CONTENTS

1. Propelling the U.K. and India story
2. 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.