The Ministry of Cooperation unveiled White Revolution 2.0, focusing on empowering women farmers and creating job opportunities in the dairy cooperative sector.
What is White Revolution 2.0?
Details
Objective
Transforming India’s dairy sector by empowering women farmers, increasing milk production, and modernizing dairy infrastructure.
Target
Increase procurement from the current 660 lakh litres per day to 1,000 lakh litres per day.
Funding
• Initial funding of ₹40,000 per Multi-Purpose Primary Agricultural Credit Society (PACS) by National Dairy Development Board.
• Total outlay of ₹70,125 crore with full government budgetary support.
Provisions and Features
1. Women Empowerment: Focus on empowering women in the dairy sector and strengthening women’s cooperatives.
2. Increase in Milk Procurement: Aims to raise procurement by 50% over the next five years.
3. Cooperative Infrastructure: 100,000 new and existing cooperative societies (district cooperative societies and Primary Agricultural Credit Societies) to be set up or enhanced.
4. RuPay Kisan Credit Cards: Nationwide rollout for dairy farmers, with micro-ATMs at cooperative societies.
5. Computerisation of Primary Agricultural Credit Societies: 67,930 Primary Agricultural Credit Societies will be computerised for better management.
Significance
1. Women Empowerment: Creates leadership opportunities for women in dairy, promoting gender equality.
2. Boost to Rural Economy: Strengthening cooperatives and milk procurement will improve rural livelihoods.
3. Improved Infrastructure: Modern technology, micro-ATMs, and computerisation will increase efficiency.
4. Job Creation: Expanding cooperatives and modern practices will generate jobs for 130 million farmers.
5. Malnutrition Reduction: Enhances dairy quality to combat malnutrition.
6. Cooperative Modernisation: Focus on Artificial Intelligence and advanced technologies.
7. Dairy Exports Boost: Improved production and quality to enhance India’s dairy exports.
PYQ:
[2017] Explain various types of revolutions, took place in Agriculture after Independence in India. How these revolutions have helped in poverty alleviation and food security in India?
INCOIS unveiled an ‘Integrated Ocean Energy Atlas’ for India’s EEZ, highlighting vast marine energy potential from solar, wind, waves, tides, currents, and thermal resources.
About INCOIS:
The Indian National Centre for Ocean Information Services (INCOIS) is an autonomous body established in 1999 under the Ministry of Earth Sciences (MoES) in India.
Its primary mission is to provide ocean data, information, and advisory services to various stakeholders, including society, industry, government, and the scientific community through sustained ocean observations.
Key Features of the Integrated Ocean Energy Atlas
The Atlas encompasses marine meteorological energy sources like solar and wind, and hydrological energy forms such as waves, tides, currents, ocean thermal, and salinity gradients within India’s EEZ.
It identifies areas with high potential for energy generation and will serve as a reference for policymakers, industry and researchers for harnessing these rich energy resources.
INCOIS prepared the annual, monthly, and daily energy estimates of ocean energy components that can be visualised through a WebGIS interface at 5 km grid resolution.
Significant potential of the Indian Exclusive Economic Zone (EEZ)
INCOIS has estimated integrated ocean energy of approximately 9.2 lakh TWh per annum within the EEZ of India.
The vast coastline of over 7,000 km and the EEZ covering up to 220 km from the coast offers ample scope for generating energy from blue renewable sources like tidal waves, currents, solar and wind.
What India can learn from this Report? (Way forward)
The Atlas provides a blueprint for India to tap into its vast untapped ocean energy resources to meet its growing energy demands in a sustainable manner.
It offers estimated values of renewable energy that can be generated from individual or integrated blue renewable sources at potential sites along the coast
The detailed mapping of energy potential at a granular 5 km grid level can help industries plan and make informed decisions for developing offshore renewable energy projects.
Collaborating with industrial partners and public sector companies to harness energy at high-potential zones identified in the Atlas can accelerate the adoption of marine energy technologies.
The Atlas can serve as a model for other countries in the Indian Ocean region to assess their blue energy reserves and promote regional cooperation in harnessing ocean energy resources.
Mains PYQ:
Q Describe the benefits of deriving electric energy from sunlight in contrast to the conventional energy generation. What are the initiatives offered by our government for this purpose? (UPSC IAS/2020)
[2022] Economic growth in the recent past has been led by an increase in labour productivity.” Explain this statement. Suggest the growth pattern that will lead to the creation of more jobs without compromising labour productivity. [2014] While we flaunt India’s demographic dividend, we ignore the dropping rates of employability.” What are we missing while doing so? Where will the jobs that India desperately needs come from? Explain.
Prelims:
[2013] Economic growth in country X will necessarily have to occur if: (a) there is technical progress in the world economy (b) there is population growth in X (c) there is capital formation in X (d) the volume of trade grows in the world economy
Mentor’s Comment: India has become a global economic powerhouse, now ranking as the fifth-largest economy and holding the title of the fastest-growing major economy. A significant factor in this growth is its demographic advantage, with a median age of 28 and 63% of the population being of working age. However, the labour force participation rate in 2022 stood at 55.2%, according to the International Labour Organization (ILO). The report also notes that much of this growth is led by the services sector, which is less labour-intensive, underscoring the importance of fully leveraging the demographic dividend.
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Let’s learn!
Why in the News?
India is not fully capitalizing on its demographic dividend, former RBI governor Raghuram Rajan stated on April 16, highlighting the need to prioritize the development of human capital and the improvement of skill sets.
Factors behind Service-pushed Growth
Capital and Labour Ratios: The Economic Survey 2023-24 highlighted a declining capital-to-output ratio and an increasing capital-to-labour ratio.
Labour Abundance: Arvind Panagariya, Chairman of the 16th Finance Commission, noted that capital-led economic growth is not ideal for India, which has an abundance of labour.
MSMEs and Labour Laws: Micro, Small, and Medium Enterprises (MSMEs) are hesitant to scale up due to outdated labour laws and compliance burdens.
Labour Codes: The impasse over new labour codes, approved by Parliament but yet to be implemented, sends a negative signal to investors.
Employment in Labour-Intensive Sectors
Agriculture Employment: 45% of the workforce is employed in agriculture, which contributes only 18% of GDP, making it essential to boost manufacturing.
Unorganised Sector: The unorganised and non-agricultural sectors employ 19% of the workforce and need focused attention.
High-Growth Sectors: High-growth sectors such as toys, apparel, tourism, and logistics can provide labour-intensive employment opportunities.
Skilling for Growth: Upgrading skills in these sectors will help workers move up the value chain and access better-paying jobs.
The Importance of Skilling
Workforce Productivity: Skilling is vital for making the workforce productive, with only 4.4% of the workforce aged 15-29 being formally skilled, according to the Economic Survey.
Public-Private Partnerships: Public-private partnerships are crucial for creating a relevant curriculum and offering on-the-job training.
Lifelong Learning: Skilling should be a lifelong process with flexible learning systems, not just a one-time intervention.
New Education Policy (NEP) 2020: The NEP 2020 focuses on foundational and cognitive skills but needs regular review to stay updated.
Impact of AI and Machine Learning
Job Threats and Opportunities: AI and machine learning (ML) pose a threat to low-skill, repetitive jobs but will still require human oversight.
Regulatory Framework: Creating appropriate regulations to govern AI/ML while leveraging its potential is key.
Market Growth: The AI/ML market is expected to grow nearly nine times by 2030, reaching $826.73 billion globally.
Talent Pool: India has the second-largest talent pool in AI/ML, but with a current demand-supply gap of 51%, it presents a significant opportunity for growth.
Way Forward
Sustaining Growth: Reforms are essential to sustain India’s growth trajectory and create new opportunities.
Policy Focus: Finance Minister Nirmala Sitharaman emphasized the need for improving productivity and making markets more efficient in her 2023 Budget speech.
State-Level Reforms: While the central government has improved the ease of doing business, state-level reforms are crucial as states are where most economic activities occur.
Collaboration: Both the Centre and States must collaborate to broaden and deepen reforms for sustained economic growth.
Conclusion:
India’s large, young, and aspirational population presents a unique opportunity. Managing this demographic advantage is more favorable than dealing with the challenges of an aging population.
The Government of India has scrapped the windfall tax on crude oil, which was previously set at ₹1,850 per tonne.
What is Windfall Tax?
Details
Definition
A higher tax levied on companies that earn unexpected and extraordinary profits due to external factors.
Purpose
To capture a portion of excess profits from industries benefiting from global price surges, such as oil.
Imposition in India
Imposed as a Special Additional Excise Duty (SAED) on crude oil production and exports of diesel, petrol, and aviation turbine fuel (ATF).
Dynamic Tax Rate
Revised every 15 days based on international oil prices in the preceding fortnight.
First Imposed
July 1, 2022, during the Russia-Ukraine conflict and post-COVID recovery.
Application
Applies to domestically produced crude oil and exports of diesel, petrol, and ATF.
Reasons for Imposing
Sharp rise in global oil prices due to external factors like the Russia-Ukraine war.
Capture supernormal profits of energy companies for public welfare.
Benefits
Generates revenue for public welfare schemes.
Ensures fair distribution of profits from market volatility.
Stabilizes fuel prices during inflation or supply chain disruptions.
India’s Crude Oil Trade:
India is the 3rd largest oil consumer globally, following the US and China.
The country relies on imports for 85% of its oil needs, with this dependence expected to increase due to declining domestic production.
Russia has become India’s top oil supplier, with imports surging to 1.53 million barrels per day (bpd) in January 2024.
Russia (1st) > Iraq (2nd) > Saudi Arabia (3rd)> UAE (4th) – Crude oil export to India
PYQ:
[2020] The term ‘West Texas Intermediate’, sometimes found in news, refers to a grade of:
(a) Crude oil
(b) Bullion
(c) Rare earth elements
(d) Uranium
[2017] Petroleum refineries are not necessarily located nearer to crude oil producing areas, particularly in many of the developing countries. Explain its implications. (250 words)
Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry
Objective
To strengthen India’s startup ecosystem by centralizing resources and facilitating collaboration
Target Audience
Startups, investors, mentors, service providers, and government bodies
Key Features
Networking and Collaboration: Connects startups, investors, and mentors, enabling interaction across sectors.
Centralized Access to Resources: Provides instant access to critical tools, knowledge, and resources for startups, enhancing decision-making and growth.
Personalized BHASKAR IDs: Each stakeholder (startup, investor, mentor) receives a unique ID for tailored interactions and services.
Enhanced Discoverability: Users can easily search and find relevant resources, collaborators, and opportunities using powerful search features.
Access to Funding Opportunities: Facilitates connections between startups and potential investors for funding.
Global Outreach: Supports cross-border collaborations and fosters India’s global presence in the innovation ecosystem.
Impact
Promotes innovation, entrepreneurship, and job creation
Enhances India’s status as a global leader in startups
Growth of the Startup Ecosystem
As of May 2023, India boasts over 99,000 officially recognized startups, making it the third-largest startup ecosystem globally. This growth reflects an increase from 84,012 startups in 2022 and a notable rise from just 452 in 2016.
The ecosystem has also produced 108 unicorns, startups valued at over $1 billion, collectively worth approximately $340.80 billion
PYQ:
[2015] “Success of ‘Make in India’ program depends on the success of ‘Skill India’ programme and radical labour reforms.” Discuss with logical arguments.
The Indian government’s Mines and Minerals Act of 2015, which mandated auctions and established the District Mineral Foundation (DMF), continues to ensure local communities benefit from natural resource-led development.
DMF after entering its 10th year has amassed almost ₹1 lakh crore, transforming mineral wealth into a development lifeline for these regions.
How did the District Mineral Foundation (DMF) work in India?
The DMF mandates mining licensees and leaseholders to contribute a portion of their royalty payments to the DMF. The ‘National DMF Portal’ has been introduced to enhance transparency and efficiency.
It aims to promote sustainable development and welfare for mining-affected communities.
A District Collector leads the DMF, ensuring that funds are allocated to areas with the greatest need.
Funds are used for decentralized, community-centric development projects in mining districts.
As of 2024, around 3 lakh projects have been sanctioned across 645 districts in 23 states. These initiatives focus on improving socio-economic and human development indicators.
About Pradhan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY):
Objective: Launched under the DMF, PMKKKY focuses on implementing developmental and welfare projects in mining-affected regions.
It aims to minimise the negative impacts of mining on local communities and ensure sustainable livelihoods.
Complementary Approach: PMKKKY works alongside existing state and central government schemes, reinforcing district development goals.
PMKKKY projects cover healthcare, education, skill development, sanitation, water supply, and sustainable livelihoods.
It has also empowered women through self-help groups and supported youth skill development initiatives like drone technology training.
Significance and Scope of DMF in India:
Community Welfare: DMFs provide direct financial resources for the welfare of communities affected by mining activities, transforming mineral wealth into tangible social benefits.
Inclusive Development: DMFs empower local communities, with focus on social inclusivity by involving elected representatives and non-elected gram sabha members in governance structures.
Cooperative Federalism: DMFs are a model of cooperative federalism, converging national, state, and local governance to address mining impacts and foster regional development.
Innovation and Planning: Various DMFs innovate to maximise project impact, adopting three-year plans for goal-oriented development, establishing dedicated engineering departments, and employing Public Works Department personnel for efficient project execution.
Sustainability: DMFs aim to align with the Sustainable Development Goals (SDGs), focusing on forest dwellers’ livelihoods, sports infrastructure, and health. They contribute to long-term environmental and socio-economic sustainability.
Way Forward:
Standardisation and Best Practices: Establish uniform guidelines to standardise successful practices across DMFs while retaining local knowledge, ensuring efficient implementation of long-term, goal-oriented projects.
Enhanced Integration with National Schemes: Strengthen the integration of DMF activities with ongoing central and state schemes, particularly in aspirational districts, to amplify the socio-economic and environmental benefits in mining-affected regions.
India has increased the basic import tax on crudeand refined edible oils by 20% to protect domestic farmers suffering from low oilseed prices.
The move could push up edible oil prices, reduce demand, and potentially lower imports of palm oil, soyoil, and sunflower oil.
Edible Oil Scenario in India
India imports more than 70% of its vegetable oil demand, mainly sourcing:
Palm oil from Indonesia, Malaysia, and Thailand, and
Soyoil and sunflower oil from Argentina, Brazil, Russia, and Ukraine.
Palm oil constitutes over 50% of India’s edible oil imports.
NITI Aayog Report on Edible Oil Self-sufficiency: Key Highlights
NITI Aayog, along with the Ministry of Agriculture and other stakeholders, released a report titled “Pathways and Strategies for Accelerating Growth in Edible Oils Towards the Goal of Atmanirbharta.”
Details
Consumption Details
India consumes 19.7 kg/year per capita edible oil, with 16.5 million tonnes of imports in 2022-23; only 40-45% of demand met through domestic production.
Projections
Domestic production could reach 16 MT by 2030
26.7 MT by 2047 under Business-As-Usual (BAU) scenario
Strategic Interventions
Crop Retention and Diversification
Horizontal Expansion (increase cultivation area)
Vertical Expansion (improve yield through technology)
Self-sufficiency Targets
Edible oil production of 36.2 MT by 2030
70.2 MT by 2047
Key Recommendations
Focus on seed quality, modern processing infrastructure, and public-private partnerships for growth
PYQ:
[2018] Consider the following statements
1. The quantity of imported edible oils is more than the domestic production of edible oils in the last five years.
2. The Government does not impose any customs duty on all imported edible oils a special case.
Which of the statements given above is/are correct?
The recent collapse of under-construction bridges in Bihar highlights ongoing quality control challengesin India’s infrastructure sector, despite efforts like PM Gati Shakti and increased capital expenditure in 2024.
Issues of Quality Control and Project Implementation in Infrastructure in India
Quality Control Deficiencies: There are significant gaps in the quality control mechanisms for infrastructure projects. Many projects lack a robust system for monitoring and ensuring quality at every stage, from planning to execution. The absence of comprehensive quality assurance frameworks as evidenced by recent bridge collapses in Bihar.
Need for Modern Project Management Practices: Traditional project management practices are often outdated and ineffective in addressing the complexities of modern infrastructure projects.
Internal Challenges in India’s Infrastructure Sector:
Project Delays and Cost Overruns: Infrastructure projects frequently experience delays and cost overruns, with a report indicating that 431 projects faced a total cost overrun of ₹4.82 lakh crore.
Lack of Comprehensive Planning: Many infrastructure projects, especially in urban areas, suffer from poor planning and project management, with urban local bodies and local self-governments lacking the necessary capacity and expertise.
Multiple Clearances and Bureaucratic Delays: Industrial and commercial activities often require numerous clearances, leading to delays in project conception and commissioning.
Funding and Resource Misallocation: Delayed and poorly managed projects crowd out funding for other essential projects, burdening the government with extra expenditures and increasing procurement costs.
Need to Integrate Modern Tools and Techniques: (Way forward)
Real-time Data Management: Traditional project management methods need an overhaul to incorporate modern tools like real-time data collection and analysis, which can help track progress and make timely interventions.
Global Best Practices in Project Management: The government must adopt international best practices, like the UK’s Infrastructure and Projects Authority model, which emphasizes efficient project delivery.
Program Management Approach: A holistic approach to managing multiple projects systematically, integrating resources, time, and information efficiently, as seen in successful projects like the Shendra-Bidkin industrial corridor.
GIS-Based Platforms: Initiatives like PM Gati Shakti demonstrate the integration of GIS-based platforms for real-time monitoring, enabling better coordination among various stakeholders to meet deadlines and enhance project quality.
The rise in jobless growth, driven by automation and AI, has led to growing inequality, prompting discussions on implementing Universal Basic Income (UBI) in many countries.
What does the ILO say on Inflation and unemployment in India?
The ILO reports that 83% of the unemployed population in India are youth, due to the rapidly changing economy influenced by automation and AI.
This trend has exacerbated income inequality, with a 1.6% drop in global labour income share between 2004 and 2024, significantly affecting developing nations like India.
The report indicates that persistent inflation and geopolitical tensions have led to aggressive monetary policies, which could further strain the labor market.
The ILO anticipates a slight increase in global unemployment in 2024, reflecting ongoing structural issues in labor markets.
What will be its implications on Indian growth and development?
Social Implications: Falling living standards and weak productivity due to automation could lead to greater inequality, undermining social justice efforts in India.
The ILO suggests that increasing unemployment and inflation could result in social unrest and political instability without effective social safety nets.
Political Implications: It makes it difficult for the decision making and governance due to the drop in global labour income, prompting India to increase budget allocations for welfare programs.
Economic Implications: The emphasis on generating employment in labor-intensive sectors is crucial. The government policies should prioritize job creation to counteract the effects of automation and ensure that growth benefits a broader segment of the population.
What are the safety nets for India?
Cash Transfer Schemes: Programs targeting farmers and women, as well as cash transfers for unemployed youth, represent existing safety nets that provide some level of income support.
Employment Guarantee Schemes: Initiatives like the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) aim to provide employment and income security to rural households, although funding and implementation have faced challenges.
Universal Basic Social Safety Nets: Experts suggest that rather than a full UBI, India should focus on enhancing existing social safety nets to ensure they are more universal and effective in addressing the needs of the unemployed and underemployed populations.
India will be the exclusive partner for European Hydrogen Week in November 2024.
About European Hydrogen Week
European Hydrogen Week is an annual event organized by the European Commission, Hydrogen Europe, and others.
It serves as a platform to discuss the future of hydrogen technologies, policy developments, and their role in decarbonizing Europe’s economy.
It features conferences, exhibitions, and networking opportunities.
It focuses on the development, deployment, and scaling of green hydrogen as part of the European Green Deal and the EU’s climate-neutrality targets for 2050.
Significance of India’s Partnership
Strengthening Green Energy Goals: Aligns India with global initiatives in decarbonizing industries and energy systems, advancing its commitment to the Paris Agreement and Net Zero 2070 target.
Access to Advanced Hydrogen Technologies: Provides India with cutting-edge hydrogen technologies from Europe, enhancing production, storage, and transportation capabilities for Green Hydrogen.
Boosting Technological Innovation: Facilitates collaborative research and development, allowing India to create cost-effective hydrogen solutions and drive domestic innovation in clean energy.
Building Global Leadership: Establishes India as a global leader in the Green Hydrogen sector, reinforcing its commitment to climate change mitigation and sustainable development.
PYQ:
[2019] In the context of proposals to the use of hydrogen-enriched CNG (H-CNG) as fuel for buses in public transport, consider the following statements:
1. The main advantage of the use of H-CNG is the elimination of carbon monoxide emissions
2. H-CNG as fuel reduces carbon dioxide and hydrocarbon emissions.
3. Hydrogen up to one-fifth by volume can be blended with CNG as fuel for buses.
4. H-CNG makes the fuel less expensive than CNG.
Which of the statements given above is/are correct?
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