General Studies Paper 2

Context

• Recently, the Rural Health Statistics 2021-2022was released by the Union health ministry.

Document highlights

• According to the document, India’s rural healthcare system continues to be plagued by a shortfall on two critical fronts: Doctors and infrastructure.
  • Doctors: There is a shortage of

• • 83.2 percent of surgeons,
  • 74.2 percent of obstetricians and gynaecologists,
  • 79.1 percent of physicians and
  • 81.6 percent of paediatricians.

• Infrastructure:

• • Less than half the Primary Health Centres (PHC), 45.1 percent, function on a 24×7 basis.
  • Of the 5,480 functioning Community Health Centres (CHC), only 541 have all four specialists.

Sub-centres (SCs), Primary Health Centres (PHC) & Community Health Centres (CHC):

• In the Indian healthcare system, sub-centres (SC) are the first point of contact for a patient, catering to a population of 3,000-5,000.
• This is succeeded by a PHC, which is required to look after the daily needs of 20,000-30,000 people.

CHCs provide referrals and access to specialists, catering to 80,000-120,000 people.

• Situation of SCs, PHC & CHC:
  • According to the document, these facilities are overburdened across the board.
    • SCs are currently looking after more than 5,000 people,
    • PHCs catering to 36,049 people and
    • CHCs to 164,027 people.
  • This, coupled with a human resource shortage, plagues access to adequate and quality healthcare.
• Understaffing of SCs, PHCs and CHCs:
  • SCs, PHCs and CHCs had more staff in 2021,at the height of the deadly second wave of COVID-19, as compared to now.
    • The number of auxiliary nurse midwives at SCs has decreased to 207,587 in 2021 from 214,820 in 2022.
    • Lab technicians, nursing staff and radiographers at PHCs and CHCs have all recorded a marginal increase between 2021 and 2022.
  • State-wise data:
    • The shortage was most pronounced in Uttar Pradesh, Gujarat, Himachal Pradesh, Odisha and Uttarakhand.
  • Doctors of SCs, PHCs and CHCs:
    • The number of doctors at PHCs has shrunk to 30,640 in 2022 from 31,716 in 2021.
    • State-wise data:
      • Uttar Pradesh, Rajasthan, Madhya Pradesh, Gujarat and Odisha face the highest shortage in surgeons, obstetricians / gynaecologists, paediatricians and radiographers at CHCs across the country.
    • Improvements:
      • A huge improvement has been recorded as compared to 2005, when the government launched the National Rural Health Mission.
        • The allopathic doctors at PHCs have increased from 20,308 in 2005 to 30,640 in 2022, which is about 50.9% increase.
        • The specialist doctors at Community Health Centers (CHCs) have increased from 3,550 in 2005 to 4,485 in 2022, according to the report.

Issues & Challenges

• Lack of awareness:
  • Lack of awareness appears to cut across the lifespan in our country.
    • Adequate knowledge regarding breastfeeding practice was found in only one-third of the antenatal mothers in two studies.
    • A study in urban Haryana found that only 11.3% of the adolescent girls studied knew correctly about key reproductive health issues.
    • A review article on geriatric morbidity found that 20.3% of participants were aware of common causes of prevalent illness and their prevention.
  • Poor public health spending:
    • India is one of the countries with the lowest public health spending. 
    • Indian government was estimated to spend over two percent of the country’s GDP on healthcare in financial year 2022
  • Affordability or the cost of healthcare: 
    • 60%+ of the Indian population has to spend Out-Of-Pocket (OOP) to access healthcare services.
    • In India, 65%+ of the population is uninsured, including government and private schemes.
  • Rural Urban disparities:
    • While the rural population in India is higher, as compared to its urban population, rural health status is generally poorer than in most of the urban areas.
      • The healthcare infrastructure in urban areas is comparatively sophisticated and better equipped.

Government initiatives 

• The National Health Mission (NHM): Itwas launched by the government of India in 2005 subsuming the National Rural Health Mission and National Urban Health Mission.
  • Main program components include: 
    • Health System Strengthening (RMNCH+A)in rural and urban areas
    • Reproductive-Maternal- Neonatal-Child and Adolescent Health, and
    • Communicable and Non-Communicable Diseases.
  • Objectives:
    • Improve health status through concerted policy action in all sectors and expand preventive, promotive, curative, palliative and rehabilitative services provided through the public health sector with focus on quality.
  • National Digital Health Mission (NDHM): 
    • Under this, every Indian will get aHealth ID card and this card will contain all the health records of the person.
    • It aims to develop the backbone necessary to support the integrated digital health infrastructure of the country.
  • Ayushman Bharat Digital Mission:
    • The Ministry of Health and Family Welfare formulated the Ayushman Bharat Digital Mission with the aim to provide the necessary support for the integration of digital health infrastructure in the country.
      • It aims to develop the backbone necessary to support the integrated digital health infrastructure of the country.
    • Pradhan Mantri Jan Arogya Yojna (PM-JAY):
      • The scheme was launched and recommended by the National Health Policy 2017, to achieve the vision of Universal Health Coverage (UHC).
      • PM-JAY was earlier known as the National Health Protection Scheme (NHPS) before being rechristened.
      • It subsumed the then-existingRashtriya Swasthya Bima Yojana (RSBY) which had been launched in 2008.

Suggestions & Way ahead

• There is an urgency to focus on all the three levels of primary, secondary and tertiary healthcare, it is imperative that the government look towards improving primary health care as a public good.
• The government should create a framework for the right staffing, duration and think about the incentives and career paths of doctors and all levels of staff to work in a rural health centre.
• India needs to move beyond the doctor-led system and paramedicalise several functions.
• There is a need for an increase in expenditure on health so that India can improve existing facilities as well as add more of them.

General Studies Paper 2

Context:

• In June 2022, the Supreme Court had directed that every national park and wildlife sanctuary in the country will have a mandatory Eco-Sensitive Zone (ESZ) of at least one kilometer starting from its demarcated boundaries. The decision was made in response to a petition to protect forest lands in Tamil Nadu’s Nilgiris district. However, the creation of these zones has provoked protests in Kerala and some other areas. Rights activists have criticized this rights-negating ‘fortress conservation model’, as such models of forest conservation tend to deny the rights of traditional forest-dwelling communities. Critics argue that powers given to conservation authorities under the Forest Conservation Act has led to labelling of traditional forest dwellers as ‘encroachers’in their own areas and denied them equitable access to forests’ resources. Forest Rights Act was enacted to recognize the rights of traditional communities. Yet there has been a conflict between the Forest Rights and Forest Conservation because of lacunae in the implementation of these laws. Hence, there is a need to balance the two aspects, in order to ensure sustainable conservation while preserving rights of the tribals.

SC Judgment regarding Eco-Sensitive Zones (ESZs)

• In June 2022, a 3-Judge bench of the Supreme Court heard a PIL regarding protection of forest land in the Nilgiri Hills (Tamil Nadu). The Supreme Court passed a Judgment regarding the creation of Eco-Sensitive Zones (ESZs) around protected areas. The salient aspects of the rulings were:
• First, The Supreme Court directed that no permanent structure will be allowed within the eco-sensitive zone.
• Second, Mining within a national wildlife sanctuary or national park cannot be permitted.
• Third, If the existing eco-sensitive zone goes beyond the 1 km buffer zone or any statutory instrument prescribes a higher limit, then such extended boundary shall prevail.
• Fourth, the SC said that the MoEFCC guidelines are also to be implemented in the area proposed in the draft notification awaiting finalisationand within a 10-km radius of yet-to-be-proposed protected areas. The Guidelines were released in July 2022.
• Fifth, The Court also allowed States to increase or decrease the minimum width of ESZsin the public interest.
• Sixth, The Court vested the powers to ensure compliancewith the Principal Chief Conservator of Forests (PCCF) and the Home Secretary of the State/UT.  Within three months, the PCCF was supposed to make a list of all structures in the ESZs and send it to the Supreme Court (this is yet to be done) within 3 months.

Benefits of Eco-Sensitive Zones (ESZs)

• Reduce Human-Animal Conflict and Forest Depletion: ESZs help in reducing human-animal conflict by creating buffer zones. Moreover, prohibition of certain activities in ESZs helps in better conservation. The local communities in the surrounding areas are also protected and benefited from the protected areas thanks to the core and buffer model of management that the protected areas are based on.
• Reduce Externalities of Development Activities: ESZs as buffer zone help in protection of areas adjacent to the protected areas and help mitigate the negative effects of urbanisation and other development activities.
• Minimize Damage to Fragile Ecosystems: Declaring certain areas around protected areas to be environmentally sensitive serves the purpose of developing a ‘Shock Absorber’for the protected area. They also serve the function of a transition zone between areas with higher levels of protection and areas with lower levels of protection.
• Conservation: ESZs are also helpful in conservation of endangered species. Restriction of activities in ESZs effectively expand the area available to the threatened species and reduce their vulnerability.

Conflict between Forest Conservation and Forest Rights

• Critics argue that the powers granted to Forest Authorities under Forest Conservation has led to their misuse resulting in undermining of the rights of traditional forest dwelling communities (recognized in the Forest Rights Act, (FRA) 2006).
• First, critics argue that the Union and State Governments have attempted a series of ‘backdoor’ policy changes in an attempt to roll back the achievements of the FRA e.g., the Governments of Maharashtra and Madhya Pradesh notified the rules for the administration of “village forests” in 2015. These rules sought to provide a parallel, forest department-dominated procedure by which villages could secure rights over common and collectively managed forests, and, in practice, the forest department would use pressure and monetary incentives to ensure that this process, rather than the statutory procedure under the FRA, would be followed. The guidelines issued in 2015 allowed private companies to take over patches of forestland for growing tree or bamboo crops, with rights arbitrarily limited to 15% of the leased areas.
• Second, The Compensatory Afforestation Fund Act was passed in 2016. It provided for the spending of a fund of more than INR 50,000 crore on forestry-related activities that had a direct impact on forest dwellers. The Act didn’t contain the words ‘Forest Rights’. The Government had assured that the rules formulated under the Act will address Forest Rights, but that hasn’t happened.
• Third, The Forest Right Act, 2006 was challenged in the Supreme Court by forest conservation groups like Wildlife First and Wildlife Trust of India. They had argued that the FRA facilitates deforestation and illegal encroachment. Critics argue that the Union Government didn’t defend the FRA vigorously. In 2019, the SC ordered the States to summarily evict or take other appropriate legal action against individuals whose land claims have been rejected. The SC stayed the decision after nationwide protests, but hasn’t addressed the fundamental conflict between Forest Rights and Forest Conservation.
• Fourth, in 2019, amendments were proposed to the Indian Forest Act, 1927 which, among other things, would empower forest officials to use firearms and to take away forest rights merely through the payment of monetary compensation. These amendments would destroy the essence of Forest Rights.
• Fifth, the new Forest Conservation Rules were notified in 2022. The wording of new rules implies that it is not mandatory to take the consent of Gram Sabha before diversion of forest. Moreover, the new rules allow the Union Government to permit the clearing of a forest before consulting its inhabitants. This is akin to forced consent, the inhabitants will have no choice but to accept. The National Commission for Scheduled Tribes has asked to put  these rules on hold, however the Ministry of Environment hasn’t agreed to this proposal.

Hydel Project in Himachal Pradesh

• In 2016, the National Green Tribunal (NGT) invoked the Forest Rights Act.
• It asked for consent of people of Lippa (Kinnaur, Himachal Pradesh) regarding the proposed Hydel Power Project.
• The project would have led to submergence of forestland and also caused heavy siltation in the river. The Gram Sabha did not approve the project.
• Sixth, the SC ruling regarding the ESZs has meant that all the activities permitted by the guidelines and which are already being carried out can continue only if the PCCF grants permission, and that too within six months of the SC’s order. This period has already expired. Additionally, the SC’s directions have put the lives of many people in the hands of the PCCF, whose authority now extends beyond the forest to revenue lands falling within an ESZ. This has led to protests in Kerala.

Measures that can be taken to resolve the conflict between Forest Conservation and Forest Rights?

• First, The Government and the Judiciary need to reconcile laws, reaffirm democratic governance, and protect the environment and as well as livelihoods.
• Second, A flexible and area-specific minimum limit boundary provision is required. Many environmentalists across the country expressed concern about the mandatory implementation of the Eco-Sensitive Zone (ESZ) for each national park and sanctuary, which appears to be fine, but a fixed minimum limit of one kilometre raises some concerns. The physiography of an area should also be considered for the eco-sensitive zone notification.
• Third, the mandated eco-sensitive boundary should be extended to national parks and sanctuaries and to forest patches with better forest cover, good species composition, and a significant presence of wild species.
• Fourth, Data must be collected at the ground level. Even though the establishment and upkeep of buffer zones around ecologically sensitive areas are considered to be of the utmost importance, the process is frequently hindered by a lack of trustworthy data collected at ground level. The vast majority of micro-level land use statistics are based on conjecture, with very little input from the ground.
• Fifth, A meeting of all States, the Union Government, and the Judiciary is required before the recent judgement is carried out, so that genuine concerns raised by the State Governments can be addressed appropriately, reducing future conflicts.
• Sixth, The mining companies must strictly adhere to environmental regulations and practise sustainable mining. At the same time, no mining permits should be issued if any mineral extraction jeopardised the carrying capacity of the protected areas. This should be the approach for all development activities around the protected areas.

Conclusion

• The Supreme Court’s Judgment regarding the provision of ESZs around protected areas has led to protests in many parts of the country, especially in Kerala. This has reignited the debate regarding Forest Rights and Forest Conservation. Both the dimensions are important in the context of protection of forests and sustainable and inclusive development. The Government must take all possible steps for economic development, but such development shouldn’t be at the cost of rights of the poor tribals as well as destruction of forest ecosystems. Hence the effort should be to establish a balance between the two.

General Studies Paper 2

Context:

• Recently, India completed ten years since the enactment of its Protection of Children from Sexual Offences (POCSO) Act, 2012.

About

• Enactment:
  • The Protection of Children from Sexual Offences (POCSO) Act, 2012,enacted in consequence of India’s ratification of the UN Convention on the Rights of the Child in 1992.
    • It came into effect on November 14, 2012.
  • Aim:
    • The aim of this special law is to address offences of sexual exploitation and sexual abuse of children, which were either not specifically defined or inadequately penalised.

Protection of Children from Sexual Offences (POCSO) Act, 2012

• Definition of a child:
  • The Act defines a child as any person below 18 years of age.
• Defines forms of sexual abuse:

• It also defines different forms of sexual abuse including penetrative and non-penetrative assault as well as sexual harassment and pornography.

• Section 7 mandates that:
  • “Whoever with sexual intent touches the vagina, penis, anus or breast of the child or makes the child touch the vagina, penis, anus or breast of such person or any other person, or does any other act with sexual intent which involves physical contact without penetration is said to commit sexual assault”.
    • Most important ingredient in Section 7 is the sexual intent of the offender and not skin-to-skin contact.
  • Punishment: 
    • POCSO prescribes stringent punishment graded as per the gravity of the offence, with a maximum term of rigorous imprisonment for life, and fine.
  • Monitoring implementation:
    • Section 44 (1) of POCSO Act provides that the National Commission for Protection of Child Rights (NCPCR)and State Commission for Protection of Child Rights (SCPCR) shall monitor the implementation of the provisions of the Act.
  • The following amendments were brought under POCSO Act, 2012, through POCSO (Amendment) Act, 2019:
    • Section 2 (Definitions) was amended toincorporate definition of child pornography;
    • Section 4 (Punishment for penetrative sexual assault) amended to increase the quantum of punishment from a minimum of seven years to minimum of 10 years, and a minimum of 20 years in case of a child below 16 years.

Effective implications of the Act

• Gender-neutral nature of the Act:
  • Even though the National Crime Records Bureau has not published data on male and female victims separately, in Chhattisgarh,male child victims accounted for about eight in every 1,000 POCSO cases (0.8%).
  • Though the reported number is not big, it still endorses society’s apprehension that the sexual exploitation of male children is also a serious issue that has been largely unreported.
• Rise in awareness:
  • There is sufficient general awareness now to report cases of sexual exploitation of children not only by individuals but also by institutions as non-reporting has been made a specific offence under the POCSO Act.
  • This has made it comparatively difficult to hide offences against children.
• At odds with child pornography:
  • The storage of child pornography material has been made a new offence.
    • Further, the offence of ‘sexual assault’ has been defined in explicit terms unlike an abstract definition of ‘outraging modesty of a woman’ in the Indian Penal Code.

Issues & challenges

• Under staffing:
  • The POCSO Act provides for recording the statement of the affected child by a woman sub-inspector at the child’s residence or place of choice.
  • But it is practically impossible to comply with this provision when the number of women in the police force is just 10%, and many police stations hardly have women staff.
• Inadequate infrastructure:
  • There is a provision to record statements using audio-video means.
  • In the absence of proper infrastructure to ensure the integrity of electronic evidence, the admissibility of evidence recorded using any audio-video means will always remain a challenge.
• Two-finger testing: 
  • Medical examination of the prosecutrix is conducted according to provisions of the CrPC.
    • However, the medical examination of a girl child is conducted by a female doctor, as specified in the Act.
  • Even so, and as observed by the Supreme Court of India, there are instances where the banned two-finger test is still in use.
• Age determination of a juvenile delinquent:
  • The age determination of a juvenile delinquent is guided by the Juvenile Justice (Care and Protection of Children) Act.
    • No such provision exists under the POCSO Act for juvenile victims.
  • In absence of specific provision, the investigating officers (IOs) continue to rely on the date of birth recorded in school admission-withdrawal registers.
  • Age estimation based on medical opinion is generally so wide in scope that in most cases minors are proved to be major.
• Focus on completion of investigation:
  • The time mandated to complete investigation of rape(as in the CrPC, without a similar provision in the POCSO Act) is two months. 
  • Though the aim is to expedite the investigation, it has resulted in putting pressure on the IOs to somehow submit a charge sheet in two months irrespective of what stage the investigation is at.
    • Thus, unfortunately, the focus is largely on completion of investigation in two months irrespective of quality.
  • Silent on consensual sexual activities: 
    • In case of sexual intercourse with consent, one of which is minor, the partner who is not minor can be prosecuted under the POCSO Act as the consent of a minor is not considered relevant under this Act. 
  • Low conviction rates:
    • Madhya Pradesh, Maharashtra, Uttar Pradesh, Haryana and Delhi constitute 51 percent of the POCSO cases in the country but the rate of conviction in these states is between 30 percent to 64 percent.

Way Ahead

• The POCSO Act is exhaustive legislation that aims at covering all the aspects of child sexual abuse.
• The investigating agencies should be well trained and professionals such as medical practitioners involved in the stages of investigation and trial should be efficient so as to avoid any scope of negligence on their part.

The POCSO Act already makes the procedure child friendly and this approach should be followed by the judicial officers, magistrates, and police officers so that the child victims could repose trust in them.

General Studies Paper 3

Context:

• In August 2020, amid the COVID-19 pandemic, the Prime Minister had exhorted that India can become a global hub in Toy Industry manufacturing and exports. In July 2021, the PM had said that India imports 80% of toys. He called on people of India to be ‘vocal for local toys‘. By July 2022, India’s exports of toys had surged from INR 300-400 crore to INR 2,600 crore. Imports had fallen from INR 3,000 crore, making India a net exporter of toys. The turnaround in the toy industry showcases the success story of focused approach by Government in supporting domestic manufacturing. The learning from the success of toy industry can be implemented in other sectors to enhance India’s exports and reduce dependence on imports.

The growth of India’s Toy Industry

• Indian Toys Industry is estimated to be US$ 1.5 billion making up 0.5% of global market share. The toy manufacturers in India are mostly located in the NCR, Maharashtra, Karnataka, Tamil Nadu and clusters across central Indian States. The sector is fragmented with 90% of the market being unorganized and 4,000 toy industry units from the MSME sector.
• According to a joint report by industry body FICCI and KPMG, the India’s toy industry is expected to double from US$ 1 billion in 2019-20 to US$ 2 billion by 2024-25. A share of 0.5% of the global toy industry shows indicates large potential growth opportunity. The domestic toy demand is forecasted to grow at 10-15% against the global average of 5%.
• According to the Ministry of Commerce & Industry, the import of toys into India has declined sharply from US$ 304 million in 2018-19 to US$ 36 million in 2021-22. On the other hand, exports have increased from US$ 109 million in 2018-19 to US$ 177 million in 2021-22.

Factors driving growth of India’s Toy Industry:

• Huge Consumer Base: India’s population today stands at ~1.4 billion or 17.7% of the global population. In 2019, ~26.62% of the Indian population fell into the 0-14 age category. Such a large young population is likely to offer potential for the toy industry’s growth.
• Rising Disposable Income: India has exhibited strong GDP growth rates for the last several years and now, represents one of the world’s largest economies. Driven by this trend, the middle-class population has experienced strong growth. On an average, every Indian is earning 30% more than that six years ago. Consumers have more disposable incomes and their spending patterns have also changed. This has resulted in a major shift from traditional and medium- to low- end battery-operated toys to innovative electronic toys, intelligent toys, and upmarket plush toys.
• Rise in Online Purchases: Online sales channels have also witnessed boom in India with the evolution of smartphones and other digital media. As quality and features of products can be discussed among shoppers and prices can be compared on various platforms, online sales channels have appeared to be one of the fastest-growing distribution channels for toys in India.
• Shifting Preference: According to the Toy Association report in 2018, 67% parents believe in STEM-focussed toys as their primary way to encourage science and math development in young children. Shifting preference from conventional toys towards modern and hi-tech electronic toys is strengthening the market growth.
• Going Global: Toy sector is also going global, as manufacturers are scouting new markets and increasing exports to the Middle East and African countries.
• India’s Protectionist Strategy: In addition to increasing the basic customs duty on toys from 20% to 60%, stringent conditions have also imposed on the quality of toys that are imported. This has reduced availability of imported toys and enhanced demand for domestic toy industry.

Steps taken by the Government to aid growth of Toy Industry:

• Call to the Start-ups: The Government has called upon start-up entrepreneurs to explore the toy sector. The Government has also urged industry players to support local toys and reduce reliance on foreign goods. Educational institutions have been asked to organise hackathons for students to innovate in toy technology and design, including online games, to reflect Indian ethos and values.
• Increase in Custom Duty: The Government has increased basic customs duty from 20% to 60%. It is likely to result in toy importing brands to explore manufacturing in India, especially for the Indian market. It has also increased demand of toys manufactured by domestic toy industry.
• Mandatory Quality Certification: The Government has made toy quality certification mandatory to revive the indigenous industry. The Government began enforcing quality control for imported toys from September 1, 2020, to ensure that only products conforming to standards enter the country.
• Programmes Boosting the Toy Industry: The Government has chalked out a plan to promote traditional toys manufactured in the country by creating Toy Labs(a national toy fair for innovative Indian-themed toys). A plan to establish networks of toy labs such as Atal Tinkering Labs is also in the works to provide support for physical toys and for children to learn, play and innovate. Such labs will also be a way of specialised toy marking for quality certification and original design.
• Involvement of Various Sectors: (a)The Government has invited the Ministries of Education, Textiles, I&B, Commerce, Women and Child Development, Culture, Tourism, Railways, Urban Development,  Science and Technology and IT to give their inputs for betterment of the toy industry. The Department for Promotion of Industry and Industry Trade (DPIIT) has explained how various industries can contribute towards the toy sector; (b) The Ministry of Education has been asked to look at inclusion of indigenous toys as a major learning resource activity, as part of the recently announced National Education Policy. The plan also includes developing kits for Ek Bharat, Shreshta Bharat, a flagship scheme of the Ministry of Education; (c) IITs will be roped in to look at the technology aspect of toys. The National Institute for Design and the National Institute for Fashion Technology will study the concept of ‘Toys and National Values’. Using non-hazardous materials and creating toys that will help in mainstreaming children with learning disabilities will also be a top focus; (d) The Ministries of Science and Technology and IT will look at how ‘India’s indigenous games can be featured in the digital space and creating a digital repository archiving description of history’, while the Ministry of Culture could work on an ‘Indian Toy Museum’.
• Consolidating and Up-skilling the Unorganised Sector: The Government is also deliberating forming toy producer clusters and linking all such clusters with artisans. The Government is also looking at addressing skill upgrades and credit needs of the toy clusters and facilitating their engagement with foreign investors.
• Educating Consumers: The Government is gradually introducing a new norm in the minds of consumers to purchase safe and good-quality ‘Made in India’ toys as against cheap and poor-quality imported toys. Adverts are also being gradually designed in a manner to target children and parents as influencers in building the Made in India brand loyalty.

Challenges facing India’s Toy Industry

• Highly Fragmented: The toy industry is still highly fragmented, dominated by local producers. 90% of the market is unorganized and 4000 toy industry units being from the MSME sector. They lack innovation, and resources to invest in equipment and technology. They do not have the capital to scale-up production. Supply chains are still highly fragmented.
• Impact of Import Duties and Quality Certification: After the duty hike, customers started to cancel orders, some held their orders back in hope that the duties will be reduced. The 200% increase in duties led to price hikes, making toys more expensive. Quality Certification has increased challenges for traditional craftsmen. They cannot afford to get these certifications. It is better for the Government to step in and club units or allow distributors to get the certification.
• Labour Laws: Toy making is labour intensive. The life of a toy is limited. For instance, a ‘Transformers’ Toy sells well when the movie releases and the off-take dies down soon after. Therefore, the demand for a product changes rapidly and each toy requires a different skillset. These factors not only rule out mechanisation, but also call for flexible staffing. Indian laws do not permit recruitment or retrenchment based on demand if the organisation grows beyond a certain size in terms of employee strength. Hence, most units in the toy sector are very small and no major corporates have forayed into the industry despite the low capital investment needs.
• Foreign Dependence for Sourcing Raw Materials: Indian manufacturers specialise in board games, soft and plastic toys and puzzles etc. Companies have to import materials from South Korea and Japan to manufacture these toys.
• Fall in Free Trade amidst Geopolitical Uncertainties: Many economies are imposing restrictions on free trade to boost their local economies. The US government is taking a more protectionist stance and renegotiating many trade agreements, including NAFTA (North America Free Trade Agreement) and increasing tariffs on Chinese manufactured goods. These changes could set off a wider trade war, reversing the recent trend towards greater global free trade. For example, according to a report by the International Monetary Fund, rise in trade barriers could increase import prices by 10% and decrease exports by 15% during the forecast period, affecting growth of the toy manufacturing market, which relies on easy and cheap movement of goods between countries.

Way forward:

• First, In order to stimulate growth in the domestic toy industry, it is necessary to devise a specific manufacturing policy for toys.
• Second, To become a major player in the global toy manufacturing industry, reducing the amount of imported toys may not be the best way to move forward. Instead, the Government should focus on enhancing India’s reputation as a reliable location for the production of high-quality toys.
• Third, To foster an environment that is more conducive to healthy competition, the Government should: (a)Assist the industry in the formation of additional clusters; (b) Offer export subsidies and production-linked incentives for the manufacture of their products; (c) Ensure that toys are included in India’s Free Trade Agreements (FTAs). Support from the Central Government in the form of Incentives, as well as Inputs on the Upgrading of Technology, can go a long way towards assisting in the rapid growth of the domestic toy industry.
• Fourth, Re-skilling the 7 million artisans in the country to help them meet the evolving demands of the industry while framing labour laws and regulations that protect workers’ rights can also help reap rich dividends.
• Fifth, there is a shift towards intelligent toys and video games, away from traditional wooden/plastic toys. Domestic toy manufacturers should tap into India’s expertise in information technology to offer games that capture the imagination of the children. The Prime Minister has also asked the start-ups to help achieve this transformation.

Conclusion

The success of India’s toy industry in the last few years shows that focused interventions by the Government can help a great deal in creating conducive manufacturing ecosystem. Measures facilitating exports help in reducing dependence on imports and save valuable foreign exchange. This can help in achieving the vision of Atmanirbhar Bharat. The Government should adopt this approach to achieve self-sufficiency in critical sectors like EVs, batteries, Semiconductor Manufacturing etc.

General Studies Paper 2

Context

• After a gap of four years, the  Annual Status of Education Report (ASER) report for 2022 was recently released in New Delhi. This nationwide household survey that covers all rural districts in the country generates estimates for schooling and basic learning for every State in India. Data from 2018 and 2022 can be compared with longer run trends over the last decade to see how the COVID-19 years have impacted India.

Annual Status of Education Report (ASER):

• The survey is facilitated by Pratham Education Foundation, and is the oldest survey of its kind in the country.
• It uses Census 2011 as the sampling frame and continues to be an important national source of information about children’s foundational skills across the country.
• ASER 2018 surveyed children in the age group of 3 to 16 years and included almost all rural districts in India and generated estimates of foundational reading and arithmetic abilities of children in the age group 5 to 16 years.
• ASER 2019 reported on the pre-schooling or schooling status of children in the age group 4 to 8 years in 26 rural districts, it focused on the “early years”.
  • It laid emphasis on “developing problem-solving faculties and building a memory of children, and not content knowledge”.
• ASER 2020is the first ever phone-based ASER survey and it was conducted in September 2020, the sixth month of national school closures.

Data:

In 2018: The all-India rural enrolment figure for the age group 6-14 years was 97.2(ninety seven point two)%.

• In ASER 2022 data, this is now 4(ninety eight point four)%.

Reason for increase in All-India rural enrolment figure:

• Shift away from private schools to government schools.
• Efforts of many State governments to provide services even when schools were closed such as mid-day meal rations
• Teaching-learning materials shared remotely, worksheet and textbook distribution.

ASER data:

• In 2018:
  • Less than a third of all children in standard five and less than half of those in standard eight could do division in pre-COVID-19 times.
• ASER evidence suggests that basic learning levels of middle schoolchildren have remained low and stagnant for over a decade.

Significance:

• Rising enrollment means that more students can benefit for longer, sustained periods of time from schooling.

Consequences of high enrolment and completion rates:

• More and more students are going through the middle school pipeline and attending secondary schools
  • There is increased competition for post-secondary opportunities.
• Acute examination stress
• Grade inflation in school-leaving examinations
• Difficulties of gaining admission into college
• Lack of appropriate jobs for many school leavers.

How is ASER measured?

• ASER has measured foundational skills in reading and arithmetic.
• The highest reading task on the ASER tool is reading a text at Grade II level of difficulty.
• The assessment is done one on one with each sampled child in the household.
• The child is marked at the highest level that she/he can comfortably reach.
  • The same tasks are used for all children aged 5 years to 16 years.

Constitutional Provisions related to education:

• Part IV of Indian Constitution, Article 45 and Article 39 (f)of Directive Principles of State Policy (DPSP), has a provision for state-funded as well as equitable and accessible education.
• The 42nd Amendment to the Constitution in 1976moved education from the State to the Concurrent List.
• Article 21A: It provides free and compulsory education of all children in the age group of six to fourteen years as a fundamental Right in such a manner as the State may, by law, determine. The 86th Amendment in 2002made education an enforceable right under Article 21-A.
• Article 39(f): It provides that children are given opportunities and facilities to develop in a healthy manner and in conditions of freedom and dignity and that childhood and youth are protected against exploitation and against moral and material abandonment.
• Article 45: The State shall endeavor to provide, within a period of ten years from the commencement of this Constitution, for free and compulsory education for all children until they complete the age of fourteen years.
• ARTICLE 46: The State shall promote with special care the educational and economic interests of the weaker sections of the people, and in particular, of the Scheduled Castes and the Scheduled Tribes, and shall protect them from social injustice and all forms of exploitation.

Related Laws:
Right To Education (RTE) Act, 2009:

• It aims to provide primary education to all children aged 6 to 14 years and enforces education as a Fundamental Right.
• It also mandates 25% reservation for disadvantaged sections of the society.
• It states that sharing of financial and other responsibilities between the Central and State Governments.
• It lays down the norms and standards related to:

1. Pupil Teacher Ratios (PTRs)
2. Buildings and infrastructure
3. School-working days
4. Teacher-working hours.

Government Initiatives:

• National Education Policy 2020.
• Samagra Shiksha (SS) 2.0
• NIPUN Bharat Mission
• PM Poshan Scheme
• Unified District Information System for Education (UDISE).
• Performance Grading Index
• National Education Policy (NEP) 2020: It gives high priority to the acquisition of foundational literacy and numeracy skills especially for children in early grades.
• “NIPUN Bharat” (where NIPUN is National Initiative for Proficiency in Reading with Understanding and Numeracy) the government’s flagship programme designed to translate policy into practice, is beginning to have traction in many States.

Way Forward

• In the last 10 years: There have been changes such as new technologies, new knowledge domains, and new ways of operating.
  • But within our school systems, many children are reaching standard eight without being sufficiently equipped with foundational literacy and numeracy skills.
• Children must have strong foundational skills: They cannot acquire higher level skills or develop advanced content knowledge.
• ASER data shows that an “overambitious” curriculum and the linear age-grade organizational structure of Indian schools result in a vast majority of children getting “left behind” early in their school career.
• Need for in-school mechanisms for “catch up otherwise children fall further and further behind academically.
• Schools have stayed open for most of this school year: Most children are back in school, the urgency of dealing with “learning loss” is acknowledged, and we have a policy that speaks of “critical thinking” and “flexible pathways through school
• It is time to rethink and rework what happens with our children once they grow past the foundational stage of schooling.
• Much of the country’s efforts in school education are focused on ensuring strong foundations for children in the early years.
  • Middle school children also urgently need support for learning recovery and “catch up”.

General Studies Paper 2

Context:

Japan’s Prime Minister Fumio Kishida is looking beyond his country’s alliance with the U.S. to deter China, bolstering security ties with democracies from Australia to Europe.

Eurasia 

• It is the largest continental area comprising more than 90 countries in Europe and Asia.
• Covering more than 30% of the world’s continental landmass.
• Many used it as a neutral term to describe the vast landmass that connected Europe and Asia.

Despite continental continuity, Europe and Asia emerged as separate political and cultural spheres over the millennia.

Russia’s Approach 

• Russia saw itself as both a European and Asian power but had trouble becoming a part of either.
• It developed “Eurasia” and “Greater Eurasia” as new geopolitical constructs. 
• The occupation of Crimea in 2014 and the invasion of Ukraine are a product of what Putin sees as his historic mission of reuniting the “Russkiy Mir” or the Russian world. He was determined to pursue it despite the massive costs associated with the strategy.

Various Developments Linked to New Eurasia

• Japan: It is determined to build strong military partnerships with Europe.
  • Japan’s Prime Minister Fumio Kishida’s message was simple: The security of Europe and the Indo-Pacific is indivisible.
  • Japan will also build a large missile arsenal to deter China (and North Korea, whose missile capabilities have grown).
• US: At the instance of the US, the NATO summit in Madrid in June invited key Asian partners to participate.
  • The prime ministers of Australia, Japan and New Zealand as well as the president of South Korea joined the summit.
  • This is the first time that Asian leaders joined NATO deliberations.
• NATO’s engagement with Indo-Pacific issues and East Asia’s engagement with European security will continue to be new features of Eurasian geopolitics.
  • In its National Security Strategy released in 2022, the Biden Administration articulated the desire to see its allies and partners in Europe and Asia collaborate more with each other.
    • It is eager to encourage its partners, including India, to build their capabilities and strengthen regional balances of power in Europe and Asia.
  • South Korea is also joining the party by raising its profile in Europe.
    • It is selling major weapons platforms in Poland.
  • Australia, which has joined the US and UK in the AUKUS arrangement, is equally eager to bring Europe into the Indo-Pacific.
  • China -Russia Cooperation: Before Japan and South Korea turned to Europe, it was china and Russia who altered the geopolitical dynamic in Eurasia.
    • Days before he ordered his armies into Ukraine, Putin travelled to Beijing in February 2022  to sign an agreement declaring an alliance “without limits” and no “forbidden areas”.
    • Together, Putin and Xi unveiled a Eurasian alliance that they might have hoped would deliver the long-awaited coup de grace to the global hegemony of the West.

Implications for India 

• For India, the rise of Eurasia is making it harder to ride on two boats at the same time.
• Until now, India could easily hunt with the maritime coalition — the Quad — in the Indo-Pacific and run at the same time with the continental coalitions led by Russia and China.
  • This was possible so long as the maritime and continental powers were not at each other’s throats.
• But the conflict between the US, Europe, and Japan on the one hand and China and Russia on the other is now acute and shows no signs of immediate amelioration.
• On the downside, then, India’s mounting security challenges from China on the Himalayan frontier and the tightening embrace between Moscow and Beijing will mean the shadow over India’s continental strategy will become darker in the days ahead.
• On the upside, the possibilities for strengthening India’s strategic capabilities in partnership with the US and Europe as well as Japan, South Korea and Australia have never been stronger.

Conclusion 

The new dynamic presents challenges as well as opportunities for India and it is up to Delhi now to seize the emerging possibilities.

• India needs to maintain a balance between the USA and China and to a greater extent between the Indo-Pacific region and Eurasia.
• India can act as a bridge between the Indo Pacific region and Eurasia power block. For this India needs to maintain linkage with China and especially with Russia.

General Studies Paper 2

Context:

• A meeting was held between the Chief Ministers of Punjab and Haryana in the presence of the union Jal Shakti minister. The agenda of the meeting was to resolve the Sutlej-Yamuna Link Canal dispute. The dispute between Punjab and Haryana has been festering since the 1960s, and various efforts to resolve the issue have failed.

Sutlej-Yamuna Link (SYL) Dispute between Punjab and Haryana:

• 1955: The waters of the the Ravi and Beas rivers were calculated at 15.85-million-acre feet (MAF), and divided among Rajasthan (8 MAF), Undivided Punjab (7.2 MAF) and Jammu and Kashmir (0.65 MAF).
• 1966: The water dispute started in 1966, when the Punjab Reorganisation Act divided erstwhile Punjab into the states of Punjab and Haryana. The Sutlej Yamuna Link Canal, a 211-km-long proposed canal connecting Sutlej and Yamuna, was planned in 1966 after Haryana was carved out of Punjab. 121 km stretch of the canal was to be constructed in Punjab, and another 90 km in Haryana.
• 1980: Haryana completed the project in its territory by June 1980, the work in Punjab, though started in 1982, was shelved due to protests by the opposition led by Shiromani Akali Dal (SAD).
• 1982: The construction work for the SYL canal was launched by then Prime Minister in April 1982 near Kapoori village of Punjab’s Patiala district.
• 1985: In July 1985, amidst the insurgency in Punjab, the then Prime Minister signed an accord with SAD, agreeing to set up a new tribunal to assess the sharing of water. The Eradi Tribunalheaded by Supreme Court Judge V Balakrishna Eradi was set up to reassess availability and sharing of water.
• 1987: The tribunal recommended an increase in the shares of Punjab and Haryana to 5 MAF and 3.83 MAF, respectively.
• Militancy in Punjab: In August 1985, the chief of SAD was killed by militants, less than a month after signing the accord. In 1990, the Chief Engineer and a Superintending Engineer were killed by militants. The construction came to a halt.
• 1996: The Haryana government moved the Supreme Court over the issue.
• 2002-04: In 2002, the Supreme Court directed Punjab to continue work on the SYL and complete it within a year. The Punjab Government, however, moved a review against the SC order but the petition was rejected. In 2004, following orders by the SC, the Central Public Works Department (CPWD) was appointed to take over the canal work from the Punjab Government. The Punjab Assembly passed the Punjab Termination of Agreements Act(PTAA), which abrogated all its river water agreements with neighbouring States. The then President (Dr. A.P.J. Abdul Kalam) referred this Act to the Supreme Court to decide on its legality in the same year.
• 2016: The Supreme Court says that as Punjab backed out of its promise to share river water and the PTAA is invalid.
• 2020: The SC asked the Chief Ministers of Punjab and Haryana to negotiate and the Union Government to mediate between the States.

What are the arguments of two States regarding the Sutlej-Yamuna Dispute?

• Punjab: Punjab was against sharing waters of the two rivers with neighbouring Haryana, citing riparian principles, which state that the owner of land adjacent to a water body has the right to use the water, besides arguing that it had no water to share.
• According to a study by the State Government, many areas in Punjab may run dry by 2029. The State has already over-utilized its groundwater for irrigation purposes, as it a major contributor of Wheat and Paddy to the food reserves (worth INR 70,000 crore each year). According to reports, 79% of the state’s water is over-exploited. There are 109 ‘over-exploited blocks out of 1382 critical blocks, 5 ‘semi-critical’ blocks, and only 22 ‘safe’ blocks. The Government claims that sharing water with any other state is impossible in such a situation.
• Haryana: Haryana has been staking claim to the Ravi-Beas waters through the SYL Canal on the plea that providing water for irrigation was a tough task for the State. In southern parts, where underground water had depleted up to 1700 feet, there is a problem of drinking water. Haryana has been citing its contribution to the central food pool and arguing that it is being denied its rightful share in the water as assessed by a tribunal.

What are the arrangements to settle Inter-State Water Disputes?

Constitutional Arrangements

• Schedule 7 of the Constitution: It distinguishes between the use of water within a State and the purpose of regulating interstate waters. Union List: Entry 56, It gives the Union Parliament the power to formulate laws and mechanisms for regulating Interstate rivers. State List: Entry 17, States retain autonomy regarding water utilisation for purposes such as water supply, irrigation and canals, drainage and embankments, water storage and water power subject to provisions of Entry 56 of List 1 (Union List).
• Article 262: In case of disputes relating to waters, Parliament may by law provide for the adjudication of any dispute or complaint with respect to the use, distribution or control of the waters of, or in, any inter-State rivers. Parliament may, by law also provide that neither the Supreme Court nor any other court shall exercise jurisdiction in respect of any such dispute or complaint as mentioned

Statutory Arrangements

• River Board Act, 1956: The river Boards are supposed to advise on the Inter-state basin to prepare development scheme and to prevent the emergence of conflicts. Till date, no River Board has been created.
• Inter-State Water Dispute Act, 1956: If a particular State or States approach the Union Government for the constitution of the tribunal: (a)Central Government should try to resolve the matter by consultation among the aggrieved States; (b) In case, consultation does not work, then the Union Government may constitute the tribunal.

What are the reasons for persistence of Inter-State Water Disputes?

• First, the legislative powers concerning water have been distributed between the Union and the State Governments. The idea has been to ensure optimum utilisation while balancing the interests of the States. However, this approach of imprecise distribution of power between the Union and the States, has created a Federal-Jurisdictional ambiguity.
• Second, a big limiting factor is the lack of effective authority for enforcing the orders of tribunals. The Tribunal can only make an award and cannot make it binding. The Tribunals also lack the ability to punish for ‘contempt’.
• Third, Article 262 provides that the Parliament may by law prevent the Supreme Court or any other Court from exercising jurisdiction in inter-State water disputes. However, under Article 136, the Supreme Court can hear appeals against the orders of Tribunals. Thus, the Supreme Court remains the adjudicatory body along with the tribunals, creating an institutional ambiguity regarding which body is the ultimate adjudicatory power on inter-State water disputes in India.
• Fourth, critics of the system argue that the members of tribunals created for adjudicating the inter-State water disputes have been predominantly from the Judiciary. This has lead to lack of a multi-disciplinary approach to dispute settlement. They say there is not much difference between the tribunal and the bench of the Supreme Court.
• Fifth, There have been excessive delays in establishing tribunals and making awards. The right to have a dispute referred to a tribunal under the IWSDA (Inter-State Water Dispute Act) is contingent on the Union Government’s determination that the matter cannot be resolved through negotiations. The provision of negotiations inevitably delays the constitution of a tribunal.
• Sixth, Given that agriculture constitutes the primary economic activity in many parts of the country, water is a contentious issue. Inter-State disputes are exploited for political mobilization and electoral benefits. State Governments have rejected the awards of Tribunals.
• Seventh, There is a lack of data regarding water flows, seasonal variations etc. which results in ambiguities regarding availability of water, surplus water for sharing etc. In addition, seasonal variations in monsoonal rainfall sometimes create shortage of water. State Governments than argue that there is no surplus water to be shared.

What should be the approach towards settling Inter-State Water Disputes?

• First, The Sarkaria Commission has suggested that the awards of the tribunals be given the same weight as a Supreme Court Judgment.
• Second, The Government’s inability to properly handle water-related disputes is reflected in the high number of appeals to the Supreme Court. Some experts suggest that the appeal to the Supreme Court should only on procedural aspects. The awards based on expert opinions shouldn’t be questioned in the Court.
• Third, there is a need to establish a time frame for constituting the Tribunal by the Union Government. Tribunals should also try to avoid unnecessary delays in giving the award.
• Fourth, the Inter-State Council can be rejuvenated to enable it to play a more active role in settlement of such disputes.
• Fifth, Some experts have suggested that mediation, (a third party acts as an intermediary between the parties in conflict), can also be explored as a possible option for successful resolution of disputes. Example of role of the World Bank as a mediator in the Indus Water Treaty between India and Pakistan is quoted as a success of this model.
• Sixth, infrastructure should be created for better collection of the data related to inter-State river basins. Better data will provide clear picture regarding availability of waters, seasonal variations and help in the equitable distribution of water among the States.

Conclusion

• The Inter-State Water Disputes have been allowed to linger on for a long time. The politics of electoral mobilization has been one of the major factors, along with institutional infirmities in the arrangements. The Union and State Governments should put national interest above narrow parochial interests. As the pressures of climate change become evident through water stress in various regions, it becomes imperative that such disputes are settled in order to ensure optimal use of nation’s water resources.

General Studies Paper 2

Context:

• A World Bank study on air pollution concludes that about two million people die prematurely in South Asia each year. Particulate measure concentrations put nine South Asian cities among the world’s top 10 worst affected by air pollution.

World Bank study on air pollution-Striving for Clean Air: Air Pollution and Public Health in South Asia:

• Nine out of the world’s 10 cities with the worst air pollution are in South Asia.
• Concentrations of fine particulate matter (PM 2.5) in region’s most densely populated and poor areas are up to 20 times higher than what WHO considers healthy (5 µg/mᶾ).
• Causes: An estimated 2 million premature deaths in the region each year and incurs significant economic costs.

What were the objectives of report:

• This report identifies six major airsheds in the region.
• West/Central Indo-Gangetic Plain: Punjab (Pakistan), Punjab (India), Haryana, part of Rajasthan, Chandigarh, Delhi, Uttar Pradesh
• Central/Eastern Indo-Gangetic Plain: Bihar, West Bengal, Jharkhand, Bangladesh
• Middle India: Odisha/Chhattisgarh
• Middle India: Eastern Gujarat/Western Maharashtra
• Northern/Central Indus River Plain: Pakistan, part of Afghanistan
• Southern Indus Plain and further west: South Pakistan, Western Afghanistan extending into Eastern Iran.
• It analyzes four scenarios to reduce air pollution with varying degrees of policy implementation and cooperation among countries:
• Ad-hoc selection of measures
• Maximum technically feasible emissions reductions
• Compliance with WHO Interim Target 1 everywhere in South Asia
• Toward the next lower WHO Interim Target.
• It offers a roadmap for airshed-wide air quality management.

PM2.5:

• It refers to particles that have a diameter less than 5 micrometers and remain suspended for longer.
• These particles are formed as a result of burning fuel and chemical reactions that take place in the atmosphere.
• Natural processes such as forest fires also contribute to PM2.5 in the air.
• They are the primary reason for the occurrence of smog.

Analysis of PM2.5:

• Bhutan: Average PM 2.5 concentration from 2018-2020 was three times WHO prescribed limits.
• Maldives Meteorological Service warned that visibility had been reduced by 60% due to smog.

Suggestions in report:

• Asking India, Pakistan, Bangladesh and all other South Asian countries to begin talks between scientists, officials and eventually ministers and leaders
• Create a mechanism for the cooperative management of the six air sheds the region is made up of.

Issues:

• South Asian Association for Regional Cooperation (SAARC) nations are members of the Group of 77 Developing countries: under the chairpersonship of Pakistan last year already negotiated a breakthrough at the COP27 Climate Change summit at Sharm el-Sheikh

Issues in South Asia:

• India and Pakistan: Continue to point to past disputes as the reason to:
• Hold up South Asian summits such as SAARC
• block trade
• connectivity
• other avenues for cooperation

Why should India and Pakistan cooperate?

• Geopolitical challenge is pushing the region to work more closely together like:
• Climate change
• Ukraine war
• Costs of procuring energy, grain, fertilizers all soaring
• Persistent global economic recession
• More variants of the COVID-19 virus
• Terrorism: especially arising from the Taliban takeover of Afghanistan.

Solutions:

• Vasudhaiva Kutumbakam” and “diplomacy and dialogue: Can be used to resolve the conflict sound hollow when compared to India and Pakistan’s act of holding up the SAARC Summit
• India can virtually hold a special meeting for the “Global South”, with the impact of the Ukraine war on the agenda
• Convene or participate in a regional dialogue to discuss the issue, or include the regional agenda in its G-20 narrative.
• Opportunities for regional cooperation in health security are being missed.
• India has worked bilaterally with most of its neighbors to provide vaccines and COVID-19 medicines.
• Unilaterally extend copyright waivers on medical products within South Asia of the sort India has proposed.
• Terrorism: the contradictions between can be discussed at broader multilaterals, but not in the region, are manifold:

Some previous steps:

• In 2022, India and Pakistan: exchanged teams as part of the SCO Regional Anti-Terrorist Structure (RATS)
• India was part of the Financial Action Task Force grouping that let Pakistan off its terror financing “greylist”.

South Asian Association for Regional Cooperation(SAARC):

• The SAARC was established with the signing of the SAARC Charter in Dhaka on 8 December 1985.
• Founding countries—Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka.
• Afghanistan joined SAARC at the 13th annual summit in 2005.
• The Headquarters and Secretariat of the Association are at Kathmandu, Nepal.
• Cooperation within the framework of the SAARC is based on:
• Respect for the principles of sovereign equality
• Territorial integrity
• Political independence
• Non-interference in the internal affairs of other States
• Mutual benefit.
• Areas of Cooperation:

1. Human Resource Development and Tourism
2. Agriculture and Rural Development
3. Environment, Natural Disasters and Biotechnology
4. Economic, Trade and Finance
5. Social Affairs
6. Information and Poverty Alleviation
7. Energy, Transport, Science and Technology
8. Education, Security and Culture and Others

Way Forward

• Including Countries of the Association of Southeast Asian Nations, European alpine nations and China: the solution to the problems of air pollution lies in a “whole of region” approach, and is not one that any one country in the “air sheds” can resolve on its own.
• The failure to build a regional defense to the issues arising from Russia’s invasion of Ukraine and from NATO sanctions, trade ban and weapons stockpiling
• South Asia has missed the chance to position itself as an energy “cartel” commanding a better price for the region.
• Crude dependencies, Bangladesh, Pakistan and India buy more than 50% of their liquefied natural gas through the spot market.
• It indicates how vulnerable they are to global energy trends.
• In the process of rank lack of logical behavior: Any chance of coordinating or cooperating against the developing chaos in Afghanistan, and countering extra-regional terror threats are also lost for South Asia.
• Delink PM’s presence from the SAARC summit(next in Pakistan): instead have the President or the Vice-President to represent India.
• A quid pro quo could even see Pakistan send a replacement for its Prime Minister to the SCO Heads of State summit due to be held in India in June.
• It is necessary for the future to delink South Asian cooperation from the summit itself, and allow other parts of the agenda ( health, energy, women’s rights, security and terrorism) to be held even if a leadership event is not.
• Reviving SAARC by infusing political energy into it and updating its dated Charter will be an ideal way forward.

General Studies Paper 2

Context:

The Cabinet has announced that under Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), 810 million National Food Security Act (NFSA) beneficiaries will receive five kilos of free foodgrains every month in 2023.

Pradhan Mantri Garib Kalyan Anna Yojana (PMGKY):

• PMGKAY was part of the Centre’s initial COVID-19 relief
• Its nodal Ministry is the Ministry of Finance.
• Beneficiaries under National Food Security Act:
• It provides for 5 kg of rice or wheat per person per month to be distributed free of cost
• This is over and above the 5 kg already provided to ration card holders at a subsidized rate
• 35 kg per month per family for AAY(Antyodaya Anna Yojana) and 5 kg per month per person for Priority Households(PHH).
• The 80 crore cap on NFSA beneficiaries and state ration card quotas are based on 2011 census data.
• Initially: One kg of pulses was also provided under the scheme, which was later restricted to chana dal only, and then discontinued in later phases.

Issue related to it:

• A family of five can collect 25 kg for free: This is a reduction by half of the 50 kg of rice (25 kg free under the earlier PMGKAY and 25 kg at ₹3 under the NFSA).
• The repeated extensions, for 28 months, seemed to be with an eye on State elections.
• The latest readjustment: It seems politically motivated to appeal to voters in nine States that go to polls in 2023.

Flaws in the scheme:

• Ration records have not been updated since the 2011 Census — as per estimates
• More than 40% of India’s population is currently excluded from both the NFSA and PMGKAY.
• In many villages and slums, the most marginalized castes and communities, especially migrants, sex workers, the homeless and transgender persons are often without NFSA ration cards.

Steps taken:

• Tamil Nadu, Odisha, Rajasthan, Chhattisgarh and West Bengal have either universalised or substantially expanded coverage with State cards.
• The Supreme Court of India: It directs the central government to expand NFSA coverage.

Were all poor people covered under the scheme?

• Ration card: The scheme only provided grain for those families who held ration cards.
• In May and June 2020, the Centre allocated foodgrains to be distributed by States under the Atma Nirbhar Bharat scheme for stranded migrants and others without ration cards.
• DBT: The PMGKAY covers even Direct Benefit Transfer (DBT) beneficiaries.

Arguments for continuation of scheme:

• Pandemic still exists
• Unemployment remains at record levels
• Hunger: There is widespread hunger among vulnerable communities.

Way Forward

• Squeezing the 100 days of work guaranteed under the National Rural Employment Guarantee Act (NREGA): This employer of the last resort scheme is being systematically undermined by acute Budget cuts, delayed payments and technological hurdles.
• Study of scheme: The central authorities should commission a study and make its findings public. Just as it did in the initial months of the pandemic.
• It should be the basis for updating the database of foodgrain-drawing card holders, scrutinizing the data critically and zeroing in on the needy.
• Need to go beyond the mandate of the NFSA: as is being done under the PMGKAY, the government can supply the foodgrains at a reasonable price.
• Rules on quota: To keep the budgetary allocation under control, rules on quota for rice or wheat can be changed suitably.

Diversion from PDS: central and State authorities need to ponder over the scheme’s continuance, given the chronic problem of diversion from the Public Distribution System (PDS).

General Studies Paper 3

Context

• The supply of critical imports were disrupted by the Russia Ukraine war and the prices of such imports increased sharply, derailing many economies.

Fiscal policy:

• The fiscal policy is concerned with the raising of government revenue and Government Budget increasing expenditure.
• To generate revenue and to increase expenditures, the government finance or policy called Budgeting policy or fiscal policy
  

The major fiscal measures are:

• Public Expenditure
• Taxation
• Public Borrowing

India’s economic condition:

• India’s performance was relatively better than many other countries, the return to normalcy has been delayed.
• India’s GDP at the end of the present fiscal year will only be 57(eight point five seven)% higher than its level in 2019-20, giving an average of 2.86% for three years.

Growth performance:

• Real Gross Value Added (GVA)(2002-23):It is estimated to grow by 7(six point seven)%.
  • sectoral decomposition indicates that every output sector has turned positive as compared to the corresponding magnitudes in the pre-COVID-19 year of 2019-20.
• Nominal GDP(2023-24): It may be close to ₹300 lakh crore.
  • Real growth in the second half of 2022-23is only 5(five point five)% as per the advance estimates.
• The policy response to the COVID-19 shock: There was a sharp increase in the Centre’s fiscal deficit to 2(nine point two)%of the GDP.
  • More than three times the original Fiscal Responsibility and Budget Management Act (FRBM) norm of 3%.
• Fiscal deficit: In the two succeeding years, the fiscal deficit could be reduced to 7(six point seven)% and 4(six point four)%, respectively.

Challenges to India’s growth prospects:

• The Organization for Economic Co-operation and Development(OECD): It has projected a growth rate of 2(two point two)%for the global economy in 2023
  • India: 5.7(five point seven)% in 2023-24.
• The International Monetary Fund:
  • Global growth: 2.7(two point seven)%
  • India’s growth: 1(six point one)%.
• India may be able to achieve a growth in the range of 6-6.5(six point five)% in 2023-24, provided significant policy support is given to growth.

India’s Fiscal prospects:

• Growth in the Centre’s Gross Tax Revenues (GTR) in 2023-24would be less than that in 2022-23.
  • Because of an expected fall in both real GDP growth and deflator-based inflation.
• Together with non-tax revenues and non-debt capital receipts: total resources available to the Central government would be nearly ₹28.3(twenty eight point three)lakh crore.

Way Forward

• With 2023-24 being the first genuine post COVID-19 normal year: It would be best to spell out a convincing path towards the prescribed fiscal deficit ratio of 3%.
  • This calls for a total adjustment of 3.4(three point four) percentage points of GDP.
• The need for correction in the government’s fiscal deficit because of the relative profile of savings and investment as a proportion of GDP.
• Financial savings along with net inflow of foreign capital provide the extent of surplus available for the potential net deficit sectors in the economy.
• Target a reduction of 0.7(zero point seven)% point in fiscal deficit in 2023-24 compared to 2022-23
  • The resultant fiscal deficit of 7(five point seven)% of GDP would imply availability of investible resources of 1(one point one)% of GDP for both the private corporate sector and the non-government public sector.
• Finance by household sector financial savings of about 8% of GDP and net inflow of foreign capital of 3(two point three)% of the GDP.
  • It will not put any additional pressure on interest rates
  • It would be ideal for sustaining a robust medium-term growth with price stability.
• Bringing down fiscal deficit and charting out a glide path are essential for maintaining price stability.
  • The pressure on the Reserve Bank of India (RBI) to expand reserve money will come down.
• A careful calibration would be required for limiting revenue expenditure growth in order to retain space for capital expenditure to grow adequately with a view to supporting growth.