Economic Development - 4 | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

Contributions of M S Swaminathan

Context

Monkomb Sambasivan Swaminathan, recognized as the 'Father of India's Green Revolution,' has died at the age of 98.

Who was MS Swaminathan?

• About:
  • Born on 7^th August, 1925, in Kumbakonam, Tamil Nadu, India, he was deeply influenced by Mahatma Gandhi's principles and India's struggle for independence.
  • He initially aimed to pursue a medical career but shifted his focus to agriculture due to the Bengal famine of 1942-43, a tragic event that left a profound impact on him and stirred his passion for improving India's agricultural sector.
• Career:
  • Engaging in agricultural studies and research, he focused on genetics and breeding, driven by the conviction that enhanced crop varieties could profoundly benefit farmers and address issues of food scarcity.
    • He served as the Director General of the Indian Council of Agricultural Research (ICAR), where he played a crucial role in advancing agricultural research and education in India.
    • He also served as the Independent Chairman of the Food and Agricultural Organization Council and held leadership roles in international conservation and agricultural organizations.
• Contributions:
  • Role in the Green Revolution: He was widely recognized for his pivotal role in the Green Revolution, a transformative phase in Indian agriculture that significantly increased crop productivity and ensured Food Security for the nation.
  • High-Yielding Wheat and Rice: Swaminathan's groundbreaking work with Norman Borlaug in developing high-yielding wheat and rice varieties, notably the semi-dwarf wheat varieties, revolutionized agriculture in India during the 1960s and '70s.
    • This transformation significantly increased crop yields, making India self-sufficient in food production and averting the looming threat of famine.
  • Farmer Welfare: Swaminathan advocated for the welfare of farmers, emphasizing fair prices for agricultural produce and sustainable farming practices.
    • As chair of the National Commission of Farmers, the ‘Swaminathan Report’ probed the causes of farm distress.
    • One of the key proposals, suggesting that Minimum Support Prices (MSP) should be a minimum of 50% higher than the average production costs, remains a central demand voiced by agricultural unions throughout India. MSP represents the price at which the government directly procures crops from farmers.
  • Protection of Plant Varieties and Farmers' Right Act 2001: He played a pivotal role in developing the Protection of Plant Varieties and Farmers' Right Act 2001.
  • Other Contributions:
  • He will be remembered forever for his role in the global recognition of the 'Gulf of Mannar Marine Biosphere (Go MMB)' and Kerala's Kuttanad known for 'traditional cultivation of paddy below sea-level' as a globally important agricultural heritage site.
    • He also contributed to the conservation and enhancement of the biodiversity and ecology of these regions.
  • He also established the M. S. Swaminathan Research Foundation (MSSRF) in 1988 to promote sustainable agriculture and rural development.
    • MSSRF focuses specifically on tribal and rural communities with a pro-poor, pro-women and pro-nature approach.
• Accolades:
  • He has received numerous accolades and awards for his outstanding contributions to agriculture, including being honored as the first World Food Prize Laureate in 1987.
  • He has also been conferred with the Padma Shri (1967), Padma Bhushan (1972) and Padma Vibhushan (1989).
  • Various international honors including the Ramon Magsaysay Award (1971) and the Albert Einstein World Science Award (1986).

Indian Council of Agricultural Research (ICAR)

Context

The Indian Council of Agricultural Research (ICAR) is a distinguished autonomous organization operating under the Department of Agricultural Research and Education, Ministry of Agriculture and Farmers Welfare, Government of India. Functioning as the apex body, ICAR is responsible for coordinating, guiding, and overseeing research and education in the agricultural domain within the country. The organization's headquarters are situated in New Delhi, India.

Overview of Indian Council of Agricultural Research

The Indian Council of Agricultural Research (ICAR) started in 1929. Its goal was to improve farming education and research in India. Over time, it has played an important part in changing how farming is done in the country. ICAR has helped India's farming industry a lot. It has helped farming grow and develop.

Role of ICAR Towards Agriculture

The Indian Council of Agricultural Research (ICAR) plays a crucial role in advancing agriculture in India. Through its research, education, and extension activities, ICAR contributes to the development and growth of the agricultural sector.
Here are the key roles and contributions of ICAR:

• ICAR does research to make farming better and help farmers with their problems.
• Indian Council of Agricultural Research wants farming to be good for the environment and uses techniques like organic farming and pest control to protect nature.
• ICAR shares new farming technologies with farmers through science centers and universities.
• ICAR teaches farmers through training programs and workshops about the latest ways to farm.
• It helps people working in agriculture to learn more and get better at their jobs and it works together with other organizations and universities to share knowledge and do research together.
• ICAR helps the government make good decisions about agriculture by giving them advice based on science.
• ICAR cares about improving the quality of crops and making sure we have enough food.
• ICAR wants to make sure farming is sustainable and doesn't harm natural resources.

Mandate of ICAR

The Indian Council of Agricultural Research (ICAR) has the following key mandates:

• Coordinating and promoting agricultural education and research.
• Providing leadership in agricultural research and technology transfer.
• Conducting fundamental and applied research in various aspects of agriculture.
• Developing and implementing agricultural policies and programs.
• Strengthening linkages between research, extension, and education in agriculture.

Initiative of Indian Council of Agricultural Research

The Indian Council of Agricultural Research (ICAR) has undertaken various initiatives to address the challenges faced by the agricultural sector.
Some notable initiatives include:

• National Agricultural Innovation Project (NAIP): Promotes research and development in agricultural innovation systems.
• National Agricultural Higher Education Project (NAHEP): Enhances the quality and relevance of agricultural education in the country.
• National Innovations in Climate Resilient Agriculture (NICRA): Aims to enhance the resilience of Indian agriculture to climate change.
• National Agricultural Science Fund (NASF): Provides financial support to research projects and infrastructure development.

Milestones of Indian Council of Agricultural Research

The Indian Council of Agricultural Research (ICAR) has achieved several milestones in its journey of promoting agricultural research and education.
Some notable milestones include:

• Establishment of the first agricultural university in India, Uttar Pradesh Agricultural University, in 1906.
• Setting up the Indian Agricultural Research Institute (IARI) in New Delhi in 1905.
• Launch of the Green Revolution in the 1960s, which significantly increased agricultural production.
• Development of high-yielding varieties of wheat and rice, leading to self-sufficiency in food grains.
• Introduction of innovative farming practices, such as integrated pest management and organic farming.

Future Targets of ICAR

The Indian Council of Agricultural Research (ICAR) has set ambitious targets for the future to address emerging challenges and harness opportunities in the agricultural sector.
Some of the key targets include:

• Enhancing farm productivity through the adoption of advanced technologies and practices.
• Promoting sustainable and climate-smart agriculture.
• Strengthening the resilience of Indian agriculture to climate change.
• Improving the income and livelihoods of farmers through value addition and market linkages.
• Enhancing the quality and relevance of agricultural education and research.

Conclusion
ICAR plays a crucial role in supporting Indian farmers through various initiatives. It conducts research to enhance farming practices, generating innovative ideas to improve agricultural productivity. Additionally, ICAR provides education and training to farmers, guiding them on adopting the correct and efficient farming methods. The organization also formulates regulations aimed at enhancing the overall farming process. Collaborating with other nations, ICAR contributes to the growth and development of Indian agriculture on a global scale.

National Turmeric Board

Context

The Indian government has formally instituted the National Turmeric Board, addressing a longstanding request from turmeric farmers nationwide.

About

• The newly established National Turmeric Board, operating under the Union Commerce Ministry, is dedicated to the advancement and promotion of turmeric and its related products in India. India holds a prominent position as a leading producer and exporter of turmeric globally. 
• The primary turmeric-producing states in India include Maharashtra, Telangana, Karnataka, and Tamil Nadu, collectively contributing to over 62% of the world's turmeric trade.
• Turmeric, derived from the root of the Curcuma longa plant, is a spice with a rich, golden-orange hue and a warm, bitter taste. It is a relative of ginger and has been an integral part of culinary traditions for centuries. 
• Turmeric is commonly used to flavor or color various food items such as curry powders, mustards, butters, and cheeses.
• Notably, turmeric contains curcumin, a chemical known for its potential anti-inflammatory properties. Curcumin is also responsible for imparting the characteristic yellow color to turmeric.

Periodic Labour Force Survey (PLFS) Report 2022-2023

Context

The National Statistical Office (NSO) has recently published the Annual Report for 2022-2023 based on the Periodic Labour Force Survey (PLFS). The survey was conducted over the period from July 2022 to June 2023.

What are the Key Findings of the Report?

• Estimates of Key Labor Market Indicators in Usual Status:
  
• Estimates of Key Labor Market Indicators Current Weekly Status (CWS):

What is the Periodic Labour Force Survey?

• About:
  • It is a survey conducted by the NSO under the Ministry of Statistics and Programme Implementation (MoSPI) to measure the employment and unemployment situation in India.
  • The NSO launched the PLFS in April 2017.
• Objective of PLFS:
  • To estimate the key employment and unemployment indicators (viz. Worker Population Ratio, Labour Force Participation Rate, Unemployment Rate) in the short time interval of three months for the urban areas only in the ‘Current Weekly Status’ (CWS).
  • To estimate employment and unemployment indicators in both ‘Usual Status’ and CWS in both rural and urban areas annually.

What are the Government’s Initiatives Related to Employment?

• Support for Marginalized Individuals for Livelihood and Enterprise (SMILE)
• PM-DAKSH (Pradhan Mantri Dakshta Aur Kushalta Sampann Hitgrahi)
• Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)
• Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
• Start Up India Scheme
• Rozgar Mela

What are the Types of Unemployment?

• Disguised Unemployment:
  • Description: More people are employed than needed, primarily found in the agricultural and unorganized sectors.
• Seasonal Unemployment:
  • Description: Occurs during specific seasons of the year, often affecting agricultural laborers who do not work year-round.
• Structural Unemployment:
  • Description: Arises from a mismatch between available jobs and the skills of workers.
• Cyclical Unemployment:
  • Description: Linked to economic cycles, with unemployment rising during recessions and declining in periods of growth.
• Technological Unemployment:
  • Description: Job losses due to technological changes, with India experiencing significant impacts from automation.
• Frictional Unemployment:
  • Description: Involves a time lag when individuals search for or switch between jobs, often voluntary and not due to job shortages.
• Vulnerable Employment:
  • Description: Informal, contract-less work without legal protection, often leading to unrecorded employment.

Prompt Corrective Action (PCA) Framework

Context

The Reserve Bank of India (RBI) has decided to extend the application of the Prompt Corrective Action (PCA) framework to Government Non-Banking Financial Companies (NBFCs), excluding those in the base layer, effective from October 1, 2024. NBFCs are categorized into four layers based on their size, activity, and perceived riskiness, namely Base Layer NBFCs, Middle Layer NBFCs, Upper Layer NBFCs, and Top Layer NBFCs.

Prompt Corrective Action (PCA)

• Introduction of PCA Framework (2002): Ensures stability of banks and NBFCs.
• Expansion in 2022: Extended to most NBFCs, excluding government NBFCs.
• Current Applicability:
  • Applies to all Scheduled Commercial Banks (excluding Regional Rural Banks, Payment Banks, and Small Finance Banks).
  • Encompasses most NBFCs, including government NBFCs.
• Objective of PCA Framework: Enables timely supervisory intervention.
• Remedial Measures: Mandates entities to implement corrective measures.
• Purpose: Aims to restore financial health of entities under its purview.

Historical Perspective

• 2002: RBI Governor Bimal Jalan introduced PCA for Scheduled Commercial Banks, excluding Regional Rural Banks (RRBs).
• 2018: NABARD implemented a separate PCA framework for RRBs with its own set of regulations.

PCA Classification

• NBFCs are categorised into Risk Categories 1, 2, or 3 (The higher the number, the higher the risk), based on their capital, loan-asset quality, and other factors.

Corrective Actions (depending on the risk threshold)

• Banks receiving Strict Warnings.
• Deeper Audit and supervision.
• Restrictions on Directors’ Salaries and Dividends.
• Branch Expansion and Lending Operations Restrictions.
• Requiring promoters/shareholders to infuse equity and reduce leverage.
• Mergers or Shutdown: Under the Banking Regulation Act of 1949.

Whitelisting

Banks listed under the PCA framework have the opportunity to exit from it by undertaking measures such as improving their Non-Performing Assets (NPAs), bolstering capital adequacy, and enhancing profitability.