Kurukshetra Summary : January 2024

Chapter 1. Redefining Rural Landscapes: Startups Paving the Way for Inclusive Development

• India is the 3rd largest startup ecosystem globally with over 1 lakh registered startups (DPIIT data).
• Startup culture is expanding beyond urban hubs, contributing to decentralisation and inclusivity where startups are leveraging technology to bridge the rural-urban divide.

Government Schemes for Rural Startups:

• Atal Community Innovation Centres (ACIC): Launched under the Atal Innovation Mission (AIM) in 2020, it aims to create community innovation centres for rural entrepreneurs. 14 ACICs established till now, supporting 200+ community-based startups.
• Startup Village Entrepreneurship Programme (SVEP): Implemented by the Ministry of Rural Development, it is a sub-scheme under DAY-NRLM to support the rural people to set up enterprises at the village level in non-agricultural sectors.
• Skill India Mission: Implemented by the Ministry of Skill Development and Entrepreneurship, it aims to skill development through various schemes like Pradhan Mantri Kaushal Vikas Yojana (PMKVY) and National Apprenticeship Promotion Scheme (NAPS). 70.5% of PMKVY 2.0 beneficiaries have received placement after the programme.
• ASPIRE (Scheme by Ministry of MSME): It aims to provide training and incubation support to agro-rural entrepreneurs through Livelihood Business Incubators (LBIs). 61 Livelihood Business Incubators (LBIs) are functional in the country training more than 50,000 people.

Rural Startup Landscape:

• Over 65% of the total population in India resides in rural areas, presenting a significant market. 
• Role of Digitization: India has one of the cheapest data rates globally. Internet penetration and data accessibility are driving growth in startups catering to rural needs.
• Rural India presents a large market for startups, especially in sectors like agritech, food processing, ed-tech, skill development, e-commerce, health tech, renewable energy, handicrafts and traditional arts, and fintech.

Types of Rural Startups:

• Urban-based founders with rural solutions: Entrepreneurs from urban areas addressing unique challenges faced by rural communities. It involves bridging the gap between urban and rural lifestyles by introducing technology-driven initiatives in agriculture, healthcare, education, etc. 
• Rural-based founders with rural solutions: Develop solutions based on their firsthand knowledge of local needs and traditions, like agricultural innovations or craft preservation.
• Self-Help Groups (SHGs): Collective community enterprises focused on income generation and development through activities like handicrafts or micro-enterprises.
• Micro, Small, and Medium Enterprises (MSMEs): Local enterprises catering to specific demands of rural markets and contributing to employment and economic growth.

Challenges for Rural Startups:

• Connectivity Issues: Limited connectivity with urban suppliers impacting operational efficiency due to delays, increased costs, and logistical complexities.
• Access to Financing: Difficulty in securing reliable and affordable financing for rural startups.
• Lack of Support System: Absence of mentorship, networking opportunities, and incubation centres hindering growth.
• Difficulty in Finding Early Adopters: Limited communication channels, lower income and lower digital penetration pose challenges in identifying early adopters.
• Limited Funding Mechanism: Funding for startups is concentrated mainly in major urban centres, leaving rural startups with limited access to capital.

Conclusion:

• The migration of startups from rural to urban areas is inevitable but establishing an enabling innovation ecosystem in rural areas is crucial.
• Fostering an environment supporting the growth of startups, particularly in rural areas, is imperative for achieving the USD 10 Trillion milestone by 2030.

Chapter 2. Reform, Perform & Transform through Agri-Startups

• India has been ranked the third-largest unicorn hub globally, with a total of 90 unicorns, behind the United States of America and China.
• Agriculture contributes around 18% to India’s GDP and 55% of the population relies directly on agriculture for their livelihood.
• The agricultural sector has witnessed steady growth in recent years, and the rise of startups has prompted young entrepreneurs to leave traditional roles to establish their own ventures.
• Technologies like hybrid seeds, Artificial Intelligence, geo-tagging, big data analytics, mobile apps, and farm management can be applied at every stage of the agricultural process to enhance productivity and increase farm incomes.

Government Reforms Facilitating Startups:

• Make in India (2014): It aims to position India as a global design and manufacturing hub. Startup India (2016): 19-point action plan to boost innovation, funding support, and industry-academia partnerships. It has led to a notable increase in the establishment of new companies showcasing innovative ideas across various sectors.
• Atal Innovation Mission (AIM): It has been catalysing the development of innovation hubs, addressing grand challenges, nurturing startups, and promoting self-employment in technology-driven sectors.
• NewGen Innovation and Entrepreneurship Development Centre (NewGen IEDC): It promotes knowledge-based and technology-driven startups by supporting up to 20 new projects annually within educational institutions by providing one-time financial aid of Rs. 25 lakh.
• Innovation & Agri-Entrepreneurship Program (2018-19): It aims to increase farmers’ income by promoting innovation.

Rising Proliferation of Agri-Startups

• Over the past few years, a wave of agritech startups has surfaced in India, aiming to resolve issues such as marketing linkage, supply chain, use of outdated equipment, insufficient infrastructure, and limited access to diverse markets for farmers.

Ecosystem Supporting Agri-Tech Startups:

• Incubators/Accelerators: a-IDEA, AGRI UDAAN, Centre for Innovation, Incubation and Entrepreneurship (CIIE), International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) and Agri-Tech Startup Accelerator are a few important accelerators and incubators supporting the agri-tech sector in India.
• Government Support in Union Budget 2023: Increased allocations for rural infrastructure, development of agriculture, and allied sectors. Integration of rural markets with e-Nam and broadening Minimum Support Price for comprehensive coverage of agricultural commodities.
• Agri-Startups Impacting Supply Chain and Market Linkage: Addressing challenges in India’s supply-driven agriculture. Companies like Sabziwala, MeraKisan, and Dehaat successfully aggregated horticulture products.

Conclusion:

• The Indian Government, through initiatives like “Startup India,” actively supports the vibrant startup ecosystem, particularly in the agriculture sector. 
• Agri-tech startups are integrating technology to transform market linkages and supply chains, contributing to the overall growth and sustainability of the agricultural sector. 
• The comprehensive network of institutions is vital for converting agri-startup intentions into profitable enterprises.

Chapter 3. Redefining the Food Processing Sector through Startups

• The food processing sector acts as a vital link between agriculture and industries, reducing wastage and ensuring value addition. This diversification and commercialisation of agriculture generates incremental employment and income for farmers. 
• It’s one of the fastest growing sectors in India, having grown at 10.3% from 2015–16 to 2020–21, compared to the overall manufacturing sector’s 5.1% growth.

Startups: Sunrise and Inclusive Growth

• The food processing sector is a “sunrise sector” in India with tremendous entrepreneurial potential. Startups can play a crucial role in driving innovation and revitalizing supply chains.
• Role of Women: Women entrepreneurs make up a significant portion of the food processing sector. According to the Ministry of Food Processing Industries’ Annual Report (2022–23), 25% of workers in the unincorporated non-agricultural enterprises of the sector are women.
• Initiatives like the Self-Reliant Fund for Micro, Small and Medium Enterprises (MSMEs) have provided equity support to growth-oriented startups. 

Meeting Challenges through Focused Attention:

• Startups in India face major challenges related to Availability, Accessibility, Affordability, and Awareness (the 4 “A”s).

Government initiatives:

• Make in India: Food processing is a priority sector under this initiative.
• Various schemes: Pradhan Mantri Kisan Sampada Yojana, Formalisation of Micro Processing Enterprises, Production Linked Incentive Scheme, Agri-Infra Fund, etc., all promote the food processing sector.

• Foreign Direct Investment: 100% FDI under automatic route is allowed. The sector has attracted Rs. 50,000 crore of FDI in the last nine years.

Promoting Startups:

• Fund of Funds scheme: Providing capital for early, seed, and growth stages of startups.
• Credit guarantee scheme for loans taken by startups.
• Fast-tracked patent applications and disposal for startups.
• Tax benefits and extended incorporation periods to bolster resilience.
• Agriculture Accelerator Fund: Encouraging agri-startups by young rural entrepreneurs.
• Government agencies like the Agricultural and Processed Food Products Export Development Authority (APEDA) facilitate exports and collaborations with other countries. The share of processed foods in exports has risen from 13% in 2014 to 23% in 2023.

Conclusion:

• Technological advancements and changing consumer preferences could drive the growth of startups in the food processing sector.
• Startups across the value chain have the potential and dynamism to bring transformational changes in the economy.

Chapter 4. Startups as the Engine of Growth for North-East India

Overview of India’s Startup Landscape:

• India’s startup ecosystem has witnessed remarkable growth, emerging as the third-largest globally with over 1.12 lakh startups across 763 districts.
• The startup movement is crucial for capitalizing on new opportunities, creating wealth, and generating jobs, especially considering the demographic dividends.

Transformation in Entrepreneurship:

• The last decade has seen a surge in entrepreneurship in India, driven by innovative solutions and technology.
• Policy reforms have played a pivotal role, fostering a shift from a job-seeking mindset to a culture of job creators.

Startups and India’s Economic Ambitions:

• Startups are integral to India’s ambition to become the third-largest economy globally.
• The ecosystem has expanded beyond traditional hubs, with 49% of startups emerging from Tier 2 & 3 cities.

Diversity in Startups and Sectors:

• Startups in India are solving problems across 56 sectors, showcasing diversity beyond the conventional IT services.
• Cities like Hyderabad, Pune, and Chennai have become startup hubs, with entrepreneurs from smaller towns contributing scalable opportunities.

Startups in North-East India:

• The entrepreneurial ecosystem in North-East India is evolving, albeit not at the same pace as metropolitan areas.
• Each state in the region has implemented its startup policies, with Assam and Manipur leading the startup ecosystems.

Sectors Dominating North-Eastern Startups:

• Startups in North-East India primarily focus on sectors such as agriculture, handloom, textiles, tourism, IT & ITES, retail, health, education, waste management, and renewables.
• Agriculture and allied activities hold the majority, followed by ITES, handloom & textiles, and education.

Challenges Faced by North-Eastern Startups:

• Common challenges include limited access to funding, lack of skilled manpower, limited mentorship support, and the need for professional services.
• The region faces unique challenges compared to more mature startup ecosystems in metropolitan areas.

Incubators and Funding Initiatives:

• The North-East region has around thirty incubators, with 80% hosted in academic institutions.
• While there are funds like the North-East Venture Fund (NEVF), a small percentage of startups are fit for accessing venture capital funding.

Challenges in Scalability and Innovation:

• A significant number of startups in North-East India are ‘me-too’ ventures, posing challenges for scalability.
• Mentorship and technical guidance are identified gaps in the ecosystem, hindering the growth of innovative startups.

Possible Way Ahead for North-East Startups:

• Emphasis on integrating design thinking, creative capacity building, and collaborative problem-solving for startups.
• Structured support needed for funding, documentation, and creating a vibrant and inclusive community of entrepreneurs.

Empowering North-East Startups:

• Building a wide pipeline of innovative, entrepreneurially skilled youth is crucial.
• Evolving outcome-oriented sustainable incubation modes that support competitive businesses, even without venture funding.

Integration and Collaboration:

• Building leaders of incubators, expert mentors, consultants, lawyers, accountants, and technical experts.
• Integrating information, infrastructure, and funding efforts across government agencies, private incubators, and funding institutions.

Leveraging ‘Aatmanirbharta’ for Growth:

• Capitalizing on the Government of India’s focus on ‘Aatmanirbharta’ (self-reliance) is essential for startups in North-East India.
• The ‘Aatmanirbhar Bharat’ initiative aligns with the spirit of innovation and entrepreneurship, offering opportunities for startups.

Global Opportunities for Indian Startups:

• India’s economic growth, technological advancements, and youthful workforce create a promising backdrop for startups.
• International collaboration and focus on sustainability align with global SDG priorities, offering opportunities for Indian startups.

North-East India as a Gateway:

• North East India’s Act East Policy positions it as a gateway to Southeast Asia, providing startups with a strategic platform for success.

Conclusion:

• The evolving startup ecosystem in North-East India holds significant potential for growth and innovation.
• Addressing challenges, fostering mentorship, and leveraging government initiatives can empower startups to contribute to the region’s economic development.

Chapter 5. Supporting Women-led Startups

• The Indian startup ecosystem is growing rapidly, with increasing participation of women entrepreneurs. 
• The number of women-led startups has increased from 6,000 in 2017 to 80,000 in 2022 (a 1233% increase).
•  The share of VC funding to women-led startups increased from 11% in 2017 to 20% in 2022. 
• Women-led companies have performed 63% better than male-led companies in terms of Return On Investment in the last decade. 
• Out of 105 startups turned unicorns in 2022, 17% were women-led startups.

Government Initiatives to Promote Women Entrepreneurship:

• Fund of Funds for Startups scheme: 10% of the funds in the Fund of Funds for Startups scheme is reserved for women-led startups.
• Virtual Incubation Programme for Women Entrepreneurs: Supported 20 women-led tech startups with pro-bono acceleration.
• Webpage Dedicated to Women Entrepreneurs: Provides policy measures by Central and State Governments.
• Awareness and Capacity-Building Workshops: Various workshops focusing on women entrepreneurs’ needs.
• WING (Women in India’s Startup Ecosystem): Aims to support 7,500 women entrepreneurs annually through capacity development.

Challenges to Women-led startups

• Women-owned startups face challenges in accessing credit due to collateral, creditworthiness, and perceptional biases.

Government Schemes for Supporting Women-led Startups:

• Mudra Yojana for Women/Mahila Udhyami Yojana: Offers loans up to Rs 10 lakh without collateral for women entrepreneurs in non-corporate, non-farming, and non-agriculture-based businesses headed by women entrepreneurs.
• Stand-Up India (SUI) Scheme: Facilitates bank loans between Rs. 10 lakh and Rs. 1 crore to at least one Scheduled Caste (SC) or Scheduled Tribe (ST) borrower and at least one woman borrower per bank branch for greenfield enterprises.
• Special Schemes for Rural/Disadvantaged Women: This includes Skill Upgradation and Mahila Coir Yojana training programs aimed at the skill development of women artisans engaged in the coir industry.
• Mahila Samridhi Yojana: A microfinance scheme for women from backward classes by the National Scheduled Castes Finance and Development Corporation (NSFDC) under the Ministry of Social Justice.
• Women Entrepreneurship Platform (WEP): Hosts information, workshops, and campaigns for women entrepreneurs.
• Nai Roshni Scheme: A leadership development program for women belonging to minority communities. 
• Special Schemes of Public Sector Banks: Concessional financing options for women entrepreneurs. Examples include the State Bank of India (Stree Shakti Scheme), Punjab National Bank (PNB Mahila Udyami), and Central Bank of India (Cent Kalyani).

Way Forward:

• According to the NITI Aayog report ‘Decoding Government Support to Women Entrepreneurs in India,’ the economic contribution of women in India accounts for 17% of the GDP. 
• There is a need for more effective implementation of schemes to benefit female entrepreneurs and ensure equal access to all entrepreneurship support schemes. 
• Additionally, there is a need for non-financial support such as technology upgrades and skill training, as well as more schemes supporting entrepreneurship in the digital economy. 
• Women-owned enterprises can bring about demographic shifts and inspire future generations.

Recently, the Ministry of Finance released a report titled “Indian Economy – A Review” as Economic Survey was not be released at this time.

The report ‘Indian Economy – A Review’ gives the top highlights in the Indian economy from the past 10 years.

• ES – A comprehensive annual report which displays the performance of the Indian economy in the past fiscal year.
• Prepared by – Department of Economic Affairs, ministry of Finance.
• Presented in – Parliament, normally on 31^st January, a day before the presentation of the Budget.

The 1^st Economic Survey of India was presented in 1950-51 as a part of the Union Budget. However, since 1964, it has been decoupled from the Budget presentation.

• ES in 2024 – Since the Lok Sabha elections are due in April, only interim budget will be presented before it.
• Thus, a complete budget and the Economic Survey will be presented only in July 2024, after the results are declared.
• Presented by – The Chief Economic Advisor (CEA).
• Features – It summarises the performance of government’s initiatives and provides an outlook of the prospects of the Indian economy in the short to medium term.
  • Part A – Major economic developments in the year as well as a broad review of the economy.
  • Part B – It covers specific topics such as social security, poverty, education, healthcare and human development.
• Importance – It helps the government in analysing the performance of various sectors, identifying the major impediments to economic growth and in formulating economic strategies for the coming year.

Why in news?

• On the eve of Parliament’s Budget Session, the suspension of 14 Opposition MPs — 11 from Rajya Sabha and three from Lok Sabha — was revoked.
• This was done to enable them to attend the customary President’s address to both Houses of Parliament.

What’s in today’s article?

• Parliamentary Sessions
• Suspension of MPs
• News Summary

Parliamentary Sessions

• Constitutional provisions with respect to Parliamentary Sessions
  • Article 85 of the Indian Constitution states that the President can summon each House of Parliament to meet at a time and place of their choosing.
  • The President can also prorogue, or end, a parliamentary session, or dissolve the Lok Sabha.
• Power to convene a session of Parliament
  • The Central government has the authority to call for a session.
  • The Cabinet Committee on Parliamentary Affairs (CCPA), which includes several Cabinet ministers, determines the date and number of sittings.
  • After finalising the session schedule, the President calls upon the Members of Parliament to convene for the upcoming session.
  • The MPs are informed about the number of sittings and other details about the tentative business of the House through the summons sent by the President.
• Timetable
  • The Constitution doesn’t provide for a fixed number of sessions or days of sitting.
  • However, three sessions are typically held each calendar year — the Budget, Monsoon, and Winter sessions.
• Current status
  • The longest, the Budget Session, starts towards the end of January, and concludes by the end of April or first week of May.
    • This session has a recess so that Parliamentary Committees can discuss the budgetary proposals.
  • The second session is the three-week Monsoon Session, which usually begins in July and finishes in August.
  • The parliamentary year ends with a three week-long Winter Session, which is held from November to December.

Suspension of MPs

• It is the role and duty of the Presiding Officer — Speaker of Lok Sabha and Chairman of Rajya Sabha — to maintain order so that the House can function smoothly.
• In order to ensure that proceedings are conducted in the proper manner, the Speaker/ Chairman is empowered to force a Member to withdraw from the House.

Rules under which the Presiding Officer/Chairman acts

• For Lok Sabha
  • Rule Number 373 of the Rules of Procedure and Conduct of Business
    • It empowers presiding officers to direct an MP to withdraw from the House for any disorderly conduct.
    • This rule says that any Member so ordered to withdraw shall remain absent during the remainder of the day’s sitting.
  • Rules 374 and 374A– To deal with more recalcitrant Members.
    • Rule 374 empowers the Presiding officers to name the legislators if the MP continues disrupting the House even after repeated warnings.
    • After that, the House can move a motion to suspend the MP for a period not exceeding the remainder of the session
    • Rule 374A was incorporated in the Rule Book in December 2001.The intention was to circumvent the necessity of adopting a motion for suspension.
      • Under this rule, the Speaker can name an MP, who shall then automatically stand suspended for five days or the remaining part of the session.
• For Rajya Sabha
  • Rule 255 of the Rule Book of Rajya Sabha
    • It empowers the Chairman of Rajya Sabha to direct any Member to withdraw immediately from the House for any disorderly conduct.
  • Rule 256
    • This rule empowers the Chairman to name the members who persistently disregards the authority of the Chair or abuses the rules of the Council.
    • After that, the House may adopt a motion suspending the Member for a period not exceeding the remainder of the session.
  • It should be noted that, unlike Lok Sabha (under rule 374A), Rajya Sabha can not suspend its members without passing a motion for the same.

News Summary: Budget Session begins and suspension of Opposition MPs revoked

• The Budget session of Parliament, the last of the 17th Lok Sabha (LS), will begin with the President’s address to a joint sitting of both Houses on January 31.
• 14 Opposition MPs, suspended during the last session and their cases referred to the Privileges Committees, will return to attend the Budget session.
  • A record 146 Opposition MPs, from both the Lok Sabha and Rajya Sabha, were suspended during the Winter Session.
  • They were suspended for disrupting proceedings to press their demand for a statement from Home Minister on the Parliament security breach on December 13.
  • While the other MPs were suspended for the remainder of the Winter Session, the suspension of 14 MPs was referred to the Lok Sabha and Rajya Sabha privileges committees.
• The Chairs in the two Houses have agreed to the government’s request to revoke their suspensions.

Why in News?

• The Union Minister of Environment, Forest and Climate Change released the report on the Status of Snow Leopards in India during the National Board for Wildlife meeting held in New Delhi.
• The report was released as part of the Snow Leopard Population Assessment in India (SPAI) Program, which is the first-ever scientific exercise that reports Snow leopard population of 718 individuals in India.

What’s in Today’s Article?

• About the Snow Leopard
• What is the Snow Leopard Population Assessment in India (SPAI) Program?
• Findings of the SPAI Program
• Significance of the SPAI Program
• Recommendations of the SPAI Program 

About the Snow Leopard:

• The snow leopard is a Felidae (mammals in the order Carnivora) in the genus Panthera.
• It is listed as Vulnerable on the IUCN Red List and is native to the mountain ranges of Central and South Asia.
• Globally, snow leopards can be found in 12 countries covering a range of 18 lakh sq km with the largest share in the Tibetan plateau of China, followed by Mongolia and India.
  • Other countries include Russia, Afghanistan, Pakistan, Nepal, Bhutan, Kazakhstan, Tajikistan and Uzbekistan.
• In India, snow leopards can be largely found in the high altitude cold, arid and rugged terrains of Jammu & Kashmir, Himachal Pradesh, Uttarakhand, Sikkim and Arunachal Pradesh.
• Snow leopards play a key role as a top predator, an indicator of the health of their high-altitude habitat, and an important indicator of the impacts of climate change on mountain environments.
• If snow leopards thrive, so will countless other species and the largest freshwater reservoirs of the planet.
• However, poaching, habitat loss, declines in natural prey species and retaliatory killings resulting from human-wildlife conflict are the main reasons this big cat is under threat.
• According to the Global Snow Leopard & Ecosystem Protection Programme, the total snow leopard population in the world is roughly estimated at between 4,000 and 6,500. 

What is the Snow Leopard Population Assessment in India (SPAI) Program?

• The Wildlife Institute of India (WII) is the National Coordinator for this exercise that was carried out with the support of all snow leopard range states and two conservation partners, the Nature Conservation Foundation, Mysuru and WWF-India.
• The SPAI systematically covered over 70% of the potential snow leopard range in the country and the SPAI exercise was conducted from 2019 to 2023 using a meticulous two-step framework.
  • The first step involved evaluating Snow leopard spatial distribution, through an occupancy-based sampling approach in the potential distribution range.
  • In the second step, Snow leopard abundance was estimated using camera traps in each identified stratified region.

Findings of the SPAI Program:

• India has an estimated 718 snow leopards in the wild, which are spread over two UTs and four states in the Himalayan Mountain range.
  • India may be home to one-sixth to one-ninth of the global population of these ‘Ghosts of the Mountains‘ as these majestic animals are often called because of their incredible natural camouflage.
• The estimated population in different states are as follows: Ladakh (477), Uttarakhand (124), Himachal Pradesh (51), Arunachal Pradesh (36), Sikkim (21), and Jammu and Kashmir (9).

Significance of the SPAI Program:

• Consistent monitoring is essential to ensuring Snow leopards’ long-term survival.
• Until recent years, the snow leopard range in India was undefined due to a lack of extensive nationwide assessments for this vulnerable species.
• Recent status surveys have significantly increased understanding, providing preliminary information for 80% of the range, compared to 56% in a previous estimate of 2016.
• The data not only quantifies their numbers but unveils the narrative of coexistence between local communities and snow leopards.
• These regular assessments will offer valuable insights for identifying challenges, addressing threats, and formulating effective conservation strategies.

Recommendations of the SPAI Program:

• It mentions the need for establishing a dedicated Snow Leopard Cell at WII, with a primary focus on
  • Long-term population monitoring,
  • Supported by well-structured study designs and consistent field surveys.
• States and UTs can consider adopting a periodic population estimation approach (every 4th year) in the Snow leopard range.

Why in the News?

• According to a Transparency International report, India ranked 93 out of 180 countries on the Corruption Perceptions Index for 2023.

What’s in Today’s Article?

• Corruption Perception Index (Objective, Scoring Method, Significance, etc.)
• Corruption Perception Index 2023 (Rankings of the Countries)

Corruption Perception Index:

• The Corruption Perceptions Index (CPI) is an index which ranks countries “by their perceived levels of public sector corruption, as determined by expert assessments and opinion surveys.”
• The CPI generally defines corruption as an “abuse of entrusted power for private gain”.
• It is the most widely used global corruption ranking in the world.
• It measures how corrupt each country’s public sector is perceived to be, according to experts and business people.
• The index is published annually by the non-governmental organisation Transparency International since 1995.

How are Country Scores Calculated?

• Each country’s score is a combination of at least 3 data sources drawn from 13 different corruption surveys and assessments.
• These data sources are collected by a variety of reputable institutions, including the World Bank and the World Economic Forum.
• The CPI measures perception of corruption due to the difficulty of measuring absolute levels of corruption.
• A country’s score is the perceived level of public sector corruption on a scale of 0-100, where 0 means highly corrupt and 100 means very clean.

Significance of the CPI Rankings:

• The CPI is the leading measurement for public sector corruption worldwide.
• Because it combines many different manifestations of corruption into one globally comparable indicator, it provides a more comprehensive picture of the situation in a particular country than each source taken separately.
• The process for calculating the CPI is regularly reviewed to make sure it is as robust and coherent as possible.

Corruption Perception Index 2023:

• The 2023 Corruption Perceptions Index shows that corruption is thriving across the world.
• Over two-thirds of countries score below 50 out of 100, which strongly indicates that they have serious corruption problems. 
• The global average is stuck at only 43, while the vast majority of countries have made no progress or declined in the last decade. 23 countries fell to their lowest scores to date this year.
• Denmark (90), Finland (87)&New Zealand (85) are ranked top 3 countries in the rankings, respectively.
• Every region is either stagnant in its overall corruption efforts or showing signs of decline.
  • While Western Europe and the European Union remains the top-scoring region, its regional average score dropped to 65 this year.
  • Sub-Saharan Africa maintains the lowest average at 33, with democracy and the rule of law under pressure.
  • The rest of the world remains stagnant with all other regions having averages under 50.
• In 2023, India’s overall score was 39 which puts it at 93^rd position out of 180 countries. India’s rank in 2022 was 85.
  • As per the report, India’s score shows fluctuations small enough that no firm conclusions can be drawn on any significant change.
• In South Asia, both Pakistan (133) and Sri Lanka (115) grapple with their respective debt burdens and ensuing political instability, it said.
• China (76) has made headlines with its aggressive anti-corruption crackdown by punishing more than 3.7 million public officials for corruption over the last decade.

Yojana Summary : January 2024

Chapter 1 : The Jan Vishwas (Amendment of Provisions) Act, 2023 Conception and Development

• The ministries in the Centre and the States/UTs have been trying to reduce the compliance burden on businesses and citizens. It can be reduced by decriminalising minor offences.
• In this regard, the idea of a common amendment bill to unify decriminalisation efforts across sectors, saving time for both the judiciary and the legislative department, was put forward by the Hon’ble Prime Minister of India.
• The Jan Vishwas Act, 2023 was initiated to
  • simplify legal processes,
  • reduce compliance burden, and
  • foster a more business-friendly environment.
• It prioritised a balanced legal framework to replace non-harmful and minor criminal offences with administrative actions and civil penalties respectively.
• The coordination across 19 Union Ministries for the Jan Vishwas Act required meticulous planning and clear communication channels. Regular consultations, inter-ministerial meetings, and a shared commitment to regulatory reforms were key to effective coordination. Challenges were addressed through extensive briefings, informal communication channels, and proactive approaches to swiftly resolve concerns, maintaining overall momentum.
• Stakeholder engagement during the formulation of the Jan Vishwas Act involved consultations at the ministry level and comprehensive efforts with industry associations. Regular communication channels were established to understand specific challenges faced by different industries, ensuring a balanced and practical approach. This highlights the government’s commitment towards ease of doing business.
• The Act addressed provisions across 42 Acts administered by 19 ministries, presenting challenges in managing such a comprehensive legislative overhaul. Common directions, a committee, and extensive legal vetting played pivotal roles in ensuring consistency across amendments.
• Aligning the interests and objectives of various ministries was a major challenge during the Act’s development.
  • In this regard, the guidance of the PM and the Cabinet Secretary helped to align the respective amendments of different ministries by providing a common aim and vision.
  • Additionally, a committee comprising CEO NITI Aayog, the Department of Legal Affairs (DoLA), the Department for Promotion of Industry and Internal Trade (DPIIT), and the respective ministries and departments was formed to establish principles guiding the decriminalisation process.
• The Act addresses provisions ranging across 42 Acts administered by 19 ministries.
  • Common directions issued to all respective Ministries helped to address the complexities by setting a unified and cohesive approach.
  • In addition, a committee of representatives from CEO NITI Aayog, the Department of Legal Affairs, and the Department for Promotion of Industry and Internal Trade, helped set common principles serving as a guiding framework.
    • One such principle was to specifically target the general criminal provisions (provisions prescribing punishments for any contraventions applicable across the Act). The strategy was to identify serious contraventions for separate criminalisation while decriminalising minor provisions. For example, the general provision under the Environment Protection Act (Section 15) prescribed punishment for all contraventions under the Act with imprisonment of up to five years. It has been amended under the Jan Vishwas Act, 2023 to be replaced with specified ranges of penalty according to the gravity of offences. The amendments were legally vetted extensively.
  • Inter-ministerial consultations also helped in better collaboration.
• It also reduces the workload of an overburdened judiciary.
  • It achieves this by decriminalising (and replacing them with civil penalties or administrative actions) minor offences involving no harm to the public interest or national security.
  • Severe criminal consequences are no longer attached to minor technical, and procedural defaults.
  • The courts will no longer need to adjudicate upon majority cases originating from 183 provisions across 42 Acts after the implementation of the Jan Vishwas Act.
  • Some legislatures also introduced suitable adjudication mechanisms wherever applicable and feasible. In addition, appellate mechanisms have also been introduced as grievance redressal forums for dissatisfactions arising from decisions of adjudicating officers related to the penalty.

• Presenting the Jan Vishwas Act to the Joint Parliamentary Committee (JPC) involved a meticulous process of addressing considerations and challenges. Transparent communication, detailed presentations, and responsiveness to the committee’s concerns were crucial in accommodating recommendations, except for the retrospective effect, which was deemed not feasible.
  • The Jan Vishwas Act underwent a thorough review by the JPC, which made general recommendations, most of which were accepted by the ministries. Challenges included addressing the JPC’s recommendation on retrospective effect, which was carefully examined and deemed unfeasible.
• Principles and learnings from the Jan Vishwas Act can guide future efforts, such as Jan Vishwas 2.0. These include directions from higher authorities, recommendations from the JPC, and a multifaceted approach to decriminalisation. The Act’s success rested on collaborative efforts, transparency, and a commitment to incorporating valuable feedback into the legislative framework.

Chapter 2 : Trusting Citizens Decriminalisation Way

• The experience of drafting the Jan Vishwas (Amendment of Provisions) Bill, 2023 (Jan Vishwas Bill) was a unique and challenging endeavour for the Legislative Department of India.
• The Jan Vishwas Bill is part of the Indian Prime Minister’s broader vision to trust the people and implement measures aimed at easing living and doing business in the country.
  • It aligns with initiatives such as self-attestation of documents, the creation of a national judicial data grid, and various other reforms in goods and services tax, insolvency, and bankruptcy laws.
  • Notably, the Jan Vishwas law represents a significant shift by converting criminal punishments into monetary penalties, promoting trust-based governance.
• The drafting team faced several challenges in this unprecedented task. With no exact legislative precedents and a diverse range of subjects involved, the team had to navigate uncharted drafting territory.
  • Initially proposed to amend around 30 enactments, the bill ended up amending 42 Central Acts with 182 provisions, spanning pre- and post-independence Acts.
  • The drafting process required collaboration with 19 administrative ministries, vetting 42 draft notes for the Cabinet, and drafting an equal number of Amendment Bills.
• The urgency and timeliness of the task were evident, given the government’s policy agenda focused on the ‘Ease of Living’ and the ‘Ease of Doing Business.’ The decision to draft a single bill covering all amendments to different acts, rather than individual bills, streamlined the process and reduced the burden on the Cabinet.
• The primary objective of the Jan Vishwas Bill is to replace imprisonment with monetary penalties for minor offences, rationalise penalties based on offence gravity, and facilitate adjudication by authorities other than criminal courts.
  • A key innovation involves incorporating provisions for periodic revision of fines and penalties to match inflation, ensuring fairness and proportionality.
• The drafting team also had to address the need for a suitable saving clause, considering the repeal of provisions in various Acts. The clause aimed to ensure that actions taken under the repealed provisions would remain valid.
• The long and short titles of the bill were carefully crafted to reflect the Prime Minister’s vision of ‘decriminalising’ and ‘rationalising’ offences for the ‘Ease of Doing Business.’
• The Jan Vishwas Act, despite being an amending legislation, holds a permanent place in the statute book. Its unique features, including the conversion of imprisonments into monetary penalties and periodic revisions, contribute to its lasting significance. There may be more Jan Vishwas Acts in the future, indicating a potential paradigm shift in trust-based governance and legislative approaches in India.

Chapter 3 : Government e-Marketplace (GeM) Leading the Digital Wave

• Government e-Marketplace (GeM), established in August 2016, is a robust digital portal facilitating end-to-end procurement for Central and State Government departments, organisations, and public sector undertakings (PSUs).
• It provides a paperless, cashless, and contactless ecosystem for government buyers to directly purchase goods and services from sellers across India.
• GeM covers the entire procurement process, from vendor registration to receipt of goods and timely payments.
• The need for a digital solution in public procurement arose due to the challenges of an opaque, time-consuming, and corrupt system that was prone to cartelisation.
  • GeM was envisioned to replace manual processes, making public procurement more efficient, transparent, and inclusive. The platform aimed to establish a competitive marketplace for quality goods and services at reasonable rates.
• GeM’s genesis lies in transforming the public procurement ecosystem through a technologically advanced, digital-only platform. Digitalization has led to higher process efficiencies, improved transparency, reduced cycle times, and increased trust among bidders. The platform supports hassle-free digital transactions, empowering buyers and sellers nationwide.
• Despite challenges, GeM has witnessed significant year-on-year growth. In the first year, it recorded a Gross Merchandise Value (GMV) of ~INR 420 crore. In FY 21-22, transactions grew to INR 1 lakh crore, and in FY 22-23, an 88% growth was achieved, surpassing INR 2 lakh crore worth of GMV. GeM aims to breach the 3 lakh crore GMV mark in FY 23-24.
• Initially, the GeM platform developed a wide range of product categories. But, it rapidly expanded its portfolio to include a large variety of service offerings as well.
  • One of the shining lights in GeM’s success story is the order value in services, with exponential growth over the last 3 years. It witnessed 168% growth in FY 22-23 over the last year. It has received 4.8 lakh service orders valued at more than INR 2 lakh crore since its inception.
• GeM is a category-driven e-marketplace with over 11,600 product categories and 300+ service categories.
• GeM promotes Ease of Doing Business by connecting buyers, sellers, and service providers in a unified platform. The platform’s features include a dynamic goods and services platform, diverse buying modes, contract management, cashless payments, and a trust-based rating system.
• GeM has played a pivotal role in empowering sellers of diverse backgrounds, including MSMEs, startups, women entrepreneurs, artisans, and self-help groups. The platform ensures inclusivity, providing a level playing field in government tenders. GeM Sahay, a mobile application, addresses credit access challenges for MSMEs and startups, offering loans at the point of order acceptance.
• Looking ahead, GeM plans to revamp and upgrade its platform with advanced technologies, focusing on artificial intelligence, machine learning, augmented reality, and virtual reality.
  • The platform aims to enhance user experience, improve transparency, and promote inclusivity in public procurement processes.
  • GeM is committed to expanding its regional footprint, integrating government buyers from all tiers, and prioritising environmentally sustainable products and services to contribute to the country’s net-zero carbon emissions commitment.

Chapter 4 : Delicate Balance: Regulatory Enforcement & Favourable Business Environment

Overview of Jan Vishwas (Amendment of Provisions) Act, 2023:

• The Act marks a monumental shift in India’s regulatory landscape, decriminalizing 183 provisions across 42 Acts administered by 19 ministries.
• Aims to balance regulatory enforcement and create a business-friendly environment, reflecting a departure from conventional approaches.

Penalty Modification for Enhanced Deterrence:

• Substantial modification of penalties replaces imprisonment with higher fines/penalties for various offenses.
• Strategic shift focuses on effective deterrence against violations without disrupting business operations.

Industry’s Demand for Decriminalization:

• Long-standing industry demand for decriminalization to enhance the investment climate.
• Criminal cases against directors for minor operational offenses had created a deterrent effect and hindered businesses from realizing their full potential.

FICCI’s Principles of Decriminalization:

• Directors, especially independent directors, should not be held liable for operational non-compliance.
• Proposes no criminal liability for technical errors, only financial penalties.
• Advocates a graded penalty system for subsequent non-compliance.

Global Alignment in Regulatory Frameworks:

• Act aligns with global trends emphasizing financial consequences over custodial sentences.
• Essential for India’s integration into the global business landscape and showcases commitment to international standards.

Impact on Micro, Small, and Medium Enterprises (MSMEs):

• Act simplifies regulatory frameworks, reducing the burden on MSMEs in day-to-day operations.
• Provides a more level playing field, benefiting MSMEs in competing with global counterparts.

Jan Vishwas 2.0: Recommendations and Considerations:

• FICCI recommends additional considerations for the ongoing Jan Vishwas 2.0 exercise.
• Proposes differentiation between technical lapses and serious offenses.
• Suggests provisions for compounding offenses to streamline compliance and reduce litigation.

Sector-Specific Recommendations:

• Highlights specific sections in labour codes, legal metrology, and environmental laws for modification.
• Advocates revisiting penalties to better align with business interests in these sectors.

Challenges and Solutions:

• Acknowledges challenges at the state level due to overriding central legislation.
• Urges a targeted approach, with major states leading in the decriminalization process to enhance ease of doing business.

Significance of Jan Vishwas (Amendment of Provisions) Act, 2023:

• Recognizes the transformative impact of the Act on creating a more business-friendly environment in India.
• Stresses the need for continuous efforts at both central and state levels to address decriminalization effectively.

Way Forward:

• Encourages states to follow the example of Haryana in initiating the process of decriminalizing certain laws.
• Emphasizes the importance of reducing burdensome compliances to enhance the ease of doing business and living for citizens.

Conclusion:

• The Jan Vishwas (Amendment of Provisions) Act, 2023, stands as a landmark initiative reshaping India’s regulatory approach.
• Ongoing efforts and collaborative action at both central and state levels are imperative for sustaining and expanding the positive impact of decriminalization on businesses and the overall economic landscape.

Chapter 5 : Indo-African Relationship amidst South-South Cooperation

Introduction to Global South Dynamics:

• The Global South emerges as a distinct voice in international multilateralism, representing developing countries’ aspirations for recognition and power.
• Challenges include adverse global terms of trade, limited investment opportunities, sovereign debt concerns, and recent crises like climate change, COVID-19, conflict, and the rising cost of living.

India’s Role in Global South:

• India, as the founder of NAM (Non-Aligned Movement) and an active participant in G77 deliberations, positions itself as a legitimate voice for the Global South.
• Utilizes reputational capital to secure wins in global rule-making and addresses issues of concern to developing nations.

Historical Ties between India and Africa:

• Ancient trade between the Indus Valley and African civilizations documented.
• Maritime interactions between ancient Egypt and Indian rulers through the Indian Ocean established a ‘monsoon culture.’
• Mahatma Gandhi’s moral and political awakening in South Africa solidifies ties with African leaders expressing gratitude for Gandhian ethics.

India’s Contribution to African Development:

• India actively participates in UN peacekeeping missions, supporting newly independent African states.
• Bandung Conference marks a milestone in South-South Cooperation (SSC), challenging Northern-dominated systems.

Indo-African Cooperation Dynamics:

• Focus on UN Security Council reforms, health equity, climate justice, and energy security strengthens bilateral and plurilateral engagements.
• Engagement extends to regional organizations, including ECOWAS, the African Continental Free Trade Agreement, BRICS, OIC, ADB, NDB, and more.

Economic and Trade Relations:

• Trade volume records a fourteen-fold increase between 2001 and 2013.
• India has become one of the top 5 investors in Africa with a hybrid engagement strategy.
• Trade diversification, private investments, and initiatives like the India-Africa Partnership Project contribute to reaching $100 billion in trade by 2022-23.

Developmental Initiatives and Investment:

• Initiatives like Exim Bank’s Focus Africa Programme and India-Africa Partnership Project promote development.
• Comprehensive economic cooperation agreements, trade pacts, and investment in various sectors contribute to mutual growth.

South-South Cooperation Strategies:

• South-South Cooperation (SSC) evolves as a rule-maker, challenging traditional power dynamics.
• Triangular cooperation frameworks, such as g7+, aim for mutual benefit and shared goals.

Prescriptions for Enhanced Cooperation:

• Focus on building productive capacities, especially in agriculture, food security, and rural development.
• Strengthen governance standards, improve human and social development through aid and investments, and explore debt-for-nature swap agreements.

Challenges and Future Initiatives:

• Challenges include trade issues, political instability, logistics costs, and securitization of African resources.
• Future initiatives should be result-driven, demand-driven, and context-agnostic, focusing on human resources, knowledge, technology, and sustainability.

Role of South-South Cooperation in Global Development:

• South-South Cooperation should be proactive in aligning with national systems and achieving global targets like SDGs and MDGs.
• Collaboration networks must deepen to avoid fragmentation and maximize the benefits of aid.

Conclusion:

• Indo-African relations, embedded in the principles of South-South Cooperation, have evolved into a strategic partnership with economic, trade, and developmental dimensions.
• The future requires continued efforts towards mutual growth, addressing challenges, and fostering deeper cooperation in the evolving landscape of global development.

All India Survey of Higher Education (AISHE) 2021–22 was made public on January 25, 2024.

• Initiated in – 2011.
• Aim – To give complete picture of Higher Education in the country.
• 3 Categories – Universities, Colleges and Stand-alone institutions.
• Data source – Voluntary uploading of data by institutions of Higher Education listed in www.aishe.gov.in portal.
• AISHE 2021-22 – It was the 11^th Survey and 1^st Survey conducted through Web Data Capture Format (DCF).

For the 1^st time, all the major Stakeholders in Higher Education, such as UGC, AICTE, MCI as well as State Governments participated in the data collection exercise for AISHE 2021-22.

Key takeaways from AISHE 2021-22 Report

• Increase in enrolment – 4.33 crore students, up from 2020-21 level, captured in 8 different levels.

• Primacy of government institutions – 73.7% of all students attend government universities, where state public universities have the largest share of enrolment, accounting for around 31%.
• Higher enrolment of females – It has steadily increased to 2.07 crores in 2021-22, a 32% jump from 2014-15 levels with the highest numbers at the post graduate level, 55.4% are women.
• Gender Enrolment Ratio – It is 28.4 for the age group 18-23 years at all India level (population data from the 2011 census) and is in favour of women in 26 states and Union Territories.
  • Chandigarh boasts of the highest GER (64.8%), followed by Puducherry, Delhi and Tamil Nadu.

Gross Enrolment Ratio (GER) indicates how many students are part of the higher education system in a given population.

• Gender Parity Index – It is 1.01 at all-India level, and for SC and ST categories, it is 1.01 and 0.98 respectively.

Gender Parity Index (GPI) shows the ratio of the female GER to male GER. A GPI of 1 indicates parity between the two genders, GPI greater than 1 indicates a disparity in favour of females.

• Higher preferences for Arts – In UG, Bachelor of Arts (BA) and in PG, Master of Arts (MA) programme has the highest enrolment.
• Demographics of students graduating – Among the graduated students, roughly 50.8% are women and the graduation rate in arts and social sciences streams is higher than others.
• Category-wise, around 35% of the students belong to OBC, 13% are from SC and 5.7% are from ST community.

Recently, MoU was signed for CMFRI-Neat Meatt public private partnership project to accelerate development of lab grown fish meat.

Mark Post, the Dutch pharmacologist was the 1^st to present a proof of concept for cultured meat in 2013. Currently lab-grown meat from cells including chicken, pork, lamb, fish and beef are underway.

• Cultivated fish meat – It is produced by isolating specific cells from fish and growing them in a laboratory setting using media that is free of animal components.
• It is expected to replicate the flavour, texture, and nutritional qualities of ‘real’ fish meat.

• Need – To address the ever growing demand for seafood, and reduce excessive pressure on wild resources.
• Countries engaged – Israel is the frontrunner, followed by Singapore, the United States and China.

In 2023, the US cleared the sale of lab grown chicken meat in the country. Previously Singapore have approved cell-based meat for consumption.

• Significance – It can ensure food security and environmental benefits.
• It will also be antibiotics- and environmental contamination-free, and will have no contact with microplastics or heavy metals in the polluted oceans.

Central Marine Fisheries Research Institute (CMFRI) was established in 1947, joined ICAR family in 1967 with its headquarters in Kochi.