The nuclear deal signed between Iran and p5+1 is proved to be a game changer. Iran got what it had always wanted, namely, an implicit right to enrich uranium for its civilian nuclear programme, and that the West got what it always wanted, namely, a guarantee that Iran would not move towards a military nuclear programme (something Iran has always denied).
Now we have to see why it is called a GAME CHANGER? In this article we will check it from the different countries point of view.
IMPORTANT FEATURE OF IRAN
At the gateway to Central Asia, Southwest Asia, West Asia, Caucasia and Europe, its unique geography has, over centuries, resulted in the extension of the Persian ethno-cultural, linguistic, religious economic and geopolitical influence into the heart of Caucasia, Central Asia and beyond.
US STANCE-Washington kept on changing its foreign policy since world war. From dollar diplomacy to oil diplomacy, from space war to cyber war and this time it is pivot to Asia. But a year after the initial pronouncements on pivot, the policy was rechristened rebalancing. It down played the military aspects of the pivot, emphasized economic cooperation and called for closer engagement with China. A Trans-Pacific Partnership (TTP) between the US and some twelve states in the region would create a free trade area. Simultaneously, the US would enhance its economic assistance and deepen its diplomatic involvement.
WHY THIS SUPEREME POWER IS COME TO NEGOTIATED WITH IRAN
* diplomatic failure in west Asia (IRAQ, AFGANISTAN, SYRIA)
* Economic crisis at home,
* losing support of European allies
* Most important emerging china factor that pushed it to focus on Asia than else.
RUSSIA STANCE- There is no doubt that Russia and China has been anti towards west policy so this time also Moscow tried to be lenient with sanctions on Iran. There is also other factors that woos Moscow.
* Iran holds a trump card, which can retain Moscows standing on top of Eurasias energy pyramid.
* Iran is the core participant of the Iran-Iraq-Syria (IIS) pipeline. The pipeline is configured to pump around 40 billion cubic meters annually, drawn mainly from Irans giant South Pars gasfield, towards Syrias Mediterranean port of Tartus, and home to a Russian base.
CHINA STANCE- it has been really balancing in its policy of anti intervention like in case of Syria. It may be more because of its fear about Xinjiang and Tibet issue. The energy starved china needs Iran support to play its card in west Asia.
Recently Irans deputy minister recommended IPIs extension to china.
Iran has become an important political actor in its region not just through a politics of sectarianism (as a political centre of Shiism) but also through its energy diplomacy and its resolute posture against US (and other Western) intervention. Iran has emerged as one of the main political forces that could provide the basis for stability. Any post-US Afghan political settlement will require Iranian involvement not only because of the close ties between western Afghanistan and Iran but also because half of Afghanistans oil comes from Iran and the pipeline agreements with Pakistan, India and central Asia would require Afghan participation. Iranian diplomacy and power will also be crucial to any policy in Syria, where the civil war has tilted in large part to favour Irans ally, the regime of Bashar al-Assad.
SAUDI ARAB AND ISRAEL STANCE- calling this agreement a big historical mistake, they are feeling the threat of nuclear hegemony.
Good news followed quite quickly after the embargo around Iran lifted. Oil prices dropped; influenced by the expectation of Iranian oil being allowed to more easily enter the world market (Indonesia hastily inked a deal to buy Iranian oil).
INDIA STANCE-Although Indias reaction to the deal is positive, it remains to be seen whether it puts India-Iran energy relations back on track. It has made it clear that bilateral trade can be enhanced if India introduced banking reforms, facilitating dollar/euro based trade. Second, the European Union is yet to take a decision on when to lift the ban on re-insurance which was the main impediment to oil shipments from Iran. Moreover, Iran has cancelled Indias proposed investment in Farzad-B oil field.
New Delhi is still looking for positive outcomes.
* Energy hope-TAPI & IPI(oil and natural gas)
* 70 km long rail line (the railroad could help India save crores of rupees in logistics to Central Asia, the 55-million-people market. central asia key resource for U)
* Both nations had then started a joint effort to increase Indias exports to Iran so that the rupee payment for oil deposited in Irans account could be gainfully utilised. India imports petroleum products worth over $10 billion from Iran.
* Development of Chah-bahar port barely 80 km away from Pakistans Gwadar port and providing access to Afghanistan (a push for the North South Corridor that will use the Bandar Abbas port for connectivity with Turkmenistan, the Caucasus and beyond).
* Improving intra-Asian security, trade and energy linkages.
* An Indian-built road from the Afghan border town of Zaranj to Afghan garland highway for providing it market.
* India has allotted $100 million for the sorting out a trilateral arrangement with Iran and Afghanistan for a customs and transit agreement.
Well by analyzing all the facts we can say it is defiantly a game changer that somehow shifts the power balance in west Asia. At least war has been temporally averted.
Now it is up to New Delhi how she plays her role in changing geopolitics.
Neha Shrivastava
SOURCES
* THE HINDU
* IDSA
* EPW
Showing posts with label Asia. Show all posts
Showing posts with label Asia. Show all posts
Monday, January 13, 2014
India's approach to Asia Pacific
India's approach to Asia Pacific
Several political, security, economic and socio-cultural factors are at play making Asia Pacific a highly dynamic region. India needs to have a long term strategy to make use of the opportunities arising in the Asia-Pacific while keeping in view the security challenges.
The Asia-Pacific is marked by the following key trends:
* rise of China;
* the rebalancing strategy of the US;
* a regional architecture underpinned by centrality of ASEAN;
* the growing importance of the Indian Ocean region and maritime issues;
* the growing salience of non-traditional security threats. .
Rise of China:
China's rise has created a flux.
* An economic giant, with a GDP of USD 7.3 trillion (2011-World Bank) & an annual military expenditure of Yuan 650 billion (approx USD 103 billion) in 2012,
* China has overtaken Japan in economic and military terms and may overtake the US economy in the next 10-20 years depending upon the growth rate differential between the two countries.
* Chinas rise is altering the balance of power globally & regionally.
* The confidence in China's peaceful rise and peaceful development has been seriously dented due to rising tensions in South China Sea and in East China Sea.
* The new leadership is nationalistic & sharply focused on Chinas core interests.
* China's rapid military modernisation and projection of its power beyond immediate neighbourhood and in the West Pacific, has raised apprehensions among its neighbours.
* It has developed a powerful navy with aircraft carriers, submarines, anti-ship missiles which is rivalling that of Japan and the US.
* China is following Anti Access Anti-Denial (A2D) strategy to deter the US from entering the island chain in the area of Chinese influence.
* The rising tide of nationalism in China has caused anxieties among neighbours.
* Chinas formulations on core interests with attendant focus on sovereignty, has created doubts in the minds of the neighbouring countries about Chinas intentions.
* China regards the South China Sea as its internal waters. This will have major impact not only in the neighbourhood but also for international shipping.
Chinas rise has also benefited the neighbours,
* particularly in the economic field. For most countries,
* China is number one trading partner. China-ASEAN trade is $ 380 billion.
* The ASEAN economies have got integrated with that of China.
* People-to-people contacts between China and its neighbours have also deepened with greater connectivity, openness and transparency.
* China is getting integrated with the regional architectures. This has increased Chinas role in regional stability.
* For instance, China has an FTA with ASEAN.
* The ASEAN countries are part of a global supply chain which passes through China to global markets. Thus the economic and social interdependence has increased.
* China is participating in RCEP negotiations. RECP will bring about a higher level of economic integration between the ASEAN, China, Japan, Australia and India.
The future is uncertain.
* Chinas economic performance is suspect and riddled with many problems.
* How long will China maintain its growth and what will be the impact of the slow-down of Chinese economy in the region will be worth studying? China presents a complex picture.
* The talk of containment of China is problematic given the growing interdependence between China and most major economies of the region.
US rebalancing strategy
* The US has been a key player in the security and economic architecture of the region.
* The biggest challenge before the US is to adjust to the rise of China.
* Having got entrapped in the highly expensive wars in Afghanistan and Iraq and having been affected by the economic slowdown, the US is in a perilous condition.= compelled to reduce its defence budget.
* Many analysts believe that the US is declining vis--vis China although it will remain a military and economic power in the foreseeable future.
* The US also has the ability to bounce back due to its vast capabilities in innovation. Yet, according to some conjectures China will overtake the US as number one economy in the next two decades.
* US has signalled a shift in its policies towards Asia. Doubts have arisen among the US allies in its ability to shore up its key military alliances in the region, for instance, with Japan, South Korea, the Philippines, Australia and Thailand. .
* In recent times the rebalancing strategy has been further elaborated by officials in Obama 2 administration. Economic and cultural dimensions of the strategy have been elaborated.
* The aim of rebalancing strategy has been defined to be the strengthening of the existing alliances, searching for new partners (India, Indonesia), forging economic partnerships (TPP) and achieving a constructive relationship with China.
* But, Beijing has taken rebalancing as an attempt to contain China.
* It clearly is suspicious of the US partnerships especially the one with India.
* The Chinese are developing their own A2D strategies to prevent the US from coming too close to the Chinese shores.
* The Chinese assertiveness in South China Sea, East China Sea and other areas are part of its strategy to keep the US away and to signal Chinese area of influence.
* The US is concerned about China but it has to avoid open confrontation.
* The US statements on China indicate the US desire to engage with China as deeply as practical.
* The strategic and economic dialogue between the two countries has been institutionalised.
* Yet, the relationship between the two countries is far from smooth. Elements of competition and confrontation are manifest in the US-China relations.
* The rest of the world is also unsure about the direction in which the US-China relationship is proceeding.
How other countries are readjusting?
It is in this shifting background that other countries are adjusting their policies.
ASEAN Region
* The ASEAN Region, traditionally a region divided by numerous internal fault lines, has sought to put its act together particularly since the 1997 Asian financial crisis.
* ASEAN countries have sought to resolve their disputes through consensus and dialogue.
* With a combined GDP of over $ 2 trillion (2011) and total trade of $ 2.4 trillion (2011), ASEAN has emerged as a formidable economic force.
* Yet stability in ASEAN is crucially dependent upon internal as well as external factors.
* China and the US factors have brought ASEAN to a crossroads. ASEAN unity is under strain.
* Vietnam and the Philippines are directly affected by China's rise.
* The South China Sea is a hotspot of tension and is likely to remain so. The mistrust between China and ASEAN is increasing because of South China Sea issues.
* The ASEAN is trying to forge an economic union by 2015.
* ASEAN+6 have Regional Comprehensive Economic Partnership (RCEP) even as the US is pushing for a Trans-Pacific Partnership (TPP) which excludes China.
* Some countries like Myanmar, Laos, Cambodia and Indonesia have doubts about joining the TPP negotiations.
Japan
* is getting revitalised.
* Japans New Defence Policy guidelines indicate that Japan is likely to devote increasing attention to recrafting its military strategy and enhancing its defence postures.
* Chinas assertiveness and North Koreas nuclear programme are serious security concerns for Japan.
* In the altered scenarios, Japan is focusing on India as a security partner.
* Prime Minister Manmohan Singhs visit to Japan got worldwide headlines as it signalled deepening of India-Japan strategic and security partnership.
* Prime Minister Abe is reported to have proposed a strategy whereby Australia, India, Japan and the US state of Hawaii form a diamond to safeguard the maritime commons stretching from the Indian Ocean region to the Western Pacific I am prepared to invest to the greater possible extent, Japans capabilities in this security diamond.
* The Indian Prime Minister spoke of India and Japan as natural and indispensable partners fora peaceful, stable, cooperative and prosperous future for the Asia Pacific and Indian Ocean regions.
* Clearly, India-Japan relations are important in the context of peace and stability in Asia Pacific.
Australia
* It would be useful to see how Australia is adjusting to the rise of China.
* Australia sees opportunities for itself in the so-called Asian Century.
* It welcomes the rise of China and accepts its military growth as natural.
* Australia is pulling out all stops to deepen its relations with China at every level.
* At the same time, Australia is also hedging against China by building its own defence capabilities and supporting US rebalancing & pivoting to the Asia Pacific.
* It is seeking partnerships with India, Japan and South Korea.
* In particular, Australia takes note of Indias growing strategic weight in the region and assigns special importance to India in the context of Indo-Pacific.
* It regards Indian and pacific oceans as one strategic arch.
* India needs to deepen its relations with Australia, particularly in the context of Australias emergence as a major supplier of coal and possibly uranium in the future. Australia is also helping India in education and skill developments.
South Korea
* South Korea faces a volatile security environment, particularly in the context of North Koreas nuclear and missile programme and its unpredictable behaviour.
* South Koreans pay major emphasis on the protection of the sea lanes of communication in the East Asian region and seek cooperation with India in this regard.
* They also take note of Chinese hegemonic outlook in the region.
* While maintaining close ties with India, the Cheonan incident and Yeon Pyieng Island shelling in 2010 have highlighted the increasing military trend in that area.
* The RoKs realise heavily on international maritime lanes and shipping.
* The South Koreans also want maritime cooperation with India such as joint naval exercises.
Opportunities for India
* Strong strategic relationship with Japan is in Indias favour.
* India has strategic partnerships with the US, Japan, South Korea and Australia. These countries want to have closer security cooperation particularly in the maritime sector.
* India-Japan-US trilateral dialogue should focus on Asia-Pacific issues including security cooperation. These partnerships would promote stability in the region.
* China should realise that India has legitimate interests in the region.
* What should be Indias long term strategy in Asia-Pacific? With the shift of centre of gravity to the Asia-Pacific region, India must seek a role in the shaping of political, economic, social and security process in the region.
* Not doing so could adversely affect Indias interests.
* Indias strategy should be to seek deeper engagement & economic integration with the Asia-Pacific region.
* India should be particularly engaged in the security dialogues and processes in the region.
* India enjoys high credibility in ASEAN and East Asia. India and ASEAN have raised their partnership to strategic level. The challenge is to deepen it further.
* The ASEAN-India Commemorate Summit Vision Statement has identified a number of projects for cooperation in the fields of political and security, economic, socio-cultural and developmental, connectivity in regional architecture.
* Earlier, the ASEAN-India Eminent Persons Report (2013) had identified even a larger spread of projects for cooperation. Thus, there is no dearth of ideas.
* However, what is required is the identification of resources, establishment of institutional framework, monitoring mechanisms, coordination etc. to ensure a timely implementation of these projects.
* The next big trend in ASEAN region will be ASEAN economic union & RCEP. = open up opportunities for India.
* The success of ASEAN-India cooperation will depend upon how rapidly the two sides move towards economic integration through FTA in services and in future through RCEP.
* The connectivity between ASEAN and India has been talked about for a long time but the progress has been slow.
* Similarly, the regional cooperation, particularly within the framework of BIMSTEC and Ganga-Mekong Cooperation, the Trilateral Highway etc. has also been slow. The two sides need to focus on implementation issues.
* One of the weaknesses of Indias Look East Policy has been the relatively less involvement of Indias North East in it. = addressed urgently
* The benefits of the Look East Policy, particularly, the increased trade, better connectivity, greater socio-cultural links, cooperation in the area of capacity building, education, youth etc. must be felt by the people of North East, who are otherwise sceptical of the LEP.
* Therefore, it is essential that the governments in the North East and the social and cultural institutions in the region should be involved in the formulation and implementation of India-ASEAN policies.
* For instance, an India-ASEAN cultural centre could be set up in Guwahati.
* Similarly, Imphal could host an India-ASEAN sports academy.
* A study of local cultures can be undertaken through an NE university.
* A special programme can be designed for capacity building targeting the youth of the North-East.
* Trade facilitation centres encouraging trade between the North-East and the South-East Asia could be set up in the North-East.
* The government could also consider setting up the branches of these institutions in the North-East.
* Andaman and Nicobar Islands should be brought into the framework of India-ASEAN relations.
* Giving due consideration to the concerns of the tribes, it is possible to develop some of the islands, particularly, in Nicobar, for tourism.
* Nicobari youth are keen to take to modernism. Scholarships for A&N youth could be provided to make them a stakeholder.
* In terms of trade linkages the Dawei port offers numerous opportunities.
* India and Thailand agreed to develop Chennai-Dawei corridor project. Dawei is a city in southeastern Myanmar and is capital of Tanintharyi Region.
* Myanmar government has already approved plans to develop a large port and industrial estate in Dawei with the Italian-Thai Development Public Company Limited (ITD) as a major contractor
* People-to-people connectivity needs to be improved. But this will require liberations of the visa regime between India & ASEAN countries.
* India needs to pay special attention to Myanmar, Thailand, Vietnam, Indonesia and Singapore on bilateral level. These countries can help India in raising Indian regional profile.
* Additionally, India needs to focus on Indian Ocean issues and those of Ocean governance.
* India needs to take active role in the shaping of the agenda of IOR-ARC. In recent times the Australians and the Japanese have talked about the concept of Indo-Pacific.
Northern Sea Route: Humming with Activity
* The Northern Sea Route runs along the northern coast of Russia from Bering Strait in the west to Novaya Zemlaya in the East for about five thousand kilometres and is described as follows:
Where?
The aquatic space adjacent to the northern coast of the Russian Federation, covering internal waters, territorial sea, the contiguous zone and the exclusive economic zone of the Russian Federation and bounded by division lines across maritime areas with the United States and the parallel Cape Dezhnev in the Bering Strait, west meridian of the Cape of Desire to the Novaya Zemlya archipelago, eastern coastline of the Novaya Zemlya archipelago, and the western boundaries of the Matochkin, Kara, and Yugorsky Straits.
* China and Japan are positioning themselves to take advantage of the opening of the Northern Sea Route (NSR). Presently, the Chinese shipping company COSCOs container ship is transiting through the NSR carrying exports from a Chinese port to Europe.
* Japan is also alive to the benefits from the NSR.
* Last year the Russian gas company GAZPROM delivered a consignment of liquefied natural gas to Japan using the NSR during November 9-18.
* The LNG ship Ob River travelled from Hammerfest in Norway to Tobata port in Japan safely in a matter of ten days.
* Why? =The rapid melting of the Arctic Sea ice due to global warming has led to the opening of the NSR. The passage is open for ships during the summer season up to four months.
* This year transit may be possible even for up to six months.
* From Rotterdam in Netherlands to Dalian in China, the time of passage will be about 35 days through the NSR as compared to 48 days through the Suez Canal. = considerable saving of time and fuel costs.
Russia and NSR
* Russia has now complete control over the NSR.
* A new agency called the Northern Sea Route Administration (NSRA) has been set up in Moscow.
* This new state agency will decide tariffs and regulations for passage of ships, consider applications from ship owners and give or refuse permissions.
* Its remit includes providing ice-breakers and pilotage, information regarding weather and ice conditions.
* The organisation will also do hydrographical surveys, arrange for search and rescue operations, and prevent pollution along the sea route including oil spills, etc. . .
geopolitical importance of the NSR will be immense. As
* minerals can now be transported from Europe to Asia Pacific and goods from China are now being exported to Europe.
* Super tankers have already made successful passage through the route.
* Russia is already using the route to bring development and prosperity to the North by linking the NSR with the rest of Russia through railway lines.
* The Russian rail and road network will link the northern sea route to Central Asia.
* Russia will emerge as a major beneficiary of the opening of the NSR.
challenges too.
* The route is still hazardous and expensive.
* There are uncertainties regarding ice formation and weather trends. What if the ice melt trend reverses itself?
* The investment in the mineral exploration and shipping is fraught with high risk.
* Russia will have to invest a lot in infrastructure to provide connectivity with the hinterland.
* Shortening of the distance and time from Europe to Asia through the Northern Sea Route will lead to the saving of fuel and on the emissions of carbon dioxide. But, there is a significant downside too. T
* the partially burnt fuel leaves black carbon soot deposits on the ice which is a climate change enforcer.
* Arctic Council is concerned about black carbon deposits and wants these to be monitored.
* Despite these uncertainties, the emerging trends indicate that the route has become technically viable. If the melting of the ice continues, NSR will become even a busier place.
What is Asian security diamond as proposed by Japanese Prime Minister Shinzo Abe?
* Actually, it is Democratic Security Diamond which Shinzo Abe had mooted just before he took over as prime minister in December 2012.
* He envisaged a strategy whereby Australia, India, Japan, the US state of Hawai form a diamond to safeguard maritime commons stretching from Indian Ocean to the Western Pacific.
* If you put a dot on a map against the countries and the region identified by Abe and connect them with each other, it will look like a diamond. That is why it is called as security diamond.
* During his previous stint as prime minister (2006-07), he had envisaged an Arc of Freedom and Prosperity, a multilateral framework consisting of Australia, India, Japan and the US.
* However, it could not materialise as Abe resigned owing to health reasons and plummeting public approval rating of his cabinet.
* It is a known fact that Japan, which does not have a full fledged military and has legal restrictions on use of force by its Self Defence Forces, has long been dependent on the US for its security.
* However, as the US went to Afghanistan and Iraq and remained preoccupied for years together, its focus shifted away from the Asia Pacific countries including Japan.
* Japan believes that with the rise of China, there has been a relative decline in the US power. Therefore, it wants to complement the US-Japan security alliance by signing partnership agreements with other democratic countries in Asia.
* The idea is to fill in the security void due to declining American influence in the region.
* such a security network is primarily aimed at securing the global commons.
* This proposal may have been mooted at a time when the US was pre-occupied with wars in other parts of the world, but now it is re-committing its troops to the Asia Pacific as part of its pivot to Asia policy in which Japan remains the key player.
* So, in the present scenario, it is unlikely that the idea of forging Democratic Security Diamond will take off.
What is the current status of India-Sri Lanka relations especially in view of the outcome of the elections in the Northern Province?
* The historic northern provincial council elections were held on September 21, 2013. In this election, the Tamil National Alliance (TNA) won 30 out of 38 seats.
* It is being speculated that despite its overwhelming victory, the TNA is going to face many challenges in the council to deliver on the commitments made to the people during its election campaign. A
* ttempts to weaken or even eliminate the provincial council through constitutional changes too cannot be ruled out.
* Though India had expressed its satisfaction on the conduct of the northern provincial council elections, it remains wary of the fact that the Sri Lankan Government is yet to implement various other commitments made to the international community, including the full implementation of the 13th Amendment.
* Though Indian prime ministers decision not to attend the 23rd Commonwealth Heads of Government Meeting (CHOGM) in Colombo could be disappointing for the Mahinda Rajapaksa Government, it is too early to assess its likely impact on the Indo-Sri Lanka relations.
* Meanwhile, it is also important to take note of the developments in the Indo-Lanka relations immediately after the provincial council elections.
* Indian External Affairs Minister Salman Khurshid had made a two-day official visit to Sri Lanka on October 7- 8, 2013., (MoU) for technical assistance in support of the 10-year National Plan for a Trilingual Sri Lanka, and eight agreements related to construction of Sampur coal power plant in Trincomalee District, were signed.
* Khurshid also visited Jaffna and distributed certificates to some of the beneficiaries of the Second Indian Housing Project, whereby houses are being constructed with the grant provided by the Indian Government amounting to INR 2,30,000 per house.
* He also distributed certificates to some of the beneficiaries of small business enterprises which were destroyed during the war.
* The issue of fishermen continue to pose a major challenge for the India-Sri Lanka relations.
* In 2011, two Indian fishermen were killed by the Sri Lanka Navy. Though no Indian fishermen have been killed since then, but several of them have been arrested and continue to be detained in Sri Lankan jails.
* In recent times, Sri Lanka has moved away from its earlier catch and release approach and has adopted the method of detaining and producing the fishermen in the court.
* Under the new method, the fishermen will be released only after they plead guilty and their boats will be confiscated.
* 23rd International Maritime Boundary Line (IMBL) Meeting on November 1, 2013.
* the Navy officials of the two countries also discussed several other issues of bilateral concern like smuggling of narcotics across the IMBL and strengthening of the maritime security in the area.
* SLINEX 2013: in order to enhance the capability of maritime interdiction operations through Visit Board Search and Seize (VBSS) operations, Search and Rescue (SAR) demonstrations, asymmetric threat exercises and helicopter operations, the Joint Indo-Lanka Maritime Fleet Exercise was held in the seas off Goa during November 4-8, 2013.
Sunil Reddy
reference: idsa.in
Several political, security, economic and socio-cultural factors are at play making Asia Pacific a highly dynamic region. India needs to have a long term strategy to make use of the opportunities arising in the Asia-Pacific while keeping in view the security challenges.
The Asia-Pacific is marked by the following key trends:
* rise of China;
* the rebalancing strategy of the US;
* a regional architecture underpinned by centrality of ASEAN;
* the growing importance of the Indian Ocean region and maritime issues;
* the growing salience of non-traditional security threats. .
Rise of China:
China's rise has created a flux.
* An economic giant, with a GDP of USD 7.3 trillion (2011-World Bank) & an annual military expenditure of Yuan 650 billion (approx USD 103 billion) in 2012,
* China has overtaken Japan in economic and military terms and may overtake the US economy in the next 10-20 years depending upon the growth rate differential between the two countries.
* Chinas rise is altering the balance of power globally & regionally.
* The confidence in China's peaceful rise and peaceful development has been seriously dented due to rising tensions in South China Sea and in East China Sea.
* The new leadership is nationalistic & sharply focused on Chinas core interests.
* China's rapid military modernisation and projection of its power beyond immediate neighbourhood and in the West Pacific, has raised apprehensions among its neighbours.
* It has developed a powerful navy with aircraft carriers, submarines, anti-ship missiles which is rivalling that of Japan and the US.
* China is following Anti Access Anti-Denial (A2D) strategy to deter the US from entering the island chain in the area of Chinese influence.
* The rising tide of nationalism in China has caused anxieties among neighbours.
* Chinas formulations on core interests with attendant focus on sovereignty, has created doubts in the minds of the neighbouring countries about Chinas intentions.
* China regards the South China Sea as its internal waters. This will have major impact not only in the neighbourhood but also for international shipping.
Chinas rise has also benefited the neighbours,
* particularly in the economic field. For most countries,
* China is number one trading partner. China-ASEAN trade is $ 380 billion.
* The ASEAN economies have got integrated with that of China.
* People-to-people contacts between China and its neighbours have also deepened with greater connectivity, openness and transparency.
* China is getting integrated with the regional architectures. This has increased Chinas role in regional stability.
* For instance, China has an FTA with ASEAN.
* The ASEAN countries are part of a global supply chain which passes through China to global markets. Thus the economic and social interdependence has increased.
* China is participating in RCEP negotiations. RECP will bring about a higher level of economic integration between the ASEAN, China, Japan, Australia and India.
The future is uncertain.
* Chinas economic performance is suspect and riddled with many problems.
* How long will China maintain its growth and what will be the impact of the slow-down of Chinese economy in the region will be worth studying? China presents a complex picture.
* The talk of containment of China is problematic given the growing interdependence between China and most major economies of the region.
US rebalancing strategy
* The US has been a key player in the security and economic architecture of the region.
* The biggest challenge before the US is to adjust to the rise of China.
* Having got entrapped in the highly expensive wars in Afghanistan and Iraq and having been affected by the economic slowdown, the US is in a perilous condition.= compelled to reduce its defence budget.
* Many analysts believe that the US is declining vis--vis China although it will remain a military and economic power in the foreseeable future.
* The US also has the ability to bounce back due to its vast capabilities in innovation. Yet, according to some conjectures China will overtake the US as number one economy in the next two decades.
* US has signalled a shift in its policies towards Asia. Doubts have arisen among the US allies in its ability to shore up its key military alliances in the region, for instance, with Japan, South Korea, the Philippines, Australia and Thailand. .
* In recent times the rebalancing strategy has been further elaborated by officials in Obama 2 administration. Economic and cultural dimensions of the strategy have been elaborated.
* The aim of rebalancing strategy has been defined to be the strengthening of the existing alliances, searching for new partners (India, Indonesia), forging economic partnerships (TPP) and achieving a constructive relationship with China.
* But, Beijing has taken rebalancing as an attempt to contain China.
* It clearly is suspicious of the US partnerships especially the one with India.
* The Chinese are developing their own A2D strategies to prevent the US from coming too close to the Chinese shores.
* The Chinese assertiveness in South China Sea, East China Sea and other areas are part of its strategy to keep the US away and to signal Chinese area of influence.
* The US is concerned about China but it has to avoid open confrontation.
* The US statements on China indicate the US desire to engage with China as deeply as practical.
* The strategic and economic dialogue between the two countries has been institutionalised.
* Yet, the relationship between the two countries is far from smooth. Elements of competition and confrontation are manifest in the US-China relations.
* The rest of the world is also unsure about the direction in which the US-China relationship is proceeding.
How other countries are readjusting?
It is in this shifting background that other countries are adjusting their policies.
ASEAN Region
* The ASEAN Region, traditionally a region divided by numerous internal fault lines, has sought to put its act together particularly since the 1997 Asian financial crisis.
* ASEAN countries have sought to resolve their disputes through consensus and dialogue.
* With a combined GDP of over $ 2 trillion (2011) and total trade of $ 2.4 trillion (2011), ASEAN has emerged as a formidable economic force.
* Yet stability in ASEAN is crucially dependent upon internal as well as external factors.
* China and the US factors have brought ASEAN to a crossroads. ASEAN unity is under strain.
* Vietnam and the Philippines are directly affected by China's rise.
* The South China Sea is a hotspot of tension and is likely to remain so. The mistrust between China and ASEAN is increasing because of South China Sea issues.
* The ASEAN is trying to forge an economic union by 2015.
* ASEAN+6 have Regional Comprehensive Economic Partnership (RCEP) even as the US is pushing for a Trans-Pacific Partnership (TPP) which excludes China.
* Some countries like Myanmar, Laos, Cambodia and Indonesia have doubts about joining the TPP negotiations.
Japan
* is getting revitalised.
* Japans New Defence Policy guidelines indicate that Japan is likely to devote increasing attention to recrafting its military strategy and enhancing its defence postures.
* Chinas assertiveness and North Koreas nuclear programme are serious security concerns for Japan.
* In the altered scenarios, Japan is focusing on India as a security partner.
* Prime Minister Manmohan Singhs visit to Japan got worldwide headlines as it signalled deepening of India-Japan strategic and security partnership.
* Prime Minister Abe is reported to have proposed a strategy whereby Australia, India, Japan and the US state of Hawaii form a diamond to safeguard the maritime commons stretching from the Indian Ocean region to the Western Pacific I am prepared to invest to the greater possible extent, Japans capabilities in this security diamond.
* The Indian Prime Minister spoke of India and Japan as natural and indispensable partners fora peaceful, stable, cooperative and prosperous future for the Asia Pacific and Indian Ocean regions.
* Clearly, India-Japan relations are important in the context of peace and stability in Asia Pacific.
Australia
* It would be useful to see how Australia is adjusting to the rise of China.
* Australia sees opportunities for itself in the so-called Asian Century.
* It welcomes the rise of China and accepts its military growth as natural.
* Australia is pulling out all stops to deepen its relations with China at every level.
* At the same time, Australia is also hedging against China by building its own defence capabilities and supporting US rebalancing & pivoting to the Asia Pacific.
* It is seeking partnerships with India, Japan and South Korea.
* In particular, Australia takes note of Indias growing strategic weight in the region and assigns special importance to India in the context of Indo-Pacific.
* It regards Indian and pacific oceans as one strategic arch.
* India needs to deepen its relations with Australia, particularly in the context of Australias emergence as a major supplier of coal and possibly uranium in the future. Australia is also helping India in education and skill developments.
South Korea
* South Korea faces a volatile security environment, particularly in the context of North Koreas nuclear and missile programme and its unpredictable behaviour.
* South Koreans pay major emphasis on the protection of the sea lanes of communication in the East Asian region and seek cooperation with India in this regard.
* They also take note of Chinese hegemonic outlook in the region.
* While maintaining close ties with India, the Cheonan incident and Yeon Pyieng Island shelling in 2010 have highlighted the increasing military trend in that area.
* The RoKs realise heavily on international maritime lanes and shipping.
* The South Koreans also want maritime cooperation with India such as joint naval exercises.
Opportunities for India
* Strong strategic relationship with Japan is in Indias favour.
* India has strategic partnerships with the US, Japan, South Korea and Australia. These countries want to have closer security cooperation particularly in the maritime sector.
* India-Japan-US trilateral dialogue should focus on Asia-Pacific issues including security cooperation. These partnerships would promote stability in the region.
* China should realise that India has legitimate interests in the region.
* What should be Indias long term strategy in Asia-Pacific? With the shift of centre of gravity to the Asia-Pacific region, India must seek a role in the shaping of political, economic, social and security process in the region.
* Not doing so could adversely affect Indias interests.
* Indias strategy should be to seek deeper engagement & economic integration with the Asia-Pacific region.
* India should be particularly engaged in the security dialogues and processes in the region.
* India enjoys high credibility in ASEAN and East Asia. India and ASEAN have raised their partnership to strategic level. The challenge is to deepen it further.
* The ASEAN-India Commemorate Summit Vision Statement has identified a number of projects for cooperation in the fields of political and security, economic, socio-cultural and developmental, connectivity in regional architecture.
* Earlier, the ASEAN-India Eminent Persons Report (2013) had identified even a larger spread of projects for cooperation. Thus, there is no dearth of ideas.
* However, what is required is the identification of resources, establishment of institutional framework, monitoring mechanisms, coordination etc. to ensure a timely implementation of these projects.
* The next big trend in ASEAN region will be ASEAN economic union & RCEP. = open up opportunities for India.
* The success of ASEAN-India cooperation will depend upon how rapidly the two sides move towards economic integration through FTA in services and in future through RCEP.
* The connectivity between ASEAN and India has been talked about for a long time but the progress has been slow.
* Similarly, the regional cooperation, particularly within the framework of BIMSTEC and Ganga-Mekong Cooperation, the Trilateral Highway etc. has also been slow. The two sides need to focus on implementation issues.
* One of the weaknesses of Indias Look East Policy has been the relatively less involvement of Indias North East in it. = addressed urgently
* The benefits of the Look East Policy, particularly, the increased trade, better connectivity, greater socio-cultural links, cooperation in the area of capacity building, education, youth etc. must be felt by the people of North East, who are otherwise sceptical of the LEP.
* Therefore, it is essential that the governments in the North East and the social and cultural institutions in the region should be involved in the formulation and implementation of India-ASEAN policies.
* For instance, an India-ASEAN cultural centre could be set up in Guwahati.
* Similarly, Imphal could host an India-ASEAN sports academy.
* A study of local cultures can be undertaken through an NE university.
* A special programme can be designed for capacity building targeting the youth of the North-East.
* Trade facilitation centres encouraging trade between the North-East and the South-East Asia could be set up in the North-East.
* The government could also consider setting up the branches of these institutions in the North-East.
* Andaman and Nicobar Islands should be brought into the framework of India-ASEAN relations.
* Giving due consideration to the concerns of the tribes, it is possible to develop some of the islands, particularly, in Nicobar, for tourism.
* Nicobari youth are keen to take to modernism. Scholarships for A&N youth could be provided to make them a stakeholder.
* In terms of trade linkages the Dawei port offers numerous opportunities.
* India and Thailand agreed to develop Chennai-Dawei corridor project. Dawei is a city in southeastern Myanmar and is capital of Tanintharyi Region.
* Myanmar government has already approved plans to develop a large port and industrial estate in Dawei with the Italian-Thai Development Public Company Limited (ITD) as a major contractor
* People-to-people connectivity needs to be improved. But this will require liberations of the visa regime between India & ASEAN countries.
* India needs to pay special attention to Myanmar, Thailand, Vietnam, Indonesia and Singapore on bilateral level. These countries can help India in raising Indian regional profile.
* Additionally, India needs to focus on Indian Ocean issues and those of Ocean governance.
* India needs to take active role in the shaping of the agenda of IOR-ARC. In recent times the Australians and the Japanese have talked about the concept of Indo-Pacific.
Northern Sea Route: Humming with Activity
* The Northern Sea Route runs along the northern coast of Russia from Bering Strait in the west to Novaya Zemlaya in the East for about five thousand kilometres and is described as follows:
Where?
The aquatic space adjacent to the northern coast of the Russian Federation, covering internal waters, territorial sea, the contiguous zone and the exclusive economic zone of the Russian Federation and bounded by division lines across maritime areas with the United States and the parallel Cape Dezhnev in the Bering Strait, west meridian of the Cape of Desire to the Novaya Zemlya archipelago, eastern coastline of the Novaya Zemlya archipelago, and the western boundaries of the Matochkin, Kara, and Yugorsky Straits.
* China and Japan are positioning themselves to take advantage of the opening of the Northern Sea Route (NSR). Presently, the Chinese shipping company COSCOs container ship is transiting through the NSR carrying exports from a Chinese port to Europe.
* Japan is also alive to the benefits from the NSR.
* Last year the Russian gas company GAZPROM delivered a consignment of liquefied natural gas to Japan using the NSR during November 9-18.
* The LNG ship Ob River travelled from Hammerfest in Norway to Tobata port in Japan safely in a matter of ten days.
* Why? =The rapid melting of the Arctic Sea ice due to global warming has led to the opening of the NSR. The passage is open for ships during the summer season up to four months.
* This year transit may be possible even for up to six months.
* From Rotterdam in Netherlands to Dalian in China, the time of passage will be about 35 days through the NSR as compared to 48 days through the Suez Canal. = considerable saving of time and fuel costs.
Russia and NSR
* Russia has now complete control over the NSR.
* A new agency called the Northern Sea Route Administration (NSRA) has been set up in Moscow.
* This new state agency will decide tariffs and regulations for passage of ships, consider applications from ship owners and give or refuse permissions.
* Its remit includes providing ice-breakers and pilotage, information regarding weather and ice conditions.
* The organisation will also do hydrographical surveys, arrange for search and rescue operations, and prevent pollution along the sea route including oil spills, etc. . .
geopolitical importance of the NSR will be immense. As
* minerals can now be transported from Europe to Asia Pacific and goods from China are now being exported to Europe.
* Super tankers have already made successful passage through the route.
* Russia is already using the route to bring development and prosperity to the North by linking the NSR with the rest of Russia through railway lines.
* The Russian rail and road network will link the northern sea route to Central Asia.
* Russia will emerge as a major beneficiary of the opening of the NSR.
challenges too.
* The route is still hazardous and expensive.
* There are uncertainties regarding ice formation and weather trends. What if the ice melt trend reverses itself?
* The investment in the mineral exploration and shipping is fraught with high risk.
* Russia will have to invest a lot in infrastructure to provide connectivity with the hinterland.
* Shortening of the distance and time from Europe to Asia through the Northern Sea Route will lead to the saving of fuel and on the emissions of carbon dioxide. But, there is a significant downside too. T
* the partially burnt fuel leaves black carbon soot deposits on the ice which is a climate change enforcer.
* Arctic Council is concerned about black carbon deposits and wants these to be monitored.
* Despite these uncertainties, the emerging trends indicate that the route has become technically viable. If the melting of the ice continues, NSR will become even a busier place.
What is Asian security diamond as proposed by Japanese Prime Minister Shinzo Abe?
* Actually, it is Democratic Security Diamond which Shinzo Abe had mooted just before he took over as prime minister in December 2012.
* He envisaged a strategy whereby Australia, India, Japan, the US state of Hawai form a diamond to safeguard maritime commons stretching from Indian Ocean to the Western Pacific.
* If you put a dot on a map against the countries and the region identified by Abe and connect them with each other, it will look like a diamond. That is why it is called as security diamond.
* During his previous stint as prime minister (2006-07), he had envisaged an Arc of Freedom and Prosperity, a multilateral framework consisting of Australia, India, Japan and the US.
* However, it could not materialise as Abe resigned owing to health reasons and plummeting public approval rating of his cabinet.
* It is a known fact that Japan, which does not have a full fledged military and has legal restrictions on use of force by its Self Defence Forces, has long been dependent on the US for its security.
* However, as the US went to Afghanistan and Iraq and remained preoccupied for years together, its focus shifted away from the Asia Pacific countries including Japan.
* Japan believes that with the rise of China, there has been a relative decline in the US power. Therefore, it wants to complement the US-Japan security alliance by signing partnership agreements with other democratic countries in Asia.
* The idea is to fill in the security void due to declining American influence in the region.
* such a security network is primarily aimed at securing the global commons.
* This proposal may have been mooted at a time when the US was pre-occupied with wars in other parts of the world, but now it is re-committing its troops to the Asia Pacific as part of its pivot to Asia policy in which Japan remains the key player.
* So, in the present scenario, it is unlikely that the idea of forging Democratic Security Diamond will take off.
What is the current status of India-Sri Lanka relations especially in view of the outcome of the elections in the Northern Province?
* The historic northern provincial council elections were held on September 21, 2013. In this election, the Tamil National Alliance (TNA) won 30 out of 38 seats.
* It is being speculated that despite its overwhelming victory, the TNA is going to face many challenges in the council to deliver on the commitments made to the people during its election campaign. A
* ttempts to weaken or even eliminate the provincial council through constitutional changes too cannot be ruled out.
* Though India had expressed its satisfaction on the conduct of the northern provincial council elections, it remains wary of the fact that the Sri Lankan Government is yet to implement various other commitments made to the international community, including the full implementation of the 13th Amendment.
* Though Indian prime ministers decision not to attend the 23rd Commonwealth Heads of Government Meeting (CHOGM) in Colombo could be disappointing for the Mahinda Rajapaksa Government, it is too early to assess its likely impact on the Indo-Sri Lanka relations.
* Meanwhile, it is also important to take note of the developments in the Indo-Lanka relations immediately after the provincial council elections.
* Indian External Affairs Minister Salman Khurshid had made a two-day official visit to Sri Lanka on October 7- 8, 2013., (MoU) for technical assistance in support of the 10-year National Plan for a Trilingual Sri Lanka, and eight agreements related to construction of Sampur coal power plant in Trincomalee District, were signed.
* Khurshid also visited Jaffna and distributed certificates to some of the beneficiaries of the Second Indian Housing Project, whereby houses are being constructed with the grant provided by the Indian Government amounting to INR 2,30,000 per house.
* He also distributed certificates to some of the beneficiaries of small business enterprises which were destroyed during the war.
* The issue of fishermen continue to pose a major challenge for the India-Sri Lanka relations.
* In 2011, two Indian fishermen were killed by the Sri Lanka Navy. Though no Indian fishermen have been killed since then, but several of them have been arrested and continue to be detained in Sri Lankan jails.
* In recent times, Sri Lanka has moved away from its earlier catch and release approach and has adopted the method of detaining and producing the fishermen in the court.
* Under the new method, the fishermen will be released only after they plead guilty and their boats will be confiscated.
* 23rd International Maritime Boundary Line (IMBL) Meeting on November 1, 2013.
* the Navy officials of the two countries also discussed several other issues of bilateral concern like smuggling of narcotics across the IMBL and strengthening of the maritime security in the area.
* SLINEX 2013: in order to enhance the capability of maritime interdiction operations through Visit Board Search and Seize (VBSS) operations, Search and Rescue (SAR) demonstrations, asymmetric threat exercises and helicopter operations, the Joint Indo-Lanka Maritime Fleet Exercise was held in the seas off Goa during November 4-8, 2013.
Sunil Reddy
reference: idsa.in
Bilateral, Regional & Global groupings and agreements involving India &
Bilateral, Regional & Global groupings and agreements involving India & Indias Interests
S. No.Groupings and AgreementsEstablished onParticiapting CountriesMain Aim
1Look East Policystarted in 1992healthy relations with south east asian nationsto cultivate economic and strategic relations and to counterweight strategic influence of PRC(Peoples Republic of China)
2BIMSTEC (Bay of Bengal Initiative for Muti-Sectoral Technical and Economic Co-operation)Formed in 1997(Bangladesh, India Myanmar, Sri Lanka, Thailand, Bhutan & Nepal)13 priority sectors leading to cooperation i.e trade & Investment , energy, tourism, tech, fisheries, public health, poverty alleviation , culture, Environment natural disaster management, counter terrorism, Transport & Comm, People to people contact
3Mekong- Ganga Cooperation(MGC)Estb. in 2000India, Thailand, Myanmar, Combodia, Loas & Vietnamonly 4 areas; tourism, transport, education & culture
4East Asia Summitformed in 16th dec, 2005forum of 16 countries in east asian region held annuallyTRADE is main focus, regional integration and energy also; Trade and the comprehensive economic partnership in east Asia(CEPEA); total nos of summit is 7; last is 7th at Cambodia 2012
5NSSP-> Next steps in strategic partnershipstarted in jan 2004India & USnuclear, defense technology, export control & space
6South South CooperationLate 90sMajor South Countriestechnology and knowledge between Least Developed Countries (LDC)
7IBSA Dialogue ForumEstablished in 2003 after brasilia declaration. India, Brazil & South Africatripartite grouping to promote international cooperation (agri,trade, culture & defense) among the countries and also promotes South-South Cooperation
8BRICSstarted in 2006Brazil, Russia, India, China & South Africaall are developing or newly industrialized countries; 4th summit in NEW DELHI & 5th in Durban, South Africa (March, 2013);
9SAARC (South Asian Association of Regional CooperationIndia, Bhutan, Sri Lanka, Maldives, Nepal, Pakistan, Bangladesh & Afghanistan{joined in 2007};formed on 8th Dec, 1985; total members 8(7 founding + 1);HQ at Kathmandu, Nepal; AIM- for the same as above i.e. Economical, social, cultural and technological etc.
10SAFTA (South Asian Free Trade Agreement At 12th summit of SAARC, 2004it was agreed for free trade in SAARC countries.
11Group o$ Eigth plus Five(G8+5);group of Eight heads of Govt + Five of emerging economies i.e Brazil, India, China, South Africa, Mexicofoundation year 2005; Main Indicator; ECONOMY
12G4 Nations->Brazil, Japan, India, Germany Supporting each other for permanent seat in UNSC.
13Asian Development Bank (ADB);Serving in ASIA & Pacific formed in 1966; total Members; 67 HQ- Philippines; fighting poverty in Asia & Pacific;For India & Pakistan - Helped in micro finance support in Private enterprise
14G-20Group of Twenty Finance Ministers and Central Bank Governors ; 19+ European1998; Recent Meeting- 8th at St. Petersburg, Russia in September, 2013To bring together systematically important industrialized and developing economies to address key global issues.
15NAM (Non Align Movement)group of nations which are not formally aligned or against the Power Blocfounded in Belgrade in 196116th NAM Summit took place in Tehran, Iran in Aug; term NON ALIGN was coined by V. K. Krishna Menon; Basic principles of Panchsheel (Five principles of peaceful co-existence, Indo-Sino Relations ) are the pillars of NAM
16123 AgreementUS & All Countries an agreement for cooperation as a prerequisite for nuclear deals between the US and any other nation
17Indo US Nuclear DealIndia & USJuly 2005Indias all nuclear activities will be under IAEA safeguards and US will work for civil nuclear cooperation
18DDA (Doha Development Round)b/w Developed countries & Developing Countriestrade negotiation round of WTO in 2001; its main objective is to lower trade barriers around the world to promote trade
19Most Favoured Nation (MFN)Can be anyone.In international politics & economic relations, a country gives a status of Most Favoured Nation which gives trade advantage (low barrier & high import quotas) to another country. India has given MFN status to Vietnam & Paksitan but Pakistan is still thinking to give India.
* India may get entry in Nuclear Supplier Group, Wassenaar Agreement, Australia Group & Missile Technology Control Regime by the help of Barack Obama announcement.
Name: Aditya Prasad
References- 1)http://en.wikipedia.org/wiki/Main_Page
2)World Focus Magazine
3) Google
S. No.Groupings and AgreementsEstablished onParticiapting CountriesMain Aim
1Look East Policystarted in 1992healthy relations with south east asian nationsto cultivate economic and strategic relations and to counterweight strategic influence of PRC(Peoples Republic of China)
2BIMSTEC (Bay of Bengal Initiative for Muti-Sectoral Technical and Economic Co-operation)Formed in 1997(Bangladesh, India Myanmar, Sri Lanka, Thailand, Bhutan & Nepal)13 priority sectors leading to cooperation i.e trade & Investment , energy, tourism, tech, fisheries, public health, poverty alleviation , culture, Environment natural disaster management, counter terrorism, Transport & Comm, People to people contact
3Mekong- Ganga Cooperation(MGC)Estb. in 2000India, Thailand, Myanmar, Combodia, Loas & Vietnamonly 4 areas; tourism, transport, education & culture
4East Asia Summitformed in 16th dec, 2005forum of 16 countries in east asian region held annuallyTRADE is main focus, regional integration and energy also; Trade and the comprehensive economic partnership in east Asia(CEPEA); total nos of summit is 7; last is 7th at Cambodia 2012
5NSSP-> Next steps in strategic partnershipstarted in jan 2004India & USnuclear, defense technology, export control & space
6South South CooperationLate 90sMajor South Countriestechnology and knowledge between Least Developed Countries (LDC)
7IBSA Dialogue ForumEstablished in 2003 after brasilia declaration. India, Brazil & South Africatripartite grouping to promote international cooperation (agri,trade, culture & defense) among the countries and also promotes South-South Cooperation
8BRICSstarted in 2006Brazil, Russia, India, China & South Africaall are developing or newly industrialized countries; 4th summit in NEW DELHI & 5th in Durban, South Africa (March, 2013);
9SAARC (South Asian Association of Regional CooperationIndia, Bhutan, Sri Lanka, Maldives, Nepal, Pakistan, Bangladesh & Afghanistan{joined in 2007};formed on 8th Dec, 1985; total members 8(7 founding + 1);HQ at Kathmandu, Nepal; AIM- for the same as above i.e. Economical, social, cultural and technological etc.
10SAFTA (South Asian Free Trade Agreement At 12th summit of SAARC, 2004it was agreed for free trade in SAARC countries.
11Group o$ Eigth plus Five(G8+5);group of Eight heads of Govt + Five of emerging economies i.e Brazil, India, China, South Africa, Mexicofoundation year 2005; Main Indicator; ECONOMY
12G4 Nations->Brazil, Japan, India, Germany Supporting each other for permanent seat in UNSC.
13Asian Development Bank (ADB);Serving in ASIA & Pacific formed in 1966; total Members; 67 HQ- Philippines; fighting poverty in Asia & Pacific;For India & Pakistan - Helped in micro finance support in Private enterprise
14G-20Group of Twenty Finance Ministers and Central Bank Governors ; 19+ European1998; Recent Meeting- 8th at St. Petersburg, Russia in September, 2013To bring together systematically important industrialized and developing economies to address key global issues.
15NAM (Non Align Movement)group of nations which are not formally aligned or against the Power Blocfounded in Belgrade in 196116th NAM Summit took place in Tehran, Iran in Aug; term NON ALIGN was coined by V. K. Krishna Menon; Basic principles of Panchsheel (Five principles of peaceful co-existence, Indo-Sino Relations ) are the pillars of NAM
16123 AgreementUS & All Countries an agreement for cooperation as a prerequisite for nuclear deals between the US and any other nation
17Indo US Nuclear DealIndia & USJuly 2005Indias all nuclear activities will be under IAEA safeguards and US will work for civil nuclear cooperation
18DDA (Doha Development Round)b/w Developed countries & Developing Countriestrade negotiation round of WTO in 2001; its main objective is to lower trade barriers around the world to promote trade
19Most Favoured Nation (MFN)Can be anyone.In international politics & economic relations, a country gives a status of Most Favoured Nation which gives trade advantage (low barrier & high import quotas) to another country. India has given MFN status to Vietnam & Paksitan but Pakistan is still thinking to give India.
* India may get entry in Nuclear Supplier Group, Wassenaar Agreement, Australia Group & Missile Technology Control Regime by the help of Barack Obama announcement.
Name: Aditya Prasad
References- 1)http://en.wikipedia.org/wiki/Main_Page
2)World Focus Magazine
3) Google
Global food security under climate change
The Food and Agriculture Organization (FAO) defines food security as a situation that exists when all people, at all times, have physical, social, and economic access to sufficient, safe, and nutritious food that meets their dietary needs and food preferences for an active and healthy life
(A) This definition comprises four key dimensions of food supplies:
(1) Availability
(2) Stability
(3) Access and
(4) Utilization
The first dimension relates to the availability of sufficient food, i.e. to the overall ability of the agricultural system to meet food demand. Its sub dimensions include the agro-climatic
Fundamentals of crop and pasture production. (B) and the entire range of socio-economic and cultural factors that determine where and how farmers perform in response to markets. The second dimension, stability, relates to individuals who are at high risk of temporarily or permanently losing their access to the resources needed to consume adequate food, either because these individuals cannot ensure ex ante against income shocks or they lack enough reserves to smooth consumption ex post or both. An important cause of unstable access is climate variability, e.g., landless agricultural laborers, who almost wholly depend on agricultural wages in a region of erratic rainfall and have few savings, would be at high risk of losing their access to food. However, there can be individuals with unstable access to food even in agricultural communities where there is no climate variability, e.g., landless agricultural laborers who fall sick and cannot earn their daily wages would lack stable access to food if, for example, they cannot take out insurance against illness. The third dimension, access, covers access by individuals to adequate resources (entitlements) to acquire appropriate foods for a nutritious diet. Entitlements are defined as the set of all those commodity bundles over which a person can establish command given the legal, political, economic, and social arrangements of the community of which he or she is a member. Thus a key element is the purchasing power of consumers and the evolution of real incomes and food prices. However, these resources need not be exclusively monetary but may also include traditional rights, e.g., to a share of common resources. Finally, utilization encompasses all food safety and quality aspects of nutrition; its sub dimensions are therefore related to health, including the sanitary conditions across the entire food chain. It is not enough that someone is getting what appears to be an adequate quantity of food if that person is unable to make use of the food because he or she is always falling sick.
Agriculture is not only a source of the commodity food but, equally importantly, also a source of income. In a world where trade is possible at reasonably low cost, the crucial issue for food security is not whether food is available, but whether the monetary and nonmonetary resources at the disposal of the population are sufficient to allow everyone access to adequate quantities of food. An important corollary to this is that national self-sufficiency is neither necessary nor sufficient to guarantee food security at the individual level.
Numerous measures are used to quantify the overall status and the regional distribution of global hunger. None of these measures covers all dimensions and facets of food insecurity described above. This also holds for the Food and Agriculture Organization (FAO) indicator of undernourishment
The Food and Agriculture Organization (FAO) measure, however, has a number of advantages.
First, it covers two dimensions of food security, availability and access;
Second, the underlying methodology is straightforward and transparent; and
Third, the parameters and data needed for the FAO indicator are readily available for past estimates and can be derived without major difficulties for the future.
Climate Change and Food Security: - Impacts on Food Production and Availability.
Climate change affects agriculture and food production in complex ways. It affects food
production directly through changes in agro-ecological conditions and indirectly by affecting growth and distribution of incomes, and thus demand for agricultural produce. Impacts have been quantified in numerous studies and under various sets of assumptions .
Changes in temperature and precipitation associated with continued emissions of greenhouse gases will bring changes in land suitability and crop yields. In particular, the Intergovernmental Panel on Climate Change (IPCC) considers four families of socio-economic development and associated emission scenarios, known as Special Report on Emissions Scenarios (SRES) A2, B2, A1, and B1 (C). Of relevance to this review, of the SRES scenarios, A1, the business-as-usual scenario, corresponds to the highest emissions, and B1 corresponds to the lowest. The other scenarios are intermediate between these two. Importantly for agriculture and world food supply, SRES A2 assumes the highest projected population growth of the four (United Nations high projection) and is thus associated to the highest food demand.
(D) In temperate latitudes, higher temperatures are expected to bring predominantly benefits to agriculture: the areas potentially suitable for cropping will expand, the length of the growing period will increase, and crop yields may rise. A moderate incremental warming in some humid and temperate grassland may increase pasture productivity and reduce the need for housing and for compound feed. These gains have to be set against an increased frequency of extreme events, for instance, heat waves and droughts in the Mediterranean region or increased heavy precipitation events and flooding in temperate regions, including the possibility of increased coastal storms (E); they also have to be set against the fact that semiarid and arid pastures are likely to see reduced livestock productivity and increased livestock mortality. In drier areas, climate models predict increased evapotranspiration and lower soil moisture levels. As a result, some cultivated areas may become unsuitable for cropping and some tropical grassland may become increasingly arid. Temperature rise will also expand the range of many agricultural pests and increase the ability of pest populations to survive the winter and attack spring crops. Another important change for agriculture is the increase in atmospheric carbon dioxide (CO2) concentrations. Depending on the SRES emission scenario, the atmospheric CO2 concentration is projected to increase from 379 ppm today to 550 ppm by 2100 in SRES B1 to 800 ppm in SRES A1FI. Higher CO2 concentrations will have a positive effect on many crops, enhancing biomass accumulation and final yield. However, the magnitude of this effect is less clear, with important differences depending on management type (e.g., irrigation and fertilization regimes) and crop type.
Finally, a number of recent studies have estimated the likely changes in land suitability, potential yields, and agricultural production on the current suite of crops and cultivars available today. Therefore, these estimates implicitly include adaptation using available management techniques and crops, but excluding new cultivars from breeding or biotechnology. These studies are in essence based on the FAO/International Institute for Applied Systems Analysis (IIASA) agro-ecological zone (AEZ) methodology
Impacts on the Stability of Food Supplies.
Global and regional weather conditions are also expected to become more variable than at present, with increases in the frequency and severity of extreme events such as cyclones, floods, hailstorms, and droughts. By bringing greater fluctuations in crop yields and local food supplies and higher risks of landslides and erosion damage, they can adversely affect the stability of food supplies and thus food security.
If climate fluctuations become more pronounced and more widespread, droughts and floods, the dominant causes of short term fluctuations in food production in semiarid and sub humid areas, will become more severe and more frequent. In semiarid areas, droughts can dramatically reduce crop yields and livestock numbers and productivity. Again, most of this land is in sub-Saharan Africa and parts of South Asia, meaning that the poorest regions with the highest level of chronic undernourishment will also be exposed to the highest degree of instability in food production. How strongly these impacts will be felt will crucially depend on whether such fluctuations can be countered by investments in irrigation, better storage facilities, or higher food imports. In addition, a policy environment that fosters freer trade and promotes investments in transportation, communications, and irrigation infrastructure can help address these challenges early on.
Impacts of Climate Change on Food Utilization.
Climate change will also affect the ability of individuals to use food effectively by altering the conditions for food safety and changing the disease pressure from vector, water, and food-borne diseases. The main concern about climate change and food security is that changing climatic conditions can initiate a vicious circle where infectious disease causes or compounds hunger, which, in turn, makes the affected populations more susceptible to infectious disease. The result can be a substantial decline in labor productivity and an increase in poverty and even mortality. Essentially all manifestations of climate change, be they drought, higher temperatures, or heavy rainfalls have an impact on the disease pressure, and there is growing evidence that these changes affect food safety and food security. The recent IPCC report also emphasizes that increases in daily temperatures will increase the frequency of food poisoning, particularly in temperate regions. Warmer seas may contribute to increased cases of human shellfish and reef-fish poisoning (ciguatera) in tropical regions and a pole ward expansion of the disease. However, there is little new evidence that climate change significantly alters the prevalence of these diseases. Several studies have confirmed and quantified the effects of temperature on common forms of food poisoning, such as salmonellosis.
Uncertainties and Limitations
The finding that socio-economic development paths have an important bearing on future food security and that they are likely to top the effects of climate change should not, or at least not only, be interpreted as a probability-based forecast. This is because SRES scenarios offer a range of possible outcomes without any sense of likelihood. Yet SRES scenarios, like all scenarios, do not overcome the inability to accurately project future changes in economic activity, emissions, and climate. Second, the existing global assessments of climate change and food security have only been able to focus on the impacts on food availability and access to food, without quantification of the likely important climate change effects on food safety and vulnerability (stability). This means that these assessments neither include potential problems arising from additional impacts due to extreme events such as drought and floods nor do they quantify the potential impacts of changes in the prevalence of food-borne diseases (positive as well as negative) or the interaction of nutrition and health effects through changes in the proliferation of vector-borne diseases such as malaria.
On the food availability side, they also exclude the impacts of a possible sea-level rise for agricultural production or those that are associated with possible reductions of marine or freshwater fish production. Third, it is important in terms of food availability, all current assessments of world food supply have focused only on the impacts of mean climate change, i.e., they have not considered the possibility of significant shifts in the frequency of extreme events on regional production potential, nor have they considered scenarios of abrupt climate or socio-economic change; any of these scenario variants is likely to increase the already negative projected impacts of climate change on world food supply.
Models that take into account the specific biophysical, technological, and market responses necessary to simulate realistic adaptation to such events are not yet available. Finally, we note that assessments that do not only provide scenarios, but also attach probabilities for particular outcomes to come true could provide an important element for improved or at least better-informed policy decisions .A number of possibilities are offered to address the related modeling challenges. One option would be to produce such estimates with probability-based estimates of the (key) model parameters.
Conclusions
Climate change will affect all four dimensions of food security, namely food availability (i.e., production and trade), access to food, stability of food supplies, and food utilization (1, 43). The importance of the various dimensions and the overall impact of climate change on food security will differ across regions and over time and, most importantly, will depend on the overall socio-economic status that a country has accomplished as the effects of climate change set in.
Essentially all quantitative assessments show that climate change will adversely affect food security. Climate change will increase the dependency of developing countries on imports and accentuate existing focus of food insecurity on sub-Saharan Africa and to a lesser extent on South Asia. Within the developing world, the adverse impacts of climate change will fall disproportionately on the poor.
However, it is likely that differences in socio-economic development paths will also be the crucial determinant for food utilization in the long run and that they will be decisive for the ability to cope with problems of food instability, be they climate-related or caused by other factors.
Finally, all quantitative assessments show that the first decades of the 21st century are expected to see low impacts of climate change, but also lower overall incomes and still higher dependence on agriculture. During these first decades, the biophysical changes as such will be less pronounced but climate change will affect those particularly adversely that are still more dependent on agriculture and have lower overall incomes to cope with the impacts of climate change. By contrast, the second half of the century is expected to bring more severe biophysical impacts but also a greater ability to cope with them. The underlying assumption is that the general transition in the income formation away from agriculture toward non-agriculture will be successful.
How strong the impacts of climate change will be felt over all decades will crucially depend on the future policy environment for the poor. Freer trade can help to improve access to international supplies; investments in transportation and communication infrastructure will help provide secure and timely local deliveries; irrigation, a promotion of sustainable agricultural practices, and continued technological progress can play a crucial role in providing steady local and international supplies under climate change.
PATEL SHWETA HARSHADBHAI
BOOK: - Food and Agriculture Organization
(A) This definition comprises four key dimensions of food supplies:
(1) Availability
(2) Stability
(3) Access and
(4) Utilization
The first dimension relates to the availability of sufficient food, i.e. to the overall ability of the agricultural system to meet food demand. Its sub dimensions include the agro-climatic
Fundamentals of crop and pasture production. (B) and the entire range of socio-economic and cultural factors that determine where and how farmers perform in response to markets. The second dimension, stability, relates to individuals who are at high risk of temporarily or permanently losing their access to the resources needed to consume adequate food, either because these individuals cannot ensure ex ante against income shocks or they lack enough reserves to smooth consumption ex post or both. An important cause of unstable access is climate variability, e.g., landless agricultural laborers, who almost wholly depend on agricultural wages in a region of erratic rainfall and have few savings, would be at high risk of losing their access to food. However, there can be individuals with unstable access to food even in agricultural communities where there is no climate variability, e.g., landless agricultural laborers who fall sick and cannot earn their daily wages would lack stable access to food if, for example, they cannot take out insurance against illness. The third dimension, access, covers access by individuals to adequate resources (entitlements) to acquire appropriate foods for a nutritious diet. Entitlements are defined as the set of all those commodity bundles over which a person can establish command given the legal, political, economic, and social arrangements of the community of which he or she is a member. Thus a key element is the purchasing power of consumers and the evolution of real incomes and food prices. However, these resources need not be exclusively monetary but may also include traditional rights, e.g., to a share of common resources. Finally, utilization encompasses all food safety and quality aspects of nutrition; its sub dimensions are therefore related to health, including the sanitary conditions across the entire food chain. It is not enough that someone is getting what appears to be an adequate quantity of food if that person is unable to make use of the food because he or she is always falling sick.
Agriculture is not only a source of the commodity food but, equally importantly, also a source of income. In a world where trade is possible at reasonably low cost, the crucial issue for food security is not whether food is available, but whether the monetary and nonmonetary resources at the disposal of the population are sufficient to allow everyone access to adequate quantities of food. An important corollary to this is that national self-sufficiency is neither necessary nor sufficient to guarantee food security at the individual level.
Numerous measures are used to quantify the overall status and the regional distribution of global hunger. None of these measures covers all dimensions and facets of food insecurity described above. This also holds for the Food and Agriculture Organization (FAO) indicator of undernourishment
The Food and Agriculture Organization (FAO) measure, however, has a number of advantages.
First, it covers two dimensions of food security, availability and access;
Second, the underlying methodology is straightforward and transparent; and
Third, the parameters and data needed for the FAO indicator are readily available for past estimates and can be derived without major difficulties for the future.
Climate Change and Food Security: - Impacts on Food Production and Availability.
Climate change affects agriculture and food production in complex ways. It affects food
production directly through changes in agro-ecological conditions and indirectly by affecting growth and distribution of incomes, and thus demand for agricultural produce. Impacts have been quantified in numerous studies and under various sets of assumptions .
Changes in temperature and precipitation associated with continued emissions of greenhouse gases will bring changes in land suitability and crop yields. In particular, the Intergovernmental Panel on Climate Change (IPCC) considers four families of socio-economic development and associated emission scenarios, known as Special Report on Emissions Scenarios (SRES) A2, B2, A1, and B1 (C). Of relevance to this review, of the SRES scenarios, A1, the business-as-usual scenario, corresponds to the highest emissions, and B1 corresponds to the lowest. The other scenarios are intermediate between these two. Importantly for agriculture and world food supply, SRES A2 assumes the highest projected population growth of the four (United Nations high projection) and is thus associated to the highest food demand.
(D) In temperate latitudes, higher temperatures are expected to bring predominantly benefits to agriculture: the areas potentially suitable for cropping will expand, the length of the growing period will increase, and crop yields may rise. A moderate incremental warming in some humid and temperate grassland may increase pasture productivity and reduce the need for housing and for compound feed. These gains have to be set against an increased frequency of extreme events, for instance, heat waves and droughts in the Mediterranean region or increased heavy precipitation events and flooding in temperate regions, including the possibility of increased coastal storms (E); they also have to be set against the fact that semiarid and arid pastures are likely to see reduced livestock productivity and increased livestock mortality. In drier areas, climate models predict increased evapotranspiration and lower soil moisture levels. As a result, some cultivated areas may become unsuitable for cropping and some tropical grassland may become increasingly arid. Temperature rise will also expand the range of many agricultural pests and increase the ability of pest populations to survive the winter and attack spring crops. Another important change for agriculture is the increase in atmospheric carbon dioxide (CO2) concentrations. Depending on the SRES emission scenario, the atmospheric CO2 concentration is projected to increase from 379 ppm today to 550 ppm by 2100 in SRES B1 to 800 ppm in SRES A1FI. Higher CO2 concentrations will have a positive effect on many crops, enhancing biomass accumulation and final yield. However, the magnitude of this effect is less clear, with important differences depending on management type (e.g., irrigation and fertilization regimes) and crop type.
Finally, a number of recent studies have estimated the likely changes in land suitability, potential yields, and agricultural production on the current suite of crops and cultivars available today. Therefore, these estimates implicitly include adaptation using available management techniques and crops, but excluding new cultivars from breeding or biotechnology. These studies are in essence based on the FAO/International Institute for Applied Systems Analysis (IIASA) agro-ecological zone (AEZ) methodology
Impacts on the Stability of Food Supplies.
Global and regional weather conditions are also expected to become more variable than at present, with increases in the frequency and severity of extreme events such as cyclones, floods, hailstorms, and droughts. By bringing greater fluctuations in crop yields and local food supplies and higher risks of landslides and erosion damage, they can adversely affect the stability of food supplies and thus food security.
If climate fluctuations become more pronounced and more widespread, droughts and floods, the dominant causes of short term fluctuations in food production in semiarid and sub humid areas, will become more severe and more frequent. In semiarid areas, droughts can dramatically reduce crop yields and livestock numbers and productivity. Again, most of this land is in sub-Saharan Africa and parts of South Asia, meaning that the poorest regions with the highest level of chronic undernourishment will also be exposed to the highest degree of instability in food production. How strongly these impacts will be felt will crucially depend on whether such fluctuations can be countered by investments in irrigation, better storage facilities, or higher food imports. In addition, a policy environment that fosters freer trade and promotes investments in transportation, communications, and irrigation infrastructure can help address these challenges early on.
Impacts of Climate Change on Food Utilization.
Climate change will also affect the ability of individuals to use food effectively by altering the conditions for food safety and changing the disease pressure from vector, water, and food-borne diseases. The main concern about climate change and food security is that changing climatic conditions can initiate a vicious circle where infectious disease causes or compounds hunger, which, in turn, makes the affected populations more susceptible to infectious disease. The result can be a substantial decline in labor productivity and an increase in poverty and even mortality. Essentially all manifestations of climate change, be they drought, higher temperatures, or heavy rainfalls have an impact on the disease pressure, and there is growing evidence that these changes affect food safety and food security. The recent IPCC report also emphasizes that increases in daily temperatures will increase the frequency of food poisoning, particularly in temperate regions. Warmer seas may contribute to increased cases of human shellfish and reef-fish poisoning (ciguatera) in tropical regions and a pole ward expansion of the disease. However, there is little new evidence that climate change significantly alters the prevalence of these diseases. Several studies have confirmed and quantified the effects of temperature on common forms of food poisoning, such as salmonellosis.
Uncertainties and Limitations
The finding that socio-economic development paths have an important bearing on future food security and that they are likely to top the effects of climate change should not, or at least not only, be interpreted as a probability-based forecast. This is because SRES scenarios offer a range of possible outcomes without any sense of likelihood. Yet SRES scenarios, like all scenarios, do not overcome the inability to accurately project future changes in economic activity, emissions, and climate. Second, the existing global assessments of climate change and food security have only been able to focus on the impacts on food availability and access to food, without quantification of the likely important climate change effects on food safety and vulnerability (stability). This means that these assessments neither include potential problems arising from additional impacts due to extreme events such as drought and floods nor do they quantify the potential impacts of changes in the prevalence of food-borne diseases (positive as well as negative) or the interaction of nutrition and health effects through changes in the proliferation of vector-borne diseases such as malaria.
On the food availability side, they also exclude the impacts of a possible sea-level rise for agricultural production or those that are associated with possible reductions of marine or freshwater fish production. Third, it is important in terms of food availability, all current assessments of world food supply have focused only on the impacts of mean climate change, i.e., they have not considered the possibility of significant shifts in the frequency of extreme events on regional production potential, nor have they considered scenarios of abrupt climate or socio-economic change; any of these scenario variants is likely to increase the already negative projected impacts of climate change on world food supply.
Models that take into account the specific biophysical, technological, and market responses necessary to simulate realistic adaptation to such events are not yet available. Finally, we note that assessments that do not only provide scenarios, but also attach probabilities for particular outcomes to come true could provide an important element for improved or at least better-informed policy decisions .A number of possibilities are offered to address the related modeling challenges. One option would be to produce such estimates with probability-based estimates of the (key) model parameters.
Conclusions
Climate change will affect all four dimensions of food security, namely food availability (i.e., production and trade), access to food, stability of food supplies, and food utilization (1, 43). The importance of the various dimensions and the overall impact of climate change on food security will differ across regions and over time and, most importantly, will depend on the overall socio-economic status that a country has accomplished as the effects of climate change set in.
Essentially all quantitative assessments show that climate change will adversely affect food security. Climate change will increase the dependency of developing countries on imports and accentuate existing focus of food insecurity on sub-Saharan Africa and to a lesser extent on South Asia. Within the developing world, the adverse impacts of climate change will fall disproportionately on the poor.
However, it is likely that differences in socio-economic development paths will also be the crucial determinant for food utilization in the long run and that they will be decisive for the ability to cope with problems of food instability, be they climate-related or caused by other factors.
Finally, all quantitative assessments show that the first decades of the 21st century are expected to see low impacts of climate change, but also lower overall incomes and still higher dependence on agriculture. During these first decades, the biophysical changes as such will be less pronounced but climate change will affect those particularly adversely that are still more dependent on agriculture and have lower overall incomes to cope with the impacts of climate change. By contrast, the second half of the century is expected to bring more severe biophysical impacts but also a greater ability to cope with them. The underlying assumption is that the general transition in the income formation away from agriculture toward non-agriculture will be successful.
How strong the impacts of climate change will be felt over all decades will crucially depend on the future policy environment for the poor. Freer trade can help to improve access to international supplies; investments in transportation and communication infrastructure will help provide secure and timely local deliveries; irrigation, a promotion of sustainable agricultural practices, and continued technological progress can play a crucial role in providing steady local and international supplies under climate change.
PATEL SHWETA HARSHADBHAI
BOOK: - Food and Agriculture Organization
India in Central Asia: Time for a more comprehensive
India in Central Asia: Time for a more comprehensive strategy?
* Republics in Central Asia: The Stans (Kazakhstan,Uzbekistan,Kyrgygstan,Tajikistan,Turkmenistan)
* Indias interests in Central Asia:
* Economic:
* Energy:
* As a reliable source of oil and gas, owing to volatility in the middle east and Indias growing energy demands.
* Uranium rich kazkhstan
* Hydropower
* Raw material for Indian industry :
* Iron ore,coal,minerals
* Agriculture:
* Vast tracts of land available for commercial farming in providing food for growing population of india
* Security:
* The Arc of instability starting from central asia end up in kashmir that poses threat to indias north west frontier
* Prevent destabiilisation of Afghanistan and the region following pull out of NATO forces
* Establishing military presence in Central Asia
* Co-opration in other sectors
* Pharmaceutical,IT
* Last but not the least cultural dialogue,people to people contact,development of human resource
* BOTTLENECKS:
* Transportation bottlenecks such as high altitude Himalayan Range(Geographical barrier).
* Destabilised Afganistan
* Unwillingness of Pakistan to allow rise in India-Central Asia trade relation
* Active engagement of China, Indias geopolitical rival in Central Asia in devloping infrastructure
* Rising ethnic nationalism and Islamic fundamentalism in the region
* INDIAS CENTRAL ASIA POLICY
* April 2011,Mohans visit to central Asia:(Astana sumit)
* Civil nuclear co-operation
* India got access to oil rich Caspian sea and ONGC-Videsh got 25% stake in satpayev oil block in Kazakhstan
* June 2012, 1st India and Central Asia dialogue:
CONNECT CENTRAL ASIA POLICY(CCAP) was evolved. It calls for
* Improving air connectivity to boost trade and growth
* Joint commercial ventures
* Setting up university,hospital,IT centre,an e-network in telemedicine connecting both republics.
* Strategic partnership in defence and security affairs
* August 2013,Indo-China dialogue on Central Asia: Issues discussed were
* Regional security and counter terrorism
* Sharing information and share common ground on energy exploration and energy cooperation such as jointly bidding for an oil,gas field or price negotiations.
* Sep-2013,Foreign Minister visit Krygyzstan to attend SCO:
* Pact between India and Uzbekistan to import uranium.A similar pact is already in place with Kazakhstan.
* Sep-2013 Krygyzstan defence minister to India
* Both agreed to further strengthen bilateral defence cooperation in areas, including training, UN peacekeeping and defence industry.
* India-Krygyzstan Relation
* India has traditionally warm and friendly political ties with the Kyrgyz Republic. Kyrgyzstan also supports Indias stand onKashmirand have welcomed theongoing peace process. Kyrgyzstan also supports Indias claim for permanent seat at theUnited Nations Security Counciland Indias role in theShanghai Cooperation Organization(SCO).Both are working together to boost bilateral trade.
* INDIA IN SCO:GRIP NEED TO BE STRONG!!!!!
* Shanghai Co-operation Organization(SCO):
* Six nation grouping influential in central Asia (Russia,China,Karygyzstan,Kazakhstan,Turkmenistan,Uzbekistan
* India still holds observer status since it joined in 2005 due to lack of consensus among the member nations on Indias full membership.
* Why India interested in SCO?
* SCO can act as a credible alternative regional platform to discuss challenges related to Afghanistan and other security and economic issues
* Indias Membership in SCO remain critical to raise its profile in the Central Asia region
* In the recent sumit India pitched for:
* Full membership status to play a greater role in SCO
* To deepen security related co-operation particularly with SCOs Regional Anti Terrorism Structure(RATS)
* Indias immediate priorities on Central Asia:
* Development of transport infrastructure remain imperative to increase trade turnover and import of strategic mineral resources. So India need to focus on
* North South Transport Corridor Project(NSTC):It connect India with central Asia through chabbahaar port of Iran and
Zarni-Delaram roadway bypassing Pakistan
* India can work with US towards completion of US initiated transport corridor NEW SILK ROAD PROJECT for development of Afghanistan. India can get benefit from it as it connects India and Central Asia.
* TAPI pipeline
* Indian Govt and corporates need to activate contact with central Asia counterpart for advancing mutual co-operation via connect central Asia policy to boost investment in the region.
* Sharing of security concern with Central Asia republics and need to participate in counter terrorism military exercises similar to that with Russia and China.
* It is imperative for Indian diplomacy to work towards major power
co-operation to bring some measures of stability to Afghanistan as well as larger Central Asia region.
* REFERENCES:
* http://www.turkishweekly.net/op-ed/3099/
* http://newindianexpress.com/opinion/India-on-Central-Asias-fringes/2013/09/19/article1791114.ece
* http://www.thehindu.com/news/national/amid-energy-competition-india-china-hold-first-central-asia-dialogue/article5024973.ece
* http://www.eastasiaforum.org/2013/09/06/indias-ailing-strategic-policy-in-central-asia/
* Name: Ashok kumar panda
* Republics in Central Asia: The Stans (Kazakhstan,Uzbekistan,Kyrgygstan,Tajikistan,Turkmenistan)
* Indias interests in Central Asia:
* Economic:
* Energy:
* As a reliable source of oil and gas, owing to volatility in the middle east and Indias growing energy demands.
* Uranium rich kazkhstan
* Hydropower
* Raw material for Indian industry :
* Iron ore,coal,minerals
* Agriculture:
* Vast tracts of land available for commercial farming in providing food for growing population of india
* Security:
* The Arc of instability starting from central asia end up in kashmir that poses threat to indias north west frontier
* Prevent destabiilisation of Afghanistan and the region following pull out of NATO forces
* Establishing military presence in Central Asia
* Co-opration in other sectors
* Pharmaceutical,IT
* Last but not the least cultural dialogue,people to people contact,development of human resource
* BOTTLENECKS:
* Transportation bottlenecks such as high altitude Himalayan Range(Geographical barrier).
* Destabilised Afganistan
* Unwillingness of Pakistan to allow rise in India-Central Asia trade relation
* Active engagement of China, Indias geopolitical rival in Central Asia in devloping infrastructure
* Rising ethnic nationalism and Islamic fundamentalism in the region
* INDIAS CENTRAL ASIA POLICY
* April 2011,Mohans visit to central Asia:(Astana sumit)
* Civil nuclear co-operation
* India got access to oil rich Caspian sea and ONGC-Videsh got 25% stake in satpayev oil block in Kazakhstan
* June 2012, 1st India and Central Asia dialogue:
CONNECT CENTRAL ASIA POLICY(CCAP) was evolved. It calls for
* Improving air connectivity to boost trade and growth
* Joint commercial ventures
* Setting up university,hospital,IT centre,an e-network in telemedicine connecting both republics.
* Strategic partnership in defence and security affairs
* August 2013,Indo-China dialogue on Central Asia: Issues discussed were
* Regional security and counter terrorism
* Sharing information and share common ground on energy exploration and energy cooperation such as jointly bidding for an oil,gas field or price negotiations.
* Sep-2013,Foreign Minister visit Krygyzstan to attend SCO:
* Pact between India and Uzbekistan to import uranium.A similar pact is already in place with Kazakhstan.
* Sep-2013 Krygyzstan defence minister to India
* Both agreed to further strengthen bilateral defence cooperation in areas, including training, UN peacekeeping and defence industry.
* India-Krygyzstan Relation
* India has traditionally warm and friendly political ties with the Kyrgyz Republic. Kyrgyzstan also supports Indias stand onKashmirand have welcomed theongoing peace process. Kyrgyzstan also supports Indias claim for permanent seat at theUnited Nations Security Counciland Indias role in theShanghai Cooperation Organization(SCO).Both are working together to boost bilateral trade.
* INDIA IN SCO:GRIP NEED TO BE STRONG!!!!!
* Shanghai Co-operation Organization(SCO):
* Six nation grouping influential in central Asia (Russia,China,Karygyzstan,Kazakhstan,Turkmenistan,Uzbekistan
* India still holds observer status since it joined in 2005 due to lack of consensus among the member nations on Indias full membership.
* Why India interested in SCO?
* SCO can act as a credible alternative regional platform to discuss challenges related to Afghanistan and other security and economic issues
* Indias Membership in SCO remain critical to raise its profile in the Central Asia region
* In the recent sumit India pitched for:
* Full membership status to play a greater role in SCO
* To deepen security related co-operation particularly with SCOs Regional Anti Terrorism Structure(RATS)
* Indias immediate priorities on Central Asia:
* Development of transport infrastructure remain imperative to increase trade turnover and import of strategic mineral resources. So India need to focus on
* North South Transport Corridor Project(NSTC):It connect India with central Asia through chabbahaar port of Iran and
Zarni-Delaram roadway bypassing Pakistan
* India can work with US towards completion of US initiated transport corridor NEW SILK ROAD PROJECT for development of Afghanistan. India can get benefit from it as it connects India and Central Asia.
* TAPI pipeline
* Indian Govt and corporates need to activate contact with central Asia counterpart for advancing mutual co-operation via connect central Asia policy to boost investment in the region.
* Sharing of security concern with Central Asia republics and need to participate in counter terrorism military exercises similar to that with Russia and China.
* It is imperative for Indian diplomacy to work towards major power
co-operation to bring some measures of stability to Afghanistan as well as larger Central Asia region.
* REFERENCES:
* http://www.turkishweekly.net/op-ed/3099/
* http://newindianexpress.com/opinion/India-on-Central-Asias-fringes/2013/09/19/article1791114.ece
* http://www.thehindu.com/news/national/amid-energy-competition-india-china-hold-first-central-asia-dialogue/article5024973.ece
* http://www.eastasiaforum.org/2013/09/06/indias-ailing-strategic-policy-in-central-asia/
* Name: Ashok kumar panda
Current Affairs Related Writeups
Current Affairs Related Writeups
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Contents
1. International Relations
2. Science and technology
3. economics
4. Admin-all the polity, Admin, Development related items
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International relations
Bali Negotiations
In Bali, Ministers put the world back into the WTO
* World Trade Organisation (WTO) Ministers in Bali finally adopted the historic five-draft decision declaration and the 10-document full Bali Package that addresses the Doha Development Agenda.
* Declaration takes care of Indias concerns on food security and trade facilitation
What Doha Development Agenda?
TheDoha Development RoundorDoha Development Agenda(DDA) is the current trade-negotiation round of theWorld Trade Organization(WTO) which commenced in November 2001.
Its objective is to lowertrade barriersaround the world, which will help facilitate the increase of global trade. As of 2008, talks have stalled over a divide on major issues, such as agriculture, industrialtariffsandnon-tariff barriers, services, and trade remedies.
* Its a happy coincidence that the Doha Round, the only development agenda, has been revived and re-energised in Bali and India could play a major role
* it will benefit Indias exports and shift the focus away from preferential trade arrangements.(PTA-A trade pact between countries that reduces tariffs for certain products to the countries who sign the agreement- Mrunals article it's given in economy section)
* Bali outcome showed that the WTO could still deliver and the Doha development round could move forward.
* During the Bali negotiations, Indian industry had backed the Centre, and the Confederation of Indian Industry termed the pact on food security critical to the success of the Ministerial.
* The Associated Chambers of Commerce and Industry felt the agreement on food security would ensure a fair deal to vulnerable sections in developing countries.
* The Bali agreement will benefit exporters, said the Engineering Export Promotion Council.
Farmers Voice:
* A farmers organisation, however, said the only possible gain was the peace clause.
* All India Kisan Sabha apprehended a freeze on expansion of food security or price support to farmers in developing countries and exclusion of pulses, cooking oil and crops other than those described as traditional staples by the WTO.
* Support subsidies for poor farmers across all developing countries get safeguards against WTO rules after the Bali Ministerial decision.
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
* A Bilateral Investment Promotion and Protection Agreement (BIPPA) between the Government of India and the Government of UAE was formally signed. The Agreement was signed by Shri Namo Narain Meena, Minister of State (E&FS), on behalf of Government of India and H.E. Mr. Obaid Humaid Al Tayer, Minister of State for Financial Affairs of UAE on behalf of Government of UAE.
* The text of the Agreement, which seeks to promote and protect investments from either country in the territory of the other country with the ultimate objective of increasing bilateral investment flow
* It is hoped that the Agreement would serve as a catalyst in boosting investment flows between the two countries.
* The trade agreement reached in Bali has provided much-needed oxygen to a moribund World Trade Organisation.
* International Chamber of Commerce has estimated that the Bali deal will cut trade costs by 10-15 per cent even as it adds an estimated $1 trillion to global trade.
* mainly emerging economies such as India, Brazil, South Africa and Russia, realised the WTO was critical to their interests.
* The unyielding stance of India on protecting its farm subsidies which are set to increase following the enactment of the Food Security Act did cause some disquiet amongst the member-countries and at one stage seemed set to hold up an eventual agreement.
Air Defence Identification Zone (ADIZ) in the East China Sea
What is an ADIZ?
* Its a section of international airspace over which a country declares its right to identify aircraft, ostensibly to protect itself from foreign threat. Its a product of customary international law but its not jurisdictional.
What happens once an ADIZ is established?
* radar to detect
* Using radio, it would query those it was concerned about.
* If the country was still not sure, it would launch an aircraft to intercept and observe.
* The country would not have the authority to do anything else unless it thought the aircraft was a direct threat to the country.
* The country would not have the authority to do anything else unless it thought the aircraft was a direct threat to the country.
Whats the problem with China declaring an ADIZ?
* Well, the problem is that Chinas ADIZ overlaps with the ADIZ that was created by the U.S. after World War-II and transferred to Japan in 1969.
* first time an overlapping ADIZ.
* China thinks the ADIZ will strengthen its claim over the Diaoyu/Senkaku islands.
* increased risk of either a deliberate or accidental incident involving military aircraft.
* The Chinese call the islands Diaoyudao. The Japanese call them Senkaku.
* The Diaoyudao islands were considered lost during this period when Japan formally annexed them in 1895.
So why did China suddenly declare the ADIZ? Is it just about controlling Diaoyu/Senkaku?
* Chinese foreign policy decision-making is highly opaque, so all anyone can do is to speculate and there have been a number of speculative theories.
What does this mean for India?
* China is more aggressive in its foreign policy, which does not bode well for its relations with India. Certainly, Chinas announcement of the ADIZ was unexpected. It was done without any consultation with Japan and has thus been seen as very disrespectful.
* China is engaging in lawfare using international institutions to achieve strategic goals.
* India, currently at least, simply does not factor into Chinas strategic priorities.
Chinas ADIZ: A Case of an Overreach?
* When China announced on 23 November 2013 the establishment of an Air Defence Identification Zone [ADIZ] in the East China Sea area and included the disputed Diaoyu/Senkaku islands in the zone; it was clear that the main target of this exercise was Japan.
* Since this zone has been established in the air space adjacent to Chinese territorial air space what is its legitimacy in international law?
* Normally under international law, a countrys sovereign airspace extends to the outer limits of its territorial waters; that is 12 nautical miles from its coastline.
* Most countries require all foreign military aircraft to obtain permission to enter their airspace and reserve the right to take military action
* As both China and Japan claim the Senkaku/Diaoyu islands in the East China Sea as part of their territory they also claim sovereign airspace above the islands and over waters extending 12 nautical miles around them.
* According to the UN Convention on the Law of the Sea [UNCLOS], each signatory state can claim an EEZ that gives it special rights to exploit marine resources up to 200 nautical miles from its coastline.
* Anexclusive economic zone(EEZ) is a seazone prescribed by theUnited Nations Convention on the Law of the Seaover which astatehas special rights over the exploration and use ofmarineresources, including energy production from water and wind.
* When EEZs overlap, states are supposed to negotiate an agreed boundary.
* However, some states disagree on whether non-aggressive foreign military operations such as reconnaissance patrols should be allowed in their EEZ.
* Japan has decided to approach the International Civil Aviation Organization [ICAO] will perhaps be a test case.
* The US has taken no position on the merits of the case involving the Sino-Japanese dispute over the Diaoyu/Senkaku islands;
* The US even dispatched unarmed B-52 bombers to fly into the Chinese ADIZ, without informing the Chinese authorities, to demonstrate its position as a faithful ally in Japanese eyes. And yet on the other hand keeping in mind the visit of Vice-President Biden to China, where it needs Chinese help to free a US citizen held by the North Koreans and to keep in check North Korean nuclear ambitions,
* US is no more a reliable security provider.
* If this perception persists it would be to the immense strategic advantage of China who would then emerge as the strongest economic and military power in the region.
* The Chinese President, Xi Jinping has been advocating a new relationship with the US by underlining 3 basic principles. These are
[a] No conflict and no confrontation
[b] Mutual respect and
[c]Win-win co-operation which means that each side abandon a zero sum mentality and accommodate each-others interests as also deepen shared interests
* The last thing that the US wants is a military confrontation between China and Japan over the insignificant Diaoyu/Senkaku islands.
* A militarily rejuvenated Japan is likely to cause immense strategic problems for China; for which its audacious move in setting up an ADIZ would be largely responsible.
Iran Issue
Iran Nuclear Deal: The Fine Print
* The November 24, 2013 Joint Plan of Action between Iran and its P5+1 interlocutors is the first agreement since November 2004 that contains Irans acceptance of certain short-term limitations on its nuclear programme.
* The first-step agreement is renewable by mutual consent indicating that there is scope for an extension of the time frame within which elements involved in this agreement could be accomplished.
* Iran has committed to implement over the course of the agreement the following:
1. dilute half of its currently available stockpile of 20 per cent enriched UF6 (196 kgs according to the November 14, 2013 IAEA report) to no more than 5 per cent while the remaining half would be retained as stock for fabrication of fuel for the 5MW Tehran Research Reactor (TRR)
2. not enrich uranium above 5 per cent for the duration of the six months
3. not make further advances of its activities at the Natanz Fuel Enrichment Plant (FEP)
4. Fordow or the Arak reactor
5. convert to UO2 newly enriched UF6 up to 5 per cent, beginning when the line for conversion of UF6 enriched up to 5 per cent to UO2 is ready
6. no new locations for enrichment;
7. no reprocessing or construction of facility capable of reprocessing
* Iran to continue its safeguarded R&D activities; and enhanced monitoring of its nuclear activities.
* it has committed to provide information on its nuclear plans to the IAEA within three months of the adoption of these measures
* submit an updated Design Information Questionnaire (DIQ) for the Arak reactor,
* daily inspector access at Natanz and Fordow for the purpose of access to offline surveillance records
* and managed access to centrifuge assembly workshops and storage facilities.
* P5+1 Commitments
* In return for Irans actions, the P5+1 have agreed to pause efforts to further reduce Irans crude oil sales
* enabling Irans customers to purchase their current average amounts of crude oil
* enable the repatriation of an agreed amount of revenue held abroad
* suspend EU and US sanctions on Irans petro-chemical exports and on gold and precious metals
* spare parts for civil aviation
* establish a financial channel to facilitate humanitarian trade for Irans domestic needs using Iranian oil revenues held abroad;
* and increase the EU authorisation thresholds for transactions for non-sanctioned trade to an agreed amount
* Comprehensive Solution
* Both sides envisage a comprehensive solution to involve the lifting of all UNSC, multi-lateral, and national nuclear-related sanctions,
* involve a mutually-defined enrichment programme with mutually agreed parameters consistent with practical needs, with agreed limits on scope and level of enrichment activities;
* implement transparency measures including ratify and implement the IAEA Additional Protocol;
* and keeps open the prospect of international civil nuclear cooperation, including providing modern light water reactors.
* The JPOA affirms that following the successful implementation of this comprehensive solution for its full duration, the Iranian nuclear programme will be treated in the same manner as that of any non-nuclear weapon state party to the NPT.
* Key Negotiating Principle
* the point that no single element can be viewed in isolation and that further progress on the more essential comprehensive solution is contingent on the implementation of commitments on the varied elements agreed upon in this agreement to mutual satisfaction.
* Prior to the second round of talks at Geneva that began on November 7, Iranian leaders were insisting that the two red lines for them included no stopping of uranium enrichment and no transfer of enriched uranium outside the country.
* Iran agreeing to halt enrichment above 5 per cent and dilute its current stock of 20 per cent enriched UF6 is therefore a significant half way compromise.
The Asia Rebalance in disarray
* western allies (recollect recent sactions of UN on iran lifted) appeared to revert to a triumphalist rhetoric that suggested that the crippling sanctions that they imposed were solely responsible for the turnaround
* thanks at all to Tehrans new regime for taking a courageous step towards the negotiating table.
* The States should adopt the Committees formula, which is not only transparent but has been arrived at after a study of the cost structures of sugarcane farming and sugar mills.
* A gesture of good faith towards Tehrans forward-looking re-engagement with the West on the nuclear crisis, despite Israels sustained, warmongering bluster, might have been for Mr. Obama to ease up on the oil sanctions, perhaps permit friends of Iran such as India, who depended significantly on crude imports, to resume limited trading.
* White House had determined that there is a sufficient supply of petroleum from countries other than Iran to permit a significant reduction in the volume purchased from Iran by or through foreign financial institutions.
* What signal does this send to nations such as North Korea, whose resolve the U.S. and its friends are similarly seeking to neutralise?
* Regional powers such as India, who are discomfited by the emerging power vacuum in Kabul and fear that it may again become a breeding ground for extremism, are resigned to the reality that America has prioritised rolling back its wars and reviving its economy.
* Troubling though the conundrums of Afghanistan and Iran may be, it is the failure of the Asia Rebalance to prevent the U.S. second-largest trading partner from embarking on campaigns of expansionist adventurism that truly casts doubt upon the strategy.
* the inability of Washington to decisively marshal like-minded regional powers into a string of partners, if not pearls has already conceded victory in this early round to Asias hegemon.
Dtente between Tehran and Washington
* United States imperialist war against Iran has been averted by the Joint Plan of Action, agreed to in Geneva on 24 November by the P-5 + 1 (the US, the United Kingdom, France, Russia and China, plus Germany) and the Islamic Republic of Iran.
* The two sides, the Islamic Republic and the US establishment, are getting all the attention, but what about the people of Iran? Should we not look at the situation from their point of view?
* What was agreed upon in Geneva last month is an interim deal, covering the next six months, leading to a long-term comprehensive agreement,
* only after which the remaining (the bulk of) sanctions on Tehran are to be lifted.
* But from what has already been agreed, Irans nuclear programme has been frozen for now, and the International Atomic Energy Agency has been allowed to conduct its intrusive inspections.
* The bulk of the sanctions, however, remain in place, sanctions that have led to a drastic fall in Irans oil imports and deprived the country of access to the international financial system,
* nothing is agreed until everything is agreed. Iran now cannot enrich uranium beyond the 5% limit required to fuel its nuclear power reactors; so enrichment to weapons grade uranium is out of the question.
* Western imperialist, especially US, confrontation with the Islamic Republic of Iran has been on ever since the Iranian Revolution of 1979.
* So, to reduce the current conflict to just two sides Western, mainly US, imperialism and the Islamic Republic is erroneous.
* There is a third side the people of Iran, and one needs to look at the situation from their point of view too, and also from the side of the people of west Asia.
* The dtente between Washington and Tehran, if it comes through in the form of the long-term comprehensive agreement,
* Of course, it will also, de facto, guarantee that there will be no regime change, imposed by the Western imperialist powers, in Iran.
* Indeed, if rapprochement with Washington does come about, then, the Islamic Republic will get imperialist recognition as a regional power in west Asia
* it will likely play a key role in the Geneva-II talks to resolve the Syrian crisis, and, the Iranian President Hassan Rouhani may be asked to rein in Hezbollah in Lebanon and Hamas in Palestine, even help broker a settlement with the Taliban in Afghanistan, and with the Shia political parties in Iraq.
* Will the world be witnessing a return to a neocolonialism in Iran?
* For the people of Iran, with the grim prospect of imperialist military intervention having receded, the opportunity to emulate the previous generation in the fight to establish a democratic system, win a whole set of rights and freedoms, opens up a lot wider.
Iran backs deep-sea gas pipeline to India
* Indias South Asia Gas Enterprise Pvt. Ltd. (SAGE) had conducted feasibility studies for the multi-billion-dollar undersea pipeline, which could carry gas from Irans giant South Pars gas field to Indias west coast.
* Irans interest in the India-centric project coincides with the cancellation of its $500-million loan to Pakistan to build part of a pipeline to funnel natural gas.
* Iran is focusing on exporting natural gas to India along a deep-sea route
* the move coinciding with the cancellation of a loan to Islamabad to build the Pakistani section of the Iran-Pakistan gas pipeline and the signing of the Geneva nuclear accord that could help relax sanctions against Tehran.
Foreign Labourers nightmares
Woes of migrant labour
* Qatarright to host the 2022 FIFA World Cup.
* Qatars labour laws by private contractors. Migrant workers from Nepal, India, Bangladesh and Sri Lanka are at the mercy of their Qatari employers,
* Qatars sponsorship law designates private contractors as the custodians of their employees travel documents until they are issued a valid residence permit.
* Many migrant labourers are yet to receive their passports back.
* access to justice for foreign labourers remains elusive.
* economic growth does not ride on the inhuman treatment of migrants.
* India should consider its migrant workforce in West Asia as an asset rather than as a vulnerable constituency.
Afghanistan Issue
The Kabul test
* Karzai's reluctance to sign the bilateral security agreement that defines the terms and conditions for the residual military presence in Afghanistan after 2014.
* Karzai is putting greater weight on military cooperation with India, not as an alternative to that with the US, but as an important part of his strategy to diversify Kabul's defence relationships after 2014.
* India is committed, under the strategic partnership agreement signed with Afghanistan in 2011, to extend military assistance to Kabul.
* That commitment is now under test as Karzai seeks expansive defence engagement with India, including the supply of heavy equipment.
* Delhi can't ignore the dangers that will flow from the Pakistan army's likely advances in Afghanistan after 2014.
* The answer for Delhi lies in extending strong military support for Kabul and complementing it with an expanded political engagement with Pakistan's civilian leaders.
* India's Af-Pak strategy must walk on two legs, but walk it must.
Indias Afghan muddle
* If New Delhi is serious about its concerns over rapid western withdrawal from Afghanistan, it should along with other governments form a multinational joint working group to assess the points of vulnerability for Afghan forces
* Afghan National Security Forces (ANSF) are being left ill-equipped to fight insurgent and terrorist threats that remain entrenched in the Afghanistan-Pakistan border areas.
* Today, India is in a strong position to shape each of these factors to its advantage, but its policies are marked by indecision and confusion.
* western forces do not intend to withdraw from Afghanistan next year. Kabul and Washington have agreed on the text of a Bilateral Security Agreement (BSA), which would allow a force of 8,000 to 10,000 troops to remain in Afghanistan beyond 2014 for training purposes and limited counterterrorism missions, albeit under strict conditions.
* This would also put at risk the many billions of dollars of American aid that will flow to Kabul for several years after 2014. Without this money, the survival of Afghan security forces and the Afghan state itself is in question.
* India first indicated that it wanted the BSA to reflect the concerns of India as well as Iran.
* consider the question of Indias military support to Afghanistan. India certainly hasnt been entirely passive here.
* It is intensifying its valuable efforts to train Afghan army officers in Indian establishments, and will soon be training over 1,000 annually.
* Indian officials privately criticise western powers for failing to arm the Afghans more heavily,
* but India vacillates over doing so itself.
* India publicly insists that it has confidence in Afghan security forces, but then intimates that their potential dissolution is a reason to avoid shoring them up.
* the provision of heavy weaponry might provoke Pakistan into intensifying support for anti-Indian groups in Afghanistan.
* These concerns are legitimate, but India cannot hope to free ride on western efforts while complaining incessantly about how western policy is leaving threats to India unaddressed.
* If India is serious about its concerns over rapid western withdrawal and Afghan weakness, it should get serious itself.
* New Delhi, Kabul, Washington, London and other governments with an important role in the security sector of post-2014 Afghanistan should form a multinational joint working group to assess the points of vulnerability for Afghan forces.
* In turn, trainers from NATO countries, with over a decade of combat experience in Afghanistan, could also be placed in Indian institutions that host Afghan officers.
* India wants western troops to stay, but wont expend the diplomatic capital required to push Mr. Karzai to sign the BSA.
* India wants Afghan forces to be better armed, but shies away from taking on the talks itself.
* India opposes the speed and scope of the nascent American talks with the Taliban, but is bereft of ways to shape this process.
* If India doesnt like the way its going, it must decide whether to step up to the plate, with all the attendant risks, or keep shouting from the sidelines.
US Rebalancing to the Asia-Pacific: Implications for West Asia
* During the Cold War, the United States was completely focussed on the Soviet Union and constantly striving to contain and if possible, to roll back - the Soviet presence from the Third World.
* The best and the brightest in the American academia studied the Soviet Union and the Kremlinologists occupied the best births among policy wonks.
* emergence of independent states in Central Asia and the Caucasus received its share of international attention.
* The US interest in the large quantities of oil and gas and US concerns over nuclear proliferation and re-emergence of Islam dominated its foreign policy calculus.
* West Asia acquired the status of the most crucial region.
* After the nine-eleven, the Global War on Terrorism led the US into long-drawn-out wars on Afghanistan and Iraq.
* In 2011, the Obama administration made a series of pronouncements on a pivot to Asia-Pacific, identifying it as a priority region.
* The US would deploy greater naval assets, create new military capabilities and prepare to engage in a newly formulated Air Sea Battle in the region.
* A Trans-Pacific Partnership (TTP) between the US and some twelve states in the region would create a free trade area.
* Consequently, the attitude to China has moved from tacit confrontation to cautious accommodation.
* The twenty-first century is widely expected to be the Asian Century.
* The economic growth in Asia is expected to outpace the West by a wide margin.
* The legal and political status of Taiwan is fraught with the potential of conflict. A defiant North Korea has acquired nuclear and ballistic missile capabilities.
* South China Sea has become a jumble of contesting territorial claims by China, Taiwan, Vietnam, Philippines, Brunei, Malaysia and Indonesia.
* The islands in the East China Sea are disputed among China, Japan, South Korea and Taiwan.
* The recent Chinese announcement of an Air Defence Identification Zone over the East China Sea and the unhindered exploratory flights of two American B-52 bombers right through it may yet lead to an ugly situation in future.
* a number of urgent challenges remain, including the Syrian civil war, the ongoing struggle with the Taliban and al-Qaeda, and Irans nuclear programme would undermine the US interests and needlessly antagonise China.
* The US forces have withdrawn from Iraq and are in the process of withdrawing from Afghanistan.
* The US chose to lead from behind on the Libyan Spring.
* It refused to accept the French-Turkish proposal to set up a No Fly Zone in Syria and opted to work through the Friends of Syria instead.
* There are two factors that have facilitated the direction of perceptible US retreat from West Asia.
* One, the production of shale oil and gas has largely diminished US dependence on the imported energy from West Asia.
* Two, the US economic turndown has put severe limitations on its power projection worldwide.
* The US federal government shutdown for over two weeks over budget allocations has rung alarm bells worldwide
* The fact that President Obama had to call off his week-long visit to Asia to attend the APEC and ASEAN summits has raised serious questions regarding the US security assurances and economic contribution to Asia-Pacific as also to West Asia.
* Asia-Pacific is bound to remain at the top of the US foreign policy agenda till the international situation warrants a relook.
* In coming years, the US global posture may set less ambitious goals and allocate fewer resources to pursue them.
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Indian Issue
Is It Time to Withdraw the Army from Kashmir
* A study of insurgencies reveals that security forces tend to lose the support of intelligentsia and media, as the movement tends to prolong.
* It is often a result of either low levels of violence or casualties, beginning of an electoral process and the re-establishment of local administration machinery
* army vetoing government proposals on Siachen troops withdrawal and dilution of Armed Forces Special Powers Act (AFSPA).
* if Hizb or Lashkar thugs again surface some place, you can easily confront them with overwhelming force within minutes.
* need to build upon the peace dividend
* The assertion that the army can veto a government proposal on issues like Siachen or AFSPA, is either a case of misunderstanding of constitutional powers and privileges, or an under estimation of parliamentary democracy.
* Therefore, while the advice of the army on both issues is in public domain to deduce that this advice functions as a veto, is a gross overestimation of the powers and influence of the men in uniform.
* 2013 witnessed the highest ceasefire violations in eight years.
* sharp increase in security force casualties
* This was also accompanied by higher numbers of successful infiltration,
* the Af-Pak region suggest that the de-induction of US led forces from Afghanistan in 2014, is likely to become a tipping point for Pakistan to re-establish its control by proxy in that country.
* the end of war in Afghanistan is definitely likely to result in release of Pakistani forces deployed in the region and their re-deployment along traditional areas of the border with India
* Both these factors will strengthen Pakistans ability to heighten tensions along the Line of Control (LoC),
* The final assertion deals with the ability to redeploy in case of an adverse situation in a matter of minutes.
* It needs to be understood that the mere deployment of a force is not a guarantee for its immediate effectiveness.
* Unlike flag marches in aid to civil authorities, deployment in terrorist infected areas requires the buildup of operational and intelligence network by units, which takes months if not years of diligent effort along with the conditions both on the LoC and inside the state, before a decision on the issue is taken.
India in a tough neighbourhood
* Indias approach in crafting a good neighbour policy with its South Asian sisters comes from the strategic calculation that our security does not exist in a vacuum
* For India, the perils of proximity have only grown.
* This does not mean we turn our back on the world or our neighbours.
* Rather, we must grow our comprehensive national strength in the economic, scientific, technological, military and communication fields, in order to craft astute responses to the challenges.
* By virtue of geography, territorial size, economic heft, extent of development, military capability and, the size of our population, India has a preponderant and central presence in South Asia.
* None of our neighbours (except Afghanistan vis-a-vis Pakistan and vice versa) can interact with the other without traversing Indian territory, land, sea or airspace.
* India and its neighbours in South Asia are integrally bound by ties of ethnicity, language, culture, kinship and common historical experience.
* The Himalayas and the Indian Ocean are the physical boundaries for India, and equally for South Asia, as a region. India exists as the hub for South Asia.
* There is merit in the reasoning that India should concern itself with the nature of any external influence or presence within the confines of South Asia since threats to its national security can emanate from the working of such influences.
* Our neighbourhood will remain tough as long as our neighbours harbour tendencies and foster elements that see the targeting of India as adding incrementally to their (false) sense of security and well-being.
* This is a calculus that is self-destructive as the growing tide of domestic terrorism and insurgency in Pakistan created out of a sustained fostering of terror groups by some sections of the establishment would indicate.
* . The incursions and military provocations from across the Line of Control are another manifestation of this calculus.
* We are yet to see any realisation in Pakistan that pointing the gun at India in Afghanistan through terror groups and their affiliates who wage a proxy war can never bring peace to the Afghan people.
* Neither will treating Afghanistan as an instrument to build strategic depth against India help Pakistan.
* India has always stated its intention to continue to invest and to endure in Afghanistan because the Afghans need us and we will not abandon them.
* The rising tide of democracy in Pakistan, we hope, can alter the trajectory of mayhem and violence that emanates from its soil
* It makes sense for India to substantively develop its partnership with the U.S. and demonstrate strategic foresight to plan and provide for this relationship.
* As 2014 approaches, and the U.S. and its allied forces prepare to draw down (and possibly withdraw totally) from Afghanistan, strategic planners have to assess the options available to India.
* India must not hesitate to work to strengthen the international and regional coalition for Afghanistan, and ensure that a democratically elected government is not left to fight the forces of medieval extremism and radicalism on its own.
Balance of interests
* Indias northeastern States would be benefited by smoother access through Bangladesh to the rest of India.
* In the case of Bangladesh we need to develop a whole of government approach that enables a concerted approach of consultation involving all the States that border that country so that a critical balance of interests is evolved without sacrificing national interest.
* The welfare of Nepalis should be at the core of Indias relationship with Nepal and the strengthening of mutual trust and strategic reassurance that Nepal can always count on Indian support and friendship is essential.
* Any use of Nepali territory by alien, adversarial forces to threaten and weaken Indias security concerns us.
* we can well afford to be more generous with meeting the needs of neighbours like Nepal and Bangladesh in order to cement trust and confidence and also to safeguard our national security.
* Myanmar is our land gateway to Southeast Asia. Its northern part defines the landscape of the India-China-Myanmar triangle.
* Security cooperation with Myanmar to counter insurgencies in our northeast is vital as also the fast-tracking of road and multimodal transportation projects to build connectivity
* Anti Rohingya violence in Myanmar has had its reverberations in India, and bears close monitoring.
* For Sri Lanka, India is the only near neighbour.
* The unfolding scenario of ethnic conflict and civil war spelt disaster for all communities in Sri Lanka, with nobody more affected than the Tamil population of the North and East.
* The repercussions for India in terms of the assassination of Rajiv Gandhi were tragic.
* The end of the civil war is a historic opportunity for reconciliation and the healing of wounds of a bitter divide that pitted one Sri Lankan against another.
* it is in the interest of both of us neighbours, that the pride and self-esteem, the self-respect of the Tamil minority in Sri Lanka is not eroded,
* they are treated with magnanimity and that they are able to contribute their talents, their knowledge, and their effort for the progress of Sri Lanka.
* India, Sri Lanka and the Maldives have institutionalised their cooperation on maritime security issues.
* This is a constructive development that creates a progressive template for security in our region.
* China is our largest neighbour. The challenge is to manage our relationship with China despite inherent complexities and embed it in the matrix of dialogue and diplomacy.
* The China factor has understandably influenced our security calculus. It subsumes bilateral issues and Chinas regional profile and military capabilities.
* The dispute over territory, in our language the boundary question, has existed for over 50 years.
* to promote and sustain mechanisms to maintain peace and tranquillity.
* West Asia is vital for India, from the point of view of fighting terrorism, the welfare of the 6.5 million Indians who live there, energy security and fighting piracy.
* We have been active in supporting dialogue processes in the region, whether it is on the Palestinian question, or seeking a way out of the nuclear conundrum surrounding Iran.
* New contours
* Differing challenges require a mix of approaches to address them
* a firm and clear strategic calculation that ensures the uncompromising defence of our security interests,
* the pursuit of foreign policy goals that stress dialogue and negotiation to achieve solutions to long-standing problems, and do not forego the people-centred dimension that is an essential ingredient of all viable diplomatic relationships.
* The future has promise, but to embrace it, we must ensure an objective, clear headed understanding of the present and its possibilities.
Cabinet nod for FTA in trade and services with Asean
* approved a free trade agreement (FTA) in trade and services with the Association of Southeast Asian Nations (Asean).
* The Agreement on Trade in Services and Agreement is to be signed under the Comprehensive Economic Cooperation (CECA) between India and the Asean.
* The CECA between India and Asean was signed in 2003. The Cabinet approved the Agreement on Trade Goods under the CECA with the Asean in July 2009.
* aimed at boosting the movement of Indian professionals in the 10-nation Asean. Member countries include countries like Singapore, Malaysia and Indonesia.
* protect, promote and increase foreign investment flows into the country and also removes and barriers, said the sources.
International Laws related
International law only for weaker states?
* November 23 this year of an air defence identification zone (ADIZ) extending to territories it does not control and Americas arrest,
* Americas arrest, strip search and handcuffing of a New York-based Indian woman diplomat on December 12 for allegedly underpaying a domestic help she had brought with her from India
* In truth, these actions epitomise the unilateralist approach of these powers.
* A just, rules-based international order has long been touted by powerful states as essential for international peace and security.
* reinterpreting or making new multilateral rules to further their geopolitical and economic interests.
* The League of Nations failed because it could not punish or deter some powers from flouting international law
* Today, the United States and China serve as prime examples of a unilateralist approach to international relations,
* Disregarding global treaties
* Take the U.S. Its refusal to join a host of critical international treaties from the 1982 United Nations Convention on the Law of the Sea (UNCLOS) and the 1997 U.N. Convention on the Law of the Non-Navigational Uses of International Watercourses, to the 1998 International Criminal Court Statute has set a bad precedent.
* Add to this its international invasions in various forms, including cyber warfare and mass surveillance, drone attacks and regime change.
* Unilateralism has remained the leitmotif of U.S. foreign policy
* U.S. militarily intervened in Libya and effected a regime change in 2011 an action that has boomeranged, sowing chaos and turning that country into a breeding ground for al-Qaeda-linked, transnational militants, some of whom assassinated the American ambassador there.
* Carrying out foreign military interventions by cobbling coalitions together under the watchword youre either with us or against us has exacted as Iraq and Afghanistan show a staggering cost in blood and treasure without advancing U.S. interests in a tangible or sustainable manner.
* Chinas growing geopolitical heft has emboldened its muscle-flexing and territorial nibbling in Asia in disregard of international norms.
* China rejects some of the very treaties that the U.S. has declined to join, including
* the International Criminal Court Statute and the Convention on the Law of the Non-Navigational Uses of International Watercourses the first ever law that lays down rules on the shared resources of transnational rivers, lakes and aquifers.
* Yet, the worlds most powerful democracy and autocracy have much in common on how they approach international law.
* The only major country that has still not ratified UNCLOS is the U.S., preferring to reserve the right to act unilaterally.
* Nonetheless, it seeks to draw benefits from this convention, including freedom of navigation of the seas.
* China still appears to hew to Mao Zedongs belief that power grows out of the barrel of a gun. So, it will not consider international adjudication to resolve its territorial claims in, say, the South China Sea, more than 80 per cent of which it now claims arbitrarily.
* Indeed, it ratified UNCLOS only to reinterpret its provisions and unveil a nine-dashed claim line in the South China Sea and draw enclosing baselines around the Japanese-controlled Senkaku Islands in the East China Sea.
* Worse still, China has refused to accept the UNCLOS dispute-settlement mechanism so as to remain unfettered in altering facts on the ground.
* The Philippines, which has since 2012 lost effective control to a creeping China, of first the Scarborough Shoal and then the Second Thomas Shoal, has filed a complaint against Beijing with the International Tribunal for the Law of the Sea (ITLOS).
* Beijing, however, has simply refused to participate in the proceedings, as if it were above international law.
* Beijings new air defence zone, while aimed at solidifying its claims to territories held by Japan and South Korea, is provocative because it extends to areas China does not control, setting a dangerous precedent in international relations.
* China and Japan, and China and South Korea, now have duelling ADIZs, increasing the risks of armed conflict, especially between Japan and China, in an atmosphere of nationalist grandstanding over conflicting claims.
* Before every country asserts the right to establish an ADIZ with its own standards, binding multilateral rules must be created to ensure the safety of commercial air traffic. But who will take the lead the two countries that have pursued a unilateralist approach on this issue, the U.S. and China?
* Despite a widely held belief that the present international system is pivoted on rules, the fact is that major powers as in history are rule makers and rule imposers, not rule takers.
* They have a propensity to violate or manipulate international law when it is in their interest to do so.
BCIM corridor key to development of border regions
* India's development initiatives in the Mekong region and China's growing presence in South Asia are now converging in the BCIM (Bangla, china India Myanmar) region.
* The ideas driving the BCIM economic corridor project are a combination of domestic and external interests of both New Delhi and Beijing, notwithstanding the security reservations in some quarters of the Indian establishment.
* The past decades have witnessed phenomenal economic growth in both India and China.
* A major challenge has been to address the economic imbalance between the coastal developed regions and the underdeveloped frontier regions.
* Since the launching of the "Gateway Strategy" in 2009, Yunnan has been made the gateway to Southeast and South Asia with several networks of road, rail, and air connectivity being planned to connect Yunnan with the neighboring countries.
* An important part of the strategy is to revive the ancient "Southern Silk Road," believed to have connected China with India
* Within the renewed China's "Going Out" policy, Yunnan's geographical location that shares common borders with Myanmar, Laos and Vietnam is seen as the gateway.
* Similarly, India's landlocked Northeast region has lagged behind compared to other parts of the country.
* the Northeast region shares common borders with Bhutan, Bangladesh, Myanmar and China, making it the bridge between India and its eastern neighbors.
* The border regions of the BCIM countries have a complex development-security nexus.
* The BCIM region has a geographical advantage of connecting South, Southeast and East Asia. This subregion is viewed as having the potential to promote the economic integration of Asia.
* China's rethink of its "Going Out" policy in the region, particularly, after its experiences in Myanmar, is critical for the BCIM project.
* An engagement policy that is guided by respect and sensitivity to culture and the environmental concerns of local people is key for the success of "win-win cooperation" in these border regions of BCIM countries, which are rich in biodiversity and ethnically diverse people.
* he BCIM economic corridor has the potential of transforming a conflict zone into a cooperation zone.
BCIM corridor gets push after first official-level talks in China
* Four nations have for the first time drawn up a specific timetable on taking forward plan
* emphasising the need to quickly improve physical connectivity in the region, over two days of talks in the south-western Chinese city of Kunming the provincial capital of Yunnan, which borders Myanmar
* The corridor, it was agreed, will run from Kunming to Kolkata, linking Mandalay in Myanmar as well as Dhaka and Chittagong in Bangladesh.
* The plan would advance multi-modal connectivity, harness the economic complementarities, promote investment and trade and facilitate people-to-people contacts,
* Officials acknowledged that security concerns in parts of Myanmar were one likely obstacle, although representatives from the country also expressed optimism that this issue would, in time, be overcome.
Science and technology
India to push for freeing Internet from U.S. control
* India has decided to challenge the U.S. governments control over the Internet
* India will also push for storing all Internet data within the country, besides ensuring control and management of servers.
* In view of its growing cyber security concerns
* Similarly, all traffic originating/landing in India should be stored in India,
* Notably, the key function of domain name system (DNS) management today is in the hands of the U.S. National Telecommunication and Information Administration and the Department of Commerce.
* India managed to get root servers installed in the country,
MERS-CoV virus has been identified in Qatari farm camels
* Camels are catching a virus that has been sickening people in the Middle East, according to research just published.
* But the study has been unable to establish whether such animals could be a source of human infections.
* The Middle East respiratory syndrome coronavirus (MERS-CoV) was first reported just over a year back.
* Since then, the World Health Organisation has been informed about 165 laboratory-confirmed cases of people infected by the virus, over 40 per cent of whom died.
* Although antibodies to MERS-CoV had not been found in animals other than camels, they should not be ruled out as potential hosts for the virus at this stage
* The receptor molecule that the virus used to infect cells was found in goats and sheep, among other animals, she noted in an email.
Potential malaria vaccine discovered
* Researchers have discovered a key process during the invasion of the blood cell by the Malaria parasite, and have found a way to block this invasion.
* With this new knowledge, the scientists from Singapores Nanyang Technological University (NTU) are looking to collaborate with the industry on a vaccine against malaria which can be developed within the next five years if accelerated by vaccine development companies.
Mass spectrometry: the most important analytical tool of modern times
* With it, it is possible to measure the mass spectrum of complex proteins, extremely fragile molecular assemblies and even intact cells
* Mass spectrometry (MS), arguably the most important analytical spectroscopic tool of modern times, is in its centenary year in 2013 along with two other celebrated discoveries of science, the Bohr atom model and the chemical bond of G. N. Lewis; both have profound connections to the first.
* The technique is used to explore the chemical constitution of molecules from this planet and beyond, e.g. the hydrocarbon seas of Saturns moon Titan.
* It is used to understand the fundamental atomic and molecular processes and at the same time those of immediate relevance to events within cells. As a technique, it helps to control processes in chemical and biological industries, diagnose diseases, discover new drugs, protect the environment and explore mysteries of nature.
* In 100 years, it has been used to separate much of the uranium 235 used to make the Little Boy (the bomb that was dropped onto Hiroshima in 1945), led to understanding of thousands of chemical reactions, to the discovery of new molecules, to the resolution of protein structures, to solve crimes and to provide answers to complex questions of nature.
* In each of these areas (forming ions, analysing their mass, detecting them) innovations have led to multiple mass spectrometric techniques.
* The most important developments have happened in ion formation. Years ago, it was necessary to evaporate a sample to generate vapours and bombard these with a stream of electrons in order to make ions, a process which required vacuum.
* It is possible to understand the spectrum of molecules from the surface of a rose while the plant is alive. Mass spectra of molecules metabolites or drugs or cancer markers can be measured on a patients skin or in his/her blood.
* Mass spectrometers may soon arrive in physicians consulting rooms.
* It has been demonstrated that they can help in diagnosis during complex surgeries within the operating theatre.
* it is surprising that mass spectrometry is being removed gradually from our science curriculum. Mass spectrometry concerns ion chemistry and physics with an emphasis on scientific instrumentation.
* The Nobel committee over many years has demonstrated its appreciation for scientific instrumentation; this is a lesson we in India cannot afford to discard.
The green network
* Environment Monitoring Forum (EMF)
* TARGET: To address social issues that concern the environment at the regional level and to learn to live in harmony with nature
* ACTIVITIES: The Environment Monitoring Forum has always articulated that development should be streamlined with a steady focus on sustainability.
* IMPACT: Through several of its initiatives, the Environment Monitoring Forum could bring about better awareness on ecology related issues at the regional level.
* Greenhouse gas emissions will dry up water resources, warns UN panel
* A leaked final draft of the UN scientific panel on climate change report has warned of the risks that the world faces from climate change impacts if the greenhouse gas emissions are not curtailed and countries do not adapt quickly enough.
* The lack of adaptation efforts in developing countries has lead to significant vulnerability and exposure from extreme climatic events, such as heat waves, droughts, floods and wildfires, the report notes.
* For agriculture dependent countries such as India, the report warns of ominous changes in crop yields.
* With or without adaptation, climate change will reduce median yields by 0-0.2% per decade for the rest of the century, as compared to baseline without climate change.
* This would happen against a surging 14% increase in demand of food crops every decade till 2050.
* These are extracted from the Chapter on Asia in the main report. The summary says the key risk to Asia arises from increased flooding leading to widespread damage to infrastructure and settlements,
* heat-related mortality and increased risk of drought-related water and food shortages causing malnutrition.
* The scientific panel also draws from another future report on mitigation to warn that emissions are rising so fast and unchecked that scenarios, which are more likely than not, to limit temperature increase to 2 C are becoming increasingly challenging,
* and most of these include a temporary overshoot of this concentration goal.
* This emission growth was not met by significant greenhouse gas emission cuts in the industrialized country group, which continued to dominate historical long-term contributions to global carbon dioxide emissions.
* In 2010, median per capita greenhouse gas emissions in high income countries were roughly ten times higher than in low-income countries.
* In 2010, median per capita greenhouse gas emissions in high income countries were roughly ten times higher than in low-income countries.
Economics
Bitcoin puzzle might prompt advisory from Indian regulators
* As regulatory glare increases on Bitcoin globally and its exchange rates become extremely volatile,
* Indian authorities may soon issue a public advisory to warn against potential risks associated with this new digital currency concept.
* While US has declared that all prevailing money laundering laws would apply to bitcoins,
* China has asked its banks and other financial institutions not to deal in bitcoins and the public has been asked to do so at their own risk.
* Besides, France last week warned its banks about risks related to bitcoins.
* At the same time, the experts are also raising concerns about cyber security issues,
* "The concept of a digital currency, unregulated by any monetary authority, is a recipe for disaster. The RBI must step in and regulate this immediately.
* So, Bitcoin can very well be used to finance terror."
Are Indian NBFCs Shadow Banks? Do They Pose Systemic Risks?
What Is Shadow Banking?
* shadow banks as the whole alphabet soup of levered up non-bank investment conduits, vehicles, and structures.
According to Acharya et al (2013), some of the key points that have emerged are:
(a) A shadow banking system conducts maturity, credit and liquidity transformation outside the traditional banking system (Pozsar et al 2010):
Thus, not only is shadow banking usually (but not always) less regulated than the traditional banking system (Acharya and nc 2010), there is also no explicit access to central bank liquidity or public sector credit guarantees
(b) A shadow banking system decomposes the process of credit intermediation into a sequence of discrete operations
Therefore, it can be a collection not only of single financial entities acting independently, but also of (and usually is) networks of multiple financial entities acting together: banks, formal and informal non-bank financial institutions, and even credit rating agencies, regulators and governments
* The shadow banking system can broadly be described as credit intermediation involving entities and activities (fully or partially) outside the regular banking system.
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking,
* but the regular banking system is also excluded, which is a problem because even regular banks can get involved in shadow banking activities
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking, but the regular banking system is also excluded,
* which is a problem because even regular banks can get involved in shadow banking activities
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking, but the regular banking system is also excluded, which is a problem because even regular banks can get involved in shadow banking activities
* above definitions are based on the experiences in the US and EU.
Indian NBFCs
* Adopting the FSBs broad definition, the Reserve Bank of India (RBI) the regulator of the Indian NBFCs
* considers the NBFCs as quintessentially epitomising the shadow banking system as they perform bank like credit intermediation outside the purview of banking regulation in India
* To sum up, there is no definite answer to the question of whether the Indian NBFCs are shadow banks or not, because if we adopt the FSBs (2011) broad definition,
* A better question can be whether or not Indian NBFCs can create systemic risks.
* Put differently, it may be better if we are concerned with the systemic risks the Indian NBFCs might create. (This does not mean that other Indian financial institutions such as commercial banks cannot create systemic risks.)
* An ongoing debate in India is whether or not Indian non-banking fi nancial companies (NBFCs) are shadow banks.
RBI RELATED
A course correction?
* The new understanding is that to spur growth, private investment has to be supported
* The Reserve Bank of Indias (RBI) decision to hold the policy rates in its mid-quarter policy review
* current inflation is too high how it will move in the short term is uncertain.
* So the call is to act when the inflation trend is better understood.
* Latest available official data shows food inflation was growing at 19.93 per cent in wholesale prices and 14.72 per cent in retail prices in November.
* RBI data shows vegetable prices are climbing down.
* As the economy is weak, said Dr. Rajan, the RBI resisted monetary policy overreaction at this stage
* Indias economic growth mid-90s onwards was led by private investment and not government spending-led pump priming.
* The best way to support or boost growth in the Indian economy is going to be facilitation and incentivisation of private investment.
* the government has said it is pressing in spending cuts, including in the social sector, to keep its fiscal deficit within the committed target.
* These cuts will reduce inflation more effectively as social sector spending puts money in the hands of people who are completely out of the transmission channels of the monetary authority.
* The RBIs interest rate hikes so far have been blunt on food inflation though manufacturing inflation is down drastically.
* In fact, RBIs inflation fight has reduced demand for manufacturing products, pushing the factory output growth into negative territory.
* Inflation, Dr. Rajan is expecting, will get contained by factors such as the negative output gap, the services growth slowdown, the lagged effect of the RBIs June policy action, the disinflationary impact of the exchange rate stability and, in some measure, the governments spending cuts.
* The RBI has long maintained that monetary policy is blunt on food inflation.
Admin-all the polity, Admin, Development related items
North-East (NE) India represents a mosaic of diverse geographical features inhabited by different peoples with distinct ethnic markers.
* 1894.1 It was considered as merely a peripheral space perceived as inhabited by poorly administered and unadministered tribals with distinct ethnic and cultural markers.
* The terminology NE got a boost in post-Independence India when Prime Minister Pandit Jawaharlal Nehru created the North-East Frontier Agency (NEFA)
* Koms success catapulted the NE story into the spotlight of the country. Her achievement not only generated solidarity and pride among the people of the region, it also awakened many Indians to the region.
* A conflict between the Bodo community and the perceived illegal immigrants took a different turn with the problem snowballing into an issue between the NE people and other Indians
* serious administrative mishandling and totally misconceived notions about the complexities of the region by the Indian state
* It is a region where the people repeatedly challenge the Indian nation-building process based on the one nation theory.
* some consider the NE as a coinage that explains the relation of unequal power and politics between the centre and the perceived periphery.
* New Delhi deals with the local regimes of corruption and repression.
* New Delhi tolerates and even supports localised autocracy as a means to manage security threats (Lacina 2009). E
* The assertion of ethnic identities and movements is not confined to the larger communities or nationalities;
* many of the smaller communities in the region are also asserting and articulating their rights, interests and identities
* voices that hardly reach the corridors of Delhi.
* silently bear the ill-treatment or indifferent attitude meted out to them
* The politics of tussle between the peripheral voices and the locally dominant centre
* Indigenous tribal elites in the hills of Manipur were sensitive to their relatively vulnerable status
* The media too played a crucial role in shaping the image of the region,
Notes
1 The region acquired the name the North-East Frontier Tract (NEFT) in 1914, after the Assam province became a separate unit directly administered by a governor general. The NEFT later became a part of Assam, after Indias Independence in 1947.
2 NEFA, created during the interim period was a centrally-controlled administrative unit under the then governor of Assam. On 21 January 1972, NEFA became the Union Territory of Arunachal Pradesh, and ultimately a state (present-day Arunachal Pradesh) of the Indian Union.
3 North-Eastern Hill University, a central university was set up for the whole region with the primary objectives of benefiting the indigenous tribals of the region.
Poverty Related
* Tendulkar committee based its definition on purchasing power parity.
* A survey among the Indian or global poor on what poverty is would lead to a definition widely divergent from that of governments and economists.
* A poorly-created poverty measurement index easily misrepresents and often reduces the poverty in a society. In doing so, it decreases the responsibility of the privileged and the powerful to improve the condition of the less privileged.
* In the long-term, such discourses fracture societies, eventually leading to unrest, inequality, internalised dissatisfaction and eventual conflict.
* The point to consider, then, is who should define poverty and why the poor should not lead this process?
* Poverty, as defined by the poor, must converge at some point with the states definition.
Why?
Because if our definitions of what poverty is can be so vastly divergent, how can any programmes designed for poverty alleviation ever truly succeed?
* There is a need to recognise that poverty is multi-dimensional.
After all, despite rising above the poverty line, millions of Indians continue to lack access to safe water, sanitation, housing, nutrition, health and education.
Unless we take into account what poverty means to the poor, measuring or reducing it will continue to remain a game of deliberate obfuscation.
The sugar imbroglio
* A little over a year after the Rangarajan Committee, which went into the regulatory and business aspects of the industry submitted its report,
* only a part of its sensible recommendations have been implemented.
* crucial recommendation on revenue-sharing between sugarcane farmers and sugar mills has been ignored.
* especially Uttar Pradesh which accounts for the bulk of the sugarcane output had implemented the recommendation and not gone ahead and announced their own prices for procurement by mills.
* mills are in poor financial shape
* consequent slump in prices.
* bailout package for them.
* The package includes interest-free loans adding up to Rs.7,500 crore with favourable repayment terms, restructuring of existing loans, incentives for the production of 4 million tonnes of raw sugar for exports, and doubling of ethanol blending in petrol to 10 per cent.
* 5 per cent blending is not happening due to disagreements over pricing.
* The Rangarajan Committee recommended a 70:30 revenue-sharing mechanism between farmers and mills,
* The Statesshould adopt the Committees formula, which is not only transparent but has been arrived at after a study ofthe cost structuresof sugarcane farming and sugar mills.
Continuation of ongoing State Plan scheme of Rashtriya Krishi Vikas Yojana (RKVY) during 12th Five Year Plan
1. The Cabinet Committee on Economic Affairs has approved the continuation of the ongoing state Plan Scheme of Rashtriya Krishi Vikas Yojana (RKVY) in the 12th Plan
2. One of the basic objectives of RKVY is to incentivize investments in agriculture and allied sectors by linking state wise allocation of RKVY funds to the increased share of State plan expenditure in agriculture and allied sectors.
Background:
1. The Rashtriya Krishi Vikas Yojana (RKVY) is a continuing scheme under implementation from the 11th Five Year Plan period.
2. RKVY is a State plan scheme that provides considerable flexibility' and autonomy to States in planning and executing programmes for incentivizing investment in agriculture and allied sectors.
Approval of Integrated Mission for Development of Horticulture during 12th Plan
1. Economic Affairs has approved a Mission for Integrated Development of Horticulture (MIDH) for implementation during the 12th Plan with an outlay of Rs. 16,840 crore, a centrally sponsored scheme.
2. Implementation of MIDH is expected to achieve a growth rate of 7.2 percent in the horticulture sector during the 12th Plan,
3. besides generating skilled and unskilled employment opportunities in rural and urban areas.
4. The scheme will cover all States and Union Territories (UTs) of India.
5. While the NHM scheme will be focusing on 18 States and UTs, the Horticulture Mission for North East and Himalayan States (HMNEH) scheme will cover all States in the North East and Himalayan region of the country.
6.National Horticulture Board (NHB) scheme will address developmental issues on commercial horticulture through entrepreneurs involving institutional financing.
7. The National Bamboo Mission (NBM) will address developmental issues on bamboo, whereas the Coconut Development Board (CDB) schemes will focus on development of the coconut sector.
Background:
1. India has a wide and varied horticulture base, which includes fruits, vegetables, tuber crops, mushrooms, spices, medicinal and aromatic plants, flowers and foliage and plantation crops like coconut, areacanut, cashewnut, cocoa and bamboo.
2. The horticulture sector has been an engine of growth for the rural economy while providing food and nutritional security to the people.
3. The horticulture sector has been an engine of growth for the rural economy while providing food and nutritional security to the people.
4. Implementation of the Centrally sponsored and Central sector schemes has provided necessary stimulus to the horticulture sector
5. Implementation of Centrally Sponsored Scheme Livestock Health and Disease Control
Economic Affairs has approved the proposal of the Department of Animal Husbandry, Dairying and Fisheries for implementation of the on-going Centrally Sponsored Scheme "Livestock Health & Disease Control" (LH & DC) in the 12th Plan with certain modifications and expansion of existing components.
6.modifications and expansion of the national control programmes including addition of one new component on control of classical swine fever
enable effective tackling the issue of livestock health and strengthing the existing efforts to 7.manage the animal diseases,
Accordingly, besides modification of existing components, the scope of Foot and Mouth Disease and Peste des petits Ruminants (PPR) Control Programmes will be expanded to cover all the districts during 12lh Plan.
8. A new component, viz., Classical Swine Fever Control Programme has also been included in the scheme.
Continuation of central sector Integrated Scheme on Agriculture Census, Economics and Statistics during 12th Plan
The Cabinet Committee on Economic Affairs has approved continuation of the Central Sector Scheme "Integrated Scheme on Agriculture Census, Economics & Statistics" with some modifications.
The total plan outlay will be Rs.1091 crore during 12th Plan.
The following modifications are approved:
i. Restructuring of studies in Agriculture Economic Policy and Development scheme by dividing it into three independent components namely,
(a) comprehensive scheme of Cost of Cultivation of Principal Crops in India,
(b) Agro Economic Research Centers (AERC) and
(c) Scheme of Planning, Management & Policy Formulation, and discontinuing the component of Drought Management with effect from 2014-15.
ii. Enhancement of rate of honorarium to the staff from the existing rate of Rs. 700/- per village to Rs.1000/- per village each for phase-I and II of the Agriculture Census.
iii. 2nd Inter-Ministerial Committee for Cost of Cultivation Scheme will be set up to address the implementation and administrative issues.
The existing pattern of funding to Agro-Economic Research Centres (AERC) will continue till the terminal year of the 12th Five-Year Plan.
Approval for modification and continuation of Dairy Entrepreneurship Development Scheme during the remaining period of 12th Plan
1. The Cabinet Committee on Economic Affairs has approved modification and continuation of the Dairy Entrepreneurship Development Scheme (DEDS) during the 12th Plan with an outlay of Rs.1400 crore to generate self employment opportunities in the dairy sector,
2. covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk.
3. The Cabinet Committee on Economic Affairs has approved modification and continuation of the Dairy Entrepreneurship Development Scheme (DEDS) during the 12th Plan with an outlay of Rs.1400 crore to generate self employment opportunities in the dairy sector, covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk.
4. The funding Pattern will be as follows:
a) Entrepreneur contribution (Margin) -10% of project cost (Minimum)
b) Back ended capital subsidy @ 25% of the project cost for general category and @ 33.33 % for SC/ST farmers. The component-wise subsidy ceiling will be subject to indicative cost arrived at by NABARD from time to time.
c) Bank Loan - Balance portion.
5. The objectives of "DEDS" are to generate self-employment and provide infrastructure for dairy sector,
6. set up modem dairy farms and infrastructure for production of clean milk, encourage heifer calf rearing for conservation and development of good breeding stock,
7.bring structural changes in the unorganized sector (so that initial processing of milk can be taken up at the village level), upgrade traditional technology to handle milk on commercial scale, and provide value addition to milk through processing and production of milk products.
8.The National Bank for Agriculture and Rural Development (NABARD) will be the nodal agency for implementation of the scheme.
9. NABARD will implement the scheme through all Scheduled Commercial Banks, Regional Rural and Urban Banks, State Cooperative Banks, State Cooperative Agriculture and Rural Development Banks and such other institutions, which are eligible for refinance from NABARD.
10. The proposals will be sanctioned by the banks as per guidelines of RBI, NABARD and Government of India.
11.The eligible beneficiaries of the scheme will be agricultural farmers, individual entrepreneurs, self-help groups, dairy cooperative societies, milk unions, milk federation, panchyati raj institutions (PRls) etc.
12. The scheme will be implemented throughout the country and cover all sections of society including women, the landless and small and marginal farmers in rural and urban areas.
.
Approval to set up an Alternative Investment Fund Category I and for receiving contributions from international investors
1.The Cabinet Committee on Economic Affairs has approved the proposal of M/s IDFC Trustee Company Limited to set up the India Infrastructure Fund II, to be registered as the Alternative Investment Fund (AIF) Category I with the Securities and Exchange Board of India (SEBI) as recommended by the Foreign Investment Promotion Board (FIPB).
2.The Indian Infrastructure Fund II is aimed at making investment primarily in the sectors of energy utilities, transportation, aviation, telecom infrastructure, other urban infrastructure and public utilities. The fund is targeted to receive contribution from international investors up to Rs.5500 crore.
India-China agree to exchange information on Brahmaputra basin
1. India and China have agreed to share information on the hydro power projects activity being undertaken in the Brahmaputra river basin
2. China has agreed to share only hydro information.
3. In Brahmaputra, nearly 85 per cent of the water emanates from India.
4. We are able to tap only 5 per cent of it. We are also working on inter-basin water transfer in India,
5. Hydro power tariff becomes significantly lesser than coal based tariff over time; hydel plants have a much longer life as compared to coal fired plants; there is no strain on transport infrastructure for regular movement of fuel and saves precious foreign exchange.
Rare Earth in the Country
1. Indian Rare Earths Ltd. (IREL) a Public Sector Undertaking of the Department of Atomic Energy (DAE) produces monazite which is a prescribed substance under Atomic Energy Act 1962 and processes the same to produce mixed Rare Earth compounds.
2. IREL has set up a 10,000 tpa monazite processing plant at Odisha to produce mixed rare earth chloride and at Aluva, Kerala to produce separated high pure rare earth products.
3. An MoU has been signed between IREL, Bhabha Atomic Research Centre (BARC), Defence Metallurgical Research Laboratory (DMRL) & International Advanced Research Centre for Powder Metallurgy & New Materials (ARCI) for production of value added products of Rare Earths.
Science Centre
The Department of Science and Technology in collaboration with the Russian Ministry of Education and Science has jointly established the Indo-Russian Science and Technology Centre (IRSTC) with offices at New Delhi NCR region and in Moscow.
The following terms and references have been mutually agreed upon:
(i) Both sides (India and Russia) are to financially support the Centre in their respective country;
(ii) IRSTC is mandated to facilitate transfer of proven technology (at laboratory scale or pilot scale) to industry, both from India and Russia;
(iii) IRSTC is also mandated to explore for all possible technologies including nanotechnology;
(iv) IRSTC would provide services for information search; organize meetings, seminars and conferences, presentation, exhibitions and advertising of various available technologies;
(v) IRSTC would facilitate preparation and conclusion of technology transfer agreement between technology supplier and acquirer.
The following terms and references have been mutually agreed upon:
(i) Both sides (India and Russia) are to financially support the Centre in their respective country;
(ii) IRSTC is mandated to facilitate transfer of proven technology (at laboratory scale or pilot scale) to industry, both from India and Russia;
(iii) IRSTC is also mandated to explore for all possible technologies including nanotechnology;
(iv) IRSTC would provide services for information search; organize meetings, seminars and conferences, presentation, exhibitions and advertising of various available technologies;
(v) IRSTC would facilitate preparation and conclusion of technology transfer agreement between technology supplier and acquirer.
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
1. A Bilateral Investment Promotion and Protection Agreement (BIPPA) between the 2.Government of India and the Government of UAE was formally signed here today. The 3.Agreement was signed by Shri Namo Narain Meena, Minister of State (E&FS), on behalf of Government of India and H.E. Mr. Obaid Humaid Al Tayer, Minister of State for Financial Affairs of UAE on behalf of Government of UAE.
4. The text of the Agreement, which seeks to promote and protect investments from either country in the territory of the other country with the ultimate objective of increasing bilateral investment flow
5. It is hoped that the Agreement would serve as a catalyst in boosting investment flows between the two countries.
Health Ministry worried SC verdict will affect AIDS control
* ruling will prevent vulnerable communities from accessing health facilities for fear of discrimination and stigma.
* concerned that this will discourage people from seeking health care, and consulting with doctors, counsellors and health workers,
* The LGBT (lesbian, gay, bisexual and transgender) is defined as a high-risk group by the National AIDS Control Organisation
* The Department of AIDS Control provides inclusive healthcare service for gay men and transgenders primarily for checking HIV infections
* the service was being accessed by a large number of the LGBT community following the 2009 Delhi High Court judgement that had struck down Section 377 of the Indian Penal Code which criminalised unnatural sex.
* The HIV Estimation of 2012 suggests an overall reduction of 57 per cent in the annual new HIV infections (among adult population) from 2.74 lakh in 2000 to 1.16 lakh in 2011,
* While HIV prevalence shows declining trends among female sex workers, MSM, injecting drug users and single male migrants are emerging as important risk groups.
Greenhouse gas emissions will dry up water resources, warns U.N. panel
* final draft of the U.N. scientific panel on climate change has warned of the risks that the world will face if greenhouse gas emissions are not curtailed and countries do not adapt quickly enough.
* The final draft has been sent to all governments for review and comment before the report is finalised.
* The lack of adaptation efforts in developing countries has led to significant vulnerability and exposure from extreme climatic events, such as heat waves, droughts, floods and wildfires, the report says
* For agriculture-dependent countries such as India, the report warns of ominous changes in crop yields. With or without adaptation, climate change will reduce median yields by 0-0.2% per decade for the rest of the century
* This would happen against a surging 14% increase in demand for food crops every decade till 2050.
Food Security Uncertainties after Bali
* The Government of India claims "victory" at the WTO; it has only bought time.
* The WTO claimed the worlds poor would benefit from Bali, when in actual fact it oversaw a set of trade agreements that had imbalance written all over them with the developed countries walking away with the biggest gains.
* For India, the most important item on the agenda was to ensure that its current public distribution system (PDS) as well as the new food security programme under the National Food Security Act (NFSA) would not have to be curtailed if the food subsidy breached the ceilings decreed by the WTOs 1994 Agreement on Agriculture (AoA).
* While the AoA does permit governments to operate public stockholding programmes and provide foodstuffs to the poor at subsidised rates, the provisions of that agreement were sufficiently ambivalent to cause concern.
* Indias refusal at Bali to accept the peace clause option allowed it to extract some measure of protection.
* What has been agreed is that no developing countrys food security programme can be questioned at the WTO, pending negotiation of a permanent solution before the WTOs 11th ministerial meeting four years
* it leaves India with the Herculean task of negotiating an agreement which would either keep food security programmes altogether outside WTO disciplines, or substantially raise the permissible food subsidy, or revise the methodology for measuring the subsidy. Even if such a deal were to be negotiated, what price would India and other developing countries have to pay and where?
* The text of the agreement makes it clear that subsidies provided under public food stockholding programmes will not, for now, be questioned for any violation of the AoA,
* it is yet possible for India to find its expanded PDS under challenge at the WTO for violating the 1994 Agreement on Subsidies and Countervailing Measures.
* When compared to the 2001 Doha Declaration on TRIPS and Public Health, an agreement that made explicit the freedom that developing countries had under the WTO, the Bali text does indeed look weak.
* At Bali, India, along with all the other members of the trade body also had to sign up for a comprehensive agreement on trade facilitation.
* This WTO deal calls on countries to, broadly speaking, simplify customs procedures to permit the smoother flow of goods across borders.
* the developed countries will have to make minimal changes to their laws and only modest investments, the opposite will be the case for all developing country members, including India.
* The trade facilitation is a concrete achievement, of benefit to the developed world. But on the other side, the least developed countries and other developing countries were only given what are called best endeavour texts, i e, promises to address their concerns in subsidies, import tariffs and market access. This is the larger imbalance at Bali, an imbalance which has always marked the working of the WTO.
* The trade facilitation is a concrete achievement, of benefit to the developed world. But on the other side, the least developed countries and other developing countries were only given what are called best endeavour texts, i e, promises to address their concerns in subsidies, import tariffs and market access. This is the larger imbalance at Bali, an imbalance which has always marked the working of the WTO.
* New Delhi signalled that this was an area where it was willing to accommodate US interests, only to wake up at the last minute to the political costs that such a decision would entail?
Ending VIP culture in public governance
* The political executive and the permanent executive should realise they are public servants first and work in harmony to achieve the constitutional objectives
* the option to exercise the voting right to reject all contesting candidates by what is known as the none of the above option (NOTA)
* effecting the transfer of senior civil servants through a Civil Services Board
* civil servants necessarily obtaining written orders from their political masters before implementation
* A view has often been expressed that such intervention by the Supreme Court to improve the quality of public governance and democracy would amount to judicial overreach, not warranted by the spirit of the constitutional provisions
* the Union governments counsel to the effect that a draft Bill titled Civil Services Performance Standards And Accountability Bill, 2010 was under the governments consideration.
* the reluctance, indifference and insensitivity on the part of governments cannot be overlooked.
* The main reason for such an attitude seems to be the fear of erosion of political authority in governance
* Supreme Court judgments on such matters relating to public administration should not be seen as an issue between the political class and the permanent executive.
* On the other hand, it has to be seen as an attempt to promote good governance and quality democracy in order to achieve the rule of law and equality of opportunities.
* Let it be clearly understood that public governance in a democracy is not the private business of any one section. I
* It is the collective responsibility of the government as a whole.
* One of the issues highlighted in the discussions at the drafting stage was the anxiety to avoid concentration of power in a few individuals as naked greed for power will destroy democratic principles.
* We have to realise that there is an urgent need to change the countrys administrative culture if we have to survive as a nation
* We need to get away from the leisure culture where public holidays and delays contribute to deficiencies in the delivery of public service
National Crop Insurance Programmebeing Implemented fromCurrent Rabi Season
A new central sector scheme, National Crop Insurance Programme (NCIP) has been introduced by merging Modified National Agricultural Insurance Scheme (MNAIS), Weather Based Crop Insurance Scheme (WBCIS) and Coconut Palm Insurance Scheme (CPIS) throughout the country from Rabi 2013-14.
AdministrativeApprovalfor implementing NCIP from Rabi 2013-14 has been issued on 1stNovember, 2013.
NCIP has been introduced to provide financial support to the farmers for losses in their crop yield, to help in maintaining flow of agricultural credit,
1. to encourage farmers to adopt progressive farming practices and higher technology inAgricultureand thereby,
2. to help in maintaining production, employment & economic growth. Besides, farmers are also benefitted due to: -
* coverage of indemnity for prevented sowing/planting risk and post harvest losses (due to cyclone in coastal areas),
* higher level of indemnity and more proficient basis for calculation of threshold yield,
* faster settlement of claims due to provision for making 50% advance of likely claims under MNAIS component for immediate relief to the farmers, etc.
* To encourage the State Governments to implement the scheme at village/ village panchayat level, a provision to reimburse 50% of incremental expenses onCrop Cutting Experimentshas been made in the scheme.
Unit area of insurance has been reduced to the village/village panchayat level in the restructured scheme of National Crop Insurance Programme (NCIP).
All you want to know about Lokpal Bill
1. Lokayuktas: The new bill mandates states to set up Lokayuktas within 365 days. States have the freedom to determine the nature and type of Lokayukta.
The old bill said the law shall be applicable to states only if they give consent to its application.
The old bill gave power to the central government to appoint state Lokayuktas while the new draft gives this power to the states.
2. Constitution of Lokpal: The Lokpal will consist of a chairperson and a maximum of eight members, of which fifty percent shall be judicial members. Fifty percent members of Lokpal shall be from among SC, ST, OBCs, minorities and women.
The older version said the chairperson shall be the Chief Justice of India or a present or former judge of the Supreme Court or a non-judicial member with specified qualifications (chief justice or a judge of a high court).
3. Selection of Lokpal: The selection committee will have Prime Minister, Lok Sabha Speaker, leader of the opposition in Lok Sabha and the Chief Justice of India. A fifth member of the selection committee for selection of Lokpal under the category of "eminent jurist" may be nominated by the President on the basis of recommendation of the first four members of the selection committee.
In the old bill, selection of the fifth person was left entirely to the President.
4. Religious bodies and trust: The new bill includes societies and trusts that collect public money, receive funding from foreign sources, and have an income level above a certain threshold, it excludes bodies creating endowments for or performing religious or charitable functions.
The old bill expanded definition of public servant by bringing societies and trusts which receive donations from the public (over a specified annual income) and, organisations which receive foreign donations (over Rs 10 lakh a year) within the purview of the Lokpal.
5. Prosecution: In the new version, before taking a decision on filing a chargesheet in a case upon consideration of the investigation report, the Lokpal may authorise its own prosecution wing or the concerned investigating agency to initiate prosecution in special courts.
Under the old bill, prosecution of the case could be done only by the prosecution wing of the Lokpal.
6. Central Bureau of Investigation: For independence of the CBI, in the new bill a directorate of prosecution will be formed. Appointment of the director of prosecution will be on the recommendation of the Central Vigilance Commissioner.
Transfer of officers of CBI investigating cases referred by Lokpal will be only with the approval of Lokpal who will also have superintendence over CBI in relation to Lokpal referred cases.
7. Hearing: The new bill says a government servant will get a hearing before a decision is taken by the Lokpal.
8. Prime Minister: The Prime Minister will be under the purview of the Lokpal with subject matter exclusions and specific process for handling complaints against the Prime Minister.
9. Investigation: Inquiry has to be completed within 60 days and investigation to be completed within six months. Lokpal shall order an investigation only after hearing the public servant.
Inquiry against the prime minister has to be held in-camera and approved by two-thirds of the full bench of the Lokpal.
10. Penalty: False and frivolous complaints - imprisonment up to one year and a fine of up to Rs.1 lakh. Public servants - imprisonment up to seven years. Criminal misconduct and habitually abetting corruption - jail term up to 10 years.
Lokpal's journey to transparency
1966
Morarji Desai led First Administrative Reforms Commission recommends setting up of Lokpal at Centre and Lokayukta in states to look into complaints against public functionaries, including MPs
1968-2001
Successive governments introduce Lokpal bill eight times
2002
Justice MN Venkatachaliah led Constitution Review Commission stresses the need for Lokpal and Lokayuktas
2004
UPA-I's national common minimum programme promises that Lokpal bill would be enacted
2005
Veerappa Moily led Second Administrative Reforms Commission reiterates that Lokpal be established without delay
2011
Jan: UPA-II's GoM headed by Pranab Mukherjee suggests a range of anti-corruption measures, including the Lokpal bill
Apr 5: Anna Hazare begins his fi rst fast at Jantar Mantar demanding enactment of Jan Lokpal bill drafted by his team
Apr 9: Anna ends fast as the government forms a joint drafting committee consisting of ministers and civil society members
Jun 21: The last meeting of the drafting committee ends with the two sides coming up with separate drafts
Aug 4: Govt introduces a Lokpal bill, widely attacked as fl awed
Aug 8: Bill referred to standing committee
Aug 16: Anna launches second fast for Jan Lokpal bill
Dec 22: Govt re-introduces Lokpal and Lokayuktas bill
Dec 27: Lok Sabha passes bill
Dec 29: Introduced in Rajya Sabha
2012
Re-introduced in Rajya Sabha. Referred to select committee
2013
Dec 10: Anna Hazare begins fast in his village in Maharashtra, demanding urgent introduction of a new anti-corruption law
Dec 13: Amended bill tabled in Rajya Sabha
The Lokpal shall consist of
* (a) a Chairperson, who is or has been a Chief Justice of India or is or has been a Judge of the Supreme Court or an eminent person who fulfils the eligibility specified
* such number of Members, not exceeding eight out of whom fifty per cent. shall be Judicial Members:
* Provided that not less than fifty per cent. of the Members of the Lokpal shall be from amongst the persons belonging to the Scheduled Castes, the Scheduled Tribes, Other Backward Classes, Minorities and women.
* A person shall be eligible to be appointed, (a) as a Judicial Member if he is or has been a Judge of the Supreme Court or is or has been a Chief Justice of a High Court;
* (b) as a Member other than a Judicial Member, if he is a person of impeccable integrity and outstanding ability having special knowledge and expertise of not less than twenty-five years in the matters relating to anti-corruption policy, public administration, vigilance, finance including insurance and banking, law and management.
* The Chairperson or a Member shall not be (i) a member of Parliament or a member of the Legislature of any State or Union territory; (ii) a person convicted of any offence involving moral turptitude; (iii) a person of less than forty-five years of age, on the date of assuming office as the Chairperson or Member, as the case may be; (iv) a member of any Panchayat or Municipality; (v) a person who has been removed or dismissed from the service of the Union or a State,
* and shall not hold any office of trust or profit (other than his office as the Chairperson or a Member) or be connected with any political party or carry on any business or practise any profession and, accordingly, before he enters upon his office,
* a person appointed as the Chairperson or a Member, as the case may be, shall, if (a) he holds any office of trust or profit, resign from such office; or (b) he is carrying on any business, sever his connection with the conduct and management of such business; or (c) he is practising any profession, cease to practise such profession.
* 4.(1) The Chairperson and Members shall be appointed by the President after obtaining the recommendations of a Selection Committee consisting of (a) the Prime Ministerchairperson; (b) the Speaker of the House of the Peoplemember; (c) the Leader of Opposition in the House of the Peoplemember;
* (d) the Chief Justice of India or a Judge of the Supreme Court nominated by himmember; (e) one eminent jurist nominated by the Presidentmember.
* (2) No appointment of a Chairperson or a Member shall be invalid merely by reason of any vacancy in the Selection Committee.
* (3) The Selection Committee shall for the purposes of selecting the Chairperson and Members of the Lokpal and for preparing a panel of persons to be considered for appointment as such, constitute a Search Committee consisting of at least seven persons of standing and having special knowledge and expertise in the matters relating to anti-corruption policy, public administration, vigilance, policy making, finance including insurance and banking, law and management or in any other matter which, in the opinion of the Selection Committee, may be useful in making the selection of the Chairperson and Members of the Lokpal
* The President shall take or cause to be taken all necessary steps for the appointment of a new Chairperson and Members at least three months before the expiry of the term of the Chairperson or Member, as the case may be, in accordance with the procedure laid down in this Act.
* The Chairperson and every Member shall, on the recommendations of the Selection Committee, be appointed by the President by warrant under his hand and seal and hold office as such for a term of five years from the date on which he enters upon his office or until he attains the age of seventy years,
* Provided that he may
(a) by writing under his hand addressed to the President, resign his office;
or (b) be removed from his office in the manner provided in section 37.
* The salary, allowances and other conditions of service of
(i) the Chairperson shall be the same as those of the Chief Justice of India;
(ii) other Members shall be the same as those of a Judge of the Supreme Court
A cure worse than the malady?
* Not much will change under the new Lokpal for the Central Bureau of Investigation except that it will have one more master
* It took an eternity because of an obvious lack of political will and a fear of the unknown.
* There is a need to educate the common man on what he can and cannot expect from this new experiment.
* Lokpals members. This stipulation is because of the apprehension of frivolous complaints being made mainly to unsettle a government in position.
* It will have jurisdiction over all public servants under the Union government, including the Prime Minister.
* While it will have its own investigative wing, which will conduct a preliminary inquiry into a complaint received by it, the Lokpal can entrust such an inquiry to the Central Bureau of Investigation (CBI) or to any other agency. Significantly, the Lokpal can initiate prosecution through its own team.
* Such action will not have to wait until the prosecution successfully establishes the charge in a court of law..
* Strict exercise of this authority will certainly be lauded by the honest citizen, currently dismayed by the sight of corrupt public servants continuing to enjoy the fruits of their misdeeds even after being taken to task.
* But the Lokpal Bill comes as a disappointment to many of us who have been asking for greater CBI autonomy.
* Under the new dispensation, not much will change for the highest investigative agency, except that, with the arrival of the Lokpal
* There are far too many grey areas in the new law for us to be able to predict whether the Lokpal will play an effective role.
* For instance, what will the relationship between the CVC and the Lokpal be like?
* There is scope for conflict between the two authorities when a CVC and the Lokpal refer the same matter to the CBI for inquiry.
* On the whole, the Lokpal cannot be viewed as anything but a cosmetic imposition on a CBI that is craving for autonomy without any great success.
* The commendable support to its cause by the Supreme Court is still in the realm of theory, with the Union government uninhibitedly rejecting all suggestions that the CBI be allowed to function unhampered by the executive.
Poorna Shakti Kendras to empower rural women
* They will help women get pensions, voter identity and Aadhaar cards
* To ensure the socio-economic development of women in rural areas, the National Mission for Empowerment of Women is promoting a model intervention project.
* At the heart of the project launched in 21 districts nationwide, including Pali in Rajasthan is the womens centre, Poorna Shakti Kendra, established in villages, for offering services to women at the grassroots.
* The NRLM proposes to ensure universal financial inclusion by facilitating opening of savings accounts by all SHGs, while encouraging their thrift and credit activities and other financial services,
* Under the NRLM, there shall be one rural self-employment training institute in each district. Each will train at least 750 candidates of the below poverty level category.
Ensuring Environmental Sustainability Included in theList of ActivitiesforCSR Policies
* Section 135 of the Companies Act, 2013 deals withCorporate Social Responsibility(CSR).
* Under this Section every company having net worth of Rs. 500 crore or more or turnover of Rs. 1000 crore or more or net profit of rupees five crores or more during any financial year, shall constitutea CSR Committeeto recommend its activities for discharging CSR in such a manner that the company would spend at least 2 percent of its average net profits of the company made during the three immediately preceding financial years, in pursuance of its CSR policies.
* Section 135 of the Act has not yet come into force and as such this Ministry has no information on the expenditure incurred on CSR activities.
India andthe Government of Republicof Macedonia Signed an Agreement for The Avoidance of Double Taxation andthe Preventionof Fiscal Evasion with Respect toTaxeson Income
Republic of India andRepublic of Macedoniasigned the new Agreement for the avoidance Of Double Taxation and the prevention of fiscal evasion (DTAA) with respect to taxes onincome .
Oncethe DTAAenters into force, it will provide relief to taxpayers from double taxation and thereby, stimulate the flow of capital, technology and personnel between both the countries and will further strengthen the economic relationship between the two countries.
The Salient features of this agreement are as under:
* The agreement provides relief from double taxation to residents of India earning income in Macedonia and residents of Macedonia earning income in India.
* The agreement provides that taxation of dividend, interest and royalty in the source country will not exceed 10 %.
* The agreement provides for taxation of business income in the source country if the taxpayer has a permanent establishment there
* The agreement provides for taxation of capital gains from securities in the source country.
* The agreement has a limitation of benefit article which provides that the benefit of this agreement will not be available to entity which has formed mainly to obtain benefits under this agreement.
* The agreement is based on international standard of transparency and exchange of information and provides for exchange of information (including banking information)concerningtaxes.
* The agreement has a specific provision that the requested Party shall use its information-gathering measures to obtain the requested information even thoughthat Partymay not need such information for its own tax purposes.
* The agreement provides for the representatives of the competent authority of the requestingPartyto enter the territory of the requested Party to interview individuals and examine records.
* The Agreementprovides for mutual assistance in collection of taxes due in other country.
* This agreement is expected to boost economic relationship between India and Macedonia.
The Public Procurement Bill, 2012
Highlights of the Bill
* The Bill seeks to regulate and ensure transparency in procurement by the central government and its entities.
* It exempts procurements for disaster management, for security or strategic purposes, and those below Rs 50 lakh.
* The government can also exempt, in public interest, any procurements or procuring entities from any of the provisions of the Bill.The government can prescribe a code of integrity for the officials of procuring entities and the bidders. The Bill empowers the government and procuring entity to debar a bidder under certain circumstances
* The Bill mandates publication of all procurement-related information on a Central Public Procurement Portal.
* The Bill sets Open Competitive Bidding as the preferred procurement method; an entity must provide reasons for using any other method. It also specifies the conditions and procedure for the use of other methods
* The Bill provides for setting up Procurement Redressal Committees. An aggrieved bidder may approach the concerned Committee for redressal.
* The Bill penalises both the acceptance of a bribe by a public servant as well as the offering of a bribe or undue influencing of the procurement process by the bidder with imprisonment and a fine.Key Issues and Analysis
* The Bill exempts certain procurements from the specified process, besides allowing the government to limit competition in certain cases. It is unclear why the government has been given further powers to exempt any procurement or procuring entity from the applicability of the Bill.
* The Bill specifies Open Competitive Bidding as the preferred method of procurement, without defining the term. The UN Model Law and an earlier draft procurement Bill describe equivalent terms in detail
* In cases where procurement from a particular supplier is necessary to ensure standardisation or compatibility with existing systems, the Bill does not require certification from a competent technical expert. Such a certification is required by existing regulations and model laws.
* In a departure from existing regulations, the Bill does not restrict use of cost-plus contracts, which provide no incentive for efficiency.
The National Food Security Bill, 2011
Highlights of the Bill
* The Bill proposes foodgrain entitlements for up to 75 percent of the rural and up to 50 percent of the urban population.
* Of these, at least 46 percent of the rural and 28 percent of the urban population will be designated as priority households.
* The rest will be designated as general households.
* Priority households will be entitled to 7 kg of subsidised foodgrains per person per month. General households will be entitled to at least 3 kg.
* The central government will determine the percentage of people in each state that will belong to the priority and general groups. State governments will identify households that belong to these groups.
* The Bill proposes meal entitlements to specific groups. These include: pregnant women and lactating mothers, children between the ages of six months and 14 years, malnourished children, disaster affected persons, and destitute, homeless and starving persons.
* Grievance redressal mechanisms will be set up at the district, state, and central levels of government.
* The Bill proposes reforms to the Targeted Public Distribution System.Key Issues and Analysis
* The Bill classifies beneficiaries into three groups. The process of identifying beneficiaries and placing them into these groups may lead to large inclusion and exclusion errors.
* Several entitlements and the grievance redressal structure would require state legislatures to make adequate budgetary allocations. Implementation of the Bill may be affected if states do not pass requisite allocations in their budgets or do not possess adequate funds.
* The Bill does not provide a rationale for the cut-off numbers prescribed for entitlements to priority and general households.
* The grievance redressal framework may overlap with that provided in the Citizens Charter Bill that is pending in Parliament.
* Schedule III of the Bill specifies goals which may not be directly related to food security. It is unclear why these have been included in the Bill.
* The Bill provides similar definitions for starving and destitute persons. However, entitlements to the two groups differ.
The Micro Finance Institutions (Development and Regulation) Bill, 2012
Highlights ofthe Bill
* The Bill seeks to provide a statutory framework to regulate and develop the micro finance industry.
* The Reserve Bank of India (RBI) shall regulate the micro finance sector; it may set an upper limit on the lending rate and margins of Micro Finance Institutions (MFIs).
* MFIs are defined as organisations providing micro credit facilities up to Rs 5 lakh, thrift collection services, pension or insurance services, or remittance services.
* The Bill provides for the creation of councils and committees at central, state and district level to monitor the sector.
* The Bill provides for a Micro Finance Development Fund managed by RBI; proceeds from this fund can be used for loans, refinance or investment to MFIs.
* The Bill requires the RBI to create a grievance redressal mechanism.Key Issuesand Analysis
* The Bill provides safeguards against misuse of market dominance by MFIs to charge excessive rates. It allows RBI to set upper limits on lending rates and margins. However, there is no provision for consultation with the Competition Commission of India.
* The Bill allows MFIs to accept deposits. Unlike banks, there is no facility for insuring customer deposits against default by MFIs. The minimum capital requirement is also lower, though RBI may prescribe higher requirements.
* The Development Fund for MFIs is to be managed by the RBI. The Bill also enables regulatory powers to be delegated to NABARD. Both these provisions could lead to conflict of interest.
* The Bill provides for the creation of micro finance committees at central, state and district levels to oversee the sector. However, the formations of these committees are not mandatory.
* The Bill allows MFIs to provide pension and insurance services. However, it does not provide for regulation by or coordination of RBI with the respective sector regulators.
INDIA TEST-FIRES NUCLEAR-CAPABLE AGNI-III MISSILE
India on Monday test-fired itsnuclear-capable Agni-IIIballistic missile with a strike range of more than 3,000 km as part of a user trial by the Army from Wheeler Island off Odisha coast,
Indigenous device detecting early cervical cancer launched
1. Magnivisualizer is a user-friendly device costing about Rs. 10,000
2. The Union Health and Family Welfare Ministry on Monday launched indigenous equipment that can detect early cervical cancer and be used even by healthcare workers with basic training.
3. The device AV Magnivisualizer which was developed by the Institute of Cytology and Preventive Oncology under the Indian Council of Medical Research (ICMR) has 95 per cent accuracy for detecting pre-cancerous lesions.
4. it would be available in the market within the next 8-9 months
5. At present, cytology screening or Pap Smear is available only in advanced cytology centres, Regional Cancer Centres and some medical colleges.
6. Cervical cancer takes about a decade to fully develop and is often detected when it has spread substantially.
7. It starts from a pre-cancer stage called dysplasias and early detection and appropriate treatment at this stage can halt its progression, resulting in decreased incidence or mortality.
By B BABLOO,
REFERENCES: NEWSPAPER-HINDU, ECONOMIC AND POLITICAL WEEKLY, IDSA, MRUNAL SITE, ORF SITE.
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Contents
1. International Relations
2. Science and technology
3. economics
4. Admin-all the polity, Admin, Development related items
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International relations
Bali Negotiations
In Bali, Ministers put the world back into the WTO
* World Trade Organisation (WTO) Ministers in Bali finally adopted the historic five-draft decision declaration and the 10-document full Bali Package that addresses the Doha Development Agenda.
* Declaration takes care of Indias concerns on food security and trade facilitation
What Doha Development Agenda?
TheDoha Development RoundorDoha Development Agenda(DDA) is the current trade-negotiation round of theWorld Trade Organization(WTO) which commenced in November 2001.
Its objective is to lowertrade barriersaround the world, which will help facilitate the increase of global trade. As of 2008, talks have stalled over a divide on major issues, such as agriculture, industrialtariffsandnon-tariff barriers, services, and trade remedies.
* Its a happy coincidence that the Doha Round, the only development agenda, has been revived and re-energised in Bali and India could play a major role
* it will benefit Indias exports and shift the focus away from preferential trade arrangements.(PTA-A trade pact between countries that reduces tariffs for certain products to the countries who sign the agreement- Mrunals article it's given in economy section)
* Bali outcome showed that the WTO could still deliver and the Doha development round could move forward.
* During the Bali negotiations, Indian industry had backed the Centre, and the Confederation of Indian Industry termed the pact on food security critical to the success of the Ministerial.
* The Associated Chambers of Commerce and Industry felt the agreement on food security would ensure a fair deal to vulnerable sections in developing countries.
* The Bali agreement will benefit exporters, said the Engineering Export Promotion Council.
Farmers Voice:
* A farmers organisation, however, said the only possible gain was the peace clause.
* All India Kisan Sabha apprehended a freeze on expansion of food security or price support to farmers in developing countries and exclusion of pulses, cooking oil and crops other than those described as traditional staples by the WTO.
* Support subsidies for poor farmers across all developing countries get safeguards against WTO rules after the Bali Ministerial decision.
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
* A Bilateral Investment Promotion and Protection Agreement (BIPPA) between the Government of India and the Government of UAE was formally signed. The Agreement was signed by Shri Namo Narain Meena, Minister of State (E&FS), on behalf of Government of India and H.E. Mr. Obaid Humaid Al Tayer, Minister of State for Financial Affairs of UAE on behalf of Government of UAE.
* The text of the Agreement, which seeks to promote and protect investments from either country in the territory of the other country with the ultimate objective of increasing bilateral investment flow
* It is hoped that the Agreement would serve as a catalyst in boosting investment flows between the two countries.
* The trade agreement reached in Bali has provided much-needed oxygen to a moribund World Trade Organisation.
* International Chamber of Commerce has estimated that the Bali deal will cut trade costs by 10-15 per cent even as it adds an estimated $1 trillion to global trade.
* mainly emerging economies such as India, Brazil, South Africa and Russia, realised the WTO was critical to their interests.
* The unyielding stance of India on protecting its farm subsidies which are set to increase following the enactment of the Food Security Act did cause some disquiet amongst the member-countries and at one stage seemed set to hold up an eventual agreement.
Air Defence Identification Zone (ADIZ) in the East China Sea
What is an ADIZ?
* Its a section of international airspace over which a country declares its right to identify aircraft, ostensibly to protect itself from foreign threat. Its a product of customary international law but its not jurisdictional.
What happens once an ADIZ is established?
* radar to detect
* Using radio, it would query those it was concerned about.
* If the country was still not sure, it would launch an aircraft to intercept and observe.
* The country would not have the authority to do anything else unless it thought the aircraft was a direct threat to the country.
* The country would not have the authority to do anything else unless it thought the aircraft was a direct threat to the country.
Whats the problem with China declaring an ADIZ?
* Well, the problem is that Chinas ADIZ overlaps with the ADIZ that was created by the U.S. after World War-II and transferred to Japan in 1969.
* first time an overlapping ADIZ.
* China thinks the ADIZ will strengthen its claim over the Diaoyu/Senkaku islands.
* increased risk of either a deliberate or accidental incident involving military aircraft.
* The Chinese call the islands Diaoyudao. The Japanese call them Senkaku.
* The Diaoyudao islands were considered lost during this period when Japan formally annexed them in 1895.
So why did China suddenly declare the ADIZ? Is it just about controlling Diaoyu/Senkaku?
* Chinese foreign policy decision-making is highly opaque, so all anyone can do is to speculate and there have been a number of speculative theories.
What does this mean for India?
* China is more aggressive in its foreign policy, which does not bode well for its relations with India. Certainly, Chinas announcement of the ADIZ was unexpected. It was done without any consultation with Japan and has thus been seen as very disrespectful.
* China is engaging in lawfare using international institutions to achieve strategic goals.
* India, currently at least, simply does not factor into Chinas strategic priorities.
Chinas ADIZ: A Case of an Overreach?
* When China announced on 23 November 2013 the establishment of an Air Defence Identification Zone [ADIZ] in the East China Sea area and included the disputed Diaoyu/Senkaku islands in the zone; it was clear that the main target of this exercise was Japan.
* Since this zone has been established in the air space adjacent to Chinese territorial air space what is its legitimacy in international law?
* Normally under international law, a countrys sovereign airspace extends to the outer limits of its territorial waters; that is 12 nautical miles from its coastline.
* Most countries require all foreign military aircraft to obtain permission to enter their airspace and reserve the right to take military action
* As both China and Japan claim the Senkaku/Diaoyu islands in the East China Sea as part of their territory they also claim sovereign airspace above the islands and over waters extending 12 nautical miles around them.
* According to the UN Convention on the Law of the Sea [UNCLOS], each signatory state can claim an EEZ that gives it special rights to exploit marine resources up to 200 nautical miles from its coastline.
* Anexclusive economic zone(EEZ) is a seazone prescribed by theUnited Nations Convention on the Law of the Seaover which astatehas special rights over the exploration and use ofmarineresources, including energy production from water and wind.
* When EEZs overlap, states are supposed to negotiate an agreed boundary.
* However, some states disagree on whether non-aggressive foreign military operations such as reconnaissance patrols should be allowed in their EEZ.
* Japan has decided to approach the International Civil Aviation Organization [ICAO] will perhaps be a test case.
* The US has taken no position on the merits of the case involving the Sino-Japanese dispute over the Diaoyu/Senkaku islands;
* The US even dispatched unarmed B-52 bombers to fly into the Chinese ADIZ, without informing the Chinese authorities, to demonstrate its position as a faithful ally in Japanese eyes. And yet on the other hand keeping in mind the visit of Vice-President Biden to China, where it needs Chinese help to free a US citizen held by the North Koreans and to keep in check North Korean nuclear ambitions,
* US is no more a reliable security provider.
* If this perception persists it would be to the immense strategic advantage of China who would then emerge as the strongest economic and military power in the region.
* The Chinese President, Xi Jinping has been advocating a new relationship with the US by underlining 3 basic principles. These are
[a] No conflict and no confrontation
[b] Mutual respect and
[c]Win-win co-operation which means that each side abandon a zero sum mentality and accommodate each-others interests as also deepen shared interests
* The last thing that the US wants is a military confrontation between China and Japan over the insignificant Diaoyu/Senkaku islands.
* A militarily rejuvenated Japan is likely to cause immense strategic problems for China; for which its audacious move in setting up an ADIZ would be largely responsible.
Iran Issue
Iran Nuclear Deal: The Fine Print
* The November 24, 2013 Joint Plan of Action between Iran and its P5+1 interlocutors is the first agreement since November 2004 that contains Irans acceptance of certain short-term limitations on its nuclear programme.
* The first-step agreement is renewable by mutual consent indicating that there is scope for an extension of the time frame within which elements involved in this agreement could be accomplished.
* Iran has committed to implement over the course of the agreement the following:
1. dilute half of its currently available stockpile of 20 per cent enriched UF6 (196 kgs according to the November 14, 2013 IAEA report) to no more than 5 per cent while the remaining half would be retained as stock for fabrication of fuel for the 5MW Tehran Research Reactor (TRR)
2. not enrich uranium above 5 per cent for the duration of the six months
3. not make further advances of its activities at the Natanz Fuel Enrichment Plant (FEP)
4. Fordow or the Arak reactor
5. convert to UO2 newly enriched UF6 up to 5 per cent, beginning when the line for conversion of UF6 enriched up to 5 per cent to UO2 is ready
6. no new locations for enrichment;
7. no reprocessing or construction of facility capable of reprocessing
* Iran to continue its safeguarded R&D activities; and enhanced monitoring of its nuclear activities.
* it has committed to provide information on its nuclear plans to the IAEA within three months of the adoption of these measures
* submit an updated Design Information Questionnaire (DIQ) for the Arak reactor,
* daily inspector access at Natanz and Fordow for the purpose of access to offline surveillance records
* and managed access to centrifuge assembly workshops and storage facilities.
* P5+1 Commitments
* In return for Irans actions, the P5+1 have agreed to pause efforts to further reduce Irans crude oil sales
* enabling Irans customers to purchase their current average amounts of crude oil
* enable the repatriation of an agreed amount of revenue held abroad
* suspend EU and US sanctions on Irans petro-chemical exports and on gold and precious metals
* spare parts for civil aviation
* establish a financial channel to facilitate humanitarian trade for Irans domestic needs using Iranian oil revenues held abroad;
* and increase the EU authorisation thresholds for transactions for non-sanctioned trade to an agreed amount
* Comprehensive Solution
* Both sides envisage a comprehensive solution to involve the lifting of all UNSC, multi-lateral, and national nuclear-related sanctions,
* involve a mutually-defined enrichment programme with mutually agreed parameters consistent with practical needs, with agreed limits on scope and level of enrichment activities;
* implement transparency measures including ratify and implement the IAEA Additional Protocol;
* and keeps open the prospect of international civil nuclear cooperation, including providing modern light water reactors.
* The JPOA affirms that following the successful implementation of this comprehensive solution for its full duration, the Iranian nuclear programme will be treated in the same manner as that of any non-nuclear weapon state party to the NPT.
* Key Negotiating Principle
* the point that no single element can be viewed in isolation and that further progress on the more essential comprehensive solution is contingent on the implementation of commitments on the varied elements agreed upon in this agreement to mutual satisfaction.
* Prior to the second round of talks at Geneva that began on November 7, Iranian leaders were insisting that the two red lines for them included no stopping of uranium enrichment and no transfer of enriched uranium outside the country.
* Iran agreeing to halt enrichment above 5 per cent and dilute its current stock of 20 per cent enriched UF6 is therefore a significant half way compromise.
The Asia Rebalance in disarray
* western allies (recollect recent sactions of UN on iran lifted) appeared to revert to a triumphalist rhetoric that suggested that the crippling sanctions that they imposed were solely responsible for the turnaround
* thanks at all to Tehrans new regime for taking a courageous step towards the negotiating table.
* The States should adopt the Committees formula, which is not only transparent but has been arrived at after a study of the cost structures of sugarcane farming and sugar mills.
* A gesture of good faith towards Tehrans forward-looking re-engagement with the West on the nuclear crisis, despite Israels sustained, warmongering bluster, might have been for Mr. Obama to ease up on the oil sanctions, perhaps permit friends of Iran such as India, who depended significantly on crude imports, to resume limited trading.
* White House had determined that there is a sufficient supply of petroleum from countries other than Iran to permit a significant reduction in the volume purchased from Iran by or through foreign financial institutions.
* What signal does this send to nations such as North Korea, whose resolve the U.S. and its friends are similarly seeking to neutralise?
* Regional powers such as India, who are discomfited by the emerging power vacuum in Kabul and fear that it may again become a breeding ground for extremism, are resigned to the reality that America has prioritised rolling back its wars and reviving its economy.
* Troubling though the conundrums of Afghanistan and Iran may be, it is the failure of the Asia Rebalance to prevent the U.S. second-largest trading partner from embarking on campaigns of expansionist adventurism that truly casts doubt upon the strategy.
* the inability of Washington to decisively marshal like-minded regional powers into a string of partners, if not pearls has already conceded victory in this early round to Asias hegemon.
Dtente between Tehran and Washington
* United States imperialist war against Iran has been averted by the Joint Plan of Action, agreed to in Geneva on 24 November by the P-5 + 1 (the US, the United Kingdom, France, Russia and China, plus Germany) and the Islamic Republic of Iran.
* The two sides, the Islamic Republic and the US establishment, are getting all the attention, but what about the people of Iran? Should we not look at the situation from their point of view?
* What was agreed upon in Geneva last month is an interim deal, covering the next six months, leading to a long-term comprehensive agreement,
* only after which the remaining (the bulk of) sanctions on Tehran are to be lifted.
* But from what has already been agreed, Irans nuclear programme has been frozen for now, and the International Atomic Energy Agency has been allowed to conduct its intrusive inspections.
* The bulk of the sanctions, however, remain in place, sanctions that have led to a drastic fall in Irans oil imports and deprived the country of access to the international financial system,
* nothing is agreed until everything is agreed. Iran now cannot enrich uranium beyond the 5% limit required to fuel its nuclear power reactors; so enrichment to weapons grade uranium is out of the question.
* Western imperialist, especially US, confrontation with the Islamic Republic of Iran has been on ever since the Iranian Revolution of 1979.
* So, to reduce the current conflict to just two sides Western, mainly US, imperialism and the Islamic Republic is erroneous.
* There is a third side the people of Iran, and one needs to look at the situation from their point of view too, and also from the side of the people of west Asia.
* The dtente between Washington and Tehran, if it comes through in the form of the long-term comprehensive agreement,
* Of course, it will also, de facto, guarantee that there will be no regime change, imposed by the Western imperialist powers, in Iran.
* Indeed, if rapprochement with Washington does come about, then, the Islamic Republic will get imperialist recognition as a regional power in west Asia
* it will likely play a key role in the Geneva-II talks to resolve the Syrian crisis, and, the Iranian President Hassan Rouhani may be asked to rein in Hezbollah in Lebanon and Hamas in Palestine, even help broker a settlement with the Taliban in Afghanistan, and with the Shia political parties in Iraq.
* Will the world be witnessing a return to a neocolonialism in Iran?
* For the people of Iran, with the grim prospect of imperialist military intervention having receded, the opportunity to emulate the previous generation in the fight to establish a democratic system, win a whole set of rights and freedoms, opens up a lot wider.
Iran backs deep-sea gas pipeline to India
* Indias South Asia Gas Enterprise Pvt. Ltd. (SAGE) had conducted feasibility studies for the multi-billion-dollar undersea pipeline, which could carry gas from Irans giant South Pars gas field to Indias west coast.
* Irans interest in the India-centric project coincides with the cancellation of its $500-million loan to Pakistan to build part of a pipeline to funnel natural gas.
* Iran is focusing on exporting natural gas to India along a deep-sea route
* the move coinciding with the cancellation of a loan to Islamabad to build the Pakistani section of the Iran-Pakistan gas pipeline and the signing of the Geneva nuclear accord that could help relax sanctions against Tehran.
Foreign Labourers nightmares
Woes of migrant labour
* Qatarright to host the 2022 FIFA World Cup.
* Qatars labour laws by private contractors. Migrant workers from Nepal, India, Bangladesh and Sri Lanka are at the mercy of their Qatari employers,
* Qatars sponsorship law designates private contractors as the custodians of their employees travel documents until they are issued a valid residence permit.
* Many migrant labourers are yet to receive their passports back.
* access to justice for foreign labourers remains elusive.
* economic growth does not ride on the inhuman treatment of migrants.
* India should consider its migrant workforce in West Asia as an asset rather than as a vulnerable constituency.
Afghanistan Issue
The Kabul test
* Karzai's reluctance to sign the bilateral security agreement that defines the terms and conditions for the residual military presence in Afghanistan after 2014.
* Karzai is putting greater weight on military cooperation with India, not as an alternative to that with the US, but as an important part of his strategy to diversify Kabul's defence relationships after 2014.
* India is committed, under the strategic partnership agreement signed with Afghanistan in 2011, to extend military assistance to Kabul.
* That commitment is now under test as Karzai seeks expansive defence engagement with India, including the supply of heavy equipment.
* Delhi can't ignore the dangers that will flow from the Pakistan army's likely advances in Afghanistan after 2014.
* The answer for Delhi lies in extending strong military support for Kabul and complementing it with an expanded political engagement with Pakistan's civilian leaders.
* India's Af-Pak strategy must walk on two legs, but walk it must.
Indias Afghan muddle
* If New Delhi is serious about its concerns over rapid western withdrawal from Afghanistan, it should along with other governments form a multinational joint working group to assess the points of vulnerability for Afghan forces
* Afghan National Security Forces (ANSF) are being left ill-equipped to fight insurgent and terrorist threats that remain entrenched in the Afghanistan-Pakistan border areas.
* Today, India is in a strong position to shape each of these factors to its advantage, but its policies are marked by indecision and confusion.
* western forces do not intend to withdraw from Afghanistan next year. Kabul and Washington have agreed on the text of a Bilateral Security Agreement (BSA), which would allow a force of 8,000 to 10,000 troops to remain in Afghanistan beyond 2014 for training purposes and limited counterterrorism missions, albeit under strict conditions.
* This would also put at risk the many billions of dollars of American aid that will flow to Kabul for several years after 2014. Without this money, the survival of Afghan security forces and the Afghan state itself is in question.
* India first indicated that it wanted the BSA to reflect the concerns of India as well as Iran.
* consider the question of Indias military support to Afghanistan. India certainly hasnt been entirely passive here.
* It is intensifying its valuable efforts to train Afghan army officers in Indian establishments, and will soon be training over 1,000 annually.
* Indian officials privately criticise western powers for failing to arm the Afghans more heavily,
* but India vacillates over doing so itself.
* India publicly insists that it has confidence in Afghan security forces, but then intimates that their potential dissolution is a reason to avoid shoring them up.
* the provision of heavy weaponry might provoke Pakistan into intensifying support for anti-Indian groups in Afghanistan.
* These concerns are legitimate, but India cannot hope to free ride on western efforts while complaining incessantly about how western policy is leaving threats to India unaddressed.
* If India is serious about its concerns over rapid western withdrawal and Afghan weakness, it should get serious itself.
* New Delhi, Kabul, Washington, London and other governments with an important role in the security sector of post-2014 Afghanistan should form a multinational joint working group to assess the points of vulnerability for Afghan forces.
* In turn, trainers from NATO countries, with over a decade of combat experience in Afghanistan, could also be placed in Indian institutions that host Afghan officers.
* India wants western troops to stay, but wont expend the diplomatic capital required to push Mr. Karzai to sign the BSA.
* India wants Afghan forces to be better armed, but shies away from taking on the talks itself.
* India opposes the speed and scope of the nascent American talks with the Taliban, but is bereft of ways to shape this process.
* If India doesnt like the way its going, it must decide whether to step up to the plate, with all the attendant risks, or keep shouting from the sidelines.
US Rebalancing to the Asia-Pacific: Implications for West Asia
* During the Cold War, the United States was completely focussed on the Soviet Union and constantly striving to contain and if possible, to roll back - the Soviet presence from the Third World.
* The best and the brightest in the American academia studied the Soviet Union and the Kremlinologists occupied the best births among policy wonks.
* emergence of independent states in Central Asia and the Caucasus received its share of international attention.
* The US interest in the large quantities of oil and gas and US concerns over nuclear proliferation and re-emergence of Islam dominated its foreign policy calculus.
* West Asia acquired the status of the most crucial region.
* After the nine-eleven, the Global War on Terrorism led the US into long-drawn-out wars on Afghanistan and Iraq.
* In 2011, the Obama administration made a series of pronouncements on a pivot to Asia-Pacific, identifying it as a priority region.
* The US would deploy greater naval assets, create new military capabilities and prepare to engage in a newly formulated Air Sea Battle in the region.
* A Trans-Pacific Partnership (TTP) between the US and some twelve states in the region would create a free trade area.
* Consequently, the attitude to China has moved from tacit confrontation to cautious accommodation.
* The twenty-first century is widely expected to be the Asian Century.
* The economic growth in Asia is expected to outpace the West by a wide margin.
* The legal and political status of Taiwan is fraught with the potential of conflict. A defiant North Korea has acquired nuclear and ballistic missile capabilities.
* South China Sea has become a jumble of contesting territorial claims by China, Taiwan, Vietnam, Philippines, Brunei, Malaysia and Indonesia.
* The islands in the East China Sea are disputed among China, Japan, South Korea and Taiwan.
* The recent Chinese announcement of an Air Defence Identification Zone over the East China Sea and the unhindered exploratory flights of two American B-52 bombers right through it may yet lead to an ugly situation in future.
* a number of urgent challenges remain, including the Syrian civil war, the ongoing struggle with the Taliban and al-Qaeda, and Irans nuclear programme would undermine the US interests and needlessly antagonise China.
* The US forces have withdrawn from Iraq and are in the process of withdrawing from Afghanistan.
* The US chose to lead from behind on the Libyan Spring.
* It refused to accept the French-Turkish proposal to set up a No Fly Zone in Syria and opted to work through the Friends of Syria instead.
* There are two factors that have facilitated the direction of perceptible US retreat from West Asia.
* One, the production of shale oil and gas has largely diminished US dependence on the imported energy from West Asia.
* Two, the US economic turndown has put severe limitations on its power projection worldwide.
* The US federal government shutdown for over two weeks over budget allocations has rung alarm bells worldwide
* The fact that President Obama had to call off his week-long visit to Asia to attend the APEC and ASEAN summits has raised serious questions regarding the US security assurances and economic contribution to Asia-Pacific as also to West Asia.
* Asia-Pacific is bound to remain at the top of the US foreign policy agenda till the international situation warrants a relook.
* In coming years, the US global posture may set less ambitious goals and allocate fewer resources to pursue them.
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Indian Issue
Is It Time to Withdraw the Army from Kashmir
* A study of insurgencies reveals that security forces tend to lose the support of intelligentsia and media, as the movement tends to prolong.
* It is often a result of either low levels of violence or casualties, beginning of an electoral process and the re-establishment of local administration machinery
* army vetoing government proposals on Siachen troops withdrawal and dilution of Armed Forces Special Powers Act (AFSPA).
* if Hizb or Lashkar thugs again surface some place, you can easily confront them with overwhelming force within minutes.
* need to build upon the peace dividend
* The assertion that the army can veto a government proposal on issues like Siachen or AFSPA, is either a case of misunderstanding of constitutional powers and privileges, or an under estimation of parliamentary democracy.
* Therefore, while the advice of the army on both issues is in public domain to deduce that this advice functions as a veto, is a gross overestimation of the powers and influence of the men in uniform.
* 2013 witnessed the highest ceasefire violations in eight years.
* sharp increase in security force casualties
* This was also accompanied by higher numbers of successful infiltration,
* the Af-Pak region suggest that the de-induction of US led forces from Afghanistan in 2014, is likely to become a tipping point for Pakistan to re-establish its control by proxy in that country.
* the end of war in Afghanistan is definitely likely to result in release of Pakistani forces deployed in the region and their re-deployment along traditional areas of the border with India
* Both these factors will strengthen Pakistans ability to heighten tensions along the Line of Control (LoC),
* The final assertion deals with the ability to redeploy in case of an adverse situation in a matter of minutes.
* It needs to be understood that the mere deployment of a force is not a guarantee for its immediate effectiveness.
* Unlike flag marches in aid to civil authorities, deployment in terrorist infected areas requires the buildup of operational and intelligence network by units, which takes months if not years of diligent effort along with the conditions both on the LoC and inside the state, before a decision on the issue is taken.
India in a tough neighbourhood
* Indias approach in crafting a good neighbour policy with its South Asian sisters comes from the strategic calculation that our security does not exist in a vacuum
* For India, the perils of proximity have only grown.
* This does not mean we turn our back on the world or our neighbours.
* Rather, we must grow our comprehensive national strength in the economic, scientific, technological, military and communication fields, in order to craft astute responses to the challenges.
* By virtue of geography, territorial size, economic heft, extent of development, military capability and, the size of our population, India has a preponderant and central presence in South Asia.
* None of our neighbours (except Afghanistan vis-a-vis Pakistan and vice versa) can interact with the other without traversing Indian territory, land, sea or airspace.
* India and its neighbours in South Asia are integrally bound by ties of ethnicity, language, culture, kinship and common historical experience.
* The Himalayas and the Indian Ocean are the physical boundaries for India, and equally for South Asia, as a region. India exists as the hub for South Asia.
* There is merit in the reasoning that India should concern itself with the nature of any external influence or presence within the confines of South Asia since threats to its national security can emanate from the working of such influences.
* Our neighbourhood will remain tough as long as our neighbours harbour tendencies and foster elements that see the targeting of India as adding incrementally to their (false) sense of security and well-being.
* This is a calculus that is self-destructive as the growing tide of domestic terrorism and insurgency in Pakistan created out of a sustained fostering of terror groups by some sections of the establishment would indicate.
* . The incursions and military provocations from across the Line of Control are another manifestation of this calculus.
* We are yet to see any realisation in Pakistan that pointing the gun at India in Afghanistan through terror groups and their affiliates who wage a proxy war can never bring peace to the Afghan people.
* Neither will treating Afghanistan as an instrument to build strategic depth against India help Pakistan.
* India has always stated its intention to continue to invest and to endure in Afghanistan because the Afghans need us and we will not abandon them.
* The rising tide of democracy in Pakistan, we hope, can alter the trajectory of mayhem and violence that emanates from its soil
* It makes sense for India to substantively develop its partnership with the U.S. and demonstrate strategic foresight to plan and provide for this relationship.
* As 2014 approaches, and the U.S. and its allied forces prepare to draw down (and possibly withdraw totally) from Afghanistan, strategic planners have to assess the options available to India.
* India must not hesitate to work to strengthen the international and regional coalition for Afghanistan, and ensure that a democratically elected government is not left to fight the forces of medieval extremism and radicalism on its own.
Balance of interests
* Indias northeastern States would be benefited by smoother access through Bangladesh to the rest of India.
* In the case of Bangladesh we need to develop a whole of government approach that enables a concerted approach of consultation involving all the States that border that country so that a critical balance of interests is evolved without sacrificing national interest.
* The welfare of Nepalis should be at the core of Indias relationship with Nepal and the strengthening of mutual trust and strategic reassurance that Nepal can always count on Indian support and friendship is essential.
* Any use of Nepali territory by alien, adversarial forces to threaten and weaken Indias security concerns us.
* we can well afford to be more generous with meeting the needs of neighbours like Nepal and Bangladesh in order to cement trust and confidence and also to safeguard our national security.
* Myanmar is our land gateway to Southeast Asia. Its northern part defines the landscape of the India-China-Myanmar triangle.
* Security cooperation with Myanmar to counter insurgencies in our northeast is vital as also the fast-tracking of road and multimodal transportation projects to build connectivity
* Anti Rohingya violence in Myanmar has had its reverberations in India, and bears close monitoring.
* For Sri Lanka, India is the only near neighbour.
* The unfolding scenario of ethnic conflict and civil war spelt disaster for all communities in Sri Lanka, with nobody more affected than the Tamil population of the North and East.
* The repercussions for India in terms of the assassination of Rajiv Gandhi were tragic.
* The end of the civil war is a historic opportunity for reconciliation and the healing of wounds of a bitter divide that pitted one Sri Lankan against another.
* it is in the interest of both of us neighbours, that the pride and self-esteem, the self-respect of the Tamil minority in Sri Lanka is not eroded,
* they are treated with magnanimity and that they are able to contribute their talents, their knowledge, and their effort for the progress of Sri Lanka.
* India, Sri Lanka and the Maldives have institutionalised their cooperation on maritime security issues.
* This is a constructive development that creates a progressive template for security in our region.
* China is our largest neighbour. The challenge is to manage our relationship with China despite inherent complexities and embed it in the matrix of dialogue and diplomacy.
* The China factor has understandably influenced our security calculus. It subsumes bilateral issues and Chinas regional profile and military capabilities.
* The dispute over territory, in our language the boundary question, has existed for over 50 years.
* to promote and sustain mechanisms to maintain peace and tranquillity.
* West Asia is vital for India, from the point of view of fighting terrorism, the welfare of the 6.5 million Indians who live there, energy security and fighting piracy.
* We have been active in supporting dialogue processes in the region, whether it is on the Palestinian question, or seeking a way out of the nuclear conundrum surrounding Iran.
* New contours
* Differing challenges require a mix of approaches to address them
* a firm and clear strategic calculation that ensures the uncompromising defence of our security interests,
* the pursuit of foreign policy goals that stress dialogue and negotiation to achieve solutions to long-standing problems, and do not forego the people-centred dimension that is an essential ingredient of all viable diplomatic relationships.
* The future has promise, but to embrace it, we must ensure an objective, clear headed understanding of the present and its possibilities.
Cabinet nod for FTA in trade and services with Asean
* approved a free trade agreement (FTA) in trade and services with the Association of Southeast Asian Nations (Asean).
* The Agreement on Trade in Services and Agreement is to be signed under the Comprehensive Economic Cooperation (CECA) between India and the Asean.
* The CECA between India and Asean was signed in 2003. The Cabinet approved the Agreement on Trade Goods under the CECA with the Asean in July 2009.
* aimed at boosting the movement of Indian professionals in the 10-nation Asean. Member countries include countries like Singapore, Malaysia and Indonesia.
* protect, promote and increase foreign investment flows into the country and also removes and barriers, said the sources.
International Laws related
International law only for weaker states?
* November 23 this year of an air defence identification zone (ADIZ) extending to territories it does not control and Americas arrest,
* Americas arrest, strip search and handcuffing of a New York-based Indian woman diplomat on December 12 for allegedly underpaying a domestic help she had brought with her from India
* In truth, these actions epitomise the unilateralist approach of these powers.
* A just, rules-based international order has long been touted by powerful states as essential for international peace and security.
* reinterpreting or making new multilateral rules to further their geopolitical and economic interests.
* The League of Nations failed because it could not punish or deter some powers from flouting international law
* Today, the United States and China serve as prime examples of a unilateralist approach to international relations,
* Disregarding global treaties
* Take the U.S. Its refusal to join a host of critical international treaties from the 1982 United Nations Convention on the Law of the Sea (UNCLOS) and the 1997 U.N. Convention on the Law of the Non-Navigational Uses of International Watercourses, to the 1998 International Criminal Court Statute has set a bad precedent.
* Add to this its international invasions in various forms, including cyber warfare and mass surveillance, drone attacks and regime change.
* Unilateralism has remained the leitmotif of U.S. foreign policy
* U.S. militarily intervened in Libya and effected a regime change in 2011 an action that has boomeranged, sowing chaos and turning that country into a breeding ground for al-Qaeda-linked, transnational militants, some of whom assassinated the American ambassador there.
* Carrying out foreign military interventions by cobbling coalitions together under the watchword youre either with us or against us has exacted as Iraq and Afghanistan show a staggering cost in blood and treasure without advancing U.S. interests in a tangible or sustainable manner.
* Chinas growing geopolitical heft has emboldened its muscle-flexing and territorial nibbling in Asia in disregard of international norms.
* China rejects some of the very treaties that the U.S. has declined to join, including
* the International Criminal Court Statute and the Convention on the Law of the Non-Navigational Uses of International Watercourses the first ever law that lays down rules on the shared resources of transnational rivers, lakes and aquifers.
* Yet, the worlds most powerful democracy and autocracy have much in common on how they approach international law.
* The only major country that has still not ratified UNCLOS is the U.S., preferring to reserve the right to act unilaterally.
* Nonetheless, it seeks to draw benefits from this convention, including freedom of navigation of the seas.
* China still appears to hew to Mao Zedongs belief that power grows out of the barrel of a gun. So, it will not consider international adjudication to resolve its territorial claims in, say, the South China Sea, more than 80 per cent of which it now claims arbitrarily.
* Indeed, it ratified UNCLOS only to reinterpret its provisions and unveil a nine-dashed claim line in the South China Sea and draw enclosing baselines around the Japanese-controlled Senkaku Islands in the East China Sea.
* Worse still, China has refused to accept the UNCLOS dispute-settlement mechanism so as to remain unfettered in altering facts on the ground.
* The Philippines, which has since 2012 lost effective control to a creeping China, of first the Scarborough Shoal and then the Second Thomas Shoal, has filed a complaint against Beijing with the International Tribunal for the Law of the Sea (ITLOS).
* Beijing, however, has simply refused to participate in the proceedings, as if it were above international law.
* Beijings new air defence zone, while aimed at solidifying its claims to territories held by Japan and South Korea, is provocative because it extends to areas China does not control, setting a dangerous precedent in international relations.
* China and Japan, and China and South Korea, now have duelling ADIZs, increasing the risks of armed conflict, especially between Japan and China, in an atmosphere of nationalist grandstanding over conflicting claims.
* Before every country asserts the right to establish an ADIZ with its own standards, binding multilateral rules must be created to ensure the safety of commercial air traffic. But who will take the lead the two countries that have pursued a unilateralist approach on this issue, the U.S. and China?
* Despite a widely held belief that the present international system is pivoted on rules, the fact is that major powers as in history are rule makers and rule imposers, not rule takers.
* They have a propensity to violate or manipulate international law when it is in their interest to do so.
BCIM corridor key to development of border regions
* India's development initiatives in the Mekong region and China's growing presence in South Asia are now converging in the BCIM (Bangla, china India Myanmar) region.
* The ideas driving the BCIM economic corridor project are a combination of domestic and external interests of both New Delhi and Beijing, notwithstanding the security reservations in some quarters of the Indian establishment.
* The past decades have witnessed phenomenal economic growth in both India and China.
* A major challenge has been to address the economic imbalance between the coastal developed regions and the underdeveloped frontier regions.
* Since the launching of the "Gateway Strategy" in 2009, Yunnan has been made the gateway to Southeast and South Asia with several networks of road, rail, and air connectivity being planned to connect Yunnan with the neighboring countries.
* An important part of the strategy is to revive the ancient "Southern Silk Road," believed to have connected China with India
* Within the renewed China's "Going Out" policy, Yunnan's geographical location that shares common borders with Myanmar, Laos and Vietnam is seen as the gateway.
* Similarly, India's landlocked Northeast region has lagged behind compared to other parts of the country.
* the Northeast region shares common borders with Bhutan, Bangladesh, Myanmar and China, making it the bridge between India and its eastern neighbors.
* The border regions of the BCIM countries have a complex development-security nexus.
* The BCIM region has a geographical advantage of connecting South, Southeast and East Asia. This subregion is viewed as having the potential to promote the economic integration of Asia.
* China's rethink of its "Going Out" policy in the region, particularly, after its experiences in Myanmar, is critical for the BCIM project.
* An engagement policy that is guided by respect and sensitivity to culture and the environmental concerns of local people is key for the success of "win-win cooperation" in these border regions of BCIM countries, which are rich in biodiversity and ethnically diverse people.
* he BCIM economic corridor has the potential of transforming a conflict zone into a cooperation zone.
BCIM corridor gets push after first official-level talks in China
* Four nations have for the first time drawn up a specific timetable on taking forward plan
* emphasising the need to quickly improve physical connectivity in the region, over two days of talks in the south-western Chinese city of Kunming the provincial capital of Yunnan, which borders Myanmar
* The corridor, it was agreed, will run from Kunming to Kolkata, linking Mandalay in Myanmar as well as Dhaka and Chittagong in Bangladesh.
* The plan would advance multi-modal connectivity, harness the economic complementarities, promote investment and trade and facilitate people-to-people contacts,
* Officials acknowledged that security concerns in parts of Myanmar were one likely obstacle, although representatives from the country also expressed optimism that this issue would, in time, be overcome.
Science and technology
India to push for freeing Internet from U.S. control
* India has decided to challenge the U.S. governments control over the Internet
* India will also push for storing all Internet data within the country, besides ensuring control and management of servers.
* In view of its growing cyber security concerns
* Similarly, all traffic originating/landing in India should be stored in India,
* Notably, the key function of domain name system (DNS) management today is in the hands of the U.S. National Telecommunication and Information Administration and the Department of Commerce.
* India managed to get root servers installed in the country,
MERS-CoV virus has been identified in Qatari farm camels
* Camels are catching a virus that has been sickening people in the Middle East, according to research just published.
* But the study has been unable to establish whether such animals could be a source of human infections.
* The Middle East respiratory syndrome coronavirus (MERS-CoV) was first reported just over a year back.
* Since then, the World Health Organisation has been informed about 165 laboratory-confirmed cases of people infected by the virus, over 40 per cent of whom died.
* Although antibodies to MERS-CoV had not been found in animals other than camels, they should not be ruled out as potential hosts for the virus at this stage
* The receptor molecule that the virus used to infect cells was found in goats and sheep, among other animals, she noted in an email.
Potential malaria vaccine discovered
* Researchers have discovered a key process during the invasion of the blood cell by the Malaria parasite, and have found a way to block this invasion.
* With this new knowledge, the scientists from Singapores Nanyang Technological University (NTU) are looking to collaborate with the industry on a vaccine against malaria which can be developed within the next five years if accelerated by vaccine development companies.
Mass spectrometry: the most important analytical tool of modern times
* With it, it is possible to measure the mass spectrum of complex proteins, extremely fragile molecular assemblies and even intact cells
* Mass spectrometry (MS), arguably the most important analytical spectroscopic tool of modern times, is in its centenary year in 2013 along with two other celebrated discoveries of science, the Bohr atom model and the chemical bond of G. N. Lewis; both have profound connections to the first.
* The technique is used to explore the chemical constitution of molecules from this planet and beyond, e.g. the hydrocarbon seas of Saturns moon Titan.
* It is used to understand the fundamental atomic and molecular processes and at the same time those of immediate relevance to events within cells. As a technique, it helps to control processes in chemical and biological industries, diagnose diseases, discover new drugs, protect the environment and explore mysteries of nature.
* In 100 years, it has been used to separate much of the uranium 235 used to make the Little Boy (the bomb that was dropped onto Hiroshima in 1945), led to understanding of thousands of chemical reactions, to the discovery of new molecules, to the resolution of protein structures, to solve crimes and to provide answers to complex questions of nature.
* In each of these areas (forming ions, analysing their mass, detecting them) innovations have led to multiple mass spectrometric techniques.
* The most important developments have happened in ion formation. Years ago, it was necessary to evaporate a sample to generate vapours and bombard these with a stream of electrons in order to make ions, a process which required vacuum.
* It is possible to understand the spectrum of molecules from the surface of a rose while the plant is alive. Mass spectra of molecules metabolites or drugs or cancer markers can be measured on a patients skin or in his/her blood.
* Mass spectrometers may soon arrive in physicians consulting rooms.
* It has been demonstrated that they can help in diagnosis during complex surgeries within the operating theatre.
* it is surprising that mass spectrometry is being removed gradually from our science curriculum. Mass spectrometry concerns ion chemistry and physics with an emphasis on scientific instrumentation.
* The Nobel committee over many years has demonstrated its appreciation for scientific instrumentation; this is a lesson we in India cannot afford to discard.
The green network
* Environment Monitoring Forum (EMF)
* TARGET: To address social issues that concern the environment at the regional level and to learn to live in harmony with nature
* ACTIVITIES: The Environment Monitoring Forum has always articulated that development should be streamlined with a steady focus on sustainability.
* IMPACT: Through several of its initiatives, the Environment Monitoring Forum could bring about better awareness on ecology related issues at the regional level.
* Greenhouse gas emissions will dry up water resources, warns UN panel
* A leaked final draft of the UN scientific panel on climate change report has warned of the risks that the world faces from climate change impacts if the greenhouse gas emissions are not curtailed and countries do not adapt quickly enough.
* The lack of adaptation efforts in developing countries has lead to significant vulnerability and exposure from extreme climatic events, such as heat waves, droughts, floods and wildfires, the report notes.
* For agriculture dependent countries such as India, the report warns of ominous changes in crop yields.
* With or without adaptation, climate change will reduce median yields by 0-0.2% per decade for the rest of the century, as compared to baseline without climate change.
* This would happen against a surging 14% increase in demand of food crops every decade till 2050.
* These are extracted from the Chapter on Asia in the main report. The summary says the key risk to Asia arises from increased flooding leading to widespread damage to infrastructure and settlements,
* heat-related mortality and increased risk of drought-related water and food shortages causing malnutrition.
* The scientific panel also draws from another future report on mitigation to warn that emissions are rising so fast and unchecked that scenarios, which are more likely than not, to limit temperature increase to 2 C are becoming increasingly challenging,
* and most of these include a temporary overshoot of this concentration goal.
* This emission growth was not met by significant greenhouse gas emission cuts in the industrialized country group, which continued to dominate historical long-term contributions to global carbon dioxide emissions.
* In 2010, median per capita greenhouse gas emissions in high income countries were roughly ten times higher than in low-income countries.
* In 2010, median per capita greenhouse gas emissions in high income countries were roughly ten times higher than in low-income countries.
Economics
Bitcoin puzzle might prompt advisory from Indian regulators
* As regulatory glare increases on Bitcoin globally and its exchange rates become extremely volatile,
* Indian authorities may soon issue a public advisory to warn against potential risks associated with this new digital currency concept.
* While US has declared that all prevailing money laundering laws would apply to bitcoins,
* China has asked its banks and other financial institutions not to deal in bitcoins and the public has been asked to do so at their own risk.
* Besides, France last week warned its banks about risks related to bitcoins.
* At the same time, the experts are also raising concerns about cyber security issues,
* "The concept of a digital currency, unregulated by any monetary authority, is a recipe for disaster. The RBI must step in and regulate this immediately.
* So, Bitcoin can very well be used to finance terror."
Are Indian NBFCs Shadow Banks? Do They Pose Systemic Risks?
What Is Shadow Banking?
* shadow banks as the whole alphabet soup of levered up non-bank investment conduits, vehicles, and structures.
According to Acharya et al (2013), some of the key points that have emerged are:
(a) A shadow banking system conducts maturity, credit and liquidity transformation outside the traditional banking system (Pozsar et al 2010):
Thus, not only is shadow banking usually (but not always) less regulated than the traditional banking system (Acharya and nc 2010), there is also no explicit access to central bank liquidity or public sector credit guarantees
(b) A shadow banking system decomposes the process of credit intermediation into a sequence of discrete operations
Therefore, it can be a collection not only of single financial entities acting independently, but also of (and usually is) networks of multiple financial entities acting together: banks, formal and informal non-bank financial institutions, and even credit rating agencies, regulators and governments
* The shadow banking system can broadly be described as credit intermediation involving entities and activities (fully or partially) outside the regular banking system.
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking,
* but the regular banking system is also excluded, which is a problem because even regular banks can get involved in shadow banking activities
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking, but the regular banking system is also excluded,
* which is a problem because even regular banks can get involved in shadow banking activities
* In this broad definition, not only almost anything outside the regular banking system qualifies as shadow banking, but the regular banking system is also excluded, which is a problem because even regular banks can get involved in shadow banking activities
* above definitions are based on the experiences in the US and EU.
Indian NBFCs
* Adopting the FSBs broad definition, the Reserve Bank of India (RBI) the regulator of the Indian NBFCs
* considers the NBFCs as quintessentially epitomising the shadow banking system as they perform bank like credit intermediation outside the purview of banking regulation in India
* To sum up, there is no definite answer to the question of whether the Indian NBFCs are shadow banks or not, because if we adopt the FSBs (2011) broad definition,
* A better question can be whether or not Indian NBFCs can create systemic risks.
* Put differently, it may be better if we are concerned with the systemic risks the Indian NBFCs might create. (This does not mean that other Indian financial institutions such as commercial banks cannot create systemic risks.)
* An ongoing debate in India is whether or not Indian non-banking fi nancial companies (NBFCs) are shadow banks.
RBI RELATED
A course correction?
* The new understanding is that to spur growth, private investment has to be supported
* The Reserve Bank of Indias (RBI) decision to hold the policy rates in its mid-quarter policy review
* current inflation is too high how it will move in the short term is uncertain.
* So the call is to act when the inflation trend is better understood.
* Latest available official data shows food inflation was growing at 19.93 per cent in wholesale prices and 14.72 per cent in retail prices in November.
* RBI data shows vegetable prices are climbing down.
* As the economy is weak, said Dr. Rajan, the RBI resisted monetary policy overreaction at this stage
* Indias economic growth mid-90s onwards was led by private investment and not government spending-led pump priming.
* The best way to support or boost growth in the Indian economy is going to be facilitation and incentivisation of private investment.
* the government has said it is pressing in spending cuts, including in the social sector, to keep its fiscal deficit within the committed target.
* These cuts will reduce inflation more effectively as social sector spending puts money in the hands of people who are completely out of the transmission channels of the monetary authority.
* The RBIs interest rate hikes so far have been blunt on food inflation though manufacturing inflation is down drastically.
* In fact, RBIs inflation fight has reduced demand for manufacturing products, pushing the factory output growth into negative territory.
* Inflation, Dr. Rajan is expecting, will get contained by factors such as the negative output gap, the services growth slowdown, the lagged effect of the RBIs June policy action, the disinflationary impact of the exchange rate stability and, in some measure, the governments spending cuts.
* The RBI has long maintained that monetary policy is blunt on food inflation.
Admin-all the polity, Admin, Development related items
North-East (NE) India represents a mosaic of diverse geographical features inhabited by different peoples with distinct ethnic markers.
* 1894.1 It was considered as merely a peripheral space perceived as inhabited by poorly administered and unadministered tribals with distinct ethnic and cultural markers.
* The terminology NE got a boost in post-Independence India when Prime Minister Pandit Jawaharlal Nehru created the North-East Frontier Agency (NEFA)
* Koms success catapulted the NE story into the spotlight of the country. Her achievement not only generated solidarity and pride among the people of the region, it also awakened many Indians to the region.
* A conflict between the Bodo community and the perceived illegal immigrants took a different turn with the problem snowballing into an issue between the NE people and other Indians
* serious administrative mishandling and totally misconceived notions about the complexities of the region by the Indian state
* It is a region where the people repeatedly challenge the Indian nation-building process based on the one nation theory.
* some consider the NE as a coinage that explains the relation of unequal power and politics between the centre and the perceived periphery.
* New Delhi deals with the local regimes of corruption and repression.
* New Delhi tolerates and even supports localised autocracy as a means to manage security threats (Lacina 2009). E
* The assertion of ethnic identities and movements is not confined to the larger communities or nationalities;
* many of the smaller communities in the region are also asserting and articulating their rights, interests and identities
* voices that hardly reach the corridors of Delhi.
* silently bear the ill-treatment or indifferent attitude meted out to them
* The politics of tussle between the peripheral voices and the locally dominant centre
* Indigenous tribal elites in the hills of Manipur were sensitive to their relatively vulnerable status
* The media too played a crucial role in shaping the image of the region,
Notes
1 The region acquired the name the North-East Frontier Tract (NEFT) in 1914, after the Assam province became a separate unit directly administered by a governor general. The NEFT later became a part of Assam, after Indias Independence in 1947.
2 NEFA, created during the interim period was a centrally-controlled administrative unit under the then governor of Assam. On 21 January 1972, NEFA became the Union Territory of Arunachal Pradesh, and ultimately a state (present-day Arunachal Pradesh) of the Indian Union.
3 North-Eastern Hill University, a central university was set up for the whole region with the primary objectives of benefiting the indigenous tribals of the region.
Poverty Related
* Tendulkar committee based its definition on purchasing power parity.
* A survey among the Indian or global poor on what poverty is would lead to a definition widely divergent from that of governments and economists.
* A poorly-created poverty measurement index easily misrepresents and often reduces the poverty in a society. In doing so, it decreases the responsibility of the privileged and the powerful to improve the condition of the less privileged.
* In the long-term, such discourses fracture societies, eventually leading to unrest, inequality, internalised dissatisfaction and eventual conflict.
* The point to consider, then, is who should define poverty and why the poor should not lead this process?
* Poverty, as defined by the poor, must converge at some point with the states definition.
Why?
Because if our definitions of what poverty is can be so vastly divergent, how can any programmes designed for poverty alleviation ever truly succeed?
* There is a need to recognise that poverty is multi-dimensional.
After all, despite rising above the poverty line, millions of Indians continue to lack access to safe water, sanitation, housing, nutrition, health and education.
Unless we take into account what poverty means to the poor, measuring or reducing it will continue to remain a game of deliberate obfuscation.
The sugar imbroglio
* A little over a year after the Rangarajan Committee, which went into the regulatory and business aspects of the industry submitted its report,
* only a part of its sensible recommendations have been implemented.
* crucial recommendation on revenue-sharing between sugarcane farmers and sugar mills has been ignored.
* especially Uttar Pradesh which accounts for the bulk of the sugarcane output had implemented the recommendation and not gone ahead and announced their own prices for procurement by mills.
* mills are in poor financial shape
* consequent slump in prices.
* bailout package for them.
* The package includes interest-free loans adding up to Rs.7,500 crore with favourable repayment terms, restructuring of existing loans, incentives for the production of 4 million tonnes of raw sugar for exports, and doubling of ethanol blending in petrol to 10 per cent.
* 5 per cent blending is not happening due to disagreements over pricing.
* The Rangarajan Committee recommended a 70:30 revenue-sharing mechanism between farmers and mills,
* The Statesshould adopt the Committees formula, which is not only transparent but has been arrived at after a study ofthe cost structuresof sugarcane farming and sugar mills.
Continuation of ongoing State Plan scheme of Rashtriya Krishi Vikas Yojana (RKVY) during 12th Five Year Plan
1. The Cabinet Committee on Economic Affairs has approved the continuation of the ongoing state Plan Scheme of Rashtriya Krishi Vikas Yojana (RKVY) in the 12th Plan
2. One of the basic objectives of RKVY is to incentivize investments in agriculture and allied sectors by linking state wise allocation of RKVY funds to the increased share of State plan expenditure in agriculture and allied sectors.
Background:
1. The Rashtriya Krishi Vikas Yojana (RKVY) is a continuing scheme under implementation from the 11th Five Year Plan period.
2. RKVY is a State plan scheme that provides considerable flexibility' and autonomy to States in planning and executing programmes for incentivizing investment in agriculture and allied sectors.
Approval of Integrated Mission for Development of Horticulture during 12th Plan
1. Economic Affairs has approved a Mission for Integrated Development of Horticulture (MIDH) for implementation during the 12th Plan with an outlay of Rs. 16,840 crore, a centrally sponsored scheme.
2. Implementation of MIDH is expected to achieve a growth rate of 7.2 percent in the horticulture sector during the 12th Plan,
3. besides generating skilled and unskilled employment opportunities in rural and urban areas.
4. The scheme will cover all States and Union Territories (UTs) of India.
5. While the NHM scheme will be focusing on 18 States and UTs, the Horticulture Mission for North East and Himalayan States (HMNEH) scheme will cover all States in the North East and Himalayan region of the country.
6.National Horticulture Board (NHB) scheme will address developmental issues on commercial horticulture through entrepreneurs involving institutional financing.
7. The National Bamboo Mission (NBM) will address developmental issues on bamboo, whereas the Coconut Development Board (CDB) schemes will focus on development of the coconut sector.
Background:
1. India has a wide and varied horticulture base, which includes fruits, vegetables, tuber crops, mushrooms, spices, medicinal and aromatic plants, flowers and foliage and plantation crops like coconut, areacanut, cashewnut, cocoa and bamboo.
2. The horticulture sector has been an engine of growth for the rural economy while providing food and nutritional security to the people.
3. The horticulture sector has been an engine of growth for the rural economy while providing food and nutritional security to the people.
4. Implementation of the Centrally sponsored and Central sector schemes has provided necessary stimulus to the horticulture sector
5. Implementation of Centrally Sponsored Scheme Livestock Health and Disease Control
Economic Affairs has approved the proposal of the Department of Animal Husbandry, Dairying and Fisheries for implementation of the on-going Centrally Sponsored Scheme "Livestock Health & Disease Control" (LH & DC) in the 12th Plan with certain modifications and expansion of existing components.
6.modifications and expansion of the national control programmes including addition of one new component on control of classical swine fever
enable effective tackling the issue of livestock health and strengthing the existing efforts to 7.manage the animal diseases,
Accordingly, besides modification of existing components, the scope of Foot and Mouth Disease and Peste des petits Ruminants (PPR) Control Programmes will be expanded to cover all the districts during 12lh Plan.
8. A new component, viz., Classical Swine Fever Control Programme has also been included in the scheme.
Continuation of central sector Integrated Scheme on Agriculture Census, Economics and Statistics during 12th Plan
The Cabinet Committee on Economic Affairs has approved continuation of the Central Sector Scheme "Integrated Scheme on Agriculture Census, Economics & Statistics" with some modifications.
The total plan outlay will be Rs.1091 crore during 12th Plan.
The following modifications are approved:
i. Restructuring of studies in Agriculture Economic Policy and Development scheme by dividing it into three independent components namely,
(a) comprehensive scheme of Cost of Cultivation of Principal Crops in India,
(b) Agro Economic Research Centers (AERC) and
(c) Scheme of Planning, Management & Policy Formulation, and discontinuing the component of Drought Management with effect from 2014-15.
ii. Enhancement of rate of honorarium to the staff from the existing rate of Rs. 700/- per village to Rs.1000/- per village each for phase-I and II of the Agriculture Census.
iii. 2nd Inter-Ministerial Committee for Cost of Cultivation Scheme will be set up to address the implementation and administrative issues.
The existing pattern of funding to Agro-Economic Research Centres (AERC) will continue till the terminal year of the 12th Five-Year Plan.
Approval for modification and continuation of Dairy Entrepreneurship Development Scheme during the remaining period of 12th Plan
1. The Cabinet Committee on Economic Affairs has approved modification and continuation of the Dairy Entrepreneurship Development Scheme (DEDS) during the 12th Plan with an outlay of Rs.1400 crore to generate self employment opportunities in the dairy sector,
2. covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk.
3. The Cabinet Committee on Economic Affairs has approved modification and continuation of the Dairy Entrepreneurship Development Scheme (DEDS) during the 12th Plan with an outlay of Rs.1400 crore to generate self employment opportunities in the dairy sector, covering activities such as enhancement of milk production, procurement, preservation, transportation, processing and marketing of milk.
4. The funding Pattern will be as follows:
a) Entrepreneur contribution (Margin) -10% of project cost (Minimum)
b) Back ended capital subsidy @ 25% of the project cost for general category and @ 33.33 % for SC/ST farmers. The component-wise subsidy ceiling will be subject to indicative cost arrived at by NABARD from time to time.
c) Bank Loan - Balance portion.
5. The objectives of "DEDS" are to generate self-employment and provide infrastructure for dairy sector,
6. set up modem dairy farms and infrastructure for production of clean milk, encourage heifer calf rearing for conservation and development of good breeding stock,
7.bring structural changes in the unorganized sector (so that initial processing of milk can be taken up at the village level), upgrade traditional technology to handle milk on commercial scale, and provide value addition to milk through processing and production of milk products.
8.The National Bank for Agriculture and Rural Development (NABARD) will be the nodal agency for implementation of the scheme.
9. NABARD will implement the scheme through all Scheduled Commercial Banks, Regional Rural and Urban Banks, State Cooperative Banks, State Cooperative Agriculture and Rural Development Banks and such other institutions, which are eligible for refinance from NABARD.
10. The proposals will be sanctioned by the banks as per guidelines of RBI, NABARD and Government of India.
11.The eligible beneficiaries of the scheme will be agricultural farmers, individual entrepreneurs, self-help groups, dairy cooperative societies, milk unions, milk federation, panchyati raj institutions (PRls) etc.
12. The scheme will be implemented throughout the country and cover all sections of society including women, the landless and small and marginal farmers in rural and urban areas.
.
Approval to set up an Alternative Investment Fund Category I and for receiving contributions from international investors
1.The Cabinet Committee on Economic Affairs has approved the proposal of M/s IDFC Trustee Company Limited to set up the India Infrastructure Fund II, to be registered as the Alternative Investment Fund (AIF) Category I with the Securities and Exchange Board of India (SEBI) as recommended by the Foreign Investment Promotion Board (FIPB).
2.The Indian Infrastructure Fund II is aimed at making investment primarily in the sectors of energy utilities, transportation, aviation, telecom infrastructure, other urban infrastructure and public utilities. The fund is targeted to receive contribution from international investors up to Rs.5500 crore.
India-China agree to exchange information on Brahmaputra basin
1. India and China have agreed to share information on the hydro power projects activity being undertaken in the Brahmaputra river basin
2. China has agreed to share only hydro information.
3. In Brahmaputra, nearly 85 per cent of the water emanates from India.
4. We are able to tap only 5 per cent of it. We are also working on inter-basin water transfer in India,
5. Hydro power tariff becomes significantly lesser than coal based tariff over time; hydel plants have a much longer life as compared to coal fired plants; there is no strain on transport infrastructure for regular movement of fuel and saves precious foreign exchange.
Rare Earth in the Country
1. Indian Rare Earths Ltd. (IREL) a Public Sector Undertaking of the Department of Atomic Energy (DAE) produces monazite which is a prescribed substance under Atomic Energy Act 1962 and processes the same to produce mixed Rare Earth compounds.
2. IREL has set up a 10,000 tpa monazite processing plant at Odisha to produce mixed rare earth chloride and at Aluva, Kerala to produce separated high pure rare earth products.
3. An MoU has been signed between IREL, Bhabha Atomic Research Centre (BARC), Defence Metallurgical Research Laboratory (DMRL) & International Advanced Research Centre for Powder Metallurgy & New Materials (ARCI) for production of value added products of Rare Earths.
Science Centre
The Department of Science and Technology in collaboration with the Russian Ministry of Education and Science has jointly established the Indo-Russian Science and Technology Centre (IRSTC) with offices at New Delhi NCR region and in Moscow.
The following terms and references have been mutually agreed upon:
(i) Both sides (India and Russia) are to financially support the Centre in their respective country;
(ii) IRSTC is mandated to facilitate transfer of proven technology (at laboratory scale or pilot scale) to industry, both from India and Russia;
(iii) IRSTC is also mandated to explore for all possible technologies including nanotechnology;
(iv) IRSTC would provide services for information search; organize meetings, seminars and conferences, presentation, exhibitions and advertising of various available technologies;
(v) IRSTC would facilitate preparation and conclusion of technology transfer agreement between technology supplier and acquirer.
The following terms and references have been mutually agreed upon:
(i) Both sides (India and Russia) are to financially support the Centre in their respective country;
(ii) IRSTC is mandated to facilitate transfer of proven technology (at laboratory scale or pilot scale) to industry, both from India and Russia;
(iii) IRSTC is also mandated to explore for all possible technologies including nanotechnology;
(iv) IRSTC would provide services for information search; organize meetings, seminars and conferences, presentation, exhibitions and advertising of various available technologies;
(v) IRSTC would facilitate preparation and conclusion of technology transfer agreement between technology supplier and acquirer.
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
Bilateral Investment Promotion and Protection Agreement (BIPPA) Signed Between India and Government of UAE to Boost Investment Flows Between the two Countries
1. A Bilateral Investment Promotion and Protection Agreement (BIPPA) between the 2.Government of India and the Government of UAE was formally signed here today. The 3.Agreement was signed by Shri Namo Narain Meena, Minister of State (E&FS), on behalf of Government of India and H.E. Mr. Obaid Humaid Al Tayer, Minister of State for Financial Affairs of UAE on behalf of Government of UAE.
4. The text of the Agreement, which seeks to promote and protect investments from either country in the territory of the other country with the ultimate objective of increasing bilateral investment flow
5. It is hoped that the Agreement would serve as a catalyst in boosting investment flows between the two countries.
Health Ministry worried SC verdict will affect AIDS control
* ruling will prevent vulnerable communities from accessing health facilities for fear of discrimination and stigma.
* concerned that this will discourage people from seeking health care, and consulting with doctors, counsellors and health workers,
* The LGBT (lesbian, gay, bisexual and transgender) is defined as a high-risk group by the National AIDS Control Organisation
* The Department of AIDS Control provides inclusive healthcare service for gay men and transgenders primarily for checking HIV infections
* the service was being accessed by a large number of the LGBT community following the 2009 Delhi High Court judgement that had struck down Section 377 of the Indian Penal Code which criminalised unnatural sex.
* The HIV Estimation of 2012 suggests an overall reduction of 57 per cent in the annual new HIV infections (among adult population) from 2.74 lakh in 2000 to 1.16 lakh in 2011,
* While HIV prevalence shows declining trends among female sex workers, MSM, injecting drug users and single male migrants are emerging as important risk groups.
Greenhouse gas emissions will dry up water resources, warns U.N. panel
* final draft of the U.N. scientific panel on climate change has warned of the risks that the world will face if greenhouse gas emissions are not curtailed and countries do not adapt quickly enough.
* The final draft has been sent to all governments for review and comment before the report is finalised.
* The lack of adaptation efforts in developing countries has led to significant vulnerability and exposure from extreme climatic events, such as heat waves, droughts, floods and wildfires, the report says
* For agriculture-dependent countries such as India, the report warns of ominous changes in crop yields. With or without adaptation, climate change will reduce median yields by 0-0.2% per decade for the rest of the century
* This would happen against a surging 14% increase in demand for food crops every decade till 2050.
Food Security Uncertainties after Bali
* The Government of India claims "victory" at the WTO; it has only bought time.
* The WTO claimed the worlds poor would benefit from Bali, when in actual fact it oversaw a set of trade agreements that had imbalance written all over them with the developed countries walking away with the biggest gains.
* For India, the most important item on the agenda was to ensure that its current public distribution system (PDS) as well as the new food security programme under the National Food Security Act (NFSA) would not have to be curtailed if the food subsidy breached the ceilings decreed by the WTOs 1994 Agreement on Agriculture (AoA).
* While the AoA does permit governments to operate public stockholding programmes and provide foodstuffs to the poor at subsidised rates, the provisions of that agreement were sufficiently ambivalent to cause concern.
* Indias refusal at Bali to accept the peace clause option allowed it to extract some measure of protection.
* What has been agreed is that no developing countrys food security programme can be questioned at the WTO, pending negotiation of a permanent solution before the WTOs 11th ministerial meeting four years
* it leaves India with the Herculean task of negotiating an agreement which would either keep food security programmes altogether outside WTO disciplines, or substantially raise the permissible food subsidy, or revise the methodology for measuring the subsidy. Even if such a deal were to be negotiated, what price would India and other developing countries have to pay and where?
* The text of the agreement makes it clear that subsidies provided under public food stockholding programmes will not, for now, be questioned for any violation of the AoA,
* it is yet possible for India to find its expanded PDS under challenge at the WTO for violating the 1994 Agreement on Subsidies and Countervailing Measures.
* When compared to the 2001 Doha Declaration on TRIPS and Public Health, an agreement that made explicit the freedom that developing countries had under the WTO, the Bali text does indeed look weak.
* At Bali, India, along with all the other members of the trade body also had to sign up for a comprehensive agreement on trade facilitation.
* This WTO deal calls on countries to, broadly speaking, simplify customs procedures to permit the smoother flow of goods across borders.
* the developed countries will have to make minimal changes to their laws and only modest investments, the opposite will be the case for all developing country members, including India.
* The trade facilitation is a concrete achievement, of benefit to the developed world. But on the other side, the least developed countries and other developing countries were only given what are called best endeavour texts, i e, promises to address their concerns in subsidies, import tariffs and market access. This is the larger imbalance at Bali, an imbalance which has always marked the working of the WTO.
* The trade facilitation is a concrete achievement, of benefit to the developed world. But on the other side, the least developed countries and other developing countries were only given what are called best endeavour texts, i e, promises to address their concerns in subsidies, import tariffs and market access. This is the larger imbalance at Bali, an imbalance which has always marked the working of the WTO.
* New Delhi signalled that this was an area where it was willing to accommodate US interests, only to wake up at the last minute to the political costs that such a decision would entail?
Ending VIP culture in public governance
* The political executive and the permanent executive should realise they are public servants first and work in harmony to achieve the constitutional objectives
* the option to exercise the voting right to reject all contesting candidates by what is known as the none of the above option (NOTA)
* effecting the transfer of senior civil servants through a Civil Services Board
* civil servants necessarily obtaining written orders from their political masters before implementation
* A view has often been expressed that such intervention by the Supreme Court to improve the quality of public governance and democracy would amount to judicial overreach, not warranted by the spirit of the constitutional provisions
* the Union governments counsel to the effect that a draft Bill titled Civil Services Performance Standards And Accountability Bill, 2010 was under the governments consideration.
* the reluctance, indifference and insensitivity on the part of governments cannot be overlooked.
* The main reason for such an attitude seems to be the fear of erosion of political authority in governance
* Supreme Court judgments on such matters relating to public administration should not be seen as an issue between the political class and the permanent executive.
* On the other hand, it has to be seen as an attempt to promote good governance and quality democracy in order to achieve the rule of law and equality of opportunities.
* Let it be clearly understood that public governance in a democracy is not the private business of any one section. I
* It is the collective responsibility of the government as a whole.
* One of the issues highlighted in the discussions at the drafting stage was the anxiety to avoid concentration of power in a few individuals as naked greed for power will destroy democratic principles.
* We have to realise that there is an urgent need to change the countrys administrative culture if we have to survive as a nation
* We need to get away from the leisure culture where public holidays and delays contribute to deficiencies in the delivery of public service
National Crop Insurance Programmebeing Implemented fromCurrent Rabi Season
A new central sector scheme, National Crop Insurance Programme (NCIP) has been introduced by merging Modified National Agricultural Insurance Scheme (MNAIS), Weather Based Crop Insurance Scheme (WBCIS) and Coconut Palm Insurance Scheme (CPIS) throughout the country from Rabi 2013-14.
AdministrativeApprovalfor implementing NCIP from Rabi 2013-14 has been issued on 1stNovember, 2013.
NCIP has been introduced to provide financial support to the farmers for losses in their crop yield, to help in maintaining flow of agricultural credit,
1. to encourage farmers to adopt progressive farming practices and higher technology inAgricultureand thereby,
2. to help in maintaining production, employment & economic growth. Besides, farmers are also benefitted due to: -
* coverage of indemnity for prevented sowing/planting risk and post harvest losses (due to cyclone in coastal areas),
* higher level of indemnity and more proficient basis for calculation of threshold yield,
* faster settlement of claims due to provision for making 50% advance of likely claims under MNAIS component for immediate relief to the farmers, etc.
* To encourage the State Governments to implement the scheme at village/ village panchayat level, a provision to reimburse 50% of incremental expenses onCrop Cutting Experimentshas been made in the scheme.
Unit area of insurance has been reduced to the village/village panchayat level in the restructured scheme of National Crop Insurance Programme (NCIP).
All you want to know about Lokpal Bill
1. Lokayuktas: The new bill mandates states to set up Lokayuktas within 365 days. States have the freedom to determine the nature and type of Lokayukta.
The old bill said the law shall be applicable to states only if they give consent to its application.
The old bill gave power to the central government to appoint state Lokayuktas while the new draft gives this power to the states.
2. Constitution of Lokpal: The Lokpal will consist of a chairperson and a maximum of eight members, of which fifty percent shall be judicial members. Fifty percent members of Lokpal shall be from among SC, ST, OBCs, minorities and women.
The older version said the chairperson shall be the Chief Justice of India or a present or former judge of the Supreme Court or a non-judicial member with specified qualifications (chief justice or a judge of a high court).
3. Selection of Lokpal: The selection committee will have Prime Minister, Lok Sabha Speaker, leader of the opposition in Lok Sabha and the Chief Justice of India. A fifth member of the selection committee for selection of Lokpal under the category of "eminent jurist" may be nominated by the President on the basis of recommendation of the first four members of the selection committee.
In the old bill, selection of the fifth person was left entirely to the President.
4. Religious bodies and trust: The new bill includes societies and trusts that collect public money, receive funding from foreign sources, and have an income level above a certain threshold, it excludes bodies creating endowments for or performing religious or charitable functions.
The old bill expanded definition of public servant by bringing societies and trusts which receive donations from the public (over a specified annual income) and, organisations which receive foreign donations (over Rs 10 lakh a year) within the purview of the Lokpal.
5. Prosecution: In the new version, before taking a decision on filing a chargesheet in a case upon consideration of the investigation report, the Lokpal may authorise its own prosecution wing or the concerned investigating agency to initiate prosecution in special courts.
Under the old bill, prosecution of the case could be done only by the prosecution wing of the Lokpal.
6. Central Bureau of Investigation: For independence of the CBI, in the new bill a directorate of prosecution will be formed. Appointment of the director of prosecution will be on the recommendation of the Central Vigilance Commissioner.
Transfer of officers of CBI investigating cases referred by Lokpal will be only with the approval of Lokpal who will also have superintendence over CBI in relation to Lokpal referred cases.
7. Hearing: The new bill says a government servant will get a hearing before a decision is taken by the Lokpal.
8. Prime Minister: The Prime Minister will be under the purview of the Lokpal with subject matter exclusions and specific process for handling complaints against the Prime Minister.
9. Investigation: Inquiry has to be completed within 60 days and investigation to be completed within six months. Lokpal shall order an investigation only after hearing the public servant.
Inquiry against the prime minister has to be held in-camera and approved by two-thirds of the full bench of the Lokpal.
10. Penalty: False and frivolous complaints - imprisonment up to one year and a fine of up to Rs.1 lakh. Public servants - imprisonment up to seven years. Criminal misconduct and habitually abetting corruption - jail term up to 10 years.
Lokpal's journey to transparency
1966
Morarji Desai led First Administrative Reforms Commission recommends setting up of Lokpal at Centre and Lokayukta in states to look into complaints against public functionaries, including MPs
1968-2001
Successive governments introduce Lokpal bill eight times
2002
Justice MN Venkatachaliah led Constitution Review Commission stresses the need for Lokpal and Lokayuktas
2004
UPA-I's national common minimum programme promises that Lokpal bill would be enacted
2005
Veerappa Moily led Second Administrative Reforms Commission reiterates that Lokpal be established without delay
2011
Jan: UPA-II's GoM headed by Pranab Mukherjee suggests a range of anti-corruption measures, including the Lokpal bill
Apr 5: Anna Hazare begins his fi rst fast at Jantar Mantar demanding enactment of Jan Lokpal bill drafted by his team
Apr 9: Anna ends fast as the government forms a joint drafting committee consisting of ministers and civil society members
Jun 21: The last meeting of the drafting committee ends with the two sides coming up with separate drafts
Aug 4: Govt introduces a Lokpal bill, widely attacked as fl awed
Aug 8: Bill referred to standing committee
Aug 16: Anna launches second fast for Jan Lokpal bill
Dec 22: Govt re-introduces Lokpal and Lokayuktas bill
Dec 27: Lok Sabha passes bill
Dec 29: Introduced in Rajya Sabha
2012
Re-introduced in Rajya Sabha. Referred to select committee
2013
Dec 10: Anna Hazare begins fast in his village in Maharashtra, demanding urgent introduction of a new anti-corruption law
Dec 13: Amended bill tabled in Rajya Sabha
The Lokpal shall consist of
* (a) a Chairperson, who is or has been a Chief Justice of India or is or has been a Judge of the Supreme Court or an eminent person who fulfils the eligibility specified
* such number of Members, not exceeding eight out of whom fifty per cent. shall be Judicial Members:
* Provided that not less than fifty per cent. of the Members of the Lokpal shall be from amongst the persons belonging to the Scheduled Castes, the Scheduled Tribes, Other Backward Classes, Minorities and women.
* A person shall be eligible to be appointed, (a) as a Judicial Member if he is or has been a Judge of the Supreme Court or is or has been a Chief Justice of a High Court;
* (b) as a Member other than a Judicial Member, if he is a person of impeccable integrity and outstanding ability having special knowledge and expertise of not less than twenty-five years in the matters relating to anti-corruption policy, public administration, vigilance, finance including insurance and banking, law and management.
* The Chairperson or a Member shall not be (i) a member of Parliament or a member of the Legislature of any State or Union territory; (ii) a person convicted of any offence involving moral turptitude; (iii) a person of less than forty-five years of age, on the date of assuming office as the Chairperson or Member, as the case may be; (iv) a member of any Panchayat or Municipality; (v) a person who has been removed or dismissed from the service of the Union or a State,
* and shall not hold any office of trust or profit (other than his office as the Chairperson or a Member) or be connected with any political party or carry on any business or practise any profession and, accordingly, before he enters upon his office,
* a person appointed as the Chairperson or a Member, as the case may be, shall, if (a) he holds any office of trust or profit, resign from such office; or (b) he is carrying on any business, sever his connection with the conduct and management of such business; or (c) he is practising any profession, cease to practise such profession.
* 4.(1) The Chairperson and Members shall be appointed by the President after obtaining the recommendations of a Selection Committee consisting of (a) the Prime Ministerchairperson; (b) the Speaker of the House of the Peoplemember; (c) the Leader of Opposition in the House of the Peoplemember;
* (d) the Chief Justice of India or a Judge of the Supreme Court nominated by himmember; (e) one eminent jurist nominated by the Presidentmember.
* (2) No appointment of a Chairperson or a Member shall be invalid merely by reason of any vacancy in the Selection Committee.
* (3) The Selection Committee shall for the purposes of selecting the Chairperson and Members of the Lokpal and for preparing a panel of persons to be considered for appointment as such, constitute a Search Committee consisting of at least seven persons of standing and having special knowledge and expertise in the matters relating to anti-corruption policy, public administration, vigilance, policy making, finance including insurance and banking, law and management or in any other matter which, in the opinion of the Selection Committee, may be useful in making the selection of the Chairperson and Members of the Lokpal
* The President shall take or cause to be taken all necessary steps for the appointment of a new Chairperson and Members at least three months before the expiry of the term of the Chairperson or Member, as the case may be, in accordance with the procedure laid down in this Act.
* The Chairperson and every Member shall, on the recommendations of the Selection Committee, be appointed by the President by warrant under his hand and seal and hold office as such for a term of five years from the date on which he enters upon his office or until he attains the age of seventy years,
* Provided that he may
(a) by writing under his hand addressed to the President, resign his office;
or (b) be removed from his office in the manner provided in section 37.
* The salary, allowances and other conditions of service of
(i) the Chairperson shall be the same as those of the Chief Justice of India;
(ii) other Members shall be the same as those of a Judge of the Supreme Court
A cure worse than the malady?
* Not much will change under the new Lokpal for the Central Bureau of Investigation except that it will have one more master
* It took an eternity because of an obvious lack of political will and a fear of the unknown.
* There is a need to educate the common man on what he can and cannot expect from this new experiment.
* Lokpals members. This stipulation is because of the apprehension of frivolous complaints being made mainly to unsettle a government in position.
* It will have jurisdiction over all public servants under the Union government, including the Prime Minister.
* While it will have its own investigative wing, which will conduct a preliminary inquiry into a complaint received by it, the Lokpal can entrust such an inquiry to the Central Bureau of Investigation (CBI) or to any other agency. Significantly, the Lokpal can initiate prosecution through its own team.
* Such action will not have to wait until the prosecution successfully establishes the charge in a court of law..
* Strict exercise of this authority will certainly be lauded by the honest citizen, currently dismayed by the sight of corrupt public servants continuing to enjoy the fruits of their misdeeds even after being taken to task.
* But the Lokpal Bill comes as a disappointment to many of us who have been asking for greater CBI autonomy.
* Under the new dispensation, not much will change for the highest investigative agency, except that, with the arrival of the Lokpal
* There are far too many grey areas in the new law for us to be able to predict whether the Lokpal will play an effective role.
* For instance, what will the relationship between the CVC and the Lokpal be like?
* There is scope for conflict between the two authorities when a CVC and the Lokpal refer the same matter to the CBI for inquiry.
* On the whole, the Lokpal cannot be viewed as anything but a cosmetic imposition on a CBI that is craving for autonomy without any great success.
* The commendable support to its cause by the Supreme Court is still in the realm of theory, with the Union government uninhibitedly rejecting all suggestions that the CBI be allowed to function unhampered by the executive.
Poorna Shakti Kendras to empower rural women
* They will help women get pensions, voter identity and Aadhaar cards
* To ensure the socio-economic development of women in rural areas, the National Mission for Empowerment of Women is promoting a model intervention project.
* At the heart of the project launched in 21 districts nationwide, including Pali in Rajasthan is the womens centre, Poorna Shakti Kendra, established in villages, for offering services to women at the grassroots.
* The NRLM proposes to ensure universal financial inclusion by facilitating opening of savings accounts by all SHGs, while encouraging their thrift and credit activities and other financial services,
* Under the NRLM, there shall be one rural self-employment training institute in each district. Each will train at least 750 candidates of the below poverty level category.
Ensuring Environmental Sustainability Included in theList of ActivitiesforCSR Policies
* Section 135 of the Companies Act, 2013 deals withCorporate Social Responsibility(CSR).
* Under this Section every company having net worth of Rs. 500 crore or more or turnover of Rs. 1000 crore or more or net profit of rupees five crores or more during any financial year, shall constitutea CSR Committeeto recommend its activities for discharging CSR in such a manner that the company would spend at least 2 percent of its average net profits of the company made during the three immediately preceding financial years, in pursuance of its CSR policies.
* Section 135 of the Act has not yet come into force and as such this Ministry has no information on the expenditure incurred on CSR activities.
India andthe Government of Republicof Macedonia Signed an Agreement for The Avoidance of Double Taxation andthe Preventionof Fiscal Evasion with Respect toTaxeson Income
Republic of India andRepublic of Macedoniasigned the new Agreement for the avoidance Of Double Taxation and the prevention of fiscal evasion (DTAA) with respect to taxes onincome .
Oncethe DTAAenters into force, it will provide relief to taxpayers from double taxation and thereby, stimulate the flow of capital, technology and personnel between both the countries and will further strengthen the economic relationship between the two countries.
The Salient features of this agreement are as under:
* The agreement provides relief from double taxation to residents of India earning income in Macedonia and residents of Macedonia earning income in India.
* The agreement provides that taxation of dividend, interest and royalty in the source country will not exceed 10 %.
* The agreement provides for taxation of business income in the source country if the taxpayer has a permanent establishment there
* The agreement provides for taxation of capital gains from securities in the source country.
* The agreement has a limitation of benefit article which provides that the benefit of this agreement will not be available to entity which has formed mainly to obtain benefits under this agreement.
* The agreement is based on international standard of transparency and exchange of information and provides for exchange of information (including banking information)concerningtaxes.
* The agreement has a specific provision that the requested Party shall use its information-gathering measures to obtain the requested information even thoughthat Partymay not need such information for its own tax purposes.
* The agreement provides for the representatives of the competent authority of the requestingPartyto enter the territory of the requested Party to interview individuals and examine records.
* The Agreementprovides for mutual assistance in collection of taxes due in other country.
* This agreement is expected to boost economic relationship between India and Macedonia.
The Public Procurement Bill, 2012
Highlights of the Bill
* The Bill seeks to regulate and ensure transparency in procurement by the central government and its entities.
* It exempts procurements for disaster management, for security or strategic purposes, and those below Rs 50 lakh.
* The government can also exempt, in public interest, any procurements or procuring entities from any of the provisions of the Bill.The government can prescribe a code of integrity for the officials of procuring entities and the bidders. The Bill empowers the government and procuring entity to debar a bidder under certain circumstances
* The Bill mandates publication of all procurement-related information on a Central Public Procurement Portal.
* The Bill sets Open Competitive Bidding as the preferred procurement method; an entity must provide reasons for using any other method. It also specifies the conditions and procedure for the use of other methods
* The Bill provides for setting up Procurement Redressal Committees. An aggrieved bidder may approach the concerned Committee for redressal.
* The Bill penalises both the acceptance of a bribe by a public servant as well as the offering of a bribe or undue influencing of the procurement process by the bidder with imprisonment and a fine.Key Issues and Analysis
* The Bill exempts certain procurements from the specified process, besides allowing the government to limit competition in certain cases. It is unclear why the government has been given further powers to exempt any procurement or procuring entity from the applicability of the Bill.
* The Bill specifies Open Competitive Bidding as the preferred method of procurement, without defining the term. The UN Model Law and an earlier draft procurement Bill describe equivalent terms in detail
* In cases where procurement from a particular supplier is necessary to ensure standardisation or compatibility with existing systems, the Bill does not require certification from a competent technical expert. Such a certification is required by existing regulations and model laws.
* In a departure from existing regulations, the Bill does not restrict use of cost-plus contracts, which provide no incentive for efficiency.
The National Food Security Bill, 2011
Highlights of the Bill
* The Bill proposes foodgrain entitlements for up to 75 percent of the rural and up to 50 percent of the urban population.
* Of these, at least 46 percent of the rural and 28 percent of the urban population will be designated as priority households.
* The rest will be designated as general households.
* Priority households will be entitled to 7 kg of subsidised foodgrains per person per month. General households will be entitled to at least 3 kg.
* The central government will determine the percentage of people in each state that will belong to the priority and general groups. State governments will identify households that belong to these groups.
* The Bill proposes meal entitlements to specific groups. These include: pregnant women and lactating mothers, children between the ages of six months and 14 years, malnourished children, disaster affected persons, and destitute, homeless and starving persons.
* Grievance redressal mechanisms will be set up at the district, state, and central levels of government.
* The Bill proposes reforms to the Targeted Public Distribution System.Key Issues and Analysis
* The Bill classifies beneficiaries into three groups. The process of identifying beneficiaries and placing them into these groups may lead to large inclusion and exclusion errors.
* Several entitlements and the grievance redressal structure would require state legislatures to make adequate budgetary allocations. Implementation of the Bill may be affected if states do not pass requisite allocations in their budgets or do not possess adequate funds.
* The Bill does not provide a rationale for the cut-off numbers prescribed for entitlements to priority and general households.
* The grievance redressal framework may overlap with that provided in the Citizens Charter Bill that is pending in Parliament.
* Schedule III of the Bill specifies goals which may not be directly related to food security. It is unclear why these have been included in the Bill.
* The Bill provides similar definitions for starving and destitute persons. However, entitlements to the two groups differ.
The Micro Finance Institutions (Development and Regulation) Bill, 2012
Highlights ofthe Bill
* The Bill seeks to provide a statutory framework to regulate and develop the micro finance industry.
* The Reserve Bank of India (RBI) shall regulate the micro finance sector; it may set an upper limit on the lending rate and margins of Micro Finance Institutions (MFIs).
* MFIs are defined as organisations providing micro credit facilities up to Rs 5 lakh, thrift collection services, pension or insurance services, or remittance services.
* The Bill provides for the creation of councils and committees at central, state and district level to monitor the sector.
* The Bill provides for a Micro Finance Development Fund managed by RBI; proceeds from this fund can be used for loans, refinance or investment to MFIs.
* The Bill requires the RBI to create a grievance redressal mechanism.Key Issuesand Analysis
* The Bill provides safeguards against misuse of market dominance by MFIs to charge excessive rates. It allows RBI to set upper limits on lending rates and margins. However, there is no provision for consultation with the Competition Commission of India.
* The Bill allows MFIs to accept deposits. Unlike banks, there is no facility for insuring customer deposits against default by MFIs. The minimum capital requirement is also lower, though RBI may prescribe higher requirements.
* The Development Fund for MFIs is to be managed by the RBI. The Bill also enables regulatory powers to be delegated to NABARD. Both these provisions could lead to conflict of interest.
* The Bill provides for the creation of micro finance committees at central, state and district levels to oversee the sector. However, the formations of these committees are not mandatory.
* The Bill allows MFIs to provide pension and insurance services. However, it does not provide for regulation by or coordination of RBI with the respective sector regulators.
INDIA TEST-FIRES NUCLEAR-CAPABLE AGNI-III MISSILE
India on Monday test-fired itsnuclear-capable Agni-IIIballistic missile with a strike range of more than 3,000 km as part of a user trial by the Army from Wheeler Island off Odisha coast,
Indigenous device detecting early cervical cancer launched
1. Magnivisualizer is a user-friendly device costing about Rs. 10,000
2. The Union Health and Family Welfare Ministry on Monday launched indigenous equipment that can detect early cervical cancer and be used even by healthcare workers with basic training.
3. The device AV Magnivisualizer which was developed by the Institute of Cytology and Preventive Oncology under the Indian Council of Medical Research (ICMR) has 95 per cent accuracy for detecting pre-cancerous lesions.
4. it would be available in the market within the next 8-9 months
5. At present, cytology screening or Pap Smear is available only in advanced cytology centres, Regional Cancer Centres and some medical colleges.
6. Cervical cancer takes about a decade to fully develop and is often detected when it has spread substantially.
7. It starts from a pre-cancer stage called dysplasias and early detection and appropriate treatment at this stage can halt its progression, resulting in decreased incidence or mortality.
By B BABLOO,
REFERENCES: NEWSPAPER-HINDU, ECONOMIC AND POLITICAL WEEKLY, IDSA, MRUNAL SITE, ORF SITE.
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