Why in the News?

China’s Ambassador to India Xu Feihong posted on X (Twitter) about the historic Tea Horse Road which spanned more than 2,000 km, and connected China to India via Tibet.

What’s in Today’s Article?

• Tea Horse Road (Historical Background, Utility, Role in Modern History, Revival, etc.)

Introduction:

• The Tea Horse Road, an ancient trade network connecting China, Tibet, and India, played a key role in commerce and cultural exchange for centuries.
• While less famous than the Silk Road, this route facilitated the movement of tea, horses, and other valuable commodities across some of the world's most challenging terrains.
• Recently, China’s Ambassador to India, Xu Feihong, highlighted the historical significance of the Tea Horse Road, emphasizing its role in strengthening India-China ties through history.

Origins of the Tea Horse Road:

• The Tea Horse Road traces its origins to the Tang Dynasty (618-907 CE), when trade between Southwest China, Tibet, and India first flourished.
• Buddhist monk Yijing (635-713 CE) documented early trade exchanges, mentioning the movement of goods such as sugar, textiles, and rice noodles from China, while horses, Tibetan gold, saffron, and medicinal herbs were exported.
• By the 10th century, during the Song Dynasty (960-1279 CE), official markets were established along the route to regulate the trade of tea and horses, which became the dominant commodities exchanged between China and Tibet.

A Network of Roads Across Difficult Terrain:

• The Tea Horse Road was not a single pathway, but a network of trails originating in Southwest China and reaching deep into the Indian subcontinent, Nepal, and Bangladesh.
• Key Features of the Route:

• Length: Over 2,000 km
• Key Cities: Passed through Dali, Lijiang (Yunnan Province), and Lhasa (Tibet)
• Elevation: Reached up to 10,000 feet in the Himalayas
• Challenges: Harsh terrain, extreme weather, and high altitudes made the journey perilous for traders

• Despite these difficulties, traders travelled extensively, carrying tea from Sichuan to Tibet and India, while returning with horses and other essential goods.

Tea and Horses – The Core of the Trade:

• Tea was a necessity for Tibetan nomads, who lived in cold and harsh climates. According to National Geographic, yak butter tea became a staple for Tibetans, providing essential warmth and energy.
• Meanwhile, horses were crucial for China’s military. Since the central plains of China lacked horses, they had to be imported from Tibet and Yunnan.
• Tibetan steeds became highly valued, particularly in China’s conflicts against Mongolian tribes.
• To regulate this exchange, China’s Song Dynasty government established official markets, ensuring a controlled trade of tea and horses, which contributed to regional economic stability.

The Road’s Role in Modern History:

• Expansion of Trade in the Early 20th Century
  • With the fall of the Qing Dynasty in 1912, the Tea Horse Road became even more vital. Yunnan’s tea industry expanded as China integrated into the global market.
  • New trade techniques and goods were introduced to the mountainous regions, increasing economic opportunities.
• World War II and the Road’s Strategic Importance
  • During World War II, when Japan controlled much of China’s coastline, the Tea Horse Road served as an alternative supply route for transporting goods and military supplies to China’s resistance forces.
• Decline After the Founding of the People's Republic of China (1949)
  • Following the establishment of the People’s Republic of China, the importance of the Tea Horse Road declined.
  • Mao Zedong’s land reforms significantly changed trade patterns, and with the advancement of modern transportation, the historic trade route lost its relevance.
  • However, some remnants remain, particularly in regions like Lijiang, which became a UNESCO World Heritage Site in 1997 due to its historical significance in trade.

Revival of the Tea Horse Road as a Cultural Landmark:

• In recent years, China has promoted tourism along the ancient trade route, highlighting its historical importance.
• The city of Lijiang, once a crucial trade hub, has been transformed into a cultural and heritage site, drawing visitors from across the world.
• According to UNESCO, Lijiang was an important distribution center for trade between Sichuan, Yunnan, and Tibet, where it intersected with southern Silk Road routes. Today, the city serves as a testament to the Tea Horse Road’s enduring legacy.

Conclusion:

The Tea Horse Road was more than just a trade route; it was a lifeline connecting China, Tibet, and India for centuries. While its significance has diminished in modern times, it remains a historical and cultural symbol of international exchange.

Today, efforts to preserve its legacy through tourism and research highlight its role in shaping the economic and cultural landscapes of the regions it once traversed. The renewed focus on this historic route serves as a reminder of the deep historical ties between India and China.

Context:

• State governments impose a significant compliance burden on employers, accounting for 80% of criminal provisions, 65% of filings, and 63% of total compliances.
• Chief Ministers (CMs) can improve the business environment through three key reforms: Decriminalisation, Digitisation, and Rationalisation.
• These reforms can help boost high-wage employment and foster economic growth.

Decriminalisation of Employer Compliance:

• The current scenario:
  • India has 26,134 employer-related jail provisions, of which 80% can be removed by state governments.
  • The Jan Vishwas Bill eliminated only 110 out of 5,239 central employer jail provisions due to bureaucratic inertia and vested interests.
• Recommended approach:
  • CMs should adopt a “reversing the gaze” approach, removing criminal provisions except in cases involving:
    • Physical harm to individuals.
    • Intentional fraud against stakeholders.
    • Major societal externalities affecting public order, national integrity, or property rights.
    • Vague general clauses that do not specify crimes clearly.
    • Procedural infractions like delays or inaccuracies in filings, incorrect formats, and calculation errors.
  • The upcoming Jan Vishwas 2.0 could eliminate another 40% of employer-related criminal provisions.
  • States like Madhya Pradesh and Tamil Nadu have made small reforms, while Gujarat, Karnataka, and Odisha are considering changes.

Digitisation for Simplified Compliance:

• The need for digital transformation:
  • 65% of India’s 69,233 employer compliances can be made paperless, presence-less, and cashless.
  • India’s Digital Public Infrastructure (DPI) has already transformed areas like vaccine certification, toll payments, de-duplicated welfare records, and payments.
  • For example,
    • RBI’s initial UPI target of a billion monthly transactions has now been revised to a billion daily transactions.
    • Recent announcements on PAN 2.0 and the Entity Locker (a single source of truth, tamper-proof, and authenticated document repository for all government-issued licenses, registrations, and permissions).
• Proposed solutions:
  • State Employer Compliance Grids (SECGs) should be implemented, replicating DPI’s open-architecture technology for:
    • Filing periodic returns.
    • Issuing licences, registrations, and NOCs.
    • Ensuring a single-source, tamper-proof repository for compliance documents.
  • SECGs can be operational in 180 days and should integrate with national initiatives.
  • Gujarat, Maharashtra, and Andhra Pradesh are in the early stages of adopting SECGs.

Rationalisation of Governance and Compliance Frameworks:

• Challenges in bureaucratic structures:
  • India’s state civil service has become rigid and inefficient, often prioritizing prohibition over permission and guilt over innocence.
  • Excessive bureaucracy: Number of government departments in some states:
    • UP (72), Uttarakhand (63), Assam (54), Punjab (51), MP (47), Maharashtra (35), Andhra Pradesh (31), Gujarat (27).
  • Comparatively, developed nations operate with fewer ministries: Japan (15), UK (22), US (25).
• Way forward:
  • Simplifying governance structures: By consolidating departments can enhance efficiency.
  • Decentralisation of policy-making: PM Modi’s idea that 29 CMs matter more than one PM aligns with philosopher Karl Polanyi’s view that markets are shaped by social, political, and economic factors.

Conclusion:

• India’s economic challenge lies in “employed poverty”, with too many people in low-productivity jobs.
• CMs can accelerate reforms by removing unnecessary compliance hurdles, enabling businesses to flourish and generate higher wages.
• As Daniel Kahneman (Nobel Prize-winning economist) suggests, sometimes the best way to accelerate progress is not by stepping on the accelerator but by removing the brakes - a principle CMs should embrace for economic transformation.

Context

• On January 27, 2025, Uttarakhand became the first Indian state to implement the Uniform Civil Code (UCC).
• While its proponents claim that it aims to promote gender justice, uniformity, and administrative efficiency, its broader implications suggest a legal framework that places personal relationships under state surveillance.
• Amid these developments, it is crucial to explore how the UCC, in conjunction with anti-conversion laws, curtails personal freedoms, strengthens patriarchal control, and institutionalizes segregation in contemporary India.

Challenges Faced by the Interfaith Relationships in India

• Interfaith marriages in India already face immense social and legal challenges.
• A 2014 survey of over 70,000 respondents revealed that fewer than 10% of urban Indians had a family member who married outside their caste, and only 5% reported interfaith marriages within their families.
• Existing laws such as the Special Marriage Act, 1954, require a 30-day public notice period, making interfaith couples vulnerable to scrutiny and harassment.
• The situation has worsened with anti-conversion laws in states like Uttar Pradesh, Uttarakhand, and Rajasthan.
• These laws impose bureaucratic barriers, including mandatory declarations, waiting periods, and district magistrate approvals.
• The impact of these regulations is not just procedural but deeply social, emboldening vigilante groups linked to right-wing organisations.
• A study found that in Uttar Pradesh, 63 out of 101 police complaints filed under the anti-conversion law against Christians originated from third-party vigilante groups.
• Instead of safeguarding individual rights, these laws provide legal backing for extrajudicial policing of personal choices.

State Surveillance and the Criminalization of Live-in Relationships

• The UCC extends state control beyond formal marriages, reaching into informal relationships.
• It mandates that live-in relationships be registered with district authorities, requiring couples to submit a 16-page application along with identity proofs.
• The process includes seeking approval from religious leaders or community heads, notifying family members, and subjecting couples to scrutiny.
• Non-compliance is criminalised, carrying a penalty of up to six months of imprisonment and a ₹25,000 fine.
• Such measures disproportionately affect interfaith couples, who often seek privacy due to social pressures.
• Reports indicate that only one couple has successfully registered their live-in relationship in Uttarakhand, while others have turned to the High Court for protection.

Broader Implications:

• Empowering Religious Institutions in a Secular State
  • By requiring religious certification for marriage or conversion, the UCC formalises the authority of religious leaders over personal relationships.
  • This contradicts India's constitutional guarantees of individual freedom and secularism, reinforcing the idea that personal relationships must conform to religious and community norms rather than personal choice.
• Enhancing Familial Control Over Women
  • The legal requirement to notify families of live-in relationships places women at heightened risk of coercion, honour-based violence, and forced separation.
  • Patriarchal narratives often depict women in interfaith relationships as victims of manipulation, further limiting their agency.
  • These legal frameworks thus reinforce family and community control over women’s autonomy.
• Legitimising Vigilantism
  • Extremists’ groups now have legal avenues to monitor and intervene in interfaith relationships.
  • Public notices and family notifications allow these groups to track and harass couples, often under the pretence of upholding tradition.
  • Instead of protecting individuals, these laws provide a legal shield for extrajudicial policing, increasing communal tensions.
• A Dangerous Precedent: The Spread of the UCC Model
  • Uttarakhand’s implementation of the UCC is not an isolated incident but a potential model for other states.
  • Rajasthan’s High Court has proposed similar live-in relationship registration requirements, and the state has already enacted an anti-conversion law.
  • Gujarat is also considering a draft UCC based on Uttarakhand’s framework.
  • This trend suggests a coordinated effort to regulate personal relationships through legal mechanisms, threatening India’s pluralistic traditions.

Conclusion

• The implementation of the UCC in Uttarakhand, alongside existing anti-conversion laws, represents an unprecedented level of state interference in personal relationships.
• By bureaucratising interfaith unions, strengthening religious authority, curtailing women's freedoms, and legitimizing vigilantism, these laws erode individual rights and deepen communal divisions.
• If similar policies are adopted in other states, India risks institutionalising social segregation, undermining the very principles of democracy and personal liberty.

Context

• The Right to Information (RTI) Act was introduced with the objective of enhancing transparency and empowering citizens by granting them access to government-held information.
• It was perceived as a means to uphold democratic principles by ensuring accountability and reducing corruption.
• However, despite its initial promise, the Act has encountered numerous challenges, resulting in a diminished impact.
• Therefore, it is important to examine the trajectory of the RTI Act, the systemic issues that have weakened its implementation, and the legal interpretations that have further restricted citizens’ access to information. 

The Initial Promise of the RTI Act

• The RTI Act was seen as a landmark piece of legislation that recognized citizens as the true rulers of the nation.
• By codifying the fundamental right to information, the Act provided an effective tool for public oversight, allowing people to monitor the functioning of the government.
• This empowerment was expected to curb corruption and arbitrariness, leading to a more transparent and accountable administration.
• The law was hailed as one of the best transparency laws in the world, offering a legal framework for citizens to seek information with dignity and respect.
• However, the optimism surrounding the Act quickly diminished as the government and bureaucracy resisted this shift in power.

Systematic Issues and Judicial Interpretations that Weakened the RTI Act

• Bureaucratic Resistance and Systemic Erosion
  • One of the earliest challenges to the RTI Act was the reluctance of government officials to relinquish control over information.
  • Recognising that the Act effectively transferred power from public servants to citizens, the government attempted to weaken the law through amendments.
  • However, strong public opposition forced it to abandon these efforts. Despite this, a gradual erosion of the Act’s effectiveness ensued through bureaucratic resistance and judicial reinterpretations.
  • The implementation of the Act was entrusted to Information Commissions, which functioned as appellate authorities.
  • Unfortunately, most of the commissioners appointed were retired bureaucrats, many of whom viewed these positions as post-retirement sinecures rather than opportunities to uphold transparency.
  • Their reluctance to impose penalties for non-compliance further weakened the Act.
  • Additionally, delays in appointing commissioners led to massive backlogs, rendering the right to information ineffective.
  • The mandated 30-day period for providing information was often not adhered to, turning RTI into a tool that provided historical records rather than timely insights.
• Judicial Interpretations Restricting RTI
  • Central Board of Secondary Education vs Aditya Bandopadhyay (2011)
  • A significant shift in the interpretation of the RTI Act occurred with the Supreme Court’s ruling in Central Board of Secondary Education vs Aditya Bandopadhyay (2011).
  • The judgment challenged the strict interpretation of Section 8, which outlines exemptions to the right to information.
  • The Court’s assertion that indiscriminate use of RTI could hinder administrative efficiency and national development introduced a restrictive view of the law.
  • This perspective justified the denial of information on broad grounds and cast suspicion on RTI applicants, leading to an environment where transparency was seen as an obstruction rather than a fundamental right.
• Girish Ramchandra Deshpande vs Central Information Commissioner (2012)
  • The erosion of the RTI Act continued with the Supreme Court’s decision in Girish Ramchandra Deshpande vs Central Information Commissioner (2012).
  • In this case, the Court ruled that information about a public servant’s disciplinary records and financial dealings was ‘personal information’ and therefore exempt under Section 8(1)(j).
  • The judgment did not fully consider whether the information was related to a public activity or if its disclosure was in the larger public interest.
  • By narrowly interpreting the law, the Court set a precedent that allowed authorities to withhold crucial information, effectively converting the RTI into a Right to Deny Information (RDI).
  • This interpretation has been cited in multiple subsequent rulings, further restricting transparency.

The Implications of a Weakening RTI Act

• Reduced Government Accountability and Transparency
  • One of the core objectives of the RTI Act was to make the government more transparent and accountable to the public.
  • By allowing citizens to seek information on governmental decisions, policies, and expenditures, the Act aimed to ensure that public officials remained answerable for their actions.
  • However, the increasing reluctance of Information Commissions to impose penalties, the excessive delays in providing information, and judicial restrictions on disclosure have made it easier for authorities to evade scrutiny.
  • For example, the SC’s ruling in Girish Ramchandra Deshpande vs Central Information Commissioner (2012) set a precedent that allows government officials to withhold crucial information by classifying it as “personal.”
  • This significantly reduces public oversight over government functionaries, making it easier for misconduct, inefficiency, and corruption to go unchecked.
• Increase in Corruption and Misuse of Public Funds
  • A strong RTI framework acts as a deterrent against corruption by ensuring that public officials are aware that their actions are subject to scrutiny.
  • When the implementation of the RTI Act is weakened, corrupt practices become easier to hide.
  • Government contracts, public procurement processes, and financial allocations, areas where corruption is most prevalent, become opaquer, allowing misappropriation of public funds without fear of exposure.
  • For instance, activists have used RTI to uncover major scams in the past, such as the Adarsh Housing Society scam and the Vyapam scam.
• Hindrance to Investigative Journalism and Public Awareness
  • The RTI Act has been a critical tool for journalists and researchers who rely on access to government data to investigate issues of public interest.
  • Many major news stories and investigative reports have been based on information obtained through RTI applications.
  • However, as government departments and Information Commissions become more reluctant to disclose information, the ability of journalists to report on corruption, policy failures, and governance issues is severely affected.

The Way Forward: A Call for Citizen Vigilance

• To safeguard the integrity of the RTI Act, active citizen participation is essential.
• Public awareness and media discourse must highlight attempts to dilute the Act and push for reforms that restore its effectiveness.
• Information Commissions must be strengthened by appointing independent and competent officials with a commitment to transparency.
• Additionally, the legal framework must be reviewed to ensure that exemptions under Section 8 are interpreted in a manner that prioritizes public interest over bureaucratic convenience.

Conclusion

• While the RTI Act was initially seen as a powerful tool to uphold transparency and democracy, its effectiveness has been steadily eroded by bureaucratic resistance, judicial restrictions, and legislative amendments.
• The shift from an era of optimism to one of scepticism underscores the challenges in maintaining government accountability.
• However, the responsibility to preserve the essence of the RTI Act lies with the citizens and media, who must actively defend their fundamental right to information.

Why in news?

India aims to cap or reduce the consumption of urea, di-ammonium phosphate (DAP) and muriate of potash (MOP) due to their heavy reliance on imports.

What’s in today’s article?

• India’s Dependence on Imported Fertilisers
• Need to Limit the Usage of Urea, MOP, and DAP
• An Effective Replacement for DAP: Ammonium Phosphate Sulphate (APS)
• The Road Ahead

India’s Dependence on Imported Fertilisers

• MOP: Fully imported from Canada, Russia, Jordan, Israel, Turkmenistan, and Belarus due to the lack of domestic potash reserves.
• Urea: Over 85% of demand met domestically, but production depends on imported liquefied natural gas (LNG) from Qatar, the US, UAE, and Angola.
• DAP: imported in the form of
  • finished fertiliser (mainly from Saudi Arabia, China, Morocco, Russia and Jordan) as well as
  • raw material (rock phosphate from Jordan, Morocco, Togo, Egypt and Algeria; sulphur from UAE, Qatar and Oman) and
  • intermediate chemicals (phosphoric acid from Jordan, Morocco, Senegal and Tunisia; ammonia from Saudi Arabia, Qatar, Oman and Indonesia).

Need to Limit the Usage of Urea, MOP, and DAP

• High Import Dependence and Currency Depreciation
  • India heavily relies on imports for MOP and DAP, while urea production depends on imported LNG.
  • The rupee’s depreciation further increases the cost of these fertilisers, putting pressure on foreign exchange reserves.
• Imbalance in Nutrient Application
  • Urea (46% nitrogen), MOP (60% potash), and DAP (46% phosphorus + 18% nitrogen) are high-analysis fertilisers.
  • Most crops do not require such high concentrations of individual nutrients, leading to inefficient nutrient absorption and wastage.
• Need for Balanced Fertilisation
  • Crops require a mix of macronutrients (N, P, K), secondary nutrients (sulphur, calcium, magnesium), and micronutrients (zinc, iron, copper, boron, manganese, molybdenum).
  • Excessive use of high-analysis fertilisers disrupts soil health and reduces long-term productivity.
• Efficient Use of Resources and Foreign Exchange
  • Reducing dependence on high-analysis fertilisers ensures better utilisation of imported raw materials.
  • Balanced fertilisation promotes sustainable farming, enhances crop yields, and reduces unnecessary expenditure on imports.

An Effective Replacement for DAP: Ammonium Phosphate Sulphate (APS)

• APS (20:20:0:13) contains 20% nitrogen (N), 20% phosphorus (P), and 13% sulphur (S) but no potassium (K).
• Despite having lower phosphorus content than DAP (which has 46% P), APS is an effective alternative due to its balanced nutrient composition.
• APS manufacturing reduces dependence on costly phosphoric acid, making fertiliser production more economical and resource-efficient.
• The inclusion of sulphur improves soil health and enhances crop yield, making APS a viable and sustainable alternative to DAP.
• APS is ideal for oilseeds, pulses, maize, cotton, onion, and chilli, which require high sulphur content.
  • DAP should be reserved for wheat, rice, and sugarcane, where it is most essential.
• Also, companies benefit by selling twice the number of APS bags from the same phosphoric acid quantity, making APS a more financially viable option.

The Road Ahead

• Surge in NPKS Complex Fertiliser Sales
  • NPKS fertiliser sales in 2024-25 are projected to reach 14 mt, nearly double the 7.3 mt in 2013-14.
  • The rapid growth is largely driven by 20:20:0:13, which is steadily replacing DAP.
• Expanding the Push for Balanced Fertilisation
  • Other complex fertilisers like 10:26:26:0, 12:32:16:0, 15:15:15:0, and 14:35:14:0 need stronger marketing efforts.
  • Direct application of MOP should be minimised, with its usage integrated into balanced complex fertilisers.
• Reducing Dependence on High-Analysis Fertilisers
  • The long-term goal is to limit or reduce the use of urea, DAP, and MOP, ensuring efficient nutrient application.
  • Farmers should be encouraged to maximize nutrient use efficiency, leading to better crop productivity while conserving foreign exchange.

Why in news?

India’s textile industry is one of the largest globally, covering the entire value chain from cotton cultivation to apparel manufacturing. However, it lags behind China, Vietnam, and Bangladesh in exports due to fragmented supply chains, higher costs, and complex regulations.

Despite being a major producer of cotton and synthetic fibres, the industry has seen slow growth. Rising sustainability and compliance requirements are expected to further increase costs, particularly for smaller firms.

What’s in today’s article?

• India’s Textile Journey: From Fibre to Fabric
• India’s Textile and Apparel Industry: Growth and Export Trends
• India’s Textile Export Challenges
• The Sustainability Challenge in India’s Textile Industry

India’s Textile Journey: From Fibre to Fabric

• Cotton Production and Employment
  • India is the second-largest cotton producer globally, contributing 24% of global production.
  • Cotton farming involves around 60 lakh farmers, primarily in Gujarat, Maharashtra, and Telangana.
  • The cotton textile value chain, from fibre processing to garment manufacturing, employs over 4.5 crore people.
• Man-Made Fibre (MMF) Industry
  • India is also the second-largest producer of MMF, with Reliance Industries leading in polyester and Grasim Industries being the sole domestic producer of viscose.
  • However, MMF consumption in India remains low at 3.1 kg per capita, compared to 12 kg in China and 22.5 kg in North America.
  • Overall fibre consumption, including natural and synthetic fibres, is 5.5 kg per capita, below the global average of 11.2 kg.
• MSME Clusters and Specialisations
  • Around 80% of India's textile value chain operates within MSME clusters, each specializing in different textiles:
    • Bhiwandi (Maharashtra) – Fabric production
    • Tiruppur (Tamil Nadu) – T-shirts and undergarments
    • Surat (Gujarat) – Polyester and nylon fabrics
    • Ludhiana (Punjab) – Woolen garments

India’s Textile and Apparel Industry: Growth and Export Trends

• India’s textile and apparel sector is a key economic driver, contributing 13% to industrial production, 12% to exports, and 2% to GDP.
• However, manufacturing growth has slowed over the past decade.
• Growth trends
  • Between FY15 and FY19, the textile sector grew at a CAGR of 0.4%, while apparel grew at 7.7%.
  • From FY20 to FY24, the industry contracted, with textiles shrinking by 1.8% annually and apparel by 8.2%, largely due to post-pandemic economic challenges.
• Export Performance and Key Markets
  • Despite a trade surplus, textile and apparel exports have seen sluggish growth.
  • In FY24, exports stood at $34.1 billion, slightly up from $33.4 billion in FY20.
  • Nearly 50% of exports were to the U.S. and EU, serving brands like JCPenney, Gap, and Decathlon.
• Sector-Wise Export Trends
  • Garment and Apparel Exports – Declined from $15.5 billion in FY20 to $14.5 billion in FY24.
  • Cotton Textiles and Home Textiles – Grew from $10.2 billion in FY20 to $12.3 billion in FY24, with key players like Welspun Living and Trident Ltd.
• Challenges for MSMEs
  • The slowdown has hit MSME clusters, especially in Tamil Nadu, due to global and domestic economic headwinds, impacting production and exports.

India’s Textile Export Challenges

• Lagging Behind Competitors
  • India trails China, Vietnam, and Bangladesh in textile exports due to higher production costs and a fragmented supply chain.
  • In contrast, Vietnam exported $40 billion worth of apparel in 2023, benefiting from vertically integrated supply chains that lower manufacturing costs.
• Fragmented Cotton Supply Chain
  • India's cotton supply chain is spread across multiple states, increasing logistical costs and hindering large-scale production.
  • The lack of localisation makes production costlier compared to fibre-to-fashion firms in China and Vietnam, which offer low-cost, high-quality, and adaptable exports.
• Regulatory and Trade Barriers
  • Competitor nations benefit from free trade agreements (FTAs) and simpler customs procedures, reducing regulatory costs.
  • In contrast, India’s complex export procedures, requiring detailed accounting of every fabric, button, and zipper, increase compliance burdens for exporters.
• High Raw Material Costs in MMF Sector
  • India’s man-made fibre (MMF) sector suffers from high raw material costs.
  • Quality control orders (QCOs) restrict imports of polyester and viscose fibres, forcing domestic yarn makers to rely on costlier local alternatives.

The Sustainability Challenge in India’s Textile Industry

• Growing Global Focus on Sustainability
  • With global markets tightening compliance norms, Indian manufacturers must increase renewable energy use, improve recycling, and ensure stricter sourcing and traceability.
• Rising Costs Due to Sustainable Sourcing
  • A global shift towards sustainable textiles is increasing production costs.
  • The EU, which accounts for 20% of India’s textile exports, has implemented 16 new regulations from 2021 to 2024, making it challenging for small enterprises to transition to environmentally friendly production.
• The Fast Fashion Waste Crisis
  • The textile recycling market in India is projected to reach $400 million, while the global market could touch $7.5 billion.
  • With fashion waste expected to hit 148 million tonnes by 2030, PM Modi highlighted the need for higher recycling efforts, as currently, less than 25% of textile waste is recycled.

Why in news?

The University Grants Commission (UGC) has decided to discontinue the UGC-CARE (Consortium for Academic and Research Ethics) list of quality academic journals, first introduced in 2018.

Instead, it will provide a set of suggestive parameters for selecting journals based on eight criteria.

What’s in today’s article?

• UGC-CARE
• Reasons for Withdrawing UGC-CARE
• Concerns Over Scrapping the CARE List
• The New Approach to Journal Evaluation

UGC-CARE

• UGC-CARE was introduced in 2018 to combat the problem of predatory journals, journals that publish research in exchange for publishing fees without checks like peer reviews.
• Reason for Setting Up UGC-CARE
  • Significance of Research Publications
    • Publications in journals play a crucial role in institutional rankings, faculty appointments, promotions, and research grants.
    • The quality of research publications directly impacts the credibility and funding of higher education institutions.
  • Rise of Predatory Journals
    • Due to the importance of journal publications, substandard and predatory journals proliferated, offering publication for a fee without rigorous peer review.
    • This led to concerns about academic integrity and India's global research reputation.
  • UGC’s Concern and Response
    • In 2019, the UGC highlighted the negative impact of publishing in dubious journals, warning of long-term academic damage.
    • An investigation by a leading media house, in 2018, revealed over 300 publishers operating predatory journals in India, charging fees between $30 and $1800 for publication.
  • Establishment of UGC-CARE
    • Following these concerns, UGC introduced the Consortium for Academic and Research Ethics (CARE) in 2018 to replace the previous system of university-suggested journals.
    • Under CARE, a dedicated UGC cell assessed journals based on strict quality protocols.

Reasons for Withdrawing UGC-CARE

• Concerns with the UGC-CARE List
  • The UGC-CARE list was introduced to ensure only reputable journals were considered for faculty selections, promotions, and research funding.
  • However, it faced several criticisms, including:
    • Over-centralisation in deciding journal quality.
    • Delays in adding or removing journals.
    • Limited inclusivity, particularly in fields like Tamil studies.
    • Lack of transparency, leading to the exclusion of highly respected Indian-language journals.
• Shift to a Decentralised Approach
  • The UGC argues that decentralisation will:
    • Help combat predatory journals more effectively.
    • Make institutions responsible for evaluating journals.
    • Allow flexibility for institutions to develop their own mechanisms aligned with UGC’s suggested parameters.
    • Ensure evaluation models can adapt to evolving fields and disciplinary needs.
• Expert Committee Review (2023)
  • The UGC formed an expert committee to review the CARE system. The decision to discontinue it in October 2023 was based on concerns about:
    • Over-regulation, as highlighted by NEP 2020, which criticized excessive centralisation.
    • Lack of transparency, with no clear reasoning for journal inclusions or exclusions.
    • Inefficiencies, including delays in adding high-quality journals and sudden removals affecting faculty careers.
• Concerns from Academics
  • Experts pointed out that CARE was not exhaustive and created pressure to publish in specific journals.
  • Academics often receive offers to pay for publications, raising concerns about predatory practices.

Concerns Over Scrapping the CARE List

• Potential Rise of Predatory Journals
  • Academics fear that eliminating the CARE list removes a key safeguard against predatory journals.
  • Without a central oversight mechanism, low-quality and exploitative journals may thrive.
• Lack of Public Consultation
  • Some experts believe the system was still evolving and could have helped curb predatory publishing.
  • An academic described the move as “retrograde”, arguing that there should have been public consultation before scrapping CARE.

The New Approach to Journal Evaluation

• Suggestive Parameters for Institutions
  • The UGC has introduced non-binding ‘suggestive parameters’ to help institutions assess journals.
  • These parameters include evaluating the journal’s editorial process, peer review system, and the expertise of its editorial board.
• Institutional Responsibility & Accountability
  • Institutions are now responsible for developing their own mechanisms to evaluate journals.
  • Failure to do so could harm their reputation by endorsing faculty publications in dubious journals.
• Decentralisation & Academic Freedom
  • The new approach aims to promote decentralisation, academic freedom, and institutional accountability.
  • Faculty and researchers can assess journals based on discipline-specific criteria rather than relying on a centralised list.

Why in news?

Recently, Microsoft announced Majorana 1, a new quantum computing chip developed using engineered particles in a new state of matter, which the company sees as a breakthrough.

With this Microsoft aims to develop quantum computers capable of solving industrial-scale problems within years (2027-29) rather than decades.

Though, the company has not released any performance data on its quantum chip yet.

What’s in today’s article?

• Microsoft’s Unique Approach to Quantum Computing
• Majorana 1
• Quantum Computers vs Supercomputers vs Classical Computers

Microsoft’s Unique Approach to Quantum Computing

• For the past 20 years, Microsoft has focused on developing topological qubits, which are more stable and require less error correction than traditional qubits.
  • Topological qubits are a more stable type of quantum bit, the basic unit of quantum computers.
  • They store information in the way specially engineered particles called anyons are arranged and braided, not in the particles themselves, making them less prone to errors. 
    • Anyons are two-dimensional systems. They are neither fermions nor bosons, but have statistical properties in between the two.
• Challenges in Creating Topological Qubits
  • Developing these qubits posed a steep learning curve, as Majorana fermions—particles that are their own antiparticles—had never been physically observed before.
    • A Majorana fermion is a hypothetical particle in particle physics that is its own antiparticle, meaning it acts identically to its antiparticle.
    • Essentially, it is a fermion that can be considered as its own mirror image, unlike other particles which have distinct antiparticles. 
  • Although theorized by Ettore Majorana over 80 years ago, evidence of a type known as Majorana zero modes (MZMs) has only emerged in the last decade.
    • MZM is a special type of quantum state that appears at the ends of certain topological superconductors.
    • It is characterized by being its own antiparticle, meaning it acts like both matter and antimatter simultaneously, and exists at zero energy.
    • Due to this it becomes a promising candidate for robust quantum computation. 
• Building a New Quantum Material: Topoconductors
  • To fabricate these new particles, Microsoft developed topoconductors, made by combining indium arsenide (a semiconductor) and aluminum (a superconductor).
    • Just as semiconductors enabled modern electronics, topoconductors pave the way for scalable quantum systems, potentially reaching a million qubits to solve complex industrial and societal challenges.
  • When cooled to near absolute zero and exposed to magnetic fields, these materials merge superconductivity with semiconductors, enabling the creation of a new type of qubit.

Majorana 1

• Microsoft’s Majorana 1 is an eight-qubit chip, which is modest compared to rivals like Google’s Willow (106 qubits) and IBM’s R2 Heron (156 qubits).
• However, its Topological Core architecture could allow scaling up to a million qubits, a necessary threshold for solving real-world problems.
• Majorana 1’s Design
  • Microsoft’s Majorana 1 chip features aluminum nanowires arranged in an "H" shape.
  • Each "H" structure has four controllable Majorana particles, forming a single qubit.
• Potential Applications of Quantum Computing
  • Microsoft envisions Majorana 1 helping to develop breakthroughs such as:
    • Breaking down microplastics into harmless byproducts.
    • Inventing self-healing materials for construction, manufacturing, and healthcare.
  • Microsoft envisions using quantum computing with generative AI to design new materials or molecules through natural language input.
  • Quantum computing could generate synthetic data to improve AI model training.
• Challenges
  • Quantum systems are highly sensitive to environmental interference, causing errors.

Quantum Computers vs Supercomputers vs Classical Computers

• Classical Computers
  • Classical computers process information using binary code (bits) with values of either 0 or 1.
  • They rely on logic gates (AND, OR, XOR, NOT) to manipulate data.
• Quantum Computers
  • Quantum computers use qubits, which can exist in multiple states simultaneously (superposition).
  • A qubit can have probabilities assigned to both 0 and 1, allowing it to store and process more information than a classical bit.
  • Quantum gates (H-gate, Pauli gates) enable the processing of qubits and are reversible in nature.
• Supercomputers
  • Supercomputers use advanced architectures with GPUs and multi-core processing to perform calculations faster than regular computers.
  • Despite their power, they still follow classical computing principles and logic gates.
• Quantum vs. Supercomputers
  • While supercomputers enhance classical processing speed, quantum computers can solve complex problems that classical and supercomputers cannot.
  • Quantum gates enable unique computational abilities beyond traditional logic gates.

Why in the News?

• Recently, the Supreme Court granted interim protection from arrest to podcaster and influencer Ranveer Allahbadia in connection with the First Information Reports (FIRs) registered against him over remarks made on the YouTube show “India Got Latent”.

What’s in Today’s Article?

• Introduction (Context, Background)
• Gag Orders (Legal Basis, Supreme Court’s Speech Restrictions, Previous Judgements, Future Implications, etc.)

Introduction:

• The Supreme Court of India has repeatedly ruled on gag orders, which prevent individuals from making public statements or publishing content.
• The recent case of influencer Ranveer Allahbadia, who was granted interim relief from arrest but banned from posting on social media, highlights the judicial approach toward speech restrictions.

Background: The Ranveer Allahbadia Case

• On February 18, 2025, the Supreme Court granted interim protection from arrest to Ranveer Allahbadia, a podcaster and influencer, over multiple FIRs related to alleged obscene and explicit content on the YouTube show India Got Latent.
• However, the Court imposed stringent conditions, barring Allahbadia and his associates from posting any content on social media until further orders. Additionally, he was directed to surrender his passport.
• This controversial restriction, effectively a gag order, contradicts prior Supreme Court rulings, which have cautioned against imposing excessive speech restrictions while granting bail or interim relief.

Legal Basis for Gag Orders in India:

• A gag order refers to judicial or executive action that prohibits individuals from making public statements. Such orders usually fall under:

• Section 144 of CrPC – Allows the government to restrict public statements in cases of law and order concerns.
• Contempt of Court Act, 1971 – Prohibits public discussion on ongoing legal cases to prevent judicial influence.
• Article 19(2) of the Indian Constitution – Allows reasonable restrictions on free speech for security, public order, and morality.

• However, courts have consistently ruled that speech restrictions must be proportionate and justified.

Supreme Court's Principles on Interim Relief and Speech Restrictions:

• Discretionary Conditions for Interim Relief
  • Judges have the discretion to impose conditions when granting bail or interim relief. These conditions are typically based on:
    • Flight risk – Whether the accused may abscond from trial.
    • Tampering with evidence – If the accused could interfere with investigations.
    • Intimidation of witnesses – Preventing threats or coercion.
• However, courts have ruled that restrictions must not violate fundamental rights.

Key Supreme Court Rulings on Gag Orders:

• Parteek Bansal vs. State of Rajasthan (2022)
  • The Supreme Court condemned the practice of multiple FIRs for the same offense, calling it harassment and misuse of legal machinery.
  • Relevance: This case supports Allahbadia’s argument against multiple FIRs in different states.
• Satender Kumar Antil vs. CBI (2022)
  • The Supreme Court ruled that bail conditions must be reasonable, warning against imposing impossible or unjustified restrictions.
  • Relevance: The Allahbadia order contradicts this ruling, as barring him from social media affects his profession.
• Frank Vitus vs. Narcotics Control Bureau (2024)
  • The Court struck down bail conditions requiring the accused to share Google Maps location, ruling it violated privacy under Article 21.
  • Relevance: The Allahbadia gag order violates free speech rights under Article 19.
• Rehana Fathima Case (2021)
  • The Supreme Court stayed a Kerala High Court order restricting activist Rehana Fathima from posting content while on bail, ruling that such conditions create a chilling effect on speech.
  • Relevance: The Allahbadia case raises similar concerns, as his gag order restricts online expression.
• Mohammed Zubair vs. Uttar Pradesh (2021)
  • The Supreme Court refused to prohibit Alt News co-founder Mohammed Zubair from tweeting while on bail, stating it would be an unjustified violation of free speech.
  • Relevance: The Allahbadia case presents identical legal challenges, as the Court restricted speech as a bail condition.

Criticism of the Recent Order of the Supreme Court:

• Legal experts argue that the social media ban is excessive, as:
  • The case does not involve national security or law and order threats.
  • Speech bans violate Supreme Court precedents on bail conditions.
  • The order indirectly affects digital content creators and free expression online.
• Even if Allahbadia’s content is found objectionable, the IT Act and media regulations provide alternative legal measures rather than outright speech bans.

Future Implications for Digital Speech in India:

• Need for Clear Guidelines on Gag Orders
  • Courts must define when speech restrictions can be imposed as bail conditions, ensuring consistency in rulings.
• Balancing Free Speech and Legal Restrictions
  • The government and judiciary must strike a balance between regulation and speech freedoms, ensuring prior restraint is imposed only in exceptional cases.
• Strengthening Legal Safeguards Against Arbitrary Bans
  • Gag orders should be time-bound and subject to review.
  • Affected parties must have the right to challenge speech restrictions in court.

Conclusion:

• The Supreme Court’s interim order in the Ranveer Allahbadia case raises critical questions on free speech, prior restraint, and judicial overreach.
• Past rulings have consistently cautioned against excessive speech restrictions, making the social media ban controversial.
• Going forward, a well-defined legal framework is necessary to ensure gag orders are applied only in exceptional circumstances and do not unjustly infringe upon fundamental rights.

Context:

• India, as the world’s largest democracy, relies on the Election Commission of India (ECI) to conduct free and fair elections.
• Concerns have been raised regarding the appointment process of Election Commissioners (ECs) and its impact on the independence of the ECI.
• Civil society organizations (CSOs) and political leaders have long demanded a transparent and bipartisan appointment process.

The Role of Civil Society Organizations in Electoral Reforms:

• Several CSOs, including Association for Democratic Reforms (ADR), Internet Freedom Foundation, etc. have been advocating for electoral reforms.
• ADR has been at the forefront, filing legal challenges to reform the EC appointment process.

Legal Battle for a Transparent Appointment Process:

• 2015: ADR filed a petition challenging the executive’s exclusive control over EC appointments, citing concerns over independence.
• 2018: The case was referred to a Constitution Bench, but hearings were delayed.
• March 2, 2023:
  • In Anoop Baranwal vs Union of India, the Supreme Court (SC) noted that no legislation outlining the appointment process for these positions had been passed in more than 70 years.
  • This is in spite of the constitutional provision under Article 324(2) that required Parliament to pass a law.
  • It ruled that, until Parliament enacts a law, the Chief Election Commissioner (CEC) and ECs should be appointed by a committee comprising:
    • The Prime Minister
    • The Leader of the Opposition (LoP) in the Lok Sabha
    • The Chief Justice of India (CJI)
  • The ruling aimed to reduce executive dominance and ensure transparency.

The 2023 Legislation and Its Controversies:

• The government passed the Chief Election Commissioner and Other Election Commissioners (Appointment, Conditions of Service, and Term of Office) Act, 2023, modifying the SC’s ruling.
• The Act excluded the CJI from the selection panel. Instead, it created a new selection committee comprising:
  • The Prime Minister
  • A Union Cabinet Minister (nominated by the PM)
  • The Leader of the Opposition
• Critics argue that this change undermines impartiality, as the executive holds a majority in the selection panel.

Judicial Review and Government Action:

• January 2024: ADR and other petitioners challenged the 2023 Act in the SC, arguing it allowed the ruling party to dominate the selection process.
• March 2024: Despite the pending judicial review, the government appointed two new ECs under the new selection framework.
• February 18, 2025: The incumbent CEC retired, and the government made new appointments via a midnight order.
• February 19, 2025: The SC was scheduled to hear the case but adjourned it without a new date, prolonging uncertainty.

Global Best Practices in EC Appointments:

• United States: Commissioners appointed by the President with Senate approval.
• South Africa: President appoints on the recommendation of the National Assembly.
• Brazil: Appointments made by the Federal Supreme Court.
• United Kingdom: The Speaker’s Committee on the Electoral Commission (cross-party) makes appointments.
• France: Joint appointments by the President, Legislature, and Judiciary.
• Nepal: President appoints CEC and ECs based on recommendations from the Constitutional Council, followed by a parliamentary hearing.

Way Forward:

• The integrity of India’s electoral process hinges on the independence and impartiality of the Election Commission, real and visible.
• The need of the hour is to embrace a bipartisan and neutral collegium-based appointment system, drawing from global best practices.
• This would not only fortify the ECI’s autonomy but also bolster public confidence in the democratic process.

Conclusion:

• The 2023 Act has been criticized for reintroducing executive control over EC appointments, despite the SC’s attempt to ensure impartiality.
• If the government reinstates the CJI in the selection panel, legal challenges could be resolved.
• The issue remains unresolved, with the judiciary’s role in safeguarding democratic institutions under scrutiny.

Context

• The global labour market is undergoing a significant transformation, and it is evident that the skills required in 2030 will be markedly different from those needed today.
• This shift presents both a challenge and an opportunity for India. While the world faces an impending shortage of skilled workers, India is uniquely positioned to leverage its workforce potential.
• However, to fully capitalise on this opportunity, India must address various challenges, including regulatory barriers, skill mismatches, and immigration restrictions.

An Overview of The Global Talent Shortage and India’s Potential

• A recent study by FICCI-KPMG, Global Mobility of Indian Workforce, predicts a global talent shortage of over 85.2 million people by 2030, which could result in $8.45 trillion in unrealised annual revenue.
• This underscores the urgent need for nations to develop a future-ready workforce.
• India, with its vast pool of young and skilled workers, has a unique opportunity to fill this gap and contribute significantly to the global economy.
• However, realising this potential requires strategic interventions at multiple levels, including government policies, international collaborations, and workforce training programs.

Key Geographic Regions and Sectoral Demands

• GCC and Australia: These regions have a strong demand for workers in manufacturing and construction, sectors that require large-scale labour mobility.
• Europe: As one of the oldest post-industrial societies, Europe has a growing need for service-sector workers, particularly in healthcare, due to its aging population.
• Emerging Sectors: Across all regions, there is a rising demand for expertise in automation, artificial intelligence (AI), big data, predictive analytics, the Internet of Things (IoT), blockchain, and sustainability. 

Barriers to Workforce Mobility and Strategies to Enhance Workforce Mobility

• Barriers to Workforce Mobility
  • Regulatory and Immigration Barriers – Complex visa processes and stringent work permit regulations restrict skilled migration.
  • Recruitment Malpractices and Trafficking – Exploitative recruitment practices and human trafficking pose risks to migrant workers, a concern highlighted by Prime Minister Narendra Modi.
  • Policy Barriers and Skill Mismatches – Many Indian degrees, particularly in medicine, are not universally recognized, leading to underemployment or unemployment of skilled professionals.
  • Language and Cultural Barriers – Integration challenges, such as language proficiency and cultural adaptation, affect workforce productivity.
• Strategies to Enhance Workforce Mobility
  • Bilateral Agreements and Free Trade Agreements (FTAs): Agreements with GCC nations and other key markets aim to protect the rights of Indian workers and facilitate their smooth migration.
  • Skill Development Programs: Government initiatives focus on aligning workforce training with global market demands.
  • Digital Platforms for Workforce Support: Online recruitment systems are designed to prevent exploitation and protect migrant workers, especially in the GCC region.
  • Sector-Specific Skill Training: Training programs must be tailored to meet the specific demands of different geographic regions.
  • Regulation of Recruitment Practices: Stricter oversight of recruitment agencies is necessary to prevent worker exploitation.
  • Recognition of Qualifications: International collaborations should ensure mutual recognition of academic and professional qualifications.
  • Public-Private Partnerships: The private sector should play an active role in skill development and global employment facilitation.
  • Circular Migration and Mobility: Temporary work visas and rotational workforce models can help address labour shortages while maintaining demographic balance.

The Political Climate, India’s Resilience and Economic Future and the Road to ‘Viksit Bharat’

• The Political Climate and India’s Resilience
  • The political climate regarding immigration policies is constantly evolving.
  • While Europe may tighten its regulations, Australia remains more open to skilled migration.
  • The FICCI-KPMG study highlights that the Indian diaspora in Australia is one of the largest and fastest-growing.
  • Strict immigration policies mainly target illegal migration, making it crucial for India to position its skilled workforce globally while ensuring legal compliance.
  • Unlike some other migrant groups, Indian workers generally face minimal hostility in international labour markets.
  • However, India must continue efforts to curb illegal migration to maintain its positive global reputation and safeguard its workers from exploitation.
• India’s Economic Future and the Road to ‘Viksit Bharat’
  • India’s ability to capitalise on global labour market opportunities will significantly influence its economic trajectory.
  • Arvind Panagariya, Chairman of the Sixteenth Finance Commission, has projected that India’s GDP could reach between $6.5 trillion and $9 trillion by 2030.
  • The extent to which India taps into the $8.45 trillion global economic opportunity will determine how close it gets to the higher end of this projection.
  • By effectively addressing workforce mobility challenges and strategically positioning its skilled labour force in international markets, India can not only contribute to the global economy but also realize its vision of Viksit Bharat, a developed India. 

Conclusion

• As the global labour market undergoes a transformation, India stands at a crucial juncture.
• With a rapidly growing workforce, the country has a unique opportunity to fill the talent shortage projected for 2030.
• However, achieving this goal requires a coordinated effort involving government policies, skill development initiatives, and international collaborations.
• By addressing regulatory challenges, streamlining workforce mobility, and leveraging its young and skilled population, India can secure a significant share of the global labour market and drive its own economic growth in the process.

Context

• The recent debate surrounding corporate leaders urging Indians to work longer hours sheds light on the structural issues in India's labour market.
• While these appeals might stem from a desire for economic growth, they fail to acknowledge the harsh realities of India’s predominantly informal workforce.
• The over-reliance on cheap labour, rather than technological advancement, continues to hinder India's long-term industrial progress.
• Amid these debates, it is important to examine the implications of this labour-dependent strategy, highlighting its impact on productivity, innovation, and economic sustainability.

The Informality of India's Workforce

• India’s workforce is overwhelmingly informal, with only 21.7% of workers in salaried jobs, according to the 2023-24 Periodic Labour Force Survey.
• Even among these salaried workers, nearly half lack formal contracts, paid leave, or social security.
• The call for longer working hours disregards the reality that most Indian workers, particularly manual labourers and household helpers, already endure gruelling schedules simply to survive.
• Unlike developed nations where productivity gains have reduced working hours, India continues to extract economic value by extending the workday rather than improving efficiency.

Striking Aspects of India’s Industrial Structure

• Cheap Labour as a Competitive Strategy
  • One of the most striking aspects of India’s industrial structure is its heavy reliance on cheap labour as the primary source of competitive advantage.
  • Instead of investing in technological innovation, automation, or efficient management practices, Indian businesses continue to extract economic gains by keeping wages low and increasing working hours.
  • This approach, while beneficial for short-term profits, ultimately hinders long-term economic growth and industrial competitiveness.
• A Historical Perspective: The Evolution of Labour Exploitation
  • Throughout history, economies have used labour-intensive methods to drive industrial growth, particularly in their early stages.
  • During the Industrial Revolution in Britain, factories exploited workers by enforcing excessively long hours under inhumane conditions.
  • Karl Marx famously described how capitalists had a ‘werewolf hunger for surplus labour,’ pushing workers beyond their physical limits in pursuit of higher profits.
  • However, by the mid-19th century, labour reforms, unionisation, and technological progress led to a shift from sheer labour exploitation to efficiency-driven productivity.
• The Structural Shift Toward Informality
  • Indian businesses have systematically shifted away from the organised sector, where labour laws ensure minimum wages, job security, and worker benefits, to the unorganised sector, where such regulations are largely absent.
  • This structural transformation has allowed industries to sidestep labour protections and exploit workers without facing legal repercussions.
  • One of the key strategies used to maintain low labour costs is the proliferation of small, unregistered firms.
  • Industrial hubs such as Coimbatore and Ludhiana are filled with micro-enterprises, often operating in small sheds, producing components that feed into larger manufacturing networks.
  • These businesses lack formal employer-employee relationships, with many owners being former workers themselves.
  • In such environments, wages remain depressed, and technological investment is minimal.
• The Rise of Contract Labour and Migrant Workforces
  • Another major factor in the persistence of the cheap-labour model is the increasing use of contract workers.
  • Over half (56%) of all workers who joined India’s factory sector after 2011-12 were employed on a contract basis rather than as permanent employees.
  • Contract workers receive significantly lower wages and are excluded from essential benefits such as job security, health insurance, and pension schemes.
  • Moreover, India's industry relies heavily on migrant workers who leave their villages in search of employment in urban and industrial centres.
  • These workers often belong to disadvantaged social groups, lack access to land or assets, and have no bargaining power in the labour market.
  • As a result, they are forced to accept extremely low wages and poor working conditions.

Why Cheap Labour Fails as a Long-Term Strategy

• Low Productivity and Stagnation
  • Unlike developed economies, where productivity growth drives economic expansion, India’s reliance on cheap labour has stifled innovation.
  • Businesses remain reluctant to invest in technology or skill development, leading to a workforce that is overworked but underproductive.
• Weak Domestic Demand
  • Suppressing wages weakens the purchasing power of the working class, limiting the growth of the domestic market.
  • When a large segment of the population earns barely enough to survive, demand for consumer goods, services, and housing remains low, slowing economic progress.
• Inability to Compete Globally
  • India's failure to modernise its industries has resulted in declining competitiveness in global markets. The garment industry is a prime example.
  • Despite its abundant workforce, India’s share in global garment exports has remained stagnant at 3.1% for two decades.
  • In contrast, countries like China, Bangladesh, and Vietnam have invested in modern factories, automation, and efficient management practices, allowing them to dominate the sector.
• Increased Worker Exploitation and Social Unrest
  • The continued exploitation of workers, through long hours, low wages, and informal contracts, leads to worsening living conditions, rising income inequality, and social unrest.
  • Without adequate protections, workers remain trapped in cycles of poverty, preventing overall economic development.

The Case of the Garment Industry: A Lost Opportunity

• India’s garment industry exemplifies how over-reliance on cheap labour has stunted progress.
• Despite its abundant workforce, India has failed to expand its share in global garment exports beyond 3.1% over the past two decades.
• In contrast, China, Bangladesh, and Vietnam have surged ahead due to their willingness to modernise and invest in productivity-enhancing technology.
• Indian manufacturers, by clinging to the advantage of low wages, have remained uncompetitive in the global market.
• A similar problem plagues India’s IT and other new-generation industries, where the reluctance to invest in workforce skill development and technological infrastructure limits their potential.
• Instead of creating a high-value, innovation-driven economy, industry leaders continue to rely on extensive work hours and minimal wages to sustain profits.

The Need for a New Industrial Strategy

• Invest in Technology and Automation: Embracing advanced manufacturing technologies, artificial intelligence, and automation can boost productivity without extending working hours.
• Prioritise Skill Development: Enhancing workforce skills through education and vocational training will create a more capable and efficient labour force.
• Strengthen Labour Laws and Worker Protections: Enforcing fair wages, job security, and social benefits will not only improve living standards but also stimulate domestic consumption.
• Encourage Formalisation of Enterprises: Incentivising businesses to operate within the formal sector will promote accountability, better wages, and stable employment opportunities.

Conclusion

• India’s continued dependence on cheap labour as a competitive strategy is
• While it has provided short-term gains for industries, it has stifled innovation, weakened domestic demand, and limited global competitiveness.
• If Indian industry is to thrive in the 21st century, it must move beyond exploitative labour practices and adopt a more forward-thinking approach that prioritises productivity, innovation, and worker welfare.
• The shift from a labour-intensive model to a technology-driven economy will be critical in ensuring long-term industrial and economic growth.

Why in the News?

• Recently, a Tamil magazine’s website was blocked by the Department of Telecommunications (DoT) after publishing controversial cartoon, sparking outrage and legal challenges.

What’s in Today’s Article?

• Introduction (Context, Background, Laws for Website Blocking, etc.)
• Blocking Mechanism (How Vikatan got Blocked, Implications, Way Ahead, etc.)

Introduction:

• On February 15, 2025, a Tamil magazine Vikatan’s website became inaccessible for many users following a complaint by BJP Tamil Nadu President K. Annamalai to the Ministry of Information and Broadcasting (MIB).
• The complaint was triggered by a cartoon depicting Prime Minister Narendra Modi alongside former U.S. President Donald Trump, referring to the deportation of migrants from the U.S. to India.
• While the Union Government did not officially confirm or deny the website blocking, sources revealed that the Department of Telecommunications (DoT) issued the directive based on MIB’s instructions.
• The incident has sparked a debate on digital censorship and press freedom in India.

Background:

• The February 10 edition of Vikatan Plus (the magazine’s digital version) published a cartoon portraying PM Modi in shackles, symbolizing the forcible deportation of Indian migrants from the U.S..
• The BJP’s Tamil Nadu unit viewed the illustration as offensive, prompting Annamalai to demand action. Following the complaint:

• The MIB directed the DoT to block Vikatan’s website, resulting in restricted access on multiple internet networks.
• No official public statement or notice was issued explaining the reason for the blocking.
• The magazine, along with political figures like Tamil Nadu CM M.K. Stalin, condemned the move as an attack on press freedom.

Legal Basis for Website Blocking in India:

• The government can legally block websites under Section 69A of the Information Technology (IT) Act, 2000, which allows restrictions in cases of:

• Threat to national security, sovereignty, and public order.
• Defamation or incitement of violence.

• The blocking process is confidential, and affected websites often receive no formal notice.

Blocking Mechanism Under Indian Law:

• 2009 IT Blocking Rules
  • Ministries or state departments can recommend website blocking to a designated IT officer.
  • A review committee decides on the action, and the DoT directs telecom providers to enforce the block.
• 2021 IT Rules (Intermediary Guidelines & Digital Media Ethics Code)
  • Empower the I&B and IT Ministries to issue emergency content removal orders.
  • Unlike Section 69A, which blocks entire websites, these rules focus on specific content takedowns.
• Since most websites now use HTTPS encryption, blocking individual pages is challenging unless the publisher removes them voluntarily.

How Vikatan was Blocked:

• Telecom operators restricted access to Vikatan's website after receiving DoT orders.
• The magazine was not given prior notice, violating the usual 2009 blocking procedure.
• On February 16, Vikatan received a separate notice under the 2021 IT Rules, addressing the cartoon’s content but not the full website block.
• A hearing was scheduled for February 20, where Vikatan defended its case, stating it violates press freedom principles.

Implications for Press Freedom and Digital Rights:

• Lack of Transparency in Website Blocking
  • No public acknowledgment of the order has been made by the government.
  • Blocking orders under Section 69A are confidential, reducing accountability.
• Rising Concerns Over Political Censorship
  • Critics argue that website blocking is being used as a political tool rather than for national security concerns.
  • Press organizations worry that restrictions on digital media are increasing.
• Press Freedom vs. Government Regulation
  • Media houses argue that Vikatan’s cartoon falls under political satire, a protected form of expression in a democracy.
  • The government’s broad discretionary powers in blocking websites raise concerns over potential misuse.

Way Ahead:

• Need for Greater Transparency
  • Experts suggest making blocking orders public and subject to judicial review.
  • Affected parties should receive formal notices to present their case before a decision is made.
• Balancing National Security with Press Freedom
  • The government must differentiate between genuine security threats and political dissent.
  • A clearer framework on digital content restrictions will help avoid arbitrary censorship.
• Strengthening Legal Safeguards
  • The Supreme Court may be called upon to define the limits of website blocking, ensuring it aligns with constitutional rights.
  • Reforms in IT laws could bring more accountability to the process.

Conclusion:

• The Vikatan website block raises important concerns about government censorship, transparency, and press freedom.
• While blocking laws exist to safeguard national security, their application to political content remains controversial.
• Moving forward, greater legal clarity and accountability will be essential to protect both media independence and responsible governance.

Why in News?

• The Indian government is examining the need for a new legal framework to regulate digital platforms amid concerns over violent and obscene content.
• The move comes in the wake of the Ranveer Allahbadia controversy and broader societal concerns regarding the misuse of the right to freedom of expression.

What’s in Today’s Article?

• Concerns Over Digital Content Regulation
• Existing Legal Framework
• Government's Response to Concerns Over Digital Content Regulation
• Challenges in Regulation
• The Role of YouTube and Social Media Intermediaries
• Conclusion

Concerns Over Digital Content Regulation:

• The Union Information and Broadcasting (I&B) Ministry stated that the Supreme Court, multiple High Courts (HCs), MPs, and statutory bodies like the National Commission for Women have raised concerns regarding harmful content.
• For example, the SC granted Ranveer Allahbadia protection from arrest but strongly criticized his comments.
• The ministry acknowledges increasing public demand for stricter laws against harmful content on digital platforms, and is currently assessing the need for amendments or a new legal framework.

Existing Legal Framework:

• The I&B Ministry has been reviewing statutory provisions and considering the need for a new regulatory framework.
• Existing regulations include:
  • The Intermediary Guidelines and Digital Media Ethics Code (IT Rules, 2021): Mandate self-regulation and content classification.
  • Indecent Representation of Women Act, 1986: Prohibits obscene depiction of women.
  • Bhartiya Nyaya Sanhita (BNS), 2023: Contains provisions against obscene content.
  • Protection of Children from Sexual Offences (POCSO) Act: Protects children from exposure to harmful content.
  • Information Technology (IT) Act, 2000: Addresses publication of obscene or pornographic material.
• Recent government directives include:
  • The I&B Ministry has asked social media channels and OTT platforms -
    • To follow the Code of Ethics prescribed in the IT Rules 2021, and
    • Implement “access control for A-rated content” to prevent children from consuming inappropriate material.
  • The OTT platforms must not transmit any prohibited content and undertake age-based classification of content.

Government's Response to Concerns Over Digital Content Regulation:

• The Standing Committee on Communications and Information Technology has sought clarification on necessary amendments to existing laws.
• The Ministry of Electronics and IT has been asked to assess the efficacy of existing laws and propose amendments to the IT Act, 2000.

Challenges in Regulation:

• OTT platforms and social media currently lack a clear regulatory framework.
• The IT Rules, 2021, require a three-tier grievance redressal mechanism:
  • Level 1: Self-regulation by the platform.
  • Level 2: Industry-wide self-regulation.
  • Level 3: Government oversight.
• This mechanism has been challenged in various HCs, with the Bombay and Madras HCs staying its enforcement.
• The Kerala HC has restrained coercive action over non-compliance with (Part III of) the IT Rules 2021.
• Over 15 petitions have been filed against these rules, and the SC has transferred all cases to the Delhi HC for a consolidated hearing.

The Role of YouTube and Social Media Intermediaries:

• YouTube is regulated under the IT Rules but is not liable for user-generated content unless it violates government directives.
• Unlike traditional publishers, YouTube functions as a social media intermediary and has limited accountability for content uploaded by individual users.
• New media services like OTT platforms and YouTube currently operate without a specific regulatory framework, increasing demands for legal amendments.

Conclusion:

• The debate over digital content regulation highlights the tension between freedom of expression and the need for responsible content dissemination.
• While there have been concerns regarding content censoring for extraneous reasons, the government is actively reviewing laws to create a more structured and enforceable legal framework for digital platforms.
• Judicial scrutiny and public discourse will play a key role in shaping the future of digital content regulation in India.

Why in news?

The Union Government has withheld ₹2,152 crore in Samagra Shiksha funds from Tamil Nadu for refusing to join the PM SHRI scheme due to its opposition to implementing the National Education Policy (NEP) 2020.

While the State is willing to participate in PM SHRI, it rejects the NEP’s three-language formula, preferring its longstanding two-language policy.

Centre insists on compliance, citing constitutional alignment, but Tamil Nadu government refuses to yield, calling it “blackmail” and questioning the constitutional basis of such mandates.

What’s in today’s article?

• Three-Language Formula in NEP 2020
• Opposition to this policy in Tamil Nadu
• Perceived Imposition of Hindi
• The Way Forward

Three-Language Formula in NEP 2020

• NEP 2020 retains the three-language formula, originally introduced in the 1968 NEP.
• However, unlike the earlier policy, which mandated Hindi across India, NEP 2020 provides more flexibility without imposing any specific language on States.
• Language Flexibility and Choice
  • The policy allows States, regions, and students to choose the three languages, ensuring that at least two are native to India.
  • This means non-Hindi-speaking States are not necessarily required to adopt Hindi.
• Emphasis on Bilingual Education
  • NEP 2020 promotes bilingual teaching, encouraging instruction in the home language/mother tongue along with English.
• Role of Sanskrit
  • The policy highlights Sanskrit as an optional language within the three-language framework, giving it special emphasis.

Opposition to this policy in Tamil Nadu

• Tamil Nadu has a long history of resisting the imposition of Hindi.
• In 1937, the Justice Party opposed the Rajaji-led Madras government’s attempt to make Hindi compulsory in schools.
  • Protests led to the deaths of two activists, Thalamuthu and Natarajan, and the policy was eventually withdrawn.
• 1965 Anti-Hindi Agitation
  • In 1965, violent protests erupted in Tamil Nadu against making Hindi the sole official language, resulting in at least 70 deaths.
  • The unrest resurfaced in 1968 when the Parliament mandated Hindi teaching under the three-language formula.
• Dravidian Movement’s Stand
  • In 1968, the DMK government under C.N. Annadurai passed a resolution rejecting the three-language formula, reinforcing Tamil Nadu’s two-language policy of Tamil and English.
  • Since then, successive governments have opposed any changes to this policy.
• Recent Opposition and Policy Adjustments
  • In 2019, strong resistance from Tamil Nadu led to the removal of mandatory Hindi learning from the draft NEP proposed by the Kasturirangan Committee.
  • The State continues to uphold its two-language system, resisting any attempts to introduce Hindi in schools.

Perceived Imposition of Hindi

• Political parties and activists in Tamil Nadu see the three-language policy as a covert attempt to impose Hindi.
• They argue that practical constraints, such as the lack of resources for additional language teachers, would naturally lead to Hindi being the default third language.
• Government Actions Fueling Suspicion
  • The Union Government’s promotion of Hindi, including a ₹50 crore allocation in 2019 for appointing Hindi teachers in non-Hindi-speaking States, has reinforced concerns.
  • Critics point out the lack of similar efforts to promote south Indian languages in northern schools or Kendriya Vidyalayas.

The Way Forward

• A constructive dialogue and a practical compromise between the Centre and Tamil Nadu are essential.
• Education, moved to the concurrent list during the Emergency, requires cooperative policymaking.
• Tamil Nadu’s two-language policy has yielded strong outcomes in enrolment and dropout rates.
• Disagreements over the three-language policy should not obstruct crucial funding for Samagra Shiksha.

Why in news?

The Economic Survey 2024-25 highlighted that while corporate profits have surged in recent years, wage growth has lagged. However, the president of Confederation of Indian Industry (CII) argued that businesses are regularly increasing salaries.

He suggested that recent wage trends may not be directly comparable to the past due to the growing servicification of manufacturing, where firms increasingly integrate services with traditional manufacturing, altering employment structures and wage patterns.

What’s in today’s article?

• Servicification of manufacturing
• Economic Survey Flags Wage Growth Concerns
• Industry Perspective on Wage Trends
• Call for Balanced Growth

Servicification of manufacturing

• Servification of manufacturing refers to the increasing integration of services with traditional manufacturing processes.
• It involves manufacturers offering value-added services such as maintenance, consulting, customization, and digital solutions alongside physical products.
• This shift is driven by changing consumer preferences, technological advancements, and competitive pressures.
• 
• Levels where servification takes place
  • Production Stage – Incorporating automation, AI, and data analytics to enhance efficiency.
  • Product Enhancement – Bundling services like installation, maintenance, and software updates with products.
  • Business Model Transformation – Moving from selling products to offering solutions (e.g., subscription-based models, leasing instead of selling machinery).
• Benefits of Servification:
  • Increased Revenue – Generates new income streams beyond product sales.
  • Customer Retention – Enhances customer engagement and loyalty through ongoing services.
  • Differentiation – Provides a competitive edge in markets dominated by commoditized products.
  • Sustainability – Encourages circular economy practices like remanufacturing and extended product lifecycles.
• Challenges of Servification
  • High Initial Investment – Requires technological and skill upgradation.
  • Complexity in Execution – Managing both manufacturing and service aspects can be challenging.
  • Workforce Transformation – Employees need new skills, such as data analysis and customer service.
  • Market Adaptation – Customers may be resistant to paying for added services initially.

Economic Survey Flags Wage Growth Concerns

• The Economic Survey 2024-25 highlighted that while corporate profits have surged, wage growth has slowed, potentially dampening demand and economic growth.
• It noted that revenue for 4,000 listed firms grew by 6% in 2023-24, while corporate profits rose by 22.3%, but employment expanded by just 1.5%.
• Wage growth for employees and contract workers has not kept pace with inflation, raising concerns about weakening consumer demand.

Industry Perspective on Wage Trends

• Confederation of Indian Industry (CII) president countered that businesses are regularly revising wages based on inflation and industry benchmarks to retain talent.
• However, he argued that wage comparisons with the past may be misleading due to the increasing servicification of manufacturing, where firms outsource various functions to specialized service providers instead of employing in-house staff.
• Impact of Servicification on Employment
  • Manufacturing firms now rely more on external agencies for non-core functions like utility management and logistics.
  • This shift leads to structural changes in employment patterns, as many workers are now employed by service providers rather than manufacturers directly, making traditional wage comparisons less relevant.

Call for Balanced Growth

• There is an urgent need to balance profitability with wage growth, cautioning that without higher wages, consumer demand may weaken, affecting long-term growth.
• The Economic Survey echoed this, stressing that sustained economic expansion requires stronger employment incomes, which fuel consumption and investment.

Why in news?

The Reserve Bank of India (RBI) will conduct its largest-ever $10-billion dollar/rupee buy-sell swap auction, aiming to address the persistent liquidity deficit in the banking system.  

What’s in today’s article?

• Dollar/rupee buy-sell swap auction
• RBI’s USD-INR Buy/Sell Swap Auction for Liquidity Management

Dollar/rupee buy-sell swap auction

• A Dollar/Rupee Buy-Sell Swap Auction is a foreign exchange (forex) instrument used by the RBI to manage liquidity in the financial system.
• In this mechanism, RBI buys U.S. Dollars from banks in exchange for Rupees (first leg) and agrees to sell them back at a pre-determined future date along with a premium (reverse leg).
• Need for Swap Auctions
  • Liquidity Management: Helps inject or absorb Rupee liquidity in the banking system.
  • Exchange Rate Stability: Reduces volatility in the USD/INR exchange rate by providing liquidity buffers.
  • Foreign Exchange Reserves Management: Enhances the efficient utilization of forex reserves.
  • Inflation & Interest Rate Control: Manages liquidity, indirectly influencing inflation and interest rates.
• Advantages
  • Enhances Market Liquidity: Provides long-term liquidity to banks, supporting credit flow.
  • Stabilizes the Rupee: Helps mitigate pressure on the Rupee during periods of forex outflows.
  • Predictable Cash Flows for Banks: Assists banks in managing forex positions and liquidity planning.
  • Prevents Excessive Volatility: Helps smoothen currency fluctuations, boosting investor confidence.
• Challenges
  • Impact on Forex Reserves: Large-scale swaps can affect RBI’s forex reserves.
  • Dependence on External Factors: Effectiveness depends on global market conditions, capital flows, and interest rate differentials.
  • Market Reaction Uncertainty: If not executed strategically, it may lead to unintended currency speculation.
  • Limited Long-Term Solution: Provides only a temporary fix for liquidity issues; structural reforms may still be needed.

RBI’s USD-INR Buy/Sell Swap Auction for Liquidity Management

• To address the system’s durable liquidity needs, the RBI will conduct a USD-INR Buy/Sell swap auction worth $10 billion for a three-year tenor on February 28, 2025.
• The spot settlement date is March 4, 2025, while the far-leg settlement date is March 6, 2028.
• This swap auction will provide short-term stability to the Rupee, helping mitigate volatility caused by foreign fund outflows.
• The USD-INR spot rate may move towards 86.30.
• Swap Mechanism
  • In the first leg, participating banks will sell USD to the RBI at the FBIL Reference Rate and receive equivalent Rupee liquidity in their current accounts.
    • The FBIL Reference Rate is a benchmark rate for currency pairs, such as the Indian rupee (INR) against the US dollar (USD), euro (EUR), pound sterling (GBP), and Japanese yen (JPY).
    • FBIL stands for Financial Benchmarks India Private Limited.
  • In the reverse leg, banks will repurchase USD from the RBI by returning the Rupee funds along with the agreed swap premium.
• This strategic move by the RBI aims to enhance liquidity, stabilize the Rupee, and maintain exchange rate stability.

Why in news?

India-Qatar trade is primarily driven by India's liquefied natural gas (LNG) imports, with Qatar being its largest supplier. As both nations seek to double bilateral trade in the next five years, LNG is expected to remain a key factor in achieving this goal.

During the recent visit of Qatar’s Amir Sheikh Tamim bin Hamad Al-Thani, India and Qatar set a goal to double bilateral trade to $28 billion annually by 2030 and upgraded their ties to a strategic partnership.

What’s in today’s article?

• LNG: The Energy Driving India-Qatar Trade
• Growth in India’s LNG Imports and Qatar’s Expanding Export Capacity
• The US Factor in India’s LNG Market
• Conclusion: Energy as a Core Pillar

LNG: The Energy Driving India-Qatar Trade

• India’s LNG imports are set to rise over the next five years due to increasing natural gas consumption.
• This aligns with Qatar’s plans to expand its LNG export capacity, making it a key supplier alongside the US.
• Indian oil and gas companies are exploring both markets to meet growing demand.
• Trade Imbalance in Qatar’s Favor
  • Despite India’s efforts to boost exports and attract Qatari investments, the trade balance remains heavily tilted towards Qatar.
  • LNG is the largest component of India’s imports from Qatar, contributing 50% of total imports, which stood at $11.49 billion in the first 11 months of 2024.
  • Other major imports include LPG, crude oil, plastics, and petrochemicals, while India’s exports to Qatar were only $1.61 billion during the same period.
• Qatar’s Dominance in India’s LNG Imports
  • From January to November 2024, India imported 9.82 million tonnes of LNG from Qatar, making up 38.8% of India’s total LNG imports by volume.
  • In value terms, Qatar accounted for 41.2% of India’s LNG imports, worth $5.75 billion.
• Long-Term LNG Contracts and Future Supply
  • India’s largest LNG importer, Petronet LNG, has a long-term contract with Qatar for 7.5 million tonnes per annum (mtpa) of LNG, recently extended until 2048.
  • In addition to these contracted volumes, Qatar also plays a significant role in India’s spot LNG market.
  • In December 2024, GAIL signed a five-year agreement with QatarEnergy for additional LNG supplies, further strengthening the energy partnership between the two nations.

Growth in India’s LNG Imports and Qatar’s Expanding Export Capacity

• India aims to increase natural gas’s share in its primary energy mix from just over 6% to 15% by 2030.
• According to the International Energy Agency (IEA), India’s natural gas consumption is expected to grow nearly 60% from 2023 levels, reaching 103 billion cubic metres (bcm) by 2030.
• With domestic production meeting only half of the country’s demand, LNG imports are set to rise significantly in the coming years.
• India’s Expanding Role in Global LNG Markets
  • Between 2013 and 2023, India’s LNG imports grew by 70%, reaching 36 bcm in 2024, reinforcing its position as the world’s fourth-largest LNG importer.
  • The IEA projects India’s LNG demand to grow at an annual rate of 11% until 2030, prompting Indian oil and gas companies to secure long-term supply contracts.
  • Recently, Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), and Gujarat State Petroleum Corporation (GSPC) signed major LNG import agreements with global energy firms.
• Qatar’s Expanding LNG Export Capacity
  • As India’s LNG imports surge, Qatar is set to almost double its liquefaction capacity from 77 mtpa to 142 mtpa by 2027.
  • This expansion could further solidify Qatar’s position as India’s leading LNG supplier, ensuring long-term energy security for both nations.

The US Factor in India’s LNG Market

• The United States, the world’s largest LNG exporter, is emerging as Qatar’s biggest competitor in India’s LNG market.
• In January-November 2024, India imported 5.12 million tonnes of LNG from the US, accounting for 20.2% of total LNG imports, valued at nearly $2.5 billion.
• US-India Energy Partnership
  • New Delhi and Washington have agreed to enhance US energy exports to India, aiming to position the US as a leading supplier of oil and gas.
  • This initiative could also help reduce the trade deficit between the two nations.
• US LNG Export Policy and India’s Interest
  • With US President Donald Trump lifting the Biden-era ban on new LNG export permits, Washington is expected to strengthen its dominance in the global LNG market.
  • Indian oil and gas companies are actively exploring long-term LNG contracts with US suppliers.

Conclusion: Energy as a Core Pillar

Energy remains a central aspect of India-Qatar relations. Both nations are exploring ways to strengthen and expand their energy partnership, including potential mutual investments, as highlighted in the recent discussions between PM Modi and Al-Thani.

Why in the News?

• The RBI has used data since 1991 to create the 'Quality of Public Expenditure' index to assess how well the government is spending its money.

What’s in Today’s Article?

• Introduction (Context, About QPE Index)
• India’s Improved QPE (How India Improved, Key Indicators, Challenges, Future Outlook, etc.)

Introduction:

• Government expenditure plays a critical role in shaping economic growth, infrastructure, and public welfare.
• In India, the Reserve Bank of India (RBI) has developed a Quality of Public Expenditure (QPE) Index to analyse how efficiently both the Centre and states utilize public funds.
• The latest RBI report suggests that India's quality of public expenditure is at its highest level since economic liberalization in 1991.
• This improvement is attributed to higher capital spending, fiscal discipline, and better allocation of resources.

About Quality of Public Expenditure (QPE) Index:

• The Quality of Public Expenditure Index is a framework created by the RBI to measure how effectively government funds are spent.
• Instead of just looking at the total expenditure, the index evaluates the composition of spending and its impact on long-term economic growth.
• Key Indicators of the QPE Index:
  • Capital Outlay to GDP Ratio – Measures the proportion of government spending on infrastructure and development projects relative to GDP. A higher ratio indicates better quality expenditure.
  • Revenue Expenditure to Capital Outlay Ratio – Assesses the balance between day-to-day operational expenses and long-term investment. A lower ratio is preferred, as excessive revenue expenditure weakens fiscal sustainability.
  • Development Expenditure to GDP Ratio – Tracks public spending in healthcare, education, research, infrastructure, and social welfare. Higher investment in these sectors improves human capital and economic productivity.
  • Development Expenditure as a Percentage of Total Expenditure – Evaluates the share of productive investments in overall government spending. The higher the proportion, the better.
  • Interest Payments to Total Government Expenditure Ratio – Reflects the burden of government debt. A lower percentage indicates better fiscal management and reduced reliance on borrowed funds.

How India Improved the Quality of Its Public Expenditure:

• Shift Toward Capital Expenditure
  • Over the past two decades, India has prioritized capital investment over revenue expenditure.
  • Unlike routine administrative costs, capital expenditure funds infrastructure, roads, energy, and digital connectivity, boosting long-term economic growth.
• Implementation of the Fiscal Responsibility and Budget Management (FRBM) Act
  • To control government borrowing, India introduced the FRBM Act in 2003, limiting the fiscal deficit to 3% of GDP.
  • This move ensured that borrowing was primarily used for capital projects rather than operational expenses.
• Managing Fiscal Deficit and Debt Levels
  • Instead of focusing solely on the annual fiscal deficit, India has shifted towards managing overall debt levels as a percentage of GDP. This approach helps maintain long-term fiscal sustainability while allowing flexibility in economic crises.
• Rising Development Expenditure
  • The government has increased investment in education, healthcare, and social programs, improving human capital development and economic productivity.
• Reduction in Interest Payment Burden
  • With better debt management and controlled borrowing, India has reduced its interest payment burden, ensuring more funds are allocated to productive sectors.

Challenges to Maintaining High-Quality Public Expenditure:

• Despite these improvements, some challenges remain:
  • Crisis-Driven Fiscal Stimulus – Events like the 2008 Global Financial Crisis and COVID-19 lockdowns forced the government to increase spending beyond fiscal limits, impacting expenditure quality.
  • Political Pressures for Loan Waivers and Freebies – Increasing populist measures like loan waivers, direct cash transfers, and free electricity schemes put pressure on government finances.
  • Balancing Revenue and Capital Expenditure – While capital investment has grown, revenue expenditure on salaries, subsidies, and interest payments remains high, reducing fiscal flexibility.

Key Findings from RBI’s QPE Index Analysis:

• The RBI study divided India’s fiscal performance since 1991 into six phases, each shaped by economic policies and global events:
  • 1991-2003 – Fiscal consolidation took priority, reducing public investment in infrastructure.
  • 2003-2008 – Fiscal discipline and economic growth boosted capital spending and state revenues improved.
  • 2008-2013 – The Global Financial Crisis (GFC) led to countercyclical spending, increasing deficits but supporting economic recovery.
  • 2013-2017 – The 14th Finance Commission gave states more fiscal autonomy, improving state-level development expenditure.
  • 2017-2020 – Introduction of GST led to initial revenue challenges for the Centre, while states benefited from higher tax shares.
  • 2020-Present – Post-COVID recovery, driven by record-high capital expenditure, has helped improve public expenditure quality.

Future Outlook: Strengthening India’s Public Expenditure Strategy:

• Sustaining Capital Expenditure Growth – Continued investment in infrastructure, renewable energy, and digital transformation.
• Balancing Welfare and Development Spending – Ensuring social schemes do not outweigh productive investments.
• Enhancing Fiscal Federalism – Strengthening Centre-state financial coordination for balanced economic development.
• Maintaining Fiscal Discipline – Keeping borrowing under control while ensuring growth-oriented public spending.
• Strengthening Transparency and Monitoring – Using data-driven governance models to track expenditure efficiency.

Conclusion:

• India has made significant progress in improving the quality of public expenditure, with the RBI’s QPE Index showing its best performance since 1991.
• A focus on capital investment, fiscal discipline, and effective debt management has enhanced economic growth and public welfare.
• However, political populism and fiscal pressures remain key challenges.
• To sustain these gains, policy continuity, efficient resource allocation, and financial discipline will be crucial in the years ahead.

Context:

• The article highlights how a legal provision meant to facilitate interfaith and inter-caste marriages - the Special Marriage Act, 1954 (SMA) - is often misused to harass and intimidate couples, particularly in cases involving religious differences.
• It discusses a case from Bhopal where an interfaith couple faced violence for attempting to register their marriage.

Case of Bhopal - When Law Becomes a Tool of Harassment:

• A Hindu-Muslim couple in Bhopal sought to marry under the SMA, which requires a 30-day public notice before solemnizing the marriage.
• Their information was leaked, leading to a violent mob attacking them at the court.
• The provision designed to ensure transparency instead exposed them to social and communal backlash.

Key Issues with the Special Marriage Act (SMA), 1954:

• Purpose vs. reality:
  • The SMA was enacted to provide a secular legal framework for marriage.
  • The law allows interfaith and inter-caste marriages outside religious personal laws, intending to protect individual autonomy and choice.
  • However, the 30-day public notice requirement often leads to societal interference, jeopardizing the safety of couples.
• Violation of privacy:
  • The Supreme Court’s judgment in Justice K.S. Puttaswamy vs Union of India (2017) reaffirmed the Right to Privacy as a fundamental right under Article 21 (Right to life and personal liberty).
  • The public notice provision violates individual autonomy, making personal decisions about marriage vulnerable to public scrutiny and opposition.
• Social and religious backlash: The leakage of private information from marriage registrars’ offices allows vigilante groups, moral policing, and religious extremists to harass couples.
• Misuse of the no-objection clause:
  • The law allows anyone to object to the marriage on arbitrary grounds.
  • Objections often stem from personal vendettas, communal motives, or familial coercion rather than legitimate legal concerns.

Need for Reform:

• The public notice requirement should be re-examined or removed to prevent privacy violations.
• The SMA should be aligned with constitutional values of individual liberty and freedom of choice.
• Ensure privacy protections in marriage registration, in line with the Right to Privacy judgment.
• The law should ensure protection rather than expose couples to threats.
• Strict action against harassment is needed to protect couples from societal backlash.

Conclusion:

• The Special Marriage Act, intended as a progressive law, has become an instrument of persecution for interfaith and inter-caste couples.
• Urgent legal reforms (for example, Section 7 of the SMA, which invites objections to marriages) are needed to prevent misuse and uphold the constitutional values of secularism, equality, and personal liberty.

Context

• Prime Minister Narendra Modi’s recent visit to the United States marks a pivotal moment in the strengthening of bilateral ties between the two nations.
• The visit, though brief, had profound implications across multiple sectors, reinforcing the India-U.S. strategic partnership.
• With major developments in trade, technology, defence, and energy, the visit has set the foundation for deeper economic cooperation and technological integration.
• Now, it is imperative to examine the significant outcomes of the visit, highlighting its impact on trade liberalisation, technological advancement, defence collaborations, energy security, and educational ties.

Key Outcomes of PM Modi’s US Visit

• Enhancing Trade and Investment
  • A key outcome of Modi’s visit was the initiation of the first phase of a Bilateral Trade Agreement (BTA), aimed at reducing trade barriers and streamlining regulatory processes.
  • This move is expected to foster greater economic engagement, encouraging U.S. companies to invest in India and integrate the country into their supply chains.
  • With an ambitious trade target of $500 billion by 2030, both nations are poised for economic expansion through sectoral sub-targets and simplified cross-border procedures.
  • The agreement also addresses tariff reduction, particularly in sectors like industrial goods, labour-intensive products, and agriculture.
  • Additionally, the push for greenfield investments, including those by Indian companies in the U.S., signifies a shift towards mutual economic growth.
  • As the Confederation of Indian Industry (CII) has endorsed this target, industries such as IT, pharmaceuticals, garments, and textiles stand to benefit from this enhanced economic collaboration.
  • While the U.S. market is already open to Indian exports, a structured BTA will facilitate greater investment and technology transfer, making trade relations more balanced and mutually beneficial.
• Technology and Innovation Cooperation
  • One of the most significant aspects of the visit was the emphasis on strategic technological collaboration through the U.S.-India Transforming the Relationship Utilising Strategic Technology (TRUST) initiative.
  • This agreement underscores the deepening partnership in critical areas such as defence, artificial intelligence (AI), semiconductors, quantum computing, biotechnology, energy, and space.
  • By developing private sector cooperation, the TRUST initiative opens new pathways for research and innovation partnerships between American technology giants and Indian enterprises.
• INDUS Innovation Initiative
  • Additionally, the INDUS Innovation Initiative will accelerate research and development in cutting-edge technologies, enhancing India’s role as a global AI hub.
  • The U.S.-India Roadmap on AI Infrastructure is expected to attract substantial investments in data centres, computing power, and AI models.
  • These initiatives will boost funding opportunities for Indian startups in fintech, health-tech, agri-tech, and other developmental sectors, positioning India as a leader in AI-driven solutions, not only domestically but also for the broader Global South.

Some Other Key Outcomes of PM’s Visit

• Deepening Defence Ties
  • The defence sector saw a major boost with the announcement of a 10-year Framework for the U.S.-India Major Defence Partnership.
  • This marks a transformative shift in defence collaboration, enabling expanded technology transfers, joint production, and industrial cooperation.
  • Agreements on co-production of advanced defence systems will bolster India’s indigenous manufacturing, skill development, and economic growth.
  • Additionally, potential offset clauses in defence agreements can significantly benefit the Indian defence industry by enhancing local production capabilities and reducing dependency on foreign imports.
  • Strengthened defence collaboration with the U.S. will not only enhance India’s security infrastructure but also create opportunities for domestic manufacturers to integrate into global defence supply chains.
• Energy Security and Sustainability
  • Energy cooperation emerged as another crucial area of discussion, with both leaders emphasising the importance of long-term strategic linkages.
  • India’s growing energy demands necessitate diversification of energy sources, and the U.S., with its vast natural gas reserves, can serve as a reliable supplier.
  • India’s Union Budget 2025-26 highlights a commitment to collaborating with the private sector on the development of small modular reactors (SMRs), an area where U.S. companies will play a critical role.
  • This partnership aligns with India’s ambitious net-zero targets and will contribute to energy security and sustainability.
  • The increased focus on hydrocarbons and renewable energy development underscores the broader vision of making India self-reliant in energy production while maintaining global energy stability and affordability.
• Infrastructure and Digital Connectivity
  • Another major outcome of the visit was the pledge to further the India-Middle East-Europe Economic Corridor (IMEC).
  • This initiative will accelerate infrastructure development through joint projects, including railways, roadways, smart cities, and industrial zones.
  • By entering into plurilateral arrangements, India and the U.S. can fast-track large-scale infrastructure projects, providing opportunities for Indian industry to participate in global infrastructure creation.
  • Additionally, the development of undersea cables connecting India and the U.S. will enhance India’s digital economy and boost service exports.
  • This initiative will significantly contribute to the growth of India's IT sector, strengthening its position as a global technology powerhouse.
• Advancements in Higher Education
  • Education cooperation was another key area discussed during the visit, with an agreement to enhance higher education collaboration.
  • The establishment of U.S. educational institution campuses in India will provide Indian students with greater access to high-quality education without the need to relocate abroad.
  • Furthermore, streamlining legal mobility will facilitate easier student and professional exchanges between the two nations.

Conclusion

• Prime Minister Modi’s visit to the United States was more than a diplomatic engagement; it laid the groundwork for a transformative economic and technological partnership between the two nations.
• By creating trade liberalisation, deepening technology collaboration, strengthening defence ties, ensuring energy security, and enhancing education opportunities, the visit has positioned India for sustained economic growth.
• The agreements reached reflect a shared vision for mutual prosperity and strategic alignment in global affairs.
• If implemented effectively, these initiatives will not only strengthen the India-U.S. relationship but also contribute to India’s emergence as a global economic powerhouse.

Context

• Every Chief Justice of India inherits the crisis of backlog cases, with pending cases stretching across all levels of the judiciary.
• The Supreme Court alone has around 82,000 cases, while High Courts and lower courts collectively hold over five crore cases in waiting and this backlog not only delays justice but also undermines public faith in the legal system.
• While various factors contribute to the issue, ranging from a low judge-to-population ratio to an overburdened adversarial system, mediation emerges as a promising solution to alleviate this judicial logjam.

The Burden of the Adversarial System and Structural Challenges

• Excessive Litigation Culture and Multiple Appeals
  • One of the biggest issues plaguing the Indian judiciary is the excessive tendency to litigate.
  • Individuals, businesses, and even government bodies frequently turn to the courts to settle disputes, regardless of their severity or potential for resolution outside the courtroom.
  • Unlike many other legal systems that encourage pre-litigation settlements, India lacks a strong culture of alternative dispute resolution (ADR), leading to a situation where even minor disagreements escalate into full-fledged legal battles.
• Inadequate Judge-to-Population Ratio
  • India has one of the lowest judge-to-population ratios in the world, with only 21 judges per million people.
  • By contrast, the United States has 107 judges per million, while the United Kingdom has around 51 judges per million.
  • This stark disparity means that Indian judges are handling an overwhelming number of cases, significantly reducing the time and attention they can devote to each matter.
• Infrastructure and Resource Deficiencies
  • The judicial system also suffers from severe infrastructural deficits.
  • Many courts operate in outdated buildings with limited space, poor facilities, and insufficient technological integration.
  • Case records are often maintained manually, making retrieval and management cumbersome.
  • In the absence of a robust digital case management system, courts struggle to streamline proceedings, further slowing down the judicial process.
• Procedural Complexities and Delays
  • The adversarial system operates within a rigid procedural framework that, while ensuring fairness, also leads to unnecessary delays.
  • Litigants often file interim applications to delay proceedings strategically. These applications require separate hearings and decisions, further extending case timelines.
  • The process of serving summons to respondents and examining witnesses is often slow due to administrative inefficiencies.
  • Courts frequently grant adjournments due to various reasons, including lawyer unavailability, incomplete documentation, or witness absence.
  • While adjournments are sometimes necessary, their overuse contributes significantly to case delays.

The Concept of Mediation: An Untapped Resource for Dispute Resolution

• Mediation, which gained traction in India in the early 2000s, offers a viable alternative to prolonged litigation.
• Unlike the adversarial system, mediation focuses on collaborative problem-solving, with disputing parties working with a neutral mediator to reach a mutually beneficial resolution.
• This method has been particularly successful in civil, commercial, matrimonial, and property disputes.
• Instead of deepening hostilities, mediation creates dialogue and compromise, often leading to long-term settlements rather than bitter legal battles.
• One of mediation’s key advantages is its efficiency. While court cases can drag on for years, mediation usually resolves disputes within a few sessions.
• Additionally, the costs associated with mediation are significantly lower than litigation expenses, benefiting both individuals and the judicial system.
• The process also relieves judges of excessive caseloads, allowing them to focus on cases that truly require judicial intervention.

The Way Forward

• The Need for Structural Reform
  • Expanding judicial capacity: Increasing the number of judges and courtrooms will help distribute caseloads more effectively.
  • Modernizing court infrastructure: Digitising records, adopting AI-based case management systems, and using video conferencing for hearings can improve efficiency.
  • Strengthening ADR mechanisms: Promoting mediation, arbitration, and conciliation as primary modes of dispute resolution can significantly reduce litigation volume.
  • Encouraging pre-litigation settlements: Making mediation or arbitration mandatory before litigation, particularly in commercial and civil disputes, can help filter out unnecessary cases.
  • Discouraging frivolous litigation: Introducing strict penalties for baseless or repetitive cases will deter unnecessary legal action.
• Implementation and Institutional Support for Mediation
  • For mediation to be a widespread success, institutional support and systematic integration into the judicial process are essential.
  • Courts must proactively identify cases suitable for mediation and refer them to trained mediators.
  • A structured framework where parties can voluntarily choose mediation, or be assigned a mediator when appropriate, could help in diverting a significant portion of cases from the courtroom.
  • India has a growing pool of skilled mediators, including legal professionals who recognize mediation’s potential.
  • However, to ensure long-term viability, mediation must transition into a full-fledged professional avenue with adequate financial incentives for mediators.
  • Government agencies, businesses, and other stakeholders should be encouraged to adopt mediation as a standard practice in dispute resolution.

Conclusion

• While India’s judicial backlog remains a pressing concern, it also presents an opportunity to embrace mediation as a transformative tool for justice delivery.
• Rather than viewing the backlog as an insurmountable burden, the judiciary can reframe it as a resource, a vast reservoir of cases ready for resolution through alternative methods.
• By institutionalising mediation and fostering a cultural shift towards cooperative dispute resolution, India can not only expedite justice but also promote a more harmonious and efficient legal system.

Why in news?

Former US President Donald Trump accused Ukraine of reneging on an unofficial deal granting the US access to 50% of its mineral resources in exchange for support against Russia.

What’s in today’s article?

• Importance of Ukraine’s Mineral Resources
• US Proposal on Ukraine’s Resources
• Challenges in the US Using 50% of Ukraine’s Resources

Importance of Ukraine’s Mineral Resources

• Ukraine possesses rich mineral resources crucial for manufacturing high-end weapon systems, clean energy solutions (such as electric vehicles), electronic gadgets, and semiconductors.
• These minerals are rare and difficult to extract, making them highly valuable.
• 
• Geopolitical Significance
  • China has large reserves of these critical minerals, making Ukraine’s resources strategically important for the US and the West.
    • The US seeks rare-earth elements, titanium, gallium, and other critical minerals for weapons systems, clean energy, and reducing dependence on China.
  • US President Donald Trump’s interest in acquiring Greenland is also partly driven by mineral resource concerns.
• Key Classifications of Minerals
  • Rare Earth Elements (REEs): Consist of 17 elements, including 15 Lanthanides (atomic numbers 57–71), Scandium (21), and Yttrium (39).
  • Critical Minerals: Defined by countries based on economic and security needs and their limited availability.
    • India identified 30 critical minerals in 2023.

US Proposal on Ukraine’s Resources

• Ukraine views the deal as a way to secure future assistance, while Trump seeks compensation for past US aid.
• The details remain undisclosed, but Trump claims Ukraine owes the US $500 billion worth of resources, including minerals, fuel, and infrastructure (such as ports), in return for military support against Russia.
• This demand far exceeds the $69.2 billion in military aid the US has provided since 2014.
• US officials argue that securing economic stakes in Ukraine—such as mining rights—would serve as a security guarantee, as the US would be invested in defending its interests.
• Zelenskyy, however, seeks a more concrete military and economic assurance rather than indirect security through economic involvement.

Challenges in the US Using 50% of Ukraine’s Resources

• Legal Restrictions
  • Ukraine’s constitution states that subsoil resources belong to its people.
  • Any deal must comply with Ukrainian laws.
• Unclear Resource Data
  • The quantity and quality of Ukraine’s mineral resources remain uncertain due to limited exploration and extraction.
  • Many geological surveys date back to the Soviet era (pre-1991) and lack modern data.
• Existing EU Agreement
  • Ukraine already signed a ‘strategic partnership on raw materials’ with the European Union in July 2021, before Russia’s invasion in 2022.
  • This agreement complicates any new deal with the US.
• Russian Occupation of Resource-Rich Areas
  • A significant portion of Ukraine’s minerals are in Russian-occupied territories.
  • Russian forces control one-fifth of Ukraine, including reserves of rare earth elements.
  • They are now just 4 miles away from the Shevchenko lithium deposit, as per a media report.

Why in news?

The Supreme Court ruled that states must consider the premature release of eligible prisoners under their remission policies, even if they do not apply for it.

While certain convicts are exempt, states have the authority to grant remission under the Bharatiya Nyaya Suraksha Sanhita, 2023 (BNSS) and the Code of Criminal Procedure, 1973 (CrPC).

A SC bench delivered the judgment in the suo motu case In Re: Policy Strategy for Grant of Bail, initiated in 2021 to address prison overcrowding.

This ruling marks a shift in the Supreme Court’s stance on remission, departing from its 2013 judgments, which required prisoners to apply for remission.

What’s in today’s article?

• Law on Remission
• Supreme Court’s Ruling on Remission
• Additional Directions Issued by the Supreme Court
• Prison Population in India

Law on Remission

• Remission refers to the reduction of a convict’s sentence.
• Section 473 of the BNSS (formerly Section 432 of the CrPC) empowers state governments to remit sentences at any time, with or without conditions.
• If conditions are violated, the remission can be revoked, and the convict can be re-arrested without a warrant.
• State vs. Constitutional Remission Powers
  • State governments exercise remission power under BNSS and CrPC.
  • On the other hand, Articles 72 and 161 of the Constitution grant similar powers to the President and Governor respectively.
• Restrictions on Remission
  • Under Section 475 of the BNSS (formerly Section 433A of the CrPC), life convicts guilty of offences punishable by death must serve at least 14 years in prison before being eligible for release.
• SC’s Recent Interpretation
  • Earlier, remission required an application by the convict.
  • However, the Supreme Court has now ruled that states must consider remission automatically, as most states already have remission policies with eligibility criteria.

Supreme Court’s Ruling on Remission

• Past Judgments on Remission
  • The SC considered two 2013 rulings:
    • Sangeet & Anr. v. State of Haryana (2013): Held that remission under Section 432 of CrPC cannot be granted suo motu and requires a convict’s application.
    • Mohinder Singh v. State of Punjab (2013): Reaffirmed that courts cannot grant remission on their own.
• Key Shift in Approach
• The court observed that many state prison manuals require the prison superintendent to initiate remission proceedings.
• The previous rulings in Sangeet and Mohinder Singh did not consider cases where states have structured remission policies.
• Why the SC Changed Its Stance
  • The Sangeet judgment aimed to prevent discretionary or mass releases on festive occasions.
  • However, when states have clear remission policies with eligibility criteria, the SC held that failing to consider remission automatically would be discriminatory and arbitrary.
• Obligation on States
  • The court ruled that states must consider remission for all eligible convicts under their policies.
  • Ignoring this duty would violate Article 14 (Right to Equality) of the Constitution.

Additional Directions Issued by the Supreme Court

• The SC directed all states to form a comprehensive remission policy within two months if they do not already have one.
• Guidelines for Remission Conditions
  • Building on Mafabhai Motibhai Sagar v. State of Gujarat (2024), the court laid down that remission conditions must:
    • Consider crime motive, criminal background, and public safety.
    • Aim for rehabilitation and prevent recurrence of criminal tendencies.
    • Be reasonable—not excessively harsh or impractical.
    • Be clear and enforceable, avoiding vague or ambiguous terms.
• Protection Against Arbitrary Remission Cancellation
  • Minor violations should not automatically lead to remission cancellation.
  • Convicts must receive a notice with reasons for cancellation.
  • Convicts must be given a chance to respond before the state makes a final decision.

Prison Population in India

• As per the National Crime Records Bureau (NCRB) data (2022):
  • Total inmates: 5,73,220
  • Total prison capacity: 4,36,266
  • Occupancy rate: 131.4% (overcrowded prisons)
• Undertrial Prisoners Dominate
  • 75.8% of inmates are undertrials, still awaiting final verdicts.
  • The SC’s new remission guidelines may help reduce overcrowding, but undertrials remain the majority.
• Trends in Premature Releases
  • The Prison Statistics in India Report (2022) shows:
    • 2020: 2,321 prisoners released prematurely.
    • 2021: 2,350 prisoners released.
    • 2022: 5,035 prisoners released (sharp increase).
  • There is no official data on how many prisoners have benefitted from remission policies over the years.

Why in the News?

The Supreme Court has stayed a Lokpal order bringing High Court judges under its jurisdiction while terming the top anti-corruption ombudsman’s interpretation very disturbing.

What’s in Today’s Article?

• Introduction (Context, About Lokpal & Lokayuktas, Significance of the Act, Challenges, etc.)
• News Summary (SC Judgement, Implications)

Introduction

• The Lokpal and Lokayuktas Act, 2013, was introduced to combat corruption at the highest levels of government in India.
• It provides for the establishment of the Lokpal at the central level and Lokayuktas in states, empowering them to investigate complaints against public officials, including the Prime Minister, Ministers, and Members of Parliament.
• The Act was a result of prolonged public movements against corruption, particularly the India Against Corruption movement led by Anna Hazare.
• It aims to bring greater transparency and accountability in governance by establishing an independent anti-corruption body with investigative powers.

About Lokpal and Lokayuktas Act, 2013

• The Lokpal and Lokayuktas Act, 2013, establishes a multi-member anti-corruption body with the authority to investigate allegations of corruption against high-ranking public officials.
• The Lokpal is responsible for handling cases at the central level, while Lokayuktas are set up by individual states to deal with corruption cases at the state level.
• Key Features of the Act:
  • Establishment of Lokpal: A central institution headed by a chairperson and up to eight members, including judicial and non-judicial members.
  • Jurisdiction: Covers the Prime Minister (with certain exceptions), Ministers, MPs, and Group A and B officers of the central government.
  • Lokayuktas in States: Every state is required to establish a Lokayukta to investigate corruption allegations against state officials.
  • Inquiry and Prosecution Powers: Lokpal has power to order inquiries, recommend prosecution, and direct disciplinary action.
  • Whistleblower Protection: The Act provides safeguards for whistleblowers reporting corruption cases.

Significance of the Lokpal and Lokayuktas Act

• Strengthening Anti-Corruption Measures
  • The Act provides an independent watchdog mechanism to investigate corruption cases at both central and state levels, ensuring greater transparency in public office.
• Public Accountability
  • By bringing top government officials, including the Prime Minister and MPs, under scrutiny, the Act reinforces public trust in governance.
• Empowering Lokpal with Investigative Powers
  • The Lokpal has the authority to conduct independent inquiries and recommend prosecution without needing prior government approval.
• Ensuring State-Level Vigilance
  • The requirement to set up Lokayuktas in every state strengthens state-level anti-corruption mechanisms.

Challenges and Criticisms

• Delay in Lokayukta Implementation: Many states have not yet appointed Lokayuktas, weakening the state-level anti-corruption framework.
• Limited Investigative Autonomy: The CBI (Central Bureau of Investigation), which assists in investigations, still functions under government control, affecting its independence.
• Lack of Public Awareness: Many citizens are unaware of Lokpal’s role and how to file complaints, reducing its effectiveness.
• Political Interference: Critics argue that appointments to Lokpal are influenced by the ruling government, impacting its impartiality.

News Summary

• In a major legal development, the Supreme Court stayed a Lokpal order that sought to bring High Court judges under its jurisdiction.
• Background of the Case:
  • The January 27, 2025, order of Lokpal declared that High Court judges are 'public servants' under the Lokpal Act, 2013, and can be investigated.
  • The Supreme Court took suo motu cognizance and halted this decision, stating it was “very disturbing” and could affect the independence of the judiciary​.
  • A Special Bench of Justices B.R. Gavai, Surya Kant, and A.S. Oka expressed concerns over this interpretation​.
  • Senior advocates Kapil Sibal and B.H. Marlapalle provided arguments, while Solicitor General Tushar Mehta represented the government and opposed the Lokpal’s jurisdiction over judges.
  • The Supreme Court ordered that the case be heard on March 18, 2025, while keeping the identity of the concerned judge confidential​.
• Implications of the Supreme Court’s Stay:
  • Maintaining Judicial Independence: The decision reinforces that judges cannot be treated as public servants under the Lokpal Act.
  • Clarification of Jurisdiction: It highlights the difference between High Court and Supreme Court judges, as the Lokpal had earlier ruled that it does not have jurisdiction over Supreme Court judges.
  • Legal Precedent: The case could set a precedent for future interpretations of judicial accountability under anti-corruption laws.

Context:

• State governments are crucial stakeholders in the Union Budget, as their fiscal health is significantly influenced by tax devolution, grants from the Centre, and interest-free loans for capital spending.
• These components form a substantial part of state revenues and shape their expenditure and deficit levels.

Tax Devolution Trends:

• Overview: Over 40% of several states' revenues come from tax devolution and grants. The actual tax devolution has fluctuated over the past five years, varying from initial budget estimates.
• 2024-25: Tax devolution was revised upwards to Rs 12.9 trillion from Rs 12.5 trillion, reflecting adjustments for previous payments and an increase in states' share of income tax revenues.
• 2025-26: Tax devolution is projected at Rs 14.2 trillion, an 11% increase over the previous year.
• Future projections: The impact of personal income tax modifications may lead to an optimistic revenue growth forecast, potentially affecting tax devolution.

Grants to States - Declining and Volatile Trends:

• Overview: Grants from the Centre have shown an uneven trajectory, influenced by factors such as:
  • End of GST compensation grants (2022-23).
  • Decline in Finance Commission-recommended grants, leading to a 13% drop in total grants (Rs 7.8 trillion in 2023-24).
• 2024-25: Further reduction of Rs 1 trillion in 2024-25 revised estimates due to lower allocations for centrally sponsored schemes and GST compensation.
• 2025-26 projections: Total grants set at Rs 8.9 trillion, marking a 14% growth, surpassing the increase in tax devolution.

Capital Expenditure Loans to States:

• Overview:
  • Interest-free loans for capital expenditure have emerged as a critical funding source since 2020-21.
  • To boost the resources of state governments, the Centre has been stepping up allocation under the special assistance scheme as loans to states for capital expenditure.
• 2024-25 revised estimates:
  • Allocation for the capex loan scheme was reduced to Rs 1.25 trillion from Rs 1.5 trillion.
  • By January-end 2025, actual disbursements reached Rs 1.1 trillion, indicating robust utilization.
  • All 28 states availed funds under this scheme, with major recipients including Bihar, MP, UP, and West Bengal (40% share).
• 2025-26 allocation: Rs 1.5 trillion, with disbursement influenced by the mix of tied and untied loans.

Conditional Borrowing and Power Sector Reforms:

• The Centre extended the 0.5% of gross state domestic product (GSDP) conditional borrowing linked to power sector reforms for 2025-26. In FY 2023-24, States borrowed Rs 1.2 trillion under this framework.
• Initially set to end as per the 15th Finance Commission's recommendations, this extension aims to drive critical reforms in the power sector.
• This move is expected to strengthen state finances and support economic growth.

Implications for State Capital Expenditure:

• Key provisions in the Union Budget positively impact state capex:
  • Higher tax devolution: Provides untied funds, offering fiscal flexibility.
  • Enhanced capex loan outlay: Encourages infrastructure development.
  • Extension of power sector reform-linked borrowing: Incentivizes critical sectoral reforms.

Future Outlook - 16th Finance Commission Recommendations:

• State governments will closely monitor the recommendations of the 16th Finance Commission (FY 2027-31).
• Key expectations include:
  • Deficit and debt targets for states.
  • Continuation of the capex loan scheme beyond the 16th FC award period.
  • Potential exclusion of capex loans from the net borrowing limit.
• The recommendations are expected before the Union Budget 2026-27 and will significantly shape state finances.

Conclusion:

• The Union Budget significantly influences state finances through tax devolution, grants, and loans.
• While tax devolution has seen an upward revision, the volatility in grants remains a concern.
• The capex loan scheme and conditional borrowing linked to power sector reforms play a crucial role in shaping state fiscal health.
• The upcoming 16th Finance Commission recommendations will be critical in determining future fiscal frameworks for states.

Context

• The visit of India’s Foreign Secretary Vikram Misri to China in January 2025 marked a significant diplomatic engagement, signifying a possible thaw in tensions.
• However, while both nations have announced the restoration of key exchanges, several underlying issues, such as border stability, economic concerns, and geopolitical influences, continue to shape the evolving relationship.
• Amid these developments, it is important to examine the factors behind the renewed engagement, the complexities at the Line of Actual Control (LAC), and the need for greater transparency in India's diplomatic approach.

Diplomatic Engagements and Announcements During Foreign Secretary’s China Visit

• During his visit to China, Foreign Secretary Misri met with high-ranking Chinese officials, including Foreign Minister Wang Yi and Liu Jianchao, Minister of the International Department of the Communist Party of China.
• The Indian government later announced the revival of various bilateral exchanges, such as media and think-tank interactions, the Kailash Mansarovar Yatra, and increased connectivity through flights.
• These initiatives suggest a strategic effort to rebuild diplomatic channels that had been largely suspended since 2020.
• However, these developments alone do not confirm a complete resolution of outstanding tensions, particularly regarding military disengagement at the border.

Geopolitical and Economic Factors Influencing India-China Relations

• The Trump Factor and Its Impact on India-China Relations
  • The return of Donald Trump to the U.S. presidency has injected a new element of unpredictability into global geopolitics.
  • Trump’s first term (2017–2021) was marked by a trade war with China, aggressive economic sanctions, and diplomatic hostilities.
  • Given his track record, China anticipates a renewed period of U.S.-China tensions, potentially leading to stricter trade barriers, sanctions, and geopolitical confrontations.
  • For China, stabilising its regional relationships, including with India, might serve as a strategic buffer against future American pressures.
  • Historically, whenever China faces external challenges, it has sought to stabilise relationships on other fronts to prevent multiple simultaneous conflicts.
  • For instance, following the 1989 Tiananmen Square crisis, China made significant diplomatic overtures to India, recognising that it needed to focus on internal stability and economic growth.
• China’s Economic Slowdown and the Need for Stability
  • China’s economy has been facing mounting challenges in recent years.
  • Sluggish growth, a real estate crisis, and declining foreign investments have forced Beijing to rethink its economic priorities.
  • The collapse of major real estate firms like Evergrande, combined with falling consumer confidence and rising unemployment, has led to increased domestic pressures on the Chinese government.
  • In such a scenario, prolonged geopolitical tensions with India, one of its largest trading partners, could further strain China’s economy.
  • India is an important market for Chinese exports, particularly in electronics, pharmaceuticals, and manufacturing components.
  • Despite political tensions, trade between the two countries remains robust. In 2023, bilateral trade exceeded $136 billion, with China enjoying a significant trade surplus.
  • A continued breakdown in relations could jeopardize these economic benefits, making stability a more attractive option for China.
• India’s Economic Growth and Strategic Calculations
  • While China grapples with economic difficulties, India has emerged as one of the fastest-growing major economies.
  • With its expanding manufacturing sector, growing middle class, and increasing foreign direct investment (FDI), India is positioning itself as an alternative to China in global supply chains.
  • Companies looking to diversify away from China have turned to India as a key production hub. However, for India to fully capitalize on this shift, it needs geopolitical stability.
  • A prolonged border standoff with China could deter investors who seek a predictable business environment.
  • By engaging with China diplomatically, India may be attempting to ease tensions enough to create a more stable atmosphere for economic expansion while maintaining its firm stance on border issues.

Unresolved Tensions at the LAC and the Way Forward

• Unresolved Tensions at the LAC
  • Despite these diplomatic strides, ambiguity remains regarding the situation at the LAC.
  • India has not provided a clear statement on whether de-escalation and demobilisation of troops have occurred.
  • Since the Galwan clashes in June 2020, both nations have maintained significant military presence along various flashpoints, including Galwan, Depsang Bulge, Charding Nala, Gogra Post, Hot Springs, and the Pangong Lake region.
  • Without concrete evidence of troop withdrawals, questions persist about whether the border situation has truly improved or if India has merely accepted a status quo that favours China.
  • Furthermore, India has consistently argued that border stability is a prerequisite for broader engagement, while China has taken the opposite stance, insisting that other aspects of the relationship should progress irrespective of border disputes.
  • If India remains silent on whether pre-2020 border arrangements have been restored, it risks conceding to China's narrative that the conflict is no longer a pressing issue.
• The Way Forward: The Need for Clarity and Strategic Caution
  • The Indian government’s guarded approach to communicating progress at the LAC raises concerns.
  • A clearer articulation of India’s position is necessary to reassure domestic and international audiences that its core interests are being upheld.
  • While diplomatic prudence is understandable, a lack of transparency could weaken India’s negotiating position and allow China’s perspective to dominate international discourse.
  • India-China relations have historically been cyclical, fluctuating between periods of cooperation and tension.
  • Given the structural differences in their geopolitical outlooks, their bilateral relationship is unlikely to achieve full convergence soon.
  • Thus, India must exercise caution and ensure that diplomatic engagements do not come at the cost of territorial or strategic compromises. 

Conclusion

• India’s recent engagement with China represents a step toward diplomatic normalization, but critical uncertainties remain.
• While economic and geopolitical considerations may have driven this shift, the lack of clarity on the border situation raises valid concerns.
• As India moves forward, it must balance diplomacy with firm strategic positioning to ensure that any restoration of relations does not come at the expense of its security interests.
• Greater transparency and a principled approach will be essential in maintaining an equitable and stable relationship with China.

Context

• Koraput, a district in Odisha, is a region of breathtaking landscapes and rich biodiversity, it also suffers from persistent poverty and high levels of undernutrition.
• Despite the presence of various government schemes aimed at improving food security and livelihoods, malnutrition remains widespread.
• According to the National Family Health Survey-5 (2019-21), a staggering 43% of children under five in the district are stunted, and 33% are underweight.
• Moreover, only 17% of children receive an adequate diet, and over 50% of women are anaemic; given these alarming statistics, it is crucial to examine how the local community can take ownership of its nutrition security.

The Community-Based Nutrition Literacy Model

• The Community-Based Nutrition Literacy Model implemented in Koraput by the M.S. Swaminathan Research Foundation (MSSRF).
• It was designed to empower tribal communities by enhancing their understanding of nutrition and equipping them with the skills to make informed dietary choices.
• The model was rooted in the principle that sustainable solutions to undernutrition must emerge from within the community itself, rather than relying solely on external aid.
• It emphasised nutrition-sensitive agriculture, dietary diversity, hygiene, sanitation, and infant and young child feeding (IYCF) practices.

Approach Taken by MSSRF

• Awareness and Self-Assessment
  • The first step in implementing the model was to sensitise the community to its own nutritional challenges.
  • To achieve this, health and nutrition data of women, children, and adolescents were collected through height and weight measurements and consolidated with secondary data sources.
  • The results were presented to the community, allowing them to visualize the extent of malnutrition among their own people.
  • This method was crucial because rather than being told they were undernourished; the villagers saw the evidence firsthand.
• Selection of Community Representatives for Training
  • Once the community acknowledged the issue, villagers selected representatives, both men and women, from different villages and caste groups to undergo residential training programs.
  • This ensured inclusivity and representation of diverse social groups.
  • The participants were chosen based on their willingness to learn and share knowledge, as they would later become ‘community champions’ responsible for spreading awareness and implementing solutions at the village level.
• Mobilising Collective Action
  • While social structures in rural communities are often hierarchical, the residential training created a neutral space where villagers from different backgrounds could engage in open discussions.
  • This bridged social divides and fostered collective action.
  • Participants collaborated to introduce more nutritious crops, share farming techniques, and advocate for government entitlements.
  • They realised that rather than making individual efforts, collective bargaining at the panchayat (local governance) level could lead to greater access to resources and schemes.
  • To spread awareness beyond the training group, participants created songs and messages on topics like balanced diets, hygiene, and sanitation.
  • These songs were then performed in villages, markets, and festivals, helping embed key nutritional messages into everyday life.

Some Other Steps Taken by the Local Community in Koraput to Take the Ownership of their Nutritional Security

• Tangible Changes in Nutrition and Agriculture
  • The impact of these efforts was visible in the community’s dietary habits and farming practices.
  • Home gardens, which initially contained only four types of crops, grew to include nine varieties.
  • Similarly, crop diversity in larger farms expanded from two or three varieties to as many as five.
  • Households began consuming a wider range of nutrient-rich foods, including pulses, leafy vegetables, tubers, fruits, poultry, and fish.
  • Some even adopted bio composting techniques to enhance soil fertility.
  • The program also empowered women, who played a crucial role in improving family nutrition.
  • Many worked closely with health workers such as Accredited Social Health Activists (ASHAs) and Anganwadi workers to spread awareness about dietary needs.
  • For example, one woman, Sanya from Maligad village, ensured her anaemic daughter received a balanced diet of leafy vegetables, ripe fruits, pulses, and eggs.
• Strengthening Community Institutions
  • Beyond individual households, the program led to the strengthening of community structures that support nutrition security.
  • Villagers took an active role in monitoring direct feeding programs under the Integrated Child Development Services (ICDS).
  • In one instance, when the village of Lecha lacked an Anganwadi centre, women champions organised meetings to demand one.
  • The village collectively passed a resolution, and their male counterparts followed up with local authorities until the request was granted.
  • They even supervised the construction of the centre and ensured its proper inauguration.
  • Additionally, the community revived traditional institutions such as grain banks and engaged in village council meetings (Gram Sabhas) to discuss long-term strategies for achieving hunger-free villages.
  • These collective efforts have laid the foundation for sustained improvements in nutrition and food security in Koraput.

Conclusion

• The transformation witnessed in Koraput highlights the power of community-driven initiatives in addressing undernutrition.
• By combining nutrition literacy with sustainable agricultural practices, the MSSRF program enabled villagers to take control of their own food security.
• The success of this approach underscores the importance of integrating local knowledge with scientific principles while fostering collective action.
• As the community continues its journey toward better nutrition and food security, its experiences serve as an inspiring model for other regions facing similar challenges.