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Recently, the Supreme Court upheld the maintainability of the West Bengal government’s suit accusing the Union government of “constitutional overreach” by employing the Central Bureau of Investigation (CBI) to register and investigate cases in the State despite its withdrawal of general consent.

• The Court ruled that the suit discloses a valid cause of action and must be heard on merits. 

About the Verdict

In August 2021, the West Bengal government filed an original suit under Article 131 of the Constitution arguing that the actions of the Union government and the involvement of the CBI in the State infringed upon its sovereignty. 

• Responsibility of the Government of India: Perusing various provisions of the Delhi Special Police Establishment (DSPE) Act, 1946, the Bench concluded “the very establishment, exercise of powers, extension of jurisdiction, the superintendence of the DSPE [Act], all vest with the Government of India.”
• Section 4 of the DSPE Act: Under this Act, except the offences under the Prevention of Corruption Act, in which the superintendence will be with the Central Vigilance Commission, the superintendence of the DSPE in all other matters would vest with the Central government. 
• Section 6 of the DSPE Act: The judge also reminded the Centre that Section 6 of the DSPE Act mandates the prior consent of the State government to a CBI probe within its jurisdiction.
• Independence of CBI: While the Court recognised that the CBI would always be entitled to investigate offences independently, it underscored that this autonomy would not dilute its administrative control and superintendence that vests with the Centre. 

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About the Central Bureau of Investigation (CBI)

The CBI, functioning under the Department of Personnel, Ministry of Personnel, Pension & Public Grievances, Government of India, is the premier investigating police agency in India. 

• Origin: The Central Bureau of Investigation traces its origin to the Special Police Establishment (SPE) which was set up in 1941 by the Government of India. 
• Delhi Special Police Establishment Act, 1946: The act transferred the superintendence of the SPE to the Home Department and its functions were enlarged to cover all departments of the Government of India. 
• Role Played: It is an elite force playing a major role in the preservation of values in public life and in ensuring the health of the national economy. 
• International Collaboration: It is also the nodal police agency in India, which coordinates investigations on behalf of Interpol Member countries.
• Territorial Jurisdiction: The jurisdiction of the SPE extended to all the Union Territories and could be extended to the States with the consent of the State Government concerned.
  • Initially: The offences that were notified by the Central Government related only to corruption by Central Govt. servants.
  • Expansion: With the setting up of a large number of public sector undertakings, the employees of these undertakings were also brought under CBI purview. 
  • Coverage of Bank Frauds: With the nationalisation of the banks in 1969, the Public Sector Banks and their employees also came within the ambit of the CBI.

About General Consent

General consent is typically given by States to facilitate the agency’s seamless investigation into corruption charges against Central government employees in their territories. 

• Form of Consent: Consent given by a state government to the Central Bureau of Investigation can come in two forms, either case-specific, or ‘general’.
  • General Consent: It allows the CBI to operate seamlessly within states.
  • Case-specific Consent: In contrast, if the CBI does not have the general consent of a state government, it is required to apply for consent on a case-by-case basis and cannot act before the consent is given.
• Revocation: Since 2015, several States such as Chhattisgarh, Jharkhand, Kerala, Mizoram, Punjab, Rajasthan, Telangana, Meghalaya and West Bengal have revoked their general consent alleging that the Union government is misusing the federal agency to unfairly target the Opposition.
• Impact of Withdrawal: Restriction of Fresh Cases: Withdrawal of general consent also means that the CBI will not be able to register any fresh case involving central government officials or private persons in a particular state without prior permission of that state government.
  • Continued Investigations: The CBI can continue to investigate cases in a state registered before the withdrawal of general consent.
• Legal Precedent: Section 6 of DSPE is based on Entry 80 of the Union List, allows extension of powers and jurisdiction of police force of one State in another State but not without the consent of another state.
  • In a case related to illegal coal mining and cattle smuggling, the Calcutta High Court ruled that the CBI cannot be stopped from investigating a central government employee in another state.

Conclusion

While the Supreme Court has so far only addressed the preliminary objections to the maintainability of West Bengal’s suit, the constitutional expert pointed out that the final ruling on its merits will have a significant bearing on other similar pending cases.

• Another Bench of the top Court is tackling a similar question of law related to the State of Tamil Nadu in the case of Ankit Tiwari, had recommended judicial oversight over the cross-fire of criminal cases filed between Central agencies like the ED and the police in Opposition-ruled States to protect innocents from vexatious prosecution.

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Recently, The large numbers of staff recruited from Hindi-speaking States are protesting postings to the Eklavya Model Residential Schools (EMRS) located in southern States, where the language, food and culture is unfamiliar to them.

About Eklavya Schools or Eklavya Model Residential Schools (EMRS)

• Establishment and Objective: Eklavya Schools started in the year 1997-98 to impart quality education to ST children in remote areas in order to enable them to avail of opportunities in high and professional educational courses and get employment in various sectors.
• The schools focus not only on academic education but on the all-round development of the students. Coverage: Each school has a capacity of 480 students, catering to students from Class VI to XII.
• Funding: Grants were given for construction of schools and recurring expenses to the State Governments under Grants under Article 275 (1) of the Constitution.
• Eklavya Model Day Boarding Schools (EMDBS): Wherever density of ST population is higher in identified Sub-Districts (90% or more), it is proposed to set up Eklavya Model Day Boarding School (EMDBS) on an experimental basis for providing additional scope for ST Students seeking to avail school education without residential facility.
• Centre of Excellence for Sports (CoE for Sports): Dedicated infrastructure for setting up Centre of Excellence for sports with all related infrastructure (buildings, equipment’s etc.) is supported. 
• This Centre of Excellence will have specialized state-of-the-art facilities for one identified individual sport and one group sport in each State. 

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Change in Recruitment

• Under State Authorities: Previously, the recruitment of teachers for the Eklavya Model Residential Schools was managed by state authorities responsible for implementing the scheme within their respective states. 
• In 2023: Responsibility was transferred to the National Education Society for Tribal Students (NESTS), an agency under the Union Ministry of Tribal Affairs tasked with overseeing the EMRS Scheme.
  •  The EMRS initiative aims to fill 38,000 positions across more than 400 schools nationwide.

Selected Candidates Concerns

• Staff shortage:  Responsibility was being shifted to the National Education Society for Tribal Students (NESTS), which has now been given the task of staffing 38,000 positions in over 400 Eklavya schools across the country. 
• Examination: The 2023 EMRS Staff Selection Examination, which was part of this centralized recruitment process, was conducted by the National Testing Agency, which has faced several scandals recently.
• Selected Candidates Protested: Given the new requirement of Hindi competency, a large number of selected candidates hail from Hindi-speaking States, many of whom now want transfers from their postings from unfamiliar postings in southern states due to language and cultural differences.
  • NESTS has temporarily halted transfer requests and plans to introduce a transfer policy similar to that of Jawahar Navodaya Vidyalayas and Kendriya Vidyalayas.
• Future Plans and Policies: Candidates are expected to learn the local language within two years, with support provided for training.
  • Officials emphasize the necessity for staff to be prepared to work in diverse locations, as stated in their job applications.

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A new study published by the researchers of the Shenyang Agricultural University (SAU)  in the journal Current Biology shows that Wolbachia bacteria had manipulated the wasp Encarsia formosa to entirely get rid of its males.

About Wolbachia

• Wolbachia are extremely common bacteria that occur naturally in 50 per cent of insect species, including some mosquitoes, fruit flies, moths, dragonflies and butterflies.
• Researchers from the World Mosquito Program have used mosquitoes infected with Wolbachia bacteria to successfully control dengue 

Discovery of Wolbachia

• Early Research (1920s): Marshall Hertig and Simeon Burt Wolbach discovered bacteria within mosquito cells. 
  • Later studies found similar bacteria in most insects, arthropods including some mosquitoes, fruit flies, moths, dragonflies and butterflies.
  • Naming of the Genus Wolbachia: The genus to which the bacteria belonged was named ‘Wolbachia’.

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Transmission Dynamics of Wolbachia

• Presence in Reproductive Cells: Wolbachia bacteria are present in insect eggs but absent in sperm.
• Transmission by Females: Females can transmit Wolbachia to their offspring, but males cannot. This from the bacteria’s point of view is an evolutionary dead-end.
• Sex Ratio Manipulation: As only Females can transmit Wolbachia to their offsprings, Wolbachia have evolved ways to manipulate their insect hosts to produce more female than male progeny.
• This ensures the bacteria’s continued transmission.

Importance of E. formosa Wasps

• Agricultural Significance: They help control whiteflies, which are major agricultural pests.
  • These wasps were among the world’s first agents of biological pest control. 
  • Whiteflies feed on plant sap, causing productivity losses.
• Biological Control Mechanism
  • The wasp seeks out the nymphs (or larvae) of whiteflies and lays its eggs on them.
  • When the eggs hatch, the larvae that emerge penetrate the nymph, feed on its tissues, grow to adulthood, and in the process kill the nymph.
• Female Wasps are effective hunters: Female wasps act as effective search and destroy weapons against whiteflies.
  • Male wasps are unnecessary for the parasitoid role.

Wolbachia Influence on Sex Ratio

• Natural Occurrence: In the wild, E. formosa wasps rarely produce males.
  • Chromosome Doubling: In the wild, Normal Wolbachia levels induce unfertilized eggs to double chromosome numbers, enabling female development.
  • Mechanism behind this process is currently unknown.
• Laboratory Discovery: Antibiotic treatment (e.g., tetracycline) reduces Wolbachia concentration and as a  result, approximately 70% of progeny are male.

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Wolbachia and Tra Gene 

• Evolutionary Conservation:
  • The tra gene is  evolutionarily conserved in insects and promotes female development.
  • Evolutionarily conserved’ means all insects have it.
  • If this gene is broken (mutated), the default is for males to be born instead of females.
• Discovery by SAU Researchers:
  • Researchers found that in E. formosa wasps, the tra gene was not complete—it was missing important parts.
  • But they discovered that the Wolbachia bacteria living inside these wasps had their own working version of the tra gene.
  • Even though the wasps’ own tra gene was not complete, they used the tra gene from Wolbachia.
  • This allowed the wasps to have female offspring.
• New Discovery:
  • This is the first time scientists have seen bacteria (Wolbachia) give a gene to an insect that helps it make females.
  • Normally, bacteria don’t have this kind of gene, so it’s a big discovery in how insects evolve and reproduce.

Observation by SAU Researchers

• Absence of Mating Behaviour in Treated Males: Males produced by the SAU researchers after antibiotic treatment did not engage in mating behaviour with females.
• Reason: Lack of mating behaviour could be due to prolonged absence from populations or unintended effects of antibiotic treatment.
  • Antibiotic treatment might have unintentionally affected their mating behaviour.
• Significance of Mating: Without males mating with females, the species loses the ability to exchange genetic material and remove harmful mutations.
  • This situation could lead to the potential extinction of the wasp-Wolbachia duo.
• Adaptive Strategies of Wolbachia:
  • The Wolbachia bacteria were shown to be smart enough to double the chromosome number in their host’s unfertilised eggs and to supply them with tra.
  • They also occasionally allow some males to mate, which could be crucial for delaying the extinction of the species.

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As India is aiming toward Internationalizing the Indian Rupee, The Chinese Yuan has emerged as a significant challenger to India’s ambition.

About Internationalisation of Rupee

• Internationalisation of a currency  is a process that involves the use of a currency for more and more cross-border transactions. 
  • For the rupee, it means that more and more international payments start taking place in the Indian currency.
• Meaning:  Internationalisation of the Indian rupee does not mean the use of  Indian currency to make payments and buy things in a foreign country rather it means to use the currency mainly to conduct international trade and cross-border payments like The USA Dollar is used for transaction not only with USA but other countries also.
  • Reserve Currencies: Presently, the US dollar, the Euro, the Japanese yen and the pound sterling are the leading reserve currencies in the world.

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Requirements for Internationalisation of Rupee

• Use for Trade Invoicing: As per the Economic Survey 2023, Rupees increasing use for trade invoicing is a prerequisite for it to be considered  as an international currency.
  • The Rupee’s turnover has to rise or equal the share of non-US, non-Euro currencies in global forex turnover ie. 4 percent, for it to be regarded as an international currency.
    • The US dollar  accounts for 88 percent of global forex turnover, and is the dominant vehicle currency, while the Rupee accounts for just 1.6 per cent as per The BIS Triennial Central Bank Survey 2022.
• Opening up: An opening up of the currency settlement and a strong currency swap and forex market involving promoting the rupee for current account transactions and foreign trade between resident and non-resident Indians.
• Full Convertibility of Currency: To make the rupee more international, it will also have to open it for capital accounts too fully and have a restriction-free cross-border transfer of funds
  • The rupee is fully convertible in the current account, but partially in the capital account.

Benefits of Internationalisation of Rupee

• Protect against currency volatility: Increasing use of Rupee in international trade transactions will reduce the currency risk of Indian businesses by protecting them against currency volatility.
• Strengthen the Indian Rupee: As more and more transactions are happening with Indian Rupees, The demand of Rupees will increase, appreciating its value and  help to lower currency conversion costs.
• Maintaining Forex Reserve: It will reduce India’s need to hold huge foreign currency reserves which is at a record high of $642.63 billion as of March 2024 making India more insulated from external shocks.
• Bargaining voice: More is the usage of Rupee in international transactions more will be India’s  bargaining power in international markets

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Progress in Internationalisation of Rupee 

• Allow trade settlement for all Asian Currency Union (ACU) countries: The facilitation of rupee settlement for all Asian Currency Union (ACU) countries with regard to all transactions in compliance with RBI directions.
  • Previously the regulations permitted receipt or payment in rupees for all cross border transactions (current and capital) for all non-ACU countries whereas such receipts or payments were not allowed for some ACU countries such as Bangladesh, Myanmar, Pakistan and Maldives.
• Rupee Vostro Accounts: The RBI has allowed 20 banks, operating in India, to open 92 Special Rupee Vostro Accounts (SRVAs) with partner banks from 22 countries to promote bilateral trade in a local currency in effect to make the rupee more acceptable in global trade
• Bilateral Trade settlement in Local Currency: 
  • UAE: India made its first-ever Rupee payment to the United Arab Emirates to buy crude oil which was historically Dollar based. 
    • India pays for its imports of gold from the UAE in rupees and the UAE, in turn, is using rupees to pay for gems and jewellery from India
  • The Reserve Bank of India (RBI) has allowed banks from 18 countries to settle payments in the rupee including names like Sri Lanka, Israel, Russia, Germany, Singapore and the United Kingdom. 
    • Apart from this, 64 other countries have expressed their intent to trade with India in rupee. 

Challenges in Internationalisation of Rupee

• Payment Settlement Uncertainty with Russia:  With a high trade gap in favor of Russia ( $57 billion trade deficit in the $66 billion bilateral trade in FY2024) because of Indian imports of cheap crude rising  to $51.3 billion from $10.6 bln previous year (12 times).
• Reason: 
  • Fear of Rupee Accumulation:  For Moscow  Rupee accumulation in the form of agreeing to the Rupee Settlement Mechanism  is not desirable as it may end up with an annual rupee surplus of over $40 billion without a plan for India to leverage the Russian Market.
  • Sanction Scare: Indian private banks are reluctant  to facilitate trade with Russia due to fears of Western sanctions as they do have significant branch strength in the west.
  • NO SOPs: Indian exporters are also facing difficulties using the rupee settlement mechanism while trading with Russia as they  were unable to use it due to the absence of a Standard Operating Procedure (SOP) for banks. 
  • Currency Volatility: Moreover, the ruble and rupee, unlike the yuan, have experienced considerable volatility, complicating trade in domestic currency.
• Minute share in Global Trade: India’s share of global exports of goods is just about 2% and also the rupee is not fully convertible which reduces the appetite and necessity for other countries to hold rupees.
• The Yuan Challenge: The RBI’s working group has said that the most obvious challenger to the US dollar is the Chinese renminbi with China on its way to match the USA on the parameters of (size of the economy, the reach of its  financial networks and the depth and liquidity of its financial markets)
  • Example: As the trade graph between Russia and China is more balanced resulting 95 per cent of the trade occurring in domestic currency ie. the Chinese Yuan making  yuan the most sought-after currency in the Russian stock market.
    • Russian oil exports are therefore requesting payments from Indian refineries in Chinese currency, or some third party mechanism such as UAE dirham while the use of the rupee has remained largely restricted.

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Kuwait Petroleum Corporation (KPC) announced a significant oil discovery in the Al-Nokhatha field, located east of the Kuwaiti island of Failaka.

Key Details

• Reserves: The oil reserves in this new field are estimated at 3.2 billion barrels.
• Production Equivalence: These reserves are equivalent to Kuwait’s entire oil production over a span of three years. Area: The newly discovered oil well covers an area of approximately 96 square kilometers.

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Failaka Island Geographical Features

• Failaka Island is a Kuwaiti island in the northern hemisphere. 
• It is situated in the Persian Gulf.
• Bordering Regions: Failaka Island  is bordered by:
  • East : The Persian Gulf 
  • West: Faces the open expanse of the Gulf.
    • It connects the island to the vast sea.
  • North: Close to the mainland of Kuwait.
  • South: Opens up to the Gulf.
    • It allows maritime traffic and historical trade routes to pass through this strategic location.

Important Points to be Remembered:

• Capital : Kuwait (city)
• Mountain range: Failaka Island is relatively flat and lacks significant mountain ranges. 
  • Its terrain is characterized by sandy soil, coastal plains, and low hills.
• Rivers: It is strategically located near the point where the Tigris and Euphrates Rivers empty into the Persian Gulf.
• Failaka Island Economy: Kuwait’s main income source is from the oil and gas sector.
  • The Al-Zour refinery, one of the world’s largest, has a capacity to process 615,000 barrels of crude oil per day.
  • Contribution in GDP: Oil and gas contribute nearly 60% of Kuwait’s GDP and 95% of its export earnings.
• Historical Significance: 
  • Served as a crucial point in the Persian Gulf for thousands of years.
  • Allowed its rulers to dominate the profitable trade routes in the region.
  • Held strategic value since the emergence of the Sumerian city-state of Ur in Mesopotamia.
  • Early Settlement: First settled by Mesopotamians around 2000 BC.
  • Architecture: Featured many Mesopotamian-style buildings similar to those found in Iraq dating back to around 2000 BC.
  • Dilmun Civilization:
    • Bay of Kuwait, including Failaka Island, was part of the Dilmun civilization from 4000 BC to 2000 BC.

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Recently, Tamil Nadu Chief Minister M.K. Stalin alleged that the Union government was withholding funds for the State’s Metro rail completion and other vital projects.

• This highlights government’s tax policies that reduce aggregate financial transfers to States, weakening cooperative federalism.

Union Fiscal Transfers To States

The Union government’s fiscal transfers to States are made through two mechanisms:

1. Finance Commission 

• Article 280 of the Indian Constitution: The Indian President needs to set up a Finance Commission every five years, starting two years after the Constitution begins. 
• Article 281 of the Indian Constitution: In connection with the suggestions from the Finance Commission, the President is required to present the Commission’s recommendations along with an explanation to both houses of Parliament.

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2. Variety of Central government Schemes. 

• The Union government employs two other routes for direct financial transfers to the States – Centrally Sponsored Schemes (CSS) and Central Sector Schemes (CSec Schemes)
• Overall Allocation: Combined allocation for CSS and CSec Schemes in 2023-24 is ₹19.4 lakh crore. Only ₹4.25 lakh crore devolved to states.
  • Union Government Influences The Priorities of The States Through CSS 
    • Union government proposes the schemes and States implement them, committing their financial resources as well. Union provides partial funding and another part is to be committed by States.
    • Allocation for CSS increased from ₹2.04 lakh crore (2015-16) to ₹4.76 lakh crore (2023-24) through 59 CSS
    • Actual financial transfers to states under CSS in 2023-24 were ₹3.64 lakh crore, with ₹1.12 lakh crore retained by the Union government.
    • Inter-State Inequity: The Wealthier states can afford matching funds and leverage Union finances. Poorer states need to borrow, increasing their liabilities and accentuating inter-state inequality.
  • Csec Schemes and Exclusive Control
    • Fully funded by the Union government for sectors under its control.
    • Allocation increased from ₹5.21 lakh crore (2015-16) to ₹14.68 lakh crore (2023-24).
    • Potential for Bias: Union government may allocate resources to benefit specific states or constituencies.

Tax Revenue Disparities Analysis

• Increasing Its Discretionary Expenditure: 
  • Centralization of Expenditure: Decline or stagnation in financial transfers to states (tax devolution or grants-in-aid) increases discretionary funds for the Union government.
  • Impact on Equity: This centralization can affect the equitable distribution of financial resources among states.
  • Reduction: Union government not only reduced the financial transfers to States but also increased its own total revenue to increase its discretionary expenditure. 

• Declining State Share: Contradicting Finance Commission Recommendations:
  • Disparity: Fourteenth and Fifteenth Finance Commissions recommended 42% and 41%, respectively, of the net tax revenue to be the shares of States, the share of the gross tax revenue was just 35% in 2015-16 and 30% in 2023-24 

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• • Increase in Gross Tax: While the gross tax revenue of the Union government increased from ₹14.6 lakh crore in 2015-16 to ₹33.6 lakh crore in 2023-24, 
  • Increase in State Share: States’ share in the Union tax revenue increased from ₹5.1 lakh crore to ₹10.2 lakh crore between these two years.
    • Gross tax revenue of the Union government more than doubled while the share of States just doubled. 
• Declining Grants-In-Aid:
  • Decline in Absolute Amount: Grants-in-aid to States is another statutory grant recommended by the Finance Commission. The grants-in-aid to States declined in absolute amount from ₹1.95 lakh crore in 2015-16 to ₹1.65 lakh crore in 2023-24. 

• Non-Statutory Transfers:
• • Lack Legal Basis: CSS and CSec Schemes involve non-statutory financial transfers, lacking legal basis or Finance Commission formulas. These transfers account for 12.6% of gross tax revenue.
  • Limited State Autonomy: Non-statutory grants are tied to specific schemes, restricting states’ freedom in public expenditure.
    • Total financial transfers (statutory and non-statutory) were 47.9% of gross tax revenue in 2023-24.
  • Decline in Statutory Transfers: The combined share of the statutory financial transfers in the gross tax revenue of the Union government declined from 48.2% to 35.32%

Reasons Behind Declining States’ Share: Cess and Surcharge

• The net tax revenue, from which the States’ share is determined, excludes 

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• 1. Revenue collections under cess and surcharge
  2. Revenue from Union Territories
  3. Tax administration expenditure.
     • Among the three factors: Revenue collection through cess and surcharge is the highest and increasing. 
• In 2015-16: Revenue collection through cess and surcharge accounted for 5.9% (₹85,638 crore) of the gross tax revenue 
• • By 2023-24: The ratio surged to 10.8% (₹3.63 lakh crore).
    • Implication: This substantial increase underscores the Union government’s strategic move to channel funds through cess and surcharge, enabling it to implement its own schemes in specific sectors.
    • The increasing reliance on cess and surcharge not only enhances the Union’s financial autonomy but also limits the resources available for devolution to the States.

Measures to Strengthen the Federal Finance Structure

• Strengthening Finance Commission Mandate: Empower the Finance Commission to address contemporary fiscal challenges more comprehensively.
  • For instance: Periodic review and adjustment of revenue-sharing formulas to reflect economic changes.
• Enhancing GST Council Efficiency: Improve the functioning of the GST Council for better coordination and dispute resolution.
  • For example: Introducing a mechanism for faster decision-making and conflict resolution can significantly improve the efficiency of the council.
• Reforming Centrally Sponsored Schemes: Rationalise CSS to provide states with greater flexibility in fund utilisation.
  • For instance: Transforming certain CSS into block grants would enable states to tailor funding to their specific local needs and priorities.
• Promoting Fiscal Discipline: Encourage fiscal discipline among states through incentive-based transfers and performance-linked grants.
  • For instance: Under the 15th Finance Commission, performance-based incentives and grants are provided for the social sector, rural economy, governance reforms, and power sector reforms.
• Addressing Regional Disparities: Implement targeted interventions and special packages for underdeveloped regions.
  • For example: The North East Special Infrastructure Development Scheme (NESIDS) focuses on infrastructure in Northeastern states.
• Enhancing State Revenue Capacities: Support states in enhancing their revenue-generating capacities through tax reforms and compliance improvements.
  • For instance: Providing technical assistance by the union government for better tax administration at the state level.
• Improving Transparency and Accountability: Enhance transparency and accountability in intergovernmental fiscal transfers through regular audits and public reporting.

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Conclusion

The future of Centre-State financial relations in India hinges on the establishment of a robust federal finance structure. This can be achieved by strengthening institutions, reforming centrally sponsored schemes, and promoting fiscal discipline. These measures will ensure balanced regional development and effectively address the diverse fiscal needs of all states.

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The French National Day, also known as Bastille Day is celebrated on July 14 each year, on the anniversary of the storming of the Bastille prison in Paris in 1789. 

• Last year, the Indian Prime Minister graced the Bastille Day celebrations in France. 

About The French Revolution

The French Revolution marked the collapse of the French monarchy and the traditional social order, signalling the end of absolutism and the rise of secular, democratic governance.

• Time Period: The French Revolution was a period of radical social and political upheaval in France from 1789 to 1799. 
• Characterised by: Significant changes in the country’s political, social, and economic systems, as well as profound cultural and intellectual transformations. 

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Impacts of the French Revolution

The revolution had a profound impact not only on France but also on the rest of Europe and the world, inspiring other movements for liberty, equality, and democracy.

• End to Monarchy: The French Revolution put an end to the age-old absolute monarchy, feudal laws and social inequality. 
• Introduction of Modern Ideals: For the first time ideas like “Liberty, Equality and Fraternity” were introduced.
• Growth of Socialism and Communism: It indirectly laid the groundwork for the growth of socialism and communism by providing an intellectual and social environment in which these ideologies could flourish.
• Fostered a Strong Sense of Nationalism: By emphasising the collective will of the people and promoting the concept of self-determination.
• Inspiration to Other Revolutionary Movements: It sent shockwaves throughout Europe, inspiring further revolutionary movements and challenging traditional monarchies, ultimately leading to the rise of Napoleon and a period of conflict and change.

Influence of the French Revolution on Indian Constituent Assembly and India

India, along with several other countries which underwent decolonisation were inspired by the French revolution. 

• Tree of Liberty by Tipuu Sultan: Tipu Sultan, the ruler of Mysore in the late eighteenth century, is famous for planting the Tree of Liberty in his capital Seringapatam and calling himself  ‘Citizen Tipoo’. 
• Preamble of the Indian Constitution: The Indian Constituent Assembly adopted the first few lines of the Preamble to India’s Constitution from the French Revolution. 
  • The Preamble grants the Liberty– of thoughts, expression, belief, faith and worship, Equality of – status and opportunity (to its citizens), and, to promote among them all, Fraternity assuring the dignity of the individual and the unity and integrity of the Nation.
• The Idea of Republic: Republic means reserving the highest office of the state for an elected representative, symbolising governance by the people themselves. By overthrowing its monarchy, the French broke the myth of the invincibility of monarchies across the world. 
  • The Constituent Assembly on the Preamble began its debates in October 1949. The idea of Equality was already codified by this time. 
  • Example: India abolished titles (Article 18), introduced universal adult franchise (Article 326) and argued for equality with principles of equity as the Fundamental Rights of citizens (Articles 14, 15) and numerous others.
• Secularism and Fraternity: The Indian Constitution makers took another lesson from France in terms of the idea of Secularism and Fraternity. However, secularism in India and France is not the absence of religion. 
  • After the French Revolution, Napoleon Bonaparte made an agreement called ‘Concordat’ with the Pope that allowed for overseeing the power of the state over the affairs of the Church. 
    • It was a compromise which Napoleon did to sustain religion within the State.
  • Secularism in Indian context is not the absence of religion altogether but presence of all sects and religion in equal terms. 
    • Hence, the state provides grants to all religious denominations (Article 25 imparts freedom of conscience and free profession, practice and propagation of religion and Article 26 gives freedom to manage religious affairs). 

History of the French in India

The French were the last Europeans to reach India as traders, Portuguese followed by the British, the Dutch, the Danes and the French.

• Foundation: The foundation of Compagnie des Indes Orientales (The French East India Company) in 1664 was laid down by Jean-Baptiste Colbert, a minister in the court of Louis XIV. 
• Joint Venture Company: The French East India Company was a joint stock company, founded to compete with the English and the Dutch Company with respect to trade with the East.
  • The Company was granted a 50-year monopoly on French trade in the Indian and Pacific Oceans. 
• First Factory: The first French factory at Surat was established by Francois Caron in 1668.
• Main Centre of Power: Pondicherry became the main centre of French power.
  • In 1673, Sher khan Lodi, governor of Bijapur Sultan at Valikandapuram, granted French Governor Francois Martin to establish a factory at Pondicherry.
  • The French established control over Mahe (Malabar coast) in 1725 and Karaikal in 1738.
• Early Setbacks: The Dutch (in alliance with the British) captured Pondicherry from the French in 1693. 
  • But the Treaty of Ryswick restored Pondicherry to the French.
• Decline of Power: Military defeats and territorial losses led to the decline of the power of  the French  in India.
  • The Battle of Swally: It is also known as the Battle of Suvali.
    • A Naval Warfare: It was fought in November 1612 off the coast of Suvali, a village near Surat city in Gujarat, India. 
      • The battle was fought between the British East India Company forces led by Captain Thomas Best and the Portuguese. 
    • Outcome: It ended with the victory of the British East India Company over the Portuguese and marked the beginning of the ascent of the British East India Company’s presence in India.

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Puducherry’s French Connection

The “La Compagnie française des Indes orientales” was established in Pondicherry (now Puducherry) in 1673. 

• Hold on Enclaves: Pondicherry consisted of many enclaves, i e. Karaikal, Mahe and Yanam, Chandranagore, etc. 
  • All of these enclaves were in constant struggle with British mercantilists. 
• Carnatic Wars: Having fought a series of three Carnatic wars with the British (1740-63), the French were reduced to protectorate states in India under the British. Hence, relations between India and France were a bit different than that of India and Britain.
  • The very first recorded bonhomie between Indians and French came up in the 1857 struggle. 
• Safe haven for Freedom Fighters: Pondicherry emerged to be a safe haven for numerous freedom fighters who came in conflict with the British laws. 
  • • Subramania Bharati, accused of writing nationalist poems in his edited paper India. He sought asylum in Pondicherry. 
    • Lala Lajpat Rai, V. O. Chidambaram Pillai and C Rajaji also followed suit and made French colonies a rescue point in their careers including. 
  • Aurobindo even made this French enclave his spiritual centre. 
  • In his book L’Intermède français en Inde: Secousses politiques et mutations juridiques, David Annoussamy noted that at least 440 Indian residents of Pondicherry wrote to the Governor expressing their loyalty and belief in the French command.
• Integration of Pondicherry and its impression on the Indian Constitution: The integration of Pondicherry was not the same as other British-controlled territories in independent India.
  • Congress Resolution of Jaipur, 1948: It argued for peaceful integration of territories ruled by non-British colonial powers in India. 
    • This was a direct message to the Portuguese-controlled Goa, Daman-Diu, Dadra Nagar Haveli and French-controlled enclaves of Pondicherry.
    • Historians cite the defeat of the French in the Indo-China struggle in 1954 as the watershed moment.
  • Treaty of Cessation or De facto treaty of Transfer of Power: It was signed between the Government of India and the Government of France in October 1954. 
    • From November 1, 1954, the Indian Government got physical hold of the French enclaves in India.
  • Distinct Provisions: 
    • The 14th Constitutional Amendment Act, 1962: It gave Pondicherry a distinct status of Union Territory with the State Assembly. 
    • The Union Territory Act of 1963: It allowed the State Assembly to retain the French consulate and French language in the Official category list. 

Lasting Consequences of the French Presence in India

French presence facilitated cultural and intellectual exchange between Indian and French societies.

• Cultural Influence: The French brought their language, architecture, and customs, leaving a lasting cultural influence in regions like Pondicherry.
• Trade and Commerce: French trading posts and factories boosted maritime trade and influenced the local economies.
• Urban Development: French settlements witnessed urban development, including the construction of forts and public buildings.
  • Example: French Quarters in Pondicherry
• Political and Military Rivalry: The Anglo-French rivalry shaped the political dynamics of colonial India.
• Maritime Warfare: French naval capabilities contributed to maritime conflicts in the region.

Conclusion

Post Cold War Era, India and France entered into Strategic Partnership in 1998. France also happened to be among a few European helping hands to India when India was isolated post-Pokhran test, and not to forget it was the first European country to sign a civil nuclear deal with India. 

• Presently, India and France have a strong relationship in various areas such as defence and security cooperation, space cooperation and civil nuclear cooperation, constituting the principal pillars of the Strategic Partnership.

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