Context: The National Tiger Conservation Authority (NTCA) achieved significant milestones during the year 2023.

Achievements of NTCA (National Tiger Conservation Authority) During the Year 2023

• Project Tiger completes 50 years: The Project Tiger has put the wild tigers of India on a path of recovery and has completed 50 years of successful implementation. 
• Tiger Population: As per the 5th cycle of the All India Tiger Estimation 2022 summary report, India has a minimum of 3167 tigers and now is home to more than 70% of the wild tiger population of the world. 
  • As per the data analysis using the latest statistical models for camera-trapped and non-camera-trapped tiger presence areas, the upper limit of the tiger population is estimated at 3925, and the average number of tigers is 3682 tigers, reflecting a commendable annual growth rate of 6.1% per annum.

To read more about Project Tiger, refer Project Tiger

• Amrit Kaal Ka Vision For Tiger Conservation: It aims to sustain tigers for posterity while preserving tangible and intangible gains derived from tiger reserves through landscape-level planning, sectoral integration and convergence.
• Successful Reintroduction of Cheetah:  At present, there are fifteen Cheetahs in Kuno as a result of the MoU with the Republic of Namibia and the Republic of South Africa for the translocation of Cheetahs to India.
  • A conservation breeding program of cheetahs in the Banni grasslands of Gujarat has also been approved.
• Management Effectiveness Evaluation (MEE) of Tiger Reserves: The NTCA has been undertaking “Management Effective Evaluation” (MEE) for an interval of 4 years in order to assess the management effectiveness of tiger reserves.
  • MEE is to assist and improve the management perspectives of Tiger Reserves and their associated landscape connectivity. 
• Reintroduction of Tigers: It has been initiated as a part of active management to restore the wild tiger population in tiger reserves where tigers recently became locally extinct.
  • Under this,  tigers have been reintroduced in the western part of the Rajaji Tiger Reserve (Uttarakhand), Madhav National Park (Madhya Pradesh), Mukundra Hills Tiger Reserve and Ramgarh Vishdhari (Rajasthan).
• Declaration of new Tiger Reserves: The county’s total number of tiger reserves has increased to 54.
  • The 53rd tiger reserve was declared in Ranipur Wildlife Sanctuary, Uttar Pradesh and 54th tiger reserve in Rani Durgavati” in Madhya Pradesh.
• Conservation Assured’ Tiger Standards (CA|TS) accreditation of Tiger Reserves in India: Six tiger reserves, namely Kali, Melghat, Navegaon – Nagzira, Pilibhit and Periyar have been awarded with CA|TS accreditation in 2023. 
  • So far a total of 23 tiger reserves of India have received CA|TS accreditation.
• International Award to tiger reserves: Pench Tiger Reserve (Madhya Pradesh) and Pench Tiger Reserve (Maharashtra) jointly and Satpura Tiger Reserve (Madhya Pradesh) have been awarded with Tx2 award during 2022-23.

Also Read: 

• Tiger Reserves In India 2023
• Tiger Deaths in India 2023

News Source: PIB

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Context: Mashe Family have organized an exhibition of the Warli paintings in Delhi.  

• Jivya Soma Mashe is known as the father of Warli art since he popularized the art form beyond the Sahyadri Mountains in Maharashtra.

About Warli Painting

• Origin: Till the Seventies, the art form remained confined to the representation of joy and happiness of the Warli Tribes’ lives.
• It was traditionally practiced by women. 
• Method:
  • Layers of cow dung form the canvas. Dried canvas is painted in mud brown to create a background.
  • Bamboo-stick paint brushes are used to carve the art lines. Rejuvenation: Jivya Soma Mashe gave a new meaning to the art by capturing the constant cyclical movement of life on the canvas. 
  • These rudimentary paintings are made using a set of geometric shapes- a circle, a triangle, and a square. 
  • These shapes are considered to be symbolic of different elements found in nature which are-
    • The circle represents the sun and the moon. 
    • The triangle represents mountains and conical trees. 
    • The square is a human invention depicting a sacred enclosure or a piece of land.
    • The central motif in every ritual painting is a square known as the “chauk” or “chaukat”. 
• Theme of Warli Paintings: 
  • In Warli paintings, the central motif is depicted by scenes that portray hunting, fishing and Farming. 
  • Festivals and folk dances are also common scenes depicted through Warli art. 
  • People and animals represented in Warli’s paintings are depicted by two inverse triangles joined at their tips. 
  • The upper triangle represents the torso and the lower triangle represents the pelvis. This precarious equilibrium is meant to symbolise the balance of the universe. 
  • Apart from ritualistic paintings, Warli paintings also represent various daily activities village members perform.
• Social Importance of Warli Paintings: Mashe’s Warli art records important events and transmits local stories pictorially. The religious imagery shifted to narratives of tribal lives, values and self-expression. 
  • This art form has also helped tribals to reflect upon social injustices caused by the systems of power imbalances

Also Read: Indian Folk Paintings, here.

Source: The Hindu

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Context: Three Jain sculptures dated around 11th century CE were discovered in Varuna village in Mysore district early this week.

Three 11th century CE Jain Sculptures Found in Karnataka

• An earth mover digging a drain found three damaged sculptures. Experts recognised them as Jain sculptures and they were shifted to the ASI museum at Indira Gandhi Rashtriya Manav Sangrahalay.
• Of the three sculptures, one of the sculptures was dilapidated beyond recognition, while the two others were in reasonably good condition.
  • One of them is a sculpture of a Jain Tirthankara, but the other could not be clearly identified in the absence of symbols.
• The entire belt comprising Varuna, Varakodu, and Vajamangala around Mysore were thriving Jain centres and can be excavated to discover the ancient traditions.

Jain Sculptures in India

• Dominance: Most of the Jain Sculptures are representative of the 24 Tirthankars of Jainism.
• Position: They are represented in the seated lotus position, or standing in the meditation Khadgasana position. 
  • Usually, the standing Tirthankara is the most iconic Jain sculpture, with a rigid and usually nude representation. 

• Symbolism: These types of sculptures usually represent the ideal of a rigorous asceticism– central to the Jainism practice. 
• Presence: These Jain sculptures have been found in 
  • Shravanabelagola: Home to the iconic Gommateshvara statue, a 57-foot tall monolith of Bahubali in khadgasana position. 
  • Halebidu: The Hoysala temples depict several Jain Tirthankaras in khadgasana asana. 
  • Dilwara Temples: Located near Mount Abu, these temples feature khadgasana Tirthankaras. 
• Other Jain Sculptures: Other Jain sculptures have also been found, which carry narrative sequences from Jain Devotional texts, or have inscriptions from the Jain wordings in Prakrit languages. 

Spread of Jainism in Karnataka

• History: In the 3rd century BC. Acharya Bhadrabahu predicted a twelve-year-long famine in north India and led the migration of Jain sangha to the south. The Jain Sangha halted at Chandragiri Hill in Shravanabelagola.
  • He was accompanied by his disciple Chandragupta Maurya.
• Spread of Religion: Realizing that Bhadrabahu was nearing the end of his life, he instructed his disciples to spread the religion and he undertook sallekhana at Chandragiri.
  • Sallekhana refers to the religious voluntary practice of fasting to death by reducing the quantity of diet. 
• Chandragupta Maurya: He continued to live on this hill worshiping the footprints of his teacher and later he too took Sallekhana.
• Famous Location: Jain Basadi complex, Halebidu Temples and Jain temples in Belgaum.

Source: The Hindu

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Context: Muzaffarpur-based National Research Centre on Litchi (NRCL) is providing technical help, plants and training to farmers in order to expand the fruit’s cultivation across India.

Commercial Litchi Cultivation Thrives in 19 States

• States with Commercial production of Litchi: Litchi cultivation for commercial purposes is currently being in 19 states. 
• Saplings for Litchi: The NRCL is preparing thousands of litchi saplings at its nursery each year in order to supply them to farmers in different states. 
  • The government provides saplings of its famous Shahi litchi, besides popular varieties like China, Gandki Lalima, Gandki Sampada and Gandki Yogita, to farmers.

About Litchi

• Origin: The origin of litchi is from southern China, particularly the provinces of Kwangtung and Fukien. 
• Climate: Litchi generally prefers moist subtropical climate with frost free winter and dry heat wave free summer.
• Altitude: Although it can grow up to an altitude of 800 m above the sea level, the best growth and yield is found at lower elevations. 
• Temperature: Seasonal temperature variation is necessary for proper fruiting. The temperature should not exceed 40.0° C in summer and below the freezing point in winter. 
• Soil: Ideal soil for organic litchi cultivation is well-drained deep loamy soil rich in organic matter and having slightly acidic to neutral soil.
• Major Litchi Growing States: It mainly grows in the foothills of the Himalayas in Uttarakhand, Bihar, West Bengal and Jharkhand. 
  • Litchi cultivation is spread across over 32,000 hectares in Bihar accounting for nearly 40 per cent of India’s litchi production. 
  • Bihar is followed by West Bengal (12 per cent of the total) and Jharkhand (10 per cent).
• Area under Cultivation: More than 0.1 million hectares of land are under litchi cultivation in India.
• Global Production Status: India is the second largest producer of litchi in the World after China. 
• Other major producing countries include Thailand, Australia, South Africa, Madagascar and Florida in the US.

Mission for Integrated Development of Horticulture (MIDH)

• About: MIDH is a Centrally Sponsored Scheme for the holistic growth of the horticulture sector covering fruits, vegetables, root & tuber crops, mushrooms, spices, flowers, aromatic plants, coconut, cashew, cocoa and bamboo

National Horticulture Mission (NHM)

• About: It is the sub-scheme of MIDH which is being implemented by the National Horticulture Board (NHB). 
• Objective: To promote the growth of the horticulture sector covering vegetables, fruits, root & tuber crops, spices, mushroom, flowers, aromatic plants, cashew and cocoa. 
• Under this, the Government of India (GOI) will assist with 85% of the developmental programmes and the State Government will contribute the remaining 15%. 

About National Horticulture Board (NHB):

• About: It was set up by the Government of India in 1984 as an Autonomous organization under the Ministry of Agriculture and Farmers Welfare.
  • It is registered as a society under the Societies Registration Act, headquartered at Gurugram. 
• Objectives of NHB:  
  • To develop production clusters/hubs for integrated Hi-tech commercial horticulture
  • Development of Post-harvest and cold chain infrastructure
  • Ensuring availability of quality planting material
  • To promote adoption of new technologies/tools/ techniques for Hi-tech commercial horticulture etc.

News Source: DTE

Nust Read: 3 Products From Arunachal Pradesh Get GI Tags 

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Context: Recently, Sirshendu Mukhopadhyay received the Kuvempu Rashtriya Puraskar of 2023, instituted by Rashtriya Kuvempu Trust.

• Sirshendu Mukhopadhyay became the 11th recipient and the first Bengali writer to receive the award. 

About Rashtriya Kuvempu Trust

• The trust has been honouring a writer with the national award since 2013. 
• On this 2023 occasion following have been released:
  • Beginner’s Muse and Alien Harp, a collection of Kuvempu’s English poems.
  • Aharnishi Prakashana of Shivamogga published a translation of Mukhopadhyay’s short stories, titled Sameepya. 
  • Kuvempu Trust released a calendar with rare photos of Kuvempu. 

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About the Kuvempu Rashtriya Puraskar

• Kuvempu Rashtriya Puraskar is a national award, which is presented annually in memory of the late poet laureate Kuvempu.
• It is given to a writer who has contributed in any of the languages recognised by the Indian Constitution.
• It carries ₹5 lakh cash award, a citation, and a memento.

About Kuvempu

• A Kannad Poet: Kuppali Venkatappa Puttappa, popularly known as Kuvempu, was an Indian poet, playwright, novelist and critic.
  • He is regarded as the greatest Kannada poet of the 20th century.
    • Kuvempu had a special relationship with West Bengal. He took Ramakrishna Paramahamsa as his guru.
• Writer of Karnataka State Anthem: He penned the Karnataka State Anthem “Jaya Bharata Jananiya Tanujate”.
• Achievements: 
  • Jnanpith Award: In 1967, he became the first Kannada writer to receive the Jnanpith Award for his version of the Ramayana titled ‘Sri Ramayana Darshanam’.
  • Rashtrakavi: In 1964, for his contributions to Kannada Literature, the Government of Karnataka decorated him with the honorific Rashtrakavi (“National Poet”).
  • Karnataka Ratna: In 1992, he received an honour of Karnataka Ratna (“The Gem of Karnataka”). 
  • Padma Vibhushan: In 1988, he was conferred the Padma Vibhushan by the Government of India. 
  • Sahitya Akademi Award: In 1955, he received Sahitya Akademi Award.

Must Read: Sahitya Akademi Award 2023

News Source: The Hindu

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Context: Recently, the Indian government raised the interest rates on Sukanya Samriddhi Scheme and three-year Term Deposit (TD) Scheme for the January-March quarter, while retaining the rates for all other Small Savings Schemes.

Centre Hikes Interest Rates On Small Saving Schemes

• As per the latest revised list, the interest rate of Sukanya Samriddhi Scheme will be 8.2% from the existing 8%, while for 3-year TD it would be 7.1% from the existing 7% for the last quarter of the current fiscal.
• The Public Provident Fund (PPF) rates were kept unchanged for more than 3 years.

About Public Provident Fund (PPF)

• It is a long-term savings scheme in India to help individuals make small savings and provide returns on the savings.
• It was first offered to the public in the year 1968 by the Finance Ministry’s National Savings Institute.
• Significance: Guaranteed returns and investment is tax-exempt under section 80C of the Income Tax Ac.

About Small Savings Schemes

• These are a set of savings instruments managed by the Central Government.
• Aim: To encourage citizens to save regularly and achieve their financial goals.
• Features:
  • All deposits under small savings schemes are credited to the ‘National Small Savings Fund.
  • The rates on these small savings schemes are calculated on the yields on government securities (G-secs).
  • Small savings have emerged as a key source of financing the government deficit.
• Categories: Small savings schemes have three categories:
  • Postal Deposits: It includes savings account, recurring deposits, time deposits of varying maturities and monthly income scheme.
  • Savings Certificates: National Small Savings Certificate (NSC) and Kisan Vikas Patra (KVP).
  • Social Security Schemes: Sukanya Samriddhi Scheme, Public Provident Fund (PPF) and Senior Citizens’ Savings Scheme (SCSS).
• Significance:
  • Instruments To Save Income Tax: Under Section 80C of the Income Tax Act, individuals can claim deductions of up to Rs 1.5 lakh per year from their taxable income by investing in PPF, SCSS, NSC, SSY, and the 5-Year Post Office Time Deposit Scheme.
  • Regular Revision of Interest Rate: The interest rate on small savings instruments such as the NSC, KVP and PPF are revised every quarter in line with the market rate for the 10-year government security.
    • Basis of this Revision of Interest Rate: It is based on a formula devised by a committee led by former Reserve Bank of India Governor Shyamala Gopinath. 
    • The committee had recommended that the interest rates of different schemes should be 25-100 bps higher than the yields of the government bonds of similar maturity.

About Sukanya Samriddhi Yojana (SSY)

• Aim: It was launched on 22 January 2015 for the betterment of the girl child in the country.
• Deposit Scheme for Girls Children: It is a small deposit scheme for girls children which was launched as a part of the ‘Beti Bachao Beti Padhao’ campaign.
• Contribution Limit: The minimum annual contribution is ₹250 and the maximum contribution is ₹1.5 Lakh in a financial year.
• Withdrawal & Maturity Rules: After a girl reaches 18 years of age, guardians can withdraw money from the account up to 50% of the balance in a financial year. 
• • According to the regulations set by the Department of Posts, withdrawals can be accomplished in a single transaction or installments, with a maximum of one withdrawal per year with up to a limit of 5 years.

Significance: 

• Guaranteed Returns: Being a government-backed scheme, an SSY offers guaranteed returns.
  • Tax Benefits: The interest generated through the Sukanya Samriddhi Account (SSA) is tax-free.
    • An investor can claim income tax benefits on up to ₹1.50 lakh invested in an SSY account in the single financial year under Section 80C of the Income Tax Act. 

About Beti Bachao Beti Padhao Scheme

• It is a campaign of the Indian Government to address the issue of the declining child sex ratio in India. 
• Ministry of Women and Child Development, Ministry of Health, Family Welfare and Ministry of Education.

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Context: Recently, the forest officials in the Anamalai Tiger Reserve rescued a wild elephant calf found separated from the herd.

About Anamalai Tiger Reserve

• Location: Anamalai Tiger Reserve lies South of the Palakkad gap in the Southern Western Ghats  along with the Kerala and Tamil Nadu border, surrounded by Parambikulam Tiger Reserve on the East, Chinnar Wildlife Sanctuary and Eravikulam National Park on the South Western side. 
  • The reserve is also surrounded by Nenmara, Vazhachal, Malayattur and Marayur reserved forests of Kerala. 
• Recognition: 
  • Tiger Reserve: It was declared as a Tiger reserve in the year 2007. 
  • The Kariyan shola, Grass hills and Manjampatti of Anamalai Tiger Reserve has been identified as a world heritage site by UNESCO.
• Area of the Anamalai Tiger Reserve:
  • Core/critical tiger Habitat: 958.59 sq km.
  • Buffer/Peripheral Area: 521.28 sq km.
  • Total: 1479.87 sq km.
• Flora: The Anamalai Tiger Reserve is rich in wild relatives of cultivated species like turmeric (Curcuma longa), pepper (Piper longum), cardamom, solaipuli, nutmeg, cinnamom, etc.
• Fauna: The important mammals include Asiatic elephant, Sambar, Spotted deer, Barking deer, Mouse deer, Gaur, Nilgiri tahr, Lion Tailed Macaque, Nilgiri langur, and Common langur. Other
  • Common wild animals include wild pigs (Sus scrofa) and sloth bears (Melursus ursinus).
• Wildlife Corridors: There are several wildlife corridors which include Navamalai, Punachi, Siluvaimedu, Sethumadai–Nenmara.
• Anthropological Reserve: As it supports 6 indigenous people viz. Malasar, Malai malasars, Kadars, Eravallars, Pulayars and Muduvars.
• Best Practices: 
  • Innovative alert system for addressing human-wildlife conflict. 
  • Anti-poaching strategy. 
  • Control over illegal ganja cultivation.
  • Smart patrolling using M-STrIPES protocol.

Also Read: Tiger Reserves In India

News Source: Mint

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Context: The Union Minister for Housing & Urban Affairs inaugurated India’s first ‘Zero Waste Street Food Festival,’ highlighting the pivotal role of the Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme in empowering street vendors.

PM SVANidhi Empowers 57.83 Lakh Street Vendors Across India

• The Minister informed that the PM SVANidhi scheme has benefitted 57.83 lakh street vendors. 
  • 80.77 lakh loans have been sanctioned and 76.22 lakh loans worth Rs. 10,058 crores have been disbursed under the scheme. 
• Further he noted that the percentage of women street vendors, who have received loans under the scheme is about 45 % (25.78 lakh) of all loans disbursed. 
• • Around 72% of the beneficiaries of PM SVANidhi are from marginalized sections.

PM SVANidhi (Pradhan Mantri Street Vendors Atma Nirbhar Nidhi) Scheme

• Nodal Ministry: Ministry of Housing and Urban Affairs.
• Objective: To facilitate a collateral-free working capital loan to street vendors to restart their businesses, which were adversely impacted during the Covid-19 pandemic.
• Implementing Agency: Small Industries Development Bank of India (SIDBI).

• The duration of the scheme has been extended till December 2024, with a focus on enhanced collateral-free affordable loan corpus and increased adoption of digital transactions.Scheme Benefits: Vendors can avail of a working capital loan of up to Rs. 10,000, which is repayable in monthly installments over the tenure of one year.
• On timely/ early repayment of the loan, an interest subsidy @ 7% per annum will be credited to beneficiaries’ bank accounts through Direct Benefit Transfer on a quarterly basis.
• The scheme promotes digital transactions through cash-back incentives up to an amount of Rs. 100 per month.
• The vendors can avail the facility of escalation of the credit limit on timely/ early repayment of loans. 

News Source: PIB

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Context: Recently, the Reserve Bank of India (RBI) issued its list of Domestic Systemically Important Banks (D-SIBs). 

RBI Releases Latest List of Domestic Systemically Important Banks

• RBI’s Updated Categorization: RBI moved State Bank of India (SBI) and HDFC Bank to higher buckets in its latest update. At the same time, ICICI Bank continues to be in the same bucketing structure as last year.
  • SBI (buckets 3 to 4) and HDFC Bank (buckets 1 to 2).
• Basis of Updation: The current update is based on the factoring in the increased systemic importance of HDFC Bank post the merger of erstwhile HDFC Limited into HDFC Bank on July 1, 2023.
• Common Equity Requirement: Based on the bucket in which a D-SIB is placed, an additional common equity requirement must be applied.
  • Common Equity Tier 1 (CET1) is a component of Tier 1 capital primarily common stock held by a bank or other financial institution. 

About Domestic Systemically Important Banks (D-SIBs)

• The Reserve Bank issued the Framework for dealing with Domestic Systemically Important Banks (D-SIBs) in 2014. 
• The D-SIB framework requires the Reserve Bank to disclose the names of banks designated as D-SIBs starting from 2015 and place them in appropriate buckets depending on their Systemic Importance Scores (SISs). 
  • Based on the bucket in which a D-SIB is placed, an additional common equity requirement must be applied. 
  • ‘Too big to fail’:  D-SIB means that the bank is ‘too big to fail’. 
  • Potential Ramifications of Failure: If a bank fails, there would be significant disruption to the essential services it provides to the banking system and the overall economy.

Key Features of the Domestic Systemically Important Banks (D-SIBs)

• Government Support: The too-big-to-fail tag also indicates that the government is expected to support these banks in case of distress.
• Classification: RBI classifies the banks under five buckets depending on the order of importance.
• Factors Contributing to Systemic Importance: These banks become systemically important due to their size, cross-jurisdictional activities, complexity and lack of substitute and interconnection. 
• Quantitative Criterion: Banks whose assets exceed 2% of GDP are considered part of this group. 
• Enhanced Capital Requirements: Due to their economic and national importance, the banks need to maintain a higher share of risk-weighted assets as tier-I equity.

News Source: Livemint

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Context: The Birders’ network observed rare ‘pelagic birds’ off  the coast of Dakshina Kannada district  in Karnataka.

• Other birds were sighted including Sooty Shearwater, Brown Skua, Brown Booby, Streaked Shearwater and Masked Booby.

About Pelagic Birds

• Distinctive Wing Adaptations: Pelagic birds have exceptionally long and thin wings that allow them to fly effortlessly for long periods without rest.
  • For Example: Albatross, frigatebirds, fulmars, petrels, shearwaters
• Salt Adaptation Mechanism: Many pelagic birds have special salt glands. This allows them to drink seawater and discard extra salt accidentally ingested with their oceanic prey
• Unique Feeding Strategy: Some pelagic seabirds have one astounding way of acquiring food; a technique called kleptoparasitism. 
  • kleptoparasitism involves an act of robbing smaller species off their prey.
• Limited Land Interaction: Except for breeding, which they do on isolated islands for protection, the birds rarely approach land.
• Occasional Land Encounters: These birds spend much of their lives on the open ocean.
• Breeding colonies: Breeding colonies of pelagic birds are rare in the subcontinent, but some of the 36 scattered and remote islands of Lakshadweep in the Arabian Sea
• Threats: Variety of human-related activities including oil spills, fisheries interactions, contaminants, disturbances, and habitat destruction.
• They are found thousands of miles offshore but can get blown onto land during high winds and storms. 

Must Read: Study Finds Most Himalayan Birds Migrate Downslope

News Source: DTE

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Context: The government has put the implementation of the New Industrial Policy 2023 (NIP 2023) on hold which has been under development for more than two years. 

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About New Industrial Policy 2023

• Replacing 1991 Policy: The Union Commerce Ministry released the draft of a new Industrial Policy to replace the 1991 policy.
• Disruptions in Economic Activity: The new industrial policy has been fuelled primarily by the disruptions in economic activity due to the COVID-19 pandemic and the shocks driven by uncertainties and disruptions in supply chains.
• Objectives of New Industrial Policy 2023: It has two objectives: 
  • Enhance the pace of economic activity at the national level
  • Devise mechanisms to impart resilience to the industrial sector. 

Historical Background of Industrial Policies in India

• Industrial Policy Resolution (IPR) 1948
• Industrial Policy Resolution (IPR) 1956
• Industrial Policy 1977
• Industrial Policy of 1980
• Objectives of Industrial Policy of 1991
• Challenges with the Industrial Policy of 1991

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Industrial Policy Resolution (IPR) 1948

• It classified industries into four broad areas:
• Strategic Industries (Public Sector): The Central Government had monopoly: arms and ammunition, atomic energy, and rail transport.
• Basic/Key Industries (Public-cum-Private Sector):  These industries were to be set-up by the Central Government. Ex- Coal, iron & steel, aircraft manufacturing, shipbuilding. 
• Important Industries (Controlled Private Sector): Existing private producers in these industries could continue under the private sector. 
  • However, in consultation with the state government, the central government had general control over them.
  • Other Industries (Private and Cooperative Sector): All other industries not included in the above-mentioned three categories were left open for the private sector.

Industrial Policy Resolution (IPR) 1956

• With this, the list of industries reserved for the public sector was expanded to cover 14 industries in which new establishments were to be set up only by the state. It classified industries into three categories:
• Schedule A: It consisted of 17 industries which were the exclusive responsibility of the State. 
  • Out of these 17 industries, four industries, namely arms and ammunition, atomic energy, railways, and air transport had Central Government monopolies; the State Governments developed new units in the remaining industries.
• Schedule B:  It consisted of 12 industries open to private and public sectors. 
• Schedule C: Other industries not included in these two Schedules were included under this category and left open to the private sector. 
  • However, the State reserved the right to undertake indus­trial production.

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Industrial Policy 1977:

• Its main focus was promoting cottage and small industries effectively. 
• Under this, the small sector  was classified into three groups—cottage and household sector, tiny sector and small-scale industries.
• It prescribed different areas for the large-scale industrial sector:
  • Basic industries
  • Capital goods industries
  • High technology industries
  • Other industries outside the list of reserved items for the small-scale sector.
• It restricted the scope of large businesses to prevent a dominant and monopolistic position in the market.
• Industrial Policy of 1980: It sought to reverse the trend of industrial production and reaffirm its faith in the Monopolies and Restrictive Trade Practices (MRTP) Act and the Foreign Exchange Regulation Act (FERA).

Objectives of the Industrial Policy of 1991:

• Industrial Licensing
• Public Sector Disinvestment
• Increase in Foreign Direct Investment
• Introduction of foreign technology to India
• Increasing public investment in infrastructure.

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Challenges with the Industrial Policy of 1991

• Incomprehensive Economic Policy:  India’s economy shifted from a predominantly agrarian society to an economy propelled by services bypassing the traditional industrial development.
  • This is known as the “missing middle” phenomenon where growth in manufacturing & industry with their ability to absorb large-scale labour is missing. 
  • Also, jobs tend to be concentrated in either highly skilled service-driven industries like IT and financial services or in very low productive farm and construction-related sectors
    • Traditional Industrial development led to growth of China and led to the formation of a dynamic middle class.
• Stagnant Manufacturing Sector: Despite the significant diversification of manufacturing observed in East Asian countries since the late 1970s, India’s manufacturing share has remained stagnant at approximately 15% of the GDP. 
  • According to the employment and unemployment survey of the National Statistical Office (NSO), manufacturing accounted for 12.6% of all workers in 2011-12 which declined to 11.6% in 2021-22.
• Crisis of Unemployment:  According to data from the Centre for Monitoring Indian Economy (CMIE), India’s unemployment rate increased to 8.11% in April 2023.
  • Moreover,  more than 80% of the workforce in India is engaged in the informal sector.
  • There is a huge lack of skilled employees in India  and an increase in automation may further reduce the workforce, increasing the unemployment rate.
• Outpacing Traditional Brick-and-Mortar Model: Indian consumers have bypassed the organized retail model in developed economies, opting for local stores or online platforms.
  • This trend could adversely affect sector development by disincentivizing investments into backend infrastructure and logistics.
  • Unlike private organized retail, a major employment generator in countries like the UK, e-commerce has limited capacity to absorb labor due to increasing automation and technological advancements.
  • It might deprive India of an estimated 10 million new jobs. 

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• Imbalances Across Sectors: India’s growth trajectory, skipping crucial developmental stages, has led to imbalances and fractures across various sectors, including retail, manufacturing, sustenance, healthcare, education, and housing. 
  • Ex- In education, few institutions like IITs and IIMs produce top graduates while there’s a decline in the proportion of children in class 5 who can read a class 2 level text. 
  • Despite the emergence of India as a health tourism destination, India ranked 111 out of 125 countries in the Global Hunger Index (GHI) 2023 behind neighbors Pakistan (102), Bangladesh (81), Nepal (69) and Sri Lanka (60). 
• Rising Inequalities: Although expanding high-skill services may result in higher average incomes, these benefits are inherently concentrated among workers directly engaged in those sectors. 
  • Consequently, states with higher growth in high-skill services often witness increased inequality.
  • For instance, in Karnataka, approximately 5% of the workforce is directly employed in business services, including IT/ITeS, contributing around one-third of the state’s gross value added.
  • According to a recent NBER paper titled ‘Growing like India: Unequal effects of service-led growth’, productivity growth in services was an important driver of rising living standards in the country between 1987 and 2011. 
  • However, the welfare gains were heavily skewed in favor of the high-income urban population.

Way Forward 

• Reforms Needed in Draft New Industrial Policy 2023:
• • Development Finance Institution (DFI): It should create a DFI using India’s forex reserves to provide low-cost finance, and a technology fund to incentivize companies in advanced technology areas. 
  • One Nation-One Standard: It should ensure the availability of quality products, promote start-ups across rural and urban areas, and push for innovation at urban local bodies.
  • Mega Clusters: It also included a plan to develop mega clusters to integrate with global supply chains and to help small businesses access corporate bond markets. 
  • Policy for Tackling Current Global Dynamics:  Dealing with climate change, green energy commitments and the West’s China-plus-one strategy.
  • Universal Enterprise ID for micro, small and medium enterprises (MSMEs):  This will strengthen their credit rating mechanism and MSME cluster financing models.

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• Surplus Agriculture Labour:  An expanding manufacturing sector may absorb much of the surplus labour from agriculture and other “subsistence” sectors.
• • Hence focus should be on the development of labour labor-intensive manufacturing sectors such as Textile and Apparel and Shoe Manufacturing.
  • As per the National Sample Survey Office’s Periodic Labour Force Survey report for 2022-23 (July-June), the current farm sector’s share in the country’s employed labour force increased to 45.8% share. 

To read more about PLFS Report, refer: Periodic Labour Force Survey (PLFS) Annual Report 2022,  here.

• Tax Incentives: The concessional tax rate of 17% is available only to those manufacturing companies which will commence before March 2024. 
  • Given the required thrust on manufacturing, NIP’23 should extend the date by a 2-3-year period.
• Extension of PLI Scheme to other sectors: NIP’23 should identify sectors for the extension of PLI, considering the China + 1 opportunity.
  • With the world’s excessive reliance on China for manufactured exports, it is probable that global economies will opt for diversification in their imports of services rather than depending on a single country like India.
  • The government implemented the production-linked incentive (PLI) scheme to incentivise domestic production in strategic growth sectors where India has comparative advantage. 
• Balancing Manufacturing as well as Services Sector: Investment in the manufacturing sector and government support will help in providing jobs to unskilled and semiskilled workers  as most mass manufacturing jobs do not require higher levels of education.
  • Since, the services sector needs supply of skilled and trained manpower, which has been a longstanding challenge for India, including the IT industry. 

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• • This issue is less critical in manufacturing, where on-the-job training holds greater importance.
  • Uttar Pradesh (UP) and Bihar, constituting nearly 30% of India’s population, rank as the weakest states in terms of education quality. 
• Intervention for unskilled and low-skill sector: India needs policy intervention that can push production and exports in sectors such as textiles, leather, and footwear on the lines of Bangladesh.

Conclusion:

The Union Commerce Ministry has shared a draft for a new Industrial Policy called “Make in India for the World,” set to replace the 1991 policy. This policy aims to address industry challenges, promote innovation, and create a competitive industrial environment in the country.

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Context: This article is based on the news “Centre, Assam sign peace pact with ULFA faction” which was published in the Hindu. Recently, the Union Ministry of Home Affairs (MHA), the Assam government and the pro-talks faction of the United Liberation Front of Asom (ULFA) signed a memorandum of settlement.

ULFA Peace Accord: History of its 44-year-long Insurgency, Peace Talks

• Surrender by ULFA: ULFA cadres have agreed to surrender arms and ammunition, vacate their camps, join the mainstream society and engage in the peaceful democratic process established by law.
• Monitoring Fulfillment of Demands: A time-bound programme would be made by the MHA to fulfill the demands of the ULFA and a committee would also be formed for its monitoring.
• Fruitful Negotiations: Over the years, several rounds of negotiations were held with the ULFA which had culminated in the peace agreement.

About ULFA

• Genesis: It emerged from the All Assam Students Union anti-immigrant agitation that began in 1979 demanding a sovereign State for the Assamese people.  
  • A group of radical thinkers, led by Bhimakanta Buragohain, Arabinda Rajkhowa, Anup Chetia, Pradip Gogoi, Bhadreshwar Gohain and Paresh Baruah were the main leaders.
• Objectives of ULFA: The founders of ULFA wanted to establish a sovereign Assamese nation through an armed struggle against the Indian state. 
• Approach: During the initial years, ULFA projected itself to be a group to help needy people. Later, it began an armed struggle against the Indian government. They followed a violent approach marked with kidnappings and extortion, executions and bomb blasts. 
  • When the insurgent group was at its peak in 1990, ULFA considered itself to be an extension of the government itself. 
  • Insurgency: An insurgency is a violent attempt to oppose a country’s government carried out by citizens of that country.
• Government Response: In 1990, the Centre launched Operation Bajrang to tackle growing violence leading to the arrest of over 1,200 ULFA insurgents. 
  • Assam was declared a ‘disturbed area’, President’s rule was imposed, and the Armed Forces Special Powers Act (AFSPA) was invoked.

Reason for Rise of ULFA

• Strong Sense of Identity: The Assamese community possesses a distinctive culture and language, fostering a strong sense of identity. 
• Influx of Migrants: Migrant influx in the 19th century driven by the region’s booming tea, coal, and oil industries led to a growing sense of insecurity among the indigenous population.
• India’s Partition: Sense of insecurity was further exacerbated by the Partition of India in 1947, and the subsequent exodus of refugees into the state from the erstwhile-East Pakistan.
• Bangladesh Liberation War: Further, several Bengali speaking people crossed over to India post 1971 Bangladesh Liberation War.
• External Support: There were allegations of external support, with claims that ULFA received training and assistance from foreign entities sympathetic to their cause. 
  • Training by ISI:  ISI had provided training to the ULFA militants, especially in terrorist tactics, counter intelligence, disinformation and use of weapons.
  • Issue of Illegal Passport: Paresh Baruah and a few others were issued passports by Pakistan for their visit to Singapore, Thailand and other countries. 
  • Use of Religious Institutions: Several madrassas/mosques sponsored by the ISI in the Sylhet and Cox’s Bazar areas were being utilised to procure arms from Thailand and Myanmar by ULFA. 

• Political Factors: The AGP(Asom Gana Parishad) government reported to have remained a passive onlooker in the face of the growing ULFA terrorism. They had political compulsion and saw ULFA as their second line of defence.
  • The signing of the 1985 Assam Accord and the AGP’s electoral victory were intertwined with each other. Many ULFA leaders had connections with AGP ministers from the agitation days which led to increase in ULFA’s influence on the state administration. Despite awareness, the Chief Minister took no action to curb ULFA activities.

Path Towards Peace

• 2005: ULFA formed an 11-member ‘People’s Consultative Group’ (PCG) comprising noted intellectuals. The committee mediated three rounds of talks before the ULFA walked out of the discussions and unleashed a new wave of terror.
• 2008: Some ULFA commanders like Arabinda Rajkhowa again strive for peace talks with the government. However, Paresh Baruah was opposed to talks and was expelled from Rajkhowa outfit, paving the way for the major split in ULFA. 
  • While Baruah floated his own ULFA (Independent), the majority of the outfit joined the peace talks under Rajkhowa.
• 2012: The pro-talks faction submitted a 12-point charter of demands to the central government, which was finally responded to in 2023. 
  • 12-point charter of demands spanning constitutional, political, financial, and cultural concerns. 
  • These demands included safeguarding Assam’s indigenous population, addressing missing ULFA members, providing amnesty and rehabilitation and preserving indigenous culture. 
  • They also sought the ability to foster specific foreign relationships for trade, commerce, and cultural bonds.
• 2023: Peace Accord: A round of discussions between Rajkhowa’s faction and the Centre was followed, culminating in the tripartite peace agreement. 
  • The key points of the peace accord were that 97 out of 126 Assembly seats in Assam would be reserved for indigenous people and the future delimitation exercise would follow this principle. 
  • ₹1.5 lakh crore investment had been pledged in the peace accord and constitutional safeguards would be ensured by protecting land rights and putting restrictions on migration from one constituency to another.

Significance of Agreement with ULFA

• Ensuring Peace Assam: The Home Ministry has taken a significant initiative to engage in negotiations with the ULFA, aiming to achieve resolution and closure. This agreement holds the promise of fulfilling the long-standing aspirations of the people. 
  • Since the inception of the Assam agitation in 1979, around 10,000 lives have been lost, and all those who perished were citizens of the country. 
• Violent Groups Surrendered: As more than 9000 cadres have surrendered on record, the Armed Forces Special Powers Act (AFSPA) has been lifted from 85% of Assam. 
• Triumph of Democratic Process: ULFA has also agreed to engage in the peaceful democratic process established by law and maintain the integrity of the country.
  • For instance, the key points of the peace accord were that 97 out of 126 Assembly seats in Assam would be reserved for indigenous people and the future delimitation exercise would follow this principle. 
• Progress and Development: Government of India has agreed to provide a huge package and several big projects for all round development of Assam. 
  • For instance, ₹1.5 lakh crore investment had been pledged in the peace accord. 
• Political Will and Implementation: This agreement marks a significant milestone in the vision of an insurgency-free Northeast.
  • Further, a time-bound program will be made by the MHA to fulfill the demands of ULFA. 

Challenges Still Remain

• An Incomplete Peace: The other faction known as ULFA-I led by Paresh Baruah, has not joined the peace process. ULFA-I has support of 100 cadres.
  • For instance, ULFA-I triggered a blast near an arm installation in Assam’s Tinsukia district in November 2023, where the AFSPA is still in force.
• Cross- Border Existence: ULFA has survived in some part due to help from outside India. It still has camps in Myanmar, and previously had camps in both Bangladesh and Bhutan. 
  • These camps act as launchpads for cross border operations as well as shelter. Insurgents also use them as training bases for new recruits. 
• Supporting Links: ULFA has links to other insurgent outfits in the Northeast and Myanmar, as well as Islamic terror outfits like Harkat-ul-Jihad-e-Islami, and Al-Qaeda.
  • It also has links to Pakistan’s Inter Services Intelligence (ISI) which has reportedly trained ULFA insurgents in the past.

Way Forward

• Fulfill Promise: Government needs to actively work towards fulfilling the promises made during the peace agreement, addressing the concerns and aspirations of the ULFA and the affected communities.
• Complete Peace Process: Ensure a comprehensive and thorough peace process that goes beyond a mere agreement, fostering an environment of trust and reconciliation.
  • Further, addressing the issue of incomplete peace process associated with ULFA(I) is the need of the hour.
• Complete Integration and Assimilation: Facilitate the integration and assimilation of former ULFA members into mainstream society, involving rehabilitation programs, vocational training, and support for their social and economic integration.
• Ensure Continued Monitoring: Establish a robust mechanism for continued monitoring of the peace agreement’s implementation ensuring that all parties adhere to their commitments.
• Neutralising ULFA-1: ULFA-1, led by Prakash Barua, should be neutralized through collaboration with the Myanmar government. Diplomatic channels must be leveraged to counter any support provided to ULFA-1 by China.

Must Read: GoI and Manipur Government Signs Peace Agreement With UNLF

Conclusion:

The recent peace accord between the Centre, Assam, and ULFA is a positive development for Northeast peace. However, challenges persist with the non-participating ULFA-I and cross-border issues. Sustained commitment and diplomatic efforts are essential for ensuring lasting stability in the region.

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