Daily Current Affairs

December 24, 2024

Current Affairs

Tough Roads to Viksit Bharat by 2047

Context: Ex governor of Reserve Bank of India has raised concerns about the achievement of targets of 'Viksit Bharat’ by 2047 with the present pace of economic prospects. 

Relevance of the Topic: Mains: Analytical questions on 'Viksit Bharat by 2047’, inflation and Growth prospect in nation. 

About 'Viksit Bharat 2047’

  • Viksit Bharat 2047 is a vision introduced by the Government of India aiming to transform the country into a developed and self- reliant nation by the year 2047, marking the centenary of India's  Independence. 
  • There are various objectives of the Viksit Bharat target;
    • Economic growth and self-reliance by pushing 'Make in India’ and Atma Nirbhar Bharat scheme. 
    • Human resource development by implementing National Education Policy 2020 with efficiency and promoting skill training with PM Kaushal Vikas Yojana. 
    • Infrastructure development by fostering the growth of physical, social and digital infrastructure under Smart City initiative. 
    • Sustainable growth by reducing carbon emission by adopting alternative energy sources to achieve carbon neutrality by 2070. 
    • Promoting good governance with administrative reforms using Mission Karmyogi and e-governance. 
    • Fostering inclusive growth by raising women participation in the economy and ensuring equitable growth across the regions in the nation. 
    • Robust global leadership by strengthening the position of India in organisations like the UN, G20 and BRICS. 
'Viksit Bharat 2047’

Constraints in achieving Viksit Bharat by 2047

Various constraints in achieving the targets of Viksit Bharat exist, these are;

  • High rate of inflation: India is facing a high headline inflation, especially due to food and fuel inflation. This reduces the savings of people reducing the prospects for an investment led growth by channelising the savings. 
  • Low growth rate: India is facing a low growth rate of  about 6%, due to the underutilised potential of demographic potential in India. 
  • Populist policies: The state governments are more inclined towards the ‘freebies politics’ leaving less scope for the capital investment to foster the growth of India. 
  • Low tax to GDP ratio: India has a low tax to GDP ratio i.e., of 11.7% as compared to 40% in OECD nations impacting the revenue of the government. 
  • Substandard labour: India has only 5% of formal skilled labour as compared to 95% in South Korea, hampering the growth. 
  • Pre-mature deindustrialisation: India is facing a premature deindustrialisation, where the service sector has taken over the economy without complete actualisation of the manufacturing sector's potential. 
  • Skewed sectoral growth: A non-uniform sectoral growth leaves certain sectors like agriculture vulnerable. This restrains the growth rate of the nation. 

Way Forward to achieve Viksit Bharat by 2047

  • Rationalisation of targets: India should rationalise the targets making them more practical to achieve by tracing the growth in a phased manner. 
  • Focusing job creation: To materialise the demographic potential of India jobs need to be created by promoting labour intensive industries like textile. 
  • Promoting capital expenditure: To achieve the desired infrastructural growth India needs to focus more on the capital expenditure. 
  • Human resource development: India should focus on promoting skills and education, especially higher education in STEM (Science and technology; Engineering and Mathematics). 
  • Rationalisation of schemes: The government should rationalise the 'freebies schemes’ to focus more on developmental aspects. 
  • Deep sectoral reforms: India should implement deep sectoral reforms in the agriculture, mining and manufacturing sectors by fostering private partnership to make them a growth engine of the economy. 

Conclusion: India's target to become a developed nation by the year 2047, though there are certain challenges like high inflation, low growth, and poor human capital prospects. But, to achieve the target a holistic approach driven by the reforms need to be implemented. A phased, consultative and inclusive strategy will help India to become a 'Viksit Desh’ by 2047 in a sustainable manner. 

Rise in Net Direct Tax Collection

Context: The latest data released by the Income Tax (IT) department shows that India’s net direct tax collections grew 16.45% to Rs 15.82 trillion between April 1 and December 17 of FY-2025. The growth is largely driven by a rise in non-corporate tax receipts. 

Relevance of the Topic: Prelims: Tax Receipts- Trends, Composition, etc.

What is Direct Tax?

  • A Direct tax is imposed directly on the taxpayer and paid directly to the government by the persons (juristic or natural) on whom it is imposed. A direct tax is one that cannot be shifted by the taxpayer to someone else.
  • Central Board of Direct Taxes (CBDT) governs and administers the Direct tax.
image 170

Direct Tax Components and Latest Trends

The some important direct taxes imposed in India are as under:

  • Corporate Tax:
    • The companies and business organisations in India are taxed on the income from their worldwide transactions under the provision of Income Tax Act, 1961.
    • Current Growth (FY 25): Grew at a slower pace of 8.6%.
  • Non-Corporate Taxes:
    • Income Tax: Income Tax Act, 1961 imposes tax on the income of the individuals or Hindu undivided families or firms or co-operative societies (other than companies) and trusts (identified as bodies of individuals associations of persons) and artificial judicial persons.
      • All residents are taxable for all their income, including income outside India.
      • Non residents are taxable only for the income received in India or Income accrued in India. 
    • Current Growth (FY 25): 22.5%.
  • Securities Transaction Tax (STT):
    • STT is levied on selling or purchasing securities on listed stock exchanges.
    • Growth: 85.5%
  • Other Taxes:
    • Include: Equalisation Levy, Gift tax etc. 
    • Growth: 5.9%.
image 171

Significance for India’s Economy

  • Broadened Tax Base: The increasing share of non-corporate taxes indicates better tax coverage and improved tax compliance among individuals and small entities.
  • Balanced growth: Tax collection is better in both corporate and non-corporate, reflecting a balanced growth.
  • Policy Reforms Impact: Tax simplification measures and digital tax filing platforms may have contributed to higher collections by reducing procedural hurdles. 
  • Stock Market Dynamics: Higher STT tax revenue reflects robust trading activity and increased participation of retail and institutional investors in the Indian equity market.
  • Boost to Fiscal Space: Enhanced direct tax collection enhances government’s fiscal flexibility, enabling robust funding for developmental and welfare programs.

Challenges in Direct Tax Collection

  • Over-reliance on Non-Corporate Taxes: A slower rise in corporate tax revenues may reflect challenges in the corporate sector (including profitability in key industries).
  • Inequality Concerns: Higher taxes on individuals and small entities may reflect rising tax inequity, and needs to be balanced to ensure equity in taxation.
  • Refund Delays: Despite growth in refunds, delays in processing refunds remain, which impacts the liquidity of the taxpayers (particularly the small businessmen). 

Way Forward

  • Strengthen the Corporate Tax Base: Simplify corporate tax structure, encourage investment and ease of doing business to boost corporate tax revenues.
  • Encourage Compliance: Incentivise digital filing of taxes and conduct programs for awareness and financial literacy for non-corporate taxpayers.
  • Improve Refund Mechanisms: Deploy technology for quicker refund processing and reduce procedural delays.
  • Enhance Stock Market Regulation: Ensure sustainable trading volumes to maintain STT growth.

GATTi-fication of WTO

Context: The World Trade Organisation's appellate body is not fully functional from 2019, as the US is blocking appointments in the WTO's highest adjudicatory body.

Relevance of the topic:

Prelims: About GATTs and WTO

Mains: Role of WTO and concerns related to it. 

Major Highlights:

  • The appointment process to the WTO’s Appellate Body members operates by consensus, thus a member can block an appointment by formal objection.
  • In 2016, the United States blocked one proposed reappointment to the Appellate Body and since then has continued its refusal to entertain measures to fill the vacancies, citing the lack of progress toward reforms of the Appellate Body.
  • The US has accused WTO’s Appellate Body of procedural inefficiency (dissatisfaction in handling of issues like subsidies, tariffs, IPR disputes), judicial activism, and being lenient towards China.
    • As per the US, China is misusing the WTO principles to gain undue advantage in trade with the US. 
  • The step came as a response to the WTO’s decision against the US regarding protectionist trade policies to control trade from China, especially in the patent régime. 

About World Trade Organisation

  • WTO is an international organisation that regulates global trade. Established in 1995, replacing the General Agreement on Tariffs and Trade (GATT).
    • GATT was established in 1948, was a multilateral treaty aimed at promoting international trade by reducing tariffs and trade barriers. 
  • Key Principles of the WTO:
    • Non discrimination in trade i.e., no nation should be treated as less favourable. 
    • Market access by reducing tariffs and quotas. 
    • Predictability of market and trade policies. 
    • Fair competition by reducing unfair trade practices like subsidies and dumping. 
    • Development and inclusivity in the trade related growth. 
  • How does WTO differ from GATT?
    • Legal mechanism- GATT was a provisional agreement and lacked the legal status as WTO
    • Dispute resolution- GATT's decree was not legally binding unlike the WTO, where decisions are legally binding in nature. 
    • Institutional structure- GATT lacked the concrete institutional structure unlike WTO, where there is a well defined structure like Ministerial conference and General Council. 
    • Membership- GATT had contracting parties, but WTO has full time member nations. 
    • Scope- GATT was limited to goods trade. Whereas, WTO rules regulate different aspects of international trade: goods, services, and intellectual property.

GATT-fication of WTO: The term means that the WTO is losing its value as a structured dispute resolution agency and becoming a mere agreement. 

World Trade Organisation

Challenges faced by WTO include

  • Stalemate in Negotiations: Doha Development Round (2001) remains unresolved due to disagreements between developed and developing nations on issues like agricultural subsidies, industrial tariffs, and services.
  • Consensus Mechanism: In the WTO, the principle of decision making by consensus has resulted in the slowdown of multilateral agreements, as it requires 100% of the members to go forward.
  • Dysfunctional dispute settlement system: The decree of WTO council lacks implementation due to the continuous stalemate at the appellate agency.
    • The WTO appellate body has been redundant since 2019, because of US obstruction to new appointments in the body. As a result many trade disputes are pending at WTO.
  • Protectionist Polices: WTO has been ineffective in controlling protectionist policies pursued by the member countries. E.g., the US misused the ‘National security clause’ to increase import duties on steel and aluminium products from China. 
  • Misuse of developing country status: Developed economies like Singapore and China have taken unfair advantage of “developing country” status to seek temporary exemptions from commitments under various multilateral trade agreements. 
  • Inequality in Global Trade: Developing countries often criticise the WTO for favouring developed nations due to imbalances in negotiation power.

Way Forward

  • Appointment of officials: Democratisation of the process of appointment of appellate body members to ensure smooth functioning of WTO. 
  • Democratisation of power: Reforms to provide developing countries more power in WTO to ensure balance in power dynamics, presently tilted in the favour of developed nations. The reforms are needed to reduce the misuse of power. 

Conclusion: WTO is an important agency to ensure free and fair trade. But politicisation of agency and geo-political tassels are pushing back the agency into the era of GATT. In the wake of rising protectionism, proliferation of exclusionary trade blocks and rising bilateral free trade agreements, it is imperative to reform the WTO system to ensure rule-based multilateral trade across the countries.

Civil Services Reforms: India’s steel frame needs a Check

Context: Persistent challenges within the Indian Administrative Service (IAS) and the wider bureaucracy have highlighted the urgent need for administrative reforms. 

Indian Civil Services:

  • In 1858, the British introduced the Indian Civil Service to select officers for administering the country. After independence, the Union Public Service Commission conducted such exams.
  • Article 312 of the Indian Constitution deals with All India Services. It empowers the Parliament to create All India Services, common to both The Union and the States. The merit system aims to build career bureaucrats expected to function without any political leanings and provide independent advice to the incumbent political executive. 
  • Civil Servants have been instrumental in:
    • conducting free and fair elections
    • ensuring smooth transfer of power both at the Centre and States
    • ensuring uninterrupted administration during the President’s rule
    • advising ruling governments in policy making
    • implement the policies made by the political executive etc.
    • executing and monitoring programmes, and laying down laws, rules and regulations. 

The responsibilities of civil servants have increased from being regulator to facilitator of services, reflected in ‘minimum government and maximum governance’, which demands a proactive role. However, the civil services suffer from significant challenges. 

There have been enduring issues of development, income inequality, underinvestment in critical sectors, and bureaucratic inefficiency, at the same time, issues of political interference, lack of specialisation, and outdated personnel practices have gradually eroded the effectiveness of bureaucracy.

Relevance of the Topic: Mains: Civil Services Reforms: Challenges & Way Forward

image 167

Issues facing Civil Services/ Servants

  • Entrenched bureaucracy: The Indian Administrative Service (IAS) is deeply embedded in governance, making reforms challenging due to resistance from within the service, particularly against proposals for lateral entry and performance-based promotions.
  • Resistance to change: Seniority-based progression, generalist nature and resisting a shift to performance-based promotions has been institutionalized, leading to reluctance in adopting reforms like lateral entry that emphasize merit and policy specialisation.
  • Political interference: Arbitrary transfers, politically motivated decisions and political pressures complicate reform efforts, undermining bureaucratic neutrality and accountability. Initiatives like the Civil Services Standards, Performance, and Accountability Bill (2010) have stalled due to lack of political will and consensus.
  • Bureaucratic Inertia: Issues such as rising indiscipline, bureaucratic elitism, and corruption contribute to a culture resistant to change, maintaining the status quo.
  • Capacity Challenges: Insufficient infrastructure, training programs, and manpower shortages hinder effective implementation of reforms. For instance, the Central Bureau of Investigation (CBI) faces a 23% personnel shortfall.
  • Accountability: The bureaucracy often operates without clear performance metrics, leading to a culture of impunity where poor performance or corruption can go unpunished.
  • Centralised decision-making: Executive-led governance in India, characterized by centralized decision-making, has yielded mixed results. While it has facilitated rapid economic reforms and infrastructure development, it has also led to bottlenecks in policy implementation and accountability.
  • Corruption: Corruption and inefficiency plague the bureaucracy. According to the World Bank’s measure of government effectiveness, India ranks only moderately, reflecting the poor quality of policy implementation and administrative independence.
  • Skill development: Many civil servants lack modern skills required for effective governance in a digital economy, impacting the implementation of initiatives like e-governance, data led governance.
  • Coordination problems: The hierarchical structure leads to poor coordination among departments and procedural delays in implementing reforms.
  • Civic Engagement: The current administrative framework often lacks interaction with citizens, making reforms less responsive to public needs.
  • Data Infrastructure Investment: There is a need for robust data systems to track bureaucratic performance effectively and inform decisions on placements and promotions.
image 168

Way Forward

  • Merit and expertise-based recruitment: Prioritising domain knowledge and skills over generalist qualifications during recruitment.
  • Performance-based promotions: Linking promotion and career advancement to measurable outcomes rather than tenure.
  • Protection from Political Pressures: Safeguards against arbitrary transfers to ensure bureaucratic stability as recommended by the Supreme Court in TSR Subramanian vs. Union of India.
  • Encouraging Specialisation: Assigning bureaucrats to policymaking roles based on expertise.
  • Enhanced data infrastructure: Developing systems to track performance for better decisions on placements and policy execution via e governance.
  • Coordination among departments: Bureaucratic silos have led to poor inter-departmental coordination and policy implementation delays; this needs to shift towards an integrated approach.
  • Comprehensive Administrative Reforms: A unified strategy to balance governance efficiency with accountability, aligning reforms with India’s economic and developmental goals. (360-degree evaluation). 

India’s Economic Growth: Positives and Concerns

Context: The Reserve Bank of India has downgraded India’s GDP growth forecast for FY2024-25 from 7.2% to 6.6%. While the government maintains that the slowing of Q2 growth is a “temporary blip”, it raises some concerns about India’s economic growth trajectory. 

Relevance of the Topic: Mains: Key trends in India’s Economic Growth- Slowdown, Positives, Challenges, Investment-led growth, etc.

Present Situation in India’s Economic Growth

  • India’s GDP growth slowed significantly in 2024 dropping to 5.4% in Q2 of FY24-25.
    • There was a dip in economic output in the first three quarters of 2024.
  • RBI downgraded FY 2024-25 GDP growth forecast from 7.2% to 6.6%.
  • India’s long-term growth rate is projected at 6.5% over the next half decade. 
  • Comparison with Asian economies: China, Japan, and South Korea grew at 8%-plus on a sustained basis during their rapid-growth phases. 
image 165

Positives Aspects of Economic Outlook

  • Increased Fiscal spending: Post-election season, the government spending is witnessing a rise.
  • Decrease in CRR requirement: Recent cut in cash reserve ratio (CRR) has freed up money kept by banks with the RBI.
  • Boosting Capital formation: The capex cycle has restarted in some sectors, and this indicates return to investment-led growth.
  • Growth in services: India’s services exports to developed markets hit a new high in October 2024.
    • Supporting factors: Disaggregation of global services value-chains, rapid increase in global cross-border telecom bandwidth, surge in remote-working, etc.
  • Potential MSME recovery: An MSME rebound could narrow the two branches of the K-shaped recovery.
    • Consumption recovery in rural areas and an improvement in salaried employment reported in the Periodic Labour Force Survey reflect increasing non-casual jobs with MSMEs. 
  • Increase in female labour force participation particularly in rural areas.
    • Around 39.6% of women with higher educational level (post-graduate and above) were reported as working in FY24, compared to 34.5% in FY18. 
    • For women with higher secondary education level, these numbers were 23.9% and 11.4%.
image 166

Concerns Remaining

  • Issue of Jobless growth: Adequacy of 6%-plus growth to generate 8 million jobs annually until 2030 is unclear.
  • Slowing down of Corporate growth: partly due to sliding consumption growth.
  • Sluggish Investments: due to softening urban demands and high food inflation.
  • Inequality in growth: Current growth trends reflect expanding wealth disparities and little scope for generational mobility.
  • Challenge in Service sector growth: India’s IT exports appear vulnerable to new technologies such as AI. 
  • Sliding credit growth: Growth in credit has been falling — for both households, as well as industry.
  • Rising NPAs:
    • There is a significant rise in NPAs in the personal loan and credit card segments. 
    • Both these types of credit are unsecured and carry high interest rates.
  • Savings-Investment Gap:
    • RBI’s latest Financial Stability Report shows Net financial savings of households fell to 5.3% of GDP in FY23 from 7.3% in FY22. 
    • Rising household debt, especially in loans, poses risks to future savings and economic stability.
  • Complex Tax laws: India’s tax laws and its administration is the single biggest hurdle in fostering a conducive investment environment.
  • Lack of reforms: The appetite for implementing even pending Labour reforms appears diminished.
  • State-level Fiscal Challenges:
    • Increased fiscal spending by states, especially in subsidies and welfare schemes, raises fiscal discipline concerns.
    • Programs like farm loan waivers and cash transfers, while beneficial, contribute to rising food inflation. 

India’s economic future remains promising despite challenges. The need of the hour is to address structural weaknesses in the economy, boost private investment, and improve fiscal discipline to ensure continued economic growth.

Tax on Popcorn: India’s GST formula sparks Outrage

Context: The Goods and Services Tax (GST) Council’s move to tax popcorn differently based on its sugar or spice content has drawn criticism from the opposition and sparked social media outrage, with two former government economic advisers questioning the tax system introduced in 2017.

Relevance of the topic:

Prelims: Key aspects of GST.

Mains: GST- Benefits & Challenges.

Tax on Popcorn

GST on Popcorn

  • The GST Council announced different tax rates for popcorn based on its sugar or spice content.
  • Following are the new differential rates, which come into effect immediately:
    • Non-branded popcorn mixed with salt and spices - 5% GST
    • Pre-packaged and branded popcorn- 12% GST
    • Caramel popcorn- 18% GST
  • Until now, popcorn was taxed differently across States.
  • Rationale behind 18% tax on caramel popcorn: Popcorn with added sugar (caramel) is categorised as a sugar confectionery, thus attracting a higher tax rate under GST.

Criticism: The GST system has run into similar controversies in the past, like taxing chapatis differently from layered flatbreads, different rates for curd and yogurt, and cream bun versus bun and cream served separately. 

  • Complexity of GST: Differential tax rates for similar products questions the rationale behind introducing GST to simplify indirect tax regime.  
  • Inconvenience to citizens: Calculating differential taxes can become very difficult for common people.
  • Difficulty in enforcement: Already existing loopholes in GST implementation can be widened with differential taxation rates. 

Taxes consumed under GST:

Central TaxesState Taxes
Central Excise DutySales Tax/VAT
Additional Excise DutyCentral Sales Tax
Excise Duty under Toilet and Medicinal PreparationOctroi Duty
Additional Customs dutyPurchase Tax
Service TaxTax on Advertisements
Krishi Kalyan CessTax on Lotteries & Gambling
Swachh Bharat CessEntertainment Tax

Benefits of GST:

  • For Taxation System:
    • Simple, Efficient, Transparent: GST has streamlined indirect tax structure by subsuming multiple taxes (subsumed 17 taxes and 13 cesses) into a single tax. 
    • With uniform tax on supplies of goods and services, India turned into one market.
    • Record GST collections & doubling of tax base: from 60 lakh to 1.2 crores (in 2022).
    • Parity on imported & local goods.
  • For Industries:
    • Reduced compliance burden.
    • Boost MSME sector through GST Compensation Scheme.
    • Greater formalisation of the economy.
  • For Consumers:
    • Average tax rates have reduced.
    • More than 50% of Goods and Services in CPI comes under the exempted category.
  • For Logistics sector:

Challenges with GST: 

  • Multiplicity of tax rates adds to complexity. 
  • Controversy over GST Compensation mechanism.
  • Delays in GST Refunds.
  • Implementation challenges due to loopholes, exemptions and differential tax rates for similar products. 

Also Read: Challenges in GST Implementation 

India State of Forest Report 2023

Context: Recently, the Ministry of Environment, Forest and Climate Change has released the ‘India State of Forest Report 2023’ (ISFR 2023). The report shows a marginal gain of 156 sq. km in forest cover, and a sizable increase of 1,289 sq km in tree cover since 2021.

Relevance of the Topic: Prelims: Key facts about the India State of Forest Report (ISFR). 

What is the India State of Forest Report?

  • The India State of Forest Report is a biennial report published by the Forest Survey of India (FSI), an organisation of the Ministry of Environment, Forest & Climate Change.
    • FSI monitors India's forest and tree resources through periodic assessments and presents the findings in its biennial report.
  • The first State of Forest report was brought out in 1987. The current report, ISFR 2023 is 18th in the series. 

Key Terms:

  • Tree cover: It is defined as all tree patches of size less than one hectare occurring outside the recorded forest area. This covers trees in all formations, including scattered trees.
  • Forest area: It denotes the legal status of the land as per the government records, whereas the term 'forest cover' indicates the presence of trees over any land.
  • Forest carbon stock: The amount of carbon that has been sequestered from the atmosphere and is now stored within the forest ecosystem, mainly within living biomass and soil, and to a lesser extent also in dead wood and litter.
  • National Forest Inventory: A systematic approach to generate national level estimates on growing stock, forest area and other forest resources parameters by doing regular inventory in selected sample districts in a cycle of two years.
image 161

Key Findings of ISFR 2023: 

  • The Forest and Tree cover of India is 8,27,357 sq km which is 25.17% of the geographical area of the country, consisting of:
    • 7,15,343 sq km (21.76%) as forest cover.
    • 1,12,014 sq km (3.41%) as tree cover.

For the first time, India’s green cover has exceeded the 25% threshold. Of this, 49.57% (4,10,175 sq km) is classified as dense forests.

  • Increase in tree cover and forest cover:
    • Sharpest growth ( 0.5%) in tree cover (from 2.91% in 2021 to 3.41% in 2023)
    • Marginal growth in forest cover (0.05%) since 2021.
      • Between 2003 and 2013, forest cover increased by 0.61%, from 20.62% to 21.23%. 
      • In the next 10 years, it grew by only 0.53% to 21.76%.
  • Total mangrove cover is 4,992 sq km in the country.
  • Total bamboo bearing area is 1,54,670 sq km. (an increase from 2021).
  • Total carbon stock in the country's forest is estimated to be 7,285.5 million tonnes (an increase of 81.5 million tonnes as compared to 2021).
  • India’s carbon stock has reached 30.43 billion tonnes of CO2 equivalent; which indicates that as compared to the base year of 2005, India has already reached 2.29 billion tonnes of additional carbon sink as against the target of 2.5 to 3.0 billion tonnes by 2030.

Rankings of States & UTs:

  • Top four states showing maximum increase in forest and tree cover: Chhattisgarh (684 sq km) > Uttar Pradesh (559 sq km) > Odisha > Rajasthan.
  • Top three states showing maximum increase in forest cover: Mizoram (242 sq km) > Gujarat > Odisha.
  • Area wise top three states having largest forest and tree cover: Madhya Pradesh (85,724 sq km) > Arunachal Pradesh > Maharashtra.
  • Area wise top three states having largest forest cover: Madhya Pradesh (77,073 sq km) > Arunachal Pradesh > Chhattisgarh.
  • In terms of percentage forest cover with respect to total geographical area: Lakshadweep (91.3 %) > Mizoram (85.3 %) > Andaman & Nicobar Island.
  • 19 states/UTs have above 33% of the geographical area under forest cover.
    • According to the National Forest Policy of 1988, 33% of India’s geographical area is required to be forests.
  • 8 states/UTs: Mizoram, Lakshadweep, A & N Island, Arunachal Pradesh, Nagaland, Meghalaya, Tripura, and Manipur have forest cover above 75%.
image 162

Types of Forests:

  • Forests: Irrespective of land use or ownership, tree patches measuring 1 hectare or more with a minimum canopy cover of 10% are counted as forests in India. 
  • Dense forests: Areas with a canopy density of 40% and above are considered dense forests
  • Open forests: Areas with canopy density of 10-40% are open forests (OF). 
  • Very dense forests: Since 2003, areas with at least 70% canopy density have been classified as very dense forests (VDF).

**Canopy density: It is the percentage of an area that is covered by the crowns of trees. It's also known as forest canopy density (FCD) or crown cover. Canopy density is a key indicator of a forest's health and is used to assess the forest's condition and potential management actions.

Concerning findings of the Report: 

  • ISFR-2023 shows that 3,913 sq km of dense forests (an area larger than Goa) have disappeared in India in just two years since 2021.
  • India has witnessed the complete destruction of 24,651 sq km (more than 6.3%) of its dense forests in the two decades since 2003. 
  • The bulk of this loss has been offset by the rapid transformation of 15,530 sq km of non-forested or scantly forested land to dense or even very dense forests (during 2003-2023).
  • However, this offset has been accomplished through Plantations, because natural forests do not grow this fast.
image 163

Conundrum of Dense forests:

  • Areas under plantations-as-dense-forests are expanding as the disappearance of natural dense forests becomes routine.
  • Large swaths of Open forest (OFs) become Moderately dense forest (MDFs) in the last decade owing to better management. At the same time, plantations are supplementing these natural gains to keep the extent of India’s dense forest cover stable.
  • Though, India’s dense forest cover has grown by 6% during 2003-2023. Experts question such an increase as they were brought through a series of unexplained revisions of data presented in ISFR adding a total of 20,232 sq km of dense forest to the inventory.

Plantations as Natural Forest – Issues and Implications:

  • Plantations usually have trees of the same age (and often the same species), are vulnerable to fire, pests and epidemics.
  • Plantations often act as a barrier to the regeneration of natural forests which are more biodiverse, perform a wider range of ecological functions, and support numerous species.
  • Old natural forests stock a lot more carbon in their frame and in the soil. In 2018, the United Nations Framework Convention on Climate Change (UNFCCC) flagged India’s assumption that plantations reach the carbon stock level of existing forests in just eight years.
  • Plantations are frequently promoted for their rapid growth which can achieve carbon targets faster. However, plantations are often harvested more readily, defeating climate goals in the long term.

Papier Mache Art of Kashmir

Context: This Christmas, the papier mache artisans in Srinagar, Jammu & Kashmir have made thousands of papier mache dodos, which are being exported to the markets of Europe. 

Dodo was a bird that became extinct in 1681 within 80 years of its interaction with humans and exposure to depleting forests.

Relevance of the Topic:Prelims: Key facts about papier mache art. 

What is Papier Mache Art?

Papier Mache Art
  • Papier means paper and Mache means crushed and ground.
  • Origin in Ancient China.
  • It is a versatile craft technique in which waste paper is shredded and mixed with water and a binder to produce a pulp ideal for modelling or moulding.
    • The pulp dries to a hard surface and allows the creation of light, strong and inexpensive objects of any shape, even very complicated ones. 
    • Paper-mâché reinforced with textiles or boiled cardboard (carton bouilli) can be used for durable, sturdy objects. 
  • There is also a "laminating process", a method in which strips of paper are glued together in layers. 

In Kashmiri culture:

  • In the 14th century, this art was introduced by Mir Sayyid Ali Hamadani who was a sufi saint and settled in Kashmir with his craftsmen followers.
  • Originated in the 15th century when King Zain-ul-Abidin invited papier-mâché artists from Central Asia.
  • The art has been used to manufacture boxes (small and big), bowls, trays, étagères, useful and decorative items, models, birds and animals, vases, lights, corporate gifts etc. It remains highly marketed in India and Pakistan and is a part of the luxury ornamental handicraft market.
  • Notable example: Shah Hamdan Mosque in Srinagar has papier mache art on its walls. 
  • "Kashmir Paper Machie" has Geographical Indication Tag.

Are Manipur militants using Starlink devices?

Context: Recently, the Indian Army and Manipur police seized weapons that looked like a Starlink-branded satellite router and antenna, during a search operation in multiple districts of Manipur. 

Amid the controversy, Elon Must has refuted the claims and said that the beams of Starlink satellites are turned off over India. 

Relevance of the topic:

Prelims: Starlink project.

Mains: Risks posed by utilising modern technologies (like Satellite communication, UAV etc.) in militancy areas. 

What is the Starlink controversy in Manipur?

  • Among various guns and ammunition seized by the Indian Army in Manipur, a small satellite device and a router with the SpaceX logo was found. The devices were potentially smuggled from Myanmar.
  • The Starlink device had ‘RPF/PLA’ written on it, which refers to the People's Liberation Army of Manipur. (It is a Myanmar-based Meitei ethnic group that demands a separate nation)
  • Despite being restricted in India, the discovery of these devices raise concerns about the possibility of usage of satellite-based communication devices by militants in India as well as illegal international trade.

Also Read: What Manipur Needs? 

Indian laws for Satellite Communication:

  • India has strict restrictions and regulations for use of satellite-based communication devices, even by citizens in conflict-free zones. 
  • Under Section 6 of the Indian Wireless Act and Section 20 of the Indian Telegraph Act, use of thuraya/iridium satellite phones is illegal in India.
  • Even key satellite-based emergency features on premium phones that are easily available for overseas users, are not enabled for use in India.
  • These restrictions are in place to combat militancy and terrorism.
image 159

What is the Starlink Project?

  • Starlink is a SpaceX project.
  • Launched in 2019, it aims to build a broadband network that can provide high-speed global internet access, particularly in remote and underserved areas with a cluster of thousands of orbiting satellites.
  • The Starlink satellites will be placed in an altitude range between 350 km - 1,200 km in Low Earth Orbit (LEO).
  • As of 2024, the constellation consists of over 7000 satellites.  
  • Features: High speed, low latency. 
  • Starlink’s status in India:
    • India has not yet cleared an application by Starlink to offer satellite-based communication services in the country. 
    • Its application is pending security approvals from the Ministry of Home Affairs.

Trending now

Workers’ Protest in Noida
B’nei Menashe: Identity, Migration, and the “Lost Tribes” Debate
Bauxite Mining Conflict in Odisha
Impact of Rising Energy Costs on Migrant Labourers