Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not much
Mains level: Paper 3- Regulation of e-commerce sector
The article highlights the risk of stifling the e-commerce sector due to the government’s propensity for its regulation to protect the local traders.
Efforts to shield local retailers
- India began to open up its economy three decades ago, but efforts to shield local retailers resulted in a retail sector fraught with a thicket of rules.
- With the web’s reach expanding rapidly, online retail is expected to grab a fast-widening slice of a pie placed at above $880 billion last year and projected at $1.3 trillion in 2024.
- Such a huge opportunity has set the stage for a grand e-com confrontation, with our two biggest business houses gearing up to take on a duopoly of US-based Amazon and Walmart-owned Flipkart.
- The more fiercely e-com is contested, the tighter this sector’s straps seem to get.
What are the new regulations?
- The Centre put out proposals to tighten e-com regulations for consumer protection.
- E-com firms must appoint resident officers to address grievances and monitor rule-compliance, and then be ready to share information sought by authorities within 72 hours.
- For the sake of “free and fair competition”, they must label all wares on their websites by country-of-origin, offer local alternatives, keep search results unbiased, not sell anything to anyone registered as a ‘seller’ with them, not conduct deep-discount flash sales of cherry-picked products.
- Restriction on aiding associated enterprises with any helpful data gleaned by their algorithms.
- As another measure to assure small enterprises an even field, they must also ensure that their logistical systems support all sellers in the same category equally.
- As it happens, this attempt to straitjacket e-com platforms coincides with an antitrust probe of ‘unfair practices’ ascribed to Amazon and Flipkart.
Issues with regulations
- Some of these sound too vague and subjective to adopt.
- Even if clear criteria are specified for their adoption and they actually serve to curtail brand favouritism, they would leave e-com majors with too little autonomy to devise strategies of service differentiation for a competitive edge.
- The perception of e-com majors being bullies, however, does not seem very widely shared among their customers, few of whom complain of either insufficient rivalry or choice deprivation online.
Conclusion
What e-com users are now at risk of suffering, though, is a hobbled industry. If all e-com websites are forced into a statist mould meant for generic market platforms, these companies could lose their ability to set themselves apart, outperform rivals and serve the market’s ultimate cause.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Delimitation of constituencies
Mains level: Jammu and Kashmir after reorganization
The Union government’s invitation to 14 key political leaders from Jammu and Kashmir for a meeting with the PM has led to speculation about the possible scheduling of the Assembly elections. However, the delimitation of constituencies is crucial for kick-starting any political process in J&K.
What is Delimitation and why is it needed?
- Delimitation is the act of redrawing boundaries of an Assembly or Lok Sabha seat to represent changes in population over time.
- This exercise is carried out by a Delimitation Commission, whose orders have the force of law and cannot be questioned before any court.
- The objective is to redraw boundaries (based on the data of the last Census) in a way so that the population of all seats, as far as practicable, be the same throughout the State.
- Aside from changing the limits of a constituency, the process may result in change in the number of seats in a state.
Do not forget to answer this PYQ in the comment box:
Q.With reference to the Delimitation Commission, consider the following statements:
- The orders of the Delimitation Commission cannot be challenged in a Court of Law.
- When the orders of the Delimitation Commission are laid before the Lok Sabha or State Legislative Assembly, they cannot affect any modifications in the orders.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
How often has delimitation been carried out in J&K?
- Delimitation exercises in J&K in the past have been slightly different from those in the rest of the country because of the region’s special status — which was scrapped by the Centre in August 2019.
- Until then, the delimitation of Lok Sabha seats in J&K was governed by the Constitution of India, but the delimitation of the state’s Assembly was governed by the J&K Constitution and J&K Representation of the People Act, 1957.
- Assembly seats in J&K were delimited in 1963, 1973 and 1995.
- The last exercise was conducted by the Justice (retired) K K Gupta Commission when the state was under President’s Rule and was based on the 1981 census, which formed the basis of the state elections in 1996.
- There was no census in the state in 1991 and no Delimitation Commission was set up by the state government after the 2001 census as the J&K Assembly passed a law putting a freeze until 2026.
Why is it in the news again?
- After the abrogation of J&K’s special status in 2019, the delimitation of Lok Sabha and Assembly seats in the newly-created UT would be as per the provisions of the Indian Constitution.
- On March 6, 2020, the government set up the Delimitation Commission, headed by retired Supreme Court judge Ranjana Prakash Desai, which was tasked with winding up delimitation in J&K in a year.
- As per the J&K Reorganization Bill, the number of Assembly seats in J&K would increase from 107 to 114, which is expected to benefit the Jammu region.
What is the status of this 2020 Delimitation?
- Although the Commission was tasked to finish delimitation in a year, on March 4 this year, it was granted a year’s extension.
- This was done at the request of the panel members since it couldn’t make much progress due to the Covid-19-induced shutdown across the country.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not much
Mains level: Paper 2- Issues with UAPA 1967
Recent judgements involving UAPA highlights the issues with certain provisions resulting in long years of undertrial imprisonment.
Context
In the past week, three seminal judgments involving the Unlawful Activities (Prevention) Act, 1967 (UAPA) have been delivered. While these judgments are welcome developments, they also remind us that thousands continue to languish under the UAPA regime.
Issues with the provisions of UAPA
- Originally enacted in 1967, the UAPA was amended to be modelled as an anti-terror law in 2004 and 2008.
- The period of detention is increased, enlarging the period of custody prior to which default bail cannot be granted.
- Regular bail is subject to the satisfaction of the judge that no prima facie case exists.
- Bail apart, the dilatory trial procedures ensure lengthy periods of pre-trial incarceration for the accused who are presumed guilty of heinous terror crimes.
NCRB data reveal long years of undertrial imprisonment
- As per the National Crime Records Bureau (NCRB) data, a total of 4,231 FIRs were filed under various sections of the UAPA between 2016 and 2019.
- While the number of acquittals is low, the real picture emerges in the pendency rates.
- The pendency rate at the level of police investigation is very high, at an average of 83 per cent.
- This denotes that chargesheets are filed by the police on an average in about 17 per cent of the total cases taken up for investigation.
- The rate of pendency at the level of trial is at an average of 95.5 per cent.
- This indicates that trials are completed every year in less than 5 per cent cases.
What did the courts say in various judgements?
- The Supreme Court, in Union of India v K A Najeeb, held that despite restrictions on bail under the UAPA, constitutional courts can still grant bail on the grounds that the fundamental rights of the accused have been violated.
- In Asif Iqbal Tanha v State of NCT of Delhi, the Delhi High Court took this reasoning a step further, holding that it would not be desirable for courts to wait till the accused’s rights to a speedy trial are entirely vitiated before they are set at liberty.
- Courts should exercise foresight, and in cases with hundreds of prosecution witnesses where a trial will not see a conclusion for years to come, courts should apply the principles laid down in Najeeb.
Way forward
- Even within the constraints of the UAPA, much can be achieved if a responsive and independent judiciary follows the basic principles of natural justice and due process.
- But access to the judiciary remains limited for most of the thousands incarcerated under this widely-used law.
Conclusion
The governments need to consider the issue of pendency of cases under UAPA and take steps to address the issues by either repealing certain provisions or ensuring speedy trials.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: GMO, BT
Mains level: Hazards of using GMO crops
Amid the perpetual debate surrounding BT cotton’s positive and negative impacts, a recent study has said its adoption in Punjab in the past over a decade has resulted in net economic and environmental benefits.
Background
- BT (Bacillus thuringiensis) cotton has been commercially grown in India for the past 19 years.
- The Genetic Engineering Approval Committee (GEAC) approved the release of BT cotton for commercial cultivation in 2002 in western and southern parts of the country.
- In Punjab, BT cotton was released for cultivation in 2005.
- Before the release, it was adopted by 72% farmers on 22% of the cotton area. However, a lot of questions have been raised recently on its impact.
BT cotton in India
- BT cotton is a genetically modified organism (GMO) or genetically modified pest resistant plant cotton variety, which produces an insecticide to combat bollworm.
- Strains of the bacterium Bacillus thuringiensis produce over 200 different BT toxins, each harmful to different insects.
- Most notably, BT toxins are insecticidal to the larvae of moths and butterflies, beetles, cotton bollworms and flies but are harmless to other forms of life.
- In 2002, a joint venture between Monsanto and Mahyco introduced BT cotton to India.
- In 2011, India grew the largest GM cotton crop at 10.6 million hectares.
Issues with BT cotton
- In India, BT cotton has been enveloped in controversies due to its supposed failure to reduce the need for pesticides and increase yield.
- The link between the introduction of BT cotton to India and a surge in farmer suicides has been refuted by other studies with decreased farmer suicides since BT cotton was introduced.
- BT cotton accounts for 93% of cotton grown in India.
- Maharashtra banned the sale and distribution of BT cotton in 2012, to promote local Indian seeds, which demand less water, fertilizers and pesticide input.
What is the new study about?
Success of BT in Punjab
- The research was funded by the Agricultural Extension Division of the Indian Council of Agricultural Research under extramural project “Impact evaluation of integrated pest management technologies”.
- It found that since the commercialization of BT cotton:
- there has been reduction in insecticide use by volume and applications,
- decline in environmental and human health impact associated with insecticide use,
- more reduction in the use of highly hazardous and riskiest insecticides, and
- reduction in the expenses associated with insecticide use.
- Cotton yields in the past 13 years have been stable, the only exception being 2015
Now its’ time to answer this PYQ in the comment box:
Q.In India, the use of carbofuran, methyl parathion, phorate and triazophos is viewed with apprehension. These chemicals are used as: (CSP 2017)
(a) Pesticides in agriculture
(b) Preservatives in processed foods
(c) Fruit-ripening agents
(d) Moisturizing agents in cosmetics
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Not much
Mains level: Censorship of movies
The Centre has recently released the draft Cinematograph (Amendment) Bill 2021 to the general public for comments.
Cinematograph (Amendment) Bill 2021
- The new draft proposes to amend the Cinematograph Act of 1952 with some provisions.
- It seeks to give the Centre “revisionary powers” and enable it to “re-examine” films already cleared by the Central Board of Film Certification (CBFC).
A look at what the draft proposes to change:
(a) Revision of certification
- This will equip the Centre with revisionary powers on account of violation of Section 5B(1) (principles for guidance in certifying films).
- The current Act, in Section 6, already equips the Centre to call for records of proceedings in relation to a film’s certification.
- The Ministry of I&B explained that the proposed revision “means that the Central Government, if the situation so warranted, has the power to reverse the decision of the Board”.
- Currently, because of a judgment by the Karnataka High Court, which was upheld by the Supreme Court in November 2020, the Centre cannot use its revisionary powers on films that have already been granted a certificate by the CBFC.
Issues
- The draft comes shortly after the abolition of the Film Certificate Appellate Tribunal, which was the last point of appeal for filmmakers against the certificate granted to their film.
- The draft has been criticized by filmmakers and term it a “super censor”.
(b) Age-based certification
- The draft proposes to introduce age-based categorisation and classification. Currently, films are certified into three categories — ‘U’ for unrestricted public exhibition; ‘U/A’ that requires parental guidance for children under 12; and ‘A’ for adult films.
- The new draft proposes to divide the categories into further age-based groups: U/A 7+, U/A 13+ and U/A 16+.
- This proposed age classification for films echoes the new IT rules for streaming platforms.
(c) Provision against piracy
- The Ministry noted that at present, there are no enabling provisions to check film piracy in the Cinematograph Act, 1952.
- The draft proposes to add Section 6AA that will prohibit unauthorized recording.
- The proposed section states, no person shall, without the written authorization of the author, be permitted to make an audio-visual recording device.
- Violation shall be punishable with imprisonment for a term of not less than three months and may extend to three years and with a fine which shall not be less than Rs 3 lakh which may extend to 5 per cent of the audited gross production cost or with both.
(d) Eternal certificate
- The draft proposes to certify films for perpetuity.
- Currently, a certificate issued by the CBFC is valid only for 10 years.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Indian monsoon
Mains level: Monsoon and climate change
Rainfall during retreating monsoon, which parts of South India experience every year, is not a local anomaly and is global in nature and scale, according to a recent study by the University of Sydney.
What is Retreating Monsoon?
- In India, retreating monsoon is the withdrawal of south-west monsoon winds from North India.
- The withdrawal is gradual and takes about three months.
- With the retreat of the monsoons, the clouds disappear and the sky becomes clear. The day temperature starts falling steeply.
- Monsoon rains weaken all over India except few southeastern states.
- It is helpful in Rabi crop cultivation.
What has the research found?
- The research has identified regions in the northern hemisphere that receive the bulk of the rainfall during September, October and November and southern hemisphere that receive most of the rainfall from March to August.
- The discovery that these are part of a global pattern and not one-off occurrences means they can be systematically studied, which will help understand how these communities could be affected by climate change.
- Peninsular India and parts of South-East Asia are among the eight regions examined in the study.
Factors affecting the retreat
- The eight global regions identified by the study that receive most of their rainfall after summer, have several things in common.
- They lie on the eastern fringes of landmasses and are in close proximity to mountain ranges with modest heights.
Two predominant factors cause the phenomenon:
- First, the low mountain range in each region runs from north to south, shielding it from west-bound winds that trigger summer monsoon.
- After summer, the range aids in the ‘orographic lift’ or rising of east-bound air mass from a lower to higher elevation, forming clouds and resulting in rain.
- The second factor is atmospheric convection or vertical movement of air.
- As the earth is heated by the sun, different surfaces absorb different amounts of energy and convection may occur where the surface heats up very rapidly.
- As the surface warms, it heats the overlying air, which gradually becomes less dense than the surrounding air and begins to rise.
- This condition is more favorable from September to February because of the role played by sea surface temperature or water temperature.
Answer this PYQ in the comment box:
Q.The seasonal reversal of winds is the typical characteristic of:
(a) Equatorial climate
(b) Mediterranean climate
(c) Monsoon climate
(d) All of the above climates
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Consumer Protection (E-commerce) Rules, 2020
Mains level: Not Much
For the purposes of preventing unfair trade practices in e-commerce, the Central Government had notified the Consumer Protection (E-Commerce) Rules, 2020 with effect from 23 July 2020.
Consumer Protection (E-commerce) Rules, 2020
The proposed amendments aim to bring transparency in the e-commerce platforms and further strengthen the regulatory regime to curb the prevalent unfair trade practices.
The proposed amendments are as follows:
(a) Chief Compliance Officer
- To ensure compliance of the rules, the appointment of Chief Compliance Officer, a nodal contact person for 24×7 coordination with law enforcement agencies, officers to ensure compliance to their orders and Resident Grievance Officer for redressing of the grievances of the consumers on the e-commerce platform, has been proposed.
- This would ensure effective compliance with the provisions of the Act and Rules and also strengthen the grievance redressal mechanism on e-commerce entities.
(b) Registration of e-coms
- Putting in place a framework for registration of every e-commerce entity with the DPIIT for allotment of a registration number which shall be displayed prominently on the website as well as invoice of every order placed by the e-commerce entity.
- This would help create a database of genuine e-commerce entities and ensure that the consumers are able to verify the genuineness of an e-commerce entity before transacting through their platform.
(c) Prohibition of miss-selling
- The goods and services entities selling goods or services by deliberate misrepresentation of information have been prohibited.
(d) Expiry dates
- This would ensure that consumers are aware of the expiry date of the products they are buying on the e-commerce platform.
- It compels all sellers on marketplace e-commerce entities and all inventory e-commerce entities to provide the best before or use before the date to enable consumers to make an informed purchase decision.
(e) Fair and equal treatment
- It has been provided that where an e-commerce entity offers imported goods or services, it shall incorporate a filter mechanism to identify goods based on country of origin and suggest alternatives to ensure fair opportunity to domestic goods.
(f) Fall-back liability
- This would ensure that consumers are not adversely affected in the event where a seller fails to deliver the goods or services due to negligent conduct by such seller in fulfilling the duties and liabilities.
Why need such an amendment?
It was observed that there was an evident lack of regulatory oversight in e-commerce which required some urgent action.
- Manipulating search results: Moreover, the rapid growth of e-commerce platforms has also brought into the purview the unfair trade practices of the marketplace e-commerce entities engaging in manipulating search result to promote certain sellers.
- Preferential treatment: This includes preferential treatment to some sellers, indirectly operating the sellers on their platform, impinging the free choice of consumers, selling goods close to expiration etc.
- Flash sales: Certain e-commerce entities are engaging in limiting consumer choice by indulging in “back to back” or “flash” sales. This prevents a level playing field and ultimately limits customer choice and increases prices.
Check this PYQ from CSP 2012:
Q. With reference to consumer’s rights / privileges under the provision of law in India which of the following statements correct?
- Consumer are empowered to take samples for food testing
- When consumer fi les a complaint in any consumer forum, no fee is required to be paid.
- In case of death of consumer, his/her legal heir can file a complaint in the consumer forum on his/her behalf.
Select the correct answer using the codes given below:
(a) Only 1
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: CSR norms in India
Mains level: Paper 3- Sustainability and capitalism
The article calls the corporates to adopt new capitalism in the aftermath of the pandemic which involves alongside the profit motives the commitment to giving back.
Capitalism in the aftermath of Covid-19
- The 2008 crisis was caused by the excesses of global finance, whereas the 2020 economic crisis was caused by a pandemic that spilled over to the economy.
- While the current pandemic is the first of its kind in nine decades, the dire economic consequences are very similar to that global financial crisis just a decade ago.
- What is also similar is the policy response that has followed both the 2008 and 2020 crises — the Keynesian prescription of the government stimulating a depressed economy by using monetary and fiscal instruments.
- Cheap liquidity preserves the wealth of the asset-owning classes even as the real economy stalls.
- However, over-stretched governments head towards a debt/fiscal crisis which eventually forces austerity, hitting those dependent on government handouts.
- It is this inequality in outcomes that is unlikely to happen this time.
- Already, the G-7 has pledged to maintain a minimum level of corporation tax.
- There have also been calls for additional taxation, particularly on the assets of the wealthy.
What corporates can do
- Instead of waiting for governments to react under popular pressure, corporates must themselves set out on a different path.
- Covid-19 has brought home the fragility of human life and the deeply interconnected fate of humanity.
- Outside of the pandemic, there is no better example of this than climate change which, if left uncontrolled, could devastate the world.
- While governments negotiate, corporates must respond with voluntary commitments to mitigate climate change.
- Climate change mitigation should be at the core of all business models going forward.
- In addition, promoters need to come forward to pledge more of their wealth towards philanthropy.
- India implemented the concept of corporate social responsibility as part of its legal framework a decade ago.
Investor pressure for action towards environment
- The ability of the private sector to work for the greater good seems implausible.
- But it is already happening — not because of government regulation, but because of investor pressure.
- Progressive actions towards the environment and society are being rewarded by investors.
- The absence of such progressive actions is being penalised.
- Market forces are, after all, embedded in society.
- They are perfectly capable of moving beyond profit.
Threat of new-age tech capitalism
- The real challenge for society, government and capitalists comes from the new-age tech capitalists.
- They are the new monopolists or oligopolists who don’t exercise their power over society by charging a supernormal price.
- In fact, a lot of them provide goods and services at hefty discounts.
- Instead, what they seek is to control information and influence choices.
- Many of the promoters of such enterprises are philanthropists but society and governments have a different set of concerns on how they exercise power.
Conclusion
An imperfect world is passing through a perfect storm. There will be big changes on the other side. Capitalism will survive. It could thrive by choosing its own pathway or it could stumble along under the hammer of big government fuelled by populist backlash.
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