General Studies Paper-2

Context: Recently, issues linked to the Scheme for Care and Support to Victims have been highlighted.

About Scheme for Care and Support to Victims

• In November 2023, the Ministry of Women and Child Development notified the “Scheme for Care and Support to Victims under Section 4 & 6 of the Protection of Children from Sexual Offences (POCSO) Act, 2012”.
• The new scheme aims to provide integrated support and assistance to girl child victims under one roof, facilitate immediate, emergency and non-emergency access to a range of services, including access to education, police assistance, and health care, including maternity, neo-natal and infant care, psychological and legal support.
• However, the scheme’s name and implementation raise significant concerns and inconsistencies, prompting a need for thorough examination and rectification.

Features

• The scheme is funded as a 100% centrally funded scheme under the Nirbhaya Fund and implemented by the States/UTs through the District Magistrate.
• It was for only abandoned or orphaned pregnant girls, initially, the scheme has now been expanded to include all pregnant girl victims under the mentioned sections of the POCSO Act.
• The scheme applies from the time of the report of the case and continues until the girl child turns 18 years old.
  • After turning 18, further support may be provided under aftercare provisions until the age of 23.
• The girl child victim will be provided with health insurance cover @ Rs. 5 Lakhs per year/- under PM-JAY.
• The scheme provides for free legal aid/assistance from the panel of advocates at the District Legal Services Authority (DLSA) and assistance under the Scheme from the District Child Protection Officer if needed.
• Every reported case booked under the POCSO Act, 2012 of a pregnant girl under 18 years — would be given an initial payment of ₹6,000 and a monthly payment of ₹4,000 as stipulated in Mission Vatsalya up to the age of 21 years with possible extension of up to 23 years.

Issues and Concerns

• The scheme is fraught with glaring oversights and inconsistencies with prevailing legislations, rules, orders and guidelines.
• The scheme remains silent on whether the benefits will continue to be provided if the victim of a reported case opts for an medical termination of pregnancy (MTP) or has a miscarriage.
• The misleading nomenclature, either by oversight or deliberate, results in confusion (a constant feature that runs through the scheme).
• India occupies a high position in the ranking of child marriages and teenage pregnancies, the burden on the exchequer, proposed by the scheme, is going to be multifold.
• The law has not proven to be very effective, largely because many cases involving pregnant girls arise out of marriage and non-exploitative, explorative sexual activity among young people.
• Victims under the POCSO Act, including those who are pregnant, do not automatically qualify as Children in Need of Care and Protection (CNCP).

Conclusion and Way Forward

• Sexual crimes are unfortunately associated with social stigma for the victims, a large number of cases remain unreported denying justice to victims. Most of the victims are girl children.
  • These girl child victims often fail to receive timely help and support.
• Therefore, it is imperative for the Ministry of Women and Child Development to address the existing issues , bearing in mind the provisions of the various prevailing legislations, rules, guidelines and protocols
  • Data which can substantiate many of the aspects put forth will further give it the backing of solid evidence.
• The existing scheme needs to unequivocally clarify whether all the entitlements for the girls who opt for institutional care listed in the “Process Flow of the Scheme”, also apply to those in non-institutional care, i.e., for girls who prefer to live with their family.
• A thorough analysis of health data and police data needs to be undertaken to plan, budget and provide for the scheme.

General Studies Paper-2

Context: Nepal recently announced the printing of a new Rs 100 currency note featuring a map that includes the Indian territories of Lipulekh, Limpiyadhura, and Kalapani.

• Lipulekh, Kalapani, and Limpiyadhura had been included in India’s November 2019 map.

India-Nepal Relations

Historical and Cultural Connections:

• Longstanding Ties: The relationship between India and Nepal stretches back centuries, marked by cultural exchange, religious affinities, and political interactions.
• Open Border: A unique feature is the open border policy allowing free movement of people between the two countries.
• Shared Heritage: Both nations share a rich Hindu and Buddhist heritage, evident in pilgrimage sites, religious practices, and cultural celebrations.
• Friendship Treaty: The India-Nepal Treaty of Peace and Friendship of 1950 forms the bedrock of the special relations that exist between India and Nepal.

Strategic Partnership:

• Security Cooperation: India and Nepal have close security ties, with India providing training and equipment to the Nepali Army. The ‘Indo-Nepal Battalion-level Joint Military Exercise SURYA KIRAN’ is conducted alternately in India and in Nepal
  • The Gorkha regiments of the Indian Army are raised partly by recruitment from hill districts of Nepal.
• Hydropower Development: India is a major partner in Nepal’s hydropower development projects, crucial for Nepal’s energy needs.

Economic & Humanitarian Ties:

• Economic Interdependence: India is Nepal’s largest trading partner and a significant source of foreign investment.
  • Both countries signed MoUs for a cross-border petroleum pipeline, cross-border payments, infrastructure development for check posts, and cooperation between foreign service institutes.
  • India remains a major trade and transit partner, where a number of Nepalis continue to earn a living or pursue higher education.
    • They also renewed the Transit Treaty, virtually inaugurated integrated check posts, and flagged the inaugural run of a cargo train from India to Nepal.
• Humanitarian Assistance: In the wake of the 2015 earthquake in Nepal, GoI was the first responder and carried out its largest disaster relief operation abroad (Operation Maitri).
• Power Exchange: India and Nepal have had a Power Exchange Agreement since 1971 for meeting the power requirements in the border areas of the two countries, taking advantage of each other’s transmission infrastructure.

Challenges and Tensions

• Border Disputes: There are unresolved territorial disputes concerning certain border areas. Nepal maintains that not just the Kalapani region, but Limpiyadhura and Lipulekh are parts of its territory as demarcated in the 1816 Treaty of Sugauli.
  • India has stated that the 1950 Treaty of Peace and Friendship between India and Nepal annulled the Sugauli Treaty.
• Water Sharing: Issues related to water sharing of transboundary rivers can lead to occasional tensions.
• Security Issues: There was an escalation of the smuggling of drugs, arms and terrorist-related cross-border activities masterminded from Pakistan against India, from Nepalese soil.
• Political Instability: Accompanied by frequent changes of government (a result of political opportunism), facilitated the spread of a Maoist insurgency within Nepal which later established its headquarters in a jungle hideout in India.
• External Influences: Nepal might be cautious of becoming overly reliant on India and may seek to diversify its foreign relations (Playing China Card)

Conclusion and Way Forward

• India and Nepal must do more than merely resolve boundary issues.
• They must return to the core strengths of their unique social, cultural, strategic, political, and economic bonds and modernize ties to directly connect its people, markets, finance, and technology.
  • Good ties with Nepal, meanwhile, help India address security and geopolitical issues in its neighbourhood more smoothly.
• India could consider offering a new and holistic development road map which would excite public imagination and attract cross-party political consensus .

General Studies Paper-3

Context: The Government of India has been increasingly adapting to the ongoing innovations and changes in the agricultural sector to keep up with the pace at which the sector is developing globally.

About AgriTech

• It is a term used for agricultural technology, which involves the use of technology to improve farming and agriculture across different value chains.
• It includes sophisticated technologies that drive the so-called ‘fourth agricultural revolution,’ akin to the industrial 4.0 revolution, shaping the future of the sector.

Status In India

• In India, AgriTech has continued to grow with startups using innovation and digital technologies like precision farming, quality management, production, supply- chain/market linkage, and digital traceability to name a few.
• The Agritech industry has experienced a remarkable tenfold growth in the past three years, propelled by four pivotal factors:
  • The expanding digital reach throughout India, supply chain disruptions due to COVID,
  • Rising consumer demand for high-quality produce, and
  • Growing interest from private equity and venture capital.
• Currently, there are nearly 2800[Startup India Database as on 31st December 2023] AgriTech startups recognised by Startup India.
• The Economic Survey of India 2022-23 highlighted that India’s agriculture sector has grown 4.6 per cent over the last six years with over 1000 agri-tech start-ups having emerged in the sector.

Need and Importance

• With over 70% of India’s rural population still being dependent on agriculture for their livelihood, the need for innovation in the sector has always remained high.
• Satellite data has given Indian farmer optimal sowing times, weather warnings, and better use of irrigation and pesticide
• The positive impact of AgriTech is not only evident in increased productivity and income for farmers but also in the potential to reshape the entire agricultural landscape of India for the better.
• Steps
• Indian Finance Minister Nirmala Sitharaman, in her 2023 budget speech, announced a 703 million rupee ($8.42 million) accelerator fund to boost agritech startups.
  • In March 2023, the government said the fund was supporting 1,138 such companies.
• The Digital Agriculture Mission (DAM) initiative was launched in September 2021 to help agri-tech start-ups by leveraging advances in cloud computing, earth observation, remote sensing, data, and AI/ML models.
• National Agricultural Market (e-AM) scheme offers free software as well as financial support of INR75 lakh each to the Agriculture Produce Market Committee (APMC) mandi for associated hardware, such as quality-assuring tools and the establishment of infrastructure for cleaning, grading, sorting, packing, composting, etc
• The government has also incentivised drones and artificial intelligence for advanced farming activities.
• The Indian government, which just relaxed foreign investment rules for the space sector, is leaning heavily into the use of satellite data to solve problems on the ground, with agriculture a key focus.

Challenges

• The lack of an integrated database on crop loss, crop images, food shortages, insufficient formal channels to aggregate advisory recommendations for farmers and incomplete data and inconsistency were highlighted as major bottlenecks in the implementation.
• The average landholding size for farmers in India is just 1.08 hectares.
  • That fragmentation, coupled with poverty and low levels of literacy, pose challenges for tech adoption, industry experts said.
• Agriculture has never been a tech-forward sector and often farmers want to rely on traditional practices, or the wisdom of their forefathers

Conclusion

• AgriTech startups are ushering in a new era for Indian agriculture by integrating agriculture practices with artificial intelligence and machine learning.
  • Through the integration of cutting-edge technologies and innovation, these startups are addressing age-old challenges, empowering farmers, and fostering change.
• India’s path to leadership in the new space race lies in utilizing the power of data, and applications within the agricultural sector offer immense potential.
• The digitalisation of agriculture and the launch of an Agriculture Accelerator Fund will usher in new opportunities for businesses and individuals in the country and for the global community at large.
• India offers huge scope for investment in the agri-tech sector, for AgriTech start-ups, digital infrastructure aids, and innovative technologies.

General Studies Paper-2

Context: India’s agreement with Iran to develop and operate the Chabahar port represents a significant step in enhancing infrastructure and trade ties between the two nations.

About the Recent Deal

• India and Iran signed a 10-year development and operation contract for Chabahar Port in southeastern Iran, on the Gulf of Oman.
• India will invest $120 million and offer a credit facility of $250 million to further develop the terminal it operates in Chabahar’s Shahid Beheshti port and related projects.
• The landmark agreement replaces the 2016 operation agreement that was renewed annually. The new contract is aimed at strategically augmenting and diversifying value chains for India and Iran.

Background

• India-Iran cooperation in developing Chabahar Port dates back to 2003.
• Conceived in 2003, the project did not take off for years after the U.S. and the UN imposed sanctions on Iran over its nuclear programme.
• India signed a memorandum of understanding in 2015 after Washington eased sanctions on Iran following that year’s nuclear agreement, and in 2016, the contract was executed during Prime Minister Narendra Modi’s Iran visit.
• The U.S.’s unilateral withdrawal from the nuclear deal in 2018 and reimposition of sanctions on Iran raised questions on India’s continued cooperation with Tehran.

Strategic Importance of Chabahar Port for India

• Alternative Route to Afghanistan and Central Asia: By bypassing Pakistan, Chabahar provides a direct trade route to Afghanistan and Central Asia.
  • This enhances India’s connectivity and trade prospects in the region.
• Integration with the International North-South Transport Corridor (NSTC): Chabahar’s connection to the NSTC facilitates trade between India, Iran, Azerbaijan, and Russia.
  • The NSTC offers an alternative to the Suez route, reducing time and costs for intercontinental trade.
• Geopolitical Influence and Competition with China: Chabahar’s proximity to China’s Gwadar port (part of the Belt and Road Initiative) allows India to expand its influence in Central Asia.
  • India must remain committed to Chabahar despite changing geopolitical dynamics and focus on improving connectivity projects with Central Asia.

Critical Issues

• Potential Sanctions Risk: The US has cautioned countries against engaging in business deals with Iran due to ongoing sanctions. This raises concerns about potential repercussions for India and businesses involved in the Chabahar project.
• Geopolitical Implications: The agreement strengthens India’s ties with Iran and provides a strategic foothold in the region, bypassing Pakistan. However, it could also complicate relations with the US and its allies.
• Security Concerns: The region surrounding Chabahar Port has been prone to instability and security threats. Ensuring the safety and security of the port and its operations will be crucial for its success.

Conclusion and Way Forward

• Despite U.S. sanctions on Iran, India has managed to operate Chabahar through ad hoc measures. Balancing its interests between Iran and the U.S. India seeks to maintain the project’s momentum.
• Through active and visionary diplomacy and efficient implementation and operations of the project, India can overcome existing challenges and should be able to maintain the Chabahar project as a viable transit hub and link.

General Studies Paper-2

Context: The Supreme Court underscored the constitutional safeguards required before the State can acquire private property.

About

• It is a step to protect private property from arbitrary state takeover for a public purpose.
• The judgement highlighted the necessity of adhering to fair procedures and upholding the rights of property owners under the Indian Constitution.
  • The compulsory acquisition without following mandatory procedures followed by a grant of compensation to the owners will not make the accession constitutional.

Major Highlights of the Judgement

• As per SC, the right to property is protected as a constitutional right and has even been interpreted to be a human right.
• It is generally assumed that for a valid acquisition all that is necessary is to possess the power of eminent domain [power of the sovereign to acquire property of an individual for public use without consent] to acquire, followed by grant of reasonable and fair compensation.
• Article 300 A: The court stated that procedural justice is a cornerstone of Article 300A when the acquisition of private property by the State is for a public purpose and on the payment of compensation.
  • The phrase ‘authority of law’ in the Article should not be understood as merely the power of eminent domain vested in the state.
  • The requirement of a ‘law’ in Article 300A does not end with the mere presence of a legislation which empowers the state to deprive a person of his property.
• Seven basic rights: The court laid down seven basic procedural rights of private citizens which constitute the “real content of the right to property under Article 300A” that the state should respect before depriving them of their private property.
  • They include, the right to notice or the duty of the state to inform the person that it intends to acquire his property;
  • The right of the citizen to be heard or the duty of the state to hear the objections to the acquisition;
  • The right of the citizen to a reasoned decision or the duty of the state to inform the person of its decision to acquire property;
  • The duty of the state to demonstrate that the acquisition is exclusively for public purpose; the right to fair compensation of the citizen;
  • The duty of the state to conduct the process of acquisition efficiently and within prescribed timelines;
  • And finally, the conclusion of the proceedings leading to vesting or the right of conclusion.

Significance of the Judgement

• The ruling not only clarified the State’s obligations but also strengthened the procedural protections afforded to property owners, reinforcing the constitutional principles of justice and fairness in property rights.

General Studies Paper-3

Context: The Supreme Court held that a person summoned by a designated special court under the Prevention of Money Laundering Act (PMLA), is presumed to be not in custody and need not apply for bail.

About Prevention of Money Laundering Act (PMLA) 2002

• The Parliament enacted the PMLA as a result of international commitment to deal with the menace of money laundering.
• Provisions:
  • 3 of PMLA defines the offense of money laundering as any process or activity connected with the proceeds of crime and projecting it as untainted property.
  • Prescribe obligation: PMLA prescribes the obligation of banking companies, financial institutions and intermediaries for verification and maintenance of records of the identity of all its clients.
  • Empowerment of officers: PMLA empowers Directorate of Enforcement to carry out investigations in cases involving offense of money laundering and also to attach the property involved in money laundering.
  • Special Courts: It envisages the designation of one or more courts of sessions as Special Court to try the offenses punishable under PMLA.
  • Agreement for Central Government: It allows the Central Government to enter into an agreement with the Government of any country outside India for enforcing the provisions of the PMLA.

Stringent norms of PMLA

• The twin conditions of bail under Section 45 of the PMLA pose stringent thresholds for an accused.
• For one, the person has to prove in court that he or she is prima facie innocent of the offense.
• Secondly, the accused should be able to convince the judge he would not commit any offense while on bail. The burden of proof is entirely on the incarcerated accused.
• The twin conditions make it almost impossible for an accused to get bail under the PMLA.

Supreme Court Judgment

• The judgment limits the power of arrest by the Directorate of Enforcement (ED) after a special court takes cognisance of a case.
• The ED would have to separately apply for the custody of a person who appears in court. The Central agency would have to show specific grounds that necessitated custody.
• However, when the ED wants to conduct a further investigation concerning the same offense, it may arrest a person not shown as an accused in the complaint filed under Section 44(1)(b) of the PMLA, provided the requirements of Section 19 (procedures of arrest) under the Act were fulfilled.
  • Section 19 of the PMLA allows ED officers to arrest an individual “on the basis of material in possession (and) reason to believe (to be recorded in writing) that the person is guilty”.
• An accused, who appears in a special court pursuant to its summons, could be exempted from personal appearance in the future.
  • On the other hand, if an accused does not appear after a summons is served, the special court could issue a bailable warrant followed by a non-¬bailable one.

General Studies Paper-3

Context: India’s merchandise exports witnessed a slight improvement in April 2024, showing a modest increase of 1.07% compared to the same month the previous year.

Key Analysis

• Export Trends:
  • In 2023-24, India’s merchandise exports declined by over 3% due to geopolitical and logistical disruptions.
  • However, in April 2024, there was a marginal uptick of 1.07% (worth $370 million) compared to the previous year.
  • Key contributors to export growth last month were pharma, chemicals, electronics, and petroleum products (recovering from a 35% contraction in March).
• Trade Deficit and Import Bill:
  • Despite export growth, India’s goods import bill surged by 10.25% to over $54 billion in April.
  • Consequently, the trade deficit reached $19.1 billion, the highest in four months.
  • Rising oil and gold prices played a role in increasing the import bill.
• Global Trade Outlook:
  • Global trade volumes are expected to rise by 2.6% in 2024 after a 1.2% decline in 2023 (according to the World Trade Organization).
  • India aims to capitalize on this trend by targeting key markets in the western world with lower inflation and improved growth rates.
• Challenges and Opportunities:
  • India needs to address challenges in labour-intensive sectors like garments and footwear, where it faces competition from countries like Bangladesh and Vietnam.
  • Quality concerns (e.g., spices, drugs) and environmental issues (related to shrimp exports) need attention.
  • Reviving agricultural exports, considering healthy monsoon prospects, is crucial.

Negative Impact of trade imbalance on the Indian economy

• Currency Depreciation: A trade deficit often leads to a weakening of the Indian rupee against other currencies. This makes imports more expensive and can fuel inflation.
• Increased External Debt: To finance the deficit, India might need to borrow from foreign sources, leading to an increase in external debt and interest payments.
• Reduced Domestic Production: A reliance on imports can discourage domestic production, leading to job losses and a slowdown in economic growth.
• Balance of Payments (BoP) Issues: A persistent trade deficit can strain the BoP, making it difficult to manage foreign exchange reserves and meet international financial obligations.
• Measures Needed to keep the trade imbalance in acceptable limits
• Export Diversification: Expanding the range of exported products and services to reduce dependence on a few key sectors. This can be achieved by promoting sectors like agriculture, pharmaceuticals, engineering goods, and services like IT and tourism.
• Market Access: Negotiating and securing favorable trade agreements with other countries to reduce barriers to Indian exports. This includes addressing non-tariff barriers like technical standards and regulations.
• Export Infrastructure: Investing in infrastructure like ports, airports, and logistics to facilitate efficient movement of goods. This will reduce transaction costs and make Indian exports more competitive.
• Export Promotion: Providing financial and technical assistance to exporters, particularly small and medium enterprises (SMEs). This can include export credit, insurance, and marketing support.
• Skill Development: Enhancing the skills of the workforce to meet the demands of global markets. This includes training programs in areas like manufacturing, design, and technology.
• Import Substitution: Encouraging domestic production of goods that are currently imported. This can be achieved through incentives like tax breaks, subsidies, and easier access to credit for domestic manufacturers.
• Tariff and Non-Tariff Measures: Judicious use of tariffs and non-tariff measures to protect domestic industries from unfair competition. However, this should be done carefully to avoid escalating trade tensions.

Way Forward

• Lowering Trade Tariffs and Simplifying Procedures: NITI Aayog CEO BVR Subrahmanyam emphasized the need to reduce trade tariffs and simplify procedures.
  • Lower tariffs and streamlined processes encourage trade and attract global value chains.
• Focus on Domestic Industries: India aims to reduce reliance on imports by developing its domestic industries.
  • Incentives can be provided to local companies to manufacture goods currently imported, creating employment opportunities.
• Shift in Trade Policy: India shifted focus from the Regional Comprehensive Economic Partnership (RCEP) to Western and West Asian free trade agreements.
  • The goal is to avoid further trade imbalances and attract global value chains.
• Enhancing Services Sector: India’s advantage lies in the services sector due to its skilled manpower and education system.
  • Removing stringent regulations and promoting services exports can contribute to balanced trade

General Studies Paper-3

Context: Recently the ISRO Chairman S. Somanath said that the NISAR satellite will be able to monitor tectonic movements accurately and can fully map the earth twice a month.

NISAR Satellite

• NISAR is an Earth-observation satellite that stands for (NASA-ISRO Synthetic Aperture Radar).
• It is Jointly developed by the National Aeronautics and Space Administration (NASA) and the Indian Space Research Organisation under a partnership agreement signed in 2014.
• It will be launched into a polar Sun-synchronous dawn-dusk orbit.
• NISAR is the first satellite mission to collect radar data in two microwave bandwidth regions, called the L-band and the S-band.
  • The S-band payload has been made by the ISRO and the L-band payload by the U.S.

Monitoring of Earth Surface

• The NISAR system comprises a dual frequency, fully polarimetric radar, with an imaging swath greater than 150 miles (240 km).
• This design permits complete global coverage every 12-days, allowing researchers to create time-series interferometric imagery and systematically map the changing surface of Earth.
• It can monitor various aspects in very high resolution.
• After a 90-day commissioning period, the mission will conduct a minimum of three full years of science operations with the L-band radar to satisfy NASA’s requirements,
  • ISRO requires five years of operations with the S-band radar.

Objectives of the Mission

• NISAR can measure tectonic plate movements accurately. So a lot of geological, agricultural and water-related observations can be obtained from this satellite.
• It can study the water-stressing, climate change-related issues, agricultural changes through patterns, yield, desertification and continental movements precisely with respect to annual water cycle movements.
• NISAR’s data can help people worldwide better manage natural resources and hazards, as well as providing information for scientists to better understand the effects and pace of climate change.

General Studies Paper-2

Context

• With uncertainty gripping the ambitious India-Middle East EU Economic Corridor (IMEC) project due to the deepening of the West Asia crisis, India is examining the possibility of beginning work on the eastern leg of the corridor.
• Background: The IMEC, a proposed 4,800 km long route was announced in 2023 on the sidelines of the G20 Summit.
  • This followed a meeting between the leaders of India, the US, the United Arab Emirates, Saudi Arabia, Italy, France, Germany, and the European Commission.
• Members: India, European Union, France, Germany, Italy, Saudi Arabia, UAE and US announced the India-Middle East-Europe Economic Corridor (IMEC).
• Aim: Integration of Asia, Europe and the Middle East.
• The IMEC will comprise of two separate corridors:
  • The east corridor connecting India to the West Asia/Middle East and
  • The northern corridor connecting West Asia/Middle East to Europe.

Ports Which are Part of IMEC

• India: Ports in Mundra (Gujarat), Kandla (Gujarat), and Jawaharlal Nehru Port Trust (Navi Mumbai).
• Europe: Piraeus in Greece, Messina in Southern Italy, and Marseille in France.
• Middle East: Ports include Fujairah, Jebel Ali, and Abu Dhabi in the UAE, as well as Dammam and Ras Al Khair ports in Saudi Arabia.
• Israel: Haifa port.
• Railway Line: The railway line will link Fujairah port in the UAE to Haifa port in Israel, passing through Saudi Arabia (Ghuwaifat and Haradh) and Jordan.

Significance

• Economic Development: By linking Asia, West Asia, the Middle East and Europe through enhanced connectivity and economic integration, the corridor aims to give a boost to economic development in the regions.
• Connectivity: The corridor will include a rail line, which, upon completion, will provide a reliable and cost-effective cross-border ship-to-rail transit network.
  • The rail line will supplement the existing multi-modal transport routes enhancing trans-shipment of goods and services from South East Asia through India to West Asia/Middle East and Europe.
• Eco-friendly Infrastructure: It places emphasis on developing environmentally friendly infrastructure.
• Transformative Integration: It intends to increase efficiency, reduce costs, secure regional supply chains, increase trade accessibility, enhance economic cooperation, generate jobs and lower greenhouse gas emission, resulting in a transformative integration of Asia, Europe and the Middle East (West Asia).

Concerns

• Gaza War: Long-term trend towards greater trade and strategic links between Israel and Arab nations that was championed by the Abraham Accords will suffer a blow due to the Gaza war.
  • Connecting Al Haditha in Saudi to Haifa in Israel is at the core of IMEC but it is going to be challenging now.
• The security challenges in the region have made other partners reluctant to invest in the project.
  • The instability in the Middle East has given a fatal blow to the project which aimed to radically quicken trade, reduce port costs and aid India’s National Logistics Policy.
  • The delay in the project could negatively impact the aspirations of India to deepen ties with Arabian Peninsula and Europe.

Way Forward

• The geopolitical concerns need to be managed by striking a delicate balance in accommodating the geopolitical interests of the participating nations and addressing potential political sensitivities.
• There is also a need to maintain the required security apparatus as the project passes through certain unstable regions of the world.

General Studies Paper-3

Context– The Household Consumption Expenditure Survey for 2022-23 (HCES) by the National Sample Survey Office (NSSO) led to estimations of poverty and inequality trends by researchers.

 What are the trends in poverty and inequality according to some studies?

1. Based on the Rangarajan Committee’s poverty lines, the estimated poverty ratio declined from 29.5% in 2011-12 to 10% in 2022-23 (1.77% points per year).
2. Based on the Tendulkar Committee’s poverty lines, the poverty ratio declined from 21.9% in 2011-12 to 3% in 2022-23 (1.72% points per year).
3. Between 2011-12 and 2022-23, the Gini coefficient declined from 0.278 to 0.269 for rural areas and from 0.358 to 0.318 for urban areas, indicating a decrease in inequality.
4. This means poverty declined significantly between 2011-12 and 2022-23, though the rate of decline was lower compared to the 2004-05 to 2011-12 period. Inequality declined between 2011-12 and 2022-23 particularly in urban areas. It is to be noted that all these estimates depend on where the poverty line is drawn.

What changes have been made regarding the data collection methodology?

1. The NSSO has changed the reference or recall period of data collection over time, leading to three estimates of consumption: Uniform Reference Period (URP), Mixed Reference Period (MRP), and Modified Mixed Reference Period (MMRP).
2. The Tendulkar Committee used MRP for 1993-94 and 2004-05, while the Rangarajan Committee used MMRP for 2009-10 and 2011-12, making the 2022-23 estimates (based on MMRP) not strictly comparable with earlier years.
3. Changes in methodology, such as coverage of more items and multiple visits, may provide better estimates but raise comparability issues.

What are the issues regarding the data collection methodology?

• The NSSO altered the reference or recall period of data collection over time to enhance the accuracy of consumption reporting. Changes in methodology, such as coverage of more items and multiple visits, may provide better estimates but raise comparability issues.

What are the measurement issues discussed regarding poverty lines?

• There has been a discussion on the appropriateness of calorie norm-based poverty lines.
• The Tendulkar Committee adopted the official urban poverty line of 2004-05 based on the Lakdawala methodology, which indirectly used calorie norms.
• The Rangarajan Committee estimated a new poverty basket, including a food component for adequate nourishment, essential non-food items, and behaviorally determined non-food expenditure.

How does public expenditure affect poverty measurements?

• The poverty line is based on private consumption expenditure, but public expenditure also impacts household well-being. The Household Consumption Expenditure Survey 2022-23 tried to estimate the value of some things the government provides for free or at low prices. However, this survey didn’t fully account for the government’s help. Thus, there is a need to capture these values better as public expenditure on these items is substantial.

Conclusion– Overall, there has been a decline in poverty and a slight reduction in consumption expenditure inequality. However, it’s noted that there isn’t a single method for measuring poverty, and the number of poor varies depending on the poverty cut-off used.