General Studies Paper-3

Context:  The Government has decided not to extend the PLI Scheme beyond the existing 14 sectors.

• Despite initial success in some areas, the scheme underperformed in others and saw delays in incentive payouts.
• Out of the $23 billion allocated, only $1.73 billion (8%) has been disbursed as of October 2024.
• $151.93 billion worth of goods have been produced under the scheme—just 37% of the original target. Firms like Foxconn, Reliance, and Adani faced delays, unmet targets, or non-compliance.
• Hence, the government has declined requests to extend production deadlines or add new sectors to the scheme.

About the PLI Scheme

• Lauch: In 2020 under the Ministry of Commerce & Industry with an outlay of ₹97 lakh crore.
• Sectors Included: It covers 14 sectors (Mobile, Pharma, Auto, ACC Battery, Telecom, White Goods, Solar, etc.)
• Objectives: It offers incentives to eligible firms on incremental sales for five years as part of the Make in India initiative.
• It aims to reduce India’s dependence on foreign countries like China and increase employment in labor-intensive sectors.

Raise manufacturing’s share in GDP to 25% by 2025

• Incentive Mechanism: 4–6% on incremental sales over a base year.
• Applicable to both domestic and foreign companies registered in India.

Benefits of PLI Scheme

• Electronics Success: India produced $49 billion worth of mobiles in FY 2023–24; Apple now manufactures high-end models in India.
• Pharmaceutical Growth: Exports nearly doubled to $27.85 billion from a decade ago.
• Boosted FDI inflow, helped develop core industries, and supported India’s ‘China Plus One’ strategy.
• Encouraged production in strategic sectors (e.g., semiconductors, solar modules).

Issues and Concerns

• Low Disbursement: Only 8% of incentives disbursed despite meeting targets.
• Delays in Subsidies: They are not released on time, eventually affecting cash flow.
• Unmet Targets: Many firms failed to initiate or scale up production.
• Red Tapism: Bureaucratic hurdles and rigid compliance conditions.
• No GDP Boost: Manufacturing share fell from 15.4% to 14.3% (2020–2024).

General Studies Paper-2

Context: Public Accounts Committee (PAC), led by K.C. Venugopal, criticized the Tourism Ministry for poor execution of the Swadesh Darshan scheme.

About

• The panel was reviewing a report of the Comptroller and Auditor General on the scheme.
• Despite the Ministry of Tourism’s claims of completion for most of the sanctioned projects, the panel found substantial discrepancies.

Swadesh Darshan

• The Ministry of Tourism launched its  flagship scheme of  ‘Swadesh Darshan’ in 2014-15.
• The Ministry has now revamped it as Swadesh Darshan 2.0 with the objective to develop sustainable and responsible destinations following a tourist & destination centric approach.
• Theme-Based Tourist Circuits: It identifies various thematic circuits based on specific themes such as:
• Spiritual circuits (e.g., Char Dham Yatra, Buddhist circuit)
• Cultural circuits (e.g., North East Circuit, Tribal Circuit)
• Heritage circuits
• Wildlife circuits
• Coastal circuits
• Funding: The Ministry of Tourism allocates funds to various states and Union Territories for the development of these circuits.

Key issues raised

• Lapses in Planning: No feasibility studies conducted before project launch.
• Financial Mismanagement: Budget overruns due to poor planning; approvals granted without Detailed Project Reports (DPRs).
• Weak Monitoring: No formal mechanism for project evaluation or approval; several projects delayed or incomplete.
• Tourism Ministry’s Claim vs. Reality: The Ministry of Tourism claimed that 75 out of 76 projects were completed, but the committee found that several projects, including the Kanwaria route in Bihar, Tribal circuit in Telangana, and Sree Narayana Guru Ashram in Kerala, remained incomplete or non-functional.

Way Ahead

• The committee has instructed the Ministry of Tourism to conduct physical inspections of all the projects and provide a comprehensive report within three weeks.
• The committee also asked for details on how the scheme impacted employment generation and how it affected tourist footfall, as these were key indicators of the scheme’s success.

General Studies Paper -2

Context: The demand for skilled public health professionals faces numerous challenges, ranging from a lack of standardization in training to limited job opportunities for graduates.

About the Public Health Education in India

• Evolution: Dates back to the colonial era when the focus was primarily on epidemic control.
• 1932: Establishment of institutions like the All India Institute of Hygiene and Public Health (AIIHPH), shift toward systematic public health training.
• Post-independence Era: Institutions such as the National Institute of Health and Family Welfare (NIHFW) and various medical universities expanded their curriculum to include public health as a specialized field.
• Current Framework:
• Undergraduate Programs:
  • Bachelor of Public Health (BPH): A foundational course that provides knowledge on epidemiology, health policies, and community health.
  • MBBS with Community Medicine Specialization: A component of the medical curriculum that introduces students to public health concepts.
• Postgraduate and Doctoral Programs:
  • Master of Public Health (MPH): A specialized program available at institutions like AIIMS, TISS, and IIPH, covering epidemiology, health systems, and policy-making.
  • MD in Community Medicine: Focuses on research, preventive medicine, and health administration.
  • D. in Public Health: Offered by universities to promote in-depth research on healthcare challenges in India.
• Short-Term and Online Courses: To cater to working professionals, various organizations, including the Indian Institutes of Public Health (IIPH) and IGNOU, offer diploma and certificate courses in health management, epidemiology, and nutrition.
• India has seen a 60% increase in institutions offering public health education over the past decade.

Key Institutions Providing Public Health Education

• All India Institute of Hygiene and Public Health (AIIHPH), Kolkata
• Public Health Foundation of India (PHFI) and Indian Institutes of Public Health (IIPH)
• Tata Institute of Social Sciences (TISS), Mumbai
• AIIMS (All India Institute of Medical Sciences), New Delhi
• National Institute of Epidemiology (NIE), Chennai

Key Challenges With Public Health Education in India

• Lack of Awareness and Recognition: Public health is often overshadowed by clinical medicine, leading to fewer enrollments in MPH programs.
• Limited awareness about career opportunities in public health discourages students from pursuing this field.
• Shortage of Faculty and Infrastructure: Many institutions struggle with inadequate faculty trained in public health.
• Infrastructure in public health training centers, especially in rural areas, remains underdeveloped.
• Gaps in Curriculum and Practical Training: The curriculum often lacks integration with real-world challenges, resulting in graduates with theoretical knowledge but limited practical exposure.
• Limited fieldwork and internship opportunities affect hands-on learning.
• Regional Disparities: Most renowned public health institutions are concentrated in urban areas, leaving rural and remote regions underserved.
• Accessibility and affordability of quality education remain a concern for students from marginalized communities.
• Lack of Standardization: Public health education in India lacks a standardized curriculum, leading to inconsistencies in the quality of training across institutions. It affects the preparedness of graduates to address real-world health challenges.
• Lack of Health Professionals: According to a report by the National Health Systems Resource Centre (NHSRC), India needs over 1.5 million trained public health professionals to address the growing healthcare needs, especially post-pandemic.
• WHO estimates that India has only one public health professional for every 10,000 people, highlighting the need for more trained professionals.

Efforts Related To Public Health Education in India

• Allocations (Union Budget 2024-25):
• Increased Allocation for Health: ₹23 lakh crore for the Ministry of Health and Family Welfare (MoH&FW).
• Focus on Public Health Education that includes the establishment of new medical colleges and the upgradation of existing institutions to address the shortage of healthcare professionals.
• Digital Health Initiatives including telemedicine and digital health records, to improve accessibility and efficiency.
• Continued Support For National Health Mission (NHM)
• Literacy and Digital Health Education:
• National Digital Health Mission (NDHM) aims to digitize health records and improve public awareness about diseases and treatments.
• Mobile-based apps like Arogya Setu, eSanjeevani, and MyGov Health have helped disseminate health information.
• Internet penetration in rural India has increased to 38%, improving digital health education access.
• Public Awareness Programs and Campaigns like Mission Indradhanush, National Tobacco Control Program (NTCP).
• Mental Health Awareness under the National Mental Health Program (NMHP).

Opportunities and Future Prospects

• Government Initiatives and Policy Support: The National Health Policy (2017) emphasizes the need for public health training and research.
• Ayushman Bharat and the National Health Mission (NHM) have created demand for trained public health professionals.
• Growth of Online and Distance Learning: Platforms like SWAYAM and initiatives by IGNOU provide affordable online public health courses, making education more accessible.
• Expansion of Research and International Collaborations: Collaborations with global public health institutions such as WHO, Johns Hopkins Bloomberg School of Public Health, and Harvard TH Chan School of Public Health are improving research quality in India.
• Emerging Career Opportunities: Public health graduates are increasingly being recruited by government health departments, NGOs, international organizations (WHO, UNICEF), and private healthcare firms.

Way Forward

• Standardization of Curriculum: Establishing a central regulatory body, such as a Public Health Education Council, can ensure uniform training standards and faculty qualifications across institutions.
• Expansion of Institutions: Setting up public health schools in underserved regions can improve access to education and address regional disparities.
• Integration of Practical Training: Incorporating mandatory internships and fieldwork in government health programs can enhance the practical skills of students.
• Creation of Public Health Jobs: Introducing State Public Health Cadres and increasing recruitment in government health systems can provide dedicated employment opportunities for graduates.
• Encouraging Private Sector Participation: Incentivizing private hospitals and industries to hire public health professionals can expand job opportunities and foster collaboration between sectors.
• Increased Funding: Allocating more resources to public health education and research can strengthen the sector and support the development of a skilled workforce.

Conclusion

• The challenges facing public health education in India are significant but not insurmountable.
• By addressing issues such as standardization, funding, and job creation, the country can build a strong public health workforce capable of meeting its healthcare needs.
• A collaborative approach involving the government, academia, and the private sector is essential to achieve this goal and ensure a healthier future for all.

General Studies Paper -2

Context: NASA reported that global sea levels rose faster than expected in 2024, reaching 0.59 cm per year, surpassing the anticipated 0.43 cm.

Global Mean Sea Level

• Global mean sea level provides an integrative measure of the state of the climate system, encompassing both the ocean and cryosphere (ice covered portions of Earth).
• It is the average height of the entire ocean surface.
• It is a key indicator of climate change, reflecting changes in both the ocean and ice-covered regions.

Causes of Global Mean Sea Level changes

• Ice Melt: Warming causes ice sheets and glaciers to melt, adding freshwater to the ocean.
• Thermal Expansion: As oceans absorb heat, water expands, raising sea levels.
• In 2024, thermal expansion contributed to two-thirds of the rise, a shift from previous years when melting ice was the dominant factor.
• It was also the warmest year on record, with Earth’s oceans at their highest levels in three decades. Since 1993, global sea levels have risen by 10 cm, with the rate of rise more than doubling.
• Land Water Storage: Changes in water storage on land, such as groundwater pumping or dam building, can alter the amount of water in the ocean.
• Climate change is the primary driver of global sea level rise.

Effects of Global Sea Level Rise

• Threatens infrastructure, including roads, bridges, and buildings, leading to increased repair costs.
• Causes more frequent and severe coastal flooding, exacerbating erosion and saltwater intrusion into freshwater supplies.
• Endangers coastal ecosystems (e.g., mangroves, coral reefs) and displaces people in low-lying areas, causing social and economic challenges.
• Economic and Social Impacts: Rising seas lead to higher costs for coastal protection (e.g., sea walls) and infrastructure repairs.
• Displacement of communities and loss of livelihoods (tourism, fishing, agriculture) due to coastal flooding and erosion.
• Disrupts economic activities and places strain on social services, especially in vulnerable regions.

Countries Most Affected by Rising Sea Levels:

• High-Risk Countries: Bangladesh, China, India, and the Netherlands are highly vulnerable.
• Pacific Island Nations: Kiribati, Tuvalu, and the Marshall Islands face extreme risks due to high exposure to storms and sea-level sensitivity.

What can be done to counter sea level rise?

• Reduce Greenhouse Gas Emissions: The most important action is to slow global warming by cutting emissions, the primary cause of climate change and sea level rise.
• Mitigation and Adaptation: Build infrastructure like sea walls and storm surge barriers to protect against flooding and erosion.
• Improve drainage systems and construct flood-resistant buildings.
• Restore natural barriers like mangroves, wetlands, and coral reefs to absorb wave energy and reduce storm surge impacts.
• Disaster Risk Reduction: Strengthen disaster risk reduction plans and enhance early warning systems, supported by the UN, to address sea level-related incidents.
• In some cases, relocate communities from vulnerable coastal areas as part of adaptation strategies.

General Studies Paper -2

Context: The ongoing trade war between the United States and China has caused significant global economic turbulence, influencing everything from tariffs on goods to the financial markets and international relations.

What is a Trade War?

• A trade war occurs when nations impose tariffs or trade barriers against each other in retaliation for perceived economic harm or unfair trade practices.
• It disrupts global supply chains, increases production costs, and impacts economic growth worldwide.

Background

• The US-China trade war began in 2018 when the US, under President Donald Trump, accused China of unfair trade practices.
• The US imposed tariffs on Chinese goods, leading to countermeasures from China. This escalation affected trade worth over $450 billion.
• India also got caught in the US-China trade war, facing tariffs on steel and aluminum exports and losing its Generalized System of Preferences (GSP) status in 2019.
• In February 2025, President Trump reintroduced a 10% tariff on all Chinese imports, prompting China to retaliate with its own set of tariffs.
• Trump’s reciprocal tariff policy is set to take effect from April 2.
• Trump’s policy aims to balance trade by imposing tariffs on countries that impose high tariffs on US goods.
• The policy is designed to reduce the US trade deficit and generate tariff revenue.

Global impact of Trade War

• Stock Market Volatility: Trade wars create uncertainty, leading to fluctuating stock prices. Investors react sharply to tariff announcements, impacting market stability worldwide.
• Supply Chain Disruptions: Tariffs increase production costs, forcing companies to rethink supply chains. Businesses look for alternative suppliers, leading to relocation of manufacturing hubs.
• Currency Fluctuations: As investors seek safer assets, emerging market currencies often depreciate, increasing import costs and inflationary pressures in developing economies.
• Commodity Price Swings: Trade wars can disrupt global demand for raw materials like oil, metals, and agricultural products, leading to price instability.
• Shifts in Trade Alliances: Countries seek new trading partners to mitigate tariff impacts. Regional trade agreements and economic blocs often gain prominence during such periods.

Negative Impact on India

• Electronics and Gadgets: Indian manufacturers depend on Chinese components for smartphones, laptops, and appliances. Disruptions in supply chains may lead to higher prices and shortages.
• Pharmaceuticals: Around 70% of India’s raw materials (APIs) for medicines come from China. Any delay or price hike in these imports will raise the cost of essential medicines.
• Automobile Industry: India’s auto sector relies on Chinese spare parts. Trade disruptions could slow production, increase costs, and extend delivery timelines.
• Stock Market and Currency: During the last trade war, foreign investors withdrew ₹33,000 crore from Indian markets, and the rupee depreciated by 9.5%, making imports costlier.

Positive Impact on India

• Rise in Exports: Indian exporters gained from the trade diversion as US buyers looked for alternatives to Chinese goods. Sectors like textiles, chemicals, and electronics saw increased demand.
• Boost to Indian IT Sector: US companies, reducing reliance on Chinese tech, outsourced more work to Indian firms, benefiting the IT industry.
• Agricultural Exports: India took advantage of China reducing US agricultural imports in 2018 by increasing soybean and other crop exports.

Way Ahead

• Geopolitical Strategy: India must navigate the US-China trade tensions carefully while securing its own economic interests through diplomacy and trade partnerships.
• Diversifying Supply Chains: Reducing reliance on China by strengthening domestic manufacturing under initiatives like ‘Make in India’ and boosting alternative supplier networks.
• Strengthening Trade Agreements: India should negotiate favorable trade deals with the US, ASEAN, and EU to capitalize on shifting trade dynamics.

Concluding Remarks

• Trade wars might seem like distant problems involving big governments, but their effects trickle down to everyday life.
• The global economy is more connected than ever. When two giants like the U.S. and China clash, the rest of the world, especially countries like India, feels the impact.
• While some sectors might find opportunities, overall uncertainty tends to slow down growth and affect livelihoods.
• The US is India’s largest trading partner, so India must accommodate US interests to maintain a good relationship.

General Studies Paper -2

Context: Rajeshwari Deshpande’s study, ‘Shaping of the Woman Constituency in Indian Elections: Evidence from the NES Data’ analyses political participation of women in India.

Major Highlights of the Study

• Voting Behavior & Agency: Women’s voting patterns and choices are often overlooked, with political parties treating them as a homogeneous group and not considering factors like caste, class, and religion.
• Welfare Programs: Political parties often frame women as passive beneficiaries of welfare programs like Ujjwala and Pradhan Mantri Awas Yojana, reinforcing a dependent image.
• Voting vs Political Power: Despite increased turnout, women’s political participation remains limited beyond voting.
• Women lag behind men in other forms of political participation like rallies, campaigns, and policy advocacy, facing social and structural barriers.
• Male Migration Impact: In states with large-scale male migration, women’s voter turnout has increased, especially in socially and economically ‘backward’ areas.
• State-Specific Voting Patterns: In states with strong regional parties (e.g., Tamil Nadu, Kerala), women’s preferences align more with regional movements rather than national gender-based trends.

Women’s Political Participation in India

• Unlike many countries where the gender gap in political participation began narrowing in the 1990s, India saw this shift only in the 2010s.
• In the 2019 general elections, female voter turnout slightly exceeded male voter turnout, with women making up 49.5% of the electorate.
• In the 2024 Lok Sabha elections, women had a slightly higher voting percentage (65.8%) compared to men (65.6%).
• Women, especially in rural areas, are becoming more politically conscious, active, and involved in village-level decision-making.

Global Goals

• Women’s equal participation and leadership in politics are crucial for achieving the Sustainable Development Goals (SDGs) by 2030.
• SDG 5 focuses on gender equality and women’s empowerment.
• Balanced political participation and power-sharing between women and men in decision-making is a key target set in the Beijing Declaration and Platform for Action.

Factor’s Influencing Women’s Political Participation

• Socio-Cultural Norms: Traditional gender roles and cultural expectations often limit women’s public and political involvement.
• Education and Literacy: Higher literacy rates and education levels empower women to participate more actively in politics.
• Economic Independence: Women’s workforce participation and economic independence can boost their political agency.`
• Caste, Class, and Religion: Women’s political choices are shaped by their caste, class, and religious identities, influencing their voting behavior and party affiliations.
• Political Party Strategies: The outreach and engagement of political parties with women through targeted policies or welfare schemes impact their participation.
• Social Movements: Women’s involvement in social movements and activism can strengthen their engagement in formal politics.
• Regional and State-Specific Factors: Regional political contexts, including the strength of local parties and issues specific to states, can shape women’s political behavior.

Conclusion

• The decentralization of governance which is taking place for the last two decades has increased the importance of measuring participation of women in decision making.
• Proper gender budgeting has already been worked out for inclusive growth of women.
• With more responsive data on women participation, better gender budget initiatives aim to move the country towards a gender equal society.

General Studies paper -2

Context: In India, the need for electoral reforms has become increasingly evident to address challenges such as voter fraud, criminalization of politics, and the influence of money power.

Key Challenges in the Current Electoral System

• Criminalization of Politics: A significant number of elected representatives face criminal charges, raising concerns about the integrity of the political system.
  • According to reports from the Association for Democratic Reforms (ADR), a substantial percentage of MPs and MLAs have pending criminal cases against them.

• Influence of Money Power: Excessive election spending and the lack of transparency in political funding undermine the democratic process.
  • Reforms are needed to cap expenditures and promote accountability in campaign financing.
• Voter Fraud and Electoral Roll Issues: Allegations of duplicate voter IDs and manipulation of electoral rolls highlight the need for robust mechanisms to maintain the integrity of voter lists.
• Misuse of Technology: While Electronic Voting Machines (EVMs) and Voter Verifiable Paper Audit Trails (VVPATs) have enhanced efficiency, concerns about their security and transparency persist.
  • Reforms can address these issues by improving verification processes.
• Inappropriate Campaign Practices: The use of divisive rhetoric, false claims, and appeals to caste or communal identities during campaigns undermines the spirit of democracy.
  • Stricter regulations are required to ensure ethical campaigning.
• First-Past-The-Post System (FPTP) and Representation Issues: India follows the FPTP system, where the candidate with the most votes wins, even if they do not secure an absolute majority.
  • It leads to situations where a candidate winning with just 30-40% of votes represents the entire constituency, raising concerns about true democratic representation.
• Delimitation and Representation: It raised concerns about potential shifts in political power between regions, especially among southern states.

Key Recent Electoral Reforms in India

• 52nd Amendment Act (1985): Anti-Defection Law & introduction of Tenth Schedule to the Constitution, aiming to curb political defections by disqualifying defectors from holding public office.
  • 91st Constitutional Amendment Act (2003): Aimed to curb political defections by limiting the size of ministerial councils and enforcing anti-defection laws.
• 61st Constitutional Amendment Act (1988): Lowering of Voting Age from 21 to 18, expanding democratic participation.
• 73rd Constitutional Amendment Act (1992): Strengthened local governance by institutionalizing Panchayats, ensuring direct elections and reserved seats for marginalized communities and women.
• Introduction of EVMs: To improve the voting process’s efficiency and reduce electoral fraud, EVMs were introduced in Indian elections.
• Ceiling on Election Expenditure: Limits have been set on election expenditures to promote fair competition among candidates.
• Provision of NOTA (None of the Above): Introduced in 2013, the NOTA option allows voters to reject all candidates if they find none suitable.
• Systematic Voters’ Education and Electoral Participation (SVEEP): It is a flagship programme of the ECI to promote voter education and participation in elections.
• One Nation, One Election: It advocates simultaneous elections for the Lok Sabha and state assemblies to reduce costs and governance disruptions.
• Delimitation Exercise: Plans to redraw parliamentary constituencies based on new population data aim to ensure equal representation.

Proposed Electoral Reforms

• Decriminalization of Politics: The Supreme Court has repeatedly emphasized the need for decriminalizing politics.
  • Disqualifying candidates with serious criminal charges and fast-tracking cases against politicians can enhance the credibility of the electoral process.
• Transparency in Political Funding: Introducing measures such as state funding of elections and mandatory disclosure of donations can reduce the influence of money power.
• Proportional Representation System: Replacing or modifying the FPTP system with a proportional representation model can ensure fairer representation of diverse political ideologies.
  • It can help in reducing the monopoly of dominant parties and make elections more inclusive.
• Strengthening the Election Commission of India (ECI): EC should be given more autonomy and legal authority to act against electoral malpractices.
  • The process of appointing ECs should be transparent and independent of political influence.
• Strengthening Voter Verification: Linking Aadhaar with voter IDs, while addressing privacy concerns, can help eliminate duplicate entries and ensure accurate electoral rolls.
• Mandatory Internal Democracy in Political Parties: The Representation of the People Act should be amended to ensure democratic functioning within political parties.
  • Regular elections within parties and term limits for leadership positions should be mandated to promote fresh and dynamic leadership.
• Improving EVM and VVPAT Systems: Conducting random audits and increasing the sample size for VVPAT verification can enhance public confidence in the voting process.
• Regulating Campaign Practices: Enforcing stricter penalties for hate speech, misinformation, and unethical practices can promote fair and issue-based campaigning.
• One Nation, One Election: Concerns about its impact on federalism and regional representation persist.

Recommendations: Committees & Commissions

• Dinesh Goswami Committee (1990): On election expenses, voter IDs, and transparent political funding.
• Indrajit Gupta Committee (1998): Advocated for state funding of elections.
• Vohra Committee (1993): Criminalization of politics and the nexus among criminals, politicians, and bureaucrats in India.
  • Agencies, including the CBI, IB, RAW, had unanimously expressed their opinion that the criminal network was virtually running a parallel government.
• 244th Report of Law Commission of India: It said that in the 10 years since 2004, 18% of the candidates contesting either national or State elections had criminal cases against them (extensive criminal backgrounds).
• Ram Nath Kovind Panel: It suggested 15 amendments including insertion of a new Article 82A and Amendment of Article 327.
  • It was supported by the Election Commission in 1983 itself.
• TS Krishnamoorthy: It has suggested a ‘National Election Fund’ as an alternative for election funding.

Conclusion

• Electoral reforms are not just necessary but urgent to safeguard the democratic fabric of India.
• By addressing systemic challenges and ensuring transparency, accountability, and inclusivity, these reforms can strengthen public trust in the electoral process.
• A collaborative effort involving the Election Commission, political parties, and civil society is essential to realize the vision of a truly representative democracy.

General Studies paper -3

Context: Information Technology (IT) major Infosys is eyeing opportunities in India’s space tech sector and has put forward its name as a contender to build and launch satellites.

About

• India’s space sector has traditionally been dominated by ISRO, but recent policy changes are opening the sector to private enterprises and startups.
• The Indian space economy is projected to grow at a 48% CAGR over the next five years, reaching $50 billion.
• The privatization of the Indian space sector aims to boost innovation, attract private investment, reduce dependence on imports, and strengthen India’s position as a global space power.
• The establishment of IN-SPACe (Indian National Space Promotion and Authorization Centre) is a landmark step, enabling private enterprises to participate in satellite launches, space-based services, and even deep-space missions.

Why is Privatization of the Indian Space Sector Necessary?

• Increasing Demand for Space-Based Services: India’s space industry is growing rapidly, with demand for satellite-based services exceeding ISRO’s capacity.
  • The private sector’s involvement is essential to meet the demand for satellite communications, remote sensing, and geospatial intelligence.
• Reducing Import Dependency: India’s import costs in space technology are 12 times higher than its exports (2022-23). Major imported items include high-strength carbon fibers, space-qualified solar cells, and electronic components.
  • Encouraging private manufacturing can help develop indigenous space-grade materials.
• Freeing ISRO to Focus on Core Missions: Privatization allows ISRO to shift focus towards interplanetary missions, space research, and national security projects.
  • Private players can take over commercial satellite launches and operational aspects of space technology.
• Enhancing Global Competitiveness: Countries like the United States, Russia, and China have successfully leveraged private enterprises to reduce costs and enhance efficiency.
  • Companies like SpaceX, Blue Origin, and Arianespace have transformed space commercialization.
  • India’s private space firms must evolve to compete globally and contribute to the $450 billion global space economy.
• Utilizing India’s Human Capital: India produces over 1.5 million engineers annually.
  • India’s space economy is projected to grow at 48% CAGR and reach $50 billion by 2028.
• Risk Sharing: Space exploration involves high costs and risks. Public-Private Partnerships (PPPs) can distribute costs, reducing financial pressure on the government.

Major Reforms in the Privatization of India’s Space Sector

• Indian Space Policy 2023: Allows private firms to engage in satellite launches, R&D, and exploration.
• Establishment of IN-SPACe: Acts as a single-window agency to regulate and facilitate private sector participation.
  • Grants private players access to ISRO’s launch facilities, R&D centers, and satellite data.
• Creation of NewSpace India Limited (NSIL): Handles the commercial operations of ISRO, such as satellite launches and transponder leasing.
  • Focuses on monetizing ISRO’s technologies through partnerships with private companies.
• FDI Policy Reforms:74% Foreign Direct Investment (FDI) allowed in satellite manufacturing and operations.
• 49% FDI allowed in launch vehicles, spaceports, and associated systems.
• Supporting Space Startups: Over 200 space startups are working in India, developing launch vehicles, satellite services, and space applications.
  • Vikram-S Rocket: India’s first private rocket, launched by Skyroot Aerospace.
  • Agnikul Cosmos: Developed the world’s first 3D-printed rocket engine.
  • OneWeb India: First company approved by IN-SPACe for satellite broadband services.
• Encouraging Global Collaborations: Indian companies can partner with international space agencies and corporations for knowledge sharing.
  • Example: ISRO’s collaboration with NASA and JAXA for joint lunar and Mars missions.
  • Atal Tinkering Lab (ATL) Space Challenge: Encourages school students in space innovation.

Challenges and Concerns in Private Sector Participation

• Regulatory and Legal Gaps: No dedicated space law to govern private sector operations.
  • Multiplicity of regulations (ISRO, DoS, NSIL, Antrix, IN-SPACe) causes bureaucratic hurdles.
• National Security Risks: Sensitive technology transfer risks due to increased private participation.
  • Strict cybersecurity policies are needed to protect satellite data.
    • Intellectual Property (IP) Issues: Lack of clear IP laws for space technologies may discourage private R&D.
  • Private firms fear technology leakage or misuse of ISRO’s research.
• Funding and Investment Constraints: Space projects require high capital investments and long incubation periods.
  • Private investors prefer short-term gains in sectors like 5G and fintech.
• Dependence on Government Infrastructure: Private firms rely on ISRO’s launch facilities, labs, and ground stations.
  • High costs of developing private infrastructure hinder independent growth.
• Market Saturation & Competition: Too many players entering the sector could cause instability.
  • Smaller startups may struggle to compete with large corporations.
• Environmental and Space Debris Issues: Increase in satellite launches could worsen space debris problems.
• Sustainable space policies are needed to manage deorbiting and recycling of satellites.

Way Ahead

• Enactment of a Space Activities Act: Define private sector roles, liability frameworks, and investment policies.
• Development of Indigenous Capabilities: Invest in domestic manufacturing of propulsion systems, AI-driven satellite tech, and 3D-printed components.
• Building Private Launch Infrastructure: Encourage private launchpads and testing centers to reduce dependency on ISRO.

General Studies Paper-3

Context: Tamil Nadu’s mangrove forest cover has nearly doubled from 4,500 ha in 2021 to 9,039 ha in 2024, due to new plantations and preservation of existing mangroves.

Mangroves

• Mangroves are salt-tolerant plants found in tropical and subtropical intertidal regions, providing refuge for coastal biodiversity and acting as bio-shields against extreme climatic events.
• They are adapted to thrive in coastal regions with brackish water and wet, loose soil.
• They have tangled prop roots that help them survive tides and capture sediments while slowing water flow.

Importance

• Climate Change Mitigation: Mangroves stabilize coastlines, reduce erosion, encourage biodiversity, and protect coastal communities from sea-level rise and natural disasters.
• Carbon Sinks: Mangroves store carbon at up to four times the rate of terrestrial forests, making them vital for achieving net zero emissions .
• Ecosystem and Habitat Support: Mangroves support interconnected terrestrial, freshwater, and marine habitats, including species like Royal Bengal Tigers and river dolphins.
  • They capture sediments, create fertile lands, and help marine life thrive by making water clearer.
• Disaster Risk Reduction: Mangroves act as the first line of defense against tropical storms, cyclones, and hurricanes, slowing down winds and minimizing land impact.
• Socio-economic Importance: Mangroves provide critical jobs and protein for millions of small-scale fishers worldwide
  • They are also important for sustainable timber and fuelwood collection.

Threats

• The mangrove ecosystem faces pressures from population growth, land demand, and the need for resources like timber, fodder, fuel-wood, and fisheries.
• Aquaculture and fisheries obstructing tidal flow are significant threats to mangrove ecosystems.
• Agricultural and industrial activities in Coastal Regulation Zone areas have led to mangrove destruction.

Steps

• MISHTI Initiative: The government’s MISHTI initiative, aiming for large-scale mangrove plantation,is implemented through the MGNREGS, CAMPA Fund, and other sources.
  • The MISHTI initiative aligns with India’s Nationally Determined Contributions to create an additional 2.5-3 billion tonnes of carbon dioxide equivalent carbon sink by 2030.
• Mangrove Alliance for Climate : India joined the Mangrove Alliance for Climate at the 27th Conference of the Parties in Egypt to address climate change.

Suggestions and Way Forward

• Mangroves play a crucial role in global conservation efforts by storing significant amounts of carbon, helping mitigate climate change and reducing greenhouse gas emissions.
• Mangroves are key guardians of coasts and essential for the environment and communities, making their conservation a necessary priority.
• There is a need to promote sustainable livelihoods such as eco-tourism and carbon credit programs, as well as district-specific planning for the preservation and expansion of mangrove ecosystems.

General Studies Paper-2

Context: The revision of India’s model Bilateral Investment Treaty (BIT) text, as announced in the Union Budget 2025, aims to make the treaty more investor-friendly while aligning it with current global economic realities.

About the Bilateral Investment Treaty (BIT)

• BIT, also known as International Investment Agreements (IIAs), is a legal framework, under the United Nations Conference on Trade and Development (UNCTAD), designed to protect foreign investments.
• It is a reciprocal agreement between two countries to promote and protect foreign private investments in each other’s territories.
• It establishes minimum guarantees between the two countries regarding the treatment of foreign investments, such as:
  • National Treatment: Treating foreign investors at par with domestic companies;
  • Fair & Equitable Treatment: In accordance with international law; and,
  • Protection From Expropriation: Limiting each country’s ability to take over foreign investments in its territory.
• BIT typically includes mechanisms like investor-state dispute settlement (ISDS) and state-to-state dispute settlement (SSDS) to address conflicts.

BIT & India

• India introduced its first Model Bilateral Investment Treaty (BIT) in 1993, but after facing multiple investor-state disputes, it revised its Model BIT text in 2015.
  • India signed its first BIT in 1994 with the UK and recently signed BITs with UAE and Uzbekistan in 2024.
  • India is currently negotiating BITs with the UK, Saudi Arabia, Qatar, and the European Union.
• Provisions of Model BIT, 2015: The Standing Committee on External Affairs noted that there is still scope for fine-tuning some of its provisions, like investor-state dispute settlement mechanism.

Why is a New Revision Needed?

• Narrow Definition of Investment: Model BIT (2015) limited the definition of investment to enterprises with substantial business operations in India, excluding indirect investments and portfolio investments.
• Overly Protectionist & Discouraging FDI: Several foreign investors view India’s BIT framework as unfavorable, prompting a rethink to balance investor protection with national interests.
• Geopolitical Shifts & Trade Agreements: With India negotiating trade agreements with the EU, UK, and Canada, a more balanced BIT is essential for fostering economic cooperation.
• Investor-State Dispute Settlement (ISDS) Concerns: Model BIT (2015) made it difficult for investors to seek international arbitration, which is a major deterrent for foreign businesses.

India’s Approach in Current Scenario

• Chief Economic Adviser V. Anantha Nageswaran announced that India’s new model Bilateral Investment Treaty (BIT) will be updated to align with the evolving global investment environment, while safeguarding India’s sovereign rights and regulatory space.
• Finance Minister Nirmala Sitharaman also highlighted that the BIT model will be revamped to encourage sustained foreign investment and make it more investor-friendly.

Expected Changes in the Revised Model BIT

• More Balanced Investor Protections: India may introduce a limited MFN clause and expand the scope of investment protections while maintaining regulatory autonomy.
  • It aims to attract more investors while preventing treaty shopping.
• Redefining Exhaustion of Local Remedies Clause: The rigid five-year requirement to exhaust local remedies may be relaxed to make international arbitration more accessible.
  • A ‘fork-in-the-road’ mechanism could be introduced, allowing investors to choose either domestic courts or arbitration.
  • Stronger Dispute Resolution Mechanisms: India is likely to reconsider its approach to ISDS.
  • A reformed arbitration mechanism — possibly with a standing appellate body or mediation framework — may be introduced to make dispute resolution more predictable.
• Incentives for Sustainable & Digital Investments: The revised BIT may introduce clauses favoring sustainable investments, digital trade, and green energy projects, in line with India’s climate goals.
• Sector-Specific Provisions: India may introduce sector-specific regulations, particularly for industries like pharmaceuticals, technology, and infrastructure, ensuring national security while attracting high-value investments.

Challenges Associated with the BITs

• Unequal Distribution of Rights and Obligations: BITs often create an unequal distribution of rights and obligations between developed countries, which are the source of most foreign direct investment, and developing countries, which are mainly recipients.
• Risk of Litigation: BITs lead to an increased risk of litigation. Some developing countries have been sentenced by international arbitral tribunals to pay millions of dollars as a result of alleged violations to these treaties.
• Ambiguous Legal Standards: Most of these awards are based on expansive interpretations of ambiguous legal standards and concepts such as ‘fair and equitable treatment’ and ‘indirect expropriation’.
• Limitations in Addressing Issues: BITs can’t address every problem that companies face abroad.
  • For example, American companies in China face challenges in protecting and enforcing their intellectual property rights (IPR).
• Loss of Policy Space: BITs can lead to a loss of policy space for the host country, limiting its ability to regulate in the public interest.
• Treaty Shopping: Investors might take advantage of the most favourable nation clause in BITs to sue a host country under a treaty to which it is not a party.

Conclusion and Way Forward

• A well-crafted Bilateral Investment Treaty (BIT) can play a transformative role in India’s economic growth by boosting investor confidence, attracting foreign investments, and aligning with global standards.
• By providing a stable and predictable business environment, a revised BIT can reassure foreign investors, encouraging them to invest in India.
• Increased foreign investments, in turn, drive economic development, create jobs, and enhance India’s global trade standing.
• Moreover, updating the BIT ensures that India’s investment policies remain competitive and in line with international best practices.
• BITs should capture India’s national interest, particularly regarding regulatory powers, and that BITs should be negotiated independently rather than as part of Free Trade Agreements (FTAs).