IMPORTANT NEWS ANALYSIS

RELATIONS BETWEEN INDIA AND THE SCO

About SCO:

The Shanghai Cooperation Organization (SCO) is a permanent intergovernmental international organization, the creation of which was announced on 15 June 2001 in Shanghai (China) by the Republic of Kazakhstan, the People's Republic of China, the Kyrgyz Republic, the Russian Federation, the Republic of Tajikistan, and the Republic of Uzbekistan. It was preceded by the Shanghai Five mechanism.

The organization has two permanent bodies — the SCO Secretariat based in Beijing and the Executive Committee of the Regional Anti-Terrorist Structure (RATS) based in Tashkent. The SCO Secretary-General and the Director of the Executive Committee of the SCO RATS are appointed by the Council of Heads of State for a term of three years. Rashid Alimov (Tajikistan) and Yevgeny Sysoyev (Russia) have held these positions, respectively, since 1 January 2016.

In June 2017 India and Pakistan were formally inducted as the newest members of the Shanghai Cooperation Organization (SCO) in the first-ever expansion of the six-member group.

Speculations about the Shanghai Cooperation Organization (SCO)

India’s relations with Pakistan and China have entered a difficult phase has also generated apprehensions in India about the forum creating new pressures on Jammu and Kashmir.

Is the SCO’s objective and India’s expectations same?

Countering extremism, terrorism and separatism is a major objective of the SCO. Sceptics would say the apparent convergence between what the SCO does and India wants may be somewhat deceptive. They would insist that the difficulties encountered by the recent Indian bid to isolate Pakistan in various international forums should caution India against expecting too much on this front at the SCO.

What India should do?

Ø  India must persist in the belief that change is inevitable and purposeful diplomacy can allow India to probe for new opportunities for regional security cooperation.

Ø  The recent kidnapping and killing of two Chinese nationals in Pakistan underlines the prospect that Beijing can’t forever remain untouched by the terror nurtured by Pakistan.

Issues related to Belt and road initiative

Differences between China’s President Xi Jinping and Prime Minister Narendra Modi could not be masked. If Xi argued that the SCO could become a major vehicle for its ambitious Belt and Road Initiative, Modi articulated India’s reservations, especially the impact of the project on India’s sovereignty in Kashmir.

Effective steps by the Indian PM

The PM appears to have found the right balance between articulating India’s concerns and underlining India’s promise to strengthen inner Asian regionalism. He outlined a realistic approach towards the SCO that combined a strong emphasis on countering terrorism and a readiness to explore win-win solutions for expanding connectivity.

IMPORTANT NEWS ANALYSIS

MINIMUM SUPPORT PRICES FOR AGRICULTURAL PRODUCE

INTRODUCTION:   

In 2007-08, Madhya Pradesh government announced a bonus of Rs 150 above the minimum support price (MSP) per quintal of wheat.  Predictably, a large segment of farmers in the state shifted to the crop. The bonus was stopped in 2014. Farmers who had shifted production were not pleased. It fed into the resentment that would eventually erupt in widespread farmer agitations in the state this year.

PROBLEM: 

Its policies have created artificial incentives that are unsustainable, an inefficient drain on public funds, or both.

ANOTHER SCHEME BY MP GOVERNMENT: 

The Bhavantar Bhugtan Yojana will replace government procurement with compensatory payment. This will be when market prices are below the MSP. It is being implemented as a pilot scheme for eight crops

HOPE FROM THE SCHEME: The hope is that this will sidestep the implementation shortcomings of the procurement system. These extend from the lack of government storage facilities and supply chain logistics. Despite the government declaring MSPs for 25 crops, it largely procures only rice and wheat. It will be less distortionary, freeing up space for the market to set rates.

WHAT IS NEEDED?

1.       Mandi system:

With the 2003 and 2017 versions of the model Agricultural Produce Market Committee (APMC) Act, governments have attempted to liberalize this system, providing for private markets and integrated state markets.  This was a step towards a national market facilitated by the National Agriculture Market (eNAM). The problem with this is that it still operates within the mandi system. Solution: Government needs to get out of the business altogether—and that is only possible with a switch from the public distribution system to direct benefit transfers.

2.      Reforms should be aimed at inputs:

The Pradhan Mantri Krishi Sinchayee Yojana aims to extend irrigation cover to all forms and maximize water-use efficiency over a period of five years. In a water-stressed yet groundwater-dependent country like India, this is only possible with comprehensive rural electrification, allowing for techniques such as drip irrigation. The other major reform needed here is access to formal credit.  The current dependence on informal credit leaves farmers beholden to middlemen and traders who are often the credit suppliers, thus undercutting the former’s bargaining power

3.      Reforms should be reduction in number of people participating in Agriculture.

CONCLUSION: 

The agricultural sector is one of the handful where inelastic demand for the products, the deleterious public effects of supply shocks and inherent risks for suppliers mandate a government role. So, government policies should be sustainable and an efficient with less peoples participation.

Indian IAS Academy April 2017 - Current Affairs

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Indian IAS Academy April 2017 - Current Affairs

Economic Survey 2016 - 2017 for Prelims 2017

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ECONOMIC SURVEY 2016 - 2017

Indian IAS Academy March 2017 Month Current Affairs

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Indian IAS Academy March 2017 Month Current Affairs

Indian IAS Academy's April Current Affairs - 17-04-2017

1) Oxytocin – More than just a “Love Hormone”:-

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• The role of oxytocin in child birth and social behaviors such as maternal bonding and monogamy has been a focus of study for many years, recent research is exploring the hormone’s role in psychiatric conditions such as autism spectrum disorder.

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• In autism research with oxytocin therapy initially showed promising results. However, the study sizes have been small in numbers and the effects of varying doses of oxytocin on behavior has not been sufficiently investigated.

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•  According to a recent study, Oxytocin, often referred to as “the love hormone,” is involved in a broader range of social interactions than previously understood.

Facts:-

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• The new study pinpoints a unique way in which oxytocin alters activity in a part of the brain called the nucleus accumbens, which is crucial to experiencing the pleasant sensation neuroscientists call “reward.”

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• The findings not only provide validity for ongoing trials of oxytocin in autistic patients, but also suggest possible new treatments for neuropsychiatric conditions in which social activity is impaired.

Background:-

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•       Oxytocin has also been dubbed the hug hormone, cuddle chemical, moral molecule, and the bliss hormone due to its effects on behavior, including its role in love and in female reproductive biological functions in reproduction.

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•       Oxytocin is a hormone that is made in the brain, in the hypothalamus. It is transported to, and secreted by, the pituitary gland, which is located at the base of the brain.

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•       It acts both as a hormone and as a brain neurotransmitter.

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•       The release of oxytocin by the pituitary gland acts to regulate two female reproductive functions: Childbirth and Breast-feeding.

2) Telangana Cabinet clears bill to increase quotas for STs, Muslims:-

• Both the houses of Telangana Legislature have cleared a bill which increases the reservations for Scheduled Tribes and backward sections among the Muslim community in government jobs and educational institutions.

• The Telangana Backward Classes, Scheduled Castes, Scheduled Tribes (Reservation of Seats in Educational Institutions and of Appointments or Posts in the Services under the State) Bill, 2017 was cleared amid opposition from many MLAs.

Facts:-

• Under the bill, quota for STs will be increased to 10% from the existing 6%, while that for BC-E category (the backward sections among the Muslim community) will go up to 12% from the existing 4%.

• The total reservations in the state, consequently, will go up to 62% from the existing 50%.

What necessitated this move?

• The state defends its move by saying that “after the bifurcation of the combined Andhra Pradesh state, the percentage of Muslims in Telangana has gone up and 90% of them are poor and socially backward.”

Background:-

• The Sudhir Commission which was set up to take stock of the socio-economic and educational status of Muslims observed in its report that in Telangana, following the general trend across India, the proportion of Muslim employees had fallen. 

• The commission’s report observed that Muslim employees were just 7.36 per cent of the total workforce in the state.  Future action:-The reservation exceeds the Supreme Court’s 50% ceiling for such benefits. Now, the Centre has to include the bill in the 9th schedule of Constitution to grant it immunity from a judicial review.

3) Canberra keen on joining naval games:-

• Australia is keen on joining the Malabar trilateral naval exercises among India, Japan and the U.S., and has requested observer status at the upcoming edition, scheduled for July.

Background:-

• Australia had been a part of the exercises in 2007. But a sharp response from China, which saw the joint exercises as a coalition against it, put an end to the quadrilateral format.
• Japan and the U.S. are keen on expanding the games to include Australia with officials from both countries specifically stating so on various occasions. However, India has been reluctant to antagonise China.

About Malabar exercise:-

• The Malabar drills, which began in 1992 as a bilateral naval exercise between India and the U.S., has since grown in scope and complexity, acquiring considerable heft in recent times. In 2015, it was expanded into a trilateral format with the inclusion of Japan.

4) Technical textiles use in govt. projects gets push:-

• Technical textiles or functional textiles, considered a sunrise sector in the country, is all set for demand taking off for products such as geo and agro textiles
• Technical textiles is a thrust area for the Government because of the value addition involved
• It can be used in infastructure projects, including ports, roads, and railways, and in sectors such as agriculture
• Govt seeks to promote use of textile products that will improve productivity, health standards, and infrastructure

Geo textiles:-

• For example, are permeable fabrics that are used in association with soil and which have the ability to separate and filter, while agro-textiles are used in shading and in weed and insect control
• In an effort to increase use of technical textiles in Government projects, it is trying to promote interface with other ministries
• The aim is to create awareness, promote use of technical textile products, then ensure the usage is mandated in at least some areas
• Functional textiles can be woven or non-woven

Progress:- 

• Automobile, geo, medical, industrial, and agro textiles are among the range of products that are made in the country
• Foreign Direct Investments are also coming in, especially for geo textiles
• There are a large number of units that are into production of items such as non-woven carry bags or wipes too

TUFS support:- 

• The number of larger industries involved in the manufacture of various technical textile products is estimated to be about 2,500
• Close to 1,000 of these have received Technology Upgradation Fund Scheme support

Challenges:- 

• The main challenges for technical textiles in the country are awareness among consumers, need for technology and knowledge about it among entrepreneurs, the investments and time needed to be innovative and develop applications, and raw material availability.

Opportunity:- 

• China is a generation ahead in production of technical textiles. But, their costs are going up and this is an opportunity for India
• The Government should select and support entrepreneurs to be sent abroad to learn about technical textiles.

5) Election Commission seeks funds for paper trail units:-

• Chief Election Commissioner (CEC) has requested the Union Law Ministry for urgent release of funds, given the “prevailing environment,” to facilitate procurement of VVPAT (voter verifiable paper audit trail) machines for the 2019 Lok Sabha elections.

What is VVPAT?

• VVPAT stands for Voter-Verified Paper Audit Trail. VVPAT system maintains a physical trail of all votes cast. Small slips of paper records the details of the vote. The Election Commission (EC) first introduced VVPAT in the 2014 Lok Sabha elections.

How is it related to Electronic Voting Machines?

• When a vote is cast on the electronic voting machine, a small paper slip bearing the name and symbol of the candidate is generated. 
• This paper appears for about 10 seconds. The slip will then automatically fall in a sealed safe box, attached to the EVM, thus maintaining a physical paper trail of all the votes cast.

Background:-

• EC feels that with most of the political parties having declared their lack of faith in EVMs, VVPAT machines are the need of the hour.

Future Plan:-

• Over 16 lakh VVPATs would be required, at an estimated cost of ?3,174 crore, to cover all polling stations in the next Lok Sabha polls.

6) Energy: going where the wind blows:-

• For the first time, wind power installations (windmills) in the country have crossed the 5 Gigawatt mark, to reach 5,400 MW in 2016-17. The earlier record was 3,472 MW of 2015-16. The current year might see installations of 6 GW.

Significance of this expansion:-

• The Centre wants to buy electricity from wind power producers and sell it to electricity supply companies in other states, which are bound by law to buy a portion of their needs from wind and solar sources.

Background:-

• India, with 32,280 MW, has the fourth biggest capacity in the world, after China, the U.S. and Germany. The national target is 60 GW by 2022. Wind accounts for 10% of India’s total power capacity of 3.2 lakh MW; and 4% in terms of electricity produced.
• The Indian wind industry has been around since the late 1980s. For many years, it existed only in T.N., the windiest State. In the last decade, it spread to eight other States that have any wind potential — four other southern states, M.P., Maharashtra, Gujarat and Rajasthan.