TA R G E T
2018
WEEKLY IMPORTANT ARTICLES
CURRENT AFFAIRS ( Nov 2017) WEEK 1
ForumIAS ∗ ∗ ∗ ∗ ∗ ∗ ∗ ∗
Speed up trial of politicians, says SC Saubhagya Scheme Quadrilateral meet Bitcoins in India: An Overview Climate change takes a toll on global health The Nagaland tribe Scientists mine ‘star scar’ in France Boiler explosion at NTPC’s
Weekly Important Articles Compilation
30thOctober- 6th November
Index Title
Sr. No
Page No
Polity, Constitution and governance 1
Speed up trial of politicians, says SC
3
2
Law panel moots life term for torture
4
3
Supreme Court ruling on road crash victims
5
4
Tussle between Delhi government and LG
6
5
Appointment of judges
7
6
SC criminalizes sexual intercourse with a girl between 15 and 18 years
9
7
Progress report on SDGs of 2030 agenda
10
8
11
9
HCs to setup special centers for examination of vulnerable witnesses in criminal cases Article 35A, not part of the Indian Constitution
12
10
Law to penalize owners who abandon their cattle
13
11
Five-judge statue Bench to decide on Aadhar validity
14
12
Autonomy for Tribunals recommends the Law Commission
15
SOCIAL ISSUES 13
No green signal for ready-to-use therapeutic food (RUTF) in India
17
14
India’s dismal performance on Global Gender Gap Index
18
15
Adoption safeguards
20
16
National Family Health Survey (NFHS 4)
21
17
Saubhagya Scheme
22
18
Shipment begun from Afghanistan to India
24
19
The visit of Italian PM Gentiloni
26
20
Concerns over increased militarization in IOR
27
21
India and Italy to fight terror together
29
22
Quadrilateral meet
30
23
India – Bhutan united security concerns
30
24
The rise of Xi Jinpings
31
25
Public Distribution System in India: An overview
31
26
Bitcoins in India: An Overview
34
27
Contract farming and food processing sector in India
38
INTERNATIONAL RELATIONS
ECONOMY, AGRICULTURE AND INFRASTRUCTURE
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30thOctober- 6th November
28
Expanding exports of agri – exports
43
29
India climbs up the ladder at Doing Business Report
46
30
Govt. plans to sell Air India and AI Express
49
31
Commercial papers to raise funds
51
32
Indian banks receive boost of Rs. 2.11 lakh crore
52
33
India contemplates national e-commerce policy
53
34
34 power projects among loan defaulters
54
35
Farmers protest against land acquisition
55
ENVIRONMENT,POLLUTION AND CONSERVATION 36
Mass bathing in Ganga contributing to Anti-microbial resistance (AMR)
57
37
Blackbuck conservation reserve to come up in U.P
58
38
Climate change takes a toll on global health
59
SECURITY AND DEFENSE 39
The Nagaland tribe
61
40
DRDO successfully tests guided bomb
62
41
India’s homegrown Nirbhay cruise missile up for fifth trial
62
SCIENCE AND TECH 42
Re-absorbable stents are in no way superior to the drug-eluting stents
64
43
IIT Guwahati uses superhydrophobic cotton to remove oil – spill
66
44
Experimental vaccine to protect against HIV
68
45
Fewer TB deaths in India and rise in the budget
70
46
Scientists mine ‘star scar’ in France
73
Disaster Management 47
Boiler explosion at NTPC’s
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74
Weekly Important Articles Compilation
30thOctober- 6th November
Polity, Constitution and governance Speed up trial of politicians, says SC Context: •
A Supreme Court bench directed the Centre to frame a scheme for setting up special courtsexclusively to deal with criminal cases involving political persons.
Why this scheme has been directed by SC? The effort has been initiated to cleanse politics of criminality and corruption. It takes years, probably decades, to complete the trial against a politician. There are still 1,581 criminal cases pending against Members of Parliament and State Legislative Assemblies at the time of the 2014 elections. What are special courts and tribunals? • • •
•
Several specialized Courts and Tribunals are established in India to reduce the burden of pending cases.
Examples of special courts and tribunals: 1.
2. 3.
• • •
Debt Recovery Tribunal (DRT): In order to reduce the Non-Performing Assets of the Banks and Financial Institutions in the public and private sector, the Debt Recovery Tribunal (DRT) was established. It aims for expeditious adjudication and recovery of debts due to banks and financial institutions. Consumer Court: To protect the rights of the consumers of India and establish a mechanism for settlement of consumer disputes, a three-tier redressal forum containing District, State and National level consumer forums has been setup. Family Court: Family Courts were introduced through The Family Courts Act, 1984 to promote conciliation in and secure speedy settlement of disputes relating to marriage and family affairs. Labour Court: Labour Courts deal with all types of disputes between employers and employees under Labour laws in India. Motor Accident Claims Tribunal: The Motor Accidents Claims Tribunal deals with matters related to compensation of motor accidents victims or their next of kin.
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30thOctober- 6th November
Law panel moots life term for torture Context The Law Commission recommended that the government should ratify a United Nations convention to tide over difficulties in getting extradited criminals from foreign countries. • The steps have been taken due to the absence of a law preventing harsh treatment by authorities. The Law Commission has commended life in jail for public servants convicted of torture. What are the recommendations? •
The panel also mentioned that in case the government decided to ratify the UN convention on torture and other inhuman and degrading treatment or punishment, a Bill should be introduced in Parliament to amend various laws to prevent torture by government officials. • The draft Prevention of Torture Bill, 2017 proposes a stringent punishment to perpetrators to curb the menace of torture and to have a limited effect on acts of torture. • The punishment could extend up to life imprisonment and include a fine. • The report submitted to the Law Ministry requires amendments to accommodate provisions regarding compensation and burden of proof. • It recommended an amendment to Section 357B to incorporate payment of compensation, in addition to the payment of fine provided in the Indian Penal Code. The Prevention of Torture Bill •
The Prevention of Torture Bill introduced by the Minister for Home Affairs makes torture a punishable offence. • The Statement of Objects and Reasons of the Bill states that the Bill is being introduced to ratify the UN Convention against Torture of 1975. • India is a signatory of the Convention but has not enacted a law on torture which would enable it to ratify the Convention. The Bill defines torture and prescribes conditions under which torture is punishable. Highlights of the Bill •
The Prevention of Torture Bill, 2010 seeks to provide for punishment for torture committed by government officials. • The Bill defines torture as “grievous hurt”, or danger to life, limb and health. • Complaints against torture have to be made within six months. The sanction of the appropriate government is required before a court can entertain a complaint. What is extradition? •
• Extradition refers to the surrender of a criminal to one country by another. • The process of extradition is regulated by treaties between the two countries. Extradition laws in India •
In India, the Extradition Act, 1962, regulates the surrender of a person to another country or the request for arrest of a person in a foreign land.
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• •
• •
30thOctober- 6th November
According to the act, any conduct by a person in India or elsewhere mentioned in a list of extradition offences punishable with a minimum one year of imprisonment qualifies for an extradition request. The process of extradition is to be initiated by the central government. Currently, India has extradition treaties with 38 countries. If there is no treaty with the country from which the fugitive is to be extradited, then there aren’t any defined guidelines for the law to be applied and procedure to be followed. In such a scenario, a lot depends on the cooperation and coordination between different authorities of the two countries. Another option is to resort to a Mutual Legal Assistance Treaty wherein both countries agree to exchange information in order to enforce criminal laws. If the extradition request comes from two or more countries, then the government has the right to take the call to decide which country is fittest for the request. Since 2002, India has extradited 44 fugitive criminals to various countries. On the contrary, India has got 61 criminals extradited to itself from different countries since 2002. Supreme Court ruling on road crash victims
Context •
The Supreme Court has held that the ‘future prospects’ of a road crash victim must be taken into account while computing the amount of compensation due to him under the Motor Vehicles Act.
How was the compensation rewarded earlier? Compensation is awarded by the Motor Accidents Claims Tribunal based on the victim’s income, personal living expenses and other factors at the time of death. • The courts would only take the actual income drawn by the victim at the time of death What is the verdict? •
The Supreme Court modified the guidelines to include the possibility of future increases in the victim’s income as well as improvement in his living standards. • Irrespective of whether the victim is salaried, their future prospects must be considered while deciding the amount. • The Constitution Bench fixed guidelines for computing motor accident claims for self-employed and salaried persons. What are the new rules for a salaried victim? •
• • • •
If the road accident victim had a permanent job at the time of his or her death in a road accident 50% of his actual salary will be added towards future prospects if his age is below 40 years 30% if the age of the victim is between 40 to 50 years 15% if the age is in the 50-60 brackets
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30thOctober- 6th November
What are the new rules for a self-employed victim? Similarly, if the victim was self-employed or on a fixed salary 40% will be added to his established income if his or her age was below 40 years at the time of death • An addition of 25% if the victim was in the 40-50 age brackets • 10% if he or she was between 50 to 60 years. Interpreting Section 168 of the Act • •
• •
Interpreting Section 168 of the Act, it must be ensured that the compensation amount is ‘just’ and has been determined on the foundation of fairness, reasonableness and equitability. To follow the doctrine of actual income at the time of death and not to add any amount with regard to future prospects to the income for the purpose of determination of multiplicand would be unjust Tussle between Delhi government and LG
Context •
The five-judge Constitution Bench hearing a batch of nine appeals filed by the ArvindKejriwalled AamAadmi Party government for complete control of all the matters regarding National Capital Territory of Delhi belonging to Lieutenant Governor (LG) of Delhi observed that the LG cannot block proposals or schemes forwarded by the Council of Ministers to him.
What were the arguments? • •
•
As per the observation, LG is bound to pass the difference of opinions between the LG and the Delhi Council of Ministers to the President for early resolution. The Kejriwal government wants the Supreme Court to lay down the law on whether the LG can unilaterally administer the National Capital without being bound by the “aid and advice” of the elected government. The Delhi High Court had originally said that LG has special powers greater than the President, greater than other Governors of States.
What are constitutional provisions? • •
The 69th Amendment of the Constitution in 1992 gave the National Capital of Delhi special status with its own democratically elected government and legislative assembly. Sub-section (4) of Article 239AA mandates that a Council of Ministers shall aid and advice the LG in his functions regarding laws made by the Legislative Assembly.
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30thOctober- 6th November
What is the current controversy? The focus of the current controversy is a proviso to Article 239AA (4), which mandates that in case of a difference of opinion between the LG and the Council of Ministers, the former has to refer the issue to the President. • As the decision is pending before the President, the LG, if the matter is urgent, can use his discretion to take immediate action. • The Constitution Bench, led by Chief Justice DipakMisra, prima facie said that the Delhi government’s ability to “aid and advice” the LG is limited to subjects other than public order, police and land in the National Capital. • It said that the proviso to Article 239AA (4), on plain reading, seems to give primacy to the LG. • The LG is entitled to take a different view and is not bound by the aid and advice of the Delhi Cabinet. • The allegation is that the LG has misused the discretion in this proviso to block governance. What are the allegations? •
•
• •
•
In his day-long submissions before the Bench, Mr. Subramanium said situation of governance in Delhi has come to such a turn that department Ministers are unable to get an opinion from their secretaries and civil servants on issues of governance. Mr. Subramanium argued that the “extraordinary discretion” of the LG is confined to special circumstances and not in everything. Mr. Subramanium said the Delhi High Court was in error when it bought the Centre’s argument that Delhi was like any other Union Territory governed by parliamentary laws under Article 246 (4) and there was no need to give the Delhi government any elbow room. Mr. Subramanium evoked Article 73 of the Constitution to note that Article 246 (4) was subject to the provisions of Article 239AA. Appointment of judges
Context: • •
With rising commotion in the Indian judiciary system, there should be no further delay in finalizing the MoP for the appointment of judges in the higher judiciary. The MoP is on hold since 2015 owing to lack of consensus on several fronts between the judiciary and the government.
What is the three-judge case? • •
According to first judges case chief justice of India does not have primacy over executive in the matter of appointment of judges of Supreme Court and High Courts. Second judges case decision made the judiciary the ‘de facto’ appointing authority of themselves curtailing the power of council of ministers under Article 74(1).
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•
30thOctober- 6th November
In third judges case, nine judge Bench again confirmed that the opinion of the collegiums of judges have primacy in appointing and transfer of judges of higher judiciary. In light of this decision detailed Memorandum of Procedure was prepared, which took the form of present collegiums system.
What problems Indian judiciary is facing today? • • • • •
•
•
Lack of judges piles up a significant amount of cases which gets unnoticed for years. Lack of judges and inefficient management is the reason behind delay in justice delivery. Inadequate data on pending cases and lack of scientific maintenance of data makes it difficult to analyse problems and propose sustainable solutions for the judiciary. Judicial proceedings are prohibitively expensive which is a major drawback for the under privileged one. Judiciary lacks expertise in dealing with new age problems like Corp Tax, Cyber laws, International treaties, Climate change and its conservative attitude is exploited and corrupt go scot free. Corruption is also a major issue in judicial system as it is any other government department especially in lower courts increasing transparency and accountability corruption can be bought down. Absence of separate Commercial Courts to adjudicate on disputes of civil nature resulting in large number of pending civil suits related to various business and services related disputes in the high courts.
Way ahead: • • • •
The task of filling vacancies would be better served if a revised Memorandum of Procedure for appointments is agreed upon soon. A screening system, along with a permanent secretariat for the collegium, would be ideal for the task. The introduction of transparency should be backed by a continuous process of addressing perceived shortcomings. The present disclosure norm is a commendable beginning. Transparent appointment process, e-gov, judicial accountability and All India Judicial Service can be starting points in the much-needed reformation.
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30thOctober- 6th November
SC criminalizes sexual intercourse with a girl between 15 and 18 years Context: The recent Supreme Court verdict making sex with a girl between 15 and 18 years even within marriage a criminal offence may have set in motion a series of positive effects for the girl child. Introduction: • •
The apex court criminalized sexual intercourse by a husband with his wife who is under 18 years of age. The apex court said that it is removing the distinction between an unmarried and married child because “it is arbitrary, capricious, whimsical and violative of the rights of the girl child and not fair, just and reasonable and, therefore, violative of Article 14, 15 and 21 of the Constitution of India.”
Rationale behind decision: • • • •
The judgment removes the distinction between an unmarried and married child. Upholds right of equality, right to make choice and right of life of a married girl child. It will be a big deterrent for child marriage-Sexual and domestic servitude of child girl will be stopped. It will reduce burden on maternal and infant mortality as an early marriage generally leads early pregnancy.
Criticisms of judgment: •
• •
Judgment points to severe anomalies within the law which does not, in fact, ban child marriage outright but says that it voidable at the option of the contracting party who is a child at the time of marriage and void only in certain circumstances. Despite laws against child marriage, there are around 23 million child brides in the country. Child marriage continues to be valid under the Hindu Marriage Act, 1955 and Muslim Personal Law. This is a violation of human rights of children –both boys and girls with particularly negative consequences for the health, welfare and dignity of the girl child.
Suggestions to combat the menace: • • • • •
Extending educational infrastructure especially in rural areas. Education for girls at least up to secondary level should be provided Addressing the issue of gender biases with extensive awareness and gender sensitization programs. Empowering young people to criticize the existing social norms. Integration of existing child laws in India. Effective implementation of the Prohibition of Child Marriage Act (2006).
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• • •
30thOctober- 6th November
The question of sexual consent must lie with the individual woman. Parents, elders, political parties, priests or vigilante groups should not be permitted to force women, adult, or minor, into marriage or compulsory heterosexuality. Young adults should not be forced be forced into heterosexuality per se, if they are not sexually attracted to the opposite sex. Progress report on SDGs of 2030 agenda
Context: •
The United Nations High-level Political Forum on Sustainable Development (HLPF) recently held its meeting to discuss the progress made on the sustainable development goals (SDGs) of the 2030 Agenda.
What is Sustainable Development Goals (SDGs)? The Sustainable Development Goals (SDGs), officially known as “Transforming our world: the 2030 Agenda for Sustainable Development”, is a set of 17 “Global Goals” with 169 targets among them. • Governments have created new institutions, or have used existing institutions, to facilitate execution of the SDGs. India and Sustainable Development Goals: •
• • • •
The National Institution for Transforming India – NITI Aayog is the national body primarily responsible for implementing the SDGs in India. The task at hand for NITI Aayog primarily is: to periodically collect data on SDGs, to act productively on the goals and targets not only quantitatively but also maintaining high standards of quality.
Steps taken: •
• • •
Ministry of Statistics and Programme Implementation (MoSPI) has already undertaken a parallel exercise of interaction with the ministries to evolve indicators reflecting the SDG goals and targets. To achieve these tasks, the draft mapping of the goals and targets as an initial step on proposed Nodal and other Ministries has been carried out in consultation with MoSPI. Further, as an illustration, the Centrally Sponsored Schemes (CSSs),including the ‘core of the core’, ‘core’ and ‘optional’ Schemes being implemented by the States have been mapped. In addition, Ministries are implementing Central Sector Schemes and States are also implementing various State Schemes aligned with one or more SDGs.
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30thOctober- 6th November
What is High-level Political Forum on Sustainable Development? • •
The establishment of the United Nations High-level Political Forum on Sustainable Development (HLPF) was in 2012. It replaced the Commission on Sustainable Development.
High-level Political Forum on Sustainable Development aims to: • • • • • •
provide political leadership and recommendations for sustainable development, follow-up and review progress in implementing sustainable development commitments, enhance the integration of economic, social and environmental dimensions of sustainable development, have a focused, dynamic and action-oriented agenda, consider new and emerging sustainable development challenges, from 2016 take on the functions of the ECOSOC Annual Ministerial Reviews on the postMDG/Sustainable Development goals.
HCs to setup special centers for examination of vulnerable witnesses in criminal cases Context: In a landmark order the Supreme Court has directed the High Courts to set up special centers for examination of vulnerable witnesses in criminal cases. Supreme Court verdict: •
• •
Vulnerable witnesses in criminal cases, often minor survivors of rape or victims of sex abuse, should testify without fear or intimidation in a conducive environment, the Supreme Court has said. The bench directed that at least two such centers in the jurisdiction of each High Court may be set up within three months from the date of order. The two Judge Bench was considering a Criminal Appeal filed by State of Maharashtra against the Judgment and order of acquittal of an accused in a rape case. The victim was a 14yr old deaf, dumb and mentally challenged girl.
Vulnerable Witnesses: • •
The order upholds the right of vulnerable witnesses to be protected while testifying in court and is in consonance with international norms in these matters Victims often end up being ill-treated by the very system they had approached in the hope of justice.
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30thOctober- 6th November
• •
Delay and intimidating questions during trial in a hostile environment lead to fewer convictions. There should be special centres for examination of vulnerable witnesses in criminal cases in the interest of conducive environment in court so as to encourage a vulnerable victim to make a statement,” the Bench noted in its order.
•
The Supreme Court referred to the Delhi High Court’s initiative to set up vulnerable witnesses deposition centres and issuance of guidelines. The Bench observed that the directions of Delhi High Court and setting up of special centres for vulnerable witnesses are consistent with the decision of the Supreme Court in SakshiV.Union of India and Ors(2004).
•
Why there is need for separate complexes? • • •
The complex provides a separate entry for vulnerable witnesses, so that they do not come in direct with accused at any point of time. There are provisions for support persons, pre-trial court visit and facilities for pick and drop of the witnessss. The complex has been equipped with all facilities of audio-visual exchange for a free interface between the presiding judge, the witness and the accused without witness facing the accused. Article 35A, not part of the Indian Constitution
Context: •
Article 35A, is being contested in the Supreme Court through a number of petitions that it “is not part of the Indian Constitution”.
What is the argument? • • • • •
There is an argument projected that the President has no powers to amend the Constitution. But the fact of the matter is that Article 35A is not part of the Constitution of India. It’s a part of the Constitution only applicable to J&K which has a difference, so there is no requirement of Parliament amending it. Moreover, Parliament as such had no powers to add any article of the J&K Constitution except to Article 370. “Every Article has been made applicable to J&K through Article 370.” In Article 370, the President has been given powers to amend, alter or modify any article viz-aviz J&K, with exceptions and modifications”
What is Article 35A? •
Article 35A is a provision incorporated in the Constitution giving the Jammu and Kashmir Legislature an unrestricted authority to decide who all are ‘permanent residents’ of the State and confer on them special rights and privileges in public sector jobs, acquisition of property in the State, scholarships and other public aid and welfare.
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30thOctober- 6th November
The provision mandates that no act of the legislature coming under it can be challenged for violating the Constitution or any other law of the land.
Law to penalize owners who abandon their cattle Context A state government committee has recommended on anti – cow slaughter that the existing law should be amended to include provisions to penalise owners who abandon their cattle. The new provision for stray cattle •
•
•
The Madhya Pradesh GauvanshVadhPratishedhAdhiniyam, the state anti-cow slaughter law has stringent provisions to punish those involved in the slaughter and illegal transportation of cattle, but there are no measures to punish owners who abandon their cows on the streets or in nearby villages. Madhya Pradesh, accounting for nearly 10.27 per cent of country’s cattle population,has over the last few months struggled with the menace of abandoned cattle, with reports that abandoned cows were raiding crops and causing accidents on highways. MP has nearly 1.96 crore cattle heads but there is no estimate of the stray cattle population.
What will be the penalty? • • •
Penalty will be introduced for owners who abandon their cows. The penalty will be slapped even if a cow is killed in road accidents as it’s proof that the owner has abandoned it. The committee was looking at how to get stray cows off highways and city streets by next year.
The committee •
Bureaucrats from the departments of animal husbandry, cooperation, urban development and environment are members of the committee, which was recently set up to suggest measures to conserve the cow.
• •
The committee wants the nomenclature of the law changed to include “conservation.” District collectors are using drones to find out areas affected by stray cows. Only 604 of the 1,246 registered gaushals in the state were active and that owners of gaushalas “who lie about the number of cows they shelter” will also be penalized.
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30thOctober- 6th November
Five-judge statue Bench to decide on Aadhar validity Context • •
The Supreme Court has decided to constitute a five-judge Constitution Bench to hear petitions from November against the validity of the Aadhaar scheme. A separate Bench of Justices have issued notice to the government on a petition filed by advocate RaghavTankha, challenging the mandatory linking of Aadhaar with mobile numbers.
What is the concern? •
The concern is that the linkage orchestrated by the Union of India in arrangement with private telecom service providers is in violation of the fundamental right to privacy.
Setting up of a constitution bench • •
• • •
A Constitution Bench may be set up to decide, once and for all, the various Aadhaar challenges pending before the court since 2014 instead of passing any temporary orders. The government decided to extend the time during an urgent mentioning in the Supreme Court by petitioners who have challenged both the validity of the Aadhaar scheme and the law passed subsequently in 2016. The decision to set up a five-judge Bench comes despite Justice RohintonNariman’s separate judgment in the nine-judge Bench declaring privacy as a fundamental right. Justice Nariman’s judgment had directed the Aadhaar petitions to be posted for hearing before the ‘original’ three-judge Bench. This ‘original’ Bench had referred the petitions for hearing before a five-judge Bench, which found it necessary to first decide whether privacy was a fundamental right or not before hearing the Aadhaar petitions.
A welfare test for Aadhaar •
The Aadhaar ecosystem needs to pass a stringent welfare test much more crucially than the privacy test.
Implications on Aadhaar: • • •
Aadhar initiative requires collection of personal data from residents of India, and this has resulted in controversy regarding its potential to be missed. This is so because: It requires collection of biometric details like scanning and finger prints which are essentially crucial details and could be misused. The SC ruling will impact daily lives of the people since it has implications for matters ranging from collection and sharing of personal data to the government’s move to make Aadhaar mandatory for benefits of social welfare scheme.
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30thOctober- 6th November
Autonomy for Tribunals recommends the Law Commission Context The Law Commission of India has recommended that a Committee led by the Chief Justice of India should be in charge of the appointments of Chairman, Vice-Chairman and Judicial Members of the various central tribunals. • Such a step sends strong message to the government that appointments to tribunals and their functioning should remain independent of the executive’s influence. The specialized role of Tribunals •
The tribunals perform an important and specialized role in justice mechanism. They take a load off the already over-burdened courts. They hear disputes related to the environment, armed forces, tax and administrative issues. Tribunals function under the very government department which may be a litigant before them, and probably, against which they may have to pass orders. What are the suggestions? • • • •
•
• • • •
•
•
The Commission has suggested a common nodal agency, possibly under the Law Ministry, to both monitor the working of the tribunals and to ensure uniformity in the appointment, tenure and service conditions for the Chairman, Vice-Chairman and members. Every order emanating from the tribunal or its appellate forum, wherever it exists, attains finality, the Commission recommended. The Commission recommended the restoration of the High Courts’ power of judicial review over the decisions of the tribunals. The power of judicial review conferred on the High Courts is same as that of the Supreme Court, interfered with only by amending of the Constitution. The parties involved should be allowed to challenge a tribunal order before the Division Bench of the high court having territorial jurisdiction over the tribunal or its appellate forum. Presently, parties are deprived of an opportunity to move high courts concerned against the orders of some tribunals and have to move the Supreme Court directly. The Commission in the case of Armed Forces Tribunal (AFT) has recommended that in disputes in which the AFT has jurisdiction, parties must have a right to approach the high court under Article 226 for the reason that a remedy under Article 136 is not by way of statutory appeal. The Commission prioritized tribunals to have benches in different parts of the country so that people of every geographical area may have easy access to justice.
Why should Tribunals be independent? •
The right to an independent and impartial tribunal established by law contains both objective and subjective elements.
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30thOctober- 6th November
The objective requirements are mainly institutional, demanding the separation of powers within the constitutional structure of the country. • The separation of the executive and the judicial branches of government is particularly important in securing the basis for the independence of the judiciary. • The independent and impartial position of judges is the crucial point: if the government or other authorities can remove judges at will, their institutional independence is not secured. • The courts or the judges are in case under the control or influence of non-judicial entities, their independence and impartiality may be impaired. Such control may be exercised through conditions of payment of judges, the possibility for other branches of government to issue instructions to courts, or threats of transfers of judges to other posts should their decisions not conform to expectations or instructions. Is it bounded by Supreme Court and High Court? •
•
•
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Supreme Court shall be binding on all court within the territory of India. Undoubtedly, the scope of Article 141 is very wide and it would apply to ordinary courts as well as administrative tribunals. There is no provision corresponding to Article 141 with respect to the law declare by the High Court. The issue remains whether the law declare by a High Court has a similar binding effect over all subordinate courts and inferior tribunals within the territories in relation to which it exercising its jurisdiction. The Supreme Court and High Court, over and above writ jurisdiction has also supervisory jurisdiction over all subordinate courts and inferior tribunals within the territories in relation to its jurisdiction. Therefore, if any administrative tribunal acts without jurisdiction exceeds its power or seek to transgress the law laid down by the High Court, the High Court can certainly interfere with the action of the tribunal.
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SOCIAL ISSUES No green signal for ready-to-use therapeutic food (RUTF) in India Context: •
The Union Ministry of Women and Child Development (WCD) stated that use of ready-to-use therapeutic food (RUTF) for management of malnutrition is not an accepted policy of the Government of India.
Severe Acute Malnutrition (SAM) Severe acute malnutrition is defined by a very low weight for height. It is identified by visible severe wasting or by the presence of nutritional oedemawhich is characterized by swollen feet, face and limbs. How can Severe Acute Malnutrition be treated? • •
Children with severe acute malnutrition need urgent lifesaving treatment to survive. Previously, these children were only treated in hospitals where they received therapeutic milks along with medical care; and many more were never reached at all. • But with the creation of ready-to-use therapeutic food (RUTF) however, the picture has changed dramatically. What is Ready-to-use therapeutic food (RUTF)? • •
• • • •
Ready-to-use therapeutic food (RUTF) is a high-energy, micronutrient enhanced paste used to treat children under age 5 who are affected by severe acute malnutrition. RUTF is a packaged paste of peanuts, oil, sugar, vitamins, milk powder and mineral supplements, which contains 520-550 kilocalories of energy per 100 g. Additional ingredients may include nuts, legumes, grains and sweeteners to improve the taste. The paste is given to children aged between six months and six years, usually after a doctor’s prescription.
Pros of Ready-to-use therapeutic food (RUTF): • • •
This makes it a practical solution where cooking facilities and fuel are limited. RUTF has a long shelf life and is safe for use even in the absence of clean drinking water. The use of RUTF allows those children without medical complications to be cured right in their own homes and communities.
How it works? •
In this approach, community health workers are trained in early detection to recognize cases of severe acute malnutrition and provide RUTF and routine medical care.
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At the same time, health workers learn to recognize medical complications and refer those children to hospitals and health centres for further in-patient treatment. • The impotance of the community-based approach is that early detection and early treatment leads to better rates of survival and the treatment of many more children. • It also empowers communities and is much more cost-effective than in-patient treatment. What are the cons of Ready-to-use therapeutic food for which India is reluctant to bring it into practice? •
• • • • • • •
Concerns have been raised that the use of RUTF may replace nutritional traditional practices and family foods. The government has no enough evidence for the long-term benefits of RUTFs. Because once RUTF was stopped, children often slipped back into malnutrition. Moreover, RUTF may improve recovery slightly, but it’s not known that whether RUTF improves relapse, death or weight gain as the quality of evidence was very low. There is high cost involved in purchasing RUTFs packets which are not feasible for a longer run. There are chances of corruption by the intervention commercial exploitationbeyond the treatment of severe acute malnutrition. Studies have proven that children who were given URTF found it too heavy to eat anything else afterward. India’s dismal performance on Global Gender Gap Index
Context: India has been ranked a low 108 out 144 countries on the gender equality scale, slipping from 87 last year, according to the Global Gender Gap Index (2017) released by the World Economic Forum (WEF) recently. Introduction: India’s rank slipped 21 places, behind neighbours China and Bangladesh, primarily due to less participation of women in the economy and low wages. • The top ranks continue to be held by the Nordic countries of Iceland, Norway and Finland, Bangladesh, at 47th position, holds the highest rank in South Asia. Key highlights of the report: •
• • • •
Economic front: On an average, a woman in India is estimated to earn less than a quarter of the annual income earned by a man. Women account for over a third of the labour force participation, but their share of daily unpaid work (household chores, childcare etc) is 65 per cent while it is only 11 per cent for men. Across sectors, only 13 per cent of senior officials, managers and legislators are women. “Educational Attainment” and “Political Empowerment”: The Index also takes into account “Educational Attainment” and “Political Empowerment”. The report attributed much of India’s
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decline in position on the overall Global Gender Gap Index to a widening of its gender gaps in political empowerment as well as healthy life expectancy and basic literacy. According to the WEF Global Gender Gap Report 2017, India has closed 67% of its gender gap, less than many of its international peers, and some of its neighbours like Bangladesh ranked 47th while China was placed at 100th.
The case is worse in terms of workplace gender divide, which the report estimates will take 217 years to close. • The report notes that India has succeeded in fully closing its primary and secondary education enrolment gender gaps and is very near to closing its tertiary education gender gap, but the overall literacy rate still shows disparity between the men (80 per cent) and women (59 per cent). Top performers: •
At the top of the Global Gender Gap Index is the country has closed nearly 88% of its gap. It has been the world’s most gender-equal country for nine years. • Others in the top 10 include Norway (2nd), Finland (3rd), Rwanda (4) and Sweden (5), Nicaragua (6) and Slovenia (7), Ireland (8), New Zealand (9) and the Philippines (10). Comparison with previous year: •
The findings in this year’s report, showed that an overall 68% of the global gender gap has been closed. This is a slight deterioration from 2016 when the gap closed was 68.3%. • Globally also, this year’s story is a bleak one. For the first time since the WEF began measuring the gap across four pillars — health, education, the workplace and political representation — the global gap has actually widened. Global Gender Gap Index: •
The Global Gender Gap Index was first introduced by the World Economic Forum in 2006 as a framework for capturing the magnitude of gender-based disparities and tracking their progress over time. • The Index benchmarks national gender gaps on economic, education, health and political criteria, and provides country rankings that allow for effective comparison across regions and income groups. • The rankings are designed to create global awareness of the challenges posed by gender gaps and the opportunities created by reducing them. • The methodology and qualitative analysis behind the rankings are intended to serve as a basis for designing effective measures for reducing gender gaps. Reasons for India’s abysmal ranking: •
India’s abysmal ranking is mainly due to two indicators: •
Health and Survival- At 141, India continues to be in the bottom four. Like China, the worst performer on health indicator, the report blames India’s poor sex ratio at birth which still points to a strong preference for sons.
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Economic Participation and Opportunities for Women: On this count, India’s rank is 139 down from 136 last year. On this, India ranks above only Iran, Yemen, Saudi Arabia, Pakistan and Syria-countries that are among those with the worst overall gender gap ranking. According to the report in India on average , 66% of women’s work is unpaid compared to 12 % of men’s. On a positive note, India succeeded in fully closing its primary and secondary education enrolment gender gaps for the second year running and for the first time has nearly closed its tertiary education gender gap. However, it continues to rank fourth-lowest in the world on health and survival, remaining the world’s least-improved country on this sub-index over the past decade, the WEF stated.
Need for more women participation: Women participation in workforce is need to be improved due to the following reasons: • • • • • • •
Higher women presence would ensure that the growth process is inclusive in nature, unlike the post-independence growth impact. IMF has predicted that women’s participation in economy could boost India’s GDP. Women used to be more resilient by nature. Such approach is highly needed for the success of start-ups in India. if women largely stay out of the labour force, this effect will be much weaker and India could run up labour shortages in key sectors of the economy. The better financial management of Women, as shown by the skill in managing domestic affairs, will lead to better utilization of limited fiscal space available in India. More women participation will lead to reduced sub-ordination effect as prevalent in patriarchal India. More women participation at workplace would also pave the way for “equal pay for equal work” as envisaged in Article 39 of the Indian Constitution. Adoption safeguards
Context •
External Affairs Minister SushmaSwaraj has requested Minister for Women and Child Development Maneka Gandhi to look into the circumstances of Sherin’s adoption.
What happened to Sherin? • •
The body of three-year-old Sherin Mathews was found in a tunnel in suburban Dallas in Texas. The child’s adoptive father said she had choked on milk that he tried to “physically assist” her in drinking.
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Who can adopt an Indian Child? • According to adoption guidelines notified in January this year, prospective adoptive parents have to be physically, mentally and emotionally stable, financially capable and should not have a life-threatening medical condition. • Singles are eligible, but a single male cannot adopt a girl child. • A couple must be married at least two years and their cumulative age at the time of adoption cannot exceed 110 years (55 in case of a single parent). • The minimum age difference between the child and either adoptive parent should not be less than 25 years. What formalities must prospective parent resident outside India fulfil? •
All prospective parents irrespective of nationality have to register with the Central Adoption Resource Authority (CARA).
•
Any Non-Resident Indian, Overseas Citizen of India or foreign prospective adoptive parents, living in a country which is a signatory to The Hague Adoption Convention and wishing to adopt an Indian child, can approach the authorized foreign adoption agency or the central authority for preparation of their home study report.
National Family Health Survey (NFHS 4) Context: According to the latest National Family Health Survey (NFHS 4)- there are 47.5 million stunted children in India out of 154.8 million globally. This is because of poor diet, poor healthcare and poor sanitation. India’s ranking on Global Hunger Index: India’s ranking in the International Food Policy Research Institute’s (IFPRI’s) 2017 Global Hunger Index has invited much comment and criticism among India’s intellectual elite. • The index illustrates the complexity of India’s malnutrition problem. • India has slipped to 100 among 119 countries in the 2017 Global Hunger Index, down from 97 among the 118 countries in 2016. • The Government of India’s National Nutrition Strategy announced in September 2017 provides the comprehensive approach with a National Nutrition Mission combined with strengthening decentralized delivery. Key highlights of the report: •
•
In 2017 GHI, India scored 31.4 and was placed in high end of “serious” category. India low ranking also influences South Asia’s regional score as three quarters of South Asia’s population reside in India.
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India’s neighbours ranking are Nepal (72), Myanmar (77), Bangladesh (88), Sri Lanka (84) and China (29)—except Pakistan (106) and Afghanistan (107). Even North Korea (93) and Iraq (78) fared better in hunger parameters and GHI rankings, More than 20% of Indian children under the age of five have lower weight in relation to their height and about 33% are too short in relation to their age. Despite India being world’s second largest food producer, it has second highest under-nourished population in the world.
Saubhagya Scheme Context: •
The Government of India has recently launched the PradhanMantriSahajBijliHarGharYojana, or Saubhagya Scheme.
What is Saubhagya scheme? The Saubhagya scheme was launched on September 25th, 2017. The scheme will provide electricity connections to over 40 million families in rural and urban areas by December 2018. What is the need for the scheme? • •
1.
Village electrification programme like DeenDayalUpadhyay Gram JyotiYojana, launched in July 2015, realised that a large number of household is still remaining without access to electricity. 2. The primary need is to execute the physical wire to the homes. 3. If needed, the state budgetary support or special Central grants needs to supplement insufficient fund. 4. The scheme mandates a metre where consumers are meant to pay notified tariffs. 5. Moreover, states are free to offer any usage subsidies above and beyond regulator-approved cross-subsidies How this scheme will make a difference? • •
The scheme will help to meet its global climate change commitments as electricity will substitute kerosene for lighting purposes. Easy access to electricity in turn will also help in improving education, health, connectivity with the multiplier effect of increased economic activities and job creation.
What is DeenDayalUpadhyay Gram JyotiYojana? DeenDayalUpadhyaya Gram JyotiYojana is a Government of India scheme, launched on 25th July 2015. • The DDUGJY is one of the flagship programmes of the Ministry of Power. Objectives: •
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Ministry of Power, Government of India has launched DeenDayalUpadhyaya Gram JyotiYojana for rural areas having following objectives: To provide electrification to all villages, • • •
Feeder separation to ensure sufficient power to farmers and regular supply to other consumers, Improvement of Sub-transmission and distribution network to improve the quality and reliability of the supply and Metering to reduce the losses.
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INTERNATIONAL RELATIONS Shipment begun from Afghanistan to India • •
India has begun shipment of wheat to Afghanistan through the Iranian port of Chabahar. The consignment would be the first to use the new route via Chabahar to access Afghanistan, even as India plans similar transfers in the coming months.
A landmark move • •
•
The shipment of wheat is a landmark move as it will pave the way for operationalization of the Chabahar port as an alternative, reliable and robust connectivity for Afghanistan. The shipment was part of India’s commitment to send 1.1 million tonnes of wheatto Afghanistan on grant basis. Kabul will be receiving the entire amount in six different instalments over the coming months. The consignment was flagged off by External Affairs Minister SushmaSwaraj and her Afghan counterpart SalahuddinRabbani through a joint video conference.
Significance of the move •
•
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The move is significant as it indicates that India remains firm in delivering on its regional commitment through partnership with Iran, despite Tehran’s ongoing tension with the United States. It will lead to new opportunities for trade and transit from and to Afghanistan andenhance trade and commerce between the three countries (India, Iran and Afghanistan) and the wider region. The use of Chabahar for wheat transshipment indicates the firming up of an alternative route to extend necessary support to Afghanistan, in the absence of overland transit rights by Pakistan.
Chabahar Port Agreement •
• • •
It is a commercial contract for the development and operations of Chabahar Port, signed between Indian Joint Venture India Ports Global Pvt Ltd (a Consortium of Jawaharlal Nehru Port Trust and Kandla Port Trust) and Iran’s AryaBanader on 23 May 2016 in Tehran during the visit of the Prime Minister to Iran. Government of India and Port and Maritime Organization (PMO) of Iran signed the contract as authorizing Parties. The contract is for the period of 10 years.As per the contract, India will construct two terminals (five berths) at Chabahar Port. The MoU envisages construction of a multipurpose cargo terminal (600 mtrs length) and a container terminal (640 mtrs length).
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Benefits to India There are several benefits associated with the development of the Chabahar Port for India, some of them are following: • • • • • • • • • • • •
Partaking in the Chabahar Port development will offer India an alternative and reliable access route into Afghanistan. It will aid to employ India’s earlier investment in Zaranj-Delaram road built in Afghanistan. It is also a consistent and more direct sea-road access route into Central Asian Region. Chabahar Port’s location at the Arabian Sea means that it would be able to skirt any challenges posed by developments in the Persian Gulf and Strait of Hormuz. Close proximity to the Strait of Hormuz which facilitates about 40 per cent of the world’s oil trade. It will provide an access route to land-locked Afghanistan, that would be free of Pakistan’s control. It would give India access to markets and mineral resources in Afghanistan and central Asia. Provide access to Hajigak iron ore mine developed by Steel Authority of India. It will provide boost to the development of International North South Transport Corridor (INSTC). Delaram access will provide India with a base to position itself after international troops withdraw from Afghanistan in 2014. It will provide Market for farm products from Afghanistan. It will help in combating drug trafficking.
Limitations of the project • • •
There will be disputes over tariffs and transit regulations. There will be massive burden from US on India which is seeking isolation of Iran after involvement of Iran in development of nuclear bomb. Chinese competition for port development offering an $75 million credit line for ongoing work on the port.
Can India use it to counter China? • • •
India won’t need to depend on China sponsored Road and Belt projects to connect with Central Asia. It will undermine importance of Gwadar port in Pakistan developed by China. India can use the facility to monitor Pakistani & Chinese activities in the Indian Ocean Region as well as Gulf. It could be convenient location for India to monitor activities of Pakistani Navy.
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Gateway to West Asia, South Asia and Central Asia • • • • • • • •
The port will familiarize India towards the markets of West Asia, the Middle East, Central Asia and Europe, projecting Indian economic and political influence towards those regions. Strengthening of relationships between India, Iran and Afghanistan, will provide a basis for future diplomatic overtures between all three countries. Economic integration is a cornerstone for achieving regional political cooperation and stability. Striking a balance between India’s good relationships with Israel, Saudi Arabia, the UAE and Iran, signaling to Iran. With reducing remittance attraction and reciprocal commitment with Arab countries, Iran may get a higher role in India’s economic engagement. Hence, in future, there is higher scope and benefit for mutual trade between the two countries and the new port deal is very important as a trade facilitator. Underscores India’s leadership in South Asia, serves India’s objective of becoming the primary lender of credit for infrastructure projects across South and West Asia, It signals India’s desire to increase trade with the Central Asian states (Uzbekisan, Tajikistan, Turkmenistan, Kazakhstan, Kyrgyzstan), who, despite their historical tilt towards Russia and recent tilt towards China, have long courted India to increase its influence in their region, and balance Russian, China and Islamist influences.
The visit of Italian PM Gentiloni Context: India’s push for membership of the Nuclear Suppliers Group and bilateral trade are likely to be on the agenda during the visit of Italian Prime Minister Paolo Gentiloni. Introduction: • •
The visit marks the end of a chill in ties that set in 2012 after the killing of two Indian fishermen by a pair of Italian marines off the coast of Kerala. The visit, comes after both sides managed to contain the diplomatic fallout of the marine crisis.
Purpose of visit: • • •
The visit is aimed at strengthening the bilateral political and economic relations between the two countries. India’s push for membership of the Nuclear Suppliers Group and bilateral trade are likely to be on the agenda during the visit. Italy and India are planning to strengthen cooperation to fight terrorism.
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Apart from the expected issues, Italy and India may also discuss the tension between the U.S. and Iran after President Donald Trump decertified the nuclear deal with Iran, where both Italy and India have strong contacts. As one of the signatories in the nuclear deal, Italy’s role is crucial in this matter.
Nuclear Suppliers Group (NSG): •
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NSG is a group of nuclear supplier countries that seek to prevent nuclear proliferation by controlling the export of materials, equipment and technology that can be used to manufacture nuclear weapons. Guidelines for the group were published in 1978 by the International Atomic Energy Agency (IAEA), which were to be applied to nuclear transfers for peaceful purposes to help ensure that such transfers would not fall victim to a harmful nuclear fuel cycle or be used in nuclear explosive activities. The aim of the NSG Guidelines is to ensure that nuclear trade for peaceful purposes does not pave way to the proliferation of nuclear weapons or other nuclear explosive devices, and that international trade and cooperation in the nuclear field is not hindered unjustly in the process. The NSG Guidelines facilitate the development of trade in this area by providing the means whereby obligations to facilitate peaceful nuclear cooperation can be implemented in a manner consistent with international nuclear non-proliferation norms. Concerns over increased militarization in IOR
Context: • •
India has expressed concern at the increased militarization in the Indian Ocean Region (IOR) Concerns have also been raised against the extra-regional nations setting up a frequent presence in the region.
International activities in the maritime domain: China has set up or acquired stakes in a series of infrastructure facilities in the region. The country has also recently opened its first overseas military base at Djibouti in the Horn of Africa. • The Chinese Navy has also maintained a steady presence of warships and submarines in the Indian Ocean under the garb of anti-piracy operations in the Gulf of Aden. Indian Navy’s mission based deployment: • •
•
Indian Navy has approved new mission-based deployment plan for deploying mission-ready ships and aircraft along critical sea lanes of communications and choke points in Indian Ocean Region (IOR).
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Objective of the mission: • •
• •
•
Under this mission-based deployment plan, Indian Navy’s 14-15 ships will be deployed yearround in region. These deployments are expected to meet any eventuality across spectrum of operations ranging from acts of maritime terrorism and piracy to Humanitarian Aid and Disaster Relief (HADR) missions. This also aims at maintaining 24/7 and round the year vigil with ships being sustained and turned around on station. The areas where these ships and corvettes and surveillance aircraft are being deployed include the Malacca Strait, North Andaman Sea, Andaman Sea, Andaman Sea including Bangladesh and Myanmar, Lakshadweep islands and Maldives, besides Madagascar and Persian Gulf. These vessels will monitor increased Chinese presence in these areas.
India offers to share real-time maritime data •
India has made an offer to share intelligence of maritime movements in the Indian Ocean in real-time with 10 Indian Ocean littoral States.
About information sharing • •
•
The information to be shared includes movement of commercial traffic as well asintelligence. Co-operative system–India already has co-operative arrangements with several countries in the region and this initiative would see that expanding further. For instance, white shipping agreements to share commercial shipping data have been signed with 12 countries and more are in the works. This is not so much for conventional military purposes but to deal with non-traditional threats arising at sea,”
About Goa maritime conclave •
The conclave was aimed at “Addressing Regional Maritime Challenges” wherein the deliberations were focused on emerging maritime threats and force structuring, maritime domain awareness, maritime security architecture, and maritime security challenges in the Indian Ocean Region(IOR)
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India and Italy to fight terror together Context: India and Italy resolved to fight terrorism and violent extremism in all their forms and manifestations, as they strongly pitched for strengthening international partnership and concerted action in addressing the menace of terrorism. Introduction: • India and Italy looked at strengthening the bilateral political and economic relations when Italian Prime Minister Paolo Gentiloni visited India yesterday • The visit marks the end of a chill in ties that set in 2012 after the killing of two Indian fishermen by a pair of Italian marines off the coast of Kerala. • The visit, comes after both sides managed to contain the diplomatic fallout of the marine crisis. Key Takeaways from talks Combating Terrorism and Cyber Security Cooperation • •
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Strengthening international partnership Emphasized on the need for effective implementation of existing international commitments on countering terrorism, including the UN Global Countering Terrorism Strategy, UNSC resolutions and targeted sanctions relating to terrorism. Both the sides also discussed some of the emerging security challenges facing the world. Both the nations are committed to strengthen cooperation in cyber security. The leaders expressed satisfaction on the first India-Italy Joint Working Group on Combating International Terrorism held in Rome on November 10, 2016, and agreed to further strengthen the consultation mechanism through regular exchange of assessments and information, training and capacity building programmes, etc, in the sphere of counter-terrorism. The leaders of both side agreed to strengthen cooperation to take decisive and concerted actions against the al-Qaeda, ISIS, their affiliates and all the other UN-designated globally proscribed terrorist and terror entities, including those mentioned in the India-EU joint statement on cooperation in combating terrorism. Two leaders also called for an early conclusion of negotiations and adoption of the Comprehensive Convention on International Terrorism in the UN, as an instrument that would reinforce the message that no cause or grievance justifies terrorism. They also expressed concerns at the growing misuse of internet towards radicalization of youth and agreed to strengthen cooperation in combating radicalization and violent extremism. The leaders of both countries reaffirmed their commitment to an open, free, secure, stable, peaceful and accessible cyberspace, enabling economic growth and innovation.
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Quadrilateral meet Context Japan’s Prime Minister Shinzo Abe proposed the idea of Asian democracies joining forces in 2006. The benefit • • •
Foreign Secretary S. Jaishankar indicated India’s willingness to work with Japan and the United States deals with regional issues. U.S. investments in the power sector of Nepal will be in Indian interest. Regionalism will grow if there are higher comfort levels. Having Japanese or the Americans in room will be more helpful. Indications of regional partnership between India and Japan came also during Mr Abe’s visit, with both sides indicating willingness to manage the maritime domain from Indian Ocean and the Asia-Pacific zone.
Way ahead • •
• •
India and Japan are two powerful democratic forces in Asia which are searching for more options to work and prosper jointly. Economic front needs to be strengthened to reach “Low Hanging Fruit of Asia” wherein demographic dividend of the India and other Asian countries can be deployed to benefit Asia as whole. Both need to join hand to establish peace and order in not only disturbed region of Asia but of the whole world. India-Japan defense and security cooperation remains a work in progress. India – Bhutan united security concerns
Context •
The President Ram NathKovind said that the security of India and Bhutan is “indivisible and mutual”, indicating a closer engagement between India and Bhutan.
Token of Thanks The President conveyed deep appreciation for the King of Bhutan’s personal involvement and guidance and the support provided by Bhutan in addressing the recent situation in the Doklam area. • MrKovind added that the manner in which both India and Bhutan stood together to address the situation in the Doklam area is a clear testimony to India – Bhutan’s friendship. Significance •
•
The RashtrapatiBhavan statement is significant as it seeks to end speculation over India’s decision to send troops into land caught in a dispute between Bhutan and China.
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The visit by the Royal couple to Delhi is being seen as not just a personal one, but one that signals a tacit endorsement of India’s actions during the Doklam crisis, as well as a reaffirmation of ties. The rise of Xi Jinpings
Context •
The 19th National Congress of the Communist Party of China showcased the primacy of President Xi Jinping. The event focused on his vision and his status thus, restoring its global leadership role on full display.
Significant importance of Xi ruling • •
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While this self-elevation, Mr. Xi will become the principal mediator of China’s future directions over the next five years and possibly beyond. With Mr. Xi steadily accumulating controls of authority and eliminating rivals, there has been a shift towards personalized rule in his first term and now at the Party Congress. The erosion of checks that it involves has attendant risks for China. Mr. Xi has been included in the new line-up of the PBSC. This has kept open the possibility of him staying on as the paramount leader or the power behind the throne well beyond 2022. His preference for maintaining a strong state and party role in the economy with minimal privatization of state-owned assets and firm control over social and financial risks is unlikely to change in the wake of the Congress. He is also positioning China as a defender of globalization, it comes with a strong dose of mercantilism. For India, one key outcome of the party meeting is the articulation of China’s increasingly explicit great power ambitions. The preoccupation with building up global combat capabilities to safeguard China’s overseas interests also figures prominently in Mr. Xi’s vision. Mr. Xi has set the goal of completing modernization of the armed forces by 2035 and transforming the PLA into a world-class military by 2050. China is likely to intensify its efforts to shape its periphery and forge a “world community of shared destiny” centredaround it. With the U.S. in temporary retreat and the West distracted by internal challenges, China considers this to be a period of strategic opportunity to take its great power project to the next level in the new era that Mr. Xi has envisioned.
Way ahead A more assertive China will be one of the most critical factors shaping India’s external environment, apart from engendering new challenges in the management of bilateral relations, more so as the footprints of the two re-emergent countries will increasingly overlap.
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ECONOMY, AGRICULTURE AND INFRASTRUCTURE Public Distribution System in India: An overview Context •
The Public Distribution System (PDS) needs to be systematic and lenient,especially towards the poor.
What is Public Distribution System? • • • •
The Public Distribution System (PDS) evolved as a system for distribution of food grains at affordable prices and management of emergency situations. Established under Ministry of Consumer Affairs, Food, and Public Distribution and are managed jointly by state governments in India. It distributes subsidized food and non-food items to India’s poor. This scheme was launched in June 1947. It functions through a network of Fair Price Shops at a subsidized price on a recurring basis.
How did PDS evolve? • • •
Till 1992, PDS was a general entitlement scheme for all consumers without any specific target. In 1992, PDS became RPDS (Revamped PDS) focussing the poor families, especially in the farflung, hilly, remote and inaccessible areas. In 1997 RPDS became TPDS (Targeted PDS) which established Fair Price Shops for the distribution of food grains at subsidized rates.
What is Targeted Public Distribution System? • •
Targeted Public Distribution System (TPDS) was introduced in India from June 1997. Under TPDS, Central government is responsible for procurement, allocation and transportation of the food grains up to the designated depots of the Food Corporation of India.
What is the significance of the Public distribution system in India? The following are the advantages of the public distribution system: • •
Helped in stabilizing food prices and making food available to consumers at affordable prices. Helped in avoiding hunger and famine by supplying food from surplus regions of the country to deficient regions.
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The system of minimum support price and procurement has contributed to increase in food grain production.
What are the limitationsof the distribution system in India? The following are the disadvantages of the public distribution system; Instances of hunger occur despite granaries being full, this points to certain lacunae or inefficiency in the system. • High level of buffer stocks often leads to wastage of food grains and deterioration in quality. • The storage of foodgrains inculcates high carrying costs on the government. • The provision of minimum support price has encouraged farmers to divert land from production of coarse grains that are consumed by poor, to rice and wheat. How does TPDS function? •
The steps involved are (1) Procurement of food grains (2) Storage of food grains (3) Allocation for families (4) Transportation of food grains. What are the suggested ways? •
The need of the hour is PDS reforms to ensure that public distribution functions the way it is intended. Technology based reforms are suggested.
Technology Based reforms: • •
End to end computerization would bring in transparency in the whole process. It would help to prevent leakages and diversion of food grains to a great extent. The different type’s reforms undertaken by different states are:
Adhaar Linked and digitized ration cards: •
This allows online entry and verification of beneficiary data. It also enables online tracking of monthly entitlements and off-take of foodgrains by beneficiaries.
Computerized Fair Price Shops: •
FPS automated by installing ‘Point of Sale ‘device to swap the ration card. It authenticates the beneficiaries and records the quantity of subsidized grains given to a family.
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DBT: • • •
Under the Direct Benefit Transfer scheme, cash is transferred to the beneficiaries’ account in lieu of foodgrains subsidy component. They will be free to buy food grains from anywhere in the market. It is estimated that cash transfers alone could save the exchequer Rs. 30,000 crore every year.
Use of GPS technology: •
Use of Global Positioning System (GPS) technology to track the movement of trucks carrying foodgrains from state depots to FPS which can help to prevent diversion.
SMS-based monitoring: •
Allows monitoring by citizens so they can register their mobile numbers and send/receive SMS alerts during dispatch and arrival of TPDS commodities
Use of web-based citizen’s portal •
Public Grievance Redressal Machineries, such as a toll-free number for call centers to register complaints or suggestions.
Bitcoins in India: An Overview Context: •
The rising popularity of crypto currencies and the increasing number of entities looking at raising funds through Initial Coin Offerings (ICO) has caught the attention of the capital market regulator, which is evaluating whether such instruments and offerings can be brought under its regulatory purview.
Introduction: •
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Crypto currencies like bitcoin, ethereum have been under government radar for long and discussions have been held between various bodies, including SEBI and the Reserve Bank of India (RBI), on the possible ways in which this segment can be regulated. The regulator is evaluating whether these instruments can be regulated under the current SEBI Act or if there is a need for the government to give additional powers or amend the existing law. According to recent study, more than 2,500 Indians invest in bitcoin daily. Start-ups like Zebpay, Unocoin, Coinsecure, Searchtrade, Belfrics and Bitxoxo are some of the well-known players in the bitcoin and blockchain segment in India.
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Initial Coin Offerings (ICO): •
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An ICO, like an equity initial public offer (IPO), is an issuance of digital tokens that can be converted into cryto currencies and are mostly used to raise funds by start-up firms dealing in blockchain technology and virtual currencies like bitcoins and ethereum. Unlike an IPO, which is governed by SEBI regulations, there is no regulatory body for ICOs in India. According to data from UK-based CoinDesk, nearly $2.7 billion has been raised globally through ICOs since 2014. China recently banned such offerings after its central bank said that ICOs are “illegal public finance” mechanism used for issue of securities and money laundering.
What is crypto-currency? Crypto currency, which planned to be brought under a regulatory regime, is a digital currency. It allows transacting parties to remain anonymous while confirming that the transaction is a valid one. • It is not owned or controlled by any institution including both government institutions and private institutions. • Crypto-currency can also be used for a lot of legal activities depending on which retailers accept such currency. What is bitcoin? • •
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Bitcoins are the virtual currencies used for various financial transactions.They are backed by the diversified and decentralized system of Block Chain Technology. In recent times, Bitcoins have become a topic of debate. Bitcoin prices in the past one year have only headed north. In the last five months since January 2017, the value of BTC has doubled in absolute value compared to the dollar.
Advantages of Bitcoins: • • • • •
Freedom in Payment. Allowing users to be in control of their transactions help keep Bitcoin safe for the network. Bitcoin protocol cannot be manipulated by any person, organization, or government. This is due to Bitcoin being cryptographically secure. Currently there are either no fees, or very low fees within Bitcoin payments. Due to the fact that Bitcoin transactions cannot be reversed, do not carry with them personal information, and are secure, merchants are protected from potential losses that might occur from fraud.
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Disadvantages of Bitcoins: • • • • • • •
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Lack of Awareness & Understanding. Bitcoin has volatility mainly due to the fact that there is a limited amount of coins and the demand for them increases by each passing day. Bitcoin is still at its infancy stage with incomplete features that are in development. It undermines the authority of banks and financial institutions on the financial system. Bitcoin prevents any government and financial institutions from acting as a trusted third party to facilitate transactions. There is still no legal framework protecting the rights of users of these technologies or overseeing the institutions that use them. Bitcoins have been banned in several countries on grounds that these currencies could be used for money laundering, terror funding and drug trafficking. It’s very much still an experimental currency and is a high-risk environment for consumers and investors at the moment. Problems such as losses arising out of hacking, no sources of customer recourse and the general financial volatility surrounding Bitcoins. As currently, the exchange rates are not stable. Its volatility impacts its long-term sustainability Being the free market, its rates could lead to high because not everyone is involved in mining such coins which would create huge demand hence huge price.
Is Banning of Bitcoins a good idea? • •
Banning will give a message that all related activities are illegal and will disincentivise those interested in taking speculative risks. It will impede tax collection on gains made in such activities.
Uses of Bitcoins: • • •
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Bitcoin is used for multiple purposes including funding companies, investing cash and transferring money without fees. It is commonly associated with criminal activity such as drug dealing, cyber crime and money laundering, In 2015, RBI published a financial stability report on disruptions in financial technology. In the report, it highlighted the importance of ‘private blockchains’ which have the potential to transform how bank back-end operations functions, as well increasing the payments. The digital currency can be used to move money inexpensively across borders within a matter of minutes without even having a bank account. Used as the money for purchase, sale and exchange of the goods and services. The records of financial transactions are easily kept through Blockchain Technology over which bitcoins are used.
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Transaction cost: Low transaction cost as compared to normal fiat currency transaction, so Bitcoin can be used as money. Smarter contracts because of highly adopted programming features enables it to work in different environment. Easy record keeping: As compared to fiat currency transaction Bitcoin transaction requires easy record keeping with creation of separate blocks by blockchain technology.
Are Bitcoin legal in India? • •
Even countries such as Japan and Russia had legalised the use of Bitcoins, India, despite being at the cusp of a digital revolution is yet to officially recognise the cryptocurrency. Reserve Bank of India, had earlier cautioned users, holders, and traders of virtual currencies including Bitcoins.
What will be implications if Bitcoins are legalised in India? • • • • • • • • •
Bitcoins would fall under the purview of RBI’s 1934 Act. Bitcoin investors would be taxed. RBI would issue guidelines regarding investment and purchase of Bitcoins. If any foreign payment is made through Bitcoins, it would fall under the purview of FEMA Act. Returns from investment in Bitcoins would be taxed. The new regime may possibly bring trading under the domain of the stock market regulator, Securities and Exchange Board of India (SEBI). The idea is to treat such currency in a similar manner like gold sold digitally. It can be treated on registered exchanges in a bid to “promote” a formal tax base. It will keep an eye on their use for illegal activities such as money laundering, terror funding, and drug trafficking.
What are Blockchains? Blockchains are a new data structure that is secure, cryptography-based, and distributed across a network. • The technology supports crytocurrencies such as Bitcoin, and the transfer of any data or digital asset. • Blockchains achieve consensus among distributed nodes, allowing the transfer of digital goods without the need for centralized authorization of transactions. Way Forward: •
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In many western countries, Bitcoins are treated as properly and capital gain tax is imposed on it. India should also treat it as property and impose capital gains tax. Implementing strict KYC norms and eliminating secrecy of transactions.
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Encourage the development of a supervision ecosystem that tracks legal activities and also assist in tackling illegal activities. Self-regulatory regimes for trading of bitcons and other blockchain based digital assets apart from standardizing Know Your Customers (KYC), Anti Money Laundering (AML) and Suspicious Transaction Repors (STR ) norms for the members companies. Urgent need of a self-regulatory organisation (SRO) that could formally lay down principles to take care of concerns like money laundering and other possible misuse. Contract farming and food processing sector in India
Context: •
Contract farming in India has huge investment opportunities for global super-market chains considering India as a major outsourcing hub.
Introduction: •
At World Food India 2017, Prime Minister of India asked the private sector to invest more in the contract farming, raw material sourcing and creating agri linkages.
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During three-day mega event from 3rd November 2017 to 5th November 2017, MoU worth $ 11 billion is to be signed.
What is Contract farming? • • • • • •
The contract farming allows buyers and sellers to transact without routing through mandis. Under contract farming, farmers can be given seeds, credit, fertilizers, machinery and technical advice so that their produce is tailor made for the requirements of the companies. There would be no middlemen involved and farmers would get a predetermined sale price from the companies. The farmer does not have to make trips to the mandis nor worry about getting seeds and credit for farming operations. By entering into a contract, the farmer reduces the risk of fluctuating market demand and prices for his produce and the companies reduce the risk of non-availability of raw materials. Contract farming can fill the gap of lack of investment and land improvement by supplying quality inputs, giving technical guidance and management skills.
Advantages of Contract farming: • • •
The farmers get the high remunerative price for their farm product. The farm grower benefit from the agro extension program of the agro processor. The wastage of the farm produces now between 35 and 40 percent largely eliminated as the farm processing factory situated next to cluster of farms.
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It promotes best agri practices from different parts of the worlds. It will free farmer from middlemen and money lenders. Farmers income security through guaranteed price and access to quality inputs. Encourages new generation to take farming as new business venture instead of migrating to cities for search of jobs. Problems related with Contract farming in India: • • • •
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Very small and marginal farmers may not be roped in for this form of farming because companies may want a particular size of the crop which small farmers with their small parcels of land may not be able to produce. So, this will leave out the most vulnerable farmers from the ambit of corporate farming. The medium size farmer may not be literate enough to understand the nitty gritty of the contract and all the clauses, and if the produce does not meet the standards of the company, he may face mass rejection. The farmer may be forced to produce only tomatoes or onions year after year which will lead to monoculture and he will have no options left to produce whatever mix of crops which he may think is good for his farm. Predetermined prices do not take care of food inflation and in case there is a price rise of the product, the farmer cannot take advantage and make a windfall profit because he is under contract to sell at the price agreed upon beforehand. The average farmer being poor and semi-literate has little bargaining power vis-à-vis big corporations and hence there is little chance of his getting a fair price for his produce. The corporate sector takes over our agricultural operations. It may affect the food security of the country. Contract farming is best suited to special types of crops and not all farming activities. In China, only specific agricultural produce is under contract farming. The NitiAyog thinks a model law is needed to streamline the contract farming system and make it more uniform across the States. Presently, contract farming has been co-opted by 22 States but there is no uniformity or homogeneity regarding the kinds of produce that can come under it and the conditions under which contract farming should be allowed.
Status of Food Processing Industries of India: • • •
In India, the food sector has emerged as a high-growth and high-profit sector due to its immense potential for value addition, particularly within the food processing industry. Accounting for about 32 per cent of the country’s total food market, the Government of India has been instrumental in the growth and development of the food processing industry. The government through the Ministry of Food Processing Industries (MoFPI) is making all efforts to encourage investments in the business. It has approved proposals for joint ventures (JV), foreign collaborations, industrial licenses, and 100 per cent export oriented units.
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The Indian food and grocery market is the world’s sixth largest, with retail contributing 70 per cent of the sales. The Indian food processing industry accounts for 32 per cent of the country’s total food market, one of the largest industries in India and is ranked fifth in terms of production, consumption, export and expected growth. It contributes around 8.80 and 8.39 per cent of Gross Value Added (GVA) in Manufacturing and Agriculture respectively, 13 per cent of India’s exports and six per cent of total industrial investment. The Indian gourmet food market is currently valued at US$ 1.3 billion and is growing at a Compound Annual Growth Rate (CAGR) of 20 per cent. India’s organic food market is expected to increase by three times by 2020. The online food ordering business in India is in its nascent stage, but witnessing exponential growth. With online food delivery players like FoodPanda, Zomato, TinyOwl and Swiggy building scale through partnerships. The organised food business has a huge potential and a promising future. The online food delivery industry grew at 150 per cent year-on-year with an estimated Gross Merchandise Value (GMV) of US$ 300 million in 2016. According to the data provided by the Department of Industrial Policies and Promotion (DIPP), the food processing sector in India has received around US$ 7.54 billion worth of Foreign Direct Investment (FDI) during the period April 2000-March 2017. The Confederation of Indian Industry (CII) estimates that the food processing sectors have the potential to attract as much as US$ 33 billion of investment over the next 10 years and also to generate employment of nine million person-days.
Obstacle in growth of food processing sector in India: • • • • • • • • • • •
Indians prefer freshly cooked products as compared to packaged products. Since unit production cost is high, he can’t sell his products cheap unlike a big MNC, and Indian consumers are price sensitive. Most of Indian food processing units/companies/enterprises/factories are small sized meaning poor economies of scale. Agriculture/Dairy production yield levels are among the lowest amongst the BRIC countries. Land holdings is small, fragmented. Area under cultivation is decreasing due to urbanization, real-estate development, industrialization. There is no common policy on contract farming throughout India. High cost of raw material (driven by low productivity and poor agronomic practices) Presence of intermediaries. High cost of packaging, finance, transport and distribution. Lack of organized retail. Logistics cost i.e. transportation, warehousing, material handling etc. This cost is significantly higher as compared most developed countries.
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Inadequate infrastructure of storage, sorting, grading and post-harvest management. Taxes on processed food in India are among the highest in the world. Except India, no country distinguishes between branded and unbranded food sectors for taxation.
Government initiative to improve food processing sector: •
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1. 2. 3. 4.
The Government of India aims to boost growth in the food processing sector by leveraging reforms such as 100 per cent foreign direct investment (FDI) in marketing of food products and various incentives at central and state government level along with a strong focus on supply chain infrastructure. In Union Budget 2017-18, the Government of India has set up a dairy processing infra fund worth Rs 8,000 crore (US$ 1.2 billion). The Government of India has relaxed foreign direct investment (FDI) norms for the sector, allowing up to 100 per cent FDI in food product e-commerce through automatic route. The Food Safety and Standards Authority of India (FSSAI) plans to invest around Rs 482 crore (US$ 72.3 million) to strengthen the food testing infrastructure in India, by upgrading 59 existing food testing laboratories and setting up 62 new mobile testing labs across the country. The Indian Council for Fertilizer and Nutrient Research (ICFNR) will adopt international best practices for research in fertilizer sector, which will enable farmers to get good quality fertilizers at affordable rates and thereby achieve food security for the common man. The Ministry of Food Processing Industries announced a scheme for Human Resource Development (HRD) in the food processing sector. The HRD scheme is being implemented through State Governments under the National Mission on Food Processing. The scheme has the following four components: Creation of infrastructure facilities for degree/diploma courses in food processing sector Entrepreneurship Development Programme (EDP) Food Processing Training Centres (FPTC) Training at recognised institutions at State/National level
Way forward for contract farming in India: • •
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To make contract farming inclusive, farming groups like cooperatives should be encouraged. Food processing industries may also consider small farmers because there is benefit of low cost of production as these farmers have access to cheaper family labour who work more conscientiously than hired labour. The best practices from the most successful cases of contract farming should be taken into account when drafting the model law. There should be provisions for quick and just dispute settlement between the big corporations and small and medium farmers.
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companies and States should promote group contracts with the intermediation of local NGOs and other organisations and institutions so that contractual relationships are more durable and fair. Insurance component is a must to protect contract famers’ interests. There is thus the need for collective action through cooperative process to be able to buy and sell at better prices. There has to be a system which monitors contracts to facilitate its smooth functioning in the context of small farmers. According to NitiAyog, “The law that shall be formulated will be a general one for all commodities and will aim at laying down a uniform set of terms and conditions that will significantly reduce conflicts. It is quite clear that such a law will be positive and a good move.” The idea of a model Act is to vertically integrate farmers producing fruits and vegetables with agro processing units for better price realization and post-harvest losses.
Suggestion on Contract farming and Food Processing Sector at World Food India 2017: • •
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Prime Minister suggested to link India’s potential in food processing with world requirement, and India’s farmers with world and also the India’s tradition with future of mankind. Prime Minister stressed investment potential of fruit juice based drinks and nutrition rich agro climate smart crops to boost production and supply of India’s coarse grains and millets that ‘not only have high nutritional value, but can also withstand adverse agro-climatic conditions’ Private sector participation has been increasing in many segments of the value chain. However, more investment is required in contract farming, raw material sourcing and creating agrilinkages. There were opportunities in post-harvest management, including in primary processing and storage, preservation infrastructure, cold chain, and refrigerated transportation. There was immense potential for food processing and value-addition, especially in niche areas such as organic and fortified foods. Focus on Sweet Revolution to boost India’s production and export of honey. Presently India ranks six in production and export in the world. Each State of India to identify at least one food product for specialisation. Similarly, each district can also select some food items for production, and one item for specialisation. The combination of traditional Indian food, with modern technology, processing and packaging, can help the world rediscover the health benefits, and refreshing taste of Indian food ingredients such as turmeric, ginger, and tulsi etc.
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Expanding exports of agri – exports Context •
Commerce and Industry Ministry is planning to expand exports by increasingagri-exports.
What benefits will it incur? Increasing agri – exports will help increase India’s export basket and would also expand farmers’ incomes and amend farm distress. • This objective is achievable, provided there is a paradigm shift in policy-making from being obsessively consumer-oriented toaccording greater priority to farmers’ interests. Export Highlights •
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During April-August 2017, exports of agricultural and processed food products summed up to US$ 7.26 billion. During the period, export of cereals and animal products accounted for 45.62 per cent of the total exports, followed by livestock products (23.78 per cent), other processed foods (17.92 per cent), fresh fruits and vegetables (7.45 per cent), processed fruits and vegetables (6.25 per cent) and floriculture and seeds (1.15 per cent) The country’s agricultural sector has potential to double farmer income and grow exports to $100 billion by 2022 from the present $36 billion, according to industry experts. Export surplus from the country’s agricultural trade is higher than the corresponding figure achieved by the manufacturing sector. On lines of the ‘Make In India’ campaign, the report urged the government to launch ‘Grow In India’ campaign aiming for substantial gains in agri-exports with a single authority to monitor India’s international agricultural trade-both exports and imports.
Indian Monetary Fund (IMF) update •
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According to the Survey, the IMF’s January update of its World Economic Outlookforecast projecting an increase in global growth from 3.1 per cent in 2016 to 3.4 per cent in 2017, with a corresponding increase in growth for advanced economies from 1.6 per cent to 1.9 per cent, augured well for India’s exports. There are some promising signs of a global rebound in the last two quarters, as per the survey, adding that a strong export recovery would have broader spillover effects to investment. India’s exports declined 1.3 per cent and 15.5 per cent in 2014-15 and 2015-16 respectively mostly due to a fall in global demand. The trend of negative growth was reversed somewhat during 2016-17 (April-December), with exports registering a growth of 0.7 per cent to $ 198.8 billion from $ 197.3 billion in 201516 (April-December). Steeper contraction in imports, compared to exports, during the first half of 2016-17 led to a sharp decline in trade deficit.
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Despite slowing services exports, the decline in merchandise trade deficit helped improve the position of net exports of goods and non-factor services in the national accounts.
What are the challenges? • • •
India’s agricultural exports increased at a brisk pace for more than two decades after the economy was opened up in 1991. India’s agricultural trade surplus recorded a more than ten-fold increase between 1991-92 and 2013-14. Three years later, the picture is vastly different. Between 2013-14 and 2016-17, agricultural exports fell by 22% while imports increased by 62%. As a result, the trade surplus has fallen by 70%.
What went wrong? • •
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Previous government blamed a fall in international prices and loss of competitiveness due to currency movements for India’s dipping farm export earnings. A report by the Organization for Economic Co-operation and Development (OECD)and the Food and Agriculture Organization on the agricultural outlook, released in July this year, expects a flat to declining trend for primary commodity prices. The situation is particularly dismal for cotton, sugar and rice, which are major components of India’s agricultural export basket. The government pro-consumer bias in India’s farm policy is unfair in putting export restrictions on important food items to prevent inflationary pressures in the domestic economy. The policy deprives farmers of higher prices in the international market and also adds an element of income uncertainty. If the government is going to impose export restrictions when international prices peak, farmers would lose part of the incentive to cultivate exportable crops.
What changes are recommended? • • •
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The government needs to put in money to push infrastructure if exports have to be increased. Improvement in warehousing infrastructure would also counter inflation concerns due to seasonal factors such as poor monsoon rains. India’s warehousing capacity for perishables is disproportionately concentrated in a few regions. Almost 50% of cold-storage capacity is concentrated in the states of Uttar Pradesh and Punjab. According to a report on warehousing in India by the National Institute of Public Finance and Policy released in September 2015, post-harvest losses of agricultural commodities is estimated to be at about Rs44,000 crore annually. The cobweb effect means that higher cultivation leads to lower prices, which in turn leads to lower cultivation in the next period.
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The problem of bumper crops leading to a price crash can be taken care of by policies such as minimum support prices. India pursued the cause of legitimizing its procurement-based PDS at the WTO in the past two WTO ministerial conferences. If India has to promote agri-exports, the country’s policymakers must build global valuechains for some important agri-commodities in which the country has a comparative advantage. On the exports front, India is relatively competitive in cereals, especially rice and wheat and maize, and, at times, oilseeds, especially groundnuts and oil meals. The country can also be competitive in groundnut and mustard oil, provided there is an open and stable export policy. India has also been the world’s second largest exporter of cotton. The country has a great potential to export fish and seafood, bovine meat, and fruits, nuts and vegetables. These are the commodities to focus on in order to stimulate agri-exports. Stimulating agri – exports would require infrastructure and institutional support — connecting export houses directly to farmer producer organizations (FPOs), sidestepping the APMC-regulated mandis, removing stocking limits and trading restrictions. Stimulating such exports would also require structural reforms in agriculture. A special package to support value-chains through infrastructural investments (in assaying, grading, packaging and storing facilities), which will also create jobs in rural areas, or assistance in adhering to sanitary and phytosanitary standards would make them more resilient to future price shocks.
Way ahead • •
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India needs to adopt an open, stable and reliable export policy. Abrupt export bans, high minimum export prices to restrict exports, or other quantitative restrictions on pulses, edible oils even on vegetables and cereals at times must give way to a policy not contradicting exports. The import policy must be designed such that the landed price of palm oil and yellow pea never goes much below the domestic prices of their nearest rivals, say, soybean oil and chickpea, respectively. Liberalizationof factor markets, especially land-lease markets, would also help in building more efficient and reliable export value-chains. Long land-lease arrangements can facilitate private investments in building export-oriented global value-chains, generating rural non-farm employment and enhancing farmers’ incomes. A farm-to-foreign” strategy, improvingagri-trade surpluses by promoting agri-exports, and most importantly create more jobs and bring prosperity to rural areas can sure be a go ahead.
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India climbs up the ladder at Doing Business Report Context •
The World Bank Group’s Doing Business 2018 report ranks India at 100 out of 190 countries.
Introduction: This year’s report from the World Bank has been titled Reforming to Create Jobs. The report ranks India at 100 among 190 countries. Last year, India was ranked 130. India’s upward jump in ranking is based on the underlying improvement in the distance to frontier (DTF) score– an absolute measure of progress towards the best practice-in the report. • India recorded the fifth highest change in DTF score and found a place for the first time in the top ten economies improving the most in a given year, in the report which is into its 15thedition. • The ease of doing business ranking compares economies with one another; the DTF score benchmark economies with respect to regulatory best practice. • According to an output-outcome framework document prepared by the government, India is seeking to reach the 90th rank in 2017-18 and 30th by 2020. Key changes that spurred India’s latest ranking • • •
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The introduction of the new insolvency and bankruptcy resolution process. Simplifications in the payment of statutory dues such as provident fund contributions and corporate taxes. Easier access to credit
Doing Business report: Doing Business report measures aspects of regulation affecting 11 areas of the life of a business, and India made eight reforms across these areas last year, the highest number for the country in a single year. • India is one of the three countries last year that undertook reforms in as many as eight areas. Reforms noted by the report: •
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Faster permits for construction, combining the application for the Permanent Account Number (PAN) and the Tax Account Number (TAN) into a single submission, reduction in the time needed to complete the applications for Employee’s Provident Fund Organization (EPFO) and the Employee’s State Insurance Corporation (ESIC), reduction in export and imports border compliance costs and improved access to credit are among the reforms noted by the report. The establishment of debt recovery tribunals reduced non-performing loans by 28% and lowered interest rates on larger loans, suggesting that faster processing of debt recovery cases cut the credit. India is now in the middle of the list, moving up from the last quarter but still it is at the place where there is scope for improvement.
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30thOctober- 6th November
There are still significant changes possible; thought the change this year is significant, both in relative and absolute terms. The reforms have been broad-based encompassing wide range of areas including taxation, finance, legal and administrative procedures. With GST, the government has laid the foundation for a more efficient indirect tax system and with the enactment of Insolvency and Bankruptcy Code, India now has an efficient institutional mechanism for easing of business exit.
What is Ease of Doing Business Index? • • •
The Ease of doing business index is an index released by the World Bank Group in its Doing business report. Higher rankings indicate better, usually simpler, regulations for businesses and stronger protections of property rights. New Zealand has topped the Ease of Doing Business rankings in 2017.
What are the indicators on which this index is calculated? • • • • • • • • • •
Starting a business Dealing with construction permits Getting electricity Registering property Getting credit Protecting investors Paying taxes Trading across borders Enforcing contracts Resolving insolvency
Where does India stand in the Ease of Doing business index? • • • • •
India ranked 130 among 190 countries however, has not made any improvement from the last year as its rank has been downgraded to 131. This lack of improvement in the rankings though Indian Government was hoping to jump substantially this year has triggered a strong reaction and disappointment. Though several reform measures have been taken by the Government, it feels they are not reflected in these rankings. The only bright side in these rankings is that India has improved substantially in getting electricity for businesses and enforcing contracts. Out of the 10 parameters, India has slipped down in 5 parameters and on other 3, there is a status quo.
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What are the significance? • •
•
The huge improvement in ranking and score will immediately boost investor sentiments. The latest report validates the commitment of the government to fast-tracking economic reforms, addressing red tape and facilitating business, which it has undertaken in mission mode over the last three years. It will help India in moving the right direction and in creating the kind of channels that will attract foreign direct investment.
Why India should not base its result on basis of this index? • • •
• • • •
World Bank index is based on limited data. There is a disjunct between how things get done in India and Bank’s methodological approach. Many achievements have not been covered by the report due to methodological issues. According to DIPP, Online filing and payment of returns at the Employee Provident Fund Organisation has been implemented, but it was not considered by the World Bank, even after it shared “logs and voluminous evidence” of the same. Bank’s report is based on data collected from very few cities. Centre has only partial control over several of these sub-indices as it needs states support to bring the required legislations. It does not directly measure more general conditions such as a nation’s proximity to large markets, quality of infrastructure, inflation, or crime. Rankings are incompletely reflective of the significant transformation in the overall business environment in key areas such as openness to FDI, online procedures, MSME facilitation
What are the loopholes in the ease of doing business index? • • •
In India’s case, the business environment in only Delhi and Mumbai are used to compile the national ranking. These rankings also focus a lot more on the laws and rules that are on the books and do not necessarily capture the daily experiences of businesses. The World Bank said while there has been substantial progress, India still lags in areas such as starting a business (156), enforcing contracts (164) and dealing with construction permits (181).
Larger challenges • • • •
The enforcement of contracts now takes longer than it did 15 years ago. The procedures to start a business or secure a construction permit remain cumbersome. Mumbai and Delhi cannot host the kind of large factories that India needs to generate adequate employment. It is critical to have procedural reforms reach the surroundings and a road map be drafted for the larger legislative changes needed in matters such as land acquisition.
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•
30thOctober- 6th November
While foreign investors are important, the importance of domestic businesses cannot be ignored.
Distance to Frontier The distance to frontier score helps assess the absolute level of regulatory performance overtime. It measures the distance of each economy to the “frontier”, which represents the best performance observed on each of the indicators across the economies in the Doing Business sample since 2005. • An economy’s distance t frontier is reflected on a scale from 0 to 100, where o represents the lowest performance and 100 represents the frontier. Conclusion: • •
• • • •
•
The government initiated an online single window clearance system for faster approvals of building plans. This will presumably lead to obtaining building permits faster The Government should not be obsessed about this Index although all other BRICS nations are ahead of India. It should go ahead and keep on doing what it thinks is necessary for betterment of small and medium enterprises in coordination with the state governments. However, setting a national target of attaining a certain rank has also helped in bringing consensus across other parties involved like state governments and judiciary to improve overall environment of India in doing business. A lot of the parameters on which our rankings are poor are the ones where the processes are yet to be modernized. Govt. plans to sell Air India and AI Express
Context •
The National Democratic Alliance (NDA) government is working to conclude the sale of national carrier Air India by June 2018 and is keen on selling its core airline operations, together with its low-cost international airline, Air India Express.
Decision taken by Air India-specific Alternative Mechanism •
•
As per a decision taken by the Air India-specific Alternative Mechanism, the Centre will look to sell AI’s regional airline Alliance Air to a separate universe of bidders while Air India and Air India Express will likely go together. The ministerial group meeting held on September 21 was of view that a separate universe of bidders or prospective buyers be invited for Air India’s ground handling subsidiary — Air India Air Transport Service Limited (AIATSL) — and its maintenance, repair and overhaul (MRO) unit — Air India Engineering Services Limited (AIESL).
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30thOctober- 6th November
Status of Air India • • •
• •
Air India has amassed a debt of Rs 50,000 crore over the years, half of which is on account of buying costly aircraft beyond its means. Once the nation’s largest carrier, Air India’s market share in the booming domestic market has slumped to 13 per cent as private carriers expanded. Air India, which has fleet size of 114, mostly Boeings and Airbuses, is estimated to have booked operating profit of Rs 300 crore in 2016-17, almost three times the Rs 106 crore recorded in 201516. The government will infuse Rs 1,800 crore from the 2017-18 Union budget, after pumping in close to Rs 24,000 crore between April 2012 and March 2016, from taxpayers’ money. Air India is trying to shore up revenues through streamlining routes, phasing out of old fleet and consequential reduction in maintenance cost and closure of some overseas offices.
Talks with buyers • • • •
Prospective buyers will be available from international airlines if bids for Air India and Air India Express are called together. Since Alliance Air operates flights mainly on regional domestic routes, it makes more sense to sell it off separately. The decision was taken after the government held several rounds of backchannel talkswith prospective buyers of Air India and its subsidiaries. The government met companies involved in MRO, ground handling and airline operations to examine whether all the subsidiaries should be sold off together or calling for separate set of bidders would increase Air India’s valuation.
Interested buyers • •
• •
Selling Air India in parts could help the company attract more buyers and reduce some debt of the parent company. Aviation services provider Bird Group showed interest in buying Air India’s ground-handling unit AIATSL, making it the second company to show such interest after Inter Globe Aviation’s IndiGo last month. Indigo was keen on buying the international arm and low-cost division of the 1930-incorporated carrier that is known for its Maharajah mascot. The Tata Group, which has stakes in Vistara and AirAsia India, has also been mentioned as a possible suitor.
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30thOctober- 6th November
Commercial papers to raise funds Context Commercial papers have become one of the popular routes for corporates to raise funds when compared with loans from banks in recent times. What is a commercial paper? • • •
Commercial papers have become one of the popular routes for corporates to raise funds when compared with loans from banks in recent times. A commercial Paper (CP) is an unsecured loan raised by firms in money markets through instruments issued in the form of a promissory note. CPs can be issued for maturities between a minimum of 7 days and a maximum of up to one year from the date of issue.
What is the current scenario in the banking system? •
ICRA pointed out that the glut in bank deposits post demonetisation has resulted in surplus liquidity in the banking system being parked by banks under reverse repo with RBI the during September 2017.
•
While the deposit inflows have been strong, credit growth has remained weak for banks.
Why is CPs popular? Because of the following reasons • • •
Surplus liquidity Short-term borrowing rates in money markets have significantly declined post demonetisation and are much lower than the lowest benchmark lending rates of the banks banks cannot lend below the benchmark lending rates, firms with good ratings have preferred to meet short-term working capital requirements
Will this spike in commercial papers be sustained? •
•
•
Issuance of commercial papers will continue to remain strong till there is surplus liquidity in banks and short-term rates continue to be significantly lower than benchmark lending rates of the banks He also noted that a bank or mutual fund with surplus temporary liquidity will prefer to subscribe to commercial papers and earn a slightly higher return in the short-term than parking funds under reverse repo. Roughly 33% of outstanding commercial papers have been subscribed to by banks.
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What are the advantages of issuing CPs? •
Apart from being a cheaper source of funds, it helps meet funding requirements relatively quickly for better rated corporates.
•
Procedural requirements for securing bank facilities and charge creation on assets is not required.
What are the key challenges with CPS? • • • •
As the CP is an unsecured loan, the investor in commercial papers largely prefers highly-rated corporates or public sector entities in terms of credit rating. Lender appetite is limited to better rated companies. Commercial paper markets can be seasonal and vulnerable to liquidity conditions. Within the year, liquidity conditions can become tight in certain months such as the end of a quarter, because of advance payment of taxes and the like. Indian banks receive boost of Rs. 2.11 lakh crore
Context: • •
India’s banks received a considerable boost with the Union government deciding to inject Rs. 2.11 lakh crore worth of capital into the sector. The amount is expected to help put India’s banks on the path to recovery.
What is the utility of the initiative by the government? • •
By infusing capital, the government is trying to partially improve the balance sheets of public sector banks. This will also help banks write off some of the Rs 10 lakh crore bad loans currently on their books.
What is Bank recapitalization? • • •
Bank recapitalization means recapitalising banks with new capital to improve their balance sheet. The government, using different instruments to add capital into banks which undergoing credit deficiency. Since the government is the biggest shareholder in public sector banks, the responsibility of infusing capital majorly lies with the government.
Why has Recapitalisation of the Banks Occurred? •
Recapitalisation of the Banks occurs when:
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• • • •
30thOctober- 6th November
People defaulted on loans and mortgages; banks lent money (bought CDOs) to sub-prime mortgage companies in America who lost money; falling house prices means that banks assets decline further and if they repossess homes it’s harder to get value of the original loan back, and recession led to more defaults and losses. India contemplates national e-commerce policy
Context: India is considering drafting a comprehensive national e-commerce policy to develop an ecosystem that would support exports and protect consumer interests. Introduction: • •
•
The Ministry of Electronics and Information Technology (MeitY) was working on a paper on ecommerce, which will soon be put in public domain for debates and comments. However, starting negotiations on WTO rules in e-commerce would be premature as the contours of this space are still in the dark,”, according to the SudhanshuPandey, Joint Secretary, Ministry of Commerce & Industry. Several countries were enthusiastic about negotiating multilateral rules to govern international trade through e-commerce. However, such rules could hurt the interest of most developing countries, including India.
India’s position: • • •
India is in favour of promoting e-commerce, rulemaking for domestic e-commerce, developing an ecosystem to support exports and protecting the consumers’ interest. The developed countries including the US are pushing for inclusion of new issues like investment facilitation and e-commerce in the WTO’s ministerial meeting held in Argentina in December India may be very hesitant to be party to e-commerce related negotiations at the WTO level, but the country has been more receptive to such negotiations in at a regional level, particularly the Regional Comprehensive Economic Partnership (Rcep) the proposed free trade agreement with the 10-ASEAN countries (Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam) and its six Free Trade Agreements (FTAs) partners, viz. Australia, New Zealand, Japan, China, Korea and India.
Global e-commerce market: • •
Global e-commerce market was estimated at $25 trillion of which trans-border component was a minuscule 5% — meaning the remaining 95% was domestic e-commerce trade. The size of the Indian e-commerce market was just $30 billion
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30thOctober- 6th November
The varied arms of the Centre were trying to address the issues pertaining to their domain to help in formulating an overarching national policy for e-commerce.
Challenges: There were many challenges in starting international negotiations; the key areas which India needed to look at include: • • • •
Data flows, server and data localisation, Transfer of technology and mandatory sharing of telecom infrastructure. Several nations were in favour of continuing in line with the Work Programme on E-Commerce approved in 1998. India needed a harmonised approach at both the WTO and Regional Comprehensive Economic Partnership (RCEP) negotiations while balancing its interests.
34 power projects among loan defaulters Context: Finance Ministry refuses to give names to Parliamentary committee looking into NPAs What happened? • •
• •
• • •
The Finance Ministry refused to list out 34 power projects that defaulted on bank loans worth crores of rupees to a parliamentary panel on Energy recently. The Standing Committee on Energy, which was discussing non-performing assets (NPA) in the power sector, hauled the government over coals for the “casual” briefing by officials of the Department of Financial Services, the RBI and the banks that financed these power projects. Earlier, the Reserve Bank of India had refused to divulge the names of the loan defaulters. Last year, in connection with a PIL petition filed by the NGO, the Centre for Public Interest Litigation, the Reserve Bank of India had submitted a list of 57 defaulters who owe banks Rs 85000crore, in a sealed cover to the Supreme Court. The RBI, in May this year, again refused to entertain an RTI application demanding the names of loan defaulters. At previous meeting of the committee, the Department of Financial Services had said that at least 34 power projects came under the category of non-performing assets. The Standing Committee has now asked the officials to bring in the list at the next meeting.
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30thOctober- 6th November
Farmers protest against land acquisition Context To protest against land acquisition by the Jaipur Development Authority (JDA) for a housing project at Nindar, farmers performed an unusual demonstration by digging pits and trenches and buried themselves waist – deep in the earth. Peasants’ plight. •
The unique protest generated immense public sympathy and forced the government to hold talks with the farmers.
What did landowners object? • • • • •
•
The Rajasthan government had acquired 1,350 bighas of land at Nindar in several stages since 2010 for a lavish housing project, despite the land owners refusing to accept compensation. The farmers are trying to save their land from forcible acquisition. Farmers are blaming JDA by saying that the JDA’s survey was faulty and the compensation was much below market prices. After some farmers lost court battle, they surrendered 283 bighas. Nearly 5,000 families would have been affected. However, the JDA insisted on getting possession of the entire 1,350 bighas, including 150 bighas of the mandirmaafi (exempted for temples) land for which it deposited ₹60 crore in the court as compensation. The JDA’s project was touted as its biggest scheme with 6,000 houses and residential plots.
What is the Land Policy? •
•
• •
•
Land acquisition in the State is governed by a policy framed in April 2016 under the Central law, the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The policy’s emphasis is on conducting negotiations with landowners and reaching consensus on compensation and rehabilitation by the Collector, while taking into consideration the land’s existing market value. Separately, the State government has enacted a Land Pooling Schemes Act to consolidate small landholdings for the areas declared special investment regions. The land acquisition at Nindar was the first instance of forcible takeover of farmland with the payment of inadequate compensation, primarily because the land was acquired in several stages, while compensation was offered at the rates prevailing in 2010. Farmers have taken the matter to the High Court earlier in 2013, contending that the State Land Revenue Act entitled farmers to negotiations and the best price in lieu of the rights of agricultural land allotted for mining purposes.
Why did farmers bury themselves? •
To intensify their agitation when they did not get a response from the government and came up with the novel idea of Zameen Samadhi Satyagraha.
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30thOctober- 6th November
On October 2, the birth anniversary of Mahatma Gandhi, the farmers dug pits and buried themselves waist-deep in a “non-violent method” of showing their anger at the government. Forty-year-old Nagendra Singh Shekhawat led the agitation as convener of the NindarBachaoYuvaKisanSangharshSamiti.
What lies ahead? •
•
• •
•
The State government and JDA officers did not respond initially, but with the protesters not budging despite dehydration and skin infection, sympathy among the residents of the nearby Vidyadhar Nagar increased and Congress leaders Sachin Pilot and C.P. Joshi visited them to express solidarity. As public pressure mounted, the BJP government invited the farmers for talks. After prolonged negotiations, the JDA agreed to a fresh survey, in which all structures, tubewells and fruit-bearing trees would be included. The SangharshSamiti called off the agitation on October 31. The farmers are hopeful that the new survey will reflect the ground situation and ensure better compensation against the previous assessment which marked several agricultural fields as barren and showed hamlets as vacant land. The farmers are looking forward to the findings of the survey, for which new teams have been appointed by the JDA.
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30thOctober- 6th November
ENVIRONMENT,POLLUTION AND CONSERVATION Mass bathing in Ganga contributing to Anti-microbial resistance (AMR) Context: Mass bathing in the Ganga during pilgrimages may be contributing to Anti-microbial resistance (AMR), say a government-commissioned report on the threat from AMR. Introduction: •
• • •
•
The government report – Scoping Report on Antimicrobial Resistance in India — made public cites compilation of all scientific studies done in India on the threat from AMR, causes and sources that aggravate it. The report was commissioned by the Department of Biotechnology and the UK Research Council and prepared by the Centre for Disease Dynamics and Economic Policy. Anti-microbial resistance (AMR) is the reason for certain key antibiotics becoming ineffective against diseases, including tuberculosis. Researchers from the Newcastle University in the United Kingdom and the Indian Institute of Technology-Delhi sampled water and sediments at seven sites along the Ganga in different seasons. In 2014, researchers that levels of resistance genes that lead to “Superbugs” were found to be about 60 times greater during the pilgrimage months of May and June than at other times of the year.
The government report on Antimicrobial Resistance: • • •
•
The report was commissioned by the Department of Biotechnology and the UK Research Council and prepared by the Centre for Disease Dynamics and Economic Policy. India has some of the highest antibiotic resistance rates among bacteria that commonly cause infections in the community and healthcare facilities. Resistance to the broad-spectrum antibiotics fluoroquinolones and third generation cephalosporin was more than 70% in Acinetobacterbaumannii, Escherichia coli, and Klebsiellapneumoniae, and more than 50% in Pseudomonas aeruginosa. Other than ‘cultural factors’ such as bathing in the Ganga, the drivers of AMR includedexcessive use of antibiotics in the livestock industry and unchecked discharge of effluents by the pharmaceutical industry. However, in spite of the challenge, too little work had been done so far to understand it.
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30thOctober- 6th November
Global comparison: •
• • •
In 2014, India was the highest consumer of antibiotics, followed by China and the United States. However, the per-capita consumption of antibiotics in India was much lower than in several other high-income countries. Improving management of health care delivery system. Promoting investment for antimicrobial resistance activities, research and innovation. Strengthening India’s commitment and collaborations on antimicrobial resistance at international, national and sub-national level. Blackbuck conservation reserve to come up in U.P
Context • •
A wildlife conservation reserve dedicated exclusively to the blackbuck is coming up over 126 hectares in the trans-Yamuna region of Allahabad in Uttar Pradesh. The State cabinet has approved a Blackbuck Conservation Reserve in the Meja forest division that is known for its rocky, undulating and arid terrain.
About blackbuck sanctuaries in India There are a few national parks and sanctuaries inhabited by blackbuck in the country, like theVelavadar Wildlife Sanctuary in Gujarat and the Ranibennur Blackbuck Sanctuary inKarnataka. However, there are not many conservation reserves exclusively dedicated to the antelope. About blackbuck • Blackbucks, known for their majestic spiral horns and coat colour contrasts, are found in grasslands and open forests. • They once ruled the open savannahs of north and central India, but are now restricted to just a few patches and habitats, primarily due to human population growth, ecosystem degradation and hunting. • The U.P. government evoked Section 36 A (1) and (2) of the Wildlife Protection Act, 1972, to declare the conservation reserve. •
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30thOctober- 6th November
Climate change takes a toll on global health Context: New research published by The Lancet medical journal states that on an average there has been a 5.3% fall in productivity for rural labour estimated globally since 2000, as a result of rising temperatures around the world. The Lancet report: Lancet study estimates 1.9 million deaths in 21 Asian countries in 2015 that could be attributed to PM2.5 air pollution from sources such as coal plants, transport, household pollution, others • The report talks of the various ways climate change has started affecting the health of people across the planet. • Doctors, academics and policy makers have contributed to the analysis and jointly authored the first report of “The Lancet Countdown: Tracking Progress on Health and Climate Change”. • Partners behind the research include the World Bank, World Health Organization (WHO), University of London and Tsinghua University. Anthropogenic effect •
•
• • • •
The research builds on the work of the 2015 Lancet Commission on Health and Climate Change, which concluded that anthropogenic climate change threatens to undermine the last 50 years of gains in public health. The report said that over one billion people globally will be faced with a need to migrate within 90 years, due to a rise in sea level caused by ice shelf collapse, unless action is taken. The research found that 87% of a random sample of global cities are in breach of WHO air pollution guidelines. The world has seen a 46% global increase in weather related disasters since 2000, the reported pointed out. The total value of economic losses resulting from climate-related extreme weather events was estimated at $129 billion in 2016.
Paris Agreement pledges leave deficit that could raise temperature by 3°C • •
•
In its annual review, the UN says the gap between carbon cutting plans and the reductions required to keep temperature rises below 2 degrees Celsius is “alarmingly high”. The goal of the Paris Agreement on climate change, as agreed at the Conference of the Parties in 2015, is to keep global temperature rise this century to well below 2 degrees Celsius above preindustrial levels. It also calls for efforts to limit the temperature increase even further to 1.5 degrees Celsius.
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30thOctober- 6th November
The UN Environment Emissions Gap Report 2017: •
•
• •
According to the UN Environment Emissions Gap Report 2017 there is a big carbon emissions gap exists between the levels that can be achieved in 2030 with present climate commitments, and what need to be done using set pathways to limit increase in global average, temperature to less than 2° Celsius or a more ambitious 1.5° C by the year 2100. The report says full implementation of the unconditional Nationally Determined Contributions (NDCs) and comparable action afterwards “could result in a temperature increase of about 2° C by 2100 relative to pre-industrial levels” while full implementation of conditional NDCs would marginally lower that projection by about 0.2°C. Fossil fuels and cement production account for about 70% of greenhouse gases, the report noted The alarming number and intensity of extreme weather events in 2017, such as hurricanes, droughts and floods, add to the urgency of early action.
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30thOctober- 6th November
SECURITY AND DEFENSE The Nagaland tribe Context • •
The Naga struggle for sovereignty which started a day before India’s Independence remains the most talked about issue yet. In the Naga mind, the promise of a better future without disturbing this irreplaceable past seems alarming.
What are the major concerns? The Naga national workers are no longer in the prime of their lives. The chairman of the National Socialist Council of Nagaland (I-M), IsakChisiSwu, has passed away and ThuingalengMuivah too is getting on in years. • In August 2015, when the Framework Agreement was signed between the Government of India and the NSCN (I-M), expectations were high that an “honourable settlement” was in the offing. • What is honourable for the NSCN(I-M) may not seem honourable enough to Naga society as a whole, with disparate aspirations and interpretations. Recent issues • •
The political deadlock in India’s northeastern state of Nagaland is showing no signs of letting up, with neither of the warring factions in the ruling Naga People’s Front (NPF) appearing in the mood to relent. • Governor PB Acharya had asked Chief Minister ShurhozelieLiezietsu to prove his majority on the floor of the Assembly. • However, at the heart of the crisis is the power struggle between Liezietsu and the state’s former chief minister TR Zeliang. • In January 2017 with civil unrest in the state over the NPF government’s — then headed by Zeliang — move to hold civic polls with 33 percent reservation of people. • The tribal bodies in the state almost unanimously opposed the reservation to women leaders, stating that the government order was in contrast to their traditions, which do not allow women to take up leadership roles. • The state saw violent protests on its streets from tribal communities, from 31 January onwards, after the state government decided to hold urban local bodies’ (ULB) election with 33 percent reservation for women, which led to the death of three persons in police firing. The way forward •
•
For the Naga people at this juncture, the most pragmatic step is to take a balanced view of the past. Obsession with one point of view hinders any kind of progress.
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•
• •
30thOctober- 6th November
With 16 major tribes, each with a sense of nationality of its own and every tribe having its village republics which is a crucial part of their culture, there will be divergent ‘national’ narratives. Naga nationalism is both a sentiment and a movement. Ethnic boundaries of yore which went beyond geopolitical borders of the present nation can be both problematic and defy pragmatism. There is the issue of the Indian nation state, a term that is also problematic but which has provided its own stability for 70 years. DRDO successfully tests guided bomb
Context •
The Defence Research and Development Organization (DRDO) has successfully tested an indigenously developed light weight glide bomb, Smart Anti Airfield Weapon (SAAW) like airfields.
About the missile • • •
The guided bomb released from an Indian Air Force (IAF) aircraft and guided through precision navigation system The missile reached the targets at greater than 70 km range with high accuracies. The tests were conducted at Chandipur in Odisha. India’s homegrown Nirbhay cruise missile up for fifth trial
Context The Defence Research and Development Organisation (DRDO) post two consecutive failures is all geared up for a fresh experimental trial of India’s first home-grown subsonic cruise missile Nirbhay scheduled for the next week, November 7 to 9. Preparation underway Hectic preparations are underway at the Integrated Test Range (ITR) off Odisha. It will be fifth launch of the missile in the last five years. • Concluding checks of the missile sub-systems are on and hopefully the missile will be ready for test in the coming two days. A team of experts are monitoring the launch preparations. How will it work? •
• •
Once powered by a turbofan engine, Nirbhay will be tested using a turbojet engine for the first time. DRDO scientists are expecting a success this time as wing deployment and navigation software problems, detected during the pre-launch check-ups in May which led to its postponement, seem to have been rectified.
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30thOctober- 6th November
Failure of the previous tests • •
Of four tests so far, three have failed as the missile had achieved partial success during the second test in 2014. Nirbhay’s last trial conducted on December 21, 2016, was aborted midway as the missile changed its course.
Controversy related to the missile • The missile project was stalled in controversy after ‘The Express’ raised doubts on its outcome prior to third and fourth trials since it was pushed for test with faults in the flight control and navigation software. Features of Nirbhay • • • • • • •
Nirbhay is a six-metre long two-stage missile that can strike a target from 1,000 km away. With a diameter of 0.52 metres and wing span of 2.7 metres, it weighs around 1,500 kg and can carry warheads up to 200 kg. Comparable with America’s Tomahawk missile as far as the stealth capability, it can cruise at a speed of Mach 0.8. The Nirbhay is a land attack cruise missile armed with a 300-kilogram warhead capable of reaching speeds of 0.6-0.7 Mach, and designed to be launched from air, sea, and land. Nirbhay blasts off like a rocket and unlike a missile it turns into a vehicle akin an aircraft. While flying at tree-top level it can deceive enemy radars making it difficult to be detected. Designed by Aeronautical Development Establishment (ADE) and launched in 2004, the project is on an 18-month extension which expires in June 2018.
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30thOctober- 6th November
SCIENCE AND TECH Re-absorbable stents are in no way superior to the drug-eluting stents Context: Scientific data suggests that so called innovative re-absorbable stents are in no way superior to the drugeluting stents, which have a price cap, stated ADEH. Introduction: •
•
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The Alliance of Doctors for Ethical Healthcare (ADEH), a nation-wide network of doctors in the country, has strongly opposed a suggestion by Ambassador Robert E Lighthizer, US trade representative, opposing a cap on the prices of stents and orthopedic implants. According to ADEH, the Indian government has rejected the company’s’ demand for differential pricing for cardiovascular stents because these companies failed to submit verifiable and credible evidence to show the clinical superiority of the so-called ‘innovative’ stents. This price capping on stents and orthopedic implants has come as a result of people’s movements and judicial intervention Earlier, the National Pharmaceutical Pricing Authority (NPPA) had put a cap on the prices of coronary stents and knee joint implants.
What is a Stent? • • • • •
A stent is a small mesh tube that’s used to treat narrow or weak arteries. Arteries are blood vessels that carry blood away from your heart to other parts of your body. Some stents are coated with medicine that is slowly and continuously released into the artery. These stents are called drug-eluting stents. The medicine helps prevent the artery from becoming blocked again. These metal tubes have revolutionized modern cardiology.
Stenting in India •
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There is no regulation of hospitals in India, especially in the private sector where a majority of urban Indians seek health care. At least 25-30% of the stenting done in this country is inappropriate. There are cases of stents being used in absolutely normal patients. In our country the major gap is in the counselling which the doctor provides. Normally the patients go by the doctor’s advice. In the absence of any monitoring, patients in India have no protection from unnecessary use of stent. In the last 5 years the implant of stenting in India has increased by 5 times. There is not only a boom in the domestic market, bust also foreign patients are coming to India as part of medical
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tourism to get stenting done because the cost of stenting in India is low. This is because there is increased awareness, increased diagnosis, increased availability of the angiograms and increased availability of doctors. Uses of Stents: • • • 1. 2. 3. 4. 5. 6.
Stents are small, expandable tubes that treat narrowed arteries in patient body. Coronary stent is a tube shaped device when inserted into blocked blood vessel ,can help to clear d blockage In people with coronary heart disease caused by the buildup of plaque, they can: Open narrowed arteries Reduce symptoms like chest pain Help treat a heart attack. These types are called heart stents,but they’re also referred to as cardiac stents or coronary stents. Doctors also may place stents in weak arteries to improve blood flow and help prevent the arteries from bursting A stent is placed in an artery as part of a procedure called percutaneous coronary intervention (PCI), also known as coronary angioplasty A stent helps support the inner wall of the artery in the months or years after PCI.
Advantages of stent: • • •
The devices save thousands of live every year. Emergency angioplasty is the treatment of choice during an acute heart attack, wherein the clot is crushed with a balloon and a stent is placed. It improves the chance of the patient surviving by almost 30 per cent when compared to clot dissolving medication (thrombolysis).
Concerns / challenges • •
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In India there are instances where angioplasty is done for patients having chest pain due to Vitamin D deficiency which is wrong. The bypass is done by the surgeon and the stenting is done by the cardiologists. The poor victim of the heart attack or the Coronary artery disease lands up with cardiologist. It is the integrity, honesty and the righteousness of the cardiologists to decide whether the patient really needs stenting or not. The stents are very costly. There is no regulation and the Drug Controller is not capable of regulating domestic stent manufacturers. There have been cases where the stent manufacturers have been found making stents in garages.
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In India the coronary artery disease is seen in young age, people do not exercise, do not have adequate sleep, do not have stress free life and do not eat balanced diet to keep their coronaries healthy.
IIT Guwahati uses superhydrophobic cotton to remove oil – spill Context A team of Researchers at the Indian Institute of Technology (IIT), Guwahati has removing up to95% of oil-spill of different densities, light and heavy oils, repetitively at least 100 times using super hydrophobic (extremely water repelling) medical cotton. What was the experiment? The researchers turned the medical cotton, which is extremely water absorbing, into a super hydrophobic (water contact angle of 157 degrees) material and used it for absorbing oil both in air and under water. • The efficacy of absorption is very high, above 2,000 weight percentage for both heavy and light oils. • One gram of the super hydrophobic cotton absorbs 20 grams of either heavy or light oils. The results were published in the Journal of Materials Chemistry A. • The absorbed oil can be recovered through physical compression. The super hydrophobicity remained intact even when the cotton was manually compressed up to 1,000 times and subjected to other physical manipulations. Other characteristics of the experiment •
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It has the ability to absorb oil from three complex phases — light oil that floats in the air–water interface, sediment oil that settles at the bottom as it is heavy, and from water-in-oil emulsion.
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The super hydrophobic property remains intact even when exposed to UV light for ten days, the material was able to absorb oil from river and sea water, and extremely acidic (pH 1) and alkaline (pH 12) water.
Treating emulsions •
The cotton is inherently incompetent of removing oil from oil-in-water emulsion.
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In the case of oil-in-water emulsion there is very little of oil present and as there is more water present, the super hydrophobic material does not come in contact with oil and thus it is unable to remove oil efficiently from oil-in-water emulsion.
Filtering oil • •
Selective filtration of oil under water against gravity in the case of heavy oil that has settled at the bottom was achieved. To conduct the experiment, the researchers plugged one end of a tube with the super hydrophobic cotton and dips the tube so it comes in contact with the oil.
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Once in contact with the sediment oil, the cotton absorbs the oil and due to hydraulic pressure, the oil gets removed from the cotton and accumulates inside the tube. In the case of gravity-driven filtration, heavy oil mixed with water is poured into a funnel, the tip of which is closed with the super hydrophobic cotton. The heavy oil settles to the bottom and comes in contact with the cotton which filters it leaving the water in the funnel. This method can be used in industry to remove the oil component from water before letting out the waste water.
Cotton processing • • • • • •
The hydroxyl group seen in cotton is first modified with branched poly (ethylenimine (BPEI) to make it functionalized with amine group. A nanocomplex is prepared separately by mixing BPEI with dipentaerythritolpentaacrylate (5Acl) and added to the functionalised cotton. The nanocomplex provides essential topography and makes the cotton chemically reactive, thus making it possible to further optimize the appropriate chemistry of the material. The nanocomplex reacts with amine-based small molecules of choice to make the cotton hydrophobic to varying degrees. The hydrophobicity from hydrophilic can be tuned to super hydrophobic using different aminecontaining small molecules It is a green synthesis without the use of any catalyst or hazardous material. The process of making super hydrophobic cotton is a simple three-step process and scalable.
What is Super hydrophobic coating? A superhydrophobic coating is a nanoscopic surface layer that repels water. Droplets hitting this kind of coating can fully rebound in the shape of column or pancake. • In industry, super-hydrophobic coatings are used in ultra-dry surface applications. The coating causes an almost imperceptibly thin layer of air to form on top of a surface. • Super-hydrophobic coatings are also found in nature; they appear on plant leaves, such as the Lotus leaf, and some insect wings. • The coating can be sprayed onto objects to make them waterproof. The spray is anti-corrosive and anti-icing; has cleaning capabilities; and can be used to protect circuits and grids. Use of super hydrophobic coating •
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Due to the extreme repellence and in some cases bacterial resistance of hydrophobic coatings, there is much enthusiasm for their wide potential uses with surgical tools, medical equipment, textiles, and all sorts of surfaces and substrates. However, the current state of the art for this technology is hindered in terms of the weak durability of the coating making it unsuitable for most applications. Newer engineered surface textures on stainless steel are extremely durable and permanently hydrophobic. Optically these surfaces appear as a uniform matte surface but microscopically they consist of rounded depressions one to two microns deep over 25% to 50% of the surface. These surfaces are produced for buildings which will never need cleaning.
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Experimental vaccine to protect against HIV Context: •
Scientists have developed a novel vaccine candidate that may prevent HIV infection by stimulating an immune response against sugars that form a protective shield around the virus.
What has the scientist found? •
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Researchers tried to create an HIV vaccine targeting gp120, but had little success as the sugar shield on HIV resembles sugars found in the human body and do not stimulate a strong immune response. Over 60 strains of HIV exist and the virus mutates. As a result, antibodies against gp120 from one HIV strain will not protect against other strains.
What is HIV? • •
HIV stands for Human Immuno-Deficiency Virus. HIV after entering the human body gradually destroys the immune system, i.e. the ability to fight infections/diseases.
What is AIDS? • • •
AIDS stands for Acquired Immune Deficiency Syndrome. It is the later stage of infection with HIV. It is a condition in which a group of symptoms appear as the immune system becomes very weak.
What are causes of HIV/AIDS? • • • •
The virus transmission is facilitated when either partner has other sexually transmitted disease (STDs). The second mode is through the transfusion of HIV infected blood or the blood products. The third mode is through infected blood in needles, syringes and other such instruments. The third way is the transmission from an infected mother to her newborn.
What is National AIDS Control Programme (NACP)? •
The National AIDS Control Programme (NACP), launched in 1992, is being implemented as a comprehensive programme for prevention and control of HIV/ AIDS in India.
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Objectives: • •
The programme was enforced with an objective of slowing down the spread of HIV infections so as to reduce morbidity, mortality and impact of AIDS in the country. Over time, the focus has shifted from raising awareness to behaviour change, from a national response to a more decentralized response and to increasing involvement of NGOs and networks of People living with HIV (PLHIV).
II, III and IV National AIDS Control Project: •
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In November 1999, the second National AIDS Control Project (NACP II) was launched to reduce the spread of HIV infection in India, and (ii) to increase India’s capacity to respond to HIV/AIDS on a long-term basis. NACP III was launched in July 2007 with the goal of Halting and Reversing the Epidemic over its five-year period. NACP IV, launched in 2012, aims to accelerate the process of reversal and further strengthen the epidemic response in India through a cautious and well defined integration process over the next five years.
Objectives of NACP IV: • • • •
Prevention services: Intensifying and consolidating prevention services, with a focus on High Risk Groups (HRGs) and vulnerable population. Intensive care: Increasing access and promoting comprehensive care, support and treatment. IEC services: Expanding IEC services for (a) general population and (b) high risk groups with a focus on behaviour change and demand generation. Strengthening Strategic Information Management (SIM): SIM helps in businesses and organizations categorize, store, process and transfer the information they create and receive.
Way forward: • • •
There is a need of major breakthrough in the research to produce a vaccine which would prevent and kill HIV enabling those who are affected, to lead a normal life. Until then, protected sexual intercourse, regular tests, awareness and prevention will boost our chances of tackling the deadliest disease in history Most importantly, the society should be more acceptable and free from the clutches of discrimination and hatred against the patient’s.
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Fewer TB deaths in India and rise in the budget Context: • •
According to a report from the World Health Organization (WHO), death from tuberculosis in India saw a good decline from last year. Also, the number of new cases saw a rise of 5% increase.
What is tuberculosis? • • •
Tuberculosis (TB) is a multi-systemic infectious disease. It is caused by a bacteria called as Mycobacterium tuberculosis. It is a communicable disease.
What are the causes of tuberculosis? • • • • • • •
Microscopic droplets: Tuberculosis is caused by bacteria that spread from person to person through microscopic droplets released into the air. This can happen when someone with the untreated, active form of tuberculosis coughs, speaks, sneezes, spits, laughs or sings. HIV and TB: Infection with HIV suppresses the immune system, making it difficult for the body to control TB bacteria. As a result, people with HIV are many times more likely to get TB and to progress from latent to active disease than are people who aren’t HIV positive. Drug-resistant TB: Another reason of tuberculosis is the increase in drug-resistant strains of the bacterium. Drug-resistant strains of tuberculosis emerge when an antibiotic fails to kill all of the bacteria it targets. The surviving bacteria become resistant to that particular drug and frequently other antibiotics as well.
WHO’s treatment guidelines for drug-resistant tuberculosis: • •
The WHO treatment guidelines for drug-resistant tuberculosis (2016 update) contain policy recommendations on priority areas in the treatment of drug-resistant tuberculosis. The revision is in accordance with the WHO requirements for the formulation of evidenceinformed policy.
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Threefold rise in the budget for fighting tuberculosis •
According to a report from the World Health Organisation (WHO), India’s domestic budget for fighting tuberculosis showed a dramatic jump from about ₹700 crores in 2015 to₹2,500 crores last year.
Why is it important? • •
Most of India’s budget to combat the bacterial infection use to be dominated byinternational funding. For the very first-time things have flipped as domestic resources accounted for 74% of the $525 million spent in India last year, while it was only 38% in 2015.
Decrease in numbers • • • • •
In 2016, India recorded a 12% dip in the number of TB deaths from the previous year though the incidence dipped marginally by 1%. The number of notified cases of drug-resistant tuberculosis (MDR-TB) jumped from 79,000 to 84,000 in 2016. The use of molecular diagnostic tests has scaled up to detect the infection even on detection of drug-resistant TB, which is an improvement. India with 1.7 million new cases in 2016 continues to be the largest contributor to the global burden with up to a quarter of the 6.3 million new cases of TB. India accounts for about 32% of the number of people worldwide who succumbed to the disease.
Government initiative • • •
The government has committed to achieve a ‘90-90-90 target’ by 2035 i.e., 90% reductions in incidence, mortality and catastrophic health expenditures due to TB. The target is premised on improved diagnostics, shorter treatment courses, a better vaccine and comprehensive preventive strategies. However, several activists say that in spite of the government commitments, TB is still stigmatized and under-reported especially from the private sector and top-line drugs are still inadequate to treat people who suffer from the drug-resistant forms of the disease.
Directly Observed Treatment Short Course (DOTS) •
For the past two decades, India has slowly come to grips with regular strains of TB under a World Health Organization program known as DOTS or Directly Observed Treatment Short Course, in which patients are given free drugs but have to take them three times a week, in the presence of a health worker or volunteer, for at least two months.
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It involved a monumental effort perhaps bettered only by the country’s successful program to eradicate polio but India now meets global targets by detecting more than 70 percent of TB cases and curing more than 85 percent of those detected.
The main highlights of the WHO guidelines, 2016-17 are: • • • •
A shorter MDR-TB treatment regimen is recommended under specific conditions; Medicines used in the design of conventional MDR-TB treatment regimens are now reclassified to reflect updates in the evidence on their effectiveness and safety; Specific recommendations are made on the treatment of children with rifampicin-resistant or MDR-TB based on a first-ever individual patient data meta-analysis; Recommendations on the role of surgery in MDR-TB case management are included.
What is the Revised National Tuberculosis Control Program (RNTCP)? • •
Revised National Tuberculosis Control Program (RNTCP) is the state-run tuberculosis (TB) control initiative of the Government of India. As per the National Strategic Plan 2012–17, the program has a vision of achieving a “TB free India”.
Objectives: • •
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RNTCP provides various free of cost, quality tuberculosis diagnosis and treatment services across the country through the government health system. The program uses the World Health Organisation (WHO) recommended Directly Observed Treatment Short Course (DOTS) strategy and reaches over a billion people in 632 districts/reporting units. It is also responsible for carrying out the Government of India five year TB National Strategic Plans.
What is National Strategic Plan for tuberculosis 2017– 2025? •
The national strategic plan for tuberculosis elimination (2017-2025), has set a goal of “achieving a rapid decline in burden of TB, morbidity and mortality while working towards elimination of TB by 2025.”
Highlights: • •
The TB control programme plans to do away with the strategy of waiting for patients to walk in to get tested and instead engage in detecting more cases, both drug-sensitive and drug-resistant. The emphasis will be on using highly sensitive diagnostic tests, undertaking universal testing for drug-resistant TB, reaching out to TB patients seeking care from private doctors and targeting people belonging to high-risk populations.
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The other priority is to provide anti-TB treatment irrespective of where patients seek care from, public or private and ensure that they complete the treatment. The TB control programme also talks of having in place patient-friendly systems to provide treatment and social support. Scientists mine ‘star scar’ in France
Context: • An astrobleme was made by a massive space rock that crash-landed more than 200 million years ago in Rochechouart, has intrigued scientists since its discovery in the 19th century. What is an Astrobleme? • An astrobleme, literally means ‘star scar’ • It is the name given to traces left by a major meteorite impact. What is the significance of this Astrobleme? • • • • • •
The astrobleme in Rochechouart is unusually close to the surface, making it easier to study. The drilling, scheduled through November, will yield 20 core samples. Some scientists hope to tease out remaining mysteries about how such meteorites form, and what that might tell us about their evolution in space. Others are on the hunt for chemical traces that could shed light on the emergence of life on Earth, and which of the raw ingredients essential for life came from space. Geologists are curious about how such a cataclysmic impact might have released water held within rock formations. While palaeontologists are looking at how an event that could destroy life, at the same time, creates conditions for new lifeforms to emerge.
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Disaster Management Boiler explosion at NTPC’s Context: The recent boiler explosion at NTPC’s Unchahar power plant in Rae Bareli brings up the importance of inspections and protocols for hazardous industrial operations. • It has cost at least 32 lives and caused severe injuries to many of the personnel. Explanation: •
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High pressure boilers are hazardous pieces of equipment, which are strictly regulated with special laws. The Uttar Pradesh government failed miserably in meeting its objective of the Indian Broilers Act for the accident was entirely preventable. Because boilers are designed to provide warnings as soon as dangerous pressure builds up and trigger automatic safety devices at a critical point.
What is boiler? • • • • • •
A boiler is simply an enclosed vessel which boils water and ultimately turns it into steam which is used for heating of rooms and heavy fuel oils on the ships. The boilers are fitted with different safeties as the steam pressure is upto 8 bars in most cases. Boiler are of two types: STB (Smoke tube Boiler) or donkey boiler WTB (Water tube Boiler) or High-pressure boiler On board a vessel, STB or WTB may be used as per the requirement.
The Indian Boilers Act-1923: •
The Indian Boilers Act-1923 was enacted with the objective to provide mainly for the safety of life and Property of persons from the danger of explosions of steam boilers and for achieving uniformity in registration and inspection during operation and maintenance of boilers in India.
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