General Studies Paper -3

Context: The Union Commerce and Industry Minister announced that India’s organic exports are projected to touch Rs 20,000 crore in the next three years.

About

• Leading Exporter: The organic farming sector has witnessed robust growth over the years, with India emerging as one of the world’s leading exporters of organic products.
• Organic Export Market: Currently India’s organic product exports are at Rs 5,000-6,000 crore.
  • By 2028 India can achieve Rs 20,000 crore exports, about 3-3.5 times increase from the current level.
  • Major export items include organic cereals, pulses, oilseeds, spices, tea, coffee, and fresh produce. They are in high demand in countries such as the United States, the European Union, and Japan.

Organic Farming

• Organic farming is a method of agriculture that avoids the use of synthetic chemicals, pesticides, and fertilizers.
• It focuses on using natural processes and inputs like compost, crop rotation, and biological pest control to maintain soil health and biodiversity.
• The goal is to produce food in an environmentally sustainable way, promoting healthier ecosystems and reducing the impact on the environment.

Organic Farming in India

• As of March 2024, India has 1,764,677.15 hectares of organic farming land, 3,627,115.82 hectares of land being converted to organic farming.
• India ranks at 4th place in terms of certified area globally as per the report published by International Federation of Organic Agriculture Movements (IFOAM) Statistics 2022.
• Madhya Pradesh has the largest area under organic certification followed by Maharashtra, Rajasthan, Gujarat and Karnataka.
• Sikkim is India’s first fully organic state, with implementing organic practices on around 75,000 hectares of agricultural land.
• India ranks first globally in terms of number of farmers practicing organic farming.

Factors Supporting the Growth of Organic Farming in India

• Health Awareness: Increasing consumer demand for healthier, chemical-free food due to rising health concerns.
  • Environmental Benefits: Organic farming promotes soil health, reduces pollution, and conserves water, aligning with sustainable agricultural practices.
• Government Support: Various initiatives like subsidies, training programs, and organic certification schemes encourage farmers to adopt organic practices.
• Global Market Demand: Rising global demand for organic products opens export opportunities for Indian farmers.
• Cultural and Traditional Practices: Many regions in India have a tradition of sustainable farming, which naturally supports organic methods.
• Climate Change Resilience: Organic farming is seen as a more resilient alternative to conventional agriculture, which is vulnerable to climate change impacts.

Challenges

• High Initial Costs: Transitioning to organic farming requires investment in training, certification, and inputs like organic seeds and fertilizers, which can be expensive.
• Knowledge and Skill Gaps: Many farmers lack adequate knowledge and expertise in organic farming techniques, hindering adoption.
• Limited Access to Inputs: Organic inputs like bio-pesticides and fertilizers are often scarce or costly.
• Certification Issues: Obtaining organic certification can be a complex and time-consuming process, limiting market access for small-scale farmers.
• Lower Yields: Organic farming often results in lower crop yields initially, which can impact farmers’ income.
• Market Demand and Infrastructure: Limited infrastructure and market channels for organic products reduce profitability and reach for farmers.
• Pest and Disease Management: Controlling pests and diseases without chemicals can be challenging, especially during unfavorable weather conditions.

Organic Certifications Systems in India

• National Programme for Organic Production (NPOP): It is under the Ministry of Commerce and Industry for development of the export market.
  • It is a third party certification programme where the production and handling of activities at all stages such as production, processing, trading and export requirements for organic products is covered.
• Participatory Guarantee System (PGS-India): In the operation stakeholders (including farmers/ producers) are involved in decision making and essential decisions about the operation of the PGS-India certification itself by assessing, inspecting and verifying the production practices of each other and collectively declaring produce as organic.
  • It is under the Ministry of Agriculture and farmers Welfare for meeting the demand of the domestic market.
  • Food Safety Regulation has made it mandatory for organic products to be certified under NPOP or PGS for being sold in the domestic market under the Jaivik Bharat logo.

Government Initiatives for organic farming

• Paramparagat Krishi Vikas Yojana (PKVY): The schemes stress on end-to-end support to farmers engaged in organic farming i.e. from production to processing, certification and marketing and post-harvest management.
  • Training and Capacity Building are integral parts of the scheme.
• Mission Organic Value Chain Development for North Eastern Region (MOVCDNER): The scheme is being implemented exclusively in the Northeast States to support farmers engaged in organic farming.
• National Mission on Organic Farming (NMOF): Aims to promote organic farming practices, provide financial assistance, and support certification processes.
• Soil Health Management: Programs that encourage the use of organic manure, compost, and other sustainable practices to improve soil health.
• Support for Market Linkages: Initiatives like the Organic Farming Export Promotion Program (OFEP) facilitate the export of organic products by connecting farmers with international markets.

Way Ahead

• Branding: The government can promote India’s organic products under a unified brand to enhance visibility and competitiveness in global markets.
• Enhance Domestic Consumption: Encouraging domestic consumption of organic produce, will help farmers diversify and adopt sustainable farming practices.
  • The sector’s growth is expected to positively impact farmers, generate employment, and contribute significantly to the economy while reinforcing the country’s reputation as a global hub for organic agriculture.

General Studies Paper -2

Context: Recently, a five-judge Bench of the Supreme Court rejected petitions seeking a review of a judgment which refused to legalise same-sex marriage in India.

Background

• The Supreme Court of India, in October 2023, ruled and acknowledged the discrimination faced by same-sex couples & emphasized that such a decision should be made by Parliament, which is better suited to debate and legislate on this complex social issue.

Same-Sex Marriage

• It is the practice of marriage between two men or between two women. It has been regulated through law, religion, and custom in most countries of the world.
• India does not recognise registered marriage or civil unions for same-sex couples.
• Though, same-sex couples can attain equal rights and benefits as a live-in couple as per a Supreme Court of India judgement in 2022 under part of Article 21 (the right to life).
• Special Marriage Act, 1954: It provides a civil marriage for couples who cannot marry under their personal law.
• However, the Supreme Court of India (in 2023) ruled that the Special Marriage Act (SMA) of 1954 does not apply to same-sex marriages:
  • The court unanimously agreed that there is no fundamental right to marry.
  • The court ruled that the Special Marriage Act, 1954 cannot be amended to include same-sex marriages.
  • The court ruled that same-sex couples cannot form civil unions or adopt.

Arguments in Favour of Same-Sex Marriage in India

• Equality and Non-Discrimination: Advocates argue that denying same-sex couples the right to marry is a form of discrimination that violates the principles of equality enshrined in the Indian Constitution.
  • Legal recognition of same-sex marriage would affirm the dignity and rights of LGBTQIA+ individuals.
• Legal and Social Benefits: Marriage provides numerous legal and social benefits, including inheritance rights, tax benefits, and social security.
  • Recognizing same-sex marriages would ensure that LGBTQIA+ couples have access to these benefits, promoting their well-being and security.
• Improving Mental Health: Legal recognition of same-sex marriages can improve the mental health of LGBTQIA+ individuals by reducing stigma and promoting social acceptance.
• International Precedents: Many countries have legalized same-sex marriage, setting a global precedent for equality.
  • India, as a progressive democracy, could align itself with these international standards by recognizing same-sex marriages.

Arguments Against Same-Sex Marriage in India

• Cultural and Religious Beliefs: Opponents argue that same-sex marriage is contrary to traditional Indian cultural and religious values.
  • They believe that marriage should be between a man and a woman, as per the customs and beliefs of many communities.
• Legislative Domain: The Supreme Court of India has ruled that the legalization of same-sex marriage falls within the legislative domain, not the judiciary.
  • It means that any change in the law should come from Parliament, reflecting the will of the people.
• Social Readiness: Some argue that Indian society is not yet ready to accept same-sex marriages.
  • They believe that legalizing same-sex marriage could lead to social unrest and backlash from conservative sections of society.
• Alternative Legal Recognition: Instead of marriage, some suggest that civil unions or domestic partnerships could provide legal recognition and rights to same-sex couples without altering the traditional definition of marriage.

Implications of Dismissal of the Review Petitions

• It means that same-sex couples in India will continue to lack legal recognition for their relationships.
• The court’s decision underscores the need for legislative action to address the rights and recognition of same-sex couples.
• Until then, the LGBTQIA+ community remains dependent on the government’s policy and legislative wisdom.

General Studies Paper -1

Context: The ambitious project of river interlinking in India, aimed at connecting surplus rivers with those facing water deficits, has been touted as a solution to the country’s water woes.

However, this grandiose idea, which has been in the making for decades, is fundamentally flawed and poses significant environmental risks.

Historical Context

• The concept of interlinking rivers dates back to the 19th century, with Sir Arthur Cotton’s designs for irrigation dams in the Godavari and Krishna river valleys.
• Over the years, this idea evolved, with notable contributions from engineers like M. Visvesvaraya, K.L. Rao, and Captain Dinshaw J. Dastur.
• The modern iteration of this concept, known as the National Water Grid, re-emerged as the River-Interlinking Project (ILR) under the Ministry of Water Resources.

Current Initiatives

• In 2002, the Supreme Court of India ordered the Union Government to complete the river interlinking project within the next 12–15 years.
• In response to this order, the Government of India appointed a Task Force and scientists, engineers, ecologists and others for the project related works.
• Currently, River Interlinking in India is managed by the National Water Development Agency (NWDA), established in 1982, and is part of the National Perspective Plan (NPP) formulated in 1980.

Components of the NPP

• Himalayan Rivers Development Component: It involves 14 link projects aimed at transferring water from the Himalayan rivers to the northern and eastern parts of India.
• Peninsular Rivers Development Component: It includes 16 link projects designed to connect rivers in the southern part of India, transferring surplus water from the Mahanadi and Godavari rivers to the Krishna, Pennar, and Cauvery rivers.

Key Projects and Their Status

• Out of the 30 identified link projects under the NPP, significant progress has been made:
• Pre-Feasibility Reports (PFRs): Completed for all 30 links.
• Feasibility Reports (FRs): Completed for 24 links.
• Detailed Project Reports (DPRs): Completed for 8 links.

Key Projects

• The Ken-Betwa Link Project (KBLP) is the first project under the NPP to be implemented. It aims to benefit the drought-prone Bundelkhand region of Madhya Pradesh and Uttar Pradesh.
• It also aims to provide annual irrigation to 10.62 lakh hectares, drinking water to 62 lakh people, and generate 130 MW of power.
• Priority Projects: Besides the Ken-Betwa Link Project (KBLP), other priority projects include the Modified Parbati-Kalisindh-Chambal (PKC) Link and the Godavari-Cauvery Link.

Need for Inter Basin Water Transfers (IBWT)

• It is necessarily required to overcome the water scarcity situations in the regions/basins and to enhance water utility and reduce water wastage of water surplus areas in the following manner:
• Large variation in rainfall and available water resources in space and time;
• Diversion of water from water surplus basins to water deficit basins/regions;
• Use of the surplus water which is otherwise flowing into the sea unutilized;
• To mitigate likely adverse impact of climate change, short term and long term;

Benefits of River Interlinking

• Water Availability: Ensures equitable distribution of water across regions, addressing both drought and flood issues.
• Agricultural Productivity: Enhances irrigation facilities, leading to increased agricultural output.
• Drinking Water Supply: Provides reliable drinking water to millions of people.
• Hydropower Generation: Contributes to renewable energy production through hydropower projects.

Challenges and Concerns

• Ecological Imbalance: Interlinking rivers can disrupt the natural flow of rivers, affecting aquatic ecosystems and biodiversity. The alteration of river courses can lead to the loss of habitats for various species.
  • The Ken-Betwa River Link Project, for instance, involves constructing a dam within the Panna Tiger Reserve, raising concerns about submergence and loss of biodiversity.
• Financial Viability: High costs associated with the implementation and maintenance of the projects.
  • The Ken-Betwa River Link Project, estimated to cost around ₹45,000 crore, has faced objections from experts and circumvented strict legal terms for hydroelectric power projects.
• Inter-State Disputes: States have the power to use water in supplies, irrigation, canals, drainage, embankments, water storage, and water power within their respective territories.
  • Water is listed in List II of the Seventh Schedule of the Indian Constitution, which is the State List.
  • However, the Central Government has the power to regulate and develop inter-state rivers and river valleys List I of the Seventh Schedule.
• Socio-Economic Impacts: The estimated cost of ₹5 lakh crore does not account for the social, environmental, and operational expenses, which will ultimately burden taxpayers.
  • The displacement of communities, loss of livelihoods, and destruction of cultural heritage sites are significant issues that need to be addressed.
• Displacement of Communities: Large-scale projects often require the displacement of local communities, leading to social and economic challenges.
  • The resettlement process can be complex and may not always be fair or adequate.
• Climate Change Impact: The alteration of river systems can exacerbate the impacts of climate change, such as increased frequency and intensity of floods and droughts.
  • It can further strain the already vulnerable regions.
• Deforestation and Habitat Loss: The construction of canals and reservoirs requires large-scale deforestation, leading to habitat loss for wildlife.
  • It can also contribute to soil erosion and degradation.
• Water Quality Issues: The mixing of waters from different rivers can lead to changes in water quality, affecting both human and animal populations.
  • Pollutants from one river can contaminate another, leading to health hazards.

Climate Blindspot

• A study in Nature Communications reveals that river interlinking projects may inadvertently exacerbate water stress rather than alleviate it.
• By altering natural water flows and disrupting hydro-meteorological systems, river interlinking can lead to unintended consequences such as changes in monsoon patterns.
• These changes can, in turn, worsen the very water scarcity issues the projects aim to solve.

Conclusion and Way Forward

• While the idea of interlinking rivers to solve water scarcity is appealing, it overlooks the profound environmental and socio-economic costs.
• A more holistic approach to watershed management, focusing on sustainable and localized solutions, is essential to address India’s water challenges without causing irreversible damage to its natural and human landscapes.
• Instead of relying solely on large-scale infrastructural projects, there is a need to consider sustainable alternatives that take into account the complex interplay between climate, water resources, and ecosystems.

General Studies Paper -2

Context: Indonesia has officially joined BRICS as the 11th member effective from January 2025.

The inclusion of Indonesia marks another step in expanding BRICS’ influence among emerging economies.

About BRICS

• Definition: BRICS is an intergovernmental informal grouping of emerging economies aimed at fostering cooperation and enhancing their global influence.
• Members: Brazil, Russia, India, China (these are founding members); South Africa joined in 2010; Iran, UAE, Egypt, Ethiopia, Saudi Arabia joined in 2024.
  • Argentina was initially expected to join in 2024 but later opted out.
• Background: The first BRIC Summit was held in Russia in 2009.

Significance of BRICS

• Economic Influence: Represents a large share of the global economy:
  • Accounts for approximately 35% of global GDP.
  • Comprises 46% of the world’s population, providing a vast market and workforce.
  • Encourages trade and investment among emerging economies.
• Counterbalance to Western Dominance: Provides a platform for emerging economies to challenge the G7 and other Western-led financial systems.
  • Promotes a multipolar global order, reducing reliance on dominant powers like the US and Europe.
  • Focus on Local Currencies and Non-Dollar Transactions: Aims to reduce dependence on the US dollar in international trade and finance.
  • Strengthens local currencies, reshaping global trade practices and reducing vulnerabilities to dollar-based systems.
• Advocacy for Global Institutional Reforms: Pushes for greater equity and inclusivity in global institutions like the IMF and UN.
  • Addresses the need for a more balanced representation of developing nations in global decision-making.
• Collaboration Among Emerging Economies: Encourages cooperation in areas like technology, sustainable development, and infrastructure.
  • Facilitates knowledge sharing and joint efforts to tackle global challenges like climate change and public health crises.
• Energy and Resource Security: Many BRICS members are major producers or consumers of energy resources, allowing for strategic partnerships in energy security and sustainability.
• Support for Multilateralism: Strengthens multilateral institutions by emphasizing collective problem-solving over unilateral approaches.

Challenges Faced by BRICS

• Diverse Economic Interests: BRICS consists of countries with vastly different economies, ranging from advanced economies like China and India to resource-rich nations like Brazil and Russia.
  • These differences often lead to conflicting priorities on issues like trade policies, economic reforms, and foreign investments, which can complicate consensus-building within the group.
• Political Differences: While the members of BRICS share common goals, their political ideologies and alliances vary widely.
  • Tensions between member states (e.g., China and India over border disputes, Russia’s geopolitical tensions with Western countries) can hinder the group’s ability to present a unified stance on global issues.
• Geopolitical Rivalries: The geopolitical conflicts between China and India, and between Russia and Western nations, create challenges in BRICS working cohesively.
  • Competing alliances with countries outside BRICS, such as India’s ties with the US and Russia’s isolation from the West, may impact the group’s collective influence.
• Economic Dependence on Global Markets: Many BRICS countries are still heavily dependent on global trade networks dominated by Western economies, which can limit their ability to shift entirely away from the US dollar or create an independent financial infrastructure.

General Studies Paper -1

Context: Recently, the United States has experienced one of the most severe winter storms in over a decade, largely attributed to the polar vortex.

About the Polar Vortex

It is a large area of low-pressure and cold air that swirls around the Earth’s polar regions.

• It exists in two forms:
  • Tropospheric polar vortex, which occurs in the lowest layer of the atmosphere (up to about 10-15 km), and
  • Stratospheric polar vortex, which occurs higher up (around 15-50 km).
• The tropospheric polar vortex is responsible for most weather phenomena, while the stratospheric polar vortex is strongest during autumn and disappears in summer.

How Does the Polar Vortex Cause Extreme Cold?

• When the polar vortex is strong and stable, it keeps the jet stream (a narrow band of strong wind in the upper atmosphere) traveling in a circular path around the planet.
• It helps maintain a separation between cold air in the north and warm air in the south.
• However, when the polar vortex weakens, it can cause the jet stream to become wavy and meandering.
• It allows cold Arctic air to break off and move southward, bringing frigid temperatures to regions as far south as Florida.

Impacts of the Polar Vortex

• Cold Air Outbreaks: When the polar vortex expands or shifts, it can push Arctic air southward into regions like the USA, Europe, and Asia. This often leads to extreme cold outbreaks in the Northern Hemisphere.
• Ozone Depletion and the Polar Vortex: The polar vortex traps cold air, leading to ozone depletion over Antarctica. Cold temperatures cause harmful chlorine compounds to accumulate, breaking down ozone. This results in the creation of the ozone hole over Antarctica.
• Impact on Aviations: It can impact aviation operations by causing very cold ground temperatures and increased winter precipitation.
• Impact on India: A weakened polar vortex increases western disturbances in India. Western disturbances bring heavy snowfall to the western Himalayas.

General Studies Paper -2

Context: The meeting took place in Dubai, marking the highest-level engagement between India and the Taliban since the latter’s takeover of Afghanistan in 2021.

India has not formally recognized the Taliban administration but it maintains a small mission in Kabul for trade, aid, and medical support, alongside ongoing humanitarian assistance.

Key Outcomes of recent meeting

• India discussed ongoing humanitarian aid to Afghanistan, including support for Afghan refugees and earthquake relief.
  • India has already provided wheat, medicine, pesticides, vaccines, clothing, and other materials.
  • Additional aid will be directed towards Afghanistan’s health sector and refugee rehabilitation.
• The Taliban aims to strengthen political and economic ties with India, aligning with its balanced, economy-focused foreign policy.
• The use of Iran’s Chabahar port for accessing Afghanistan and promoting trade was also discussed.
• They focused on Strengthening cricketing ties, as India has assisted Afghan cricketers, including training in Noida.
• India raised concerns about anti-India terror groups operating from Afghanistan.

Factors Driving India’s Engagement with Taliban

• Geopolitical Considerations: The evolving geopolitical landscape in the region, including the growing influence of China, has also influenced India’s approach to Afghanistan. Engaging with the Taliban is seen as a way to maintain its strategic interests in the region.
• Counter Terrorism: India is concerned about the possibility of terrorist groups, particularly those with a focus on targeting India, using Afghanistan as a base for their operations. Engaging with the Taliban is seen as a way to address these security concerns.
• Counteracting Pakistan’s Influence: Pakistan has historically wielded considerable influence in Afghanistan, often seen as detrimental to India’s interests. Engaging with the Taliban allows India to maintain a presence and potentially counterbalance Pakistan’s influence.
• Protecting Indian Investments: India has invested heavily in infrastructure projects in Afghanistan. Maintaining these investments and ensuring their security is a key consideration for India.
  • The Taliban has assured India of security guarantees for its facilities.

Issues and Concerns

• The official statement did not address concerns regarding the protection of women’s rights, minority rights, or their inclusion in the Taliban government.
• Pakistan’s Reaction: The meeting could provoke Pakistan, given its historical tensions with India and strained relations with Afghanistan.
• Pakistan has accused Afghanistan of harboring militant groups responsible for attacks in Pakistan, a charge the Taliban denies.

Future Outlook

• India’s future relations with the Taliban will focus on balancing security concerns with involvement in Afghanistan’s reconstruction, especially in education, healthcare, and infrastructure.
• Both sides agreed to maintain regular contact at various levels, keeping the door open for future political-level engagement.

General Studies Paper-2

Context: Data obtained under the Right to Information (RTI) Act reveals a substantial rise in female enrollment across various Indian Institutes of Technology (IITs), marking a pivotal moment in the journey toward greater inclusivity and gender equity in India’s premier institutions of higher education.

About

• The introduction of a 20% quota for women in the Indian Institutes of Technology (IITs) has proven to be a significant step towards gender inclusivity in India’s premier engineering institutions.
• It has led to a remarkable increase in the number of female students at IITs, demonstrating that affirmative action can effectively bridge gender gaps in traditionally male-dominated fields.
• According to the data, IITs Delhi and Bombay crossed the 20% threshold as early as 2017 — even before the quota was implemented.

Beyond Numbers: Cultural and Infrastructural Shifts

• The quota has not only increased the number of women in IITs but has also led to essential infrastructural and cultural changes.
• Many IITs have expanded hostel facilities, constructed more washrooms for female students, and introduced women’s sports teams, creating a more inclusive environment.
• These changes challenge the traditional narrative that STEM fields are predominantly for men and signal a future where women’s voices and innovations are integral to India’s technological advancement.

Concerns & Challenges

• Gender Gap: Women s cientists may find it challenging to secure permanent positions or promotions, as seen in the case of Uma, a molecular biologist who faced career setbacks after taking maternity leave.
• Low Participation in the Labour Market: Women make up almost half (49.3%) of total employment across non-STEM occupations, but just 29.2% of all STEM workers.
• India has a high percentage of women enrolling in STEM fields (approx 40%), but their representation is significantly lower (around 14%).
• The numbers on the integration of STEM university graduates into the labour market show that the retention of women in STEM even one year after graduating sees a significant drop.
• Other concerns are work life balance, cultural and social factors, lack of mentorship and support networks, and low representation in leadership roles etc.

Key Government Initiatives

• Women in Science and Engineering-KIRAN (WISE-KIRAN): The Department of Science and Technology (DST) has launched several programs under the WISE-KIRAN scheme with the aim to enhance women’s participation in STEM through various support mechanisms, including fellowships and leadership programs.
  • It has benefited over 340 women scientists, providing them with opportunities to advance their careers.
• Vigyan Jyoti: It has been instrumental in encouraging young girls to pursue STEM education, and has impacted over 29,000 girls, promoting STEM fields as viable career options.
• Prime Minister’s Early Career Research Grant (PM ECRG): It supports young researchers, including women, with flexible budgets for impactful projects.
• Women Scientist Scheme (WOS):
  • WOS-A: Research in Basic/Applied Science.
  • WOS-B: Societal programs through science and technology interventions.
  • WOS-C: Intellectual Property Rights (IPR) training.
• Science and Engineering Research Board (SERB) – POWER (Promoting Opportunities for Women in Exploratory Research):
  • SERB-POWER Fellowship: Supports women researchers.
  • SERB-POWER Research Grants: Provides funding for research projects led by women.
• Biotechnology Career Advancement and Re-orientation Programme (Bio-CARe): Supports women scientists in biotechnology.
• INSPIRE (Innovation in Science Pursuit for Inspired Research):
• SHE (Scholarship for Higher Education): Provides scholarships to girls pursuing higher education in science.

Road Ahead

• According to the All India Survey on Higher Education (AISHE) for 2021-22, women comprise only 11.3 lakh of the total enrolled students in engineering and technology, compared to 27.6 lakh men.
• Bridging this gap requires continued efforts to ensure that gender-neutral policies, mentorship, and a culture of inclusivity allow women to realize their full potential.

Conclusion

• The quota for women at IITs is a testament to the effectiveness of inclusion policies. It has not only increased female representation but also fostered a more inclusive and supportive environment for women in STEM.
• As more women enter these prestigious institutions, they will undoubtedly contribute to shaping India’s intellectual and technological future.

General Studies Paper-3

Context: As India steps into 2025, its growth trajectory, while promising, faces several challenges that need to be addressed through comprehensive reforms to ensure sustained growth.

Economic Landscape of India (2025)

• GDP Growth: Over the past three years, the Indian economy performed well above expectations, growing at 8.7% in FY22, 7.2% in FY23, and 8.2% in FY24, driven by public capital expenditure, substantial investments in Global Capability Centres (GCCs), and surging service exports.
  • It slowed to 5.4% in the Q2 of the fiscal year 2024-25, a significant drop from the previous quarters that has been attributed to a combination of global geopolitical tensions, domestic inflation, and cautious private sector investment.
• Fiscal Prudence: According to the IMF, a projected decline in fiscal deficit from 6.4% to 5.9% of GDP in FY24 will stabilize public debt at around 83% of GDP — a promising indicator of sustainability, given India’s growth outlook.
  • The fiscal deficit target of 4.5% for FY2025-26 may allow room for increased government spending.
• Government Spending: Increased government expenditure, particularly in infrastructure and social sectors, is expected to boost economic activity.
  • The recent reduction in the Cash Reserve Ratio (CRR) by the RBI has freed up funds for banks to lend, stimulating investment.
• Capital Expenditure: The Union Budget 2023-24 allocated ₹10 lakh crore for capital investment, representing 3.3% of GDP.
  • National Infrastructure Pipeline (NIP) aims to invest ₹111 lakh crore in infrastructure projects by 2025, covering sectors like energy, roads, railways, and urban development.

Key Concerns

• Geopolitical Headwinds: Global economic uncertainties, such as US policy shifts and geopolitical tensions, pose additional risks.
  • Changes in US economic policies, including fiscal measures and interest rates, can have a significant impact on India’s economy.
  • Additionally, global trade dynamics and commodity prices can influence India’s inflation and growth prospects.
• Savings-investment Gap: The RBI’s latest Financial Stability Report shows net financial savings of households fell to 5.3% of GDP in FY23 from 7.3% in FY22, sharply below the 8% average of the previous decade.
• Fiscal Prudence: The RBI has flagged concerns over a sharp increase in expenditure by states on various subsidies, including farm loan waivers and cash transfers.
  • Other concerns are private sector investment, employment generation and economic disparities etc.

Key Reforms and Initiatives

• Goods and Services Tax (GST): It unified the country into a single market, simplifying the tax structure and boosting revenue collections.
  • In FY 2023-24, GST collections soared to ₹18 lakh crore, averaging ₹1.68 lakh crore monthly.
• Digital India initiative: It has been a game-changer, driving technological adoption and innovation across sectors.
  • It has not only enhanced governance but also spurred the growth of over 150,000 startups, creating more than 1.5 million jobs.
• Financial Inclusion and Poverty Reduction: The Pradhan Mantri Jan Dhan Yojana (PMJDY) has transformed access to banking services, with over 53 crore accounts opened by October 2024.
  • It has brought millions of previously unbanked individuals into the formal financial fold, reducing economic inequality.
  • According to NITI Aayog’s report, 24.82 crore people have escaped multidimensional poverty between 2013-14 and 2022-23.
• Market Performance and Investor Confidence: India’s market performance has been exceptional, with benchmark indices rising 28% in FY 2023-24 while maintaining low volatility.
  • It has bolstered investor confidence, attracting significant foreign investments and further strengthening the economy.

Suggested Reforms for Sustained Economic Growth in India

• Human Capital Development: Investing in human capital is crucial for boosting labor productivity and overall economic growth.
  • It involves improving the quality of education, enhancing skill development programs, and ensuring access to basic healthcare.
  • The Global Human Capital Report highlights India’s need to improve its human resource capital, which is essential for competing globally.
• Technological Advancements: Embracing technology is vital for increasing productivity and fostering innovation.
  • Enhancing technology readiness can significantly contribute to economic growth by improving efficiency across various sectors.
• Labor Market Reforms: Reforming labor laws to make them more flexible and industry-friendly is essential for attracting investments and creating jobs.
  • The integration of platforms like the e-Shram portal aims to provide comprehensive services to labor, including employment and skilling opportunities.
• Land and Property Reforms: Efficient land administration and urban planning are critical for sustainable development.
  • The introduction of the Unique Land Parcel Identification Number (ULPIN) and the digitization of land records are steps towards improving land management and reducing disputes.
• Financial Sector Reforms: Strengthening the financial sector is key to supporting economic growth.
  • The government plans to release a strategy document outlining the future vision for the financial sector, focusing on increasing its size, capacity, and skills.
  • Simplifying rules for Foreign Direct Investment (FDI) and promoting the use of the Indian Rupee for overseas investments are also part of this strategy.
• Tax Reforms: The Union Budget 2024-25 includes measures aimed at providing tax relief to the middle class, encouraging innovation, and fostering economic growth.
• Infrastructure Development: The Production-Linked Incentive (PLI) scheme aims to attract investments and enhance production capacity in key sectors. Developing sustainable infrastructure and promoting green technologies are also important for long-term growth.
• Promoting Inclusive Growth: Ensuring that economic growth benefits all sections of society is essential for sustainable development.
  • Government initiatives aimed at empowering the middle class, reducing poverty, and promoting social equity are critical for achieving inclusive growth.

Conclusion

• India’s path to sustained economic growth requires a multifaceted approach, focusing on human capital, technological advancements, labor market reforms, land and property management, financial sector strengthening, tax simplification, infrastructure development, and inclusive growth.
• By implementing these key reforms, India can achieve its vision of becoming a $55 trillion economy by 2047.

General Studies Paper-2

Context: Analysis of the caste based census of Bihar signifies why a caste-based Census is imperative in India to understand the socio-economic conditions of disadvantaged groups.

What is the Census?

• The Census refers to a periodic and systematic collection of demographic, economic, and social data of a population within a specific region.
• It is typically conducted by governments to gather detailed information about the population’s characteristics and living conditions.
• The Census provides crucial data that governments, businesses, researchers, and policymakers use for various purposes such as planning public services, allocating funding, and making informed decisions.

Caste Based Census

• Caste Based Census: It involves enumerating the population based on their caste affiliations during the national census.
  • This data is used to understand the socio-economic status of different caste groups, identify disparities, and design policies for affirmative action.
• Background: From the colonial era’s regimental assignments to identify “criminal tribes,” caste data has been integral to administrative and political strategies.
  • In 2011, the government undertook the first-ever Socio-Economic Caste Census (SECC); however, it was never made public.
  • There were many anomalies in the caste data as a large section of the population chose different ways to identify their castes.
• Constitutional Recognition: Post-independence, the Constitution institutionalised affirmative action through Articles 16(4) and 340, recognising the socio-economic backwardness of certain groups.
  • However, these classifications were often based on “expert assessments” rather than empirical data, as seen with the Mandal Commission.
  • While repeated calls for a national caste Census did not materialise, Bihar went ahead, conducting its own in 2023.

Arguments in the Favour of the Caste Based Census

• Accurate Data for Targeted Welfare: It can provide precise data on the socio-economic conditions of different caste groups, allowing the government to tailor welfare programs effectively for marginalized communities.
• Identify Disparities: It helps identify existing inequalities in education, employment, and access to resources.
• Strengthen Affirmative Action: It helps ensure that affirmative action policies like reservations are based on accurate and updated data, ensuring fair representation for underrepresented communities.
• Social Justice: The census could push for better policies for upliftment, enhancing social justice for historically disadvantaged groups.
• Policy Evaluation and Reform: The data could be used to assess the impact of existing policies on different caste groups, leading to better policy reforms and improved governance.

Arguments Against the Caste Based Census

• Perpetuation of Caste Divisions: It might reinforce caste identities, potentially deepening social divisions and promoting discrimination instead of fostering unity.
• Focus on Caste Over Development: Critics argue that focusing on caste may divert attention from more universal issues like poverty, education, and healthcare, which affect all communities.
• Inaccurate Representation: Some believe that caste-based data may be inaccurate due to the fluidity of caste identities and the reluctance of people to disclose their caste openly.
• Risks to National Integration: Some fear that caste-based enumeration could undermine national integration by creating a sense of competition among groups, rather than promoting a cohesive national identity.

Conclusion

• A detailed look at the Bihar Census 2023 highlights the deep-rooted socio-economic inequalities in the State.
• The higher castes benefit from better income, education, and employment opportunities, while marginalised groups like Musahars and Bhuiyas remain excluded.
• The Bihar caste Census is proof of the need for detailed caste data.
• By offering comprehensive insights, this Census shows how it can become an essential tool for informing policies and ensuring resources are allocated effectively.

General Studies Paper-2

Context: NITI Aayog has completed 10 years of its establishment.

About NITI Aayog

• Established: NITI Aayog (National Institution for Transforming India) is a government think tank established in 2015.
• Aim: It replaced the Planning Commission, aiming to focus on more contemporary challenges like sustainable development, policy innovation, and governance reforms.
• Composition: It is led by the Prime Minister as the Chairperson, with the Vice-Chairperson and CEO leading the executive functions.
• Governing Council: The Prime Minister of India,
  • It comprises the Chief Ministers of states and Union Territories,
  • The Lieutenant Governors of Union Territories, except Delhi and Puducherry,
  • The Vice Chairman of NITI Aayog,
  • Full-time members of NITI Aayog.

Roles of NITI Aayog:

• Policy Formulation and Strategic Advice: It provides strategic and technical advice to the central and state governments.
• Promote Cooperative Federalism: By encouraging state governments to partner with the central government in decision-making.
• monitors and evaluates the implementation of policies and programs, ensuring they align with long- Monitoring and Evaluation: It term development goals.
• Innovation and Research: It aims to foster innovation, research, and new technologies in critical sectors.
• Promotion of Sustainable Development Goals (SDGs): NITI Aayog plays a role in aligning India’s development programs with the global Sustainable Development Goals (SDGs).

The key differences between the Planning Commission and NITI Aayog are:

Why did the Government replace Planning Commission with NITI Aayog?

• Need for Flexibility: NITI Aayog aims for a more flexible, adaptive approach to development.
• Cooperative Federalism: The Planning Commission was criticized for not adequately involving state governments in decision-making.
• Focus on Innovation and Research: NITI Aayog focuses on policy innovation, sustainable development, and technology, while the Planning Commission’s focus was primarily on resource allocation and fixed targets.
• Decentralization: NITI Aayog aims to empower states with greater autonomy to design development policies tailored to their unique needs.

Challenges of NITI Aayog

• Limited Authority: NITI Aayog lacks the executive powers to enforce its recommendations, which limit its ability to drive significant change.
• Coordination Between States and Centre: Despite its emphasis on cooperative federalism, achieving effective collaboration between state governments and the central government remains a challenge.
• Data Gaps: NITI Aayog relies heavily on accurate data to guide policies, but inconsistent or incomplete data from states hinder effective policymaking and monitoring.
• Resource Constraints: Limited resources and competing priorities often make it challenging for NITI Aayog to fully implement its plans and initiatives.
• Resistance to Change: Some states and political entities resist NITI Aayog’s initiatives, especially if they feel their autonomy is being undermined or if there is a lack of alignment with local needs.

Vision Plans of NITI Aayog for India

• Agenda for 2030: Focuses on achieving the Sustainable Development Goals (SDGs) by addressing poverty, education, healthcare, clean energy, and gender equality.
• 15-Year Vision Document: Aimed at creating a roadmap for India’s development from 2020 to 2035, with a focus on economic growth, social equity, and environmental sustainability.
• Focus on Data and Innovation: Promotes digitalization, innovation, and evidence-based policymaking to drive economic development and improve governance.