Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Sustainable coast management
Context
- It is politically hard, but developmentally critical, to run port development projects with coastal management sustainably.
- A port is a maritime facility comprising one or more wharves or loading areas, where ships load and discharge cargo and passengers. Although usually situated on a sea coast or estuary, ports can also be found far inland, such as Hamburg, Manchester and Duluth; these access the sea via rivers or canals.
What is meant by port management?
- A port management analysis involves an understanding of the port conditions, including intra-port distribution, and routes and hinterland connections outside the port.
Why ports are important?
- Ports infrastructure is key to the development of any nation. India has a coastline spanning about 7,500 km. around 90 percent of India’s external trade by volume and 70 percent by value are handled by ports.
What are concerns with port projects?
- Displacement: Some 350 families that have lost homes to coastal erosion last year, and those living in makeshift schools and camps are just a foretaste of things to come if coastal erosion and extreme cyclones continue unabated.
- Ecological impact: A further danger is an irreversibly destroyed ecology, triggering deadlier hazards of nature. Ports without adequate safeguards in a highly delicate ecology unleash destruction on marine life and the livelihoods of the local population.
- Coastal erosion: Visakhapatnam and Chennai show how siltation, coastal erosion and accretion can be exacerbated by deepening of harbour channels in ecologically sensitive areas.
- Oil spills: During the operation of ports, spillage or leakages from the loading and unloading of cargo and pollution from oil spills are common due to poor adherence to environmental laws and standards.
- Ecosystem threat: The water discharged during the cleaning of a ship and the discharge of ballast water is a threat to marine ecosystems
- Impact on fisheries: Dredging cause’s environmental problems (increased sedimentation) affecting local productivity of the local waters and its fisheries
Value addition example
A just published study shows that during 2006-20, the sea gobbled some 2.62 square kilometres or close to 650 acres from the Thiruvananthapuram coast alone.
Steps to take
- Compensation: The first order of business, as in infrastructure projects worldwide, is that the project provides compensation to the displaced people and restores their rights.
- Reversing marine damage: Second, the gross neglect of the damage to invaluable marine biodiversity must be redressed with an acceptable EIA, including inputs from experts in biology, ecology, and oceanography.
- Safeguard to place: Third, there needs to be an independent assessment of safeguards that port authorities must put in place as a precondition for any further construction.
- Blue Economy:Blue Economy as a concept includes all the economic activities related to oceans, seas, and coastal areas and emerges from a need for integrated conservation and sustainability in the management of the maritime domain.
Way forward
- Master plan: Countries should adopt a National Long-term Mater plan addressing the aspects of smarter, greener, safer sustainable port development and productivity improvement.
- Planning: Port development and investment should be driven by setting specific and realistic goals, such as building a stable infrastructure focused on reducing trade costs and contribute to achieving sustainable transport.
- Cooperation of multiple sectors: In order to establish a comprehensive port development master plan, cooperation with financial, environmental, technical, energy, transportation and urban development authorities is essential and must reflect the needs of users, including shippers and shipping lines.
Conclusion
- To address existing challenges, we should provide research, analysis and technical assistance to help ports and the maritime transport sector especially in developing countries to improve operations and become more sustainable and resilient to crises, including climate change.
Mains question
Q. What do you understand by sustainable port development and port productivity? Discuss the challenges in achieving the same along with way forward.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Foreign Trade Policy
Mains level: Read the attached story
The government has extended the launch of new Foreign Trade Policy (FTP) (2022-27) by six more months and would continue with the existing one.
Why such delay in Foreign Trade Policy?
- Geopolitical uncertainty: The geo-political situation is not suitable for long-term foreign trade policy, said Union Commerce Minister.
- Global recession: Currently, fears of a recession in major economies like the US and Europe have escalated a panic among investors.
- Decline in USD inflows: Foreign investors have begun to pull back their money from equities.
- Rupee depreciation: The US Dollar is at a 22-year high, while the Rupee hit a new all-time low of $81.6.
- Huge trade deficit: The trade deficit widened by more than 2-folds to $125.22 billion (April – August 2022) compared to $53.78 billion in the same period last year.
What is a Foreign Trade Policy?
- India’s Foreign Trade Policy (FTP) is a set of guidelines for goods and services imported and exported.
- These are developed by the Directorate General of Foreign Trade (DGFT), the Ministry of Commerce and Industry’s regulating body for the promotion and facilitation of exports and imports.
- FTPs are enforceable under the Foreign Trade Development and Regulation Act 1992.
What is India’s Foreign Trade Policy?
- In line with the ‘Make in India,’ ‘Digital India,’ ‘Skill India,’ ‘Startup India,’ and ‘Ease of Doing Business initiatives, the Foreign Trade Policy (2015-20) was launched on April 1, 2015.
- It provides a framework for increasing exports of goods and services, creating jobs, and increasing value addition in the country.
- The FTP statement outlines the market and product strategy as well as the steps needed to promote trade, expand infrastructure, and improve the entire trade ecosystem.
- It aims to help India respond to external problems while staying on top of fast-changing international trading infrastructure and to make trade a major contributor to the country’s economic growth and development.
Issues with FTP (2015-2020)
- Acting on Washington’s protest, a WTO dispute settlement panel ruled in 2019 that India’s export subsidy measures are in violation of WTO norms and must be repealed.
- Tax incentives under the popular Merchandise Exports from India Scheme (MEIS) (now renamed as RODTEP Scheme)and Service Exports from India Scheme (SEIS) programmes were among them.
- The panel found that because India’s per capita gross national product exceeds $1,000 per year, it may no longer grant subsidies based on export performance.
Way forward
- WTO-compliance: With incentives under MEIS and SEIS in the cloud, WTO-compliant tax benefits are a must.
- Access to credit: Credit availability has long been a need of exporters, particularly MSMEs.
- Infrastructure upgrade: China’s network of ports, motorways, and high-speed trains, which are among the greatest in the world, is one of the reasons it is a manufacturing and export powerhouse.
- Digitization and e-commerce boost: India requires innovative trading procedures as a result of Covid-19 breaking old supply channels.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: International North–South Transport Corridor (INSTC)
Mains level: Read the attached story
With Pakistan PM listening, Prime Minister Modi urged Shanghai Cooperation Organisation member states to “give each other full right to transit”.
Why in news?
- PM Modi framed the right to transit in the context of connectivity and how it could help establish reliable and resilient supply chains in the region.
Why did PM pitch this?
- Lack of transit across Pakistan’s territory has been a challenge for India to access Central Asian markets.
- Iran’s President also said that despite the impressive potential, infrastructural connections in the field of transit between members of the SCO are not so extensive.
- Iran already provides special priority to the development of the North-South Corridor and has made huge investments.
What is International North-South Transport Corridor (INSTC)?
- The INSTC is a 7,200 km-long multimodal transportation network encompassing sea, road, and rail routes to offer the shortest route of connectivity.
- It was established on 12th September 2000 in St. Petersburg, by Iran, Russia and India for the purpose of promoting transportation cooperation among the Member States.
- It links the Indian Ocean to the Caspian Sea via the Persian Gulf onwards into Russia and Northern Europe.
- It will move freight between India, Iran, Afghanistan, Armenia, Azerbaijan, Russia, Central Asia and Europe.
Significance of INSTC
- Trade facilitation: INSTC is aimed at reducing the carriage cost between India and Russia by about 30 percent and bringing down the transit time by more than half.
- New corridor in making: It has the potential to transform the economies of countries along the corridor into specialized manufacturing, logistics, and transit hubs by facilitating access to newer markets.
- Multimodal transit: The recent Suez Canal blockade, which cost the global economy hefty damage amounting to US$9 billion, has amplified the optimistic outlook towards the INSTC as a cheaper and faster alternative multimodal transit corridor.
Benefits offered to India
- Export promotion: The INSTC connects India with Central Asia, and Russia, and has the potential to expand up to the Baltic, Nordic, and Arctic regions, increasing the scope of trade multifold.
- Ease of trade: For India, it provides a shorter trade route with Iran, Russia, and beyond to Europe, creating scope for increased economic engagement.
- Alternative Route to Central Asia: It opens up a permanent alternative route for India to trade with Afghanistan and Central Asia, given the hurdles in the direct route through Pakistan.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Rotterdam convention, PIC
Mains level: Not Much
International trade of two new hazardous pesticides — Iprodione and Terbufos — has been recommended for “prior informed consent” (PIC) procedure under the Rotterdam convention.
Why in news?
- In India, the use of these chemicals was permitted by the 2015 Anupam Verma committee report. The country is among the largest exporters of Terbufos.
- The chemicals are dangerous for humans and aquatic animals.
Rotterdam Convention
- The Rotterdam Convention is formally known as the Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade.
- It is a multilateral treaty to promote shared responsibilities in relation to importation of hazardous chemicals.
- The convention promotes open exchange of information and calls on exporters of hazardous chemicals to use proper labelling, include directions on safe handling, and inform purchasers of any known restrictions or bans.
- Signatory nations can decide whether to allow or ban the importation of chemicals listed in the treaty, and exporting countries are obliged to make sure that producers within their jurisdiction comply.
- India is a party to the convention, with 161 other parties.
What is the Prior Informed Consent (PIC) procedure?
- The PIC procedure is a mechanism for formally obtaining and disseminating the decisions of importing parties on their willingness to receive future shipments of hazardous chemicals.
- The PIC procedure is a mechanism for formally obtaining and disseminating the decisions of importing Parties as to whether they wish to receive future shipments of those chemicals listed in the Convention.
- For each of the chemicals listed in Annex III and subject to the PIC procedure a decision guidance document (DGD) is prepared and sent to all Parties.
- All Parties are required to take a decision as to whether or not they will allow future import of each of the chemicals in Annex III of the Convention.
- These decisions are known as import responses.
Which are the new chemicals listed?
- Iprodione, a fungicide used on vines, fruits, trees and vegetables, has been classified as carcinogenic and toxic for reproduction.
- Terbufos is a soil insecticide used commonly on sorghum, maize, beet and potatoes. It has also been found to pose risk to aquatic organisms due to its toxicity.
- Both pesticides, which are used in agriculture, are known for their harmful impacts on human health and the environment.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: na
Mains level: Soft power
Context
- Increased interest, especially by smaller nations in the world, in investing more and doing well in elite sports in international sporting events boosts a nation’s chances of attaining soft power.
- India’s medal tally at recent International sports events demonstrate the country’s soft power on the global stage and encourage working towards the status of a great “geopolitical actor”.
- Origin:
- As far back as the 4th century BC, Kautilya (chankyaniti) had propounded the concept of Saam(advice or cajole),daam(pay or bribe),dand(punish),bhed(exploit secrets) which acquired western touch and can be understood by Soft power, smart power, hard power, and sharp power respectively.
- Joseph Nye introduced the concept of “soft power” in the late 1980s. For Nye, power is the ability to influence the behavior of others to get the outcomes you want.
- Meaning:
- Soft power is the ability of a country to persuade others to do what it wants without force or coercion.
- Soft power is the ability to influence the behavior of others to get the outcomes you want.
Use of ‘Soft Power’ includes the number of cultural missions such as language schools, Olympic Medals and the quality of a country’s overall growth. Soft power produces following things:
- Familiarity: If people know more about your country, culture, sports, and its talents, businesses, and resources, then soft power is enhanced.
- Reputation: For a nation to be attractive and a role model for others, its overall reputation must be strong and positive.
- Influence: A direct measure of the perceived presence and impact that your country has in other countries
- Business/Innovation/Sports: The attractiveness of a country’s economic model, its digital engagement with the world, performance in sports etc.
- Government: Showcases the ability of country’s political leadership and what it delivers to its people in different arenas.
- Multi-Alignment: As a country rises up the ‘Soft Power’ list, more and more outside parties align themselves with the common goals of that country.
Why the Sports being used as a tool of soft power in modern international relations?
Sport can be used as tool of soft power both internationally and domestically.
- International platform: Sports provide a platform for countries to showcase their culture, values and tradition.
- Puts a Better image of a country: Sports as a tool to achieve social, political, and financial goals, and improve the image of the country.
- International exposure: The focus on culture and peaceful values in sports make it a useful tool for countries to use soft power to achieve international goals and improve their public diplomacy.
- Reducing differences: Sports provides a platform for trust-building; and reconciliation, integration and anti-racism.
- Learning from China’s Case:
- Dongfeng Liu (International Professor of Sport Management) in his survey on China’s performance in the Olympics he found that a country’s Olympic achievement has a positive effect on its national soft power.
- As china is a communist country and reputation about human rights is not good, so China uses its superiority in elite sports to build “people-to-people” relations with other countries. For example, athletes from African countries such as Madagascar are trained in swimming, badminton, table tennis, etc. in China, which helps Beijing create a positive impact on a wider population and result in better formal relations as well.
- There is also China’s memorandum of understanding with countries such as Kenya so that Chinese runners can train with Kenyan athletes, as they are among the best in the world when it comes to long-distance running.
Introspection on India’s performance at recent International Sports events
- It is being said that the golden period of Indian sports may have begun as at the Tokyo Olympics and then the Birmingham 2022 Commonwealth Games (CWG) are examples of a good performance.
- India’s medal tally in the Tokyo Olympics Games — seven — was its most decorated Olympic Games in Indian history.
- At the Commonwealth games (CWG) 2022, Indian athletes won 61 medals, including 22 gold.
- India has one of the world’s poorest population-to-medal ratios when it comes to the Olympics.
- Ensuring competent coaches, and having adequate funding and more sports academics still remain major issues even decades later
- India spends only three paise per day per capita on sports. In contrast China spends 1 per day per capita.
What can be done to increase the country’s sporting performance and soft power?
- Train Indian players overseas:
- India should concentrate on forging MoUs with nations that excel in specific sports and train Indian players overseas.
- For example, Australia and the United Kingdom can assist us in swimming given their standing here.
- When it comes to running, negotiating collaborative training agreements with African countries such as Kenya would be ideal.
- No Politics over assistance:
- There should be no politics in seeking or even offering assistance.
- For example China has requested Indian assistance in improving cricket development in China (Chongqing city).
- Private Investment:
- Private investment needs to be harnessed to develop infrastructure. The better a country performs in sporting events the greater a sports person’s interest in their sports atmosphere. This also creates a huge market for private players to invest in.
- For example, leading corporate houses in India have already shown how their active participation and investment can improve sporting performance as a result of unique corporate sports programmes.
- Public –private partnership at grass root :
- The Government should also work on a public-private partnership (PPP) model to create basic sporting infrastructure.
- As recommended by NITI Aayog, at the district level too so that talent can be captured at an early stage.
Conclusion
- Sports as a tool of soft power had always been a key element of leadership from the ancient times. Sports provide an international platform to develop an attitude of unity in a divided multi-polar modern world.
Mains Question
Q. Sports provide an international platform to develop an attitude of unity and influence others in a divided multi-polar modern world. Discuss in this context that soft power is not an end but a means to an end.
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: human right of neuro-diverse people
Context
- Discrimination in employment is a worldwide phenomenon. Gender, ethnic, racist discrimination are well known but discrimination towards neurodiverse persons are hardly debated in public forums. Despite having special abilities companies are not using their potentials.
- Harvard Health Publishing defines, neurodiversity as a notion that every person interacts and experiences their surroundings differently; there is no right way of thinking, learning, or/and behaving. These differences should not be construed as defects or disorders.
What is a neuro-diverse workplace?
- Neurodiversity in the workplace refers to including people with neuro-divergent conditions such as attention-deficit/hyperactivity disorder, autism spectrum disorders, dyslexia, dyspraxia, dyscalculia and Asperger’s Syndrome.
What are those Conditions that make them different from normal humans?
- Autism: A mental condition in which a person finds it difficult to communicate or form relationships with other people. Signs of autism include not responding to their name, avoiding eye contact, not smiling when you smile at them.
- Dyslexia: a difficulty that some people have with reading and spelling signs include confusion over letters that look similar and putting letters the wrong way round , confusing the order of letters in words, reading slowly or making errors when reading aloud
- Asperger’s syndrome: A developmental disorder related to autism and characterized by awkwardness in social interaction, pedantry in speech, and preoccupation with very narrow interests. Less severe symptoms than Autism syndrome.
- Dyscalculia: A brain disorder in which a wide range of difficulties with math, including weaknesses in understanding the meaning of numbers, and difficulty applying mathematical principles to solve problems.
How they can be naturally efficient and creative?
- More efficient: Studies have shown that teams with both neurodivergent and neurotypical members are far more efficient than teams that comprise neurotypical employees alone.
- Ability to focus: Neurodivergent individuals possess excellent attention to detail and an uncanny ability to focus on complex and repetitive tasks over a more extended period than their neurotypical peers.
- Ability to work at faster speed: A study by the University of Montreal found that in a test involving completing a visual pattern, people on the autism spectrum could finish their task 40% faster than those who were not on the spectrum.
- Robust spatial reasoning: People with dyslexia can think about objects in three dimensions and analyses such objects even with limited information.
- Out of box thinking: They have problem-solving capabilities which allow them to see multiple solutions to a problem. They are often out-of-the-box thinkers with average or above-average intelligence.
Current Status of people living with neurodivergent conditions
- People suffer with the Condition: According to a recent report, nearly 2 million people in India suffer from this neurological and developmental disorder and are therefore identified as autistic. Another study by Deloitte estimates that nearly 20% of the world is neurodiverse. In the U.S., it is estimated that 85% of people on the autism spectrum are unemployed compared with 4.2% of the overall population
- Discrimination at employment: Even with all the necessary skill sets and degrees, these persons are denied a job because they may react to situations differently from non-neurodiverse persons.
- Lack of awareness: Lack of awareness about neurodivergent conditions, and how the people with condition may react and lack of and accommodating environment. Hence, there is an urgency to create a work environment that welcomes neurodiverse individuals.
Current work profile of companies and workplaces
- A 2019 McKinsey study revealed that companies with gender diversity were 25% more likely to have above-average profitability while those with ethnic diversity out-rival their competitors by 36%.
- Another report titled ‘India’s Best Workplaces in Diversity, Equity & Inclusion 2021’ states that diverse teams perform better, boost leadership integrity, heighten trust in the organization’s management and multiply revenue growth.
Few Examples show that things are changing
- Competitive environment: Organisations embracing neurodiversity enjoy a competitive edge in several areas such as efficiency, creativity, and culture.
- Various MNC’s hiring program: Companies such as Deloitte, Microsoft, SAP, JPMorgan Chase, and E&Y have introduced neurodiversity hiring programs.
- Indian company: Indian-origin companies Hatti Kaapi and Lemon Tree Hotels have also included a neurodiverse workforce.
What can be done to create more inclusive workplaces?
- Creating neurodivergent friendly offices: .Many employees with neurodiversity may find the hustle and bustle of a traditional office disturbing. Therefore, neurodivergent friendly offices catering to the employees’ diverse sensory responses can help ensure that these employees are comfortable in office spaces.
- Openness: Creating the right environment is an ever-evolving exercise that requires openness and a will to change on the employer’s part. This flexibility can result in exceptional benefit with minimal or no additional costs.
- Wider Inclusivity: To ensure higher profitability and be respected as a responsible employer globally, companies need to widen their definition of inclusivity by providing higher participation of a neurodiverse workforce.
Conclusion
- Organizations must not only remove barriers that obstruct the progress of such individuals but also create conducive conditions for them to achieve their true potential and providing proper infrastructure so that they can perform at their optimal levels.
Mains Question
Q. People with neurodiversity are discriminated not only socially but also economically, Comment. What measures could be taken to bridge this gap within the society?
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Palm Oil, APOA
Mains level: Not Much
Edible oil trade associations from five palm oil importing countries in South Asia – India, Pakistan, Sri Lanka, Bangladesh and Nepal – on Thursday announced the setting up of Asian Palm Oil Alliance (APOA).
What is Oil Palm?
- Palm oil is an edible vegetable oil derived from the mesocarp of the fruit of the oil palms.
- The oil is used in food manufacturing, in beauty products, and as biofuel.
What is APOA?
- Through APOA, the countries aim at safeguarding the economic and business interests of the palm oil consuming countries and will work towards increasing the consumption of palm oil in member countries.
- The idea is to gain collecting bargaining power and make imports sustainable.
- APOA held its first general body meeting on the side-lines of the Globoil Summit.
- The industry associations of Asian palm oil importing countries, unlike their counterparts in Europe, are not involved in shaping the global discourse on sustainable palm oil in a collective way.
- The alliance would work towards ensuring that palm oil is recognised as a high-quality, economical, and healthy vegetable oil and to change the negative image of palm oil.
Why such move?
- India’s annual imports of edible oil is around 13-14 million tonne (MT).
- Around 8 MT of palm oil is imported from Indonesia and Malaysia, while other oils, such as soya and sunflower, come from Argentina, Brazil, Ukraine and Russia.
- Asia accounts for around 40% of the global palm oil consumption while Europe accounts for 12% of palm oil trade.
- Indonesia and Malaysia are the biggest palm oil exporters in the world.
- India is the largest importer of palm oil in Asia, accounting for 15% of global imports, followed by China (9%), Pakistan (4%) and Bangladesh (2%).
Try this PYQ:
Q.Among the agricultural commodities imported by India, which one of the following accounts for the highest imports in terms of value in the last five years?
(a) Spices
(b) Fresh fruits
(c) Pulses
(d) Vegetable oils
Post your answers here.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Women empowerment
Context
- Despite notable progress in closing the gender pay gap over time in India, the gap remains high by international standards. Asymmetries still abound in the country’s labor market stopping women empowerment .
- Time to reassess the progress made in to close the Gender pay gap.
Background
- The third International Equal Pay Day is observed globally on September 18, 2022.
- It is a United Nations-recognized event to highlight the issue of gender pay gap.
- International Labor Organization’s “Global Wage Report 2020–21” which suggests the crisis inflicted massive downward pressure on wages and disproportionately affected women’s total wages compared to
- This greater wage reduction for women means that the pre-existing gender pay gap has widened.
Covid-19 Impact
- While it is difficult to tell exactly what the economic damage from the global covid-19 pandemic has been, it is clear that its impact has been uneven, with women being among the worst affected in terms of their income security.
- Many women reverted to full-time care of children and the elderly during the pandemic, foregoing their livelihoods to do so.
What is gender pay gap?
- The gender pay gap or gender wage gap measures the difference between the average earnings of women and men in the workforce.
- In simple term it is a measure of what women are paid relative to men.
- Women are generally found to be paid less than men.
Why is the gender pay gap?
- Education: low investment o girl education, Girl children are kept out of schools, or made drop out of school at early age, girl is considered as burden on family in many societies.
- workforce : even if they are educated they are not allowed to work by their families, very limited or no decision making power, lack of women friendly work environment, discriminatory practices at workplaces.
- Household: early marriage , responsibilities of the household at early age , spending more times on domestic chores,
- Healthcare: malnutrition, anemia, Maternity, child care, looking after health of the elderly family members etc.
These are some of the reasons which affect education, skills, experience and the career prospectus of women as compared to men and contribute to widen the gender wage gap.
Discrimination as factor
- A part of gender pay gap attributed to education, skills or experience, a large part of the gender pay gap can still purely because of discrimination based on one’s gender or sex.
- Gender-based discriminatory practices include: lower wages paid to women for work of equal value; undervaluation of women’s work in highly feminized occupations and enterprises, and motherhood pay gap lower wages for mothers compared to non-mother.
Status in India
- The gender pay gap in India is among the widest in the world.
- Indian women earned, on an average, 48% less compared to their male counterparts in 1993-94
- According to labor force survey data of the National Sample Survey Office (NSSO) gap declined to 28% in 2018-19.
- Periodic Labor Force Survey (PLFS) 2020-21 show an increase in the gap by 7% between 2018-19 and 2020-21.
- Recently, the World Economic Forum (WEF) ranked India at 135 out of 146 countries in its Global Gender Gap (GGG) Index for 2022.
- According to the estimates of the World Inequality Report 2022, in India, men earn 82 per cent of the labor income whereas women earn 18 per cent of it.
Steps taken by India
- Minimum Wages Act in 1948: It is an act of parliament, aimed at statutory fixation of minimum wages that must be paid to skilled and unskilled labours. Payment of wages below the minimum wage rate amounts to forced labour.
- Equal Remuneration Act in 1976: This act of parliament provides for the payment of equal remuneration to men and women workers for the prevention of discrimination. It helps in bridging the gap between unequal remuneration faced by the women of our country.
- Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) 2005: MGNREGA contributed to the rapid rise in overall rural and agricultural wages in the country. It benefited rural women workers and helped reduce the gender pay gap, both directly and indirectly. Directly, by raising the pay levels of women workers and indirectly to women involved in agricultural occupations through higher earnings.
- The Maternity Benefit (Amendment) Act 2017: has increased the duration of paid maternity leave available for women employees to 26 weeks from 12 weeks for all women working in establishments employing 10 or more workers. This is expected to reduce the motherhood pay gap among mothers in the median and high end wage earners working in the formal economy also it will help in women empowerment.
- Skill India Mission: To equip women with market-relevant skills to bridge the learning to-livelihood gap and the gender pay gap.
- In 2019, India carried out comprehensive reforms in both the legislation and enacted the Code on Wages.
Way ahead
- While the gender pay gap is slowly narrowing, acceleration and bold actions to prevent the widening of gender pay gap is the need of the hour.
- Equal pay for work of equal value is necessary to close the gender pay gap.
- Closing the gender pay gap is key to achieving social justice for working women, as well as economic growth for the nation as a whole
- Without social justice women empowerment is a futile exercise.
Mains Question
Q. Define gender equality .Equal pay for equal work is necessary to bridge the gender pay gap India .Comment.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: international relations
Context
- Over the recent years India’s manoeuvres in indo-pacific have highlighted the India’s geopolitical and ambitions. Pandemic and Chinese incursion in Ladakh forced India to move fast to achieve its geopolitical ends. However missing link in India’s endeavour is geoeconomics.
What is mean by geopolitics and geo-economics?
- Geopolitics: is defined as the struggle over the control of geographical entities with an international and global dimension, and the use of such geographical entities for political advantage.
- Geo-economics: is defined as the combination of economic and geographic factors relating to international trade and a governmental policy guided by geoeconomics.
- Geopolitics and geoeconomics are sometimes used interchangeably.
What is the strategy to pursue geopolitical goals in indo-pacific?
- India has managed to emerge as a major pivot of the global Indo-Pacific grand strategic imagination.
- Avoided the temptations to militarise/securitise the Quad (Australia, Japan, India and the United States).
- Which has ensured that the Association of Southeast Asian Nations (ASEAN) states do not feel uneasy by the ever-increasing balance of power articulations in the Indo-Pacific
What is the missing link in India’s geopolitical strategy?
- The missing link in geoeconomics is India’s decision to take to the Indo-Pacific and Quad in a big way.
- While unwilling to join two of the region’s key multilateral trading agreements goes to show that geoeconomics and geopolitics are imagined and pursued parallelly in New Delhi, not as complimenting each other.
- The most recent example is India’s refusal to join the trade pillar of the Indo-Pacific Economic Framework (IPEF) while deciding to join the three other pillars of the IPEF supply chains, tax and anti-corruption, and clean energy.
India also withdrew from ASEAN led RCEP.
Is the lack of geoeconomic bad for foreign policy?
- The absence of the world’s fifth largest economy from various regional trading platforms will invariably boost China’s geo-economic hegemony in Asia.
- Staying out of IPEF is a bad idea is because for India, it would be hard to integrate itself into the regional and global supply chains without being a part of important regional multilateral trading agreements.
- We have no option but to address some of the deeper challenges plaguing the investment and business environment in India.
- If India is indeed serious about its maritime grand strategy, which cannot be solely military in nature, it needs to get the states in the region to create economic stakes in India (something China has done cleverly and consistently) and vice-versa.
- Another impact of India’s hesitation about joining regional multilateral trading arrangements is its potential regional economic isolation. The less India engages with the region economically, and the more China does so, and given the Sino-Indian rivalry, India might risk getting economically isolated in the broader region.
What can be done?
- New Delhi should: rethink its geoeconomic choices if it is serious about enhancing its geopolitical influence in the region. Given that India has not closed the door on the trade pillar of the IPEF, we have an opportunity to rethink our position.
- India should: also rethink its decision not to join the RECP and seek to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) from which the U.S. walked out and China is seeking to join.
- India should: also proactively lobby to become a part of the Minerals Security Partnership, the U.S.-led 11-member grouping to secure supply chains of critical minerals.
Conclusion
- In the words of external affairs minister Dr. Jaishankar,” geopolitics follows the geoeconomics and not vice-versa”. Geoeconomics is inclusive of geoeconomics. India should integrate itself in multilateral trading platforms and leverage its big market to bargain the best deal for itself.
Mains question
Q. Indias pursuit of geopolitics is futile without inclusion of geoeconomics. Comment.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: particulars of the bill
Mains level: electricity reforms
Context
- Concerns of states on some provisions of the new Electricity Bill are justified. But the legislation proposes welcome correctives to longstanding problems of the power sector.
Important provisions of the bill
- Payment security: The Bill provides that electricity will not be scheduled or despatched if adequate payment security is not provided by the discom. The central government may prescribe rules regarding payment security.
- Contract enforcement: The Bill empowers the CERC and SERCs to adjudicate disputes related to the performance of contracts. These refer to contracts related to the sale, purchase, or transmission of electricity. Further, the Commissions will have powers of a Civil Court.
- Renewable purchase obligation: The Act empowers SERCs to specify renewable purchase obligations (RPO) for discoms. RPO refers to the mandate to procure a certain percentage of electricity from renewable sources. The Bill adds that RPO should not be below a minimum percentage prescribed by the central government. Failure to meet RPO will be punishable with a penalty between 25 paise and 50 paise per kilowatt of the shortfall.
- Selection committee for SERCs: Under the Act, the Chairperson of the Central Electricity Authority or the Chairperson of the CERC is one of the members of the selection committee to recommend appointments to the SERCs. Under the Bill, instead of this person, the central government will nominate a member to the selection committee. The nominee should not be below the rank of Additional Secretary to the central government.
- Composition of Commissions and APTEL: The Bill increases the number of members (including the chairperson) in SERCs from three to four. Further, at least one member in both the CERC and SERCs must be from law background. Under the Act, Appellate Tribunal for Electricity (APTEL) consists of a chairperson and three other members. The Bill instead provides that the APTEL will have three or more members, as may be prescribed by the central government.
State apprehensions of the bill
- Multi state license: The clause pertaining to applicants seeking a distribution licence in more than one state. It states that the Central Electricity Regulatory Commission (CERC), and not the SERC, will grant the licence. This is problematic because a SERC is likely to be more aware of the field-level conditions in a state than its central counterpart.
- Centre can bypass state: The Bill has a provision empowering the Centre to give directions directly to the SERCs. Till now, the CERC received instructions from the Centre and the SERCs were under the state. The new Bill enables the Centre to bypass state governments. It’s not surprising that this is a matter of concern for the states.
- Direct appointment by centre: The Bill states that the SERC chairperson will now be a nominee of the central government and will be an additional secretary-level official. This gives the impression that the Centre is trying to control the appointments to the SERCs.
- Compensation clause: The Bill states that if power purchase agreement PPAs are renegotiated, the affected party has to be compensated within 90 days from the date of submission of the petition.
- Uniformity in tariffs revision: New tariffs have to be made applicable from the beginning of the financial year. New tariffs often come into force in the middle of the financial year (due to delays in the issuing of orders by SERCs). This means that discoms do not earn their full revenues leading to cash flow problems.
- Easy tariff petition processing now: The Bill has proposed a reduction in the time for processing tariff petitions from 120 days to 90 days.
- Suo moto jurisdiction: Regulatory commissions have been given suo motu jurisdiction if tariff petitions are not filed within 30 days of the stipulated time. This too is a step in the right direction.
- More teeth to load dispatcher: the Bill proposes to give more teeth to the national load dispatcher. We need to strengthen the load dispatcher for the smooth functioning of the grid, especially with a huge renewable capacity where intermittency of generation is a major issue in the offing.
Conclusion
- The rollout of the proposed amendments through a consensus-based approach would go a long way in overhauling the weakest link in the nation’s power supply chain.
Mains question
Q. Electricity Bill 2022 is a remedy worse than the disease afflicting India’s power sector. Critically analyse.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Flags and defence insignia
Mains level: Not Much
The new Naval Ensign (flag), which will be unveiled by PM in Kochi, has brought into focus the flags and ranks adopted by the Indian military after Independence.
Do you know?
The octagonal shape with twin golden borders draws inspiration from the seal of the great Indian emperor, Chhatrapati Shivaji Maharaj, whose visionary maritime outlook established a credible naval fleet
Why in news?
- Documents accessed from National Archives of India show that Lord Mountbatten, former Viceroy and Governor General of India, played a major role in suggesting new flags and rank badges.
- This was when India was about to become a Republic on January 26, 1950.
When did India switch from British-era flags and ranks?
- The switch from British-era flags and ranks took place when India became a Republic (26th Jan, 1950).
- Prior to that the flags and badges of ranks of the military were of the British pattern.
- The new, Indian pattern of flags of Army, Navy and Air Force, and also the Regimental Flags of the Army and badges of ranks of all three services were adopted on January 26, 1950.
- The ‘Kings Commission’ granted to Indian military officers was also changed to ‘Indian Commission’ on the same date.
- And at a subsequent date the King’s Colours of the various Regiments were laid to rest in Indian Military Academy (IMA), Dehradun.
When did Lord Mountbatten come into the picture?
- The national archives have files, dated 1949, that include a detailed note from Lord Mountbatten regarding names, flags and ranks of the armed forces, and then PM Nehru’s letter to the then Defence Minister Baldev Singh regarding Mountbatten’s suggestions.
- The note, archives reveal, was given to Nehru by Lord Mountbatten when the two met in London.
- The note was forwarded from the PM’s office to the office of then Governor General C Rajagopalachari on May 24, 1949, stating that it is on the issue of ‘Names and Insignia of Indian Armed Forces’ after India becomes a Republic.
- The letter also stated that the note should be placed before the Governor General.
What did Lord Mountbatten say in the note?
- The note begins by saying that consequent to becoming a Republic the word ‘Royal’ shall be dropped from India’s Army, Navy and Air Force.
- Mountbatten strongly recommended that no other word like ‘State’ of ‘Republican’ should replace the word ‘Royal’.
- This was because it would have the effect of separating the forces of India psychologically from the other services in the Commonwealth.
- He further suggested in the letter that the Crown should be replaced from the insignias and replaced by the “three lions of Ashoka”.
- Regarding the Naval Ensign, he said that all Commonwealth navies fly the same flag which consists of a large white flag with a red-cross and Union Jack in the upper corner nearer the staff and is known as the ‘White Ensign’.
- The new Ensign, the note suggested, should continue to have the red-cross but the Indian national flag should replace the Union Jack.
- He suggested this to maintain commonality with the Commonwealth flags.
What changes did Mountbatten suggest for uniforms?
- He strongly urged that existing uniforms should be changed as little as possible.
- He added that the Crown worn on badges of ranks of Majors and above should be replaced by the “three lions of Ashoka”.
- The Star of the Order of the Bath should be replaced by Star of India or another form of star.
- He also suggested that the crossed sword and baton on the badges of ranks of Generals should be retained.
- The former Viceroy advocated retaining the stripes of rank in Navy and Air Force saying these were internationally almost the same.
How did the Indian government react to Mountbatten’s suggestions?
- Nehru wrote to the then defence minister in September 1949 saying that he agreed with the suggestions made by the former Governor General that there should be as little change as possible.
- The then PM particularly mentioned the changes suggested by Mountbatten for the Navy.
- Then Governor General C Rajagopalachari also wrote back to Nehru in May 1949 itself agreeing to Mountbatten’s suggestions.
- In the end, Mountbatten’s suggestions were virtually all accepted and implemented with effect from January 26, 1950.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Paris agreement
Mains level: Paper 3- Climate change
Context
Europe is staring at a recession and its appetite for climate action is waning.
Developed countries moving away from commitment
- Countries in Europe led by Germany, Austria and the Netherlands are cranking up their coal plants again.
- Fossil fuels are making a comeback and countries are rejecting the European Union (EU)’s plan to reduce natural gas consumption by 15%. Dutch, Polish and other European farmers are protesting against emission cuts from agriculture.
- In the U.S. too, the Senate and the Supreme Court have struck blows to climate action.
- And in the U.S. too, prices of fuel started increasing last year, not just this year.
- Fossil fuels are making a quiet comeback, since the strength of the U.S. is its oil and gas industry.
- That is why we have just witnessed a ‘re-calibration’ of U.S. policy towards the Gulf.
- Coal, oil and gas are not going anywhere in the developed world; they are, in fact, making a comeback.
- The West had rushed to draw down on fossil fuels even before technology for renewables were in place.
Global peaking issue
- Article 4 of the Paris Agreement defines ‘Global Peaking’ thus: “In order to achieve the long-term temperature goal set out in Article 2, Parties aim to reach global peaking of greenhouse gas emissions as soon as possible, recognizing that peaking will take longer for developing country Parties.”
- The developed countries, given their historical emissions, will have to peak first.
- That’s why the reference is to ‘global peaking’ and not ‘individual peaking’.
- From this, it logically follows that when developing country parties peak later than developed countries, they will also achieve net zero later than developed countries.
- Consequently, it is the logical conclusion of the Article 4 of the Paris Agreement that when we consider net zero, we should only consider ‘global net zero’ and not ‘individual net zero’ for 2050.
- The statement calls on developed countries to do a net negative on mitigation by 2050 rather than just “net zero”, if they are serious about fighting climate change.
- In effect, the West needs to do a net minus and not just net zero.
- Thanks to the efforts of India, the phrase used in the 2021 summit-level declarations at both G-20 and Quad is ‘global net zero’. We need to build on this understanding.
- India stands as beacon of hope in renewables.
- It is time for all developing countries, especially the small island developing states, to make sure that the developed world doesn’t backslide on its commitments on mitigation yet again.
Way forward for developing countries
- With countries of the developed world almost sure to renege on their 2030 Paris Agreement commitments, countries of the developing world must do everything to hold the countries of the developed world to their commitments.
- The Western nations have already started reinterpreting the Paris Agreement and look to downgrade their commitments.
- The concept of net zero is being cleverly misinterpreted.
- To bring this to the attention of the Global South, India, China and eight other countries from Africa, Asia and Latin America made a cross-regional statement on ‘global net zero’ on June 7 at the UN on World Environment Day.
Conclusion
COP 27 in Egypt gives us that opportunity to hold their feet to the fire. It is time for the developed world to make net minus pledges. If we don’t collectively push for it, we will be collectively pushed back.
UPSC 2022 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Read the attached story
India voiced concern over the “lack of measurable progress” in Sri Lanka’s promised political solution to the long-pending Tamil national question.
Back in news: Tamil Issue
- India has made an unexpected (for SL) reference to the crisis-hit island nation’s “debt-driven” economy in the context of its current crisis.
- Indian delegation noted the lack of measurable progress by Government of Sri Lanka on their commitments of a political solution to the ethnic issue.
- It sought for full implementation of the 13th Amendment of the Constitution, delegation of powers to Provincial Councils and holding of Provincial Council elections at the earliest.
Has India retreated from supporting Sri Lanka?
- India’s statement comes ahead of a resolution on Sri Lanka that will likely face a vote at the Council.
- Since 2009, India has voted thrice in favour of the UN resolution on Sri Lanka — two were critical — and abstained twice, in 2014 and 2021.
- Irrespective of its vote, India has consistently underscored the need for a political settlement within the framework of a united Sri Lanka, ensuring justice, peace, equality and dignity for the Tamils of Sri Lanka.
Issues faced by Tamils in Sri Lanka
- According to Freedom House’s Freedom in the World 2016 report on Sri Lanka, Tamils report systematic discrimination in areas including government employment, university education, and access to justice.
- A large portion of the Tamil population still remains displaced.
What is the Tamil issue in Sri Lanka?
- Violent persecution against the Tamil population erupted in the form of the 1956, 1958, 1977, 1981 and 1983 anti-Tamil pogroms in Sri Lanka.
- Over 13 years since the end of Sri Lanka’s civil war, in which tens of thousands of civilians were killed and disappeared, survivors continue demanding justice and accountability for war-time crimes.
- In the post-war years, Sri Lanka’s human rights defenders have frequently flagged concerns over persisting militarisation, especially in the Tamil-majority north and east; repression, and the shrinking space for dissent.
What is the 13th Amendment?
- It is an outcome of the Indo-Lanka Accord of July 1987, signed by the then PM Rajiv Gandhi and President J.R. Jayawardene, in an attempt to resolve the ethnic conflict and civil war.
- The 13th Amendment led to the creation of Provincial Councils and assured a power-sharing arrangement to enable all nine provinces in the country, including Sinhala majority areas, to self-govern.
- Subjects such as education, health, agriculture, housing, land and police are devolved to the provincial administrations.
Why is it contentious?
- The 13th Amendment carries considerable baggage from the country’s civil war years.
- It was opposed vociferously by both Sinhala nationalist parties and the LTTE.
- The opposition within Sri Lanka saw the Accord and the consequent legislation as an imprint of Indian intervention.
- It was widely perceived as an imposition by a neighbour wielding hegemonic influence.
- The Tamil polity, especially its dominant nationalist strain, does not find the 13th Amendment sufficient in its ambit or substance.
- However, some find it as an important starting point, something to build upon.
Why India objects over this?
- Because of restrictions on financial powers and overriding powers given to the President, the provincial administrations have not made much headway.
- In particular, the provisions relating to police and land have never been implemented.
Why is it significant?
- Till date, the Amendment represents the only constitutional provision on the settlement of the long-pending Tamil question.
- In addition to assuring a measure of devolution, it is considered part of the few significant gains since the 1980s, in the face of growing Sinhala-Buddhist majoritarianism.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Impossible trinity
Mains level: RBI functions
Context
- A currency defence will also impose costs on the economy.
Why in news?
- Legally, the Reserve Bank of India is mandated to target an inflation rate. But with the global economic environment taking a turn for the worse, the central bank has also been targeting the exchange rate. This could prove to be a costly mistake.
What is a simple definition for inflation?
- Inflation is the rate of increase in prices over a given period of time. Inflation is typically a broad measure, such as the overall increase in prices or the increase in the cost of living in a country.
What is exchange rate?
- An exchange rate is a rate at which one currency will be exchanged for another currency. Most exchange rates are defined as floating and will rise or fall based on the supply and demand in the market. Some exchange rates are pegged or fixed to the value of a specific country’s currency.
What is monetary policy?
- Monetary policy is the control of the quantity of money available in an economy and the channels by which new money is supplied. Economic statistics such as gross domestic product (GDP), the rate of inflation, and industry and sector-specific growth rates influence monetary policy strategy.
What is fixed exchange rate in simple words?
- A fixed exchange rate is a regime applied by a government or central bank that ties the country’s official currency exchange rate to another country’s currency or the price of gold. The purpose of a fixed exchange rate system is to keep a currency’s value within a narrow band.
What is a simple definition of capital?
- Capital is a broad term that can describe anything that confers value or benefit to its owners, such as a factory and its machinery, intellectual property like patents, or the financial assets of a business or an individual.
What is meant by the impossible trinity?
- Many economists think of possible policy responses to capital flows in terms of the so-called “impossible trinity,” or “policy trilemma”, according to which, with an open capital account, a central bank cannot simultaneously exercise monetary control and target the exchange rate.
A currency defence will impose costs on the economy?
- Little economic gain: Some may believe that a stronger currency gives the impression of economic stability and generates confidence in the economy. But there is an inherent contradiction between artificially propping up the rupee and the country’s growth prospects. Very little economic gain will accrue from turning the currency’s value into a political issue.
- Inflation should be tackled through monetary policy: Understandably, a depreciating currency leads to concerns over higher imported inflation. But inflation should be tackled through monetary policy, while exchange rate management should be linked to growth. Not the other way around.
- Decline by 10 per cent: A large part of the current relative strength of the rupee vis-à-vis other currencies is due to the sale of dollars by the RBI it has lost more than 10 per cent of its foreign reserves in the space of about nine months.
- Why country needs foreign exchange: A developing economy needs foreign exchange to finance its international transactions for both the current account (goods and services) and capital account (assets) transactions.
- Cost involved: The benefits of this stock are obvious, but there are also costs associated with the holding of these.
We should follow Tenfold Path to manage Exchange Rate Volatility rather monetary policy path
(1) Selling dollars
- The first course of action has been selling dollars in the spot forex market.
- This is fairly straightforward, but has limits as all crises are associated with declining reserves.
- While this money is meant for a rainy day, they may just be less than adequate.
- The idea of RBI selling dollars works well in the currency market, which is kept guessing how much the central bank is willing to sell at any point of time.
(2) NRI deposits
- The second tool used is aimed at garnering non-resident Indian (NRI) deposits.
- It was done in 1998 and 2000 through Resurgent India bonds and India Millennium Deposits, when banks reached out asking NRIs to put in money with attractive interest rates.
- The forex risk was borne by Indian banks.
- This is always a useful way for the country to mobilize a good sum of forex, though the challenge is when the debt has to be redeemed.
- At the time of deposits, the rates tend to be attractive, but once the crisis ends, the same rate cannot be offered on deposit renewals.
- Therefore, the idea has limitations.
(3) Let oil importers buy dollars themselves
- The third option exercised often involves getting oil importing companies to buy dollars directly through a facility extended by a public sector bank.
- Its advantage is that these deals are not in the open and so the market does not witness a large demand for dollars on this account.
- It is more of a sentiment cooling exercise.
(4) Let exporters trade in dollars
- Another tool involves a directive issued for all exporters to mandatorily bring in their dollars on receipt that are needed for future imports.
- This acts against an artificial dollar supply reduction due to exporter hold-backs for profit.
(5) Liberalized Exchange Rate
- The other weapon, once used earlier, is to curb the amount of dollars one can take under the Liberalized Exchange Rate Management System.
- This can be for current account purposes like travel, education, healthcare, etc.
- The amounts are not large, but it sends out a strong signal.
(6) Forward-trade marketing
- Another route used by RBI is to deal in the forward-trade market.
- Its advantage is that a strong signal is sent while controlling volatility, as RBI conducts transactions where only the net amount gets transacted finally.
- It has the same power as spot transactions, but without any significant withdrawal of forex from the system.
(7) Currency swaps
- The other tool in India’s armoury is the concept of swaps.
- This became popular post 2013, when banks collected foreign currency non-resident deposits with a simultaneous swap with RBI, which in effect took on the foreign exchange risk.
- Hence, it was different from earlier bond and deposit schemes.
- Most preferred options by the RBI
- Above discussed instruments have been largely direct in nature, with the underlying factors behind demand-supply being managed by the central bank.
- Of late, RBI has gone in for more policy-oriented approaches and the last three measures announced are in this realm.
(8) Allowing banks to work in the NDF market
- First was allowing banks to work in the non-deliverable forwards (NDF) market.
- This is a largely overseas speculative market that has a high potential to influence domestic sentiment on our currency.
- Here, forward transactions take place without real inflows or outflows, with only price differences settled in dollars.
- This was a major pain point in the past, as banks did not have access to this segment.
- By permitting Indian banks to operate here, the rates in this market and in domestic markets have gotten equalized.
(9) Capital account for NRI deposits
- More recently, RBI opened up the capital account on NRI deposits (interest rates than can be offered), external commercial borrowings (amounts that can be raised) and foreign portfolio investments (allowed in lower tenure securities), which has the potential to draw in forex over time.
- Interest in these expanded contours may be limited, but the idea is compelling.
(10) Settlement in Rupees
- RBI’s permission for foreign trade deals to be settled in rupees is quite novel; as India is a net importer, gains can be made if we pay in rupees for imports.
- The conditions placed on the use of surpluses could be a dampener for potential transactions.
- But the idea is innovative and could also be a step towards taking the rupee international in such a delicate situation.
- Clearly, RBI has constantly been exploring ways to address our forex troubles and even newer measures shouldn’t surprise us.
Way ahead
- The RBI (which is in charge of monetary policy) should focus on containing inflation, as it is legally mandated to do.
- The government (which is in charge of the fiscal policy) should contain its borrowings.
- Higher borrowings (fiscal deficit) by the government eat up domestic savings and force the rest of the economic agents to borrow from abroad.
- Policymakers (both in the government and the RBI) have to choose what their priority is containing inflation or being hung up on exchange rate and forex levels.
- If they choose to contain inflation (that is, by raising interest rates) then it will require sacrificing economic growth. So be prepared for that.
Mains question
Q.What do you understand by the term impossible trinity? How should RBI respond to manage currency exchange rate? Discuss.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Democratic credentials
Context
- G7 nations and partner countries including India recently signed “2022 Resilient democracies statement”-We, the Leaders of Germany, Argentina, Canada, France, India, Indonesia, Italy, Japan, Senegal, South Africa, the United Kingdom, the United States of America, and the European Union, affirm our commitment to strengthening the resilience of our democracies and to working towards equitable, inclusive and sustainable solutions to global challenges, including climate change and the COVID-19 pandemic, and reaffirm our commitment to the rules-based international order.
How we define Democracy?
- “Government of the people, by the people and for the people” the words used by Abraham Lincoln in the year 1863 while talking about democracy.
Purpose of democracy
- Cornerstones of democracy include freedom of assembly, association, property rights, freedom of religion and speech, inclusiveness and equality, citizenship, consent of the governed, voting rights, freedom from unwarranted governmental deprivation of the right to life and liberty, and minority rights.
Democracy Report 2022
- The study, titled ‘Democracy Report 2022: Autocratisation Changing Nature?’ states that more than twice as many countries are undergoing Autocratisation as are witnessing democratization.
- The conceptual scheme takes into account not only the electoral dimension (free and fair elections) but also the liberal principle that democracy must protect “individual and minority rights”
- The V-Dem report classifies countries into four regime types based on their score in the Liberal Democratic Index (LDI): a)Liberal Democracy b)Electoral Democracy c)Electoral Autocracy and d)Closed Autocracy
Where do the Reports and Indices put India?
- Sweden based Sweden-based V-Dem Institute was harsher in its latest report on democracy. It said India had become an “electoral autocracy”
- US-based non-profit Freedom House downgraded India from a free democracy to a “partially free democracy”.
- India, described as a “flawed democracy”, slipped two places to 53rd position in the latest Democracy Index published by The Economist Intelligence Unit.
Status of Supporters of Democracy
- Decolonised African Countries:
- The number of African countries that have adopted democratic systems of government has grown since decolonisation, the collapse of communism and the ending of a number of civil wars.
- Some countries, such as Ghana, are seen as resilient democracies, while for others the democratic transition is more fragile, after months of pro-democracy protests in 2019 in Sudan, a civilian-led transitional government is now paving the way for democracy after decades of military rule.
- India as example:
- India is the world’s largest democracy. India is staying as one unit despite having vast no of cultures, languages and religions. This is possible because of the democracy in India.
- Minorities and disadvantaged sections are represented in parliament which enabled inclusive growth.
- When India got independence, its economy was in shambles. Extreme poverty, unemployment, food insecurity were the major problems before Indian government. But India’s democratic constitution successfully balanced development and welfare of the country.
- Now, India is one of the fastest growing economies in the world.
What critics arguing?
- Democracy in crisis: Democracy is more in crisis than ever before, with the onset of centralisation of power, with a foreign policy defying public opinion, with the media centralised, and with corporate control of the economy tighter than ever.
- Increasing polarity: Threatening world order is emerging, which seeks to abrogate all individual rights and divide us along the extremist polarities that we thought had been neutralised.
- Global Crisis: We move into this new stage of conflict carrying the risk of a nuclear tragedy, further exacerbated by the collective buttressing of a global crisis of the novel coronavirus pandemic, uncontrollable ecological disasters, and food and water deficiency.
- Populism: Blatant fascist leanings of the so-called “democracies”, and escalating hunger and disease in Africa and other parts of the under-developed world give enough evidence that democracy faces serious issues of populism.
- Other global problems: Growing economic discrimination, overpopulation and environmental degradation, Misgivings about moral progress, about mutual understanding, exacerbate the dismal situation that faces humanity.
What can be done to strengthen the democracies further?
- Strengthening public support: To protect freedom domestically and build support for a foreign policy that protects democratic rights and values abroad, it is essential to foster a stronger public understanding of democratic principles, especially among young people. civic education is necessary.
- Rule of law: In order to maintain trust in public institutions, the principles of legality, legal certainty and prohibition of arbitrariness of the executive powers, judicial independence, impartiality, and equality before the law need to be respected.
- Individual rights: Democracy entails the right of individuals to participate in and influence the development of society, with free and fair elections at its core. Without an active turnout in elections and proper mechanisms for participation, the essence of democracy can be lost.
- Free speech: Free speech guard the freedom of expression and opinion, and affirmation of commitment to the very idea of democracy and a move towards opposing oppression and violence
Conclusion
- Democracy is always a work in progress. The key ingredients of democracy are effective and accountable institutions, and leadership. Institutions build resilience by embedding norms and standards and bridging periods of weak leadership.
Mains Question
Q.Do you think Democracy is the best solution to tackle the growing fault lines between the communities? What makes India as the best example of Democracy to the world? Discuss.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Attorney General
Mains level: Not Much
Attorney General of India (AGI)
- The AGI is the Indian government’s chief legal advisor and is a primary lawyer in the Supreme Court of India.
- They can be said to be the advocate from the government’s side.
- They are appointed by the President of India on the advice of Union Cabinet under Article 76(1) of the Constitution and holds office during the pleasure of the President.
- They must be a person qualified to be appointed as a Judge of the Supreme Court ( i.e. a judge of some high court for five years or an advocate of some high court for ten years or an eminent jurist, in the opinion of the President and must be a citizen of India.).
Functions and duties
- The AGI is necessary for advising the Government of India on legal matters referred to them.
- They also perform other legal duties assigned to them by the President.
- The AGI has the right of audience in all Courts in India as well as the right to participate in the proceedings of the Parliament, though not to vote.
- The AGI appears on behalf of the Government of India in all cases (including suits, appeals and other proceedings) in the Supreme Court in which GoI is concerned.
- They also represent the Government of India in any reference made by the President to the Supreme Court under Article 143 of the Constitution.
- The AG is assisted by a Solicitor General and four Additional Solicitors General.
Powers of AG
- The AG can accept briefs but cannot appear against the Government.
- They cannot defend an accused in criminal proceedings and accept the directorship of a company without the permission of the Government.
- The AG is to be consulted only in legal matters of real importance and only after the Ministry of Law has been consulted.
- All references to the AG are made by the Law Ministry.
Term of Attorney General’s office
- There is no fixed term for the Attorney General of India. The Constitution mentions no specified tenure of Attorney General. Similarly, the Constitution also does not mention the procedure and ground of his removal.
Facts about his office:
- He can be removed by the President at any time.
- He can quit by submitting his resignation only to the President.
- Since he is appointed by the President on the advice of the Council of Ministers, conventionally he is removed when the council is dissolved or replaced.
Limitations to his powers
The AG:
- should not advise or hold a brief against the Government of India
- should not defend accused persons in criminal cases without the permission of the government of India
- should not accept appointment as a director in any company without the permission of the government
Office of AG across the world
- Unlike the Attorney General of the United States, the AGI does not have any executive authority.
- Those functions are performed by the Law Minister of India.
- Also, the AG is not a government servant and is not debarred from private legal practice.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Rohini
Mains level: Not Much
In a few weeks’ time, the Indian Space Research Organisation (ISRO) hopes to achieve a remarkable feat — the 200th successful launch of the Rohini RH-200 sounding rocket in a row.
Rohini RH-200
- RH-200 is a two-stage rocket capable of climbing to a height of 70 km bearing scientific payloads.
- The first and second stages of RH-200 are powered by solid motors. The ‘200’ in the name denotes the diameter of the rocket in mm.
- Other operational Rohini variants are RH-300 Mk-II and RH-560 Mk-III.
- For years, the RH-200 rocket had used a polyvinyl chloride (PVC)-based propellant.
- The first RH-200 to use a new propellant based on hydroxyl-terminated Polybutadiene (HTPB) was successfully flown from the TERLS in September 2020.
- The first and second stages of RH200 rocket are powered by solid motors.
- Since inception of RH200 rocket, both solid stages are processed using polyvinyl chloride (PVC) based propellant.
- As compared to PVC based propellants, HTPB based propellant is more energetic, higher mechanical & interface properties and has less defects due to lower processing temperature.
What basically is a Sounding Rocket?
- A sounding rocket is an instrument-carrying rocket designed to take measurements and perform scientific experiments during its sub-orbital flight.
- The rockets are used to launch instruments from 48 to 145 km above the surface of the Earth, the altitude generally between weather balloons and satellites.
- The maximum altitude for balloons is about 40 km and the minimum for satellites is approximately 121 km.
History of sounding rockets in India
- Sounding rockets have an important place in the ISRO story.
- The first sounding rocket to be launched from Thumba was the American Nike-Apache — on November 21, 1963.
- After that, two-stage rockets imported from Russia (M-100) and France (Centaure) were flown. The ISRO launched its own version — Rohini RH-75 — in 1967.
- The ISRO has launched more than 1,600 RH-200 rockets so far.
- Currently, the RH200, RH300 MkII and RH560 Mk-III rockets are operational which were developed during the early phase of our journey in rocketry.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: PVTGS
Mains level: Not Much
Keeping the rampant child marriages among the Particularly Vulnerable Tribal Groups (PVTGs) of Odisha in mind, the State government is providing an incentive of ₹20,000 to the couples marrying after the age of 18 years.
Particularly Vulnerable Tribal Groups (PVTGs)
- There are certain tribal communities who have declining or stagnant population, low level of literacy, pre-agricultural level of technology and are economically backward.
- They generally inhabit remote localities having poor infrastructure and administrative support.
- These groups are among the most vulnerable section of our society as they are few in numbers, have not attained any significant level of social and economic development.
- 75 such groups have been identified and categorized as Particularly Vulnerable Tribal Groups (PVTGs).
Origin of the concept
- The Dhebar Commission (1960-1961) stated that within Scheduled Tribes there existed an inequality in the rate of development.
- During the fourth Five Year Plan a sub-category was created within Scheduled Tribes to identify groups that considered to be at a lower level of development.
- This was created based on the Dhebar Commission report and other studies.
- This sub-category was named “Primitive tribal group”.
Features of PVTGs
- The features of such a group include a:
- Pre-agricultural system of existence
- Practice of hunting and gathering
- Zero or negative population growth
- Extremely low level of literacy in comparison with other tribal groups
- Groups that satisfied any one of the criterion were considered as PTG.
- In 2006 the government of India proposed to rename “Primitive tribal group” as Particularly vulnerable tribal group”.
Try this PYQ:
Q.Consider the following statements about Particularly Vulnerable Tribal Groups (PVTGs) in India:
- PVTGs reside in 18 States and one Union Territory.
- A stagnant or declining population is one of the criteria for determining PVTG status.
- There are 95 PVTGs officially notified in the country so far.
- Irular and Konda Reddi tribes are included in the list of PVTGs.
Which of the statements given above are correct? (CSP 2019)
(a) 1, 2 and 3
(b) 2, 3 and 4
(c) 1, 2 and 4
(d) 1, 3 and 4
Post your answers here.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: Sittanavasal
Mains level: NA
The Sittanavasal Rock Cave Temple, a major centre of Jain influence for 1,000 years just before the Christian era, is in need of better upkeep.
Sittanavasal
- Sittanavasal is a small hamlet in Pudukkottai district of Tamil Nadu, India.
- It is known for the Sittanavasal Cave, a 2nd-century Jain cave complex. From the 7th to the 9th century A.D., the village flourished as a Jain centre.
- Sittanavasal is the name used synonymously for the hamlet and the hillock that houses the:
- Arivar Kovil (temple of Arihants — Jains who conquered their senses)
- Ezhadipattam (a cavern with 17 polished rock beds), megalithic burial sites and the
- Navachunai tarn (small mountain lake) with a submerged shrine
What makes it special?
- The artwork on the ceiling of the sanctum and the ardha mandapam of Arivar Kovil is an early example of post-Ajanta cave paintings of the fourth to sixth centuries.
- It was also done using the fresco-secco technique (a process that dispenses with preparation of the wall with wet plaster).
Features of the cave paintings
- The ceiling paintings show ‘bhavyas’ (exalted souls who work to achieve moksha or spiritual liberation) enjoying themselves in a pool, full of lotuses; today much of it is obscured by patchy plastering.
- Faint outlines linger of dancing girls on the ‘ardha mandapam’ pillars.
- The colours are a mixture of plant dyes and mineral elements such as lime, lamp black, and clay pigments such as ochre for yellow and terre verte for the greyish-green tints.
Why in news now?
- Unrestricted public access and general exposure to the elements have led to a gradual fading away of these paintings.
- At the Ezhadipattam, inscriptions have been vandalised beyond recognition.
Also try this PYQ:
Q.There are only two known examples of cave paintings of the Gupta period in ancient India. One of these is paintings of Ajanta caves. Where is the other surviving example of Gupta paintings?
(a) Bagh caves
(b) Ellora caves
(c) Lomas Rishi cave
(d) Nasik caves
Post your answers here.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
Note4Students
From UPSC perspective, the following things are important :
Prelims level: particulars of report
Mains level: human development
Context
- India, belonging to the medium HDI category, shows dimensional inequalities similar to or slightly below the average figures in the category, except in the case of education where it is high and closer to the low HDI countries. The inequalities in health and education are more than twice that of the very high and high HDI categories.
Why in news?
What is the meaning of human development?
- Human development is defined as the process of enlarging people’s freedoms and opportunities and improving their well-being. Human development is about the real freedom ordinary people have to decide who to be, what to do, and how to live.
What is meant by Human Development Index?
- The HDI is a summary measure of human development. The HDI is a summary composite measure of a country’s average achievements in three basic aspects of human development: health, knowledge and standard of living.
Who publishes HDI?
- The Human Development Report (HDR) is an annual Human Development Index report published by the Human Development Report Office of the United Nations Development Programme (UNDP).
Dimensions of the Human Development Index
- Long and healthy life: The long and healthy life dimension is measured by life expectancy at birth. The life expectancy at birth is a statistical measure that an average individual is expected to live based on certain demographic factors such as the year of birth and current age.
- Education: This is a second dimension in the HDI. The indicators of education are the expected years of schooling and the mean years of schooling. According to the UN, the average maximum years of schooling is 18 years, while the mean maximum years of schooling is 15 years.
- Standard of living: The standard of living is usually measured by the gross national income (GNI) per capita. The GNI indicates the total domestic and foreign output created by the residents of a certain country.
What are the 4 indicators of HDI?
- Mean years of schooling
- Expected years of schooling
- Life expectancy at birth
- Gross national income (GNI) per capita
Which Countries Have the Highest HDI?
In the latest HDI ranking, from 2022, Switzerland finished first with an HDI value of 0.962.
Issues in HDI
(1) An incomplete indicator
- Human development is incomplete without human freedom and that while the need for qualities judgement is clear; there is no simple quantitative measure available yet to capture the many aspects of human freedom.
- HDI also does not specifically reflect quality of life factors, such as empowerment movements or overall feelings of security or happiness.
(2) Limited idea of development
- The HDI is not reflecting the human development idea accurately.
- It is an index restricted to the socio-economic sphere of life; the political and civil spheres are in the most part kept separate.
- Hence there is a sub-estimation of inequality among countries, which means that this dimension is not being taken into consideration appropriately.
(3) A vague concept
- Concerning data quality and the exact construction of the index HDI is conceptually weak and empirically unsound.
- This strong critic comes from the idea that both components of HDI are problematic. The GNP in developing countries suffers from incomplete coverage, measurement errors and biases.
- The definition and measurement of literacy are different among countries and also, this data has not been available since 1970 in a significant number of countries.
(4) Data quality issues
- The HDI, as a combination of only four relatively simple indicators, doesn’t only raise a questions what other indicators should be included, but also how to ensure quality and comparable input data.
- It is logical that the UNDP try to collect their data from international organizations concentrating in collecting data in specific fields.
- Quality and trustworthiness of those data is disputable, especially when we get the information from UN non-democratic members, as for example Cuba or China.
(5) A tool for mere comparison
- The concept of HDI was set up mainly for relative comparison of countries in one particular time.
- HDI is much better when distinguishing between countries with low and middle human development, instead of countries at the top of the ranking.
- Therefore, the original notion was not to set up an absolute ranking, but let’s quite free hands in comparison of the results.
(6) Development has to be greener
- The human development approach has not adequately incorporated environmental conditions which may threaten long-term achievements on human development. The most pervasive failure was on environmental sustainability.
- However, for the first time in 2020, the UNDP introduced a new metric to reflect the impact caused by each country’s per-capita carbon emissions and its material footprint.
- This is Planetary Pressures-adjusted HDI or PHDI. It measured the amount of fossil fuels, metals and other resources used to make the goods and services it consumes.
(7) Wealth can never equate welfare
- Higher national wealth does not indicate welfare. GNI may not necessarily increase economic welfare; it depends on how it is spent.
- For example, if a country spends more on military spending – this is reflected in higher GNI, but welfare could actually be lower.
Importance of HDI
- Multidimensionality: It is one of the few multidimensional indices as it includes indicators such as literacy rate, enrolment ratio, life expectancy rate, infant mortality rate, etc.
- True yardstick: It acts as a true yardstick to measure development in real sense.
- Helps in measuring a nation’s well-being: Unlike per capital income, which only indicates that a rise in per capital income implies economic development; HDI considers many other vital social indicators and helps in measuring a nation’s well-being.
Value addition line
People are the real wealth of a nation. The basic objective of development should be to create an enabling environment for people to live long, healthy and creative lives. This may appear to be a simple truth.
Conclusion
- To sum up, the introduction of the HDI three decades ago was an early attempt to address the shortcomings in conventional measures of wellbeing.
- The HDI has continued to attract widespread attention and motivates the work of activists, scholars and political leaders around the world.
- The HDI compels us to ask what matters more, the quantitative expansion of an economy, or the qualitative improvement in the capabilities of society.
- Indeed the revival of interest in this subject at the highest levels of government is the need of the hour.
Mains question
Q. What do you understand by human development? Critically analyse the human development index given by UNDP.
UPSC 2023 countdown has begun! Get your personal guidance plan now! (Click here)
Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024
Attend Now
What is a port?