Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Preventing cruelty to animals
A draft Prevention of Cruelty to Animals (Amendment) Bill, 2022, prepared by the Ministry of Fisheries, Animal Husbandry, and Dairying, has been opened for public comment.
Why in news?
- Recently, instances of animal cruelty in India witnessed a surge.
- The same has ushered the debate around animal rights and the extent of legal protection that the current laws provide them.
Prevention of Cruelty to Animals (Amendment) Bill, 2022
- The Centre has proposed to overhaul The Prevention of Cruelty to Animals Act, 1960, introducing 61 amendments in the law.
- It includes stringent penalties of three years’ imprisonment for committing “gruesome cruelty” including “bestiality” with animals.
Main changes proposed in the law
- Cruelty as a cognizable offence: Several offences have been made cognizable, which means offenders can be arrested without an arrest warrant.
- Recognizing gruesome cruelty: The proposed law describes “gruesome cruelty” as any act involving animals which leads to “extreme pain and suffering” and is “likely to leave the animal in life-long disability”. It includes mutilation or killing of animals by the use of strychnine injection in the heart or any other cruel manner.
- Stringent penalties: Essentially, the law is proposed to be made tighter, with more stringent punishments. The draft proposes fines from Rs 50,000 to Rs 75,000 “or the cost of the animal. For killing an animal, the draft Bill proposes a maximum punishment of five years in jail.
What are the existing penal provisions?
- An offence such as this — fairly common in India — would currently attract charges under Section 428 (mischief by killing or maiming animal) IPC and Section 11 (treating animals cruelly) of The PCA Act, 1960.
- It prescribes some rubbish penal provisions.
Need for such law
- Barbarism: In September, a doctor in Rajasthan’s Jodhpur allegedly tied a dog to his car and dragged it across the city.
- Non-deterrence: Present provisions are incapable of acting as any deterrent for potential offenders.
- Ridicules penalties: First-time offenders under the PCA Act are punished with a fine of Rs 10-50. If it is found that this is not the offender’s first such crime in the past three years, the maximum punishment would be a fine between Rs 25 and Rs 100, a jail term of three months, or both.
Key propositions for such law
- Along with animal welfare organisations and several political leaders have in the past called for the law to be amended.
- In 2014, the Supreme Court, in ‘Animal Welfare Board of India vs A Nagaraja & Others’, had said that “Parliament is expected to make proper amendment of the PCA Act to provide an effective deterrent.
Government response
- In April 2021, the Centre had proposed changes where the penalty can go up to Rs 75,000 per animal or three times the cost of the animal as determined by the jurisdictional veterinarian.
- It proposed imprisonment of three years which may extend to five years or both.
- The government has finally moved in this direction with proposed amendments.
Legal remedies in India
- The Prevention of Cruelty to Animals Act 1960 recognises that animals can suffer physically and mentally, and is applicable to ‘all living creatures’.
- The Constitution also enshrines the principle of ahimsa and mandates to all citizens of India to ‘have compassion for living creatures’.
- The Animal Welfare Board of India (AWBI) is the central body responsible for animal welfare in the country.
- The National Institute for Animal Welfare created in 1999, has the broad mandate to improve animal welfare through research, education and public outreach.
- According to Section 50(4) of the Wildlife Protection Act, 1972, a Wildlife Offence Report (WLOR) can be filed.
Apart from increasing penalties, what else is proposed?
(1) Freedoms to animals
- “It shall be the duty of every person having charge of an animal to ensure that the animal in his care or under his charge has freedom from:
- Thirst, hunger and malnutrition;
- Discomfort due to environment;
- Pain, injury and diseases;
- Fear and distress, and the
- Freedom to express normal behaviour for the species
(2) Protection to community animals
- The draft defines “community animal” as “any animal born in a community for which no ownership has been claimed by any individual or an organization, excluding wild animals as defined under the wildlife Protection Act, 1972 (53 of 1972).”
- The proposed law also says that in case of a community animal, the local government such as municipality or panchayats shall be responsible for taking care of the community animals in a manner developed by the State Government or by the Board.
Latent issues with the law
- Simply increasing the quantum of punishment may not be enough to stop cruelty against animals.
- Some already marginalised communities like ‘madaris’ (who perform with animals) and ‘saperas’ (snake charmers) may be disproportionately affected.
- Others have argued that focusing on the individual act of ‘cruelty’, such as farmers putting up electric fences around their fields, is an incomplete approach.
Conclusion
- Steps are needed to mitigate the larger issues of vanishing animal habitats and climate change exacerbating man-animal conflict.
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Note4Students
From UPSC perspective, the following things are important :
Mains level: Urban Agriculture, Use of technology and food security
Context
- As per the United Nations’ Food and Agricultural Organization, urban and peri-urban agriculture have a significant role in global food and nutritional security, and so it is seeking to encourage such activities through the Urban Food Agenda.
What is Urban Agriculture?
- Urban agriculture refers to agricultural practices in urban and peri-urban areas. Peri-urban areas are those transitioning from rural land uses (such as for agriculture or livestock production) to urban ones (such as the built environment, manufacturing, services, and utilities), and are located between the outer limits of urban and regional centres and the rural environment.
- Cultivating food and non-food product: Urban agricultural practices are geared towards cultivating or growing a wide range of food and non-food products, and include activities such as rearing livestock, aquaculture, beekeeping, and commercial-scale floriculture.
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Urban Agriculture and Technology
- Farming using software: In France, for instance, certain software gives farmers access to cross-referenced information on their smartphones about the weather, spraying dates, seeds, fertilization plans, and regulatory compliance.
- Use of mobile applications: In India and the US, mobile applications can help connect urban growers and local consumers. Technology also helps food growers in precision farming, which involves mapping and monitoring geological and plant data for a field so that inputs can be adapted to suit ultra-localized needs. Local communities can be helpful in the gathering of such data.
- Aeroponics: Aero Farms in Newark, US, builds and operates vertical indoor farms to enable local production at scale and increase the availability of safe and nutritious food. The company uses aeroponics to grow leafy greens without sun or soil in a fully controlled environment. The technology enables year-round production with less water consumption and high yields per square metre.
- Container system: In Paris, a start-up called Agricool grows strawberries in containers across the city. The company retrofits old, unused containers to accommodate LED lights and aeroponics system to grow strawberries year-round. These ‘cooltainers’ are powered by clean energy and use about 90 percent less water than traditional farming activities. This can also create job opportunities for city residents in the agricultural sector.
- Small area large population: India’s total urban area has been estimated at around 222,688 sq. km, or about 6.77 percent of the country’s geographical area. This small area is home to around 35 percent of India’s population, around 500 million Indians.
- less area to convert into green spaces: If Indian cities were to allocate 10 percent of their geographic space for greens (gardens, playgrounds, public parks and the like), as suggested in the Urban & Regional Development Plans Formulation & Implementation guidelines, this would mean 22,268 sq. km of the total urban area is available to convert into public green spaces.
- Space constraint hinders the urban agriculture: Even if half of this area (111,34 sq. km) were used for urban agriculture instead of parks, gardens, playgrounds, and horticulture, this is a mere 5 percent of all urban area and 0.56 percent of all land under agriculture in the country. This showcases the space constraints that urban agriculture must tackle.
Urban constraints and use of technology
- Raised bed farming: Raised bed farming is the agricultural technique of building freestanding crop beds above the existing soil level. In certain instances, raised beds are covered with plastic mulch to create a closed planting bed. The method helps reduce soil compaction and allows better control of the soil. The planted area also gets protected in case of excess rainfall. This method affords far greater productivity than regular farming.
- Container gardening: Container gardening refers to the practice of growing plants in containers instead of planting them on the ground. Containers could include polyethene plastic bags, clay pots, plastic pots, metallic pots, milk jugs, ice cream containers, bushel baskets, barrels, and planter box bottles. Most vegetables grown in backyard gardens can be grown in containers.
- Aquaponics: A closed-loop aquaponics system is an organic strategy that draws on the strengths of the basic ecological foundations of the nitrogen and carbon cycles. Nutrient-rich fish water is used to fertilise and water plants. This system requires only a few inputs primarily energy and some of the basic plant nutrients.
- The vertical farming: The vertical farming model essentially aims at increasing the amount of agricultural land by stacking many racks of crops vertically, thereby having many levels on the same space of land.
- Rooftop Plant Production: Under rooftop plant production (RPP) systems, food crops can be grown using raised beds, row farming, or a hydroponic greenhouse. Hydroponics is the practice of growing plants in a nutrient solution with or without a soilless substrate to provide physical support. RPP systems maximize the cultivation area with artificial lighting. RPP can be used to grow crops that require higher light intensities and more vertical space.
Conclusion
- Urban agriculture faces several constraints, but each of these can be overcome by adopting a range of technologies, establishing urban agriculture initiatives in peri-urban areas, launching community initiatives in common spaces, and altering planning parameters and city regulations to include urban agriculture as a ULB activity.
Mains Question
Q. What is the urban agriculture? What are constraints in urban agricultural practice and how to overcome those constraints?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: COP 27
Mains level: Loss and damage fund
Context
- All 197 Parties to the UN Framework Convention on Climate Change (UNFCCC) agreed to enable financing for loss and damage to those that need it the most.
What is Loss and damage (L&D) fund?
- Adverse impact of climate change: Loss and damage (L&D) refer to the adverse impacts that vulnerable communities and countries face as a result of a changing climate.
- Making the rich countries pay: Rich countries had resisted L&D payments for years. Under pressure, they could no longer duck their responsibility.
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- Formation of Transition committee: The COP27 decision includes the development of a Transition Committee dedicated to L&D, with equal representation from rich and poor countries.
- Operationalizing the funding arrangement: The committee has been tasked with configuring institutional arrangements, identifying and expanding sources of funding, and coordinating with existing funding arrangements — by COP28 in the UAE next year.
What role India can play in facilitating the Loss & Damage?
- Develop a Global Vulnerability Index: Last year, CEEW developed a Climate Vulnerability Index for India. It found that over 80 per cent of Indians are highly vulnerable to extreme climatic disasters. Such data in the public domain helps map critical vulnerabilities and plan strategies to build resilience by climate-proofing communities, economies and infrastructure.
- South-led research consortium: India would do well to convene experts and encourage the development of a South-led research consortium dedicated to scientific exploration of “event attribution” science. This would enrich climate science, draw attention to the more vulnerable regions, build research capacity in developing countries, and strengthen the L&D framework.
- Champion the Early Warning Systems Initiative: The Executive Action Plan for the Early Warnings for All Initiative, unveiled at COP27. It aims to ensure every person on Earth is protected by early warning systems within five years. It has called for targeted investments of $ 3.1 billion during 2023-27, which could avoid annual losses of $3-16 billion against natural hazards in developing countries.
- Leverage the Coalition for Disaster Resilient Infrastructure (CDRI): India founded the CDRI “to promote the resilience of new and existing infrastructure systems to climate and disaster risks in support of sustainable development”. CDRI is currently undertaking a Fiscal Risk Assessment study to support the development of a comprehensive disaster-risk financing strategy in more than 35 countries and multilateral entities.
Other strategies for Loss & Damage funds
- Pressurizing the developing countries: Pressure must also be put on large emerging economies, with rising emissions, to contribute to L&D financing. Limiting L&D compensation depends on increasing adaptation spending.
- Global Resilience Reserve Fund: The global resilience reserve fund is capitalized by IMF Special Drawing Rights, to create an insurance cushion against severe physical and macroeconomic shocks that climate risks would impose.
- Enhanced and accelerated emissions mitigation: While countries around the globe released its long-term low-carbon emissions development strategy last week, it must use scientific methods to quantify its long-term targets, to give direction to industry and investors.
Conclusion
- Loss & Damage financing is just a band-aid. Global emissions must reduce by 50 per cent by 2030 but there is no opprobrium for failing to present credible plans to do so. India drew attention to sustainable lifestyles via its Lifestyle for Environment mission. World must change its attitude towards climate change because it is already too late.
Mains Question
Q. What is Loss and damage fund agreed Under COP 27? What role India can play for global south for facilitating the L&D fund?
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Measles and other contagious diseases
Mains level: Measles outbreak, Immunization program and the concerns
Context
- A measles outbreak in Mumbai has raised concerns amongst the country’s public health authorities. The city has reported more than 200 cases in the past two months and at least 13 children have lost their lives.
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Measles: A memory shot
- Measles is a highly contagious viral disease.
- Measles is caused by a virus in the paramyxovirus family and it is normally passed through direct contact and through the air.
- The virus infects the respiratory tract, then spreads throughout the body.
- Measles is a human disease and is not known to occur in animals.
All you need to know about Measles
- Signs and symptoms include:
- The first sign of measles is usually a high fever, runny nose, a cough, red and watery eyes, and small white spots inside the cheeks can develop in the initial stage.
- The most serious complications include blindness, encephalitis, severe diarrhoea and related dehydration, ear infections, or severe respiratory infections such as pneumonia.
- Who is at risk?
- Unvaccinated young children are at highest risk of measles and its complications, including death.
- Unvaccinated pregnant women are also at risk.
- Any non-immune person (who has not been vaccinated or was vaccinated but did not develop immunity) can become infected.
- Transmission:
- Measles is one of the world’s most contagious diseases.
- It is spread by coughing and sneezing, close personal contact or direct contact with infected nasal or throat secretions.
- Treatment:
- No specific antiviral treatment exists for measles virus.
- Severe complications from measles can be reduced through supportive care that ensures good nutrition, adequate fluid intake and treatment of dehydration with WHO-recommended oral rehydration solution.
- All children diagnosed with measles should receive two doses of vitamin A supplements.
- Prevention:
- Routine measles vaccination for children, combined with mass immunization campaigns in countries with high case and death rates, are key public health strategies to reduce global measles deaths.
- The measles vaccine is often incorporated with rubella and/or mumps vaccines.
Reasons sought behind the sudden outbreak of Measles in India
- A backslide in the universal immunisation programme during the pandemic:
- By all accounts, the outbreak seems to have been precipitated by a backslide in the universal immunisation programme during the pandemic.
- According to the state government data, only 41 per cent of the eligible children have been inoculated against measles in Mumbai.
- Vaccine hesitancy:
- Parents, reportedly, are showing a disinclination to continue the inoculation regime for their children after they developed fever on being administered the first jab.
- Overworked public health professionals, including ASHA workers, have also had to combat vaccine hesitancy.
- Mission Indradhanush: In recent years, the Centre’s Mission Indradhanush project has improved vaccine coverage and reduced delays between shots.
- Low coverage in last two years: WHO and UNICEF studies have shown that immunisation programmes especially those focusing on DPT (diphtheria, pertussis and tetanus) and measles have taken a hit in low- and mid-income countries, including India, in the past two years.
- Missed shots during Pandemic restrictions: Early in the pandemic, the National Health Mission’s information system reported that at least 100,000 children missed their shots because of the restrictions on movement.
- India speeding up the immunization after the pandemic: Anecdotal reports do indicate that India’s universal inoculation programme picked up during the latter part of the pandemic. But measles is a highly contagious disease. Experts had cautioned that even a 5 per cent fall in the vaccination rate can disrupt herd immunity and precipitate an outbreak. The surge of the disease in Mumbai indicates that their fears are coming true.
Countries with lower per capita incomes are more at risk
- Measles is still common in many developing countries particularly in parts of Africa and Asia. The overwhelming majority (more than 95%) of measles deaths occur in countries with low per capita incomes and weak health infrastructures.
- Measles outbreaks can be particularly deadly in countries experiencing or recovering from a natural disaster or conflict. Damage to health infrastructure and health services interrupts routine immunization, and overcrowding in residential camps greatly increases the risk of infection.
- Measles outbreaks can result in epidemics that cause many deaths, especially among young, malnourished children. In countries where measles has been largely eliminated, cases imported from other countries remain an important source of infection.
Conclusion
- Studies have shown that child vaccination had suffered during the pandemic as attention shifted towards adult vaccination. Now that the pandemic has waned, governments must carefully evaluate at the grassroots how many children fell out of the vaccine net during this period and take countermeasures.
Mains question
Q. Measles is a highly contagious disease with a high mortality rate in unvaccinated children. Discuss the reasons behind the recent outbreak of measles in India.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: Chabahar Port
Mains level: Read the attached story
India and Iran held Foreign Office level consultations to continue cooperation for development of the Shahid Beheshti terminal of the Chabahar Port.
Chabahar Port
- In 2016, India signed a deal with Iran entailing $8 billion investment in Chabahar port and industries in Chabahar Special Economic Zone.
- The port is being developed as a transit route to Afghanistan and Central Asia.
- India has already built a 240-km road connecting Afghanistan with Iran.
- All this were expected to bring cargo to Bandar Abbas port and Chabahar port, and free Kabul from its dependence on Pakistan to reach the outer world.
- Completion of this project would give India access to Afghanistan and beyond to Turkmenistan, Uzbekistan, Tajikistan, Kyrgyzstan, Kazakhstan, Russia and Europe via 7,200-km-long multi-modal North-South Transport Corridor (INSTC).
Why is Chabahar back in the news?
- The visit is a chance to strengthen ties and the maritime relationship between the two countries.
- Due to pandemic, there were less number of visits from India to Iran and vice-versa and the pace of the project is also allegedly slower.
- This visit will also highlight the importance of Chabahar as a gateway for Indian trade with Europe, Russia and CIS [Commonwealth of Independent States] countries.
- India is keen in developing the Shahid Beheshti port as a “a transit hub” and link it to the International North South Trade Corridor (INSTC), that also connects to Russia and Europe.
What is India’s strategic vision for Chabahar?
- When the first agreement for Chabahar was signed by then PM Atal Bihari Vajpayee in 2003, the plan had a three-fold objective:
- To build India’s first offshore port and to project Indian infrastructure prowess in the Gulf
- To circumvent trade through Pakistan, given the tense ties with India’s neighbour and build a long term, sustainable sea trade route and
- To find an alternative land route to Afghanistan, which India had rebuilt ties with after the defeat of the Taliban in 2001
- Subsequently, PM Manmohan Singh’s government constructed the Zaranj -Delaram Highway in Afghanistan’s South.
- It would help connect the trade route from the border of Iran to the main trade routes to Herat and Kabul, handing it over to the Karzai government in 2009.
- In 2016, PM Modi travelled to Tehran and signed the agreement to develop Chabahar port, as well as the trilateral agreement for trade through Chabahar with Afghanistan’s President Ashraf Ghani.
Commencement of operations
- Since the India Ports Global Chabahar Free Zone (IPGCFZ) authority took over the operations of the port in 2018, it has handled 215 vessels, 16,000 TEUs (Twenty-foot Equivalent Units) and four million tons of bulk and general cargo.
Why is it gaining importance?
- In the last few years, a fourth strategic objective for the Chabahar route has appeared, with China’s Belt and Road Initiative making inroads in the region.
- The government hopes to provide Central Asia with an alternate route to the China-Pakistan Economic Corridor (CPEC) through Iran for future trade.
Why is the Chabahar dream taking so long to realise?
- India’s quest for Chabahar has hit geopolitical road-block after road-block; the biggest issue has been over Iran’s relationship with western countries, especially the United States.
- In years when western sanctions against Iran increased, the Chabahar project has been put on the back-burner.
- However, the nuclear talks resulted in the Joint Comprehensive Plan of Action (JCPOA) in 2015 came into being, the Chabahar port has been easier to work on.
- In 2018, the Trump administration put paid to India’s plans by walking out of the JCPOA and slapping new sanctions on dealing with Iran.
- This led to the Modi government “zeroing out” all its oil imports from Iran, earlier a major supplier to India, causing a strain in ties.
- India also snapped ties with Afghanistan after the Taliban takeover in August 2021, which put an end to the humanitarian aid of wheat and pulses that was being sent to Kabul via Chabahar.
- When India restarted wheat aid this year, it negotiated with Pakistan to use the land route to Afghanistan instead.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: NA
Mains level: Read the attached story
The Ministry of Civil Aviation has notified the draft Aircraft Security Rules, 2022 which enable the aviation security regulator, Bureau of Civil Aviation Security (BCAS) to impose penalties upto ₹1 crore on airports and airlines for violation of security measures.
Why such move?
- India’s civil Aviation Sector is facing a unique crisis a crisis of credibility and safety.
- Some of the issues are-
- The windshield of a go air flight cracks mid-air, two go air flights suffer engine snags, a flight could not take off because of a dog on the runway.
- A bird was found in the cockpit of an Air India Express cruising at 37 000 feet.
- One flight suffered an engine snag another noticed smoke in the cabin.
- Luggage is not being loaded or is going missing.
Draft Aircraft Security Rules, 2022
- The rules will supersede Aircraft Security Rules, 2011 and were necessary after Parliament passed Aircraft Amendment Act, 2020 in September 2020.
- It gives statutory powers to BCAS, along with the Director General of Civil Aviation and Aircraft Accident Investigation Bureau.
- These allow them to impose penalties which could only be imposed by courts earlier.
- The amendment were necessary after the UN aviation watchdog, International Civil Aviation Organisation (ICAO), raised questions about the three regulators functioning without statutory powers.
Key features
- Hefty fines: Once the draft Rules are finalised, the BCAS can impose a fine of ₹50 lakh to ₹1 crore (depending on the size of the company) on airports and airlines if they fail to prepare and implement a security programme.
- Security clearance: They can commence operations only after seeking a security clearance.
- Regulating passenger behaviour: Individuals will also face penalties ranging from ₹1 lakh to ₹25 lakh depending on the nature of offence.
- Data security: In order to deal with cyber security threats, the rules also require each entity to protect its information and communication technology systems against unauthorised use and prohibit disclosure.
- Unburdening the CISF: The draft rules now authorise airports to engage private security agents instead of CISF personnel at “non-core areas” and assign security duties as per the recommendation of the National Civil Aviation Policy, 2016.
Tap to read more about: India’s ailing Civil Aviation Sector.
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Note4Students
From UPSC perspective, the following things are important :
Prelims level: ETCA
Mains level: India-Australia relations
After 10 years of negotiations, India and Australia have finally agreed an interim free trade deal called the India-Australia Economic Cooperation and Trade Agreement (ECTA).
What is the news?
- Australia’s parliament has ratified the ECTA.
- The two countries has signed the ECTA on April 2 this year.
- The trade deal will now come into effect on a mutually agreed date.
Key terms of the India-Australia ECTA
- Under the India-Australia ECTA, duties on 100 percent tariff lines will be eliminated by Australia, covering 6,000 broad sectors.
- Meanwhile, India’s tariffs on 90 percent of Australian goods exports, including meat, wool, cotton, seafood, nuts, and avocados, will be removed.
- From day one, Australia will offer zero-duty access to India for almost 96.4 percent of exports by value. Presently, many of these products have a 4-5 percent customs duty imposed by Australia.
Key benefits offered
- Exporters, businesses, workers, and consumers in both markets are set to benefit from the trade liberalization, market opening, and freer movement of people.
- Implementation of the trade agreement will create an estimated 1 million jobs.
- The India-Australia ECTA agreement is expected to increase bilateral trade to about US$45-50 billion in the next five years from the existing US$31 billion.
- India hopes to increase its merchandise exports by US$10 billion BY 2026-27.
Special benefits to India
- IT sector to be a big gainer as it contributes significantly to both economies
- Visas to be offered to Indian chefs and yoga instructors
- Work opportunities for Indian students pursuing education in Australia
- Cheaper raw materials from Australia will make Indian goods more competitive in the global market
- Medicines approved under rigorous US and UK regulatory regimes will benefit from a fast track mechanism to get approval in Australia (improving market prospects for India’s patented, generic, and biosimilar medicines)
Volume of India-Australia Trade
- Australia is the 17th largest trading partner to India and India is Australia’s ninth largest trading partner.
- In 2021-22, India’s goods exports to Australia valued US$8.3 billion and imports were about US$16.7 billion. Two-way trade in goods and services in 2020 were valued at US$24.3 billion.
- India’s merchandise exports to Australia grew 135 percent between 2019 and 2021.
- India’s exports consist primarily of a broad-based basket largely of finished products. Around 96 percent of Australia’s exports are raw materials and intermediate products.
How will Indian IT firms benefit from the deal?
- Along with ECTA, the Australian parliament has also approved an amendment to the Double Taxation Avoidance Agreement (DTAA) – a long-standing tax issue for Indian companies operating in Australia.
- As per industry estimates, Indian IT firms lost more than $1 bn in taxes due to the existing provisions in DTAA.
- Most IT firms take up projects where they do some portion of work on-site, and some from India.
- However, Australian courts had ruled that even the work done from India can be taxed as per local Australian laws.
- The same income was subject to taxes in India too.
What’s in it for pharma companies?
- ECTA says Indian drugs that have already been approved in the UK and US will get faster approval in Australia too.
- India has the highest number of USFDA-approved sites and other stringent regulatory agencies approvals too — which will yield results once ECTA comes into effect.
- India exported $387 mn worth of pharma products to Australia registering a growth of 11.58% FY22.
- India can now expect share in Australia’s US$ 13 billion pharma market to go up.
Will ECTA give a push to labour-intensive industries?
- Getting easier access for apparel, textiles, leather, footwear, gems & jewellery, furniture, machinery and electrical goods in western markets is India’s key aims in trade deals.
- ECTA will see India getting zero duty on 98.3% of tariff lines from the day the agreement comes into force and on 100% of tariff lines within five years.
Can India cut its trade deficit with Australia?
- At the moment, Australia exports much more to India than it imports.
- During the last financial year, India had a trade deficit of $8.5 billion with Australia with $8.3 billion worth of exports and $16.8 billion worth of imports.
- Entering the Australian market is not just about lower tariffs as Australia is already a very open economy.
- There already are firmly established players in Australia and displacing them would need cutting trade costs and signing a comprehensive deal.
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