iDEA 16 07.2024 - 610.1
iDEA 16 07.2024 - 610.1
INDEX
Page No:08-10
Context:
• India-Nepal relations have faced significant challenges since 2015 due to constitutional
disagreements and a blockade by India.
• The new leadership in both countries presents an opportunity to reset and stabilise relations,
emphasising mutual respect, non-interference, and regional cooperation for greater stability and
prosperity.
• Relations between India and Nepal have been strained since 2015 when both countries had
different prime ministers.
• The adoption of Nepal’s new Constitution in 2015, which India wanted amended, sparked
bilateral turbulence.
• Despite initial assurances to India, Nepal promulgated the Constitution without amendments,
leading to a significant downturn in relations.
• India imposed a six-month blockade on Nepal, ostensibly blaming Madhesi activists, causing
significant hardship and fostering long-lasting resentment in Nepal.
• Nepal’s leadership reacted by signing ten agreements with China covering trade, transit, power,
and transport.
• The blockade’s aftermath saw Nepal’s prime minister make provocative statements about
historical and national identity, further straining relations.
• Despite meetings between the prime ministers post-blockade, tensions persisted with
provocative suggestions from Nepal about India’s national symbols.
• India’s 2019 political map update, which included disputed territories, led Nepal to amend its
Constitution to assert its claims over these areas.
• With India’s prime minister starting his third term and Nepal’s new leadership, there is an
opportunity to reset and stabilise relations.
• The Indian government may need to revisit its approach to Nepal, emphasising policy
corrections and mutual respect.
• The principle of non-interference, as part of the Panchsheel doctrine, should guide India’s
engagement with Nepal.
Importance of Non-Interference
• India’s relentless engagement in Nepal’s politics contradicts the Panchsheel doctrine’s principle
of non-interference.
• A hands-off policy could lead to a politically stable and economically energised Nepal, benefiting
both nations.
• The political chaos in Nepal has weakened its ability to engage on equal terms with India.
• Previous Nepali leaders have had varied success in maintaining balanced relations with India.
• The recently concluded prime ministerial term saw significant concessions to India, including
agreements that potentially compromised Nepal’s sovereignty.
• The Indian Embassy in Kathmandu has been given unique privileges not afforded to other
embassies, raising concerns about unequal treatment.
• Delinking Nepal’s hydropower from its water resources to bypass parliamentary ratification
highlights the complexities of bilateral agreements.
Regional Cooperation
• The new leadership in Nepal has the opportunity to advocate for reviving the South Asian
Association for Regional Cooperation, benefiting the entire region.
• The historic and cultural ties between India and Nepal should be leveraged to improve relations.
• Misconceptions about Nepal in Indian academia and public opinion need to be addressed
through better communication and outreach.
• Nepal’s open border with India, often seen as a security concern, can be a model for future
peaceful South Asian integration.
Future Prospects
• Both nations need to move beyond historical grievances and power dynamics to forge a
mutually beneficial relationship.
• Nepal’s new leadership must assert its sovereignty and engage with India on equal terms.
• India’s policymakers should adopt a more respectful and cooperative approach, recognizing
Nepal as a distinct and important neighbour.
Conclusion
• The potential for a positive and stable relationship between India and Nepal exists, contingent
on mutual respect and non-interference.
• Embracing a more balanced and respectful relationship will benefit not only India and Nepal but
also the broader South Asian region.
Context: The Indian Space Research Organisation (ISRO) is currently facing an unexpected
problem: it has a surplus of rockets but a shortage of satellites to launch. This issue has emerged as
ISRO shifted from a supply-driven to a demand-driven model in 2019-2020, leading to a mismatch
between the number of available launch vehicles and the demand for satellite launches.
• Expert Insights : In June, S. Somanath, Chairman of ISRO and Secretary of the Department
of Space, highlighted that ISRO’s launch vehicle capability is three times the current demand.
This statement has led many experts to interpret that the space launch market is facing a
downturn. Somanath emphasized the need for strong domestic demand for launch vehicles
to address this imbalance.
These rockets can launch satellites weighing up to four tonnes to geosynchronous orbit. For satellites
exceeding this weight, India relies on foreign launch vehicles, such as Europe’s Ariane V and
SpaceX’s Falcon 9.
• Creating Demand : Without sufficient customer education, the expected scale of demand
that ISRO anticipates will not materialize. Potential customers include companies,
government institutions, defense enterprises, and the general public, such as farmers and
bankers. The task of educating these diverse customer groups is immense.
• Human Spaceflight : One significant future demand driver is human spaceflight. This
includes human-rated launch vehicles for transporting astronauts and supplies to destinations
like space stations or the moon. There is also potential for space tourism, which could
generate additional demand.
• Launch Capability Enhancements : India’s current launch vehicles face limitations. For
instance, the LVM-3, with less than one-third of the capability of China’s Long March 5,
would require two launches to accomplish missions similar to China’s Chang’e 4. ISRO plans
to upgrade the LVM-3 with a semi-cryogenic engine to increase its payload capacity to six
tonnes to geostationary transfer orbit (GTO). Additionally, the proposed Next Generation
Launch Vehicle (NGLV), or Project Soorya, aims to carry 10 tonnes to GTO, pending
funding approval.
• SSLV Development : ISRO needs one more successful flight of the SSLV to validate its
capability for launching smaller satellites, which are often experimental or university-built.
Success in this domain could encourage space companies to develop larger satellites,
eventually increasing demand for launch vehicles.
• All these launch vehicles will need satellites to launch. The heavier vehicles can fulfil some
national goals like lunar exploration and a space station while ISRO can use the smaller
satellites for technology and capability demonstration. However, the latter will constitute only
a small number of launches.
• Satellites have a defined mission life. As they get old, they will need to be replaced with newer
satellites.
• This will also create a demand for launch vehicles. However, mission operators like their
satellites to live longer and have been improving their lifetimes with software and hardware
upgrades. This complicates estimates of the number and frequency of launch vehicles that
will be needed.
• Launch vehicles are improving as well. In a single launch, the PSLV can deliver multiple
satellites in multiple orbits.
• Rocket stages are becoming reusable, which reduces the cost of building the rocket and
increases profitability.
• ISRO has been building its Reusable Launch Vehicle and vertical landing technologies to
make reusable landing stages. It is also making an effort to replace toxic fuels for rocket
engines with green alternatives.
Conclusion
ISRO’s current challenge of having more rockets than satellites to launch stems from the transition
to a demand-driven model and the need for customer education to generate sufficient demand.
Future demand drivers, such as human spaceflight and technological advancements, offer potential
solutions. However, developing a robust ecosystem with active private sector participation and
government support as an anchor customer is crucial for a sustainable and thriving space industry
in India.
• Their homes, often made of materials like tin, asbestos, and plastic, trap heat, turning them
into heat chambers.
• Women also endure poorly ventilated kitchens, experiencing scorching temperatures while
cooking. Rising temperatures exacerbate their extreme time poverty and care burdens.
• Due to lower productivity from heat stress, women work significantly longer hours to
complete their share of unpaid work at home.
• This adds to the existing gender differences in time use; women spend two and a half times
more minutes per day than men on unpaid work like cooking, cleaning, and fetching water
and fuel (National Statistical Office 2019 data).
• Intriguingly, more than two-thirds of women’s productivity loss from heat strain occurs in
the domain of unpaid labor in India.
• This loss also represents opportunity costs associated with heat stress, meaning that women
could have earned extra income, acquired skills, or rested adequately.
Worryingly Pervasive:
• Urban female informal laborers face extreme weather conditions while working in
marketplaces, streets, construction sites, landfills, or their employers’ homes.
• The situation is exacerbated by energy poverty, as these workers often live without cooling
facilities such as ventilated spaces, fans, air conditioners, or coolers.
• Additionally, greenery and other natural cooling methods are increasingly scarce in dense
urban areas.
• Water scarcity and power fluctuations further complicate efforts to stay hydrated and
comfortable.
• Women in these areas also face longer working hours under heat stress. If she performs
home-based work in a living space with asbestos or tin roofing, temperatures can become
unbearable, making labor unsafe.
• Additionally, restrictive gender norms on mobility and clothing can force her to stay indoors
and follow non-heat-friendly dress codes.
• Conversely, if she works outdoors, such as in MGNREGA projects, she is exposed to the
scorching sun.
• Prolonged exposure to heatwaves also negatively impacts crop yields, determining whether
poor rural women live in hunger and poverty.
• The incidence of heat-related diseases is rising with increasing temperatures. Heat stress puts
significant strain on the body, making it harder to regulate temperature, leading to illnesses
such as heat cramps, severe heat stroke, and hyperthermia.
• Women are at greater risk due to their physiological makeup—body fat percentage,
water content levels, and hormonal changes associated with menstrual cycles and
pregnancy affect heat tolerance and hydration.
• Women bear a dual burden from heat-related health issues since they are more susceptible to
its effects and shoulder the majority of caregiving responsibilities that follow.
• Additionally, heat stress significantly impacts maternal and child health. The increase
in preterm delivery, miscarriage, and stillbirths due to heat strain is particularly
concerning in India, given its higher maternal mortality rates.
• The burden on women becomes evident as India grapples with soaring temperatures. Millions
continue to suffer from worsening heat-related losses with no relief in sight.
Conclusion:
Strengthening their resilience to heat strain is crucial—climate-friendly urban planning, development
and access to sustainable cooling technologies, a fair division of care work, and public provisioning
of essential services should be immediate priorities. Addressing the social power gradient that
determines women’s capacity to face this crisis is also essential for any discussion on adaptation and
resilience.
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4. Watching the rain
GS III: Indian Economy
Context:
The latest inflation data points towards a continuing dilemma for the monetary policy committee.
It also shows the structural problem with Indian economy.
• Retail inflation, as measured by the consumer price index, rose to 5.08 per cent in June, up
from 4.8 per cent in May.
• But this increase was largely on the back of rising food prices.
• Core inflation, which excludes the volatile fuel and food components, remained subdued,
indicating that the underlying price pressures in the economy are muted.
• With this reading, inflation has now averaged 4.9 per cent in the first quarter (April-June) of
the ongoing financial year.
• This is in line with the RBI’s forecast that was released in the last monetary policy
committee meeting.
• But an immediate policy pivot is unlikely.
How food inflation data hindering any possibility of policy rate cut?
• The disaggregated data shows that food inflation edged higher to 9.36 per cent in June, up
from 8.69 per cent the month before.
• Inflation is elevated in cereals, fruits, vegetables, and pulses.
• Vegetable inflation has now, in fact, been in double digits for several months, in part
reflecting the impact of the heatwave.
• As food accounts for a higher share of the consumption basket of the poor, they are
impacted to a greater extent by these high prices.
• Much now depends on the rains.
• While the monsoon has picked up in July, La Nina is expected to emerge only in August.
• The spatial and temporal distribution of rainfall will have an impact on food output and
prices.
• As on July 15, the area sown under kharif crops is about 10 per cent higher than last year.
• In the last meeting of the monetary policy committee, two members — Jayanth Varma and
Ashima Goyal — had voted to change the policy stance to neutral and to reduce the policy
rate by 25 basis points.
• However, the committee chose to maintain the status quo.
• Recently, RBI Governor Shaktikanta Das reiterated his position, saying that “it is too
premature to talk about interest rate cuts”.
• Healthy economic growth — the central bank has projected it at 7.2 per cent this year —
provides the MPC the “policy space to remain focused on inflation”.
Conclusion: As core inflation remains low, greater clarity over the monsoon and the trajectory of
food prices will influence policy. RBI will face the dilemma between maintaining high policy rate
or to optimise it further to boost economic activities.
Context:
Union Finance Minister Nirmala Sitharaman is set to present the Union Budget on July 23. This
time, the government is a Bharatiya Janata Party (BJP)-led coalition. The Budget is not just a revenue
and expenditure statement but also a reflection of the policy and politics of the incumbent
government.
Coalition Dynamics and Electoral Backdrop
Unlike in 2019, when the BJP held 303 seats in the Lok Sabha, it now has 240 seats. The dynamics
of coalition politics and the aspirations of regional partners cannot be ignored. The reduced seat
tally may indicate public dissatisfaction with the government's economic policies during its second