Context

• India, with a staggering population of 145 crore, has made significant strides in achieving self-reliance in food and nutrition over the past seven decades.
• These accomplishments have primarily been driven by the expansion of agricultural lands and the intensification of practices during the Green Revolution.
• Current agricultural systems may fall short of meeting this goal due to their unsustainable practices and mounting ecological costs.

Challenges of Current Agricultural Practices

• Soil Degradation
  • The overuse of chemical fertilisers has caused significant depletion of soil health.
  • Over six decades of reliance on synthetic inputs have reduced the soil organic carbon content from a healthy 2.4% in 1947 to a critically low 0.4% today.
  • This degradation not only undermines the soil's ability to support crops but also jeopardizes its role in carbon sequestration, further exacerbating climate change.
  • Soil with organic carbon below the threshold of 1.5% loses its arability, making it unsuitable for sustainable farming.
• Economic Costs
  • The financial burden of soil degradation is staggering. Over 70 years, the loss of soil organic carbon alone has cost India ₹47.7 lakh crore ($564 billion), translating to an annual loss of ₹68,243 crore ($8.06 billion).
  • Additionally, the Indian government spends ₹2 lakh crore ($25 billion) annually on subsidies for synthetic fertilisers.
  • These subsidies, while intended to support farmers, inadvertently encourage excessive and inefficient use of chemical inputs, further degrading the soil.
• Declining Fertiliser Efficiency
  • The response ratio of fertilisers has seen a sharp decline over the decades. In the 1960s, every kilogram of NPK fertiliser produced 12.1 kilograms of grain.
  • By 2010-2017, this had dropped to just 5.1 kilograms, signalling diminishing returns on fertiliser use.
  • This decline is a direct consequence of deteriorating soil health, making it increasingly difficult to achieve high yields.
• Environmental Impact
  • The environmental costs of India’s current agricultural practices are profound.
  • The use of synthetic fertilisers contributes to approximately 25 million tonnes of greenhouse gas emissions annually, costing the country an additional ₹14,813 crore ($1.75 billion).
  • These emissions exacerbate global warming and threaten the long-term sustainability of agriculture.
  • Furthermore, intensive farming practices deplete natural resources such as groundwater and reduce biodiversity, compounding the ecological crisis.
• Food Security Risk
  • If the current trends persist, India could face food shortages as early as 2035.
  • This risk is driven by a combination of factors: the growing population, increased food demand, declining soil productivity, and the adverse impacts of climate change.
  • Without immediate intervention to address these issues, India’s ability to feed its citizens will be severely compromised.
• Social and Health Costs
  • Beyond the economic and environmental impacts, intensive agriculture poses significant social and health challenges.
  • The widespread use of chemical inputs has led to contamination of water and food supplies, adversely affecting public health.
  • Additionally, the heavy financial reliance on synthetic inputs traps farmers in a cycle of debt, contributing to rural distress and social inequities.

Necessary Steps to Address these Challenges

• A Shift Towards Sustainable Agriculture
  • To address these challenges, India must transition to a climate-resilient, nature-based agricultural model.
  • Such a system prioritises ecological intensification over traditional intensification, reducing dependence on synthetic inputs while enhancing soil health, biodiversity, and overall productivity.
  • Regenerative farming, rooted in the principles of agroecology, emerges as a promising alternative.
  • This approach reduces input costs, conserves natural resources, and boosts farm productivity, while also promoting the well-being of farmers and consumers alike.
• Mainstreaming Regenerative Practices
  • The Prime Minister’s National Mission on Natural Farming serves as a critical step toward safeguarding Indian agriculture.
  • By mainstreaming regenerative practices, India can ensure food, nutritional, and ecological security.
  • Studies have demonstrated that community-managed natural farming not only improves agricultural output but also builds social capital, enhances the health of farming communities, and fosters environmental sustainability.
• The Need for Evidence and Policy Reform
  • For India to fully embrace regenerative farming, intensive and longitudinal research is necessary across all 15 agro-climatic zones.
  • Such studies will provide scientific evidence of the benefits of regenerative practices, helping to create awareness and inform policy frameworks.
  • Disseminating this evidence will also strengthen political will, creating the development of large-scale models for adopting sustainable agriculture.
  • Agroecological principles must guide this transformation and these include biological pest control, nutrient cycling, soil health enhancement, and biodiversity conservation.
  • A knowledge-intensive approach, supported by participatory and decentralised pedagogies, will empower farmers to implement these practices effectively.

Way Forward

• A Radical Transformation in Agriculture
  • India’s vision of achieving net zero status by 2070 aligns with the goals of redesigning its agricultural systems.
  • By focusing on regenerative farming and ecological intensification, India can mitigate the risks of climate change, reduce hidden costs of agriculture, and ensure long-term food security.
  • A radical transformation of the agricultural paradigm, underpinned by robust evidence and policy support, is essential to secure the nation's nutritional and ecological future.
• Building a Scientific and Policy Framework
  • Redesigning Indian agriculture requires a comprehensive strategy grounded in scientific evidence and participatory approaches.
  • Intensive field research across India’s 15 agro-climatic zones is essential to validate the benefits of regenerative farming and generate localised solutions.
  • Public dissemination of this evidence can foster awareness, political will, and policy support for scaling up sustainable practices.
  • Moreover, knowledge-intensive systems supported by decentralised pedagogies can empower farmers with the skills and resources to adopt agroecological principles.

Conclusion

• India stands at a crossroads in its agricultural journey and the current model of intensive agriculture is unsustainable and poses significant risks to food security, ecological balance, and economic stability.
• A radical shift towards regenerative and ecological farming is the need of the hour because regenerative farming holds the key to balancing productivity with environmental stewardship.
• By embracing this transformation, India can ensure its agricultural system remains resilient, productive, and sustainable, securing a healthier and more prosperous future for its people and the planet.

What’s in Today’s Article?

• Introduction
• Import Measures (Policy Measures, WTO Commitments, Challenges, Import Dependency, etc.)
• Way Forward

Introduction:

• India's heavy reliance on imported IT hardware, such as laptops and PCs, has driven the government to explore strategies to boost domestic manufacturing.
• This includes linking import permissions to domestic capacity expansion and introducing a credit system for imports once production meets critical thresholds.

Strategic Policy Measures:

• Import Restrictions Tied to Domestic Manufacturing:
  • The government plans to emulate the successful strategy used in the tyre manufacturing sector.
  • In 2020, restrictions on new pneumatic tyre imports led to global players like Bridgestone, Michelin, and Goodyear investing over ₹1,100 crore in local facilities.
  • A similar conditional easing of import norms is being considered for laptops and PCs, tied to commitments for domestic production.
• Credit System for Imports:
  • A credit system for IT hardware imports may be introduced, with detailed policies expected as domestic production gains momentum.

WTO Commitments and Global Trade Concerns:

• WTO Constraints:
  • India cannot impose higher duties on IT products, as they are bound by zero-duty commitments under the WTO’s Information Technology Agreement (1997).
• Global Pressure:
  • China dominates the global IT hardware market, with an 81% share of PCs and laptops and exports worth $163 billion in 2022.
  • Leading US-based companies like Apple, Dell, and HP, which produce in China, have raised concerns about India’s import monitoring system.
  • Japan and China have also formally expressed opposition to India’s laptop import licensing measures.
• India's Security Goals:
  • While trade partners fear trade restrictions, the Indian government emphasizes that its policies aim to achieve self-reliance for national security, not impose undue barriers.

India’s Import Dependency:

• In FY24, India imported electronic components worth $34.4 billion, making it the fifth-largest imported commodity.
• Imports from China ($12 billion) and Hong Kong ($6 billion) accounted for over 50% of total electronic imports.
• Over the last five years, imports from China and Hong Kong have far exceeded those from South Korea, Japan, Taiwan, and ASEAN nations combined.

Domestic Production Challenges:

• Slow Progress in IT Hardware Manufacturing:
  • Despite initiatives like the revamped Production Linked Incentive (PLI) scheme (2023), domestic production of laptops and tablets has yet to scale up significantly.
  • 27 companies, including Dell, HP, Lenovo, and Foxconn, have been approved under PLI 2.0 but are still in the early stages of production.
• Extended Import Authorizations:
  • Import restrictions under the Import Management System (IMS) have been extended until December 31, 2025, to prevent shortages and price hikes.

Way Forward:

• To reduce import dependency and achieve self-reliance, the government is pursuing a multi-faceted approach:
  • Strengthening Local Manufacturing:
    • Accelerating PLI incentives and enforcing policies that link imports with domestic capacity expansion.
  • Diversifying Trade:
    • Exploring alternative supply chains to reduce dependence on China and Hong Kong.
  • Encouraging Investments:
    • Creating a favourable ecosystem for both domestic and foreign players to invest in manufacturing facilities.
  • Balancing Global Commitments and Domestic Needs:
    • Aligning policies with WTO obligations while protecting strategic interests.

Why in News?

In a landmark decision, the SC has prohibited the Enforcement Directorate (ED) from accessing and copying data from electronic devices seized during a raid on Santiago Martin, known as the "lottery king," his relatives, and employees.

The decision emphasises the protection of fundamental rights, including the right to privacy, and could influence future guidelines on digital device seizures.

What’s in Today’s Article?

• What is the Enforcement Directorate (ED)?
• What is the Case Background?
• Supreme Court's Order
• Implications for ED Investigations
• Broader Concerns
• Conclusion

What is the Enforcement Directorate (ED)?

• Background:
  • The origin of the Directorate can be traced back to 1956, when an ‘Enforcement Unit’ was formed, in the Department of Economic Affairs, for handling Exchange Control Laws violations under Foreign Exchange Regulation Act, 1947.
  • In 1957, this Unit was renamed as ‘Enforcement Directorate’ and the administrative control of the Directorate was transferred from Department of Economic Affairs to Department of Revenue in 1960.
• About:
  • ED is a specialised financial investigation agency under the Department of Revenue, Ministry of Finance, which enforces the following laws: 
    • Foreign Exchange Management Act,1999 (FEMA) - A Civil Law.
    • Prevention of Money Laundering Act, 2002 (PMLA) - A Criminal Law.
  • The ED (Headquartered at New Delhi) is governed under the Central Vigilance Commission (CVC) Act, 2003.
• Composition:
  • It is composed of officers from the Indian Revenue Service, the Indian Police Service and the Indian Administrative Service, as well as officers promoted from its own cadre.
  • It is headed by the Director of Enforcement, who is appointed by the Central government and has been provided security of two-year tenure in office by the CVC Act, 2003.

What is the Case Background?

• The ED's operation:
  • In November, ED conducted searches at 22 locations across six states based on a complaint by Meghalaya Police.
  • Allegations were made against Future Gaming and Hotel Services Pvt Ltd for illegally monopolising the lottery business in Meghalaya.
  • The raids uncovered ₹12.41 crore in cash.
• Future Gaming’s political contributions:
  • The company was the largest purchaser of electoral bonds, totaling ₹1,368 crore between 2019 and 2024.
  • Donations were made across party lines:
    • Trinamool Congress: ₹542 crore
    • DMK: ₹503 crore
    • YSR Congress: ₹154 crore
    • BJP: ₹100 crore

Supreme Court's Order:

• Content and directives:
  • A two-page order by Justices of SC directed ED not to access or copy data from seized devices belonging to Santiago Martin and his associates.
  • The order also stayed summons under the Prevention of Money Laundering Act (PMLA) requiring individuals to appear for data extraction purposes.
  • The Future Gaming case was ordered to be heard alongside other cases related to digital device seizures, including Amazon India and Newsclick petitions.
• Petitioners’ argument:
  • The plea emphasized the violation of privacy and constitutional rights due to unrestricted access to sensitive personal and business data.
  • It highlighted the absence of procedural safeguards against "fishing expeditions" by investigative agencies.

Implications for ED Investigations:

• ED’s response:
  • Senior officials described the SC's restraint as “unprecedented” but maintained it would not hinder their investigations due to other evidence and property attachments worth ₹622 crore.
  • They cited adherence to CBI guidelines on digital evidence.
• Legal implications:
  • Lawyers, including former Attorney General Mukul Rohatgi, argued for interim relief, highlighting the infringement of privacy and the need for defined procedures in such cases.
  • The decision sets a potential precedent for limiting access to sensitive data and protecting against self-incrimination.

Broader Concerns:

• Nature of seized devices: The petition detailed the seizure of 17 mobile phones, hard disks, pen drives, and email backups containing sensitive financial, medical, and business information.
• Tax compliance: Future Gaming disclosed having paid ₹28,205 crore in GST for operating state lotteries, reinforcing its compliance record.
• Call for guidelines: The petition advocates for clear procedures to ensure privacy rights are respected during digital device seizures and investigations.

Conclusion:

• The Supreme Court’s order underscores the growing importance of safeguarding digital privacy in legal investigations.
• As the case progresses, it may establish new standards for balancing law enforcement objectives with constitutional rights, particularly in an era where personal and business data is increasingly digitised.

Why in news?

The Congress is organizing a two-day event in Belagavi (previously Belgaum), Karnataka, on December 26-27 to mark the centenary of Mahatma Gandhi presiding over its historic Belgaum session in 1924.

The event includes an extended session of the Congress Working Committee (CWC) and a rally.

What’s in today’s article?

• 1924 session

1924 session

• Backdrop against which 1924 Belgaum Session was held
  • After his release from prison in February 1924, Mahatma Gandhi was troubled by the lack of Hindu-Muslim unity in the freedom struggle and Congress factionalism.
    • Mahatma Gandhi was in prison in February 1924 for his involvement in the Non-Cooperation Movement against British rule.
    • He was arrested in 1922 on charges of sedition for writing three articles in Young India that criticized British policies.
    • Gandhi was sentenced to six years in prison but was released early in February 1924 after serving about two years due to health concerns.
  • To address these issues, he undertook a 21-day fast from September 18 to October 8 that year.
• Participants in the 1924 Congress session
  • The session was attended by several senior Congress leaders including Jawaharlal Nehru, Sardar Vallabhbhai Patel, Sarojini Naidu, and Khilafat movement leaders Muhammad Ali Jauhar and Shaukat Ali, among others.
• Significance of 1924 Session
  • Mahatma Gandhi presided over the 1924 Congress session in the erstwhile Bombay state, marking the only time he held the position of Congress president.
  • During this session, Gandhi presented his ideas on non-violence, communal harmony, and "swaraj" (self-rule).
  • He served as the Congress president from December 1924 to April 1925.
• Gandhi’s message to the 1924 conclave
  • Gandhi on Non-Violence and Non-Cooperation Movement
    • Mahatma Gandhi discussed his philosophy of non-violence.
    • He explained that although the Non-Cooperation Movement was called off in 1922 after the Chauri Chaura incident, it had been an effective strategy for India’s path to independence.
    • He highlighted that the boycotts, such as those of government institutions and foreign cloth, were not fully successful but had reduced the prestige of these institutions.
    • Gandhi emphasized that non-violence, rather than revolutionary violence, was a more effective force for change, as it came from goodwill and gentleness.
  • Hindu-Muslim Unity and Untouchability
    • Gandhi stressed that the removal of untouchability was as essential for swaraj (self-rule) as Hindu-Muslim unity.
    • He argued that Hindus could not claim swaraj until they restored the liberty of the suppressed classes, underscoring the importance of social reform in the freedom struggle.
  • Self-Rule and Reforms
    • Gandhi suggested reforms to achieve swaraj, including moving the final court of appeals from London to Delhi and adopting Hindustani as the official language in provincial governments and courts.
    • He urged the people to become "perfect satyagrahis," emphasizing that satyagraha (non-violent resistance) was an attainable quality for all, vital for achieving truth and justice.
  • Khadi and Self-Reliance
    • Gandhi called on the masses to take up spinning and weaving khadi, asserting that true swaraj could only be achieved when the people embraced self-reliance, symbolized by the use of khadi fabric.
• Impact of 1924 session on the freedom movement
  • Historians believe that the session was a step towards the promotion of peasant consciousness.
  • This resulted in the spread of khadi with village industries getting traction in Karnataka and other parts of the country.
  • It also saw increased participation of peasants in the Congress-led initiatives.

Context:

Quantum computing, rooted in quantum mechanics, promises to solve complex problems beyond the reach of classical computers. Proposed by Richard Feynman in 1982 to simulate quantum systems, it emerged as a solution to classical computers' limitations.

Since then, progress includes the development of qubits (using superposition and entanglement), improved error correction, and scalable hardware, paving the way for applications in cryptography, optimization, and drug discovery.

What’s in today’s article?

• Quantum computing
• Significant Milestones in Quantum Computing
• Present Limitations of Quantum Computing
• National Quantum Mission: India’s Commitment (2023)
• The Road Ahead

Quantum computing

• Classical Computing: Bits as Units of Information
  • Classical computers operate based on principles of classical physics.
  • The basic unit of information is the bit, which can be either 0 or 1.
  • All types of information can be represented using combinations of 0s and 1s in the binary system.
• Quantum Computing: Qubits as Fundamental Units
  • Quantum computers rely on quantum bits, or qubits, for computations.
  • Qubits can represent 0, 1, or a state that is partly 0 and partly 1 simultaneously.
  • This ability to exist in multiple states is unique to qubits and enables quantum computations.
• Key Principles
  • Superposition: A Key Quantum Principle
    • Qubits can exist in a state of superposition, holding both 0 and 1 at the same time.
    • Example: A spinning coin that represents both heads and tails simultaneously until it collapses to one state when observed.
    • Superposition allows quantum computers to perform multiple computations at once.
  • Entanglement: Quantum Correlation
    • Qubits can be entangled, meaning their states are intrinsically linked, even if they are far apart.
    • Measuring one qubit instantly provides information about the other, regardless of distance.
    • Example: If a pair of gloves are kept in separate boxes, opening one reveals the other’s state instantly.
    • Entanglement enables faster information processing through shared states.
• Advantages of Quantum Principles
  • Superposition allows quantum computers to process exponentially more data than classical computers.
  • Entanglement facilitates simultaneous information sharing, speeding up computations.
  • These principles, rooted in quantum mechanics, unlock the immense potential of quantum computing, beyond the scope of classical physics.

Significant Milestones in Quantum Computing

• Quantum Computers vs. Classical Computers
  • Quantum computers are technologically advanced but may not always outperform classical computers in every task.
  • Specific tasks have been developed to demonstrate the unique capabilities of quantum computing.
• Shor’s Algorithm: Revolutionizing Factorization (1994)
  • Created by Peter Shor, this algorithm can factorize large numbers in moments, compared to millions of years required by classical computers.
  • Major implications for data security, as it can quickly solve problems like large-number factorization, which are used to secure encrypted data.
• IBM’s Q System One: The First Commercial Quantum Computer (2019)
  • IBM introduced Q System One, the world’s first circuit-based commercial quantum computer.
  • Circuit-based designs with quantum gates are versatile and suited for general quantum-computing applications.
• Google's Sycamore Processor: Achieving Quantum Supremacy (2019)
  • Google’s 53-qubit Sycamore processor solved a problem in 200 seconds that would take a supercomputer 10,000 years.
  • This milestone marked quantum supremacy, where quantum computers outperform classical counterparts for specific tasks.
• Google’s Willow Quantum Chip: Scaling with Error Correction (2024)
  • Google unveiled Willow, the first quantum processor with error-corrected qubits that improve as they scale.
  • Quantum error correction is critical to maintaining quantum states long enough for meaningful calculations.
  • Willow completed a standard test in 5 minutes, a task that would take the best supercomputers 10 trillion trillion years.
• Progress and Potential
  • These milestones illustrate the rapid advancement of quantum computing, showcasing its potential to solve complex problems far beyond the reach of classical systems.

Present Limitations of Quantum Computing

• High Cost and Complexity
  • Building quantum computers is extremely expensive and technically complex.
  • Maintaining the stability of qubits is challenging due to high error rates and issues like decoherence caused by environmental noise.
• Need for Larger-Scale Quantum Systems
  • Current quantum computers have limited qubits, but solving major problems (e.g., drug discovery, astronomical research) requires millions of qubits.
  • Scaling quantum systems to such levels remains a significant hurdle.

National Quantum Mission: India’s Commitment (2023)

• Recognizing the potential of quantum computing, India launched the National Quantum Mission.
• The government allocated ₹6,000 crore over eight years to advance quantum technology and develop quantum computers.

The Road Ahead

• While the challenges are substantial, the advancements and investments highlight the clear potential and promise of quantum computing.

Context

• The World Trade Organisation (WTO), headquartered in Geneva, was established in 1995 as a monumental step towards a rule-based international trading system.
• However, it now finds itself in a precarious position, unable to fulfil its promise of a comprehensive dispute settlement mechanism and the paralysis of its Appellate Body (AB) is emblematic of deeper systemic issues that threaten the WTO’s relevance in global trade.
• Now it becomes imperative to critically examine the origins of the WTO’s decline, the geopolitical factors influencing its dysfunction, and the implications for global trade.

The Origins of WTO’s Decline

• This obstruction began during Barack Obama’s administration, escalated under Donald Trump’s first presidency, and has continued under President Joe Biden.
• It reflects a bipartisan political consensus in the U.S. The U.S.’s hostile stance towards the AB will intensify further under what is anticipated to be a highly protectionist Trump 2.0 administration.
• The WTO panels, the first stage of dispute settlement, continue to operate and render decisions resolving trade disputes between WTO member countries.
• However, this is of little significance because the losing country uses its legal prerogative to appeal to a non-operational AB, and thus stall the adjudicatory process.
• It is a fool’s errand to put the AB back on track because the real issue is the WTO’s existential crisis and its quest to be a relevant player in global trade.
• The larger game is not about killing the AB but, rather, making the WTO dysfunctional.

 An Analysis of the Promising Beginning of the WTO

• The Evolution from GATT to WTO
  • The establishment of the WTO in 1995 marked a historic transition from the General Agreement on Tariffs and Trade (GATT).
  • It sought to address the limitations of its predecessor by shifting from voluntary compliance to enforceable legal commitments.
  • This change reflected the global embrace of neoliberal principles, including market liberalisation and deregulation.
• A Comprehensive Rule-Based Framework
  • The WTO extended its reach beyond trade in goods to encompass services and intellectual property, introducing agreements such as GATS and TRIPS.
  • This comprehensive framework aimed to harmonise global trade practices and ensure stability and predictability in international markets.
• The Innovation of a Two-Tier Dispute Settlement System
  • One of the WTO’s key innovations was its two-tier dispute settlement mechanism, featuring a binding adjudicatory process and an appellate function.
  • This mechanism enhanced impartiality and rigor, positioning the WTO as a pioneer in international legal adjudication.
• The Optimism Surrounding Rule-Based Trade
  • The WTO’s legal framework inspired confidence in its ability to transcend political diplomacy.
  • Scholars viewed it as a constitutional project that prioritised the rule of law, with countries ceding sovereignty to create a more stable and predictable trading system.
• Early Successes and Stabilizing Global Trade
  • During its early years, the WTO achieved significant milestones, including resolving trade disputes, and facilitating market access through initiatives like the Information Technology Agreement.
  • These successes reinforced its role as a stabilising force in the global economy.
• A Symbol of Global Cooperation and Equity
  • More than a trade body, the WTO represented a commitment to cooperation and shared prosperity.
  • Its principles of non-discrimination, transparency, and enforceability empowered smaller and developing nations, ensuring a fairer global trade system and solidifying its initial appeal.

The Unravelling of the WTO

• The Rise of China and Decline of WTO
  • The optimism surrounding the WTO began to dissipate with the rise of China as a global economic power.
  • China's accession to the WTO in 2001, facilitated by the United States, was driven by the expectation that Beijing would adopt free-market principles and dismantle its state-led industrial policies.
  • However, this transformation did not materialize, instead, the U.S. perceived that China exploited the WTO system to gain an unfair advantage, exacerbating trade imbalances and industrial policy conflicts.
• The Shift in US Policy Towards WTO
  • This disillusionment prompted a shift in U.S. policy, particularly during Donald Trump’s presidency, where unilateral measures such as a 25% tariff on Chinese goods were imposed in 2018, bypassing WTO rules.
  • The Appellate Body, a key pillar of the WTO’s dispute settlement system, became a casualty of this geopolitical struggle.
  • Since 2019, the U.S. has blocked appointments to the AB, rendering it non-operational and stalling dispute resolution.
  • This obstruction reflects a bipartisan consensus in the U.S., with current President Joe Biden continuing the policy, signalling a broader disinterest in reviving the WTO’s adjudicatory mechanisms.
• The Shift from Legalism to Politics
  • The decline of the Appellate Body is not merely a technical issue but a symptom of a larger transformation in international trade governance.
  • As legal scholar Geraldo Vidigal argues, the crisis represents a regime change rather than a temporary setback.
  • The thick legal framework established in 1995 is being replaced by a ‘thinning of legality,’ as states reclaim sovereignty over trade policies.
• The GATTification of WTO: Reversal of WTO’s Founding Principles
  • This regression, termed the GATTification of the WTO, indicates a return to the less formal, diplomacy-driven mechanisms of the GATT era.
  • The S. seeks to dismantle the WTO’s institutional controls to confront China without legal constraints.
  • For instance, future U.S. administrations, including a potential Trump 2.0 presidency, are expected to pursue protectionist policies that may escalate trade wars.
  • This shift underscores the resurgence of international politics over law in shaping trade relations.

Implications for Global Trade

• The WTO’s weakening holds profound implications for the global trading system.
• Without a functioning dispute settlement system, the enforcement of trade rules becomes a matter of political leverage rather than legal adjudication.
• This undermines trust in multilateralism and incentivises unilateral actions, increasing the risk of trade wars and economic fragmentation.
• Moreover, the erosion of the WTO’s authority coincides with the rise of regional trade agreements and bilateral deals, which often exclude weaker nations and exacerbate inequalities.
• The return to a GATT-like system raises questions about the future of global trade governance and whether the WTO can adapt to the changing geopolitical landscape.

 Conclusion

• The WTO’s inability to restore its dispute settlement system by 2024 reflects a broader existential crisis.
• While the paralysis of the Appellate Body is a pressing issue, the root cause lies in the shifting dynamics of global power, particularly the U.S.-China rivalry.
• The transition from a rule-based to a politically-driven trade regime marks a reversal of the WTO’s founding principles.

Why in news?

The 18th biennial State of Forest Report (ISFR-2023) highlights a marginal gain of 156 sq km in forest cover and a significant increase of 1,289 sq km in tree cover since 2021.

For the first time, India’s green cover has surpassed the 25% threshold, with 8,27,357 sq km (25.17%) of the country under forest (21.76%) and tree (3.41%) cover. Dense forests constitute 4,10,175 sq km of the total.

What’s in today’s article?

• Trends in Forest and Tree Cover Growth
• Forests within forest
• Forest Balance Sheet: Insights from ISFR-2023
• Implications of Forest Cover Trends

Trends in Forest and Tree Cover Growth

• Calculation
  • Since 2001, tree patches smaller than 1 hectare have been measured separately as tree cover.
• Trend
  • The latest ISFR-2023 report shows the sharpest growth in tree cover, rising from 2.91% in 2021 to 3.41% in 2023, marking a 0.5 percentage point increase in two years.
  • In contrast, forest cover growth has slowed, increasing by only 0.05 percentage points since 2021.
• Implication
  • This aligns with the diminishing growth trend since forest cover surpassed the 20% threshold in the early 2000s.
  • Between 2003 and 2013, forest cover grew by 0.61 percentage points (from 20.62% to 21.23%).
  • On the other hand, the next decade saw only a 0.53 percentage point increase to 21.76%.

Forests within forest

• Classification of Forest Types in India
  • In India, tree patches measuring 1 hectare or more with a minimum canopy cover of 10% are classified as forests, irrespective of land use or ownership.
  • Forests are categorized based on canopy density:
    • Very Dense Forests (VDF): Canopy density ≥ 70% (classified since 2003).
    • Dense Forests: Canopy density ≥ 40%.
    • Open Forests (OF): Canopy density between 10-40%.
    • Non-Forest (NF): Areas with < 10% canopy density, including shrubs.
• Dynamic Changes in Forest Density
  • Forests undergo transitions across density categories due to factors like climate and biotic pressure. For example:
    • A VDF may thin to a Moderately Dense Forest (MDF).
    • An OF may improve to an MDF.
    • Forests may degrade to NF or shrub areas, indicating deforestation.
• Limitations of Aggregated Data
• While aggregated data reflects the quantum of different forest types, it fails to capture the dynamic transformation of forests, where natural forests degrade, disappear, or are replaced by plantations.
• Plantations often grow faster but do not replicate the ecological richness of natural forests.
• Tracking Forest Change
  • Since 2003, ISFR reports include a “change matrix”, detailing forest transitions across categories.
  • This data highlights broad trends over two decades, reflecting the dynamic nature of forest ecosystems.

Forest Balance Sheet: Insights from ISFR-2023

• Dense Forest Losses (2003-2023)
  • India has lost 24,651 sq km (6.3%) of its dense forests since 2003, equivalent to nearly half the size of Punjab.
  • Key trends:
    • 2021-2023: 3,913 sq km lost (larger than Goa).
    • 2013-2023: 17,500 sq km lost.
    • 2003-2013: 7,151 sq km lost.
• Plantation Gains Offset Dense Forest Losses
  • Rapid transformation of 15,530 sq km of non-forested or scantly forested land to dense forests over the past two decades has offset these losses.
  • Experts suggest these gains are predominantly plantations, as natural forests do not grow this quickly.
    • 2021-2023: 1,420 sq km of plantations became dense forests.
• Management and Density Improvements
• Better management practices have allowed Open Forests (OFs) to improve into Moderately Dense Forests (MDFs) over the last decade.
• Combined with plantation gains, this has kept the dense forest cover largely stable.
• The “change matrix” records a net increase of 1,370 sq km of dense forest between 2003-2023.
• 716 sq km of gains were recorded in the 2021-2023 cycle alone.
• Data Revisions and Paper Gains
  • India’s dense forest cover officially grew by 21,601 sq km (6%) between 2003-2023.
  • However, this figure includes 20,232 sq km of revisions made in previous ISFR reports (2005, 2009, 2015, and 2021), raising questions about the accuracy of these gains.
• Key Observation
  • While plantations and management practices stabilize dense forest cover on paper, the ongoing disappearance of natural dense forests highlights the need for improved conservation measures.

Implications of Forest Cover Trends

• Criticism of Plantation-Based Forest Growth
  • The apparent growth in forest cover through the replacement of natural dense forests with plantations has drawn criticism from experts.
  • Key issues include:
    • Uniformity and Vulnerability: Plantations typically consist of trees of the same age and species, making them susceptible to fire, pests, and epidemics.
    • Barrier to Natural Regeneration: Plantations hinder the regrowth of biodiverse natural forests, which provide a broader range of ecological benefits.
• Ecological Superiority of Natural Forests
  • Natural forests outperform plantations in several ways:
    • Biodiversity: Natural forests support more species and complex ecosystems.
    • Carbon Stock: They store significantly more carbon, both in trees and soil, compared to plantations.
• Climate Challenges of Plantation Forests
  • Rapid Growth Assumption: In 2018, the UNFCCC flagged India’s assumption that plantations reach the carbon stock level of natural forests in just eight years, which is unrealistic.
  • Short-Term Gains, Long-Term Risks: Plantations grow quickly and are promoted to meet carbon targets. However, they are often harvested prematurely, undermining long-term climate goals.
• Conclusion
  • While plantations may stabilize forest cover on paper and provide short-term carbon benefits, they fail to replicate the ecological and climate advantages of old natural forests, emphasizing the need for better conservation strategies.

Why in news?

Bangladesh has formally requested India to extradite former Prime Minister Sheikh Hasina, who fled to India on August 5 following massive protests that ended her 16-year rule. Dhaka sent a diplomatic note to New Delhi, citing the need for Hasina to face judicial processes for alleged crimes against humanity and genocide.

The International Crimes Tribunal (ICT) in Dhaka has issued arrest warrants against Hasina and several of her former ministers and officials.

What’s in today’s article?

• Extradition treaty between India and Bangladesh
• Extradition Request by Bangladesh
• Can Hasina be extradited by Bangladesh?

Extradition treaty between India and Bangladesh

• Treaty signed in 2013
  • It was signed to address fugitives operating across borders in both countries.
    • It was established due to concerns over Indian insurgents, particularly from the North East, hiding in Bangladesh, and Bangladeshi militants.
    • Many Bangladeshi militants such as those from Jamaat-ul-Mujahideen Bangladesh (JMB), sought refuge in Indian states like West Bengal and Assam.
  • It provides the legal framework for extradition but does not mandate compliance in all cases.
• Key provisions of the treaty
  • The extradition treaty between India and Bangladesh mandates that both countries extradite individuals who:
    • have been charged with, found guilty of, or
    • are wanted for committing an extraditable offence by a court in the requesting country.
  • An extraditable offence, as defined by the treaty, is one that carries a minimum punishment of one year imprisonment, including financial crimes.
  • For an offence to be considered extraditable, the principle of dual criminality must apply, meaning the offence must be punishable in both countries.
  • The treaty also allows for extradition in cases involving attempts to commit, aiding, abetting, inciting, or participating as an accomplice in an extraditable offence.
• Provisions for Refusal 
  • Extradition may be refused if the offence is of a “political nature.”
  • Some crimes, such as murder, enforced disappearance, and torture, are excluded from being categorized as political offences under the treaty.
  • (Article 8): Grounds for refusal also include accusations not made “in good faith in the interests of justice” or military offences not considered general criminal law violations.
• Amendment in 2016 to Simplify Extradition Process
  • Requirement to provide evidence of the offence was removed; only an arrest warrant from a competent court is now required.
  • Sheikh Hasina faces multiple arrest warrants issued in Bangladesh, making her case eligible under the amended treaty.

Extradition Request by Bangladesh

• About the news: Bangladesh has sent a diplomatic note asking New Delhi to send back its former PM Sheikh Hasina.
• India’s Response and Treaty Provisions
  • Ministry of External Affairs confirmed receiving the request but has not yet commented on the matter.
  • Indian officials have stated they will examine the legal grounds before making a decision.
• Strained Bilateral Relations
  • Hasina’s presence in India and her public statements have strained relations between the two countries.
    • In her public address from India, Hasina accused the interim government of genocide and persecution of minorities, including Hindus, Buddhists, and Christians.
    • She alleged that during the protests, minority places of worship were attacked, and leaders of minority communities were persecuted.
    • Hasina called for justice, demanding investigations into the killings and acts of violence.
  • Bangladesh’s interim government, led by Chief Advisor Prof Muhammad Yunus, has expressed concerns over Hasina’s statements made from India, which they believe create tension.
  • Yunus has urged India to help “clear the clouds” over the bilateral relationship.
• Impact on Regional Dynamics
  • The extradition request and the political developments surrounding Hasina’s asylum in India have the potential to influence India-Bangladesh relations significantly, requiring deft diplomatic handling by both nations.

Can Hasina be extradited by Bangladesh?

• India can refuse extradition, citing lack of “good faith” or justice-related concerns.
• Experts highlight that the decision to extradite Hasina is ultimately political rather than legal. But this has the potential to adversely impact New Delhi’s relations with Dhaka’s new ruling dispensation.

What’s in Today’s Article?

• Overview (Context of the Article)
• About Critical Minerals (Meaning, China’s Dominance, Export Strategy, India’s Dependency on China, etc.)
• Way Forward

Overview:

• In 2023, the Ministry of Mines identified 30 critical minerals essential for India's economic development and national security.
• The report highlighted a complete import dependency for 10 critical minerals but fell short of addressing India's reliance on China—a dominant player in the global critical minerals ecosystem.
• This reliance raises strategic vulnerabilities and the need for alternative strategies.

What are Critical Minerals?

• Critical minerals are raw materials essential for economic and national security, often used in high-tech industries and renewable energy technologies.
• They are typically rare, difficult to mine and substitute, and often vulnerable to supply chain disruptions due to limited global production and geopolitical factors.
• The growing demand for these minerals, driven by technological advancements and the global transition to green energy, underscores their critical importance.
• Securing a stable supply of critical minerals is thus a strategic priority for many countries to ensure economic stability and technological progress.

China’s Dominance in Critical Minerals:

• Vast Resources: China has discovered 173 types of minerals, including:
  • 13 energy minerals
  • 59 metallic minerals
  • 95 non-metallic minerals
• Strategic Investments: With $19.4 billion invested in exploration in 2023, China discovered 132 new mineral deposits, including 34 large ones.
• Processing Capabilities: Dominates processing and refining:
  • Rare earths: 87%
  • Lithium: 58%
  • Silicon: 68%
• Global Investments: Strategic stakes in overseas mining projects amplify its control over supply chains.

China's Export Strategy:

• China strategically controls critical mineral exports, particularly targeting those crucial for semiconductors, batteries, and high-tech manufacturing. Key examples include:
  • 2010 Rare Earth Embargo: Against Japan
  • Restrictions on Gallium, Germanium, and Antimony: Recent targeted actions
  • Ban on Rare Earth Technologies (2023): To protect domestic interests
• China avoids actions that might:
  • Disrupt its export-dependent industries
  • Undermine its reliance on Western-imported raw materials

India's Dependency on China:

• India’s import data (2019-2024) reveals high dependency on Chinese supplies for six critical minerals:
  • Bismuth (85.6%): Vital for pharmaceuticals and chemicals
  • Lithium (82%): Core to EV batteries and energy storage
  • Silicon (76%): Crucial for semiconductors and solar panels
  • Titanium (50.6%): Key for aerospace and defense
  • Tellurium (48.8%): Used in solar and thermoelectric devices
  • Graphite (42.4%): Indispensable for EV batteries and steel production
• China's dominant global production shares in these minerals underscore India's supply chain vulnerabilities.

Why India Relies on Imports?

• Despite abundant mineral resources, structural challenges hinder India’s mining and processing ecosystem:
  • Technological Barriers:
    • Limited ability to extract minerals like lithium from clay deposits in Jammu & Kashmir, despite having 5.9 million tonnes of resources.
  • Investment Gaps:
    • High-risk investments in exploration deter private sector participation.
  • Policy Shortcomings:
    • Lack of incentives and advanced mining technologies limit domestic production capabilities.

Strategic Way Forward:

• Securing Overseas Assets:
  • The government established KABIL (Khanij Bidesh India Limited) to acquire overseas mineral resources.
• International Collaborations:
  • Partnerships through the Minerals Security Partnership and Critical Raw Materials Club aim to diversify supply sources.
• Research and Development:
  • Institutions like the Geological Survey of India and CSIR are advancing technologies for exploration and processing.
• Promoting Recycling:
  • Circular economy initiatives and production-linked incentives focus on recycling critical minerals to reduce dependency.
• Policy Reforms:
  • Introducing incentives to attract private investment and updating mining regulations to encourage domestic exploration.

Conclusion:

• India’s transition from dependence on China requires sustained investment, technological advancements, and global partnerships.
• While government initiatives show promise, long-term commitment and proactive policies will be critical for securing a self-reliant future in critical minerals.

Why in News?

The Indian government has abolished the no-detention policy for Classes 5 and 8 across schools under its jurisdiction. This includes over 3,000 central schools, including Kendriya Vidyalayas, Jawahar Navodaya Vidyalayas, Sainik Schools, and Eklavya Model Residential Schools (under the Ministry of Tribal Affairs).

This significant policy change aims to improve learning outcomes and accountability while balancing the rights of students with academic standards. 

What’s in Today’s Article?

• Overview of the No-Detention Policy
• Reasons for Scrapping the No-Detention Policy
• Key Provisions of the New Policy
• Reactions Towards the New Policy
• Recommendations to Implement the New Policy
• Conclusion

Overview of the No-Detention Policy:

• Adopted the change: 18 states and UTs, including Delhi, Rajasthan, and Tamil Nadu.
• Pending decision: Haryana and Puducherry.
• Continuing No-detention policy: Andhra Pradesh, Kerala, Maharashtra, etc.

Reasons for Scrapping the No-Detention Policy:

• Criticism of academic dilution:
  • Experts argued that the policy led to a decline in academic standards and student accountability.
  • It was believed to have transformed schools into mid-day meal hubs rather than centers of learning.
• State and expert advocacy:
  • By 2016, most states supported scrapping the policy during a Central Advisory Board of Education (CABE) meeting.
  • The National Education Policy (NEP) 2020 emphasised improving learning outcomes while retaining educational access.
• Balancing accountability with equity: The policy change aims to instill seriousness in studies while providing remedial measures for underperforming students.

Key Provisions of the New Policy:

• Promotion and re-examination:
  • Students failing the annual exams in Classes 5 or 8 will receive remedial instruction and an opportunity for a re-examination within two months.
  • Failure in the re-examination may lead to detention.
• Competency-based assessments: Examinations will focus on holistic development rather than rote memorisation or procedural skills.
• Support for struggling students: Teachers and school heads will provide targeted support, identify learning gaps, and closely monitor students' progress.
• Safeguards for student rights:
  • No child can be expelled before completing Class 8.
  • Detailed records of detained students and their progress will be maintained.

Reactions Towards the New Policy:

• Supporters:
  • Educators: Applaud the move as a step toward restoring academic rigor and preparing students for real-world challenges.
  • Parents: See the policy as a means to encourage better academic preparation and outcomes.
• Critics:
  • Educationists argue that detentions may increase dropout rates and undermine the RTE's goal of inclusive education.
  • They highlight the need for integrating Continuous and Comprehensive Evaluation (CCE) with the policy.

Recommendations to Implement the New Policy:

• Preventive measures:
  • Early identification of at-risk students to reduce failures.
  • Focus on addressing learning gaps throughout the academic year.
• Implementation oversight: School heads to monitor progress and ensure adequate support for detained students.
• Holistic view: Policies should integrate CCE to track progress and avoid stigma associated with failure.

Conclusion:

• The abolition of the no-detention policy marks a shift in India’s educational approach, aiming to balance accountability with inclusivity.
• While it seeks to improve learning outcomes, its success will depend on careful implementation and continued support for underperforming students.

Context

• The upcoming Union Budget 2025–26 offers a critical opportunity to reshape India’s agricultural landscape.
• Agriculture, the backbone of the Indian economy, requires strategic interventions to enhance productivity, improve farmer incomes, and address environmental concerns.
• Therefore, it is crucial to delve into key challenges and recommendations to make Indian agriculture more productive, competitive, and sustainable while safeguarding natural resources.

The Impact of Climate Change and Recommendations to Addressing the Climate Change and Resource Optimisation

• The Impact of Climate Change
  • India's agriculture sector faces an unprecedented challenge in the form of climate change, which threatens to destabilise the delicate balance of its agricultural production systems.
  • A 0.7°C rise in temperature since 1951 and a 6% reduction in monsoon precipitation have already demonstrated the tangible impacts of climate variability on crop yields.
  • With the risk of extreme weather events increasing, building climate-resilient agricultural systems is imperative for safeguarding the nation’s food security.
• Investment Boost in Agri R&D
  • One of the critical strategies to combat these challenges is a significant boost in agricultural research and development (agri-R&D).
  • Currently, India invests less than 0.5% of its agricultural GDP in R&D, a figure that pales in comparison to global benchmarks.
  • Doubling this investment to at least 1% of agricultural GDP can support the development of innovative, climate-resilient crop varieties and farming practices.
  • Research must focus on drought-tolerant and heat-resistant crops, improved irrigation technologies, and precision agriculture techniques that optimise resource use while minimising environmental degradation.
• Sustainable Farming Practices
  • Sustainable farming practices must be adopted to improve soil health and water retention
  • Soil organic carbon, a key indicator of soil fertility, has been depleting due to intensive farming practices and over-reliance on chemical inputs.
  • Strategies to restore soil health include the use of organic amendments such as compost and bio-fertilisers, along with crop rotation and cover cropping techniques.
  • Enhancing soil organic carbon not only boosts productivity but also increases the soil’s ability to sequester carbon, contributing to climate mitigation efforts.
• A Balanced Approach Towards Natural Farming and Fertilisers Use
  • The government’s Natural Farming Mission aims to promote low-input, sustainable agricultural practices.
  • However, its potential is limited in addressing the food demands of a rapidly growing population projected to reach 1.67 billion by 2050.
  • The challenge lies in striking a balance between ecological sustainability and meeting the nutritional needs of the population.
  • This necessitates the use of both bio-fertilisers and chemical fertilisers in an optimal mix, ensuring that soils receive an appropriate balance of macronutrients (nitrogen, phosphorus, and potassium) and micronutrients (zinc, boron, and iron).
• Technological Innovations
  • Technological innovations such as nano-urea, nano-DAP (di-ammonium phosphate), and advanced phosphates like single or triple superphosphate have immense potential to enhance nutrient use efficiency.
  • However, their adoption remains limited due to the skewed subsidy structure favouring conventional granular urea.
  • By promoting these technologies through incentives and awareness campaigns, the government can encourage their widespread use, ensuring better nutrient management and reducing environmental impacts.

Some Other Key Proposals to Make Agriculture More Productive and Competitive for Farmers

• Modernising Fertiliser Subsidies and Policies
  • A transformative approach involves replacing the existing fertiliser subsidy structure with direct income transfers to farmers based on landholding size.
  • This shift will free fertiliser prices from regulatory controls, encouraging balanced nutrient application and reducing environmental harm.
  • Such a policy will plug leakages, enhance resource efficiency, and align with farmers’ economic interests, provided it is communicated effectively to build trust.
• Building Agri-Value Chains
  • Agriculture must evolve into a comprehensive food system encompassing production, marketing, and consumption, ensuring both food security and farmers’ income growth.
  • Drawing inspiration from India’s dairy sector success, where farmers retain 75-80% of consumer expenditure, similar value chain systems for fruits and vegetables can revolutionise the sector.
  • Currently, farmers receive only about one-third of consumer spending in these commodities.
  • Milk, India’s largest agricultural commodity, exemplifies the potential for transformative change.
  • With 239 million tonnes of production, India leads the world in dairy output.
  • This success, driven by cooperatives and private sector dairies, can be replicated for perishable produce like fruits and vegetables through a dedicated board akin to the National Dairy Development Board (NDDB).
  • Such an initiative, led by visionary leadership, could mitigate inflation and stabilize markets.
• Reforming Export and Market Policies
  • India’s current agricultural policies, marked by export bans on key commodities like onions, wheat, and rice, are counterproductive.
  • These measures depress domestic prices, inflicting implicit taxes on farmers while reflecting a pro-consumer bias.
  • For instance, the Food Corporation of India (FCI) dumps rice and wheat in the domestic market at prices significantly below economic costs, undermining farmer profitability.
  • Comparative data from the Organisation for Economic Co-operation and Development (OECD) highlights India’s negative producer support estimate (PSE) of -15.5%, contrasting starkly with China’s PSE of 14% and the OECD average of 13.8%.
  • This disparity underscores the urgent need for market reforms to enhance price support and create a fair playing field for Indian farmers.

The Path Forward: Prioritizing Agriculture in Budget 2025–26

• Increased investment in climate-resilient R&D, reforming fertiliser subsidies, strengthening value chains, and adopting market-aligned policies are pivotal steps.
• These measures will not only enhance productivity and farmer incomes but also address environmental challenges and food security concerns.
• A balanced, farmer-friendly approach is essential to transform Indian agriculture into a globally competitive and sustainable sector.

Conclusion

• The Union Budget 2025-26 must prioritise agriculture by addressing climate challenges, rationalising subsidies, and fostering robust value chains.
• By transitioning to a sustainable and market-oriented agricultural model, India can secure the livelihoods of its farmers, meet the nutritional demands of its population, and protect its natural resources.
• Effective implementation of these measures will pave the way for a resilient and equitable agricultural sector, fulfilling its critical role in the nation’s economy and food security.

Why in news?

While delivering a speech, Supreme Court judge Justice P S Narasimha said that fourth branch institutions should not be retirement homes for civil servants and judges.

Justice Narasimha was delivering the second edition of the Justice ES Venkataramiah Centennial Memorial Lecture organised by National Law School of India University in Bengaluru.

What’s in today’s article?

• Fourth branch institutions in India
• Key Highlights of Justice P S Narasimha’s Speech

Fourth Branch Institutions in India

• About
  • Fourth branch institutions refer to constitutionally or statutorily created bodies that function independently of the executive, legislature, and judiciary to uphold accountability, transparency, and democracy.
  • These institutions act as watchdogs, ensuring that power is not concentrated in any single branch of government.
  • E.g., the Election Commission of India (ECI), Comptroller and Auditor General (CAG), Central Information Commission (CIC), and Central Vigilance Commission (CVC) etc.
• Significance
  • The ECI ensures free and fair elections, bolstering democracy.
  • Similarly, the CAG's audit of the 2G spectrum allocation and coal block allocation exposed large-scale irregularities, spurring public debate on corruption.
• Concerns
  • Allegations of partisanship against the ECI during certain elections, such as delayed action on violations of the Model Code of Conduct, raise concerns about its autonomy.
  • The CAG, too, has faced criticism for delays in audits and alleged overestimation of losses.
  • Furthermore, institutions like the CIC suffer from vacancies and delays in hearing appeals, reducing their effectiveness.
• Conclusion
  • Strengthening these institutions is crucial to safeguard democracy.
  • Ensuring independence through transparent appointment processes, sufficient funding, and protection from political interference is vital.
  • Stronger fourth branch institutions will enhance governance, restore public trust, and ensure accountability in a rapidly evolving democratic landscape.

Key Highlights of Justice P S Narasimha’s Speech

• Significance of Fourth Branch Institutions
  • Justice Narasimha emphasized the critical role of fourth branch institutions such as the EC, CAG, Public Service Commissions, and National Commissions for SCs, STs, and OBCs.
  • He underlined their importance in ensuring accountability and governance, as envisioned by the Constitution's framers.
• Challenges Facing Fourth Branch Institutions
  • Domain Expertise and Capacity Building: Justice Narasimha pointed out that domain expertise and institutional capacity are often neglected.
  • Diversity in Composition: He highlighted the lack of diversity in these institutions' composition.
  • Avoiding Retirement Homes: Justice Narasimha cautioned against turning these bodies into retirement homes for civil servants and judges, advocating for merit-based appointments.
• Election Commission’s Independence
  • He lauded the foresight of the Constitution's framers in creating the Election Commission as an independent body, free from executive control, to ensure fair and impartial elections.

Why in news?

The Indian rupee has weakened against the US dollar, crossing the 85 mark. In April, the exchange rate was around 83, and a decade ago, it was approximately 61. This reflects a steady decline in the rupee's value relative to the dollar.

What’s in today’s article?

• Exchange rate
• Factors determining the demand for rupee in comparison to dollar
• Factors affecting the three kinds of demands mentioned above
• Falling Rupee
• Policy Recommendations for India

Exchange rate

• Understanding Exchange Rates
  • We use the Indian rupee to buy domestic goods and services, but for international purchases like an American car or Swiss vacation, we first exchange rupees for foreign currencies like the US dollar or euro.
  • The exchange rate determines how many rupees are needed to buy one unit of a foreign currency.
  • In the currency market, where currencies are traded like commodities, these rates often fluctuate over time.
• Factors Influencing Exchange Rates
  • Exchange rates are driven by demand and supply dynamics.
  • If Indians demand more US dollars than Americans demand Indian rupees, the dollar's value rises relative to the rupee, making it costlier.
  • Persistent demand imbalance strengthens this trend, causing the rupee to weaken against the dollar.

Factors determining the demand for rupee in comparison to dollar

• Trade in Goods
  • If India imports more goods from the US than it exports, the demand for US dollars exceeds that for Indian rupees.
  • This strengthens the dollar and weakens the rupee, requiring more rupees to buy one dollar.
• Trade in Services
  • Similarly, if Indians purchase more US services (e.g., tourism) than Americans buy Indian services, the dollar's demand rises, causing the rupee to weaken.
• Investments
  • If Americans invest more in India than Indians invest in the US, the demand for the rupee increases, leading to its appreciation against the dollar.

Factors affecting the three kinds of demands mentioned above

• Trade Restrictions
  • If the US bans or imposes high tariffs on Indian goods, demand for Indian rupees drops as Americans no longer need rupees to buy Indian products. This weakens the rupee.
• Inflation Differences
  • High inflation in India compared to the US erodes the rupee's value.
  • Investors may avoid or withdraw investments from India due to lower real returns, reducing demand for rupees and further weakening its exchange rate.

Falling Rupee

• About the news
  • The rupee recently slid to 85.11 against the US dollar, driven more by a strengthening dollar than a weakening rupee.
  • While the rupee has depreciated against the dollar since September, it has appreciated against other major currencies like the euro, pound, and yen.
• Global Factors Driving Dollar Strength
  • The dollar’s rise stems from US policy concerns, including potential import tariffs, deportations, and tax cuts.
  • These measures could boost inflation, prompting the US Federal Reserve to maintain tight monetary policy.
  • This has led to higher US bond yields and a stronger dollar.

Impact of falling rupee

• Negative impact
  • Impact on inflation management
    • The most crucial impact would be on inflation as the country imports nearly 80% of its crude oil needs.
    • This would mean that imports would become costlier and travel through the value chain to raise input costs.
  • Impact on current account deficit
    • Since a large proportion of India’s imports are dollar-denominated, these imports will get costlier.
    • Costlier imports, in turn, will widen the trade deficit as well as the current account deficit, which, in turn, will put pressure on the exchange rate.
• Positive impact
  • One positive impact could be that remittances from overseas could become attractive.
  • A fall in the rupee can also benefit India's exporters - unless they import raw materials, which would become more expensive.

Policy Recommendations for India

• Focus on the rupee’s effective exchange rate against a basket of currencies, not just the dollar.
• Avoid using interest rates to defend the rupee; adjust rates based on domestic inflation trends.
• Prioritize macroeconomic stability by addressing fiscal and current account deficits, adhering to inflation targets, and reinforcing confidence in India’s growth potential.

Why in the News?

The Union Government notified the Telecommunications (Procedures and Safeguards for Lawful Interception of Messages) Rules, 2024 which empower certain enforcement and security agencies to intercept phone messages under certain conditions.

What’s in Today’s Article?

• Introduction (Context of the Article)
• About New Rules (Key Provisions, New Rules vs Old Rules, Significance, Concerns, etc.)

Introduction:

• The Union Government has introduced the Telecommunications (Procedures and Safeguards for Lawful Interception of Messages) Rules, 2024, which empower enforcement and security agencies to intercept phone messages under specific conditions.
• These rules replace Rule 419A of the Indian Telegraph Rules, 1951.

Key Provisions of the New Rules:

• Competent Authorities for Issuing Orders:
  • Union Home Secretary and State Home Department Secretaries are authorized to order message interception.
  • In "unavoidable circumstances," officers of at least Joint Secretary rank in the Union Government can issue interception orders.
• Operational-Level Authorizations:
  • In remote areas or during operational needs:
    • At the central level: Head or second senior-most officer of an authorized agency can order interception.
    • At the state level: Head or senior-most officer (not below the rank of Inspector General of Police) can issue interception orders.
  • These operational orders must be:
    • Submitted to the competent authority within three working days.
    • Confirmed within seven working days, or the interception ceases, and collected data cannot be used for any purpose.
• Record Destruction:
  • Agencies must destroy interception records every six months, unless retained for functional needs or court orders.

How the New Rules Differ from Rule 419A?

• Relaxation of 'Emergent Cases' Condition:
  • Previous rules allowed interception only in emergent cases.
  • The new rules enable interception in "remote areas" or "operational reasons," broadening the scope.
• Limits on Officers Authorized to Intercept:
  • Earlier: No limit on the number of officers at the Inspector General rank at the state level.
  • Now: Only the head or the second senior-most officer of the authorized agency can issue interception orders.
• Validation of Interception Orders:
  • Any interception order not confirmed within seven days becomes invalid, and collected data cannot be used.

Safeguards & Historical Context:

• The Indian Telegraph Act, 1885, granted the Union Government the power to frame safeguards against improper message interception, but no safeguards were framed for years.
• Safeguards under Rule 419A were introduced in 2007 following a Supreme Court ruling in the PUCL vs. Union of India case (1996):
  • The court emphasized the need for fair and reasonable safeguards to protect the right to privacy.

Concerns with the New Rules:

• Accountability Gaps:
  • The rules lack clear provisions for punitive action against agencies misusing interception powers.
  • There is no accountability for the misuse of interception during the seven-day period before confirmation.
• Potential for Abuse:
  • The relaxation of 'emergent cases' condition without additional checks raises concerns about arbitrary interception.

Conclusion:

The Telecommunications (Procedures and Safeguards for Lawful Interception of Messages) Rules, 2024 aim to provide a framework for lawful interception of messages. However, they have raised questions about potential misuse due to insufficient accountability and safeguards. Policymakers must address these gaps to balance national security needs with individual privacy rights.

Why in News?

Prime Minister Narendra Modi's recent visit to Kuwait marked a historic milestone in bilateral relations, as the two nations elevated their partnership to a “strategic” level.

This significant development underscores enhanced cooperation in trade, defence, etc., and India’s growing role in the Gulf region amidst evolving geopolitical dynamics.

What’s in Today’s Article?

• A Brief About India-Kuwait Ties
• Historic Significance of the PM’s Recent Visit to Kuwait
• Implications of the PM Modi’s Recent Visit on the India-Kuwait Ties
• Conclusion

A Brief About India-Kuwait Ties:

• Background:
  • India and Kuwait enjoy traditionally friendly relations, which are rooted in history and have stood the test of time.
  • India was one of the first countries to establish diplomatic relations with Kuwait following its independence from British Protectorate in 1961.
  • India has been a natural trading partner of Kuwait and until 1961, Indian Rupee was a legal tender in Kuwait.
• Current dynamics:
  • Kuwait is India’s sixth-largest crude oil supplier, meeting 3% of its energy needs.
  • Indian exports to Kuwait surpassed $2 billion for the first time. Kuwait Investment Authority’s investments in India exceeded $10 billion.
  • The Indian community is Kuwait’s largest expatriate group, significantly contributing to the Gulf nation's economy and development.

Historic Significance of the PM’s Recent Visit to Kuwait:

• First visit in 43 years: Modi’s two-day visit was the first by an Indian Prime Minister since Indira Gandhi’s visit in 1981.
• Recognition of leadership: Kuwait honoured Modi with its highest civilian award, ‘The Order of Mubarak Al-Kabeer,’ acknowledging his contribution to strengthening India-Kuwait ties.
• Engagement with Kuwaiti leadership: Modi met with:
  • Amir Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah (first bilateral meeting).
  • Crown Prince Sheikh Sabah Al-Khaled Al-Hamad Al-Mubarak Al-Sabah.
  • Prime Minister Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah.
• Strengthening bilateral relations:
  • Defence cooperation: A comprehensive defence agreement was signed, covering areas like:
    • Training and exchange of personnel.
    • Joint military exercises.
    • Supply and research in defence technology.
  • Trade and economic ties:
    • Kuwait is one of India’s top trading partners, with bilateral trade valued at $10.47 billion (2023-24).
    • Modi invited the Kuwaiti Investment Authority to explore opportunities in energy, pharma, food parks, and infrastructure in India.
  • Additional agreements: Three MoUs were signed in areas of Sports, Culture, and Solar energy.
• Expanding strategic cooperation: The elevation to a strategic partnership aims to deepen collaboration in sectors like:
  • Pharmaceuticals
  • IT and FinTech
  • Infrastructure
  • Security
• Vision 2035 alignment:
  • Modi congratulated Kuwait on its developmental initiatives under ‘Vision 2035.’
  • Both leaders expressed mutual commitment to achieving shared goals through increased cooperation.

Implications of the PM Modi’s Recent Visit on the India-Kuwait Ties:

• People-to-people connections: Acknowledgment of the 1 million-strong Indian community in Kuwait, appreciated for their contributions to the Gulf nation’s development.
• Regional and global implications:
  • Collaboration with GCC:
    • India expressed interest in intensifying cooperation with the Gulf Cooperation Council (GCC), leveraging Kuwait’s presidency.
    • Focus on concluding the India-GCC Free Trade Agreement to boost trade volumes, which reached $184.46 billion (2022-23).
  • Shared vision for West Asia:
    • Discussion on ensuring peace, stability, and prosperity in the volatile West Asia region.
    • Joint condemnation of terrorism and commitment to dismantling terror networks.

Conclusion:

• Modi’s visit has set the stage for a more dynamic and robust India-Kuwait partnership.
• With enhanced defence ties, expanded trade, and strategic alignment, this renewed relationship promises significant benefits for both nations and the broader Gulf region.

Why in news?

Recently, the chairman of the Mission Governing Board of the National Quantum Mission, announced that India plans to launch a quantum satellite within the next 2-3 years to enable quantum communications.

This initiative is part of the country's efforts to advance in quantum technology.

What’s in today’s article?

• National Quantum Mission
• Quantum satellite
• How Are Messages Secured?
• How Can Quantum Physics Protect Messages?
• Implementation of Quantum Key Distribution (QKD)
• Drawbacks of QKD

National Quantum Mission (NQM)

• About
  • NQM, launched by the Department of Science & Technology, aims to harness quantum physics for next-generation communication and sensing systems.
  • While classical physics has driven technological advances like telecommunications, AI, and weather forecasting, it is approaching its performance limits.
  • Quantum physics, offering capabilities beyond classical systems, promises revolutionary devices with enhanced abilities.
• Budget
  • Approved by the Union Cabinet in April 2023 with a budget of Rs 6,000 crore, the NQM will run from 2023 to 2031.
  • A key initiative under the mission is the development of a quantum satellite, scheduled for launch within 2-3 years, to pioneer quantum communications.

Quantum satellite

• It is a communications satellite leveraging quantum physics to secure signals against interception.
• Communication technologies rely heavily on security to prevent unauthorized access during message transmission across networks.
• The rise of quantum computers poses a threat to current encryption methods.
• However, quantum physics also enables advanced security measures, with quantum satellites playing a pivotal role in ensuring robust, next-generation protection.

How Are Messages Secured?

• Encryption as a Solution
  • Modern communication tools like WhatsApp secure messages through encryption.
  • Encryption converts messages into a secret code before transmission, which can only be decoded by the recipient using the correct key.
  • If intercepted, the message remains unreadable without the key.
• Cryptographic Security
  • This system relies on hiding the decryption key behind complex mathematical problems.
  • While the sender's and recipient's devices already have the solution, an eavesdropper would require immense computing power and time to crack the code.

How Can Quantum Physics Protect Messages?

• Quantum Cryptography and QKD
  • Quantum cryptography secures messages using principles of quantum physics, with Quantum Key Distribution (QKD) being its most well-known application.
  • QKD ensures that if an eavesdropper intercepts the key during transmission, the breach is detected, and the sharing is aborted.
• Quantum Measurement for Security
  • Quantum physics states that measuring a quantum system, like a photon, changes its state.
  • If eavesdropper measures photons carrying the key (encoded in two states, 0 and 1), the state will change, alerting the compromise.
• Quantum Entanglement
  • Quantum entanglement links two photons such that a change in one immediately affects the other.
  • This property helps detect eavesdropping, ensuring unconditional security.

Implementation of Quantum Key Distribution (QKD)

• Development and Current Progress
  • While QKD protocols and technologies are still a decade from standardization, progress has been significant:
    • China operates the world’s largest QKD network with three satellites and four ground stations.
    • Experiments since 1992 have extended the distance of reliable QKD transmissions to several hundred kilometres via fibre-optic cables or free space.
• Notable Experiments
• China (2013): Researchers implemented QKD between a ground station and a moving hot-air balloon 20 km above, supporting the feasibility of quantum satellites.
• India (2024): A study by the Raman Research Institute, Bengaluru, found the Indian Astronomical Observatory in Hanle, Ladakh, to be ideal for satellite-based QKD due to low signal loss (44 dB compared to 50 dB in China’s experiment).
• India’s Planned Quantum Satellite
  • The planned satellite will transmit signals at a main wavelength of 810 nm, with uplink and downlink wavelengths at 532 nm and 1550 nm, respectively.
  • The projected beam distance is 500 km.

Drawbacks of QKD

• Criticism by the U.S. National Security Agency (NSA)
  • The NSA recommends post-quantum cryptography over QKD due to the following limitations:
    • Lack of Authentication: QKD doesn’t authenticate the source of the transmission.
    • Hardware Dependence: QKD networks rely on hardware that can’t be easily upgraded or patched.
    • High Costs and Risks: Infrastructure costs and insider threats limit its feasibility for many use cases.
    • Limited Real-World Security: The security achieved depends on hardware and engineering designs, not the theoretical unconditional security promised by quantum physics.
    • Vulnerability to Attacks: Eavesdroppers can cause denial-of-service (DoS) attacks by halting transmissions.
• Restrictions Imposed by Quantum Physics
• No-Cloning Theorem: Quantum information can’t be amplified like classical information, restricting its transmission across large distances.
• Post-Quantum Cryptography as an Alternative
  • Post-quantum cryptography uses advanced classical encryption techniques to resist attacks from both quantum and classical devices, making it a more practical solution in some cases.

Why in news?

Meta's WhatsApp secured a significant legal win as a US federal court found the Israeli firm NSO Group liable under federal and California laws for spyware attacks targeting around 1,400 devices.

WhatsApp had sued NSO in 2019, accusing it of using Pegasus spyware to hack and surveil the phones of nearly 1,400 individuals during a two-week period in May 2019. The court will now determine the damages.

What’s in today’s article?

• Pegasus Spyware
• Pegasus in India
• Background of the Case
• Key highlights of the ruling
• Significance of the Ruling

Pegasus Spyware

• About
  • Pegasus is spyware that can infect phones via exploit links or missed video calls (no user interaction needed).
  • Once installed, it grants complete access to the target's phone, including passwords, messages, calls, camera, and microphone.
• Capabilities of Pegasus
  • Accesses private data, passwords, contact lists, calendar events, emails, SMS, and browsing history.
  • Activates the phone’s camera and microphone for live surveillance.
  • Works on Android, iOS, BlackBerry, and Symbian devices.
  • Leaves no trace, has a self-destruct feature, and uses minimal resources to avoid detection.

Pegasus in India

• Background
  • At least two dozen Indian academics, lawyers, Dalit activists, and journalists were targeted.
  • NSO claims it only provides Pegasus to licensed government intelligence and law enforcement agencies.
• Pegasus Spyware’s Global and Indian Impact
  • Pegasus spyware has reportedly targeted government officials, journalists, human rights activists, and diplomats worldwide, including in India.
  • In 2021, it was alleged that Pegasus was used to monitor over 300 Indian phone numbers, including those of Union Ministers, opposition leaders, journalists, and civil society members.
  • The NSO Group claims it only sells Pegasus to governments, but documents from the WhatsApp case revealed the company played a significant role in deploying the spyware, contrary to its claims of limited involvement.
• Indian Government’s Denial and Supreme Court Probe
  • The Indian government denied allegations of Pegasus misuse, with IT Minister calling the claims baseless and asserting that Indian surveillance laws prevent unauthorized monitoring.
  • Following public outcry, the Supreme Court of India formed a technical expert committee in 2021 to investigate the allegations.
  • In its 2022 report, the committee found no conclusive evidence of Pegasus use but noted the Central Government's lack of cooperation.
  • The report remains sealed and unreleased.

Background of the Case

• In October 2019, WhatsApp, owned by Meta, filed a lawsuit against Israeli technology company NSO Group in the US District Court of Northern California.
• The suit alleged that NSO had exploited a bug in WhatsApp to install its Pegasus spyware on the devices of 1,400 users, including activists, journalists, and members of civil society. Pegasus was used by NSO’s government clients to extract sensitive data from target devices.

Key highlights of the ruling

• Violation of Cybersecurity Laws
  • The court ruled that NSO Group violated the Computer Fraud and Abuse Act (CFAA), a federal law criminalizing unauthorized digital access, and California’s Computer Data Access and Fraud Act (CDAFA).
  • The ruling stated that NSO had exploited WhatsApp’s servers to install Pegasus spyware and gain unauthorized access to users' devices.
• Terms of Service Breach
  • The court also concluded that NSO Group violated WhatsApp’s terms of service by reverse-engineering and decompiling its source code.
  • The court reasoned that NSO must have agreed to WhatsApp’s terms to gain access to its software, further solidifying the breach.
• WhatsApp’s Response
  • WhatsApp hailed the ruling as a significant victory for privacy. It emphasized that spyware companies should not evade accountability.

Significance of the Ruling

• This ruling is notable as no prior court had held NSO Group accountable for its spyware.
• It sets a precedent that surveillance companies cannot claim immunity or avoid liability for unlawful actions.

Conclusion

The court ruling against NSO Group highlights increasing scrutiny of the misuse of spyware like Pegasus. In India, the spyware has stirred political and legal debates, with unresolved allegations of its use against politicians, journalists, and activists. The sealed Supreme Court report and the global ramifications of the Pegasus scandal underline the need for transparency and accountability.

Why in the News?

Union Minister for Environment, Forest and Climate Change, Bhupender Yadav, released the ‘India State of Forest Report 2023’ (ISFR 2023) at the Forest Research Institute in Dehradun.

What’s in Today’s Article?

• Background (Context of the Article, How Data is Computed, etc.)
• Key Highlights of ISFR 2023

Background:

• India is one of the few countries to have a scientific system of periodic forest cover assessment in the form of India State of Forest Report.
• India State of Forest Report is an assessment of India’s forest and tree cover.
• It is published every two years by the Forest Survey of India (FSI) under the Ministry of Environment, Forests and Climate Change.
• The first survey was published in 1987.

How is Data Computed for the Report?

• Data is computed through wall-to-wall mapping of India’s forest cover through remote sensing satellites.
• Three categories of forests are surveyed:
  • Very Dense Forests (canopy density over 70%),
  • Moderately Dense Forests (40-70%) and Open Forests (10-40%),
  • Scrubs (canopy density less than 10%)
• Forest Cover is defined as:
  • “An area more than 1 ha in extent and having tree canopy density of 10 percent and above”.
• Tree Cover is defined as:
  • “Tree patches outside recorded forest areas exclusive of forest cover and less than the minimum mappable area of one hectare”.
  • 
• The data is used in planning and formulation of policies in forest management as well as forestry and agroforestry sectors.

Key Highlights of the India State of Forest Report 2023:

• Forest and Tree Cover Statistics:
  • Total forest and tree cover: 827,357 sq. km (25.17% of India's geographical area).
  • Forest cover: 715,343 sq. km (21.76%).
  • Tree cover: 112,014 sq. km (3.41%).
• Increase in Forest and Tree Cover:
  • Total increase since 2021: 1,445 sq. km.
  • Forest cover increased by 156 sq. km, and tree cover by 1,289 sq. km.
• Top-Performing States:
  • Forest and Tree Cover Increases:
    • Chhattisgarh: 684 sq. km.
    • Uttar Pradesh and Odisha: 559 sq. km each.
    • Rajasthan: 394 sq. km.
  • Forest Cover Increases:
    • Mizoram: 242 sq. km.
    • Gujarat: 180 sq. km.
    • Odisha: 152 sq. km.
• State-Wise Leaders in Total Area Under Forest and Tree Cover:
• Madhya Pradesh: 85,724 sq. km.
• Arunachal Pradesh: 67,083 sq. km.
• Maharashtra: 65,383 sq. km.
• Highest Forest Cover by Geographical Area:
  • Lakshadweep: 91.33%.
  • Mizoram: 85.34%.
  • Andaman & Nicobar Islands: 81.62%.
• Significant Environmental Resources:
  • Mangrove Cover: 4,992 sq. km.
  • Bamboo-Bearing Area: Increased by 5,227 sq. km, totalling 154,670 sq. km.
  • Growing Stock: Increased by 262 million cubic meters.
  • Potential Annual Timber Production: 91.51 million cubic meters.
• Carbon Stock and Sequestration:
  • Current carbon stock in forests: 7,285.5 million tonnes (an increase of 81.5 million tonnes).
  • Exceeded NDC target with 30.43 billion tonnes of CO2 equivalent, surpassing the 2030 goal of an additional 2.29 billion tonnes.
• States with Significant Forest Cover:
  • 19 states/UTs have more than 33% geographical area under forest cover.
  • 8 states, including Mizoram, Lakshadweep, and Arunachal Pradesh, have over 75% forest cover.
• Technological Advancements:
  • Real-time fire alerts and forest fire services by FSI enhance forest management.

What’s in Today’s Article?

• Overview (Context of the Article, Key Features of the Amendment)
• Need for Amendment (Challenges, Implications, Significance, Criticism, etc.)
• Conclusion

Overview:

• The Central Government recently amended Rule 93 of the Conduct of Election Rules, 1961 to restrict public access to certain election-related documents.
• This amendment, initiated by the Ministry of Law and Justice upon the Election Commission of India’s (ECI) recommendation, aims to safeguard voter privacy and prevent misuse of sensitive electronic records.
• However, the decision has drawn criticism for allegedly reducing transparency in the electoral process.

Key Features of the Amendment:

• Rule Modification:
  • Previous Rule 93: Allowed public access to all “papers” related to elections.
  • Amended Rule 93: Limits access to only those documents explicitly mentioned in the rules, excluding electronic records like CCTV footage, webcasting clips, and video recordings.
• Scope of Exclusion:
  • Nomination forms, results, and election account statements remain accessible.
  • Electronic materials, such as polling station CCTV footage, are excluded to prevent misuse.

Context and Rationale:

• Legal Trigger:
  • The amendment followed a Punjab and Haryana High Court directive to provide full election-related documents, including electronic records, during a legal case.
• Concerns Over Misuse:
  • ECI officials highlighted risks associated with sharing electronic footage, such as breaches of voter privacy and the possibility of manipulation using Artificial Intelligence (AI).
  • Sensitive regions like Jammu and Kashmir and Naxal-affected areas could face voter intimidation or threats.
• Safeguards for Candidates:
  • Candidates still retain access to essential election records, including CCTV footage, to ensure fair contestation. However, non-candidates must seek court permission for such access.

Criticism and Concerns:

• Transparency Issues:
  • Critics argue the amendment curtails public oversight, especially over vital documents like observer reports and voter turnout data.
  • RTI activists, including Venkatesh Nayak, highlighted the importance of access to Presiding Officer diaries and other records to ensure election fairness.
• Political Allegations:
  • Opposition leaders accused the government of diminishing electoral integrity. Congress leader Jairam Ramesh described the amendment as a step back for democracy and called for legal challenges to restore transparency.

Significance of the Move:

• Enhanced Security:
  • Aimed at preserving voter anonymity and ensuring safety, particularly in sensitive regions.
• Transparency Trade-offs:
  • While the amendment seeks to balance security with public access, critics view it as a regression in fostering trust in electoral systems.

Legal Framework and Implications:

• Conduct of Election Rules, 1961:
  • Govern election-related processes and transparency measures.
  • The amendment introduces clarity on what constitutes accessible election documents.
• Impact on Cooperative Federalism:
  • Raises questions about the role of transparency in maintaining the credibility of elections at both central and state levels.
• Potential Legal Challenges:
  • Critics and opposition parties plan to contest the amendment in court, emphasizing the need for transparency as foundational to democracy.

Way Forward:

• The amendment underscores the government’s attempt to modernize election security while addressing transparency challenges.
• However, a robust mechanism balancing both aspects, possibly through outcome-based transparency measures, may be crucial in restoring public confidence in the electoral process.

Context

• The recent proposals by the Group of Ministers (GoM) under India’s GST Council reflect a common-sense approach to taxation, emphasising national priorities of public health and equity.
• These reforms aim to recalibrate the country’s tax structure by lowering GST rates on essential items like bicycles and exercise books while increasing taxes on high-value luxury goods, including tobacco products.
• This dual strategy not only prioritises the well-being of citizens but also addresses the broader societal costs associated with preventable health crises, particularly those arising from tobacco consumption.

The Burden of Tobacco Consumption

• Tobacco usage in India is a public health crisis of staggering proportions.
• Killing nearly 1.3 million people annually and debilitating millions more, tobacco exacts enormous societal costs in terms of lost productivity and escalating healthcare expenses.
• These stark realities underscore the urgent need for effective policy interventions. Among these, taxation stands out as the single most effective measure to curb tobacco use.
• By increasing prices through higher taxes, governments can discourage new users, encourage current users to quit, and prevent relapse among former users.

Benefits of High Taxation on Tobacco Products

• Impact on Consumption Patterns
  • One of the key advantages of taxing tobacco is its ability to influence consumer behaviour, particularly among price-sensitive groups such as lower-income populations and young people.
  • When taxes are raised, the cost of tobacco products increases, prompting consumers to rethink their consumption habits.
  • Studies consistently show that higher tobacco prices discourage people from starting to smoke, encourage current smokers to quit, and reduce overall consumption levels.
  • This price sensitivity is more pronounced among economically disadvantaged groups, who spend a larger proportion of their income on tobacco.
  • As a result, higher taxes are more likely to lead to significant reductions in tobacco use among these populations, creating a disproportionately positive impact on their health.
• Generating Revenue for Public Welfare
  • Beyond reducing consumption, tobacco taxation generates substantial revenue for governments.
  • The paradox of tobacco taxation lies in its elasticity: while higher prices lead to reduced consumption, the decline is typically less than proportional to the tax increase.
  • This means that governments can collect more revenue even as fewer tobacco products are sold.
  • The additional funds generated can be strategically reinvested in public goods and services, amplifying their societal impact.
  • For example, revenues from tobacco taxes can be directed toward strengthening healthcare infrastructure, funding education programs, or supporting anti-smoking campaigns.
  • These investments create a virtuous cycle, where the benefits of reduced tobacco use extend beyond individual health to broader societal gains.
• Addressing Inequities through Taxation
  • Tobacco taxes are inherently progressive when designed thoughtfully.
  • Lower-income individuals, who are more sensitive to price increases, benefit the most from reduced consumption and the associated health improvements.
  • This effect helps to mitigate health disparities, as economically disadvantaged groups are often disproportionately affected by tobacco-related illnesses.
  • Furthermore, the reinvestment of tobacco tax revenues into public welfare programs can enhance social equity.
  • For instance, funding universal healthcare initiatives or subsidising health insurance premiums with tobacco tax revenues ensures that the benefits are distributed widely, including to those who need them the most.

Limitations of India’s Current Tobacco Tax Structure and Measures to Address These Challenges

• Tiered Tax Structure: A Barrier to Effectiveness
  • One of the most pressing issues in India’s tobacco tax system is its tiered structure, where different types of tobacco products, and even brands within a category, are taxed at varying rates.
  • For example, cigarettes may be taxed higher than bidis, and premium cigarette brands often face higher rates than lower-cost alternatives.
  • This disparity creates a loophole for consumers to switch to cheaper options when prices rise for one category or brand.
  • The tiered structure diminishes the deterrent effect of taxation by making it possible for users to maintain their consumption levels through substitution.
  • Bidis, in particular, are taxed minimally or not at all in some cases, despite being a major source of tobacco use in India.
  • This not only perpetuates widespread bidi consumption but also results in significant revenue losses for the government.
  • To address this, India needs a unified tax structure where the same rate is applied per unit of tobacco, regardless of brand, size, or other characteristics.
  • A consistent and simplified system eliminates substitution opportunities and ensures that all tobacco products are equally disincentivized.
• Affordability of Tobacco Products
  • Despite periodic tax increases, many tobacco products in India remain highly affordable.
  • Between 2016 and 2022, cigarettes, bidis, and chewing tobacco products became more affordable on average, largely due to the combination of stagnant tax rates and rising incomes.
  • As tobacco products become more affordable, their consumption increases, counteracting public health efforts.
  • To tackle this issue, taxes must be adjusted annually to account for inflation and income growth.
  • Specific excise taxes, rather than ad valorem taxes (which are a percentage of the price), are particularly effective in this context.
  • Specific excise taxes impose a fixed amount per unit of tobacco, ensuring that prices rise predictably and significantly over time.
  • This approach reduces affordability and maintains the deterrent effect of taxation.
• The Problem of Lower Taxation on Bidis
  • Bidis, a traditional form of smoked tobacco, pose a unique challenge in India’s tobacco control efforts.
  • They are consumed predominantly by low-income groups and are often seen as a cheaper alternative to cigarettes.
  • However, bidis are equally, if not more, harmful to health, and their minimal taxation exacerbates their widespread use.
  • To address this, the government must consider comprehensive taxation and regulation of bidis.
  • Bringing bidis under the same tax framework as other tobacco products would significantly reduce their affordability and consumption.
  • Additionally, targeted public health campaigns and alternative livelihood programs for bidi workers can help mitigate resistance to such reforms.
• Tax on Smokeless Tobacco Products
  • Smokeless tobacco products, including chewing tobacco and gutka, are another area of concern.
  • These products are widely consumed across India and contribute significantly to the country’s tobacco-related disease burden.
  • Yet, their taxation and regulation remain inconsistent.
  • Including smokeless tobacco products in a unified tax structure and subjecting them to regular price increases would complement efforts to reduce overall tobacco consumption.
  • Public awareness campaigns highlighting the health risks of smokeless tobacco can further reinforce these measures.

Conclusion

• The GST Council’s proposed reforms represent a decisive step toward balancing the nation’s fiscal and public health goals.
• Higher taxes on tobacco products, coupled with reduced levies on essentials, reflect a thoughtful prioritisation of societal well-being.
• By aligning taxation policies with national health and equity goals, India can pave the way for a healthier, more productive, and equitable society.

Why in the News?

• Union Home Minister Amit Shah highlighted the significance of the Siliguri corridor as a crucial link to Northeast India and said that the presence of Sashastra Seema Bal (SSB) in the area comes as an assurance to the entire country.

What’s in Today’s Article?

• About Siliguri Corridor (Background, Geography, Significance, Economic Importance, Challenge, etc.)
• About SSB
• News Summary

About Siliguri Corridor:

• The Siliguri Corridor, often referred to as the "Chicken's Neck", is a narrow stretch of land in the Indian state of West Bengal.
• It connects the northeastern states of India with the rest of the country. Its geopolitical, strategic, and economic significance makes it a critical asset for India.
• Geographical Overview:
  • Location: The corridor is situated in the northern part of West Bengal, spanning approximately 22 kilometres at its narrowest point.
  • Borders: It is flanked by Nepal to the west, Bhutan to the north, and Bangladesh to the south.
  • Connectivity: It links the North-eastern Region (NER) comprising eight states—Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, and Tripura—to mainland India.

Significance of Siliguri Corridor:

• National Security:
  • The corridor is crucial for maintaining India’s territorial integrity. Any compromise in the region can isolate the northeastern states from the rest of India.
  • The area is vulnerable to external threats, especially given its proximity to the China-Bhutan border in the north and Bangladesh in the south.
• Military Importance:
  • The corridor serves as a vital supply route for the Indian Army, particularly for accessing forward bases in Sikkim and Arunachal Pradesh.
  • It is critical for India’s preparedness against China, especially in light of past conflicts like the 1962 Sino-Indian War and the ongoing border tensions.
• Geopolitical Sensitivity:
  • Its proximity to China’s Chumbi Valley (a tri-junction of India, Bhutan, and China) poses a strategic challenge. Control over this area could jeopardize India’s access to the Northeast.

Economic Importance:

• Trade and Connectivity:
  • The Siliguri Corridor is a gateway for trade between mainland India and its north-eastern states, facilitating the movement of goods and services.
  • It connects to important international trade routes, including access to Bhutan and Nepal.
• Tourism Hub:
  • The region is a base for tourism to destinations like Darjeeling, Gangtok, and Bhutan, contributing significantly to local and national economies.
• Developmental Integration:
  • The corridor supports initiatives like the Act East Policy, which aims to integrate north-eastern states with Southeast Asia for economic development.

Challenges:

• Geographical Vulnerability:
  • The narrow width of the corridor makes it highly susceptible to natural disasters like floods and earthquakes, which could disrupt connectivity.
• Security Concerns:
  • Cross-border terrorism, illegal migration, and smuggling from Bangladesh add to the security challenges.
  • The region has seen insurgency issues in the past, requiring constant vigilance.
• Infrastructure Gaps:
  • Despite its importance, the corridor faces infrastructural deficits, including poor road and rail connectivity, hindering efficient transport and logistics.

Government Initiatives:

• Border Infrastructure Development:
  • Investments in road and rail networks, including the Bharatmala Pariyojana and Golden Quadrilateral, aim to strengthen connectivity in the region.
• Act East Policy:
  • This policy focuses on improving trade and cultural ties with Southeast Asia, with the Siliguri Corridor acting as a vital link.
• Strategic Rail and Air Connectivity:
  • The development of Bagdogra Airport and improved rail connectivity through Northeast Frontier Railways enhances accessibility and economic prospects.
• Integrated Check Posts (ICPs):
  • Modern ICPs along the borders of Nepal and Bangladesh are being developed to streamline trade and security.

About Sashastra Seema Bal (SSB):

• It is a border guarding force of India deployed along its borders with Nepal and Bhutan.
• The force was originally set up under the name Special Service Bureau in 1963 in the aftermath of the Indo-China War to strengthen India's border areas against enemy operations. 

News Summary:

• Union Home Minister Amit Shah emphasized the strategic importance of the Siliguri Corridor, also known as the Chicken’s Neck, during the 61st Foundation Day celebrations of the Sashastra Seema Bal (SSB) in Siliguri.
• This narrow stretch of land in West Bengal is critical due to its proximity to neighbouring countries like China, with a width of about 20 km and a length of 60 km.
• Shah praised the SSB for ensuring security along the 2,450 km border with Nepal and Bhutan and expressed confidence in their ability to protect India's borders.
• He highlighted the SSB’s significant role in eradicating left-wing extremism in Bihar and Jharkhand, declaring both states free of such threats.
• He also commended the SSB's efforts in fostering cultural integration in border villages, strengthening ties between border communities and the Indian mainstream.
• During the event, Shah inaugurated and laid the foundation stone for infrastructure projects for the SSB, including residential complexes at Agartala and Petrapole.
• The Home Minister's remarks underscored the corridor's critical role in India's security and its integration with the Northeast.

Why in News?

With an estimated 5 crore users and an exponential growth in investment, the opinion trading sector appears to have mostly gone unnoticed and unreviewed in India.

What’s in Today’s Article?

• What is Opinion Trading?
• Legal and Regulatory Challenges of Opinion Trading in India
• Industry Perspective
• Global Experience and Lessons for India
• Way Ahead for Regulating Opinion Trading in India

What is Opinion Trading?

• Opinion trading allows users to bet real money on the outcomes of future events across various sectors, such as sports, elections, and cryptocurrency.
• Popular platforms in India include Probo and MPL Opinio, which have collectively attracted over ₹4,200 crore in funding from major investors like Sequoia Capital and Y Combinator.
  • Apps like MPL Opinio are available on both Google Play Store and Apple’s App Store, while Probo is excluded from Google Play.
  • Advertising on platforms like Google and Meta helps these companies acquire users.
• With over 5 crore users and transaction volumes exceeding ₹50,000 crore annually, the sector is witnessing exponential growth but remains largely unregulated.
• It is projected to generate over ₹1,000 crore in revenues for the financial year 2024-25.
• Despite the regulatory challenges, the industry’s rapid growth highlights its potential as a significant contributor to India’s online gaming economy.

Legal and Regulatory Challenges of Opinion Trading in India:

• Lack of central legislation:
  • India currently lacks a dedicated legal framework to regulate opinion trading platforms, leaving users without adequate protections.
  • Amendments to the Information Technology Rules were proposed to regulate online gaming but remain ambiguous in their enforcement.
  • As a result, platforms operate in a legal gray area with limited oversight.
• Game of skill vs. game of chance:
  • The legal status of opinion trading hinges on whether it is classified as a game of skill or chance. In India, games of skill are generally legal, while games of chance are not.
  • Critics argue that opinion trading resembles betting, as it involves wagering/betting on outcomes without requiring significant skill.
• Avoidance of stock market topics: To minimise regulatory scrutiny, platforms avoid questions related to the Indian stock market, which could invoke the jurisdiction of the Securities and Exchange Board of India (SEBI).

Industry Perspective:

• Probo asserts that its platform involves skill, using internal audits and Supreme Court-defined metrics to determine the "skill score" of its questions.
• According to some legal experts,
  • The absence of a "house" (an entity controlling outcomes) distinguishes opinion trading from traditional betting.
  • These platforms have drawn regulatory scrutiny, such as the Competition Commission of India’s (CCI) investigation into alleged market distortions.

Global Experience and Lessons for India:

• Countries like the US and Australia, classify wagers/bets as securities and regulate them accordingly.
• In the US, platforms like Kalshi are regulated by the Commodity Futures Trading Commission (CFTC).
• However, non-compliance with regulatory standards, as seen with Polymarket, can lead to legal action.

Way Ahead for Regulating Opinion Trading in India:

• The rapid rise of opinion trading platforms underscores the urgent need for a clear regulatory framework.
• Stakeholders, including platform founders and gaming industry representatives, have called for central laws to govern this sector.
• A balanced approach is essential to ensure user protection while fostering innovation and growth in the burgeoning online gaming industry.

Why in news?

The recent visit of Sri Lanka’s President Anura Kumara Dissanayake (AKD) to India— his first trip overseas since becoming leader of his country — saw some classic diplomatic deal-making, with give and take on both sides.

What’s in today’s article?

• Win Some, Lose Some: Key Takeaways from AKD's Visit to India
• Confident President: Sri Lanka’s Evolving Stance and Domestic Actions
• Focus on Mutual Benefits: India-Sri Lanka Cooperation

Win Some, Lose Some: Key Takeaways from AKD's Visit to India

• Assurance on Anti-India Activities
  • Sri Lankan President Anura Kumara Dissanayake (AKD) assured PM Modi that Sri Lanka’s territory would not be used for activities harmful to India’s interests.
  • This commitment addresses India’s concerns regarding the frequent visits of Chinese “research vessels” to Sri Lankan ports.
  • The reiteration of this stance is significant, as AKD is perceived to be pro-China.
• Tamil Minority Issue: Divergent Views
  • AKD resisted India’s push for the full implementation of the 13th Amendment to the Sri Lankan Constitution, which aims to empower the Tamil minority.
  • He opposes the amendment and investigations into alleged war crimes from the LTTE-Sri Lankan military conflict.
  • PM Modi emphasized “reconciliation and reconstruction” and urged Sri Lanka to fulfil its constitutional commitments and hold provincial council elections.
• Focus on Unity and Development
  • While AKD avoided specific commitments on the Tamil issue, he emphasized unity, social protection, and sustainable development.
  • He highlighted the importance of diversity as a fundamental principle of democracy.

Confident President: Sri Lanka’s Evolving Stance and Domestic Actions

• Firm Position on Tamil Issue
  • The joint statement reflected Sri Lanka’s influence in shaping the narrative.
  • Earlier, India had emphasized Tamil aspirations and the need for the 13th Amendment's full implementation, along with provincial council elections.
  • However, AKD’s confidence, stemming from his strong parliamentary mandate, has enabled him to resist external pressure, including from India.
• Confident Engagement with Major Powers
  • AKD’s historic parliamentary majority has bolstered his confidence in dealing with influential nations like India and China.
  • This self-assurance marks a shift in Sri Lanka’s diplomatic posture, signaling a more assertive and independent approach.
• Anti-Corruption Commitment at Home
  • The President’s adherence to the principles of the “Clean Sri Lanka” campaign has been evident in domestic politics.
  • For instance, Speaker Asoka Ranwala, a close ally of AKD, was forced to step down amid allegations about his academic qualifications, demonstrating AKD’s zero-tolerance policy toward impropriety.

Focus on Mutual Benefits: India-Sri Lanka Cooperation

• Rebuilding Sri Lanka with Focus and Clarity
  • President AKD is pursuing an ambitious agenda to rebuild Sri Lanka after recent crises.
  • The India-Sri Lanka joint statement, titled “Fostering Partnerships for a Shared Future,” underscores this shared focus on development and collaboration.
• Bilateral Cooperation
  • Digital collaboration includes implementing Aadhaar and UPI systems in Sri Lanka.
  • Both leaders acknowledged India’s significant contributions to Sri Lanka’s socioeconomic growth through development assistance. Key projects include:
    • Phase III & IV of the Indian Housing Project.
    • High Impact Community Development Projects.
• Advancing Connectivity and Energy Cooperation
  
  • LNG supply.
  • Development of Trincomalee as a regional energy and industrial hub.
  • Offshore wind power development in the Palk Strait.
  • High-capacity power grid interconnection.
  • Three islands’ Hybrid Renewable Energy Project.
• Enhancing Physical Connectivity
• Resumption of passenger ferry services between:
  • Nagapattinam and Kankesanthurai.
  • Rameswaram and Talaimannar (under review).
• Discussions on rehabilitating Sri Lanka’s Kankesanthurai port are underway.
• Defence and Security Cooperation
  • Agreements to explore:
    • A framework Agreement on Defence Cooperation.
    • Provision of defence platforms and joint exercises.
    • Maritime surveillance, cyber security, and counter-terrorism under the Colombo Security Conclave mechanism.
• Strategic Continuity Amid New Leadership
  • Despite new leadership in Sri Lanka, priorities and interests remain aligned.
  • India views Sri Lanka’s stability as critical to its strategic interests, while AKD seeks to make the next five years impactful through a mutually beneficial partnership.

Why in news?

The Assessment Report on the Interlinkages Among Biodiversity, Water, Food, Health & Climate Change – known as the Nexus Report – has been released by the Intergovernmental Platform on Biodiversity and Ecosystem Services (IPBES).

The report provides decision-makers with the most comprehensive scientific assessment of the interconnections across five ‘nexus elements’. It explores over 60 response options to maximize co-benefits across these five nexus elements.

What’s in today’s article?

• The Intergovernmental Platform on Biodiversity and Ecosystem Services (IPBES)
• Key highlights of the NEXUS Report

The Intergovernmental Platform on Biodiversity and Ecosystem Services (IPBES)

• About
  • IPBES, akin to the IPCC for climate change, evaluates existing scientific knowledge on biodiversity and ecosystems to assess their current state.
  • Established in 2012, it informs several international environmental agreements like the UN Convention on Biological Diversity, the Ramsar Convention, and the Cartagena Protocol.
  • Just like IPCC, IPBES too does not produce new science. It only evaluates the existing knowledge to make consolidated assessments.
• Landmark Report by IPBES
  • First Report (2019)
    • Highlighted threats to global biodiversity, revealing that one million species face extinction due to human-induced ecosystem changes.
    • It reported that 75% of Earth’s land, 66% of marine areas, and 85% of wetlands had been significantly altered or lost.
  • Impact
    • This report became the foundation for the Kunming-Montreal Global Biodiversity Framework (2022), which set 23 targets to halt biodiversity loss by 2030.
    • Key 2030 goals include: Protecting 30% of land, freshwater, and oceans; Restoring 30% of degraded ecosystems.

Key highlights of the NEXUS Report

• Strong interconnections between global challenges
  • The report highlights the strong interconnections between global challenges such as climate change, biodiversity loss, hunger, water scarcity, and health risks.
  • It emphasizes that tackling these issues separately is not only ineffective but also counterproductive, as they interact and compound each other.
  • It noted that current economic activities significantly harm biodiversity, climate, food production, water, and health, with unaccounted costs estimated at $10-25 trillion annually.
• Risks of Isolated Approaches
  • Food Production: Scaling up to tackle hunger can increase pressure on land, water, and biodiversity.
  • Climate Change Focus: Exclusive efforts could negatively affect food security and biodiversity.
  • Conservation: Protecting land and oceans may restrict options for food security and climate change mitigation.
• Call for Synergistic Approaches
  • The report advocates for integrated strategies that deliver benefits across all five challenges, identifying over 70 response options, including:
    • Restoring carbon-rich ecosystems like forests, soils, and mangroves.
    • Managing biodiversity to reduce zoonotic disease risks.
    • Promoting sustainable healthy diets.
    • Employing nature-based solutions.
• Sustainable Production and Consumption
• Efforts must prioritize actions that balance sustainable production and consumption with ecosystem conservation, pollution reduction, and climate change mitigation, ensuring broad and lasting benefits.
• Economic Impact of Biodiversity Loss
  • The report highlights that over half of the global GDP, approximately $58 trillion annually, depends on nature.
  • Biodiversity degradation reduces productivity and economic output.
  • Despite this, current economic systems incentivize activities that harm biodiversity, contributing to its decline by 2–6% every decade.
• Principles of Transformative Change
  • The report outlines four core principles for a new approach:
    • Equity and Justice: Fair distribution of resources and opportunities.
    • Pluralism and Inclusion: Embracing diverse perspectives.
    • Respectful Human-Nature Relationships: Building reciprocal and sustainable interactions.
    • Adaptive Learning and Action: Continuously evolving strategies based on feedback and experience.
• Urgency and Benefits of Immediate Action
  • Delaying action on biodiversity conservation could double costs within a decade.
  • However, immediate implementation of sustainable, nature-positive models could unlock $10 trillion in business opportunities and create 400 million jobs by 2030.