST status to the Meiteis would lead to loss of job opportunities and allow them to acquire land in the hills and push the tribals out.
    • Already benefited: The language of the Meitei people is included in the Eighth Schedule of the Constitution, and many of them have access to benefits associated with the SC, OBC, or EWS status.
    • Political vendetta: The demand for ST status is a ploy to attenuate the fervent political demands of the Kukis and Nagas, as well as a tacit strategy of the dominant valley dwellers to make inroads into the hill areas of the State.

    Immediate triggers of unrest

    • Some tribal groups with vested interests are trying to scuttle Chief Minister Nongthombam Biren Singh’s crusade against drugs.
    • The anti-drug drive began with destroying poppy fields and the theory that “illegal settlers” from Myanmar — ethnically related to the Kuki-Zomi people of Manipur — are behind clearing forests and government lands to grow opium and cannabis.
    • The first violent protest on March 10 was against the eviction of the residents of a Kuki village.
    • The large-scale arson and violence claiming the life of at least one person on May 3 and 4 followed a “tribal solidarity rally” against the reported move to include the Meiteis in the ST list.

     

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  • CBDC for efficient Cross-Border Payment

    cbdc

    Central Idea: RBI Deputy Governor T. Rabi Shankar commented on CBDC platforms and their potential impact on cross-border payments during the G20 TechSprint.

    About Central Bank Digital Currency (CBDC)

    • CBDC is a central bank-issued digital currency which is backed by some kind of assets in the form of either gold, currency reserves, bonds and other assets, recognised by the central banks as a monetary asset.
    • The present concept of CBDCs was directly inspired by Bitcoin, but a CBDC is different from virtual currency and cryptocurrency.
    • Cryptocurrencies are not issued by a state and lack the legal tender status declared by the government.

    Hurdles in Cross-Border Payments

    • Fragmented and truncated data formats: Lack of standardization in data formats creates inefficiencies in cross-border payments. Fragmented and truncated data formats create additional costs and delays in the processing of transactions.
    • Complex processing of compliance checks: Cross-border payments require compliance with different regulatory frameworks in different jurisdictions. Compliance checks can be complex and time-consuming, causing delays and additional costs.
    • Limited operating hours: Traditional banking systems have limited operating hours, which can cause delays in cross-border payments. International time zone differences also contribute to these challenges.
    • Legacy technology platforms: Traditional banking systems still rely on legacy technology platforms, which can be slow and outdated. This can lead to inefficiencies and delays in cross-border payments.
    • Long transaction chains: Cross-border payments often involve multiple intermediaries, which can lead to long transaction chains. Each intermediary adds additional costs and can increase the time it takes for a transaction to be completed.
    • Funding costs: Cross-border payments require funding in multiple currencies, which can lead to additional costs. Exchange rate fluctuations can also impact the cost of cross-border payments.
    • Weak competition: The lack of competition in the cross-border payments industry can contribute to inefficiencies and high costs. The dominance of a few large players can limit innovation and hinder the development of more efficient solutions.

    Potential benefits with CBDC

    • Less intermediaries: CBDC can reduce the need for multiple intermediaries in cross-border payments, leading to a faster and more efficient process.
    • Enhanced efficiency: It can increase the speed and efficiency of cross-border payments by reducing processing times and delays.
    • Enhanced integration: It can enable better integration between different payment systems, reducing fragmentation and increasing interoperability.
    • Enhanced technical compatibility: It can be designed to work with existing payment infrastructure, making it easier to adopt and integrate into the current system.
    • Enhanced safety: It can provide enhanced security measures that can help mitigate the risk of fraud and cyber-attacks in cross-border payments.
    • Mitigation of cross-currency risks: CBDC can help mitigate risks associated with cross-border and cross-currency transactions, such as exchange rate fluctuations, currency conversion fees, and transaction processing delays.

    How can this be implemented to practice?

     

    Description Examples
    Model 1 Enhancing Compatibility Among Domestic CBDC Systems Many central banks are working to enhance the compatibility of domestic CBDC systems. Common international standards are required, which require regulatory coordination and market practices.
    Model 2 Interlinking CBDC Systems CBDC networks are linked up by synchronizing payment actions without the need for a trusted third party or a common platform.
    Model 3 Establishing a Single mCBDC System Cross-border payments are processed through a jointly operated “corridor network”.

     

    RBI’s push for CBDC adoption @ G20

    • RBI emphasized the need for increased adoption of CBDCs across countries for them to play a role in the cross-border payments arena.
    • Countries need to decide to create CBDCs and create an infrastructure for various CBDCs to interface for CBDCs to be effective in cross-border payments.
    • RBI suggested India’s model of digitization, where the basic infrastructure was created by the public sector and the fintech/financial/start-up ecosystem was allowed to create innovative solutions, could also be successful with CBDCs globally

    Conclusion

    • CBDCs could bring about a significant change in the sphere of cross-border payments, but coordination across countries and between the public and private sectors is essential for that to happen

     

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  • What is the Washington Declaration?

    washington

    Central Idea: The context is the recent visit of the South Korean President to the US to commemorate the 70th anniversary of US-South Korea bilateral relations. During the visit, the two countries signed the “Washington Declaration” as a nuclear deterrence strategy against North Korea’s regional aggression.

    Washington Declaration: Key Terms

    • Nuke deployment by US: According to the declaration, an American nuclear ballistic submarine would be deployed in the Korean peninsula.
    • Intel mechanism: A nuclear consultative group would be formed to formulate principles of joint response tactics, and South Korea would receive Intel from the US regarding nuclear advancements.
    • Joint training: The US will strengthen South Korea’s nuclear deterrence capabilities through joint military training programs and an annual intergovernmental simulation.
    • Deterrence creation: The declaration reaffirmed the Non-Proliferation Treaty implying that South Korea would not venture into the creation of its own independent nuclear capabilities and would instead focus on deterrence measures through an alliance-based approach.

    Implications of the treaty

    • Big power politics: While the existence of the agreement is based on the security needs of South Korea, the policy reflects big power politics where the interests of the larger power (US) takes precedence.
    • US proprietorship over the nukes: The US is the only ‘sole authority’ to use the nuclear arsenal of the US in the event of a nuclear confrontation.
    • Maintaining stability: The assurance that the US and its nuclear weapons would protect its allies by being responsible for maintaining stability in the region aligns with the larger goal of non-proliferation.

    US Stance on South Korea’s Nuclear Capabilities

    • Fouled the SK nuclear program: South Korea’s nuclear development programme supported by former president Park Chung Hee was hindered due to US pressure.
    • Strategic arms reduction: The US withdrew one hundred nuclear weapons from South Korea in the 1990s as part of their “Strategic Arms Reduction Treaty” to make North Korea unarm itself.
    • Renewed interest after North Korea’s Rise: The Nuclear Posture Review 2022 reflects a shift in the US narrative where it is now concerned about the progressing nuclear capacities of North Korea.

    Regional and domestic responses

    • China: It said it undermines the nuclear non-proliferation regime and the strategic interests of other countries.
    • North Korea: Kim Jong-Un’s sister warned that the declaration would only result in making peace and security of North-East Asia and the world be exposed to more serious danger.

    Conclusion

    • Overall, the Declaration is an important step in the direction of creating a more overt and close coordination among the US allies in the Indo-Pacific.
    • It seeks to deal with not only North Korea but also moves of China and Russia.

    Back2Basics: Non-Proliferation Treaty (NPT)

    The NPT is an international treaty signed in 1968 that aims to prevent the spread of nuclear weapons and to promote the peaceful use of nuclear energy.

    Key facts about the NPT include:

    • Members: There are currently 191 parties to the treaty, including the five recognized nuclear-weapon states (the US, Russia, China, France, and the UK).
    • Three main pillars: Non-proliferation, Disarmament and Peaceful use of nuclear energy.
    • Non-nuclear-weapon states: They are parties to the treaty agree not to acquire nuclear weapons and to accept International Atomic Energy Agency (IAEA) safeguards on their nuclear activities.
    • Nuclear-weapon states: They are the parties to the treaty agree not to transfer nuclear weapons or technology to non-nuclear-weapon states.
    • 5 year review: The treaty is reviewed every five years at a conference of parties, with the most recent review conference taking place in 2015.
    • Criticisms: NPT has been criticized for not doing enough to promote disarmament, and for perpetuating a system of haves and have-nots in which certain states have nuclear weapons while others do not. However, proponents argue that the treaty has helped to prevent the spread of nuclear weapons and to promote peaceful use of nuclear energy.

     

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  • All Cantonments to be disbanded: Centre

    cantonment

    Central Idea: The Union government has kicked off a plan to abolish the 62 cantonments around the country as “archaic colonial legacies”. The first cantonment to be renamed a military station is Yol in Himachal Pradesh.

    What is the plan?

    • The plan is to carve out the military areas in all cantonments and convert them into “exclusive military stations” with the Army exercising “absolute control” over them.
    • The civilian areas, in turn, will be merged with the local municipalities, which will be responsible for their maintenance among other things.
    • The Army moved away from the concept of cantonments after independence, mainly due to the friction between military and civilian authorities.
    • But some major cantonments continued to exist. Ex. Pune Cantonment, Agra Cantonment etc.

    What are Cantonments?

    • Cantonments in India are permanent military stations where a group of military personnel are stationed for administrative purposes.
    • These cantonments are governed by the Cantonments Act, 2006 which provides for municipal administration and control of these areas.
    • There are 62 cantonments in India which are located in various states across the country.
    • These areas are maintained by the Defence Estates Organization (DEO) under the Ministry of Defence, and are distinct from military bases or barracks which are temporary locations for military personnel.
    • Cantonments are generally considered to be areas with better infrastructure and facilities compared to other parts of the country.

    Their features

    • Cantonment Boards are democratic bodies comprising elected and nominated members.
    • In terms of Entry 3 of the Union List (Schedule VII) of the Constitution of India, Urban Self Governance of the Cantonments and the Housing Accommodation therein is the subject matter of the Union.
    • The Station Commander of the Cantonment is the ex-officio President of the Board, and an officer of the IDES or Defence Estates Organisation is the Chief Executive Officer who is also the Member-Secretary of the Board.
    • They have equal representation of elected and nominated/ex-officio members to balance official representation with democratic composition.
    • They maintain ecological balance while providing better civic facilities to the residents.

    History of establishments

    • The Cantonments Act, 1924 was enacted by the British to regulate the municipal administration of Cantonments.
    • After India’s independence, the Cantonments Act, 1924, was modified to suit the democratic setup of the country.
    • The Cantonments Act, 2006, replaced the Cantonments Act, 1924, and aims to provide greater autonomy and accountability to the Cantonment Boards.

    Categories

    There are four categories of Cantonments, depending on the size of the population residing inside a Cantonment:

    1. Category I: Cantonments having a population of more than 50,000.
    2. Category II: Cantonments having a population of 10,000 to 50,000.
    3. Category III: Cantonments having a population of less than 10,000.
    4. Category IV: Industrial or training Cantonments, irrespective of their population size.
  • SAI20 and India’s Presidency of G20

    SAI20

    Central Idea

    • Under India’s presidency, the G20 leaders will be focusing on collective progress, equity, and inclusive growth, with the summit theme of One Earth, One Family, One Future. India’s commitment to green development, circular economy, and lifestyle behavior changes aim to achieve the 2030 Sustainable Development Goals. The Comptroller & Auditor General of India (CAG) will chair SAI20, the Engagement Group for Supreme Audit Institutions (SAls) of G20 countries in Goa in June.

    Top Priority areas for SAI20 deliberations Under India’s presidency

    • The Comptroller & Auditor General of India (CAG) will chair SAI20 in Goa in June this year.
    • Two priority areas have been selected for SAI20 deliberation:
    1. Blue economy
    2. Responsible Artificial Intelligence

    What is SAI20?

    • SAI20 stands for Supreme Audit Institutions (SAIs) of G20 countries.
    • It is a forum where SAIs from G20 countries can engage with each other to share their experiences and expertise in auditing public policies and governance practices.
    • The group meets annually to discuss important issues related to public auditing and to develop joint initiatives to promote good governance and accountability in their respective countries.

    What is Blue Economy?

    • Blue Economy is defined by the World Bank as the Sustainable use of ocean resources for economic growth, improved livelihoods, and jobs while preserving the health of the ecosystem.
    • Gunter Pauli’s book, The Blue Economy: 10 years, 100 innovations, 100 million jobs” (2010) brought the Blue Economy concept into prominence.
    • The UN first introduced blue economy at a conference in 2012 and underlined sustainable management, based on the argument that marine ecosystems are more productive when they are healthy. In fact, the UN notes that the Blue Economy is exactly what is needed to implement SDG 14, Life Below Water.
    • The term ‘blue economy’ includes not only ocean-dependent economic development but also inclusive social development and environmental and ecological security.

    Key functions and significance of Supreme Audit Institutions (SAIs)

    • Independent audits: SAIs conduct independent audits of government finances and operations to ensure that public funds are being used in accordance with the law, and that government agencies are operating effectively and efficiently.
    • Promoting transparency and accountability: SAIs promotes transparency and accountability by making audit reports publicly available, and by providing information to the public about government spending and operations.
    • Improving governance: By identifying weaknesses and inefficiencies in government operations, SAIs can help to improve governance and promote more effective use of public resources.
    • Supporting the legislative branch: SAIs supports the legislative branch by providing information and analysis that can help lawmakers make informed decisions about government programs and policies.
    • Ensuring compliance with laws and regulations: SAIs ensure compliance with laws and regulations by reviewing government operations and financial statements to ensure that they comply with applicable laws and regulations.
    • Fostering international cooperation: Through international organizations such as the International Organization of Supreme Audit Institutions (INTOSAI), SAIs collaborates and share best practices with their counterparts in other countries to promote good governance and accountability globally.

    Facts for prelims

    What is Compendium of Asset Accounts of Natural Resources?

    • The Compendium of Asset Accounts of Natural Resources is a comprehensive report prepared by the Comptroller and Auditor General of India (CAG) in line with the United Nations system of Environmental and Economic Accounts.
    • It is the first-ever country-wide compendium of natural resource accounting methodologies and provides a guide for the Indian government to utilize natural resources optimally.
    • The report covers various aspects of natural resources such as forests, minerals, water, and land, and includes accounts of physical quantities, values, and transactions related to these resources.
    • The main objective of the compendium is to improve the management of natural resources and promote sustainable development.

    SAI20

    How CAG can lead the SAI20 engagement group?

    • Setting the agenda: The CAG can set the agenda for SAI20 deliberations, identifying priority areas for discussion and ensuring that they align with the broader goals of the G20 and the United Nations.
    • Providing technical expertise: The CAG can provide technical expertise in auditing and public finance management, which can help other SAIs in the group to develop their capacity and improve their performance.
    • Developing audit toolkits: The CAG can take the lead in developing audit toolkits, which can help SAIs in the group to assess development in coastal stretches, track marine water quality, and promote sustainable development.
    • Building consensus: The CAG can work towards building consensus among SAIs in the group, promoting constructive dialogue and agreement on how to improve auditing of performance in specific areas of ocean-based activities.
    • Strengthening accountability: The CAG can use SAI20 to promote transparency, accountability, and good governance in ocean-based activities, which can help ensure that economic growth benefits are shared fairly across generations.

    Conclusion

    • The toolkits being prepared by SAI20 under the leadership of the CAG of India will be presented at the SAI20 Engagement Group meet, which will provide a unique opportunity for constructive dialogue and agreement to improve auditing of performance in specific areas of ocean-based activities. This collaborative effort would not only build capacity for auditors across SAI20 member countries but also help regional auditing communities by providing a common and replicable auditing tool.

    Mains Question

    Q. The Comptroller & Auditor General of India (CAG) will chair SAI20 (Supreme Audit Institutions) of G20 countries this year. In this light discuss the role of SAI 20 and How CAG can lead the engagement group for sustainable economic growth?

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     Also read:

    Blue Economy: India’s G20 Presidency Offers An Opportunity

     

  • Nikaalo Prelims Spotlight || Agriculture, Industrial Sector & Service Sector


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here


    4th May 2023

    Cropping Pattern in India

    Back to Basics: Cropping Pattern mean the proportion of area under different crops at a point of time, changes in this distribution overtime and factors determining these changes.

    Cropping pattern in India is determined mainly by rainfall, climate, temperature and soil type.

    Technology also plays a pivotal role in determining crop pattern. Example, the adoption of High Yield Varieties Seeds along with fertilisers in the mid 1960’s in the regions of Punjab, Haryana and Western Uttar Pradesh increased wheat production significantly.

    The multiplicity of cropping systems has been one of the main features of Indian agriculture. This may be attributed to following two major factors:

    1. Rainfed agriculture still accounts for over 92.8 million hectares or 65 percent of the cropped area. A large diversity of cropping systems exists under rainfed and dryland areas with an overriding practice of intercropping, due to greater risks involved in cultivating larger area under a particular crop.
    2. Due to prevailing socio-economic situations (such as; dependency of large population on agriculture, small land-holding size, very high population pressure on land resource etc.), improving household food security has been an issue of supreme importance to many million farmers of India, who constitute 56.15 million marginal (<1.0 hectare), 17.92 million small (1.0-2.0 hectare) and 13.25 million semi-medium (2.0-4.0 hectare) farm holdings, making together 90 percent of 97.15 million operational holdings.
    3. An important consequence of this has been that crop production in India remained to be considered, by and large, a subsistence rather than commercial activity.

    What are the types of cropping System?

    Different types of cropping systems are adopted on farms depending on the resources and technology available. The different & basic types of cropping System is explained below:

    Mono-cropping: If only one crop is grown in the land season after season, it is referred to as Monocropping. Example: Wheat will be planted year after year in the same field. 

    Crop Rotation: In this method, the type of crops grown in the field is changed each season or each year. farmers also change from crops to fallow. Example: Maize will be planted in the first year and beans in the second year. This Crop rotation system is a key principle of agriculture conservation as it improves the soil structure and fertility. It also helps to control weeds, pests, and diseases.

    Sequential Cropping: This system involves growing two crops in the same field, one after the other in the same year. Example: Planting maize during long rains, then beans during the short rains. 

    Inter-cropping: Growing two or more crops in the same field at the same time is called Intercropping. Examples: Planting alternating rows of maize and beans, or growing a cover crop in between the rows. 

    Mixed Intercropping: In this method, seeds of two crops are distributed or dibbling the seeds without any row arrangement. This method is called mixed intercropping. This method is easy to sow but makes weeding, fertilization, and harvesting difficult. 

    Multiple-Cropping: In this cropping system, farmers grow two or more crops on farmland in one year with intensive input management practices. It includes inter-cropping, mixed-cropping, and sequence cropping.

    Row Intercropping: In this method, both the main crop and the intercrop in rows are planted. The row intercropping makes weeding and harvesting easier than with mixed intercropping.

    Stir Cropping: This type of cropping involves planting broad strips of several crops in the field. Each strip will be 3–9 m wide. On slopes, the strips are laid out along the contour to prevent erosion. The farmer can rotate crops by planting each strip with a different crop in the next year. Example: Alternating strips of maize, soybean, and finger millet are planted. 

    Relay Cropping: In this method, one crop is planted and another crop, usually a cover crop, is planted in the same field before harvesting the first. It avoids competition between the main crop and the intercrop. Relay cropping uses the field for a long time since the cover crop usually continues to grow after the main crop is harvested.

    In Indian agriculture, three types of Cropping System is used. They are:

    • Mono-Cropping

    • Inter-cropping

    • Multiple-Cropping

    Factors Determining Cropping Pattern in India

    Cropping Pattern in India

    30 most important cropping patterns in India

    Specific Issues Related to the Cropping Pattern

    Crop Pattern Region/State Issues Related to Crop Pattern
    Rice-Wheat UP, Punjab, Haryana, Bihar, West Bengal, Madhya Pradesh. Over the years there is stagnation in the production and productivity loses.

    The main reasons for stagnation are:

    Over Mining of Nutrients from the soil.

    Declining Ground Water Table.

    Increase Pest Attacks and Diseases.

    Shortages of Labour.

    Inappropriate use of Fertilizers.

    Rice-Rice Irrigated and Humid coastal system of Orrisa, Tamil Nadu, Andhra Pradesh, Karnataka and Kerala. The major issues in sustaining the productivity of rice-rice system are:

    Deterioration in soil physical conditions.

    Micronutrient deficiency.

    Poor efficiency of nitrogen use. Imbalance in use of nutrients. Non-availability of appropriate trans planter to mitigate labour shortage during the critical period of transplanting.

    Rice- Groundnut Tamil Nadu, Andhra Pradesh, Karnataka, Orrisa and Maharashtra. The major issues in the pattern are:

    Excessive Rainfall and Water Logging.

    Non-availability of quality seeds.

    Limited expansion of Rabi Groundnut in Rice grown areas.

    Rice-Pulses Chhattisgarh, Orrisa and Bihar. Factors limiting Productivity are:

    Droughts and Erratic Rainfall distribution.

    Lack of Irrigation.

    Low coverage under HYV Seeds.

    Weed Attacks.

    Little attention to pest attacks and diseases.

    Marginalisation of land and Removal of Tribal from their own land.

    Maize-Wheat UP, Rajasthan, MP and Bihar The Reason for Poor Yields are:

    Sowing Timing.

    Poor Weed Management.

    Poor Plant Varieties.

    Poor use of organic and inorganic fertilizers.

    Large area under Rain Fed Agriculture.

    Sugarcane-Wheat UP, Punjab and Haryana accounts for 68% of the area under sugarcane.

    The other states which cover the crops are; Karnataka and MP.

    Problems in Sugarcane-Wheat system are:

    Late Planting.

    Imbalance and inadequate use of nutrients.

    Poor nitrogen use efficiency in sugarcane.

    Build-up of Trianthema partu lacastrum and Cyprus rotundus in sugarcane.

    The stubble of sugarcane pose tillage problem for succeeding crops and need to be managed properly.

    Cotton-Wheat Punjab, Haryana, West UP, Andhra Pradesh, Karnataka, Tamil Nadu. Problems in Cotton-Wheat system are:

    Delay Planting.

    Stubbles of cotton create the problem of tillage operations and poor tilth for wheat.

    Cotton Pest like Boll Worm and White Fly.

    Poor nitrogen use efficiency in cotton.

    Soya bean-Wheat Maharashtra, MP and Rajasthan Constraints limiting the soybean production and productivity are:

    A relatively recent introduction of soybean as a crop.

    Limited genetic diversity.

    Short growing period available in Indian latitudes.

    Hindered agronomy/availability of inputs at the farm level.

    Rainfed nature of crop and water scarcity at critical stage of plant growth.

    Insect pests and diseases, Quality improvement problems.

    Inadequate mechanization and partial adoption of technology by farmers have been identified.

    Legume Based Cropping Systems (Pulses-Oilseeds) MP, Gujarat, Maharashtra, Andhra Pradesh and Karnataka. The major issues in Legume based system are:

    Lack of technological advancement.

    Loses due to erratic weather and waterlogging.

    Diseases and Pests.

    Low harvest index, flower drop, indeterminate growth habit and very poor response to fertilizers and water in most of the grain legumes.

    Nutrient needs of the system have to be worked out considering N-fixation capacity of legume crops.

    Horticulture Crops in India

    India has made a good place for itself on the Horticulture Map of the World with a total annual production of horticultural crops touching over 1490 million tones during 1999-00.

    The horticultural crops cover about 9 percent of the total area contributing about 24.5 percent of the gross agricultural output in the country. However, the productivity of fruits and vegetables grown in the country is low as compared to developed countries.

    Vegetable Crops

    Vegetable crops in India are grown from the sea level to the snowline. The entire country can broadly be divided into six vegetable growing zones:

    Low productivity is the main feature of vegetable cultivation in India as farm yields of most of the vegetables in India are much lower than the average yield of the world and developed countries.

    The productivity gap is more conspicuous in tomato, cabbage, onion, chilli and peas. The preponderance of hybrid varieties and protected cultivation are mainly responsible for high productivity in the developed countries.

    Constraints in vegetable production:

    1. Lack of planning in Production

    2. Non-availability of seeds of improved varieties.

    3. High cost of basic production elements

    4. Inadequate plant protection measures and non-availability of resistant varieties.

    5. Weak marketing facilities

    6. Transportation limits

    7. Post-harvest losses

    8. Abiotic stresses.

     


  • Govt. to release Manual for Organ Donation & Transplantation

    organ

    Central Idea: The National Organ and Tissue Transplant Organisation (NOTTO) is working on a transplant manual as a step-by-step guide for the implementation of organ donation and transplantation programmes in hospitals and a standard course for training transplant coordinators.

    Organ transplant in India: Key statistics

    • According to data accessed from the Health Ministry, the number of organ transplants has increased by over three times from 4,990 in 2013 to 15,561 in 2022.
    • Of the 15,561 transplants, a majority — 12,791 (82%) — are from live donors and 2,765 (18%) are from cadavers (the dead).
    • Up to 11,423 of the 15,561 organ transplants are for the kidney, followed by liver (766), heart (250), lung (138), pancreas (24) and small bowel transplants (3).
    • Most of these transplants occur in private hospitals, the numbers in government hospitals are relatively lower.

    About National Organ Transplant Programme (NOTP)

    • In 2019, the GoI implemented the NOTP for promoting deceased organ donation.
    • Organ donation in India is regulated by the Transplantation of Human Organs and Tissues Act, 1994.

    Types of Organ Donations

    • The law allows both deceased and living donors to donate their organs.
    • It also identifies brain death as a form of death.
    • Living donors must be over 18 years of age and are limited to donating only to their immediate blood relatives or, in some special cases, out of affection and attachment towards the recipient.

    (1) Deceased donors:

    • They may donate six life-saving organs: kidneys, liver, heart, lungs, pancreas, and intestine.
    • Uterus transplant is also performed, but it is not regarded as a life-saving organ.
    • Organs and tissues from a person declared legally dead can be donated after consent from the family has been obtained.
    • Brainstem death is also recognized as a form of death in India, as in many other countries.
    • After a natural cardiac death, organs that can be donated are cornea, bone, skin, and blood vessels, whereas after brainstem death about 37 different organs and tissues can be donated, including the above six life-saving organs

    (2) Living donors:

    They are permitted to donate the following:

    • one of their kidneys
    • portion of pancreas
    • part of the liver

    Features of the NOTP

    • Under the NOTP a National Level Tissue Bank (Biomaterial Centre) for storing tissues has been established at National Organ and Tissue Transplant Organization (NOTTO), New Delhi.
    • Further, under the NOTP, a provision has also been made for providing financial support to the States for setting up of Bio-material centre.
    • As of now a Regional Bio-material centre has been established at Regional Organ and Tissue Transplant Organization (ROTTO), Chennai, Tamil Nadu.

    More moves for facilitation:  Green Corridors

    • Studies have suggested that the chances of transplantation being successful are enhanced by reducing the time delay between harvest and transplant of the organ.
    • Therefore, the transportation of the organ is a critical factor. For this purpose, “green corridors” have been created in many parts of India.
    • A “green corridor” refers to a route that is cleared out for an ambulance carrying the harvested organs to ensure its delivery at the destination in the shortest time possible.

    Recent amendments

    (1) No Age Bar

    • Now an individual of any age can register for organ transplant.
    • People beyond 65 years in need of an organ donation will also be eligible to get one.
    • The government has decided to do away with a clause in the National Organ and Tissue Transplant Organisation (NOTTO) guidelines as the clause violates the Right to Life.

    (2) Doing away with domicile compulsion

    • Earlier an organ recipient could register for a prospective transplant in domicile State.
    • States like Gujarat had made it mandatory for registered patients to furnish a domicile certificate to be eligible for a transplant.
    • In November last year, the Gujarat High Court quashed the discriminatory policy of the State government.

    About NOTTO

    National Organ and Tissue Transplant Organization (NOTTO) is a national level organization set up under the Directorate General of Health Services, Ministry of Health and Family Welfare.

    1. National Human Organ and Tissue Removal and Storage Network
    2. National Biomaterial Centre (National Tissue Bank)

    [I] National Human Organ and Tissue Removal and Storage Network

    • This has been mandated as per the Transplantation of Human Organs (Amendment) Act 2011.
    • The network will be established initially for Delhi and gradually expanded to include other States and Regions of the country.
    • Thus, this division of the NOTTO is the nodal networking agency for Delhi and shall network for Procurement Allocation and Distribution of Organs and Tissues in Delhi.
    • It functions as apex centre for All India activities of coordination and networking for procurement and distribution of Organs and Tissues and registry of Organs and Tissues Donation and Transplantation in the country.

    [II] National Biomaterial Centre (National Tissue Bank)

    • The Transplantation of Human Organs (Amendment) Act 2011 has included the component of tissue donation and registration of tissue Banks.
    • It becomes imperative under the changed circumstances to establish National level Tissue Bank to fulfill the demands of tissue transplantation including activities for procurement, storage and fulfil distribution of biomaterials.
    • The main thrust & objective of establishing the centre is to fill up the gap between ‘Demand’ and ‘Supply’ as well as ‘Quality Assurance’ in the availability of various tissues.

    The centre will take care of the following Tissue allografts:

    1. Bone and bone products
    2. Skin graft
    3. Cornea
    4. Heart valves and vessels

    Various issues involved

    • Lack of awareness: Lack of awareness leads to myths and misconceptions about organ donation, which further discourages people from donating organs.
    • Religious and cultural beliefs: Some religious and cultural beliefs view organ donation as a desecration of the body, which hinders organ donation.
    • Lack of infrastructure: India faces a shortage of medical infrastructure and facilities for organ donation.
    • Legal and regulatory challenges: India’s organ donation system is heavily regulated by the Transplantation of Human Organs and Tissues Act, 1994.
    • Socioeconomic factors: Poverty and lack of education can lead to reduced access to information and medical services, making it difficult for people to donate organs.
    • Organized crime: Organized criminal networks involved in organ trafficking and commercialization also create challenges for organ donation in India.
    • Stigma and Discrimination: Stigma against organ recipients, particularly those who receive transplants from other communities or castes, is also a challenge in promoting organ donation in India.

    Way forward

    • Developing a National Organ and Tissue Donation Registry: The registry could maintain a database of donors and recipients, along with their medical history and compatibility information.
    • Setting up Mobile Organ Donation Units: These units could be equipped with medical personnel and equipment to conduct donation procedures in remote areas.
    • Crowdfunding for Organ Transplant Surgeries: This could be used as a means to raise funds for organ transplant surgeries, especially for underprivileged individuals who cannot afford the cost of treatment.
    • Promoting Living Donor Transplants: Living donor transplants can help increase the number of organs available for transplantation.
    • Incentivizing for Organ Donation: Incentives could be introduced to encourage more people to donate organs. This could include tax breaks, priority access to medical treatment, and other benefits.
    • Leveraging Technology: Technology could be used to develop better donor and recipient matching algorithms, create virtual waiting lists, and streamline the donation and transplantation process.
    • International Collaboration: India could collaborate with other countries to share best practices, leverage technology, and develop new approaches to organ donation and transplantation.

     

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  • EU’s Artificial Intelligence (AI) Act

    eu ai

    Central idea: The European Parliament has recently reached a preliminary deal on a new draft of the European Union’s Artificial Intelligence Act, after two years of drafting and negotiations.

    Regulating AI

    • The need for regulation of AI technologies has been highlighted worldwide.
    • EU lawmakers have urged world leaders to hold a summit to brainstorm ways to control the development of advanced AI systems.

    EU’s Artificial Intelligence Act

    • The aim of the AI Act is to bring transparency, trust, and accountability to AI technologies and to mitigate risks to the safety, health, fundamental rights, and democratic values of the EU.
    • The legislation seeks to address ethical questions and implementation challenges in various sectors, from healthcare and education to finance and energy.
    • It seeks to strike a balance between promoting the uptake of AI while mitigating or preventing harms associated with certain uses of the technology.
    • It aims to strengthen Europe’s position as a global hub of excellence in AI from the lab to the market and ensure that AI in Europe respects the 27-country bloc’s values and rules.
    • The Act delegates the process of standardization or creation of precise technical requirements for AI technologies to the EU’s expert standard-setting bodies in specific sectors.

    Details of the Act

    • Defining AI: AI is broadly defined as “software that is developed with one or more of the techniques that can, for a given set of human-defined objectives, generate outputs such as content, predictions, recommendations, or decisions influencing the environments they interact with.”
    • Four risk-category: The Act outlines four risk categories:
    1. Unacceptable: The use of technologies in the unacceptable risk category is prohibited with little exception, including real-time facial and biometric identification systems in public spaces, China-like systems of social scoring, subliminal techniques to distort behavior, and technologies that exploit vulnerabilities of certain populations.
    2. High: The focus is on AI in the high-risk category, prescribing pre-and post-market requirements for developers and users of such systems and establishing an EU-wide database of high-risk AI systems. The requirements for conformity assessments for high-risk AI systems must be met before they can make it to the market.
    3. Limited and minimal: AI systems in the limited and minimal risk category can be used with a few requirements like transparency obligations.

    Recent proposal on General Purpose AI

    • Recent updates to EU rules to regulate generative AI, including language model-based chatbots like OpenAI’s ChatGPT, are discussed.
    • Lawmakers are debating whether all forms of general-purpose AI will be designated high-risk.
    • Companies deploying generative AI tools are required to disclose any copyrighted material used to develop their systems.

    Reaction from the AI Industry

    • Some industry players have welcomed the legislation, while others have expressed concerns about the potential impact on innovation and competitiveness.
    • Companies are worried about transparency requirements, fearing that they may have to divulge trade secrets.
    • Lawmakers and consumer groups have criticized the legislation for not fully addressing the risks associated with AI systems.

    Global governance of AI

    • The US currently lacks comprehensive AI regulation and has taken a hands-off approach.
    • The Biden administration released a Blueprint for an AI Bill of Rights (AIBoR) that outlines the harms of AI and five principles for mitigating them.
    • China has come out with some of the world’s first nationally binding regulations targeting specific types of algorithms and AI.
    • China enacted a law to regulate recommendation algorithms, with a focus on how they disseminate information.
    • While India is still stuck with the Personal Data Protection Bill.

     

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  • India drops 11 places to rank 161 in World Press Freedom Index

    Central Idea: India’s ranking in the 2023 World Press Freedom Index has slipped to 161 out of 180 countries, according to the latest report released by global media watchdog Reporters Without Borders (RSF).

    What is Press Freedom Index?

    • The PFI is an annual ranking of countries compiled and published by Reporters without Borders since 2002.
    • It is based upon the organisation’s own assessment of the countries’ press freedom records in the previous year.
    • It defines press freedom as “the ability of journalists as individuals and collectives to select, produce, and disseminate news in the public interest independent of political, economic, legal, and social interference and in the absence of threats to their physical and mental safety.”
    • It intends to reflect the degree of freedom that journalists, news organisations, and netizens have in each country, and the efforts made by authorities to respect this freedom.
    • It does not measure the quality of journalism in the countries it assesses, nor does it look at human rights violations in general.

     Irony of the rankings

    • In 2022, India was ranked at 150.
    • Pakistan has fared better when it comes to media freedom as it was placed at 150, an improvement from last year’s 157th rank.
    • Afghanistan was ranked 152nd. This raises some questions about the methodology of the index.

    Global scenario

    • Sri Lanka also made significant improvement on the index, ranking 135th this year as against 146th in 2022
    • Norway, Ireland and Denmark occupied the top three positions in press freedom, while Vietnam, China and North Korea constituted the bottom three.

    Back2Basics: Freedom of Press and Constitutional Provisions

    • The Supreme Court in Romesh Thappar v. the State of Madras, 1950 observed that freedom of the press lay at the foundation of all democratic organisations.
    • It is guaranteed under the freedom of speech and expression under Article 19, which deals with ‘Protection of certain rights regarding freedom of speech, etc.
    • Freedom of the press is not expressly protected by the Indian legal system but it is impliedly protected under article 19(1) (a) of the constitution.
    • The freedom of the press is also not absolute.

    Reasonable restrictions

    • A law could impose only those restrictions on the exercise of this right, it faces certain restrictions under Article 19(2), which are as follows:
    1. Sovereignty and integrity of India
    2. Security of the State,
    3. Friendly relations with foreign States
    4. Public order, decency or morality
    5. Contempt of court
    6. Defamation
    7. Incitement to an offence

     

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  • Contributory Guaranteed Pension Scheme (CGPS): A Considerable Alternative

    Scheme

    Central Idea

    • The debate on pensions is heating up as several state governments announce their reversion to the old pension scheme (OPS). However, economists have frowned upon this move, citing two major reasons. Firstly, since the state has to bear the full burden of pensions, it may become fiscally unsustainable in the long run. Secondly, an unsustainable rise in pension allocation in the budget can come at the cost of other welfare expenditures allocated to the poor and marginalized sections.

    What is mean by pension?

    • A pension is a retirement plan that provides a stream of income to individuals after they retire from their job or profession. It can be funded by employers, government agencies, or unions and is designed to ensure a steady income during retirement.

    What is Old Pension Scheme (OPS)?

    • The OPS, also known as the Defined Benefit Pension System, is a pension plan provided by the government for its employees in India.
    • Under the OPS, retired government employees receive a fixed monthly pension based on their last drawn salary and years of service.
    • This pension is funded by the government and paid out of its current revenues, leading to increased pension liabilities.

    Scheme

    What is the National Pension System (NPS)?

    • The Union government under PM Vajpayee took a decision in 2003 to discontinue the old pension scheme and introduced the NPS.
    • The scheme is applicable to all new recruits joining the Central Government service (except armed forces) from April 1, 2004.
    • On the introduction of NPS, the Central Civil Services (Pension) Rules, 1972 was amended.

    What are two arguments against reverting to the old pension scheme?

    • Fiscal Unsustainability: Since the State has to bear the full burden of pensions, it will become fiscally unsustainable in the medium to long run.
    • Trade-Off with Welfare Expenditure: Such an unsustainable rise in pension allocation in the Budget can only come at the cost of other more pressing welfare expenditures allocated to the poor and marginalized sections.

    The commonality between the two arguments

    • Both arguments assume that the fiscal revenues are fixed, which is not necessarily the case if the government has its priorities right.
    • Both arguments assume that unsustainable rise in pension allocation in the Budget can only come at the cost of other more pressing welfare expenditures allocated to the poor and marginalized sections.

    Scheme

    Why Public sector workers are asking for a guaranteed pension in place of the NPS?

    • Fluctuating pension returns: The NPS is market-based, which means that the pension returns fluctuate according to the returns prevailing in the market. This creates uncertainty and makes it difficult for employees to plan for their post-retirement life.
    • Guaranteed pension: Public sector workers are looking for a guaranteed pension that will provide them with a fixed amount after retirement. This will ensure a stable and predictable post-retirement life for them.
    • Employee contribution: In the new contributory guaranteed pension scheme (CGPS), a large part of the pension will be funded by the employees themselves. This is in contrast to the old pension scheme (OPS) where no contribution was required from the employees.
    • Protection against market fluctuations: The CGPS provides protection to employees against market fluctuations. If the market return happens to be higher than the guaranteed pension, the State gets to pocket the difference. On balance, the additional burden on the CGPS may be marginal compared to the NPS.
    • Burden-sharing: The CGPS ensures that the burden of uncertainty does not fall on employees alone. In the OPS, elite workers gain at the cost of their brethren lower on the income ladder. However, in the CGPS, the burden is only the employer’s contribution part, exactly as in the NPS.

    Potential disadvantages of a CGPS

    • Higher contribution burden on employees: Under the CGPS, employees will continue to contribute a fixed percentage of their basic pay towards their pension. This may put a higher burden on them compared to the current system, where their contribution fluctuates based on market returns.
    • Additional administrative burden: Implementing a new pension scheme like CGPS may involve additional administrative burden and costs for the government, which could be challenging to manage efficiently.
    • Uncertainty of market returns: While the CGPS guarantees a fixed pension amount, it does not provide any certainty on the market returns. If the market returns are lower than expected, the government will have to bear the burden of paying the difference between the guaranteed pension and the actual pension.

    Facts for prelims: CGPS vs NPS

    Parameter Contributory Guaranteed Pension Scheme (CGPS) National Pension scheme (NPS)
    Type of Scheme Guaranteed Pension Scheme Market-linked Pension Scheme
    Contributions Made by both employee and employer Made by the employee only
    Pension Amount Guaranteed 50% of the last drawn salary, adjusted for inflation Market-linked, varies according to returns
    Risk Risk is shared by both employee and employer Risk is borne entirely by the employee
    Burden on exchequer Burden is only on the employer’s contribution part Burden is on the entire pension amount
    Upside State gets to pocket the excess if the market return is higher No upside for the State
    Fiscal sustainability Can be sustainable with proper rationalisation of taxes Unsustainable in the medium to long run

    Way ahead

    • The government could consider implementing the Contributory Guaranteed Pension Scheme (CGPS) as an alternative to the New Pension Scheme (NPS) for public sector workers.
    • The CGPS would allow the state to pocket any excess returns from the market, rather than bearing the entire burden of uncertain market returns as in the NPS.
    • The government should consider rationalizing taxes, such as implementing inheritance and wealth taxes, to increase its revenue and reduce its dependence on fixed fiscal revenues.
    • The government should set up a special task force to rationalize pensions and address the issue of pension sustainability in the long run.
    • A possible downside to the CGPS is that it may require a higher contribution from employees, which could affect their take-home pay during their working life. However, this could be addressed by offering tax breaks or other incentives to encourage employees to contribute to the scheme.

    Conclusion

    • The current debate on pensions in India has brought forth the need for a well-designed and sustainable pension scheme that can cater to the needs of public sector workers while being fiscally responsible. The CGPS presents a viable alternative to the OPS and the NPS providing public sector workers with a guaranteed pension after they retire while also being largely funded by the employees themselves. While there may be some challenges in implementing the CGPS, with proper planning and execution, the CGPS could serve as a model for sustainable and equitable pension schemes that can support the growing needs of an ageing workforce in India.

    Mains question

    Q. The debate on pensions is heating up as several state governments announce their reversion to the old pension scheme. Do you think Contributory Guaranteed Pension Scheme (CGPS) presents a viable alternative to the OPS and the NPS?

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    Also read:

    Reversal To Old Pension Scheme (OPS): Potential Impact

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