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Yojana Summary December 2021


1. MULTI – SECTORAL INITIATIVES


Atal Mission for Rejuvenation and Urban Transformation 2.0 (Amrut 2.0):

  • AMRUT 2.0 aims to make cities ‘water secure’ and ‘self-sustainable’ through a water circular economy.
  • It’s approved till 2025-26. The project would provide urban residents with piped water and sewerage/setpage services.
  • Urban households need reliable and cheap water and sanitation services.
  • All houses in all 4378 statutory towns will have functional tap connections. It aims to deliver 2.68 billion taps.
  • Water conservation/augmentation, water body and well rejuvenation are underway.
  • Water recycling/reuse and rainwater gathering are underway.
  • The mission also aims to cover 100% of residential sewage/septage management in 500 AMRUT cities. The goal is 2.64 billion sewer/stepage connections.
  • This project is expected to cost Rs 2,77,000 crore over 5 years from FY 2021-22 to FY 2025-26. On-line monitoring will be available for the mission.
  • AMRUT 2.0 (U) also includes ‘Pay Jal Survekshan’, which encourages towns to benchmark their urban water services.


PM Gati Shakti:

  • The Cabinet Committee on Economic Affairs (CCEA) approved PM Gati Shakti-National Master Plan (NMP) including the institutional structure for rolling out, implementation, monitoring and support mechanisms for delivering multi-modal connection.
  • The implementation framework includes the Empowered Group of Secretaries, Network Planning Group, and Technical Support Unit (TSU).
  • The PM Gati Shakti-NMP aims to dissolve departmental barriers and offer more holistic and integrated project planning and execution to address multi-modal and last-mile connectivity concerns.
  • This will assist reduce logistical costs and benefit consumers, farmers, youth, and small business owners.
  • The EGoS will be chaired by the Cabinet Secretary and will include Secretaries from 18 Ministries and the Head of Logistics Division.
  • To maintain logistics efficiency, the EGos are reviewing and monitoring the PM Gati Shakti-NMP implementation.
  • It can establish a framework and rules for future NMP changes.
  • The EGoS shall also define the technique and final framework for synchronising various activities, and ensuring that various infrastructure development initiatives are incorporated into the single digital platform.
  • It will also investigate at the actions required to efficiently transport bulk goods for ministries like Steel, Cool, Fertilizer, etc.
  • PM Gati Shakti will bring stakeholders together and assist unify transportation modalities.

PM MITRA Parks:

The Government approved the establishment of seven PM MITRA parks, as announced in the Union Budget for 2021-22.

It’s inspired by the 5F vision: Farm to fibre, factory to fashion, and fashion to foreign.

The seven PM MITRA parks will be located in different states. The parks will include core and support infrastructure.

PM MITRA Park will be created by a Public-Private Partnership (PPP) between the State and the Union Government.

The Master Developer will build and maintain the industrial park during the concession period. The State and Central Governments shall collectively define objective criteria for selecting the Master Developer.

Agreements to Strengthen Health System in Meghalaya:

The World Bank and the Indian Government signed a USD 40 million health initiative for Meghalaya.

This project will improve health services and prepare the state for future calamities, such as the Covid-19 pandemic.

The Meghalaya Health Systems Strengthening Project would improve the quality of health services through certification and better human resource systems, and provide efficient access to drugs and diagnostics.

The project will benefit all 11 districts. It will also benefit primary and secondary health sector employees by improving their planning, management, and clinical skills. The project will help women better access community healthcare.

The project would assist improve the Meghalaya Health Insurance Scheme (MIS), which currently covers 56% of households. With its integration with the national Pradhan Mantri Jan Arogya Yojana (PM-JAY), MHIS now expects to reach 100% of households.

Internal Performance Agreements between the Department of Health and Family Welfare and its subsidiaries will create greater responsibility at all levels.

A more resilient response to future epidemics, pandemics, and health emergencies is the goal of the research. Improved health services may increase biomedical waste.

The initiative will improve the biomedical waste management ecosystem (both solid and liquid waste). It will involve segregation, disinfection, and collection while protecting the environment and enhancing patient safety.

Biotechnology Centre for Tribals in the Northeast:

Arunachal Pradesh’s Kimin district now boasts a new Biotechnology Centre for Northeast tribals.

We have developed academic links with many Indian Council of Agricultural Research (ICAR) and Council of Scientific Industrial Research (CSIR) Institutions to ensure efficient implementation of these programmes that will create jobs for young entrepreneurs in Arunachal Pradesh.

In the next two years, these programmes will be implemented in four districts of Arunachal Pradesh, benefiting around 10,000 farmers.

The Government is working on implementing the following three major regional programmes.

(I) Construction of state-of-the-art orchidaria in Kimin, with satellite units in selected Arunachal Pradesh districts.

(ii) Establishing banana fibre extraction and processing units in Arunachal Pradesh;

(iii) Establish an Aroma Unit to promote aromatic crop cultivation and business.

This programme implements four types of training programmes:
(1) Student Training Program,

(2) Technician Training

(3) Faculty Training Programme

(4) Entrepreneurship Development Programme

Arunachal Pradesh State Council for Science & Technology and three distinct Skill Development Councils of National Skill Development Corporation India have signed MoUs to support the state of Arunachal Pradesh in implementing the Skill Vigyan Programme with various institutions.


2. GI TAGGING OF RURAL PRODUCTS


In 2003, India passed the Geographical Indications of Goods (Registration and Protection) Act, giving GIs sui generis protection. This was helped by the Geographical Indications Registry of India in Chennai.

TRIPS Agreement:

According to TRIPS Article 22, geographical indications are “indications that identify a good as originating in the territory of a member, or a region or locality within that territory, where a given quality, reputation, or other characteristic of the good is essentially attributable to its geographical origin.”

The obligation is on the members to offer the ‘legal tools for interested persons’ to secure protection of their GIs.

IPRs: GIs are covered under 1(2) and 10 of the Paris Convention for the Protection of Industrial Property.

Unlike other Property Rights: Unlike a trademark, which identifies an entity, a geographical indication identifies goods or services specific to a region, allowing producers in that area to utilise the GI.

India has begun setting up government and corporate traceability systems. Example: GrapeNet, a programme of the Agriculture and Processed Food Products Export Development Authority (APEDA), Indian Ministry of Commerce. Some good initiatives to promote GI products are listed below:

The government wants to popularise GI-tagged products and artisanal crafts by selling them internationally. The ‘Invaluable Treasure of Incredible India’ logo and phrase have been chosen.

The first GI in India, the Cashew Export Promotion Council of India (CEPCI) Store, opened in Goa in 2019. Goa intends to open GI outlets at additional airports.

The Government e-Marketplace (GeM) has established Startup Runway, an initiative to help entrepreneurs sell innovative products and services to government buyers. We’ll help them perform market trials with government purchasers, get timely feedback, and get realistic product and market valuations from buyers and investors.

Agri commodities are one of the development drivers in India’s proposed Foreign Trade Policy (FTP) 2021-2026, which aims to achieve USD 1.0 trillion in exports by 2025.

The new FTP proposes

(a) promoting District Export Hubs in each district, establishing district export promotion committees, and developing district export action plans aimed at small enterprises and farmers.

(b)In order to minimise transaction costs and improve the case for doing business, India must address imbalances in its foreign trade procedures by establishing efficient, cost-effective, and appropriate logistical and utility infrastructure.

The government is approving the Toys (Quality Control) Second Amendment Order, 2020, which exempts artisanal and GI goods from Quality Control Orders.

Making GI products visible and accessible to a ready market is another crucial step.

Many federal and state governments now regularly organise Buyer-Seller Meets focused on GI-tagged products.

The following ideas are suggested to increase production and link rural GI-tagged items to large urban markets and export destinations:

A strategy to educate local farmers, consumers, and other stakeholders about GI products is required.

India needs a long-term policy to ensure a domestic and worldwide market for GI products.

The government must build infrastructure such as customs clearance, laboratory testing, pack-houses, and pre-cooling facilities to maximise the export potential of GI products.

India must initiate aggressive negotiations with other countries to gain access to their markets for GI labelled items, particularly agricultural exports.

The GoI should discover GI items that are lacking in the local market and examine them commercially to develop them fully.

Determination is required to establish or refine existing GI labelled items.

Enabling users, farmers, and businesses to access GI and traceability solutions for their products may help GI expand.


3. CAPACITY BUILDING PSUS


To address the present dynamic training needs, PSUs must actively share technical expertise and other ideas.

There is a need for collaboration among PSU training facilities to pool resources. This would also be in keeping with the Department of Personnel Training’s ‘National Programme for Civil Service Capacity Building’ (NPCSCB).

There are 256 CPSUs operating in the country, each employing roughly ten people. 96 CPSUs have been granted Ratna status, 10 Maharatna, 14 Navaratna, and 72 Miniratna. In 2019-2020, their net profit was 93.294 crore rupees.

No formal structure of collaboration exists between these training institutes, and each one caters to its own personnel using internal resources and select external resource individuals.

If these training institutions held by different PSUs successfully collaborate, they will build a lively pool of common resources to be shared with others.

This relationship would be most effective if the diverse institutes’ training capacities complemented each other’s core competences and general (managerial) areas of training.

The cabinet just approved the NPCSCB by creating an iGOT gateway. It attempts to create a cross-service training infrastructure. Create an ecosystem of common training infrastructure comprising learning materials, institutions, and employees.

Although some of the top training institutes design specialised courses for other PSU executives and even international nationals, there are no institutionalised procedures for collaboration and resource sharing.

To institutionalise resource sharing, two or more training institutes could be declared ‘centres of excellence’ (CoEs).

The essential competences of all PSU training institutions might be mapped first, and then modalities designed to reinforce them.

Institutes could be chosen to strengthen ‘specific’ skills. This could be done to reduce duplication of effort and allow the chosen institute to specialise in a specific topic.

The places where different industries can most benefit from each other’s facilities could be identified. For example, BHEL (Bharat Heavy Electricals Limited) manufactures power station turbines and other heavy equipment for numerous PSUS.

Smaller PSUs may not have any training facilities. Smaller PSU workers could be trained in facilities most convenient to them.

Firstly, geographical clusters could be discovered where multiple training institutes from different fields are located in a souffle place. Incorporated methods for sharing resource personnel, expertise, R&D and even physical infrastructure could be built.

These CoEs may also build a pool of master trainers who could train at multiple locations.

Apart from sharing key competency areas, these centres might build and deliver general training modules including management, preventive vigilance, and leadership. To avoid redundancy, design uniform modules across institutes and standardise the training process.

Clusters:

Various institutes may offer similar fundamental abilities. Thematic Centres of Excellence could be created by linking such centres.

Institutes with similar core competences in the same specialised field could collaborate on R&D and training.

Thematic clusters can also help in banking. Similarly, bank training institutes might collaborate to train officers and personnel from all banks.

Consciousness and understanding of how the work and principles of organisations such as Rule of Law, transparency and efficiency help towards the greater objectives of an inclusive, just, and equitable society should be given paramount emphasis in training.

Providing social benefits through CSR (Corporate Social Responsibility) activities can assist alleviate poverty and meet the health and education needs of the poorest parts of society.

Training can assist foster a sense of responsibility for nation-building. The suggested CoEs could connect specialised institutes that provide insights on these topics. These Centres might offer periodic training to these selected institutes to help them grasp the country’s economic and social climate, as well as the ultimate aims of governance.

All stakeholders must be enthused and schooled in ideas imbued with ethics and empathy if we are to achieve universal growth and development. PSUs could also organise field visits to provide trainees with a holistic understanding of the nation-building process.

Forward:

A developing economy like ours simply cannot afford for its organisations to work in silos without sharing resources and strengths.

Training and capacity building consumes a lot of resources, including money, labour, materials, and other infrastructure.

Creating and developing an integrated training infrastructure across PSUs in the same sector and others is required.

READ ALSO: YOJANA SUMMARY FEBRUARY 2022


4. FARM TO FORK


Agriculture and allied activities still employ around 55 percent of the entire workforce and provide around 18 percent of the country’s GVA in 2019-20.

Despite the pandemic-driven downturn in other industries, agriculture and related sectors grew 3.4% at constant prices in 2020-21.

The GCF in agricultural and allied sectors has fluctuated between 2013 and 2017, but has risen steadily from 2017-18 to 2019-20.

Despite being one of the world’s top agricultural producers, India’s output is poor due to subsistence farming.

To make agriculture more productive, sustainable, adopt comprehensive soil health management practises, and optimise the use of water resources in the farm.

The agricultural credit flow has been increased to Rs 15 lakh crores, enabling easy access to low-interest loans. These programmes will increase access to quality inputs, micro-irrigation, and agricultural loans.

Technology: The Kisan Suvidha Portal provides farmers with information on crops, soil, fertilisers, weather, etc.

Using high-quality certified seeds, neem-coated urea, and bio-stimulants has increased yield per hectare dramatically.

The rise in income is based on two parameters: yield quantity and quality. Using high-quality inputs resulted in better production per hectare and nutrient-dense vegetables.

Irrigation: Effective field irrigation can enhance water use efficiency, reduce water waste, and increase cultivable area. Water-efficient irrigation like micro-irrigation has yet to reach many sections of the country, despite the fact that surface irrigation systems are overused by 35%-10% and groundwater by 65%.

The PMKSY is one effort that tries to increase production through irrigation. The programme “Per Drop More Crop” aims to provide agricultural farms with efficient water transmission and precise water application systems.

In 2018, farmers saved between 20-30% on irrigation costs and 7-21% on fertiliser costs, depending on the state and soil conditions.

Organic Farming: Chemical-free farming has a lower production cost and a better selling price. India is becoming a centre for organic products.

To address the gaps and promote organic farming, the Indian government created the Paramparagat Krishi Vikas Yojana in 2015-16.

Issues and Solutions

High production expenses, such as land preparation, preparing manures and organic fertilisers, high labour costs, marketing expenditures, and low consumer demand have all hampered the organic sector.

As digital marketing and e-commerce platforms grow, so do the opportunities. Due to supply chain constraints and limited farmer capacity, direct access to large scale marketplaces where products will fetch a reasonable price is challenging.

A well-planned transition from chemical to organic or natural farming is required. Farmers can start with unusual vegetables.

Phased transition can assist farmers grasp organic agricultural dynamics and produce exotic fruits and vegetables for faraway markets with higher returns.

Post-harvest:

According to the Economic Survey 2018-19, India ranks 70 out of 125 nations in post-harvest losses. The overall food loss in agricultural goods is estimated to be 4-10% for cereals, pulses, and oilseeds, and 5-16% for fruits and vegetables.

Post-harvest losses are caused by poor handling and distribution of food to consumers or markets.

SAMPADA According to Yojana, the government is building Mega Food Parks, Integrated Cold Chains, Value Added Infrastructure, and Agro-processing Clusters. and Building Backwards and Forwards.

With an investment of 1.97 lakh crores in 13 critical industries, including food processing, the government has established the Production Linked Incentive (PLI) Scheme.

Agri Infrastructure Fund has been established up for ten years to support farm-gate infrastructure projects and financially feasible post-harvest management.

Post-Harvest Loss (PHL) occurs in India due to lack of infrastructure, technical know-how, unequal market information, and market access.

Fragmented land ownership and an inefficient post-harvest value chain cause losses to accumulate. Small and marginal farmers suffer from market access issues, low agricultural investment, low productivity, and low income due to fragmentation and value chain inefficiencies.

If losses are reduced, significant value is created and food insecurity is addressed. According to the High Level Dalwai Committee report”. PHL costs India around Rs 92650 crores owing to farm gate rejection and delivery delays.

Harvesting and primary processing drive the post-harvest value chain. Protection, processing, and market links.

Aside from harvesting losses, post-harvest losses include decay, illness, and pests. Proper storage and crop protection techniques can address these issues.

The Central Government is implementing the PMKSY to alleviate post-harvest infrastructural shortages.

Agricultural Marketing Infrastructure (AMI) is a sub-scheme of Integrated Scheme for Agricultural Marketing (ISAM) and Gramin Bhandaran Yojana (GBY).

Food Processing:

Food processing is India’s fifth largest industry in terms of output, consumption, and exports. However, compared to other countries, India’s processing of perishable goods is only 10%.

In addition to food losses, the lack of processing capabilities at the farm gate causes farmer distress sales, as value addition favours middlemen and huge private sector enterprises.

Changing consumer preferences and increased demand for Indian products on international markets have also boosted the sector’s recent private sector engagement.

Post-harvest management approaches help farmers avoid distressed selling by utilising storage and processing facilities that increase returns.

Agricultural distress is caused by poor farmer per capita income, especially among small and marginal farmers. A value chain approach to doubling farmer income is required. From boosting the Total Factor To attain the desired goal, increasing productivity, cropping intensity, diversification towards high-value crops, and better farmer terms of trade are required.

NGOs, cooperatives, FPOS, and SHGs must scale up.

to provide pre-harvest and post-harvest knowledge dissemination, training, and capacity building services to farmers. Precision farming and crop diversity help farmers save costs and enhance revenue.

Better price realisation and post-harvest management can increase income substantially.

Farmers may double their revenue by increasing productivity and developing innovative integrated farming ways by using knowledge-based inputs and excellent post-harvest management practises.


5 JAL JEEVAN MISSION (JJM)


It came out in 2019. Agrarian reforms like Jal Jeevan Mission are founded on the 73rd Amendment, which gives Gram Panchayats administrative control over water and related issues.

JJM is a decentralised, community-run water supply initiative. GPs and their sub-committees/Pani Samitis play an important role in the development, implementation, management, operation, and regular maintenance of village water supply systems.

It also designs and executes water source augmentation, water conservation, greywater treatment, and reuse. Programmes for capacity enhancement of GP/VWSC members are organised to ensure long-term and regular service delivery.

The mission’s motto is “no one is left out” and every household in a village should have tap water. Single Village Schemes (SVS) are suitable in villages where good quality ground/surface water is available in adequate quantity.

The Mission provides tap water in low-quality communities, especially those with high arsenic and fluoride levels. Prioritize JE/AES impacted districts, Aspirational districts, drought-prone & desert locations, Sansad Adarsh Gram Yojana villages, and SC/ST majority villages.

Rural Economic Growth:

This includes a 5-year Village Action Plan for water and sanitation, as well as greywater management and water conservation. These VAPs coincide with the 15th Financial Commission era. It has allocated 60% of the entire grant to rural bodies/PRIs, relieving rural women of their laborious water fetching duties and improving their quality of life.

Women in VWSCs are also tasked with maintaining village water quality. Over 7.39 million women have been trained to use Field Test Kits to test water quality (FTKs). The Mission will train five women from each area to monitor the quality of household tap water.

Children’s Health:

Every state makes efforts to supply adequate water for drinking, cooking, mid-day meals, handwashing, and toilet usage.

Greywater reuse is available in 1.08 lakh schools, while rainfall collecting is available in over 93 thousand schools. This will help the student WASH become a more informed citizen.

Accountability:

Anyone can view the online progress and status of tap water supply in homes, schools, and AWCs.

This dynamic dashboard shows the status and development of JJM implementation at the state/UT, district, and village levels.

The dashboard also includes information regarding institutional structures, such as who manages water delivery in villages and how it is tested.

A sensor-based IoT pilot project in each hamlet shows the daily water supply quantity, quality, and regularity.

There is also a public grievance redressal mechanism and village-level IT support to monitor daily water supply quantity, quality, and regularity.

States and UTS are urged to form an escrow account to receive a central allocation for JJM implementation. The financial progress of each State/UTS since 2019-20 is also published.

Conclusion:

The Jal Jeevan Mission’s goals, elements, vision, policy measures, sectoral reforms, and community empowerment make it a suitable model for Atmanirbhar Bharat. The Jal Jeevan Mission aims to increase community water security.


6 SELF – RELIANCE IN ENERGY SECTOR


Self-reliance exhibits economic self-sufficiency and is least dependent on other economies. More exactly, it talks of economic systems’ efficiency and effectiveness in providing the best for/to their citizens.

Atma Self-reliance, or Nirbhar Bharat, is the new currency that not only makes the country self-sufficient but also marks its contribution to the world economy.

India has made great strides in supplying electricity to its people. In the last two decades, over 900 million people have gotten access to electricity, with 100 million in 2018.

Despite being the world’s third largest energy producer and consumer, India’s per capita electricity consumption is only one-third of the global average. To meet the rising demand for energy, we must ensure that it is safe and sustainable.

Renewable Energy Initiative

India is a global leader in renewable energy production and is helping to build a global green economy.

The Indian government has taken several steps to increase renewable energy production and utilisation, particularly solar energy. This is done by offering subsidies and other incentives.

Rooftop Solar Energy is one such project introduced to increase electricity producing capacity. For sustainable growth, India has introduced PM-KUSUM and “AJAY”.

Government and private sector action has raised wind power production from 10.9 GW in 2009 to 30.37 GW in 2020.

Wind energy output has multiplied in recent years. According to the MNRE Report 2021, wind energy accounts for 40.8% of all renewables.

The New National Biogas and Organic Manure Programme (NNBOMP) and the Biogas based Power Generation and Thermal Energy Application Programme (BPGTP) both promote biogas production and contribute roughly 10170 MW of power to India.

5,000 compressed biogas plants are also planned for India by 2023. Hydro energy is economically viable and has great potential, as it not only provides energy but also benefits the ecology by providing irrigation, flood protection, drought relief, recreation, and tourism. It is more efficient (over 90%) than other renewables.

National Hydrogen Mission:

In August 2021, it was reported that India would become a global powerhouse for green hydrogen production and export.

This mission’s ultimate goal is to achieve energy self-sufficiency by 2047, in time to celebrate 100 years of independence.

A Pan-India network of CNG and piped natural gas is planned to help attain the 20% ethanol blend aim.

Hydrogen is created by electrolysis, proton exchange membrane electrolysis, and steam methane reforming, which uses fossil fuels.

To keep the environment cleaner and greener, the government has decided to manufacture green hydrogen using renewable electricity and electrolysis by 2050.

As a result, import dependency is reduced, and the mission for gas-based sustainable growth is strengthened. The government plans to use sugarcane and other bio-elements to produce ethanol.

According to the mission objectives, India would meet 25% of the world’s energy needs by 2050, resulting in a $10 trillion market.

Hydrogen production and storage are heavily reliant on technology and innovation, requiring close government-industry collaboration. This will help keep costs down.

SDGs and Renewable Energy: Achieving Sustainable Development Goals requires balancing Social, Economic, and Environmental (SEE) elements.

Green energy independence is the foundation of a green and sustainable economy. Green energy programmes aim to reduce energy imports and increase sustainable domestic generation.

We may not attain our goals if we don’t use renewable energy sources. The main issues are customer affordability. DISCOM financial stability, integration difficulties regulatory and market framework deficiencies, unknown t-benefin consequences, pov system flexibility concerns, etc.

The share of renewable energy penetration varies greatly amongst Indian states. Indian states like Tamil Nadu contribute more to renewable energy than the national average (8.2 percent ). India’s ten states contribute 97% of total solar and wind energy.

States with abundant renewable energy also have developed electricity sectors. Other governments, however, lack green programmes and struggle with integration and technology.

Forward:

It is undeniable that green energy has the ability to contribute to income, employment, and entrepreneurship. It creates jobs, revenue, and new markets for new products and services.

To meet the ever-increasing need of the people, India must use solar, wind, and especially green hydrogen energy.

While the scheme/initiatives are positive and will play an important role in the future, there are several issues that must be solved.


7 . RECHARGING ECONOMY


The current problem created by the coronavirus pandemic has harmed most countries’ economies. This includes both emerging and developed countries. Given our limited economic resources, it was vital for countries like India to provide significant financial aid to various industries.

The country’s MSME sector was hit the worst by the restricted activities in terms of import-export, transport, supply chains, finally resulting to minimal or poor industrial and retail consumption.

The Indian MSME sector contributes about a quarter of the country’s GDP through service-related activities and over a third through manufacturing operations.

One such notable effort is the government’s Atmanirbhar Bharat Abhiyan. It strives to make the country and its people self-sufficient. Demand is the fifth pillar of Atmanirbhar Bharat.

This bundle of special economic provisions designed to help workers, cottage industry, middle class, MSMEs, industries, and others up to Rs 20 lakh crore. This is roughly 10% of the country’s GDP.

Special focus area under the Atmanirbhar Bharat Yojana includes:

  1. Part 1: Business including MSMEs
  2. Part 2: Poor, including migrants and farmers

iii.       Part 3: Agriculture

  1. Part 4: New Horizons of Growth
  2. Part 5: Government Reforms and Enablers
  • The highlight of various important reforms provided by Atmanirbhar Bharat Abhiyaan are given below:

The highlights of Atmanirbhar Bharat Abhiyaan’s significant changes are as follows:

MSMEs’ Help:

MSMEs’ Help: Businesses and MSMEs needed more funding to pay off current loans, procure raw materials, and begin operations. This planned to provide Rs 3 lakh crore in working capital at concessional interest rates to such players.

The main benefit of this innovation was that no collateral was required to obtain funds.

This emergency lending initiative could help over 15 lakh MSMEs in India. Moreover, promoters of MSMEs in financial trouble will be provided loans up to Rs 20,000 crore, which they can reinvest as equity.

A Fund of Funds would be established to provide equity investment of around Rs 50,000 crore.

Support for non-banking and other financial institutions: Liquidity was critical to building system credibility.

So, as part of this package, the Government gives assistance up to Rs 30,000 crore by investing it in various debt instruments of such finance bodies in the primary and secondary markets.

A partial credit guarantee scheme aims to infuse cash into 45.000 crores.

Tax measures:

TDS reduction of up to a quarter and TCS disposable funds of up to Rs 50,000 crore. The administration decided to quickly release all pending tax refunds.

Various compliance deadlines, such as income tax return filing, were extended by a few months to allow for sufficient time.

State governments were asked to use State Disaster Response Fund cash along with the national government’s allocation of Rs 11.000 crores to provide food, shelter, and water to migrants.

Then they got masks and sanitisers for their protection.

Increasing loan disbursement, extending loan moratorium, refinancing loans, and issuing Kisan Credit cards were some of the initiatives taken to help the agricultural industry.

Various financial and nonfinancial aid measures were incorporated for the needy.

India’s ranking has risen from 142 in 2014 to 63 in 2019 due to persistent reforms in the ease of doing business sector.

The government now wants to take things further. There would be an increase of Rs 40,000 crore for MGNREGA to boost employment and simplify taxes norms.

IBC-related measures:

To protect MSMEs, the insolvency threshold was raised from Rs 1 lakh to Rs 1 crore.

The Central Government now has the power to exclude pandemic debt from the definition of default for purposes of insolvency proceedings.

REVIVING MSMES:

India has one of the world’s quickest economies. Agriculture contributes 15% of India’s GDP, manufacturing 31%, and the service sector caters for 54%. With USD 8.9 trillion in PPP GDP, India is third in the world.

India’s PPE business expanded to 10,000 crores making it the world’s second-largest.

India’s MSME Sector

The MSME sector contributes 31% to the country’s GDP, with 6.1 percent coming from manufacturing and the remainder from commerce and services. MSME contributes roughly 35% to manufacturing output and 48% to overall exports.

India has roughly 33000 MSME exporters. There are 6.34 crore MSME units in India, and the sector employs 11.75 crore people, or 40% of the workforce.

Sadly, only 14% of MSMEs receive formal funding. Their NPAs range from 8% to 11%, which is pretty high.

The following criteria for classifying micro, small, and medium businesses are in place since 2020.

A micro-enterprise is one with a capital expenditure of less than one crore rupees and a revenue of less than five crore rupees.

A company with a capital investment of less than ten crore rupees and a revenue of less than fifty crore rupees.

A company with a turnover of not more than 250 million rupees and an investment in plant and machinery or equipment of not more than 50 crore rupees.

PLI Schemes:

The PLI programme was established to foster national manufacturing champions, provide work opportunities for the youth, and encourage domestic manufacturing through production incentives and foreign investment.

In five years, PLI Schemes are expected to generate around USD 500 billion in India. In the Union Budget 2021-22, the Finance Minister allocated Rs 1.97 lakh crores for 13 significant industries’ PLI schemes.

The Production-Linked Incentive (PLI) provides incentives for increasing sales of commodities manufactured in the United States.

India Seed Fund:

Incubation, product testing, market entry, and commercialisation are all supported by Startup India Seed Fund.

Incubators around India deliver the Seed Fund to qualifying companies. Proof of Concept, prototype development, and product testing are eligible for up to Rs 20 lakhs in grants.

Market entry investment of up to Rs 50 lakhs. Expansion via debt-linked instruments, convertible debentures, or loans

DIRECT – TO – CONSUMER MODEL:

India’s most popular and profitable consumer brand startups have gone beyond marketing and production techniques. Mass digitalization has undoubtedly aided these firms’ success.

In the first seven months of 2021, India’s D2C companies raised USD 783 million.

The concept allows enterprises to test new distribution channels and adapt to changing social and economic needs. Covid-19 is the clearest example of why firms need to adopt flexible distribution methods.

Due to the close relationship between customers and producers, D2C allows for improved consumer insights. The new-age consumer is more alert and expects full attention from producers or dealers.

Product differentiation is facilitated by the D2C paradigm since vendors can adjust the customer interaction arrangement immediately.

Easy Business Liquidation: The D2C architecture also allows for easy business liquidation in case of failure. allowing entrepreneurs to quickly depart and move on to other profitable ventures, minimising personal and economic loss.

Digitisation has decreased the time it takes for a business to breakeven by lowering costs and allowing owners to make quick profits. Entrepreneurs can now attain success faster by reducing non-monetary investment time.

Economic contracts impose monetary duty on customers as well as enterprises. This distribution has given merchants a platform while still favouring enterprises.

Forward:

With Covid-19 exposing our economic system’s shortcomings, D2C, particularly via digital platforms, offers a global alternative to established corporate structures.

A flexible, low-cost, and easy-to-reconsider solution. A 100 billion dollar market in India by 2025.

These elements, along with the country’s large population, make India a potential worldwide D2C powerhouse in the near future, with plenty of chances for vendors, buyers, and investors.

READ ALSO: YOJANA SUMMARY JANUARY 2022


8. WOMEN ENTREPRENEURSHIP


Women’s entrepreneurship has gained quick acceptance across industries. Women contribute significantly to job creation, GDP growth, poverty alleviation, and social inclusion.

A study found that women’s entrepreneurial motivation influences their success.

A woman entrepreneur is one who holds a majority financial interest (51% of the capital) in a business.

Challenges:

Work and personal commitments can put a woman under a lot of stress.

Women fear uncertainty. They fear failure, especially if others doubt their commercial acumen. Inadequate business support might cause business struggles.

Women face prejudice and social shame in a male-dominated culture. In spite of favourable legislation and regulations for women entrepreneurs, the improvements have not been implemented.

Women entrepreneurs encounter a lack of established business networks, as well as societal and traditional barriers. This barrier keeps women out of business.

With the growing Indian startup environment, more women are pursuing their entrepreneurial dreams and excelling. According to the National Sample Survey, women own only 14% of all Indian businesses. The bulk of firms are self-funded and tiny.

Government Actions:

All major development programmes should target women as a designated target group.

Work on improving efficiency and productivity by implementing new technology, equipment, or procedures.

Promoting assistance: It was suggested that women entrepreneurs be assisted in marketing their products.

It was also advised that women be included in decision-making.

The Women Entrepreneurship Platform (WEP) was developed by NITI Aayog to provide an ecosystem for aspiring young female entrepreneurs across the country.

NITI Aayog has worked with SIDBI to promote and implement this initiative.

Pradhan MUDRA Yojana:

This is one of Gol’s key initiatives to help and encourage women entrepreneurs who want to create modest businesses like beauty salons, retail stores, or tuition centres.

Women businesses are encouraged to apply for Stree Shakti Loans, which offer special incentives.

Women entrepreneurs must first enrol in the Entrepreneurship Development Programme (EDP), a training programme designed to build entrepreneurial abilities.

Way forward: Female entrepreneurs are critical to the Indian economy’s progress.

Consider the following ideas for women’s growth:

  • Different training programmes should be conducted at minimum prices or free of cost to develop entrepreneurial skills in women.
  • Establishment of institutes providing free quality education to women right from childhood and further for higher education.
  • To provide financial aid to promote entrepreneurial engagement.
  • To spread awareness of incentives and schemes provided by the government.
  • To minimise documentation and make procedure 5.simple for availing schemes.

A woman plays multiple roles in life finding it difficult to stay motivated and work hard for her venture ascertaining to the societal taboos she encounters.

There is an urgent need for improvement in initiatives and contributions which could be taken into deliberation for progress and development of woman as an entrepreneur by providing her with special training facilities for polishing her knowledge, talents and skill set.


9 . POLICE REFORMS


Ancient Period: In ancient India, policing was intertwined with religion, community, and ethics. Several allusions in ancient Indian writings imply the presence of a specialised unit for detecting crime and state offences.

In Kautilya’s Arthashastra, we see a city police force. The police were vital in maintaining the peace, which was essential for general well-being.

The Indian indigenous police system was based on land tenure and village community accountability.

Mid-12th century Muslim control in North India saw the Police System emerge slowly but gradually.

The Sultan was the political and power hub. Faujdar, as the provincial head of the criminal justice system, was charged with maintaining peace and security.

Under the local landowner or village headman, Kotwal was the magistrate and Chowkidar was the police chief. The chowkidars were paid by the villagers from their portion of the crops.

The Colonial Period: As the British increased their grip over Indian territory, issues of trade and property security needed police structures. The British perfected a Police System that served them well during their colonial rule in India.

Warren Hastings founded criminal courts to repress and deter violent crime in 1772.

Lord Cornwallis “relieved the great landowners (zamindars) of their police administration and established a police force accountable to Company agents” in 1792. Parts of districts were assigned a Darogha, a police authority. The kotwal remained in command of local police. But these changes failed.

The British realised the urgent need for a regularised institution to control the vast regions they had conquered when many sectors of Indian society rose up against British authority in 1857.

“By 1850, the development of ‘civil’ police units was considered as a risky reliance on the army for domestic policing.” Over-reliance on the military was also costly. So a police force was created to “instil a fear of authority in the entire population.”

This commission was formed in 1861. The Commission’s goal was to restructure the police force to improve efficiency.

The Commission suggested abolishing the military police and replacing them with a single uniformed civil police force under provincial control. It led to the 1861 Police Act (Act V). It is the foundation of the Indian Police today.

1861 Police Act:

The Indian Police Act of 1861 was enacted on March 22, 1861. A civil constabulary was to be established in every province, with an inspector general reporting to the provincial government as the superintendent reports to the civilian collector.

The Inspector-General was aided by District Superintendents, who were aided by Assistant Superintendents. Inspectors, Head Constables, Sergeants, and Constables were the new designations for Subordinate Police officers.

For the first time, the Indian Police had a distinct command and control hierarchy. Initially, higher-ranking officers were solely European, while Indians were recruited mostly into lower-ranking officers.

The Act also emphasised improving village policing, which was to be overseen and controlled by the local magistrate. It was also suggested that police salary be increased to be more in line with military pay. Provincial Civil Service founded in 1892.

Lord Curzon appointed another Commission in 1902 to examine the Police System and recommend effective methods to prevent police torture, improve magisterial oversight of police, and other related problems.

The Commission criticised the police’s performance but did not recommend major structural changes. It advocated that educated Indians be appointed as officers in police forces.

In 1902, a new position for Indian officers was created, the Deputy Superintendent of Police, which was one rank below the Superintendent but belonged to the Provincial or subordinate service.

Over time, the police force became more Indianized. In 1920, Indians were allowed to join the Police Force in higher ranks after passing an exam both in India and England.

In 1924, the Lee Commission was constituted, favouring Indian recruitment. Police reforms conducted in the nineteenth and early twentieth century created a uniform and highly hierarchical police subordinate to the interests of the colonial state.

Madras Presidency Police History:

The Vijayanagar empire had a sophisticated policing system, as evidenced by historical records.

Originally, Kavalkars were state-appointed local auxiliaries. Unlike the taliyaris, they were responsible for multiple villages and could charge protection costs (kaval). They became predatory and corrupt ‘robber cops’.

1859 Madras Police Act:

The Madras Police Act of 1859 distinguished between unarmed and armed police. They became two independent branches of the force with no personnel interchange below the inspectorate.

The Act also fully integrated the police with the provincial state system. The police were not national but provincial.

The Madras Presidency was believed to be too large and varied to manage police activities from a single location.

This Act authorised “three layers of oversight and control.” A tight hierarchical divide between superintendency at the top, inspectorate in the middle, and constabulary at the bottom.”

The Chief Secretariat coordinated police in Madras. District police were subservient to the District Magistrate/Collector until 1856, when a Superintendent position was created. But the District Magistrate trumped the Superintendent.

Special Forces:

The twentieth century saw a resurgence of nationalist sentiment across the country. Despite gradual expansion, the district police could not maintain control.

So armed strike forces were formed. The Malabar Special Force and the East Coast Special Force were founded under the Madras Presidency.

Both forces were highly trained, disciplined, and armed. They are the forerunners of today’s paramilitaries.

Security and Public Order are State topics under the Seventh Schedule of the Indian Constitution.

However, in September 2017, the Indian Government authorised the “Modernisation of Police Forces (MPF)” umbrella scheme. It has two verticals. These include central sector sub-schemes like the Crime and Criminal Tracking Network and Systems (CCTNS) project and the e-Prisons project, which are now operational in all States/Union Territories.

Government also launched a Special Central Assistance (SCA) programme to support development in Left Wing Extremism (LWE) hotspot The upgrade of police wireless and other infrastructure is also a priority.

This scheme also includes centrally supported sub schemes for assisting state governments in modernising their police services.

SRE’s second vertical includes sub-schemes for Jammu & Kashmir, North Eastern States, and LWE-affected States (SIS). The Scheme aimed to help the Government handle difficulties in different areas such as LWE, Jammu and Kashmir, and the North East, while also increasing the quality of life in these places.

The Government approved the National Policy and Action Plan in 2015, which contains a multi-pronged approach addressing security, development, tribal/local community rights and entitlements, and perception management. The Policy and Action Plan has led to a decrease in LWE-related violence and a regional expansion of LWE influence.

Previous Years UPSC Mains Questions:

  1. Male membership needs to be encouraged in order to make women’s organisations free from gender bias.          (GS: 1- 2013)
  2. “In the Indian governance system, the role of non-state actors has been only marginal.” Critically examine this statement.        (GS: 2- 2016)
  3. ‘To ensure effective implementation of policies addressing water, sanitation and hygiene needs, the identification of beneficiary segments is to be synchronised with the anticipated outcomes’ Examine the statement in the context of the WASH scheme.     (GS: 2- 2017)
  4. With growing energy needs should India keep on expanding its nuclear energy programme? Discuss the facts and fears associated with nuclear energy.  (GS: 3- 2018)
  5. Access to affordable, reliable, sustainable and modern energy is the sine qua non to achieve Sustainable Development Goals (SDGs). Comment on the progress made in India in this regard.      (GS: 3- 2018)
  6. Appropriate local community-level healthcare intervention is a prerequisite to achieve ‘Health for All ‘ in India. Explain         (GS: 2- 2018)
  7. What are the continued challenges for women in India against time and space?     (GS: 1- 2019)
  8. Performance of welfare schemes that are implemented for vulnerable sections is not so effective due to absence of their awareness and active involvement at all stages of the policy process – Discuss.
    (GS: 2- 2019)
  9. The need for cooperation among various service sectors has been an inherent component of development discourse. Partnership bridges bring the gap among the sectors. It also sets in motion a culture of ‘Collaboration’ and ‘team spirit’. In the light of statements above examine India’s Development process.        (GS: 2- 2019)
  10. In order to enhance the prospects of social development, sound and adequate health care policies are needed particularly in the fields of geriatric and maternal health care. Discuss.       (GS: 2- 2020)

 

Mains Practice Questions:

  1. Why do you think Geographical Indications (GIs) labelling is vital to safeguard indigenous, unique, and well-known products?
  2. In order to address the training needs in today’s dynamic environment, PSUs must pool their resources and engage in a more active exchange of technical information and other related concepts. Explain.
  3. Farmers’ low per capita income is a primary cause of agricultural distress. Better price realisation and adequate post-harvest management can account for the majority of income gain. Analyse.
  4. Jal Jeevan Mission (JJM), which was announced in 2019, is a significant step in improving village quality of life and public health. Explain.
  5. Green energy offers enormous potential to boost income, employment, and entrepreneurship while also promoting long-term growth. Discuss.
  6. What exactly is the Direct-to-Consumer business model? What distinguishes this model from the roles that existed before modern economies were formed, with the advent of the internet and a larger and more diverse consumer base?
  7. In terms of job creation, GDP growth, poverty reduction, and social inclusion, women make a significant contribution to entrepreneurial activity and economic development. Women’s entrepreneurship has exploded in popularity, gaining universal acceptability across a variety of industries. Comment.
  8. Trials, blunders, vicissitudes, imperial government imperatives, shifting goals, and shifting contests characterise the history of the Indian police force. The various Acts and Enactments enacted by colonial rules are responsible for the current Police System’s structural and functional structure. Analyse.

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