May 20, 2025

Current Affairs

India restricts Bangladeshi Exports via all Land Ports

Context: India has restricted Bangladeshi ready-made garment exports through land ports, citing unfair trade practices. This decision is in response after Bangladesh imposed restrictions on export of Indian yarn and rice via its land ports.

Relevance of the Topic: Mains: India-Bangladesh bilateral relations: Key Developments

India restricts Bangladeshi Exports via Land Ports:

Bangladesh will no longer be allowed to use Indian land ports to export specified commodities to India.

Specified commodities will be prevented from entering India through the land ports of Tripura, Assam, Meghalaya and Mizoram. The specified items include ready-made garments, plastic, wooden furniture, juices, carbonated drinks, fruit-flavoured drinks, bakery, confectionery, cotton yarn, and dyes.
Ready-made garments will be allowed to enter India only through the ports of Kolkata and Mumbai, where the cargo shipments will be subjected to mandated inspections.

Deteriorating Trade Relations: Recent developments:

Bangladesh was India’s largest trade partner in South Asia, accounting for bilateral trade worth $18 billion in FY 2022-23. Political and economic tensions between India and Bangladesh are growing, reflected by:

India ended the Transshipment Facility for Bangladesh that allowed export cargo from Bangladesh to third countries via Indian Land Customs Stations, en route to Indian ports and airports.
- The transshipment arrangement began in 2020. Under this system, cargo could be transported through Indian borders and shipped from Indian ports or airports, destined for third countries including Bhutan, Nepal, and Myanmar.
Bangladesh imposed port restrictions on export of Indian yarn via land ports allowing the yarn exports only via seaports.
India imposed port restrictions on imports from Bangladesh of ready-made garments of all categories across all land ports- LCS (Land Customs Stations) and ICP (Integrated Check Posts).

The move is expected to complicate the already fragile India-Bangladesh relationship; given Bangladesh's increasing ties with China. At least 93% of Bangladesh’s ready-made garment exports to India pass through the land ports.

The restrictions imposed on specified items on all LCS and ICP will also help advance the local manufacturing sector in India's north-east region.

Also Read: India-Bangladesh Border Fencing Issue

99.999% of Earth’s Deep Sea yet to be observed: Study

Context: According to a recent study, humans have mapped only 0.001% of the deep ocean since the 1950s. Most of the ocean floor remains unimaged.

Relevance of the Topic:Prelims: Key facts related to Deep Sea; Deep Sea Mission.

What is the Deep Sea?

Deep sea is broadly defined as the ocean depth where light begins to fade, at an approximate depth of 200 m or more below the sea level.
Two-thirds of the earth’s surface consists of the deep ocean. It is thus the world’s largest as well as least explored ecosystem.
The latest study shows:
- Evident geographic disparities in deep-sea exploration. Almost 65% of sightings are from waters around three countries- the U.S., Japan, and New Zealand's coastlines.
- Overrepresentation of oceanic features like canyons and escarpments in observations, whereas abyssal plains, which dominate the seafloor, are under-represented.

Hence, our perception of the deep sea is based on this limited data. This emphasises the necessity for broader global engagement in deep sea exploration and research.

Significance of expanded Deep-Sea Research:

Build evidence-based policies for ocean protection: The deep ocean stabilises our climate and ecosystems. With growing threats such as deep sea mining and warming, deep-sea research will bridge the gap in knowledge of oceanic processes associated with climate.
Mapping unexplored species: Deep sea hosts enormous marine biodiversity. It might host species in unexplored areas with medicinal potential, and also aid the conservation efforts of species.
Resource Potential: Deep sea is a storehouse of untapped natural resources including: Minerals and gas hydrates (poly-metallic nodules, gas hydrates and rare earth elements); Oil and natural gas.
Strategic importance: Deep-sea infrastructure like undersea cables facilitate over 95% of global internet traffic, and must be safeguarded from potential threats, especially as countries like China advance their deep-sea military capability. Deep-sea research and development is crucial for asserting rights within India’s Exclusive Economic Zone (EEZ), under UNCLOS.

In a bid to explore those vast regions beneath the surface of the ocean, India is preparing for a deep-sea mission- Samudrayaan, expected to be launched by the end of 2026. India will send its scientists 6000 metres beneath the ocean surface in a submersible named Matsya (a 25-tonne titanium-hulled vehicle) to collect biological and geological samples, conduct environmental observations, and explore mineral resources critical to future technologies.

Also Read: Samudrayaan: India’s ‘Deep Ocean Mission’

PSLV-C61: ISRO’s 101st satellite launch mission failed

Context: The Indian Space Research Organisation (ISRO) could not complete its 101st satellite launch mission, PSLV-C61/EOS-09, due to a technical glitch.

Relevance of the Topic: Prelims: Key facts about PSLV-C61 Mission; PSLV.

ISRO’s 101st satellite launch mission

PSLV-C61 rocket was carrying the Earth Observation Satellite (EOS-09). However, a few minutes after the liftoff, the rocket suffered an issue in its third stage and the PSLV-C61 mission ended in a failure. (The chamber pressure in the casing that contained the third-stage motor fell during the flight)
The 1,700-kg Earth observation satellite was intended to be placed at an altitude of about 597 km in a sun-synchronous polar orbit (the satellite was to pass over a given place at the same time every day).
The EOS-09 satellite carried a Synthetic Aperture Radar (SAR) payload, capable of providing images of the Earth in all weather conditions. It was designed to produce high-quality radar images for civilian applications (such as land-use mapping and hydrology studies) and also for defence surveillance.

ISRO will assess the reasons for the loss of pressure and subsequently reattempt the mission EOS-09.

Polar Satellite Launch Vehicle (PSLV)

PSLV is an expendable launch vehicle developed and operated by ISRO since its first successful launch in 1994.
Workhorse of ISRO known for its reliability, versatility, and cost-effectiveness since 1994.
Stages: Four-stages launch vehicle
- First stage is powered by a solid rocket motor (burns hydroxyl-terminated polybutadiene-bound (HTPB) propellant)
- Second stage uses a liquid propulsion system (Vikas Engine which uses unsymmetrical dimethylhydrazine as fuel and nitrogen tetroxide as oxidiser)
- Third stage is a solid rocket motor that provides the upper stages high thrust after the atmospheric phase of the launch (burns HTPB propellant)
- Fourth stage is a liquid-fueled engine (burns a combination of monomethylhydrazine and mixed oxides of nitrogen in two engines.
PSLV can deliver payloads of up to:
- 3250 kg to Low Earth Orbit
- 1600 kg to Sun Synchronous Orbit
- 1400 kg to Geosynchronous Transfer Orbit
Successful launches: Chandrayaan-1 Mission (2008), Mars Orbiter Mission/Mangalyaan (2013), 104 satellites at one go (2017).
It has been used for launching a wide range of payloads, including Earth Observation satellites, Navigation satellites, Communication satellites, and scientific payloads for various domestic and international customers.
Success rate: Since their introduction in the 1990s, the PSLV rockets have only failed thrice- the first during the inaugural flight in 1993, once in 2017 and the latest in 2025.

Also Read: ISRO’s Satellite Launch Vehicles

India plans to push Pakistan on FATF Grey List

Context: The Indian authorities are planning to apprise the Financial Action Task Force (FATF) of the latest evidence related to the terror bases in Pakistan destroyed by the Indian defence forces as part of Operation Sindoor, and the existing terror infrastructure in Pakistan. India seeks FATF grey list re-entry for Pakistan.

Relevance of the Topic: Prelims: Key facts related to Financial Action Task Force.

Financial Action Task Force

FATF is an independent inter-governmental body that develops and promotes policies to protect the global financial system against money laundering, terrorist financing and the financing of proliferation of weapons of mass destruction.
The FATF Recommendations are recognised as the global anti-money laundering (AML) and counter-terrorist financing (CFT) standard.
Established in: 1989 by the G7 countries to combat money laundering. In 2001, the mandate was expanded to combat terrorist financing.
Headquarters: Paris, France.

FATF Members:

Currently 39 members: 37 jurisdictions and 2 regional organisations (Gulf Cooperation Council and European Commission).
India, China, Israel, UK and USA are the members. Pakistan, North Korea, and Iran are not the members.

Key Functions

The FATF has developed the FATF Recommendations, or FATF Standards, which ensure a coordinated global response to prevent organised crime, corruption and terrorism.
The FATF reviews money laundering and terrorist financing techniques, and continuously strengthens its standards to address new risks, such as the regulation of virtual assets, which have spread as cryptocurrencies gain popularity.
The FATF works to stop funding for weapons of mass destruction.
FATF does not address issues related to low tax jurisdiction, tax evasion/avoidance or tax competition.
The FATF conducts peer reviews of each member to assess levels of implementation of the FATF Recommendations. It holds countries to account that do not comply.

FATF 40+9 Standards

FATF issues a report containing a set of 40 Recommendations- intended to provide a comprehensive plan of action needed to fight against money laundering.
In 2001, the development of standards in the fight against terrorist financing was added to the mission of the FATF, thereby further adding 9 Special Recommendations.
Hence, FATF has 40 recommendations against money laundering (AML) and 9 special recommendations against terrorist financing (CFT), commonly known as ‘40+9’ FATF Standards.

FATF Lists:

Black List: FATF issues a list of ‘Non-Cooperative Countries or Territories’ (NCCTs), commonly called FATF Blacklist. These countries or territories are uncooperative in international efforts against money laundering and terrorism financing. Presently, Iran and North Korea are in Black list.
Grey List (Jurisdictions under increased monitoring): List of countries or territories with strategic anti-money laundering/countering financing of terrorism deficiencies, for which they have developed an action plan with the FATF. Greylisting is said to limit a country’s access to loans from international bodies.

FATF Grey List and Pakistan:

Pakistan has a fluctuating FATF status. It was initially greylisted in 2008, removed in 2009, and re-added to the list between 2012 and 2015, with a fresh greylisting in 2018 that lasted until 2022.
Pakistan was removed from the FATF Grey List in 2022 with the reminder that Pakistan will continue to work with the Asia Pacific Group to further improve its AML/CFT system. Pakistan was told to implement the action plan, which included demonstration of effective action against United Nations-designated terror outfits, individuals and their associates in terms of financial sanctions, asset seizures, investigation, prosecution, and convictions.

The decision making in the FATF is based on technical compliance of its anti-money laundering (AML) and counter-terrorism financing (CTF) recommendations, which is evaluated through the measures taken by the country concerned and on-ground verification.

Alternative Shipping Route to Suez Canal

Context: Despite a 15% Suez Canal transit fee discount and the US-Houthi ceasefire, shipping lines remain cautious about returning to the Suez Canal Route. Instead, the ships are taking the longer Cape of Good Hope route.

Relevance of the Topic: Prelims: Location of Suez Canal; Cape of Good Hope.

Suez Canal

The Suez Canal is an artificial sea-level waterway in Egypt, connecting the Mediterranean Sea to the Red Sea.
Built by French engineer Ferdinand de Lesseps, and completed in 1869 but opened for navigation in 1879. The Canal was nationalised by Egypt in 1956.
Length: 193 km
It enables direct shipping between Europe and Asia without circumnavigating Africa.
It links Europe with the Indian Ocean via the Mediterranean Sea and Red Sea by cutting the travel distance by approximately 7,000 km.
Handles about 12-15% of global trade, including a significant portion of oil and gas shipments.

Recent Developments

Because of the Houthi attacks starting in late 2023, many global shipping companies began avoiding the Red Sea and Suez Canal, rerouting their ships around the Cape of Good Hope, a much longer route.
As a result, Suez Canal revenues plunged from $10.3 billion in 2023 to $4 billion in 2024, and global shipping costs soared. To revive the traffic, Egypt’s Suez Canal Authority (SCA) has offered a 15% fee discount on transit fee to cargo ships of minimum 130,000 mt capacity.

Despite the ceasefire and discounts, most shippers stay on the longer Africa route. As the vessels go around Africa, it is leading to higher shipping costs, extended voyage durations by 10-14 days, higher fuel burn, and eventually higher freight rates.

Kaladan Multi Modal Project: North-East Route via Myanmar

Context: India is prioritising the long-delayed Kaladan Multi Modal Transit Transport Project linking Mizoram to Kolkata via Myanmar, amid worsening ties with Bangladesh and strategic concerns over the Siliguri Corridor.

Relevance of the topic:

Prelims: Kaladan Multi Modal Transit Transport Project, Siliguri Corridor

Mains: Strategic importance of Kaladan Multi-Modal Project.

Kaladan Multi Modal Transit Transport Project:

The KMMTTP is a multi-modal infrastructure initiative designed to link Kolkata port with Mizoram via Myanmar, bypassing the Siliguri Corridor and Bangladesh.
The framework was signed by India and Myanmar in 2008, under the broader rubric of India’s Look East / Act East Policy.
The aim is to create a transit corridor from the port of Sittwe in the Rakhine State in Myanmar to Mizoram and then to the rest of the North-East India.

As the term Multi Modal suggests the project combines several modes of transport:

Segment	Mode	Details	Status
Kolkata to Sittwe	Sea	This 539 km stretch between the two seaports will be covered by ship via the Bay of Bengal.	This part of the project has been completed.
Sittwe to Paletwa	Inland waterways	This 158 km stretch on the Kaladan river in Myanmar will be covered by boat.	Completed
Paltewa to Zorinpui	Road	This 108 km four-lane road will be the last leg of the corridor in Myanmar.	The last 50-odd-km of this highway (from Kaltewa, Myanmar to Zorinpui) is yet to be completed.
Zorinpui-Aizawal- Silchar-Shillong	Road	While Zorinpui is connected to Aizawal and the rest of the Northeast by road, the NHIDCL plans to eventually extend the high-speed corridor from Shillong all the way to the border town. MoRTH-sanctioned 166.8 km 4-lane highway from Shillong to Silchar	Under construction

Strategic Importance of Kaladan Multi Modal Transit Transport Project:

Bypassing the Chicken’s Neck: Siliguri Corridor, a narrow passage, often described as India’s Achilles' Heel, is susceptible to blockade during conflict with China and Bangladesh. KMMTTP provides a critical redundancy to this chokepoint.
Reduces Dependence on Bangladesh: Offers an independent and alternative route in case of political or diplomatic issues with Bangladesh.
Strengthens India’s Act East Policy: The corridor supports India’s goal of connecting with Southeast Asia.
Economic benefits: Upon completion, the corridor is expected to reduce the Kolkata-Mizoram transit distance by 1,000 km, saving 3-4 days in cargo movement. Boosts trade, tourism, and infrastructure in the region.
Counter to China’s presence in Myanmar: China is building the China-Myanmar Economic Corridor (CMEC). India’s Kaladan Project is a strategic counterbalance to ensure India’s influence in the region.

Recent developments

The Ministry of Road Transport and Highways (MoRTH) has now okayed a 166.8-km four-lane highway from Shillong to Silchar, which will eventually be extended to Zorinpui, Mizoram, and connect the KMMTTP with a high-speed road corridor that runs through the heart of the Northeast.
With the help of the Kaladan project, cargo will reach from Vizag and Kolkata to the Northeast, without being dependent on Bangladesh.

Challenges to operationalisation

Since the 2021 military coup, Myanmar is undergoing a civil conflict; only 21% of territory is under junta control.
The Rakhine State, through which the KMMTTP passes, is largely controlled by the Arakan Army, a group designated as a terrorist outfit by the Myanmar junta. While the Arakan Army has expressed support for the Kaladan project and claimed to provide protection, any direct engagement risks violating diplomatic norms and damaging India-Myanmar state-to-state relations.

The Kaladan Multi-Modal Project is no longer just a connectivity initiative- it is a geostrategic imperative. As Bangladesh becomes less predictable and Myanmar remains unstable, India must strategically recalibrate its regional connectivity approach.