Posts

Daily Editorials Analysis

Editorials/Opinions Analysis For UPSC 07 August 2024

CONTENTS Counting the ‘Poor’ Having Nutritional Deficiency India’s Abolition of Angel Tax: a Major Boost for Startups and Investment Counting the ‘Poor’ Having Nutritional Deficiency Context: The National Sample Survey Office recently published a comprehensive report from the Household Consumption Expenditure Survey (HCES): 2022-23. Alongside the report, the unit-level data on household consumption expenditure (HCE) is accessible to the public. Relevance: GS3- Inclusive Growth and issues arising from it. Mains Question: Implementing nutritional schemes targeted at the poorest of the poor significantly enhances their nourishment levels and contributes to a healthier life. Discuss. (10 Marks, 150 Words). About the HCES Data: The HCES gathered data on the quantities of various food items consumed by households over specified reference periods and the total value of consumption for different food and non-food items. This analysis uses this information to convert the quantities of consumed food items into their total caloric value and compares the estimated per capita daily calorie intake of household members in the lower expenditure classes with the average per capita daily calorie requirement for a healthy life. Measurement Approach: This analysis tackles two primary issues: defining the ‘poor’ and the measurement of nutritional levels. In India, various government committees, including the Lakdawala, Tendulkar, and Rangarajan Committees, have defined the poor as those below the ‘poverty line’ (PL). The PL is a monetary equivalent based on household monthly per capita consumer expenditure (MPCE) sufficient for purchasing the food and non-food items in the poverty line basket (PLB). The Lakdawala Committee based the PL and the PLB, which included both food and non-food items, on calorie norms of 2,400 kcal per capita per day for rural areas and 2,100 kcal per capita per day for urban areas. Conversely, the Tendulkar Committee did not link the PL to a calorie norm. The Rangarajan Committee’s PL is based on ‘certain normative levels of adequate nourishment, clothing, house rent, conveyance, and education, along with a behaviorally determined level of other non-food expenses.’ The methodology of this analysis first calculates the average daily per capita calorie requirement (PCCR) for a healthy life based on the recommended energy requirements for Indians of different age-sex-activity categories, as per the latest (2020) report by the ICMR-National Institute of Nutrition. The PCCR (Per Capita Calorie Requirement) is calculated as a weighted average of the calorie needs of individuals in different age, gender, and activity categories, with weights based on the estimated proportions of people in these categories according to the Periodic Labour Force Survey, 2022-23. In the next step, individuals are sorted into 20 classes of MPCE (Monthly Per Capita Consumer Expenditure) ranging from the poorest to the richest, each comprising five percent of the population. The average per capita daily calorie intake (PCCI) and average MPCE (covering both food and non-food) for each class are derived using data from the HCES 2022-23. From this nationwide distribution, the average MPCE on food that aligns with the normative level of the PCCR is determined. In simple terms, this average per capita expenditure on food can be seen as the minimum amount a household needs to spend on food items to ensure its members can lead a healthy life. This average per capita expenditure on food, along with the average MPCE on non-food items for the poorest five percent, is combined to determine the total MPCE threshold (at average all-India prices) necessary for spending on both food items (ensuring adequate nourishment) and non-food items with minimal expenditure. This nationwide total MPCE threshold is adjusted for price differences across States/UTs using general Consumer Price Index numbers to calculate the corresponding State/UT-specific total MPCE thresholds. The proportion of ‘poor’ or deprived individuals in each State/UT, specifically for this analysis, is calculated as the percentage of people below these total MPCE thresholds. Finally, the national proportion of ‘poor’ or deprived individuals is calculated as the weighted average of the State/UT-wise proportions of deprived people, with weights based on the projected populations of the States/UTs as of March 1, 2023, according to the July 2020 report of the National Commission on Population. The analysis involves certain approximations in determining the calorie intake figures at the household level in several cases where the HCES data reports aggregate quantity figures for certain grouped items. Estimated PCCR: The PCCR is estimated at 2,172 kcal for rural India and 2,135 kcal for urban India. At 2022-23 prices, the nationwide threshold total MPCE is ₹2,197 (food: ₹1,569 and non-food: ₹628) for rural India and ₹3,077 (food: ₹2,098 and non-food: ₹979) for urban India. The corresponding proportion of ‘poor’ or deprived is estimated at 17.1% for rural areas and 14% for urban areas. If the non-food expenditure of the poorest 10% is considered instead of the poorest five percent, the threshold total MPCE increases to ₹2,395 for rural areas and ₹3,416 for urban areas, resulting in a rise in the proportion of deprived individuals to 23.2% for rural India and 19.4% for urban India. Regarding nutritional deficiency, the average PCCI of the poorest five percent and the next poorest five percent in rural India is 1,564 kcal and 1,764 kcal, respectively. In urban India, it is 1,607 kcal and 1,773 kcal, respectively, which fall significantly short of the PCCR. Conclusion: The government has several welfare programs aimed at improving the health conditions of the poor. Implementing nutritional schemes targeted at the poorest of the poor could significantly enhance their nourishment levels and contribute to a healthier life. India’s Abolition of Angel Tax: a Major Boost for Startups and Investment Context: Union Finance Minister Nirmala Sitharaman, in her seventh Budget, has proposed the abolition of the Angel Tax, marking a significant step towards strengthening the Indian startup ecosystem. This tax had been a longstanding contentious issue between startups and the Income Tax Department, serving as a major obstacle to growth and investment. Relevance: GS3- Employment Growth and Development IT and Computers Mobilization of Resources Mains Question: The removal of angel tax, combined with procedural simplifications, promises to create a more dynamic and supportive environment for startups. Analyse. (10 Marks, 150 Words). About Angel Tax: The Angel Tax, which was essentially a tax on capital raised by unlisted companies through the issuance of shares, was introduced under Section 56(2)(viii) of the Income Tax Act, 1961. It taxed investments above the fair market value of a company as ‘Income from other sources,’ primarily affecting angel investors. The excess realization was considered income and taxed accordingly. Although this provision was intended to curb money laundering, it ended up stifling genuine investments and became a significant hurdle for startups. Significance of the Removal of this Tax: Transform the Startup Landscape: The removal of this tax, especially if accompanied by procedural simplifications, could indeed transform the startup landscape, fostering a more vibrant and dynamic environment that encourages innovation and entrepreneurship. The abolition of this tax removes a major barrier that has long impeded the growth of startups and discouraged investment. Startups can now raise capital without the fear of being taxed on perceived excess valuations, which often failed to account for the future growth prospects and potential of these young companies. This decision is likely to encourage more investors to back innovative ideas, knowing that their investments will not be subjected to additional tax burdens. As a result, startups will have greater access to the funding they need to scale their operations, bring new products and services to market, and contribute to economic growth. Creation of Jobs: This strategic move is anticipated to enhance India’s position as a global hub for innovation and entrepreneurship, ultimately benefiting the economy as a whole. This, in turn, will boost economic growth and create jobs. For example, the comprehensive digitalization of taxpayer services and the simplification of the GST tax structure demonstrate the government’s commitment to digitalization, which will benefit tech startups in various fields like education, healthcare, and taxation. In recent years, India has been a global leader in creating successful entrepreneurship opportunities. The investor community, including high-net-worth individuals (HNIs), foreign funds, venture capitalists, and angel investors, has been optimistic about the growth potential of the Indian startup ecosystem. However, the Angel Tax had overshadowed this optimism, causing significant distress among startups and investors alike. While government initiatives such as Startup India, Stand-up India, and Digital India have created a favorable environment for startups, the Angel Tax was a major issue. The Central Board of Direct Taxes (CBDT) had even unsettled the startup ecosystem by directly deducting income tax under Section 68 from the bank accounts of certain startups on unexplained cash credits. The abolition of the Angel Tax, along with the recent notification simplifying compliance procedures, reflects the government’s responsiveness to the concerns of the startup community. Startups no longer need to obtain a fair market value certificate: Startups no longer need to obtain a fair market value certificate from a merchant banker or seek approval from an inter-ministerial board. Instead, they can request an angel tax exemption from the Department for Promotion of Industry and Internal Trade (DPIIT) with the necessary supporting documents. The CBDT is required to respond to such applications within 45 days, offering startups much-needed clarity and certainty. While abolishing the Angel Tax is a significant step forward, its impact will largely depend on how it is implemented and further procedural simplifications. The focus should be on creating a regulatory environment that is friendly to startups, encouraging both investment and innovation. The government’s emphasis on digital public infrastructure and the digitalization of the economy will also play a vital role in supporting tech startups and fostering a culture of innovation. Conclusion: Overall, the abolition of the Angel Tax is a welcome move that promises to remove a significant barrier to startup growth and investment. However, for this initiative to truly be transformative, it must be accompanied by procedural simplifications and a supportive regulatory environment. The government’s continued focus on innovation, digitalization, and economic growth will be crucial in unlocking the full potential of this policy change.

Daily Current Affairs

Current Affairs 07 August 2024

CONTENTS World Development Report 2024: The Middle Income Trap Political Turbulence in Bangladesh Leads to Uncertainty in India-Bangladesh Relations Srinagar Joins the Prestigious World Craft Cities List Miombo forest GAIN Report Advocates for Nutritional Investments in Agri-Food Sector Indian Siris Legionnaires’ disease World Development Report 2024: The Middle Income Trap Context: A recent World Bank report titled “World Development Report 2024: The Middle Income Trap” has highlighted significant challenges faced by over 100 countries, including India, in achieving high-income status in the coming decades. Relevance: GS III: Indian Economy Dimensions of the Article: Key Insights from World Development Report 2024 Strategic Recommendations and Policy Focus Middle Income Trap Challenges for India to Attain High-Income Status Strategic Blueprint for Elevating India’s Economy Key Insights from World Development Report 2024 Economic Status and Transition Challenges Middle-Income Trap: India, along with 100 other countries including China, is at risk of falling into the middle-income trap, struggling to progress from middle-income to high-income status. Current Economic Dynamics: While India benefits from positive demographic trends and digital advancements, it faces increased external challenges compared to previous decades. Transition to High-Income Status Historical Transitions: Since 1990, only 34 middle-income economies have successfully transitioned to high-income status, often influenced by unique factors like integration into the European Union or significant oil reserves. Investment and Growth: Traditional growth strategies reliant on increasing investment and saving rates are deemed insufficient for sustained economic growth. These strategies must also tackle productivity issues and go beyond mere physical capital accumulation. Global Impact and Demographics Global Contribution: Middle-income countries, housing six billion people (75% of the global population), contribute over 40% of the global Gross Domestic Product (GDP). Projected Outcomes: Without substantial changes in current economic strategies, these countries may fail to achieve prosperous societies by mid-century due to various challenges including aging populations, rising debt levels, and environmental concerns. Strategic Recommendations and Policy Focus 3i Strategy: The report advocates a three-phase strategy for economic advancement: 1i Phase: Focuses on bolstering investment in low-income countries. 2i Phase: Encourages investment and the infusion of foreign technologies in lower-middle-income countries. 3i Phase: Aims at investment, infusion, and innovation in upper-middle-income countries, exemplified by South Korea’s growth from a per capita income of USD 1,200 in 1960 to USD 33,000 by 2023. Policy Directions: The report stresses the need for comprehensive strategies that enhance overall economic performance rather than isolated sectoral focus. It emphasizes the importance of enhancing education and skills, fostering connections between universities and industries for better technology transfer, and creating policies that support the growth and dynamism of firms, particularly microenterprises. Middle Income Trap Concept Overview: The middle-income trap occurs when countries achieve a certain economic level but fail to progress to a higher income status. This often happens when the initial fast-paced economic growth stalls, leaving the nation stuck without further advancements to wealthier echelons. Economic Dynamics: The World Bank defines this trap as the stagnation experienced when GDP per capita is around 10% that of the United States, typically around $8,000. Countries at this stage often struggle with depleted initial growth drivers, systemic weaknesses, and limited innovation. Global Context: As of late 2023, there are 108 middle-income countries, which house three-quarters of the world’s population and produce over 40% of its GDP. These nations are significant contributors to global carbon emissions, indicating their substantial impact on both the economy and environment. India’s Stagnation at the Middle-Income Level Historical Perspective: Until 2006, India was categorized by the World Bank as a low-income country. It moved to the lower-middle income category in 2007, where it has largely remained, with growth concentrated in the hands of the top 100 million of its populace—a model potentially unsustainable. Income and Growth Stats: India battles with a sluggish growth rate at this income level, with per capita figures oscillating between $1,000 and $3,800. Challenges for India to Attain High-Income Status Inequality and Development: India wrestles with significant consumption inequality, indicated by a Gini index of around 35 for the past two decades, hampering uniform economic growth and comprehensive development. Poverty Trends: Notable progress in poverty reduction was made from 2011 to 2019. However, this trend has decelerated, particularly after the COVID-19 pandemic, pointing to persistent economic disparities. Economic Policies: Managing inflation through higher interest rates is a strategy to temper demand and stabilize economic growth, alongside strategic fiscal management essential for nurturing a growth-supportive environment without stoking inflation. Income Goals: To elevate to a high-income status, substantial increases in per capita income are needed. Despite projections of hitting a $7 trillion economy by FY31, maintaining a steady 6.7% growth rate is critical for achieving this target. Strategic Initiatives and Economic Aspirations Job Market and Economic Productivity: Improvement in employment quality and women’s participation in the workforce remains pivotal. India needs to create approximately 78.5 lakh non-farm jobs annually until 2030 to accommodate its growing labor force. Sectoral Diversification and Sustainability: Ensuring economic diversification beyond traditional sectors like mining and manufacturing and enhancing global competitiveness are vital. Furthermore, aligning its economic aspirations with environmental goals, India aims for net-zero emissions by 2070, underlining the necessity to integrate sustainable practices within its growth strategy. Strategic Blueprint for Elevating India’s Economy Fostering Equitable Growth: Enhance wealth distribution through smarter taxation and robust social safety nets, ensuring that prosperity reaches all corners of society. Diversifying the Economic Landscape: Invest in emerging sectors like technology and renewable energy while boosting local manufacturing through incentives like PLI schemes. This approach helps make goods more affordable and nurtures innovation. Empowering Local Communities: Develop economically lagging regions by tapping into local skills and promoting regional manufacturing, which aids in reducing disparities and unemployment. Strengthening Foundations: Prioritize comprehensive education reforms to align with industry demands and enhance vocational training. Simultaneously, ensure affordable access to essential services like healthcare and education to support a healthy, well-educated workforce. Improving Governance and Infrastructure: Increase transparency and efficiency in economic institutions to curb corruption. Streamline regulations to attract investments and facilitate business operations. Aligning with Global Standards: Integrate environmental sustainability goals into development strategies, invest in green technologies, and prepare for climate impacts to build resilience in vulnerable sectors. Enhancing Financial and Digital Inclusion: Broaden access to financial services and leverage digital platforms to improve transaction efficiency, helping small businesses and underserved populations thrive. -Source: The Hindu Political Turbulence in Bangladesh Leads to Uncertainty in India-Bangladesh Relations Context: Following the resignation of Bangladesh Prime Minister Sheikh Hasina after weeks of violent protests, India’s relationship with Bangladesh has potentially entered a period of uncertainty. In response to the political upheaval, the Army Chief in Bangladesh has announced the establishment of an interim government to govern the country during this transitional phase. This development could have significant implications for bilateral relations and regional stability. Relevance: GS II: International Relation Dimensions of the Article: Bangladesh’s Political Evolution and Bilateral Ties with India India-Bangladesh Bilateral Relations Points of Tensions Between India and Bangladesh Way Forward Bangladesh’s Political Evolution and Bilateral Ties with India Political Landscape of Bangladesh Founding Era: Bangladesh, established in 1971, saw its first Prime Minister as Sheikh Mujibur Rahman from the Awami League. His leadership ended tragically with his assassination in 1975. Military Influence (1975-1990): Initiated with Chief Justice Abu Sadat Mohammad Sayem taking over as president, followed by military control. General Ziaur Rahman served as president from 1977 until his assassination in 1981, succeeded by Abdus Sattar who was later overthrown in 1982 by Army Chief H M Ershad. Ershad resigned in 1990 amidst widespread unrest. Civil Governance: Leaders like Khaleda Zia and Sheikh Hasina, Mujibur Rahman’s daughter, alternated in power, facing political unrest and coups, notably in 1996 and leading to military-influenced governance till 2008. Restoration and Stability Post-2008: Sheikh Hasina regained control, stabilizing governance by reducing military influence and promoting secular principles established by the Supreme Court in 2010. India-Bangladesh Bilateral Relations Historical and Cultural Bonds: The relationship dates back to the 1971 Bangladesh Liberation War, with India providing vital support for Bangladesh’s independence from Pakistan. Challenges and Resolutions: Post-independence, relations experienced strains over boundary disputes and water-sharing issues, significantly improving with the Ganga Water Sharing Treaty initiated during Sheikh Hasina’s term from 1996. Economic and Trade Dynamics: India is a major trade partner, with bilateral trade reaching $12.9 billion. However, recent times saw a contraction in exports by 9.5% to $11 billion. A Comprehensive Economic Partnership Agreement is under discussion to accommodate Bangladesh’s upcoming transition out of LDC status by 2026. Energy and Infrastructure Collaboration: Bangladesh imports significant electricity from India and participates in major projects like the Maitree Super Thermal Power Plant and the India-Bangladesh Friendship Pipeline. India has provided four lines of credit, summing up to USD 8 billion, primarily for infrastructure enhancements. Cultural and Humanitarian Exchanges: Cultural interactions are supported through entities like the Indira Gandhi Cultural Centre in Dhaka, promoting people-to-people contacts and fostering relations between the youth of both nations. Points of Tensions Between India and Bangladesh River Water Sharing: Despite sharing 54 common rivers, only two treaties (Ganga Waters Treaty and Kushiyara River Treaty) have been signed, leaving issues concerning major rivers like Teesta and Feni unresolved. Illegal Migration: The persistent issue of illegal migration from Bangladesh to India, including refugees and economic migrants, creates strain in Indian border states, impacting resources and security. Rohingya Crisis: Rohingya refugees entering India through Bangladesh pose a challenge, leading to concerns over resources and security in Indian border states. The National Register of Citizens (NRC) in India has raised apprehensions in Bangladesh. Cross-Border Issues: Incidents of cross-border drug smuggling, human trafficking, and poaching of animal and bird species are significant challenges. Belt and Road Initiative (BRI): Bangladesh’s active participation in China’s Belt and Road Initiative, while India abstains, creates a potential source of tension as China’s influence in the region could affect India’s strategic standing. Way Forward: Establish joint task forces with law enforcement agencies from both countries to combat cross-border drug smuggling and human trafficking effectively. Promote shared intelligence and coordinated operations to disrupt illegal networks operating across borders. Implement smart border management solutions utilizing Artificial Intelligence (AI) and data analytics to streamline cross-border movements, ensuring both security and efficiency. Establish a digital connectivity corridor focusing on high-speed internet connectivity, digital services, and e-commerce to create new avenues for trade, collaboration, and technological exchange between India and Bangladesh. -Source: Indian Express Srinagar Joins the Prestigious World Craft Cities List Context: Srinagar has been recognized for its rich craft traditions and added to the World Craft Cities list by the World Crafts Council (WCC), making it the fourth Indian city to gain this distinction. Alongside Srinagar, Jaipur, Malappuram, and Mysore are the other Indian cities featured on this list, which includes a total of 60 cities globally. This acknowledgment celebrates the vibrant and diverse artisanal heritage preserved and promoted in these cities. Relevance: GS I: History Dimensions of the Article: Overview of Srinagar’s Craft Heritage UNESCO Recognition and Global Craft Contributions Overview of Srinagar’s Craft Heritage Srinagar has been a vibrant center for arts, crafts, and trade for approximately 1,500 years, historically serving as a crucial node on the ancient Silk Route. The region is famed for its diverse array of crafts, including Paper-Machie, walnut wood carving, various carpet styles, Sozni embroidery, and the luxurious Pashmina and Kani shawls. Srinagar is celebrated worldwide for its ‘Cashmere’ brand and the distinctive paisley motif. Crafts like Zanjan and Filigree, introduced by Iranian artisans centuries ago, highlight the cultural exchanges that have enriched local craftsmanship. The tradition of carpet weaving in Srinagar was revitalized in the late 14th century by Sufi Saint Sayyid Ali Hamdani. UNESCO Recognition and Global Craft Contributions In 2021, Srinagar was honored as a UNESCO Creative City for its significant contributions to crafts and folk arts. Launched in 2014 by the World Crafts Council AISBL, this program recognizes cities that make significant contributions to the craft sector globally. Pioneers and Innovations Foundational Leadership: Smt Kamaladevi Chattopadhyay, a founding member of the WCC-International in 1964, played a pivotal role in the craft movement both globally and within India. Craft Council of India: Established by Smt Kamaladevi Chattopadhyay in 1964, the council aims to safeguard and promote Indian crafts. Geographical Indications and Craft Preservation GI Certification: Key crafts from Kashmir, including the Kani Shawl, Pashmina, Sozni, Paper-Machie, Walnut Wood Carving, Khatamband, and Hand Knotted Carpets, have been recognized with Geographical Indication certifications, underscoring their uniqueness and cultural importance. -Source: The Hindu Miombo forest Context: Recently, the United Nations Food and Agriculture Organization (FAO) and the Italian Agency for Development Cooperation (AICS) have signed two agreements for the implementation of projects aimed at protecting the miombo forest. Relevance: Facts for Prelims Miombo Forests Biome Characteristics: The Miombo forest spans a significant portion of southern Africa, including nations like Angola, DRC, Malawi, Mozambique, Tanzania, Zambia, and Zimbabwe. This biome is marked by its tropical and subtropical landscapes that consist of grasslands, bushlands, and savannahs. Ecological Significance: This forest type covers approximately 2.7 million square kilometers and is critical for the ecological stability of the region. The predominant tree species are Brachystegia, often found alongside Julbernardia and Isoberlinia, which are indicative of the forest’s unique vegetation. Hydrological Importance: The Miombo woodlands play a crucial role in maintaining the hydrological integrity of the Greater Zambezi River basin, a key transnational waterway essential for the region’s biodiversity and human activities. Socioeconomic Impact: These forests are not just ecological treasures but also support millions of people living in rural settings across several countries. They facilitate local trade, especially in border areas between Mozambique and Zimbabwe, and provide essential resources like firewood, food, and water, underscoring their importance in the daily survival and economic stability of numerous communities. Food and Agriculture Organization (FAO): FAO is a specialized agency of the United Nations focused on leading international efforts to eliminate hunger. World Food Day, celebrated annually on October 16th, marks the founding anniversary of FAO in 1945. Headquartered in Rome, Italy, FAO collaborates with sister organizations, including the World Food Programme and the International Fund for Agricultural Development (IFAD). Initiatives Taken: Globally Important Agricultural Heritage Systems (GIAHS): Recognizes and promotes agricultural systems contributing to biodiversity conservation and sustainable livelihoods. Desert Locust Monitoring: Monitors the global situation of Desert Locust to address potential threats to crops. Codex Alimentarius Commission (CAC): Responsible for implementing the Joint FAO/WHO Food Standards Programme. International Treaty on Plant Genetic Resources: Adopted in 2001 to ensure conservation and sustainable use of plant genetic resources for food and agriculture. Flagship Publications: The State of World Fisheries and Aquaculture (SOFIA). The State of the World’s Forests (SOFO). The State of Food Security and Nutrition in the World (SOFI). The State of Food and Agriculture (SOFA). The State of Agricultural Commodity Markets (SOCO). -Source: Down To Earth GAIN Report Advocates for Nutritional Investments in Agri-Food Sector Context: The Global Alliance for Improved Nutrition (GAIN) has released a report advocating for increased nutritional investments in the agri-food sector. According to the report, such investments are crucial not only for enhancing business resilience and productivity but also for reducing gender inequalities within the sector. GAIN’s findings highlight the multifaceted benefits that targeted nutritional initiatives can offer to the agricultural industry and its workforce. Relevance: Facts for Prelims Global Alliance for Improved Nutrition (GAIN) Foundation Overview: Established in 2002 at a United Nations initiative, GAIN is a Swiss-based foundation dedicated to combating malnutrition worldwide. It operates globally, with its main office in Geneva, Switzerland. Mission and Impact: GAIN’s mission is to make nutritious and safe food more accessible, especially for vulnerable populations, enhancing overall health outcomes. Their work includes forming public-private partnerships to facilitate the distribution of nutritious food where it’s needed most. Strategic Actions: GAIN collaborates with various sectors, including governments, businesses, and civil society, to foster healthier food environments. They focus on key areas such as improving maternal and infant health, promoting breastfeeding, and providing specialized nutritional products for young children. Local and Global Initiatives: The organization also works to enhance food quality along agricultural value chains by partnering with local enterprises. GAIN’s efforts have expanded to assist approximately 667 million people across more than 30 countries, demonstrating a significant global impact on nutrition security. -Source: Down To Earth Indian Siris Context: A pall of gloom descended on Kumaradevam gram panchayat, located in the East Godavari district, after the death of the century-old Indian siris tree. Relevance: GS III: Environment and Ecology Indian Siris Tree (Albizia lebbeck) Native to India and Southeast Asia, the Indian Siris, or Albizia lebbeck, thrives in warm, humid climates. It adapts well to various soil types such as clay, loam, and sandy soils. Key Characteristics Structure: The tree reaches heights between 15-20 meters and features a broad, umbrella-like canopy. It has a notably straight trunk, up to 1 meter in diameter. Foliage and Blooms: Leaves are green, fern-like, extending up to 25 cm, contributing to its dense and spreading branches. It blooms with clusters of small, white, fragrant flowers. Ecological Contributions Indian Siris plays a crucial role in enriching soil fertility by fixing atmospheric nitrogen, thus supporting surrounding plant life.  Its extensive, shallow root system is excellent for soil binding, making it an effective tool against soil erosion and aiding in land conservation efforts. -Source: The Hindu Legionnaires’ disease Context: Victoria records 71 legionnaires’ disease cases and outbreak’s first death as search for source narrows. Relevance: Facts for Prelims Legionnaires’ Disease Legionnaires’ disease is triggered by the Legionella bacteria, found naturally in freshwater environments like lakes and hot springs. This condition is a severe type of pneumonia caused by the legionella bacterium, leading to significant lung inflammation. Although naturally found in open water sources, Legionella can thrive in man-made water systems like tanks and plumbing systems. People contract Legionnaires’ disease by inhaling mist or aerosols from water sources contaminated with the bacteria, not through person-to-person contact. Individuals infected with Legionnaires’ disease typically experience fever, chills, headaches, a general feeling of unwellness (malaise), and muscle pains. While treatments for Legionnaires’ disease are available, primarily involving antibiotics, there is currently no vaccine to prevent the infection. -Source: The Hindu

Daily PIB Summaries

PIB Summaries 05 August 2024

CONTENTS Green National Highway Corridors Project Maritime Partnership Exercise Price Monitoring System App  Green National Highway Corridors Project Context: The Government of India and the World Bank have recently finalized an agreement to launch the Green National Highway Corridors Project (GNHCP). This initiative, supported by a USD 500 million loan, aims to develop eco-friendly highway corridors in Himachal Pradesh, Rajasthan, Uttar Pradesh, and Andhra Pradesh. Relevance: GS III: Infrastructure Green National Highway Corridors Project Overview Project Goals and Eco-Friendly Initiatives: Aimed at demonstrating how highways can be both safe and eco-friendly by incorporating green technologies and focusing on climate resilience. Utilizes sustainable resources like cement-treated sub-base and reclaimed asphalt pavement. Encourages the use of local or marginal materials such as lime, fly ash, and waste plastic. Bio-Engineering for Environmental Protection: Implements bio-engineering measures for slope protection, including hydroseeding, shotcrete crib walls with vegetation, bamboo plantations, and hedge brush layers. Project Timeline: Completion of the GNHCP project is scheduled for May 2026. Key Components of the GNHCP Green Highway Corridor Improvement and Maintenance: Focuses on the sustainability and ecological upkeep of highway infrastructures. Institutional Capacity Enhancement: Aims to bolster the capabilities of institutions involved to effectively manage and maintain green highway projects. Road Safety: Ensures the safety of the highways while integrating environmental considerations. Benefits of the GNHCP Environmental and Economic Advantages: Significantly reduces carbon emissions and aids in the conservation of natural resources. Ensures smooth and motorable roads offering all-weather connectivity. Promotes socio-economic development and boosts trade and connectivity within the region. Maritime Partnership Exercise Context: Recently, a maritime partnership exercise(MPX) was conducted between India and Russia in St. Petersburg. Relevance: GS III: Security Challenges Overview of the Maritime Partnership Exercise (MPX) Event Context: The exercise took place between Russian and Indian naval forces, commemorating the 328th Russian Navy Day. It featured the participation of the INS Tabar from India and the Soobrazitelny from Russia. Purpose and Impact: The exercise marked a significant milestone in maritime cooperation between India and Russia, aiming to reinforce peace, stability, and security in the region. It included complex naval maneuvers such as communication drills, search and rescue tactics, and replenishment at sea, showcasing high levels of professionalism and interoperability. Commitment to Global Naval Partnerships: The Indian Navy is dedicated to building and maintaining relationships with global naval forces, emphasizing the significance of this exercise in strengthening bilateral naval ties and enhancing cooperation in the maritime domain. Key Facts About INS Tabar Design and Capabilities: INS Tabar is a stealth frigate constructed for the Indian Navy in Russia, classified as the third vessel of the Talwar-class frigates. Commissioned on 19 April 2004 in Kaliningrad, Russia, it possesses advanced capabilities for handling air, surface, and sub-surface missions. It can operate independently or as part of a larger naval task force. Operational Assignment: This frigate is an integral part of the Indian Navy’s Western Fleet, headquartered in Mumbai under the Western Naval Command, contributing strategically to India’s maritime defense. Price Monitoring System App Context: Recently, the Union Minister of Consumer Affairs, Food and Public Distribution & New and Renewable Energy launched the Version 4.0 of Price Monitoring System (PMS) Mobile app. Relevance: Facts for Prelims Overview of the Price Monitoring System App The Price Monitoring Division (PMD) within the Department of Consumer Affairs oversees the monitoring of essential commodity prices. In 2021, the department introduced a mobile application, the PMS App, designed to enhance the accuracy of daily price data collected from price reporting centers. Retail and wholesale prices are sourced daily from approximately 550 centers via state civil supplies departments, utilizing the department-developed mobile app. Commodities Monitored Current Commodity List: Initially, 22 essential commodities were monitored including Rice, Wheat, Atta, various Dals (Gram, Tur, Urad, Moong, Masur), Sugar, Gur, several oils (Groundnut, Mustard, Vanaspati, Sunflower, Soya, Palm), Tea, Milk, Potato, Onion, Tomato, and Salt. Recent Additions: An additional 16 items were recently included: Bajra, Jowar, Ragi, Suji, Maida, Besan, Ghee, Butter, Brinjal, Egg, Black Pepper, Coriander, Cumin seed, Red chillies, Turmeric powder, and Banana. Coverage Impact: These 38 commodities now represent approximately 31% of the total CPI weights, an increase from the 26.5% coverage by the original 22 commodities. Significance of the Monitoring System The data collected through this system provides crucial insights for policy-making, particularly in informing the government, the Reserve Bank of India (RBI), and economic analysts about trends in Consumer Price Index (CPI) inflation, aiding in more informed decision-making to address economic and consumer issues

Daily Editorials Analysis

Editorials/Opinions Analysis For UPSC 05 August 2024

CONTENTS Private Consultation in Policymaking The Global Aviation Industry’s Tryst with Carbon Neutrality Private Consultation in Policymaking Context: The Ministry of Information and Broadcasting is reportedly engaging in confidential discussions with the broadcasting and entertainment sectors about the Broadcasting Services (Regulation) Bill, 2023. Although a draft of this Bill was shared publicly last year, the latest versions are being distributed only to a select group of stakeholders, with strict confidentiality measures in place. Each copy of the new draft is uniquely watermarked to track any unauthorized leaks. Relevance: GS2- Right to Information GS3- IT and Computers, Role of Media and Social Networking Sites in Internal Security Challenges, Challenges to Internal Security Through Communication Networks, Cyber Security Mains Question: Government’s gatekeeping of critical debates hurts trust in policymaking. Discuss in the context of reported private and selective consultation of the Broadcasting Services (Regulation) Bill, 2023 recently. (10 Marks, 150 Words). Significance of Public Consultation: The process of public consultation is a fundamental part of developing legislation that impacts many people in India. This principle was underscored by the government’s 2014 Pre-Legislative Consultation Policy, which emphasizes the importance of extensive public engagement prior to the formulation of laws. While the government did release an earlier version of the Bill to the public, it appears to have been reluctant to entertain feedback and has opted to consult only a limited number of stakeholders. This selective approach excludes important voices such as online content creators, significant segments of the media industry, and civil society groups—those who are likely to be most affected by media regulations. The proposed Bill aims to extend an already extensive regulatory framework, which has faced criticism for its potential to suppress free expression across various media, including news and entertainment. A clear example of this is the way content on OTT streaming platforms has been toned down since the implementation of the IT Rules, 2021. These developments raise concerns about the balance between regulation and freedom of expression in India’s media landscape. What A Lack of Meaningful Public Consultation can Lead to: When viewed this way, the lack of meaningful public consultation—which is becoming increasingly common across various Ministries—may not simply be an oversight but rather a deliberate strategy to control major policy changes and determine who gets to influence them. This method of policymaking is concerning not just for the individual laws being developed but also for the process itself, which raises significant alarm. In the realm of media regulation, for example, the priorities of well-established corporate stakeholders might not align with those of new content creators, independent commentators, social media users, and freelance journalists who will also be affected by the Broadcasting Bill. Without access to the perspectives of these diverse stakeholders—or the ability to engage with them—the quality and integrity of the proposal are questionable. Conclusion: The government needs to abandon methods of policymaking that, while expedient, undermine public trust in their intentions. Meaningful public consultation does not prevent lawmakers from pursuing their desired actions; instead, it ensures that a variety of viewpoints are considered. Rushed and restricted consultations are likely to result in flawed and exclusionary legislation, ultimately harming the democratic process and eroding public confidence. Public input is essential for crafting balanced policies that reflect the needs and concerns of all affected parties. The Global Aviation Industry’s Tryst with Carbon Neutrality Context: The global aviation industry is a notable contributor to carbon emissions, responsible for approximately 2.5–3.0% of the world’s total carbon output. Recognizing its environmental impact, the industry is taking significant steps toward sustainability, with initiatives such as IATA’s “Fly Net Zero” aiming for carbon neutrality by 2050. Relevance: GS3- Industry and Infrastructure Mains Question: Through technological innovation and green solutions like adoption of sustainable aviation fuel, the aviation sector is becoming environment friendly. Discuss. (15 Marks, 250 Words). Strategies Adopted by Airlines: Fleet Modernization: Airlines are actively adopting various strategies to reduce their environmental footprint, with fleet modernization being a key component. A major part of the industry’s sustainability plan involves investing in modern, fuel-efficient aircraft. For instance, Jazeera Airways has invested in the Airbus A320neo, which boasts a 20% reduction in fuel consumption and emissions. Additionally, Jazeera Airways was the first to order over 2,000 of the world’s lightest aircraft seats from Expliseat, contributing to a weight saving of 1.2 metric tons per aircraft, leading to enhanced fuel efficiency and reduced emissions per flight. Carbon Offsetting Programs: Beyond upgrading their fleets, airlines are also implementing carbon offsetting programs as part of their environmental efforts. These programs enable passengers to compensate for the environmental impact of their flights by investing in projects that reduce greenhouse gas emissions in other areas. Jazeera Airways’ carbon offsetting initiatives support projects in renewable energy and reforestation, allowing passengers to directly contribute to environmental conservation efforts linked to their travel. Technological Innovation: Technological innovation is playing a crucial role in improving operational efficiency and passenger experience. Airlines are increasingly turning to digital solutions, such as paperless ticketing, digital baggage tracking, and personalized sustainable travel options. These technologies not only enhance operations but also reduce waste and carbon emissions associated with traditional paper-based processes. Addressing Plastic Waste: Addressing plastic waste is another important aspect of the industry’s sustainability efforts. Airlines are replacing single-use plastics with biodegradable alternatives and exploring sustainable options like Palmade products made from palm leaves. Through these comprehensive measures, the aviation industry is working towards a more sustainable future, balancing the demands of air travel with the need to protect the environment. Energy Efficiency: Energy efficiency is a crucial area of focus for airlines, impacting both aircraft operations and airport infrastructure. Modern airport terminals are designed with sustainability as a priority, featuring energy-efficient lighting, advanced climate control systems, and the integration of renewable energy sources. Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA): The airline industry is at the forefront of promoting a more sustainable future for air travel, establishing a benchmark for environmentally responsible practices that go beyond operational concerns. The adoption of the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) represents a significant step in this direction. CORSIA plays a vital role in aligning international aviation with global efforts to reduce greenhouse gas emissions, all while maintaining global connectivity and supporting economic growth. Additionally, the introduction of Sustainable Aviation Fuel (SAF) and the use of advanced software solutions, such as those from NAVBLUE, are essential components of the industry’s strategy to achieve net-zero emissions and combat climate change. Way Forward: Attaining net-zero emissions by 2050 will require a collaborative effort among airlines, governments, and passengers. The industry’s commitment to ongoing innovation, investment in sustainable technologies like SAF, reduction of plastic waste, and enhancement of operational efficiency underscores its dedication to a more environmentally friendly future for air travel. These initiatives not only aim to lessen the industry’s carbon footprint but also set a positive example for sustainable practices that could influence broader global initiatives beyond aviation. Conclusion: The aviation industry today is committed to working closely with partners, passengers, and communities to promote a greener and more sustainable future for air travel. This dedication drives the industry to innovate and implement practices that reduce its environmental impact, support sustainable practices, and contribute to global climate change efforts. By leading through example and fostering collaboration with stakeholders, the industry aims to inspire lasting change both within aviation and in other sectors.

Daily Current Affairs

Current Affairs 05 August 2024

CONTENTS Widespread Ransomware Disruption in Indian Banking Sector Himachal Cloudbursts Axiom-4 Mission Enhanced Security Measures for Village Defence Guards in Jammu Mahila Samman Savings Certificate Scheme Four-Ringed Butterfly  Widespread Ransomware Disruption in Indian Banking Sector Context: A significant ransomware attack has recently compromised the operations of approximately 150-200 cooperative banks and Regional Rural Banks (RRBs) across India. The National Payments Corporation of India (NPCI) pinpointed the source of the disruption to C-Edge Technologies Ltd., a collaborative enterprise between Tata Consultancy Services Ltd. (TCS) and the State Bank of India (SBI). This incident highlights critical vulnerabilities within the banking infrastructure serviced by this joint venture. Relevance: GS III: Security Challenges Dimensions of the Article: Impact of Ransomware Attack on Banking Operations Wider Effects on the Payment Ecosystem What is ransomware? What is Cyber Attack and Cyber Security? What are other similar types of Cyber Attacks? Which agencies in India deal with cyber-attacks? Impact of Ransomware Attack on Banking Operations Target of the Attack: C-Edge Technologies Ltd. was hit by a ransomware attack, impairing its service delivery to cooperative banks and Regional Rural Banks (RRBs). Disruption in Payment Systems: Customers at affected banks faced difficulties accessing critical payment channels such as the Unified Payments Interface (UPI) and Aadhaar-enabled payment systems (AePS). Operational Continuity in Some RRBs: Certain RRBs remained operational, relying on alternative technology service providers backed by their sponsor banks. Wider Effects on the Payment Ecosystem Exposure of Vulnerabilities: The incident exposed the susceptibility of tech providers integral to sustaining the payment infrastructure. Demand for Enhanced Cybersecurity: It emphasizes the essential need for strengthened cybersecurity defenses to prevent future occurrences. Importance of Collaborative Efforts: Enhanced collaboration among the National Payments Corporation of India (NPCI), banks, and tech firms is vital to quickly counteract and alleviate the consequences of such disturbances. What is ransomware? Ransomware is a type of malicious software, used by cyber criminals, to infect a computer system by blocking access to the stored data by encrypting the files. A ransom is then demanded from the owner in exchange for the decryption key. While it is not yet clear as to how exactly the AIIMS computer systems were targeted, the malware may usually be injected remotely by tricking the user into downloading it upon clicking an ostensibly safe web link sent via email or other means, including hacking. It can spread throughout the network by exploiting existing vulnerabilities. Ransomware attacks can also be accompanied by theft of sensitive data for other sinister motives. What is Cyber Attack and Cyber Security? Cyber attack is an assault launched by cybercriminals using one or more computers against a single or multiple computers or networks. A Cyber Attack can maliciously disable computers, steal data, or use a breached computer as a launch point for other attacks. Cybercriminals use a variety of methods to launch a Cyber Attack, including malware, phishing, ransomware, denial of service, among other methods. Cybersecurity means securing the cyberspace from attack, damage, misuse and economic espionage. Cyberspace is a global domain within the information environment consisting of interdependent IT infrastructure such as Internet, Telecom networks, computer systems etc. What are other similar types of Cyber Attacks? Viruses which are the most commonly-known form of malware and potentially the most destructive. They can do anything from erasing the data on your computer to hijacking your computer to attack other systems, send spam, or host and share illegal content. Worm is a type of malware that spreads copies of itself from computer to computer which can replicate itself without any human interaction, and it does not need to attach itself to a software program in order to cause damage. Trojan is a type of malware that is often disguised as legitimate software which can be employed by cyber-thieves and hackers trying to gain access to users’ systems. Spyware collects your personal information and passes it on to interested third parties without your knowledge or consent. Spyware is also known for installing Trojan viruses. Adware displays pop-up advertisements when you are online. Fake security software poses as legitimate software to trick you into opening your system to further infection, providing personal information, or paying for unnecessary or even damaging “clean ups”. Browser hijacking software changes your browser settings (such as your home page and toolbars), displays pop-up ads and creates new desktop shortcuts. It can also relay your personal preferences to interested third parties. Which agencies in India deal with cyber-attacks? Set up in 2004, the Indian Computer Emergency Response Team (CERT-In) is the national nodal agency that collects, analyses and circulates inputs on cyber-attacks; issues guidelines, advisories for preventive measures, forecasts and issues alerts; and takes measures to handle any significant cyber security event. It also imparts training to computer system managers. The National Cyber Security Coordinator, under the National Security Council Secretariat, coordinates with different agencies at the national level on cybersecurity issues, while the National Critical Information Infrastructure Protection Centre has been set up for the protection of national critical information infrastructure. According to the government, the Cyber Swachhta Kendra (Botnet Cleaning and Malware Analysis Centre) has been launched for detection of malicious software programmes and to provide free tools to remove the same, while the National Cyber Coordination Centre works on creating awareness about existing and potential threats. -Source: Indian Express Himachal Cloudbursts Context: Recently, Himachal Pradesh witnessed severe devastation due to a cloudburst that triggered flash floods. This catastrophic event resulted in numerous fatalities and left several people missing. According to officials, the floods caused extensive damage, including the destruction of various buildings, bridges, and roads, significantly disrupting local life and infrastructure. Relevance: GS-I: Geography, GS-III: Disaster Management Dimensions of the Article: What is a Cloudburst? Why do cloudbursts happen only in the mountains and hilly areas? Why does cloudburst cause so many deaths? Heavy Rains in Himachal and Uttarakhand: Meteorological Causes What is a Cloudburst? Cloudbursts are sudden and extreme rainfall events over a limited area in a short span of time. There is no universal definition of a cloudburst. The India Meteorological Department (IMD) defines a cloudburst as any event where 100 millimetres of rainfall have fallen in a span of an hour over a region that is 20-30 square kilometres in area. By this definition, 5 cm of rainfall in half an hour would also be classified as a cloudburst. How do Cloudbursts occur? A cloudburst occurs when moisture-carrying air moves up a hilly terrain, forming a vertical column of clouds known as ‘cumulonimbus’ clouds. Such clouds usually cause rain, thunder and lightning. This upward motion of the clouds is known as an ‘orographic lift’. These unstable clouds cause an intense rainstorm over a small area after becoming heavy enough and locked in the ridges and valleys between the hills. The energy necessary for the cloudburst comes from the upward motion of air. Cloudbursts mostly occur at elevations between 1,000-2,500 metres above sea level. The moisture is usually provided by a low-pressure system (usually associated with cyclonic storms in the ocean) over the Gangetic plains associated with low level winds flowing in from the east. Sometimes winds flowing in from the north west also aid the occurrence of cloudbursts. The many factors that have to come together to make a cloudburst event happen make them highly unlikely. Why do cloudbursts happen only in the mountains and hilly areas? Cloudbursts do happen in plains as well, but there is a greater probability of them occurring in mountainous zones; it has to do with the terrain. Cloudbursts happen when saturated clouds are unable to produce rain because of the upward movement of very warm current of air. Raindrops, instead of dropping down, are carried upwards by the air current. New drops are formed and existing raindrops gain in size. After a point, the raindrops become too heavy for the cloud to hold on to, and they drop down together in a quick flash. Hilly terrains aid in heated air currents rising vertically upwards, thereby, increasing the probability of a cloudburst situation. In addition, as pointed out earlier, cloudbursts get counted only when they result in largescale destruction of life and property, which happens mainly in mountainous regions. Why does cloudburst cause so many deaths? The rainfall itself does not result in the death of people, though sometimes, the raindrops are big enough to hurt people in a sustained downpour. It is the consequences of such heavy rain, especially in the hilly terrain, that causes death and destruction. Landslides, flash floods, houses and establishments getting swept away and cave-ins lead to the deaths. Is the frequency of cloudbursts increasing? There is a paucity of past data on cloudbursts; in addition, since only some of them get counted – only those that result in death and destruction – there is a problem of accuracy as well. But what is very clear is that events of extreme precipitation have been on the rise in the last few decades due to global warming; it is expected, keeping in mind that trend, that cloudburst events might be on the increase as well. Extreme weather events are indeed increasing in the Himalayan region. Heavy Rains in Himachal and Uttarakhand: Meteorological Causes The ongoing heavy rains in Himachal Pradesh and Uttarakhand are attributed to the following meteorological factors: Monsoon Trough Interaction: The movement of the monsoon trough northward, coupled with a weak western disturbance, is driving the intense rainfall in these regions. Monsoon Trough Definition: The monsoon trough is a prolonged low-pressure area extending from a “heat low” over Pakistan to the Bay of Bengal region. It is a recurring element of the monsoon pattern as per the India Meteorological Department. Trough’s Current Position: Presently, the monsoon trough lies north of its typical location, situated over the Himalayan foothills. Upcoming Shift: The monsoon trough is expected to gradually shift southward temporarily, leading to decreased rainfall in the hills while intensifying rainfall over east-central India. -Source: Indian Express Axiom-4 Mission Context: India has shortlisted two astronaut-designates for the upcoming Axiom-4 mission to the International Space Station (ISS). Relevance: GS III: Science and Technology Dimensions of the Article: About Axiom-4 Mission About International Space Station (ISS) About Axiom-4 Mission: Overview: Axiom Mission 4 (Ax-4) is a private spaceflight mission to the International Space Station (ISS), operated by Axiom Space in collaboration with NASA. It utilizes a SpaceX Crew Dragon spacecraft and marks the fourth mission by Axiom Space. Launch and Objectives: Launch Date: Scheduled for 2024, Axiom-4 aims to continue advancing commercial activities in space, including scientific research, technological development, and potentially space tourism. Objectives: The mission seeks to demonstrate the viability of commercial space stations for business and innovation, supporting a diverse crew of astronauts from multiple countries to foster international collaboration in space exploration. Scientific Focus: Axiom-4 will enable various scientific experiments and technological tests in microgravity. Research areas include materials science, biology, Earth observation, and more, aiming to contribute significant discoveries and innovations. Key Features: Spacecraft: Utilizes a SpaceX Dragon spacecraft launched atop a Falcon 9 rocket. Crew: Comprises professional astronauts and private individuals, potentially including researchers and tourists who undergo rigorous training. Duration: Expected to be a short-duration mission lasting approximately 14 days aboard the ISS. Activities: Crew will conduct experiments, technology demonstrations, and educational outreach during their stay on the ISS. Long-Term Vision: Axiom Space aims to build the world’s first commercial space station, transitioning from the ISS to their own independent orbital outpost in the future. About International Space Station (ISS): Overview: The ISS is a modular space station launched in 1998, serving as a large laboratory in space where astronauts conduct experiments in microgravity. Objective: Conducts scientific research across various fields including astrobiology, astronomy, meteorology, and physics. Key Facts: Size and Orbit: Largest artificial object in space, orbits Earth approximately every 93 minutes at an altitude of 400 km. Power Generation: Eight solar arrays generate about 160 kilowatts of power for station operations. Participants: Multinational collaboration involving space agencies from the USA (NASA), Russia (Roscosmos), Japan (JAXA), Europe (ESA), and Canada (CSA). Segments: Divided into the Russian Orbital Segment (ROS) operated by Russia, and the United States Orbital Segment (USOS) managed by NASA and other international partners. Ownership and Use: Governed by intergovernmental treaties and agreements, the ISS serves as a symbol of international cooperation in space exploration. -Source: The Hindu Enhanced Security Measures for Village Defence Guards in Jammu Context: Recently, Union Minister Jitendra Singh declared that Village Defence Guards (VDGs) in the Jammu region are now armed with advanced weaponry to counter increasing terrorism-related incidents. Relevance: GS III: Security Challenges Dimensions of the Article: Overview of Village Defence Guards (VDGs) Reasons for Rise in Militancy in Jammu Challenges in Dealing with Rise in Militancy Way Forward Overview of Village Defence Guards (VDGs) Origins and Context: Militancy spread to Doda district from Kashmir in the early 1990s, escalating by the mid-1990s. A civilian massacre in Kishtwar in 1993 spurred the initial arming of civilians. Increased violence led to the migration of Hindus and the formation of Village Defence Committees (VDCs) by the Home Ministry in 1995. Formation and Purpose: VDGs, previously known as VDCs, are grassroots security entities in Jammu and Kashmir, formed to provide localized defense against terrorism, particularly targeting susceptible communities. They bolster local security through immediate response to terrorist threats and support formal law enforcement by intelligence gathering and maintaining area peace. Composition and Operations: Composed of up to 15 armed civilians per group from vulnerable areas, including ex-servicemen, robust youth, and trained locals in self-defense and arms handling. Operate under the supervision of the district’s Senior Superintendent of Police (SSP) or Superintendent of Police (SP). Key Functions of VDGs Regular Duties: Conduct patrols and monitor for suspicious activities to intercept terrorist movements. Gather and relay crucial intelligence to security forces for preemptive measures. Engage community members in security processes, enhancing vigilance and responsibility among locals. Impact During Militancy Peak: Significantly countered militancy in Jammu, feared by militants especially in poorly accessible areas. Leveraged local geographical knowledge to thwart and manage militant activities effectively. Challenges and Contemporary Status Challenges Faced: VDGs struggle with financial and logistical constraints, impacting their effectiveness. Members face heightened risk from terrorist targeting due to their active defense roles. Past allegations of power misuse, including severe crimes, led to temporary program suspensions. Current Developments: Revitalization and fortification of VDGs initiated in 2022 to tackle increasing terrorism in Jammu. Recent measures include advanced weaponry provision and upgraded training to equip VDGs against evolving security threats. Reasons for Rise in Militancy in Jammu Factors Contributing to Militancy: Zero Terror Policy in Kashmir: Militants exploit the relative calm in Kashmir due to stringent security measures, prompting them to relocate and operate in Jammu. Troop Movements to Ladakh: Shifts in military deployments post-Galwan incident in 2020 may have inadvertently reduced security focus in Jammu, allowing militants to exploit perceived vulnerabilities. Strategic Gateway: Jammu’s position as a crucial gateway to India makes it an attractive target for militants aiming to disrupt normalcy and create fear. Proximity to LoC: Easy access from Pakistan-occupied Kashmir facilitates infiltration and logistical support for militants operating in hilly and forested areas. Establishing Footholds: Recent incidents indicate deliberate efforts by militants to establish strongholds across districts like Rajouri, Poonch, and Reasi. Economic Marginalization: Lack of economic opportunities in remote and border areas of Jammu makes local youth vulnerable to recruitment by militant groups. Political Alienation: Perceived political alienation among certain communities, compounded by historical grievances, can foster sympathy or support for militant ideologies. Generational Shift in Intelligence Gathering: Security forces face challenges in cultivating relationships with younger generations, impacting human intelligence efforts. Challenges in Dealing with Rise in Militancy Operational and Strategic Challenges: Border Vulnerabilities: The 192-km international border and 740-km LoC in Jammu serve as potential infiltration points, requiring robust surveillance and security measures. Terrain Exploitation: Militants exploit tough terrains and forested areas along borders for infiltration, complicating security responses. Community Trust: Building and maintaining trust between security forces and local communities remains crucial for effective intelligence gathering. Revival of Village Defence Guards: Efforts to revive Village Defence Guards are challenged by past allegations of misconduct, affecting community cooperation. Communication Technologies: Militants utilize sophisticated communication tools and local sympathizers, complicating intelligence gathering efforts. External Support: Allegations of cross-border support from Pakistan, including drone-based weapons supply, influence local militancy dynamics. Communal Dynamics: Jammu’s demographic diversity exposes it to communal tensions, exploited by militants to create divisions and fear. Way Forward Strategic Measures and Initiatives: Enhanced Border Security: Strengthen surveillance and fortification along the Line of Control (LoC) and International Border (IB) to curb cross-border infiltration. Advanced Surveillance Technologies: Deploy drones, night-vision equipment, and data analytics to enhance operational effectiveness and real-time monitoring. Legal Framework Strengthening: Enhance laws against terrorism financing, fast-track terror cases, and ensure robust prosecution through dedicated courts. Socio-Economic Development: Invest in socio-economic initiatives, youth empowerment, and community dialogue to counter extremist ideologies. Diplomatic and International Cooperation: Engage in diplomatic efforts and international cooperation to disrupt external support networks for militants. Continuous Review of Security Policies: Adapt security policies to evolving militant tactics while prioritizing civilian safety and minimizing collateral damage. -Source: The Hindu Mahila Samman Savings Certificate Scheme Context: The Centre is unlikely to extend the Mahila Samman Savings Certificate scheme that was made available for two years beyond its March 2025 deadline, according to official sources. Relevance: GS II: Government policies and Interventions Overview of the Mahila Samman Savings Certificate (MSSC) Scheme Scheme Duration and Purpose: Announced in the 2023 Budget, the scheme is available until March 2025. It targets women and girls of all age groups, promoting risk-free investments. Deposit and Investment Details: Allows a maximum deposit of Rs 2 lakh with a tenure of two years. Minimum deposit starts at Rs 1,000, increasing in multiples of one hundred rupees. Benefits and Encouragement: Encourages women to utilize formal financial saving instruments by offering a secure investment avenue. Features of the MSSC Scheme Eligibility Criteria: Open to all individual women. Minors can have accounts opened on their behalf by guardians. Interest and Earnings: Provides a fixed interest rate of 7.5%. Interest is compounded quarterly and credited to the account. Maturity and Withdrawal Options: The maturity period or lock-in period for the scheme is two years. Account holders can withdraw up to 40% of the balance after one year as a partial withdrawal. Multiple Account Provisions: Women can open a second MSSC account after a three-month gap from the initial account’s opening, with the total deposit across all accounts capped at Rs 2 lakh. Tax Implications: No tax benefits are associated with this scheme. -Source: Business Standard Four-Ringed Butterfly Context: Recently, a four-ringed butterfly was rediscovered in the Namdapha National Park after 61 years. Relevance: Species in News Dimensions of the Article: About the Four-ringed Butterfly (Ypthima cantliei) Key Facts about Namdapha National Park About the Four-ringed Butterfly (Ypthima cantliei) This butterfly is part of the Satyrinae subfamily within the Nymphalidae family, which includes around 6,000 species. The great four-ring was photographed during a 2018-19 survey focusing on butterfly diversity in the Miao range of Namdapha National Park. Previously, it was last observed in 1957 in Margherita, eastern Assam. Of the 35 Ypthima species recorded in India, 23 are from the Northeast. This genus has significant diversity in China (Yunnan and Sichuan provinces), Nepal, Bhutan, and Myanmar. Key Facts about Namdapha National Park It is situated in Arunachal Pradesh, India, bordered by the Patkai hills to the south and southeast, and the Himalayas to the north. The park spans between the Dapha bum range of the Mishmi Hills and the Patkai range, covering both the Palearctic and Indo-Malayan biogeographic areas.  The park is named after the Namdapha River, which originates from Daphabum and flows into the Noa-Dehing River. Namdapha is renowned as the only park worldwide to host all four big feline species—Tiger, Leopard, Snow Leopard, and Clouded Leopard—along with various smaller cat species. The park boasts a rich variety of ecosystems, including evergreen forests, moist deciduous forests, sub-tropical forests, temperate forests, and alpine environments. -Source: The Hindu

Daily PIB Summaries

PIB Summaries 03 August 2024

CONTENTS Pingali Venkayya Kindlins  Pingali Venkayya Context: On August 2nd, the Prime Minister paid tributes to Pingali Venkayya on his birth anniversary. He also urged citizens to support the Har Ghar Tiranga movement by unfurling the tricolour between 9th and 15th August, 2024. Relevance: GS I: History Evolution of the Flag Initial Design and Proposal: In 1916, Pingali Venkayya published a booklet titled A National Flag for India, showcasing nearly 30 potential designs for an Indian flag, influenced by flags from various nations. Venkayya’s design for the National Flag received approval from Mahatma Gandhi during a Congress meeting in Vijayawada in 1921. Original Flag Features: The first flag, known as the Swaraj Flag, included two horizontal bands of red and green, symbolizing the Hindu and Muslim communities, respectively. It also featured a charkha (spinning wheel) representing Swaraj (self-rule). Gandhi suggested adding a white band to symbolize peace. Modifications and Official Adoption: In 1931, the Flag Committee made changes by replacing the red with saffron, placing saffron on top, followed by white and then green. The charkha was positioned in the center of the white band. The colors were chosen to represent qualities rather than communities: saffron for courage and sacrifice, white for truth and peace, and green for faith and strength. The charkha symbolized the welfare of the masses. Post-Independence Changes: After India gained independence, a new national flag committee under President Rajendra Prasad replaced the charkha with the Ashok Chakra. About Pingali Venkayya Military Service and Contributions: Venkayya participated in the Second Boer War (1899-1902). In 1913, he gave a lecture in Japanese in Bapatla, Andhra Pradesh, known as ‘Japan Venkayya.’ He was also referred to as Patti Venkayya due to his research on Cambodia cotton. Honors and Recognition: In 2009, a postage stamp was issued to honor his contributions. Kindlins Context: A recent study of kindlins has revealed a novel pathway to cancer treatment. Relevance: Facts for Prelims About Kindlins Overview: Kindlins are adapter proteins located within cells and are attached to cell membranes in nearly all types of vertebrate cells. Family and Functions: The Kindlin family includes three members: Kindlin 1, Kindlin 2, and Kindlin 3. Each has unique amino acid sequences and tissue distributions. These proteins transmit external mechanical signals into biochemical responses inside the cell. They play a critical role in converting extracellular signals into intracellular actions by interacting with structural proteins, receptors, and transcription factors, thereby initiating a cascade of chemical signals. Impact of Structural Disruptions: Disruptions in Kindlin proteins can significantly affect mechano-chemical signaling, which may disrupt the balance of various body systems essential for proper function and survival. Mutations and Carcinogens: Kindlins can be mutated by exposure to various chemical and physical carcinogens, such as nicotine and ultraviolet rays. Mutated Kindlins may potentially interfere with the global mechanical homeostasis within cells.

Daily Editorials Analysis

Editorials/Opinions Analysis For UPSC 03 August 2024

CONTENTS Propelling the U.K. and India story Allowing Sub-Quotas to Scheduled Castes Propelling the U.K. and India story Context: Two democracies, two elections, and two groundbreaking outcomes. In June, Prime Minister Narendra Modi became the second leader in India’s history to secure a third consecutive term. In July, the Labour Party, led by Sir Keir Starmer, won a landslide victory in the United Kingdom. This marks a new chapter in the U.K.-India partnership. Relevance: GS2- Bilateral Groupings and Agreements involving India and/or affecting India’s interests. Effect of Policies and Politics of Developed and Developing Countries on India’s interests. Mains Question: The potential for a deeper U.K.-India economic partnership is vast, but this will require work from both nations. Discuss. (10 Marks, 150 Words). Encouraging signs in the U.K.- India Partnership: There are encouraging signs in the U.K. government’s interactions with India. The Labour Party has committed to establishing a “new strategic partnership” with India. As part of this effort, there is eagerness to see the swift finalization of the U.K.-India Free Trade Agreement (FTA) and enhanced cooperation on security, technology, climate change, and education. It is promising to see David Lammy, the U.K.’s Secretary of State for Foreign, Commonwealth, and Development Affairs, visit India within a month of assuming office. The ‘2030 Roadmap’ has been successful. Bilateral trade reached £39 billion in 2023, with both countries making significant investments in each other’s economies and employing around 800,000 people across both nations. However, there is a call for both governments to agree on a new Roadmap to 2047 to fully unlock the potential of this partnership. India Matters and it Matters Now: India’s importance is undeniable. Its highly successful G-20 Presidency in 2023, impressive moon landing, leadership in digital public infrastructure, and its imminent status as the world’s third-largest economy all highlight this. The U.K. India Business Council, which I lead, is dedicated to helping the U.K. and its businesses better understand and seize the Indian opportunity. India is not just a market but a strategic partner, integral to our research and development (R&D) chain, technology chain, talent chain, and supply chain. This message is also being conveyed to the new U.K. government, which must prioritize India and build an equal economic partnership that creates jobs and prosperity in both countries. A prompt FTA would be transformative, serving as the foundation for a new framework centered on technology and R&D collaboration. India offers the best return on investment (ROI) per dollar of R&D spend globally—consider the achievements of the Indian Space Research Organisation. Similarly, Indian firms are eager to collaborate with U.K. companies and our world-class universities. The two countries have a longstanding healthcare partnership, successfully developing life-saving malaria vaccines to tackle a global challenge. The U.K. is investing in supporting innovative sustainability technology, and British banks are providing billions in climate financing to India. Our university members are partnering with Indian industries to help develop talent for India and the world. Additionally, partnerships with Indian universities through innovative Transnational Education routes can offer world-class higher education in India. Key Areas of Alignment: Last year’s landmark government-to-government agreement to collaborate on science and innovation highlights a promising path forward. The U.K. and India are natural partners in defense and security. While the U.K. once supplied most of India’s defense equipment, its market share today is only 2.5%. India is focusing on indigenization, developing reliable defense technology supply chains, securing access to critical technology, increasing exports, and creating domestic manufacturing jobs. The U.K.’s mature and sophisticated defense industry can support this mission. The successful visit to the U.K. by India’s Defense Minister Rajnath Singh in January 2024, the first by a Defense Minister in 22 years, indicates growing momentum. Mobility is another area where the two countries align seamlessly. Ensuring smooth mobility for students and skilled professionals is crucial. It will build trust and mutual confidence, sending a strong message to Indian investors that the U.K. is welcoming. The U.K. has a positive story to tell on mobility, having issued around 350,000 visas to Indian nationals for work, education, or as dependents over the last year. We need to further champion this ‘living bridge.’ Unlocking Full Potential: These ideas are just the beginning. The potential for a deeper U.K.-India economic partnership is vast, requiring effort from both nations. In India, further business environment reforms would be welcomed. British companies are committed to manufacturing in India and appreciate policies that integrate India into their supply chains without compromising efficiency. For instance, a supportive tariff and standards regime would help unlock significant inflows. It is essential to have taxation policies and regulatory treatment that ensure parity and a level playing field for all investors. British investors are eager to bring and co-create new Intellectual Property (IP) in India with Indian partners, provided policies offer adequate protection and commercial compensation for their IP. Improvements in ease of doing business, such as shorter timelines for approvals and a more consistent, transparent approach across government departments, states, and regulators for clearances, are also important. Conclusion: India is on the path of becoming the most exciting economic story today. Prime Minister Modi’s statement, “The more your friendship deepens with India, the more prosperity accrues to both,” sets the tone for a shared future. Allowing Sub-Quotas to Scheduled Castes Context: The legal landscape of affirmative action has been undergoing a constant transformation. Initially, the focus was on formal equality, which was rooted in a broad principle of non-discrimination. Over time, this focus has shifted toward achieving substantive equality. In this evolving framework, reservations are no longer perceived as mere exceptions to the equality norm. Instead, they are seen as an extension of the concept of equality, aimed at promoting diversity and providing support for individuals who have been historically and socially marginalized. Relevance: GS2- Judicial Review, Judgements and Cases GS3- Inclusive Growth and issues arising from it, Mobilization of Resources Mains Question: Allowing sub-quotas to least advanced among SCs deepens social justice. Discuss. (10 Marks, 150 Words). The Latest Supreme Court Judgment: This shift in perspective is evident in the latest Supreme Court judgment, which permits states to categorize Scheduled Castes (SC) into distinct groups and offer preferential treatment to the most disadvantaged among them. This decision is in line with the ongoing progression towards substantive equality. The Court, in a 6:1 majority ruling, dismissed the notion that SCs constitute a single, uniform class, asserting that subclassification does not violate the principle of equality. The seven-judge Bench ruled that states are now allowed to sub-classify Scheduled Castes (SCs) within the 15% reservation quota to provide more targeted support for the most disadvantaged groups. The Chief Justice of India highlighted the distinction between “sub-classification” and “sub-categorization,” warning against using these classifications for political gain instead of genuine upliftment. The Court emphasized that sub-classification should be grounded in empirical data and historical evidence of systemic discrimination, rather than arbitrary or political motives. States must base their sub-classification on empirical evidence to ensure fairness and effectiveness. The Court also clarified that granting 100% reservation for any sub-class is not permissible. The Supreme Court has ruled that the ‘creamy layer‘ principle, which was previously applied only to Other Backward Classes (OBCs), as highlighted in the Indra Sawhney Case, should now also apply to SCs and Scheduled Tribes (STs). The Court stated that reservations should be limited only to the first generation. If any generation in a family has already benefited from the reservation and attained a higher status, the benefit of reservation would not logically extend to the second generation. Previous Judgements: This verdict overturns a previous decision made by a Constitution Bench in the 2005 E.V. Chinnaiah vs. Andhra Pradesh case. At that time, the Court had struck down an Andhra Pradesh law that categorized SC communities into groups, deeming it unconstitutional. The ruling had emphasized that once the President notified the list of SCs under Article 341, only Parliament had the authority to modify it through legislation, thereby prohibiting states from making changes to the list. This earlier judgment was referenced by the Punjab and Haryana High Court when it annulled a preferential sub-quota for Balmikis and Mazhabi Sikhs within the SC quota. When the issue was brought before the Supreme Court, a Bench questioned the validity of the E.V. Chinnaiah decision and referred the matter to a larger Bench for reconsideration. This new judgment reflects a significant shift in the judicial approach to affirmative action, moving toward a more nuanced and equitable understanding of equality that recognizes the need to address historical injustices and social disparities. Rationale Behind the Judgement: The majority ruling acknowledges that Scheduled Castes (SCs) do not form a uniform group. Although they share a common constitutional status under the Presidential List, there are significant variations in the degree of backwardness among them. While the history of untouchability is a unifying factor, historical and empirical data demonstrate that advancement levels are not consistent across all SCs. Consequently, states have the authority to further identify the weaker segments within the SC community and offer them special assistance. Four judges in the ruling argue that excluding the “creamy layer” among SCs from reservation benefits is crucial to ensuring that the most disadvantaged individuals receive the advantages of affirmative action, rather than being overshadowed by those who are relatively better off. While the concept of the “creamy layer” has traditionally applied to Other Backward Classes (OBCs), extending it to SCs presents challenges. Justice B.R. Gavai, who supports excluding the more affluent SC members, also points out that the criteria for identifying the creamy layer among SCs cannot mirror those used for OBCs. Conclusion: Although the exclusion of more advanced Dalit sections was not directly addressed by the Bench, the opinions on this matter may not yet be binding. While the implementation of excluding the creamy layer might occur in the future, the primary focus should remain on ensuring adequate representation for the marginalized Dalits. The ultimate goal is to provide equitable opportunities and support for those who are most disadvantaged, ensuring that affirmative action fulfills its intended purpose of uplifting those who need it most.

Daily Current Affairs

Current Affairs 03 August 2024

CONTENTS Moral Questions Raised by Hunger Strikes Union Government Reduces Import Duty on Gold and Reviews Sovereign Gold Bonds Disaster Management (Amendment Bill), 2024 Women Entrepreneurship Program Surrogate Advertising  Moral Questions Raised by Hunger Strikes Context: Hunger strikes raise complex moral questions, including whether providing medicine against a person’s will is appropriate and if force-feeding is a dangerous protocol. Relevance: GS IV: Ethics Dimensions of the Article: Understanding Hunger Strikes Historical Context of Hunger Strikes Arguments in Favor of Hunger Strikes Arguments Against Hunger Strikes Impact on Others Way Forward Hunger Strikes Hunger strikes involve the voluntary refusal of food and sometimes water. It is often used when other protest methods are ineffective or unavailable. Objectives: Aim to inspire, dissuade, or pressure others by spotlighting injustices or demanding change. Historical Context of Hunger Strikes Indian Freedom Fighters Mahatma Gandhi: Used fasting as “a great weapon in the armoury of Satyagraha,” engaging in at least 20 hunger strikes during the independence movement. Jatin Das (1929): Died after a 63-day hunger strike, highlighting the cruel treatment of political prisoners. Bhagat Singh and Batukeshwar Dutt: Protested poor prison conditions, gaining widespread support and media attention. Modern Context in Independent India Potti Sriramulu (1952): His hunger strike led to the creation of Andhra Pradesh. Irom Sharmila (2000-2016): Protested the Armed Forces Special Powers Act (AFSPA) in Manipur, continuing her strike for 16 years while being force-fed. Anna Hazare (2011): Initiated a hunger strike to pressurize the Indian government to enact a stringent anti-corruption law. Arguments in Favor of Hunger Strikes Personal Autonomy and Self-Determination Hunger strikes are a manifestation of individual autonomy. Protesters have the right to decide about their bodies and choose their method of protest. Expression of Free Speech As a peaceful form of dissent, hunger strikes align with democratic values and the right to protest, offering a nonviolent means of expressing grievances. Ethical Non-Violent Protest Hunger strikes are ethically preferable to violent resistance, drawing attention to injustices without causing harm to others. Moral High Ground By enduring personal suffering instead of inflicting it on others, hunger strikers highlight the perceived injustices, asserting moral superiority in their cause. Public and Media Attention Hunger strikes can spotlight issues that might otherwise be overlooked, increasing awareness and pressuring authorities to address grievances. Powerful Symbolism The act symbolizes deep conviction and the seriousness of the issue, potentially galvanizing public opinion and support. Historical Efficacy Hunger strikes have been effective in historical contexts, such as the suffragette movement and Indian independence, adding ethical weight to the practice. Cultural Resonance In some cultures, hunger strikes are a deeply respected form of protest and sacrifice, evoking sympathy and solidarity. Challenging Power Dynamics Hunger strikes can pressure authorities to negotiate and address demands, potentially leading to peaceful resolutions. Arguments Against Hunger Strikes Health Consequences Deliberate self-starvation can lead to severe health issues or death, raising ethical concerns about self-harm. Ethical Dilemmas Many ethical frameworks emphasize preserving life, conflicting with the principles of hunger strikes that lead to severe health deterioration or death. Perceived Coercion Hunger strikes can be seen as coercive, pressuring authorities or the public to meet demands, raising questions about fairness and legitimacy. Manipulation of Sentiment Exploiting empathy and moral guilt can influence public sentiment and decision-making, potentially leading to irrational or unjust outcomes. Impact on Others Emotional Burden Hunger strikes can cause stress, anxiety, and guilt among family, friends, and supporters, raising ethical concerns about their broader impact. Responsibility for Well-Being Others may feel obliged to intervene to save the striker’s life, potentially conflicting with the striker’s autonomy. Uncertain Outcomes There is no guarantee of achieving intended goals, raising concerns about the proportionality and rationality of the protest. Coercion of Vulnerable Individuals Vulnerable individuals, including prisoners or marginalized groups, may be coerced into hunger strikes, raising concerns about exploitation and informed consent. Legal and Ethical Dilemmas Authorities face dilemmas regarding their duty of care, such as the ethics of forcible feeding versus the neglect of not intervening. Healthcare Professional Conflicts Medical professionals may struggle between respecting patient autonomy and their duty to preserve life, challenging the ethical principle of “do no harm.” Way Forward Clear and Achievable Demands Demands must be specific and achievable to ensure the hunger strike is a targeted action with potential for resolution. Involvement of a Neutral Mediator A neutral third-party mediator should facilitate dialogue between the hunger striker and authorities to find a resolution without compromising the protester’s health or safety. Independent Ethical Review An independent ethical review board should assess the proportionality of the hunger strike. Medical Guidelines Clear guidelines for medical professionals should balance the duty to preserve life with respect for patient autonomy, addressing complex issues such as involuntary feeding. Education on Ethical Implications Society should be educated about the ethical implications of hunger strikes, including their potential consequences and alternative forms of protest. Legal Frameworks Governments should develop specific legal frameworks to regulate hunger strikes, including provisions for mediation, ethical review, and the protection of the hunger striker’s rights while ensuring public safety. Promotion of Peaceful Protest Policies should promote positive incentives for peaceful protest and dialogue, supporting mediation services, civil society organizations, and platforms for constructive engagement. -Source: The Hindu Union Government Reduces Import Duty on Gold and Reviews Sovereign Gold Bonds Context: In the Budget 2024-25, the Union Government announced a reduction of the import duty on gold from 15% to 6%. Additionally, the government plans to finalize its decision regarding the future of the Sovereign Gold Bonds (SGB). Relevance: GS III- Indian Economy Dimensions of the Article: About Sovereign Gold Bond Scheme (SGB) Benefits of Sovereign Gold Bond Status of the Gold Industry in India Impact of Gold on the Economy About Sovereign Gold Bond Scheme (SGB) The Sovereign Gold Bond Scheme was introduced in the Union Budget 2015-16 by the Union Cabinet which was chaired by PM Narendra Modi. It was launched to reduce the demand for physical gold and with an aim to invest a part of these physicals gold bars and coins that are purchased every year into financial savings in the form of gold bonds. Investors have to pay the issue price in cash and the bonds will be redeemed in cash on maturity. The Bond is issued by Reserve Bank on behalf of Government of India. Government introduced these bonds to help reduce India’s over dependence on gold imports. The move was also aimed at changing the habits of Indians from saving in physical form of gold to a paper form with Sovereign backing. The bonds will be restricted for sale to resident Indian entities, including individuals, Hindu Undivided Family (HUFs), trusts, universities and charitable institutions. The bonds will be denominated in multiples of gram(s) of gold with a basic unit of 1 gram. The tenor will be for a period of 8 years with exit option from the 5th year to be exercised on the interest payment dates. The minimum permissible investment limit will be 1 gram of gold, while the maximum limit will be 4 kg for individual, 4 kg for HUF and 20 kg for trusts and similar entities per fiscal (April-March) notified by the government from time to time. In case of joint holding, the investment limit of 4 kg will be applied to the first applicant only. Bonds can be used as collateral for loans. The loan-to-value (LTV) ratio is to be set equal to ordinary gold loan mandated by the Reserve Bank from time to time. Benefits of Sovereign Gold Bond As a low-risk investment, it is perfect for investors with low-risk appetite. Compared to physical gold, the cost to purchase or sell SGBs is quite low. The expense of buying or selling the SGB is also nominal in comparison to the physical gold. The gold bonds can be availed either in paper or in demat form as per the convenience of an individual. The gold bonds invested by the Investors can be gifted or transferred to others who are eligible under the scheme. They can also trade these bonds on stock exchanges subject to notifications of the Reserve Bank of India. These Gold bonds can be purchased through multiple payment modes such as cheques, cash, DDs or electronic transfer. Status of the Gold Industry in India Gold Ore Reserves According to the National Mineral Inventory, India had an estimated 501.83 million tonnes of gold ore reserves/resources as of 2015. Geographical Distribution Bihar: 44% Rajasthan: 25% Karnataka: 21% West Bengal: 3% Andhra Pradesh: 3% Jharkhand: 2% Production Dominance Karnataka is the leading producer, contributing around 80% of India’s total gold output. The Kolar Gold Fields (KGF) in Karnataka is notable for being one of the world’s oldest and deepest gold mines. Gold Consumption and Imports India is the second-largest gold consumer globally. Gold imports rose by 30% in the 2023-24 fiscal year, reaching USD 45.54 billion. However, there was a significant decline of 53.56% in gold imports in March 2024. Impact of Gold on the Economy Jewellery and Employment Gold is essential in jewellery fabrication and coin making, generating business opportunities, value addition, and employment. The gold industry employs a substantial number of people, including miners, artisans, and retailers. Current Account Deficit (CAD) As the second-largest gold importer, India’s gold imports contribute to the current account deficit. Gold imports necessitate foreign currency, putting pressure on India’s foreign exchange reserves. However, gold imports used for exporting gold jewellery can potentially mitigate the adverse impact on the CAD. Hedge Against Inflation Gold is often used to hedge against inflation; during high inflation periods, demand for gold rises. Increased demand can drive up gold prices, potentially contributing to inflation. Safe-Haven Asset In India, gold is viewed as a safe-haven asset and a store of value, serving as a popular means of savings and investment. -Source: The Hindu Disaster Management (Amendment Bill), 2024 Context: The Government recently introduced the Disaster Management (Amendment) Bill 2024 in the Lok Sabha. Relevance: GS II: Polity and Governance Dimensions of the Article: Disaster Management (Amendment Bill), 2024 National Disaster Management Authority (NDMA) Disaster Management Act, 2005 Disaster Management (Amendment Bill), 2024 Purpose of the Bill: The bill aims to amend the Disaster Management Act, 2005, which was established to enhance disaster management efficiency. Urban Disaster Management Authority: It proposes the creation of an “Urban Disaster Management Authority” for state capitals and major cities with municipal corporations, excluding Delhi and Chandigarh. Authority and Planning: The bill transfers the responsibility for disaster planning from the National Executive Committee and State Executive Committees to the National Disaster Management Authority (NDMA) and State Disaster Management Authorities, respectively. The NDMA will be empowered to appoint experts and consultants to support its functions. Disaster Database: It calls for the development of a “disaster database” at both national and state levels. The database will encompass disaster assessments, fund allocation, expenditures, preparedness and mitigation plans, risk registers by type and severity, and other relevant data as determined by the Union government. Recognition and Provision for Existing Bodies: The bill seeks to grant statutory recognition to existing bodies such as the National Crisis Management Committee and the High-Level Committee. State Disaster Response Force: It proposes the establishment of a “State Disaster Response Force” by state governments. New Section 60A: A new Section 60A will be introduced to authorize both Central and State Governments to direct individuals to take or avoid actions to mitigate disaster impacts. Penalties for non-compliance will be capped at ₹10,000. National Disaster Management Authority (NDMA) National Disaster Management Authority, abbreviated as NDMA, is an apex Body of Government of India, with a mandate to lay down policies for disaster management. NDMA was established through the Disaster Management Act enacted by the Government of India in 2005. Hence, NDMA is a Statutory body. The vision of NDMA is “To build a safe and disaster resilient India by developing a holistic, proactive, multi-disaster oriented and technology - driven strategy through a culture of prevention, mitigation, preparedness and response”. NDMA is responsible for framing policies, laying down guidelines and best-practices for coordinating with the State Disaster Management Authorities (SDMAs) to ensure a holistic and distributed approach to disaster management. It is headed by the Prime Minister of India and can have up to nine other members. Since 2014, there have been four other members. The tenure of the members of the NDMA shall be five years. The phrase disaster management is to be understood to mean ‘a continuous and integrated process of planning, organising, coordinating and implementing measures, which are necessary or expedient for prevention of danger or threat of any disaster, mitigation or reduction of risk of any disaster or severity of its consequences, capacity building, preparedness to deal with any disaster, prompt response, assessing the severity or magnitude of effects of any disaster, evacuation, rescue, relief, rehabilitation and reconstruction’. Disaster Management Act, 2005 The Disaster Management Act, 2005, (23 December 2005) received the assent of The President of India on 9 January 2006. The Act extends to the whole of India. The Act provides for “the effective management of disasters and for matters connected there with or incidental thereto.” The Act calls for the establishment of National Disaster Management Authority (NDMA). The Act enjoins the Central Government to Constitute a National Executive Committee (NEC). All State Governments are mandated under the act to establish a State Disaster Management Authority (SDMA). The Chairperson of District Disaster Management Authority (DDMA) will be the Collector or District Magistrate or Deputy Commissioner of the district. The Act provides for constituting a National Disaster Response Force “for the purpose of specialist response to a threatening disaster situation or disaster” under a Director General to be appointed by the Central Government. Definition of a “disaster” in the DM Act states that a disaster means a “catastrophe, mishap, calamity or grave occurrence in any area, arising from natural or man-made causes. The objective of the Act is to manage disasters, including preparation of mitigation strategies, capacity-building and more. The Act contains the provisions for financial mechanisms such as the creation of funds for emergency response, National Disaster Response Fund and similar funds at the state and district levels. The Act also devotes several sections various civil and criminal liabilities resulting from violation of provisions of the act. -Source: The Hindu Women Entrepreneurship Program Context: Recently, the National Skill Development Corporation (NSDC) unveiled the Women Entrepreneurship Program to empower women entrepreneurs and spurring economic growth. Relevance: Facts for Prelims Women Entrepreneurship Program Objective: The program addresses the unique challenges faced by women in starting and expanding businesses. Target: Aims to empower around 25 lakh women across India by providing essential skills, knowledge, and resources to establish and grow successful businesses. Partnership: This initiative is in collaboration with Britannia Industries Limited. Support and Resources: It includes financial grants and features women’s products and services on the Skill India Digital Hub, demonstrating a commitment to creating an inclusive environment for women entrepreneurs. Educational Component: The National Skill Development Corporation (NSDC), with support from the National Institute for Entrepreneurship and Small Business Development (NIESBUD), will provide free online self-learning entrepreneurship courses via the Skill India Digital Hub (SIDH). Courses, offered in various languages, will cover key topics such as entrepreneurial skills, business setup, finance fundamentals, digital skills, and market analysis. National Skill Development Corporation (NSDC) Establishment: Founded on July 31, 2008, as a not-for-profit public limited company under section 25 of the Companies Act, 1956. Operational Model: Functions under a Public-Private Partnership (PPP) model and operates under the Ministry of Skill Development & Entrepreneurship (MSDE). -Source: Indian Express, PIB Surrogate Advertising Context: The Health Ministry recently asked both the Sports Authority of India (SAI) and the Board of Control for Cricket in India (BCCI) to bring in measures to prevent surrogate advertisement of tobacco and or alcohol related products by sportspersons. Relevance: Facts for Prelims Surrogate Advertising Definition: Surrogate advertising is a method where the brand image of one product is used to promote another product of the same brand. Meaning of “Surrogate”: The term “surrogate” means a ‘substitute’. This type of advertising is typically employed to promote products that face legal or social advertising restrictions. Nature of Surrogate Goods: Surrogate products may either be similar to the original product or entirely different. Companies use this tactic to advertise their primary products by disguising them as other products under the same brand name. Applications: This advertising strategy is commonly used for products like liquor and tobacco, where direct advertising is restricted. For instance, liquor brands might promote music CDs or soft drinks using their brand names and logos. Prevalence in India: Surrogate ads are prevalent in India and appear across various media platforms. Brands leverage this approach to maintain their presence and image in the market. Purpose: The primary aim is to subtly promote the original product through a disguised advertisement. This technique, also known as “brand extension,” helps in maintaining brand recall among customers. -Source: Indian Express

Daily PIB Summaries

PIB Summaries 02 August 2024

CONTENTS Ideas4LiFE Portal India and US Sign Historic Cultural Property Agreement Ideas4LiFE Portal Context: Recently, the Union Minister for Environment, Forest and Climate Change launched Ideas4LiFE at IIT Delhi. Relevance: GS III: Environment and Ecology Dimensions of the Article: Ideas4LiFE Portal About Mission LiFE (Lifestyle for Environment) Ideas4LiFE Portal Purpose and Launch The Ideas4LiFE portal was created to gather ideas that promote environmentally friendly behaviors and products. The initiative is designed to inspire and engage students, faculty, and researchers to contribute their creative solutions to the global Mission LiFE effort. This portal offers a valuable chance for creative individuals to take part in a worldwide movement focused on environmental sustainability. Encouragement and Participation The goal is to motivate and encourage innovative thinking among participants, fostering contributions to environmental sustainability. About Mission LiFE (Lifestyle for Environment) Overview Mission LiFE, short for Lifestyle for Environment, is a global movement led by India aimed at encouraging individuals and communities to take actions that benefit the environment. It was introduced during the 26th UN Climate Change Conference of the Parties (COP26) held in Glasgow in November 2021. The idea promotes an environmentally conscious lifestyle that focuses on ‘mindful and deliberate utilisation’ instead of ‘mindless and wasteful consumption’. Aim of LiFE:  The LiFE Movement aims to utilise the power of collective action and nudge individuals across the world to undertake simple climate-friendly actions in their daily lives. The LiFE movement, additionally, also seeks to leverage the strength of social networks to influence social norms surrounding climate. Pro-Planet People: The Mission plans to create and nurture a global network of individuals, namely ‘Pro-Planet People’ (P3), who will have a shared commitment to adopt and promote environmentally friendly lifestyles. Through the P3 community, the Mission seeks to create an ecosystem that will reinforce and enable environmentally friendly behaviours to be self-sustainable. LIFE recognizes that small individual actions can tip the balance in the planet’s favour. Vision and Mission of LiFE: Vision of LIFE:  The vision of ‘LIFE’ is to live a lifestyle that is in tune with our planet and does not harm it The people who live such a lifestyle can be called “Pro-Planet people.” Mission liFE for India:  Mission LiFE borrows from the past, operates in the present and focuses on the future. Reduce, Reuse and Recycle are the concepts woven into our life. The Circular Economy has been an integral part of our culture and lifestyle. India and US Sign Historic Cultural Property Agreement Context: India and the US have signed their first Cultural Property Agreement (CPA) to tackle illegal trafficking of cultural artifacts and facilitate the return of antiquities to their countries of origin. Relevance: GS II: International Relations Cultural Property Agreement The agreement adheres to Article 9 of the 1970 UNESCO Convention, which aims to prevent and prohibit the illegal import, export, and transfer of ownership of cultural property. The CPA limits the import into the US of specific archaeological and ethnological items dated from 1.7 million years ago to 1947. The US government will issue a detailed list of these restricted items. The US will offer to return any forfeited items from the Designated List to India. Similar agreements are in place between the US and other countries such as Algeria, Cambodia, China, Egypt, and Italy. This agreement emerged from extensive bilateral talks that began during the G20 meetings. Under India’s G20 Presidency, protecting cultural property has been a major focus. The Kashi Culture Pathway and the New Delhi Leaders’ Declaration (NDLD) of 2023 highlighted the commitment to combat illicit trafficking. This agreement represents a significant shift in global development strategies, emphasizing culture as a key goal in the post-2030 development framework.

Daily Editorials Analysis

Editorials/Opinions Analysis For UPSC 02 August 2024

CONTENTS The Relevance of Pumped Storage Projects The Supreme Court’s Decision in Allowing GM Mustard The Relevance of Pumped Storage Projects Context: The Union Budget for 2024-25 promised a new policy to promote pumped storage projects for electricity storage, aiming to smoothly integrate the increasing share of renewable energy, which is inherently variable and intermittent. Relevance: GS3- Environmental Pollution and Degradation, Infrastructure- Energy Mains Question: Discuss the principle of operation of pumped storage projects highlighting their significance. Where are some of the pumped storage projects of India situated and what challenges do such projects face in general? (15 Marks, 250 Words). Pumped Storage Project (PSP): A Pumped Storage Project (PSP) is a hydroelectric power system designed for large-scale energy storage. It operates by pumping water from a lower reservoir to an upper reservoir when energy demand is low and then releasing it back through turbines to produce electricity during times of high demand. Types of Pumped Storage: There are two types of pumped storage: on-river and off-river. On-river projects resemble typical hydroelectric projects fed by a river. Off-river projects involve two reservoirs at different levels, where water is pumped up or allowed to flow down under gravity in a closed loop. When there is excess power, water is pumped from the lower reservoir to the upper one, and when power is needed, the water flows down to drive turbines and generate electricity. An example of such a project is in Kadamparai, Tamil Nadu. Why is Pumped Storage Important? India has set an ambitious goal to generate 500 GW of non-fossil fuel energy by 2030. Between 2021 and 2023, it added about 23 GW of non-fossil generation capacity. Of the total 10 GW added in the first eight months of 2023-24, 7.5 GW came from wind and solar energy, highlighting that renewables will constitute most of India’s new power generation. While the share of renewable power generation will increase, this energy will be variable and unreliable. Indian policies mandate that all renewable energy generated should be utilized, with curtailment as a last resort. Advanced forecasting techniques have improved the accuracy of predictions regarding daily variations in renewable power generation. This enables grid operators to plan how to adjust power generation from other sources to maintain a steady supply for consumers. For instance, hydroelectric power can be quickly adjusted within seconds, whereas coal and nuclear energy require hours of notice. As global attention shifted to renewables and their variable power generation issues, several solutions for energy storage and release were proposed for times when wind and solar power are low. Previously, large-scale electricity storage was nonexistent. Proposed methods include scaling up batteries and using compressed air in large caverns for power generation when needed. However, most of the world’s energy storage now relies on pumped storage using water, which functions like massive natural batteries. Does India have Pumped Storage? India currently has 3.3 GW of pumped storage, with major facilities in Nagarjunasagar, Kadana, Kadamparai, Panchet, and Bhira. China leads with 50 GW of pumped storage supporting 1,300 GW of wind and solar energy. India must significantly increase its pumped storage capacity to meet its renewable energy targets. How does the Pumped Storage at Kadamparai Operate? The Kadamparai plant, located in the Coimbatore district and established around 37 years ago, has four units, each with a capacity of 100 MW. The plant features an upper reservoir situated approximately 380 meters above a lower reservoir. Each unit has a turbine generator set that produces power when water flows from the upper reservoir to the lower one. The same unit can also function as a pump, using power to transfer water from the lower reservoir to the higher one. Power managers plan in advance for the next day, considering expected demand and wind and sunshine forecasts to determine the operation schedule for each power plant in the state. Typically, there is a power surplus around noon from solar energy, which is used to pump water at Kadamparai. Each unit requires 20% more power to operate as a pump than it can produce as a generator, but since solar energy is used, no fuel is burned to generate the necessary power. When the Kadamparai plant operates as a pump to store energy, it takes about an hour and a half to switch to generating mode. When stopped, it requires about half an hour to start and generate at full capacity. After solar generation ends and the evening peak load begins post-6 pm, the Kadamparai plant switches to generator mode. It can produce 400 MW of full power for three to four hours to support evening peak loads. Conclusion: PSH provides economic benefits, including job creation and local economic growth, while also enhancing grid stability. It acts as a reliable energy storage solution, helping balance the grid during periods of high demand or low supply. While Pumped Storage Hydropower (PSH) offers many advantages, it faces challenges such as geographical limitations and high capital costs. However, ongoing research and innovation are expected to address these issues, leading to increased efficiency and capacity. The Supreme Court’s Decision in Allowing GM Mustard Context: India’s challenging journey with genetically modified (GM) food crops reached another milestone last week. A two-judge Bench of Justices B.V. Nagarathna and Sanjay Karol from the Supreme Court of India delivered a split decision on whether to allow GM mustard in farmers’ fields. Relevance: GS3- Biotechnology Mains Question: GM crops might not be perfect, but what matters is that they are useful. Discuss this in the context of the ongoing discussions about GM Mustard. (10 Marks, 150 Words). Current Status of GM Crops: Currently, the only GM seed permitted in India is cotton. The increase in cotton yield encouraged both private and public agricultural institutions to develop GM seeds for food crops like rice, wheat, tomato, brinjal, and mustard, though none have been released yet. This is central to the story of DMH-11, or Dhara Mustard Hybrid-11, developed under a publicly funded project at Delhi University’s biotechnology department. The genes in this plant make it attractive to private seed companies for creating new hybrid varieties. What is GM Mustard? Dhara Mustard Hybrid-11 (DMH-11) is a transgenic mustard developed indigenously. It is a genetically modified variant of Herbicide Tolerant (HT) mustard, resulting from a cross between the Indian mustard variety ‘Varuna’ and the East European ‘Early Heera-2’ mustard. It contains two foreign genes (‘barnase’ and ‘barstar’) derived from a soil bacterium called Bacillus amyloliquefaciens, enabling the breeding of high-yielding commercial mustard hybrids. DMH-11 has demonstrated approximately 28% higher yield than the national average and 37% more than regional averages. Its use has been endorsed and approved by the GEAC. The “bar gene” ensures the genetic purity of the hybrid seed. Approval of DMH-11: For crops to be approved in India’s agricultural system, they must be tested over three seasons in various agro-climatic zones and prove consistently superior to existing varieties. Trials over three years by the Indian Council of Agricultural Research indicated that DMH-11 met these criteria. This led the Genetic Engineering Appraisal Committee (GEAC), a scientific advisory body under the Ministry of Environment and Forests, to approve DMH-11 in October 2022, subject to certain tests. However, environmental groups claim that DMH-11 is a ‘herbicide-tolerant’ crop, genetically engineered to compel farmers to use specific pesticides, with harmful environmental effects. They allege that the developers were not transparent about this information. These findings, along with the GEAC approval, have been challenged in court by Aruna Rodrigues and the organization Gene Campaign. Ruling of the Supreme Court: The judges had differing opinions on whether the GEAC’s actions were appropriate. Justice Nagarathna argued that the GEAC had violated the “precautionary principle,” which dictates that any new organism or technology should be restricted unless its consequences are thoroughly considered. Justice Karol, on the other hand, appeared satisfied with the GEAC’s process. As a result, the case has been referred to a larger Bench led by the Chief Justice of India. A significant outcome was the Court’s directive to the Centre to develop a policy on GM crops. The debate over GM crops is primarily ideological rather than based on traditional agricultural measures like yield and farm economics. This is highlighted by India’s agricultural history, where past solutions like hybrid seeds and synthetic fertilizers, while boosting yields and productivity, have also caused environmental damage. Conclusion: In their decisions, both the Court and the government should remember that pursuing the good should not be seen as opposing the perfect.

Facebook Instagram YouTube LinkedIn TelegramGroup Website TelegramChat
Terms and Conditions Privacy Refund Policy Learning Management System by Testpress