Weekly Current Affairs (22nd to 31st July 2023) Part - 1 | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

Tomatoes Price Volatility

Context: Tomatoes, a staple vegetable in Indian households, have become a cause for concern due to their soaring prices.

• The sudden increase in tomato prices from ₹20 to ₹40 per kg in June 2022, reaching ₹100 per kg in July 2023, has raised questions about the reasons behind this price volatility.
• Despite the soaring prices, the inflation rate for tomatoes is surprisingly negative, creating a puzzling economic phenomenon known as #Tomato-nomics.

Why are Tomato Prices High?

Tomatoes Production in India:

• Tomato production is regionally concentrated in states like Andhra Pradesh, Madhya Pradesh, Karnataka, Odisha, and Gujarat, collectively accounting for approximately 50% of total production.
• India witnesses two main tomato crops annually - kharif and rabi.
• The Kharif crop is available from September, while the rabi crop hits the market between March and August.
• July-August is a lean production period for tomatoes as they fall between yields.
• Despite being one of the most cultivated vegetables, tomato production has been declining since its peak in 2019-20 at 21.187 million tonnes (MT).

Reasons Behind the High Tomato Prices:

Extreme Weather:

• Heatwaves and delayed monsoons in April and May led to pest attacks on tomato crops, affecting their quality and commercial realization.
• As a result, farmers received low prices for their produce in the months leading up to June.

CMV and ToMV Virus:

• The recent decline in tomato crops and the surge in tomato prices in Maharashtra, Karnataka, and other South Indian states can be attributed to the infestation of two plant viruses: the Tomato Mosaic Virus (ToMV) and the Cucumber Mosaic Virus (CMV).
• These viruses have caused partial to complete crop losses in tomato plantations over the last three years.
• As both viruses have a broad host range and can lead to nearly 100% crop loss if not treated in time, they have significantly impacted tomato yields, resulting in a rise in tomato prices.

Low Commercial Realization:

• Farmers faced the challenge of low commercial realization for their tomato crops in the months leading up to the price surge.
• Between December 2022 and April 2023, many farmers received prices as low as ₹6 to ₹11 per kg for their produce.
• This led to a situation where farmers had to sell their crops at unprofitable rates or even abandon their produce, resulting in a shortage of supply.

Farmer Shifting from Tomato Production:

• The low prices received by farmers in the previous year led to a significant impact on cultivation patterns.
• Many farmers who contribute substantially to tomato supplies shifted their focus to cultivating other crops fetched higher prices in the market, motivating farmers to opt for alternative crops.
• This shift in cultivation resulted in reduced tomato production, further aggravating the supply crunch and contributing to the surge in prices.

Supply Crunch:

• Inferior-quality tomatoes forced many farmers to sell at low prices or abandon their crops, resulting in a crunch in tomato supply.
• Incessant rains further impacted the new crops and transportation to non-growing regions.

Regional Drop in Production:

• Tamil Nadu, Gujarat, and Chhattisgarh witnessed a 20% drop in tomato production, exacerbating the shortage.

Impacts of High Tomato Prices:

• Inflationary Pressures: The volatility of tomato prices has historically contributed to overall inflation levels in the country, affecting consumers' purchasing power.
• CPI Impact: Tomato's price fluctuations have significant implications for the Consumer Price Index (CPI), making it a challenge for policymakers to control inflation.
• Economic Distress: The high prices put a strain on households' budgets, especially for low-income families heavily reliant on tomatoes as a dietary staple.

Possible Solutions for Reducing Tomato Prices:

• Improve Value and Supply Chains: Enhance value and supply chains to address perishability and transportation issues.
• Increase Processing Capacity: Convert tomatoes into paste and puree during peak seasons to ensure adequate supply during lean periods.
• Encourage Direct Sales: Promote direct sales by Farmer Producers Organizations to provide farmers with a larger share of consumer prices.
• Promote Cultivation in Poly Houses and Greenhouses: Encourage cultivation in controlled environments to control pest attacks and increase yields.

Why is the Inflation Rate for Tomatoes Negative?

High Base Effect:

• The negative inflation rate is a result of a high base effect. The index value for tomatoes in June 2022 was significantly higher due to soaring prices at that time.
• In June 2023, despite a spike in prices, the index value was much lower compared to the previous year, leading to negative inflation.

Calculation Method:

• In India, the inflation rate is calculated on a year-on-year basis, comparing the index value for a specific month to the same month in the previous year.
• The index value for June 2023 (191) is significantly lower than the index value for June 2022 (293), showing a 35% decrease.
• The decline in index value from June 2022 to June 2023 led to negative inflation, despite a recent increase in tomato prices.

Temporary Price Surge:

• Tomato prices experienced a rapid increase within a short period, reaching Rs 100 per kg in June 2023.
• However, this surge was not sustained, and prices began to decline afterward, contributing to the negative inflation rate.

Empowering the Tribal Society

Context: Recently, the Minister of Culture, Tourism and Development of North-Eastern Region in Rajya Sabha has pointed out various schemes and programmes that are introduced by the government with an aim of protecting, preserving, and promoting the country's tribal cultural heritage.

What are the Recent Steps Taken for Empowerment of Tribes in India?

• Zonal Cultural Centres (ZCCs): The Government of India has established seven ZCCs which are responsible for organising a wide range of cultural activities and programs across the nation on a regular basis, which will help in conserving tribal languages and culture across the country as well.
• The councils are set up with headquarters at Patiala, Nagpur, Udaipur, Prayagraj, Kolkata, Dimapur and Thanjavur.
• Regional Festivals: Under the Ministry of Culture, several Rashtriya Sanskriti Mahotsavas and a minimum of 42 regional festivals are organised through the ZCCs every year.
• To support these activities, the Government provides Grant-in-aid to all ZCCs.
• Promotion of Tribal Languages: The government also provides grants to State Tribal Research Institutes for the promotion of tribal languages, the development of bilingual primers for the preservation of tribal languages and the promotion of tribal literature.
• Tribal Research Information, Education, Communication and Events (TRU-ECE) Scheme: Under this, financial assistance is provided to reputed Institutions for TRU-ECE scheme with the aim to promote tribal culture, artifacts, customs and traditions of tribal communities.
• Eklavya Model & Museums: Under the Azadi ka Amrit Mahotsav, the Ministry of Tribal Affairs has resolved to establish nearly 750 Eklavya Model Residential Schools to support the education of tribal students.
• The government has also sanctioned ten tribal freedom fighter museums in order to acknowledge the heroic and patriotic deeds of tribal people.
• Adivasi Grants Management System (ADIGRAMS): It monitors the physical and financial progress of the grants given by the Ministry to States and can track the actual utilisation of funds.
• Janjatiya Gaurav Divas: In 2021, it was decided to celebrate 15th November of every year as Janjatiya Gaurav Divas to mark the birth anniversary of tribal freedom fighter Birsa Munda.

What are Other Related Government Initiatives?

• TRIFED
• Digital Transformation of Tribal Schools
• Development of Particularly Vulnerable Tribal Groups
• Pradhan Mantri Van Dhan Yojana
• Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)

What are the Constitutional Provisions Related to Scheduled Tribes?

• The Constitution of India does not endeavor to define the term 'tribe', however, the term Scheduled Tribe' was inserted in the Constitution through Article 342 (i).
• It lays down that 'the President may, by public notification, specify the tribes or tribal communities or parts of or groups within the tribes or tribal communities or parts which shall, for the purposes of this Constitution, be deemed to be Scheduled Tribes.
• The Fifth Schedule of the Constitution provides for the setting up a Tribes’ Advisory Council in each of the States having Scheduled Areas.

Educational & Cultural Safeguards:

• Article 15(4): Special provisions for the advancement of other backward classes (it includes STs).
• Article 29: Protection of the Interests of Minorities (it includes STs).
• Article 46: The State shall promote, with special care, the educational and economic interests of the weaker sections of the people, and in particular, of the Scheduled Castes, and the Scheduled Tribes, and shall protect them from social injustice and all forms of exploitation.
• Article 350: Right to conserve a distinct Language, Script or Culture.

Political Safeguards:

• Article 330: Reservation of seats for STs in the Lok Sabha,
• Article 332: Reservation of seats for STs in State Legislatures.
• Article 243: Reservation of seats in Panchayats.

Administrative Safeguard:

• Article 275: It provides for the grant of special funds by the Union Government to the State Government for promoting the welfare of Scheduled Tribes and providing them with a better administration.

What Issues Are Faced by the Tribes in India?

• Land Rights: One of the most significant issues faced by tribal communities is the lack of secure land rights. Many tribes live in forest areas or remote regions where their traditional rights to land and resources are often not recognized, leading to displacement and land alienation.
• Socio-economic Marginalisation: Tribal populations often experience socio-economic marginalisation, including poverty, lack of access to quality education, healthcare, and basic amenities like clean water and sanitation facilities.
• Education Gap: Education levels among tribal populations are generally lower than the national average. Lack of access to quality education, cultural barriers, and language differences can hinder the educational development of tribal children.
• Exploitation and Bonded Labor: Some tribal communities are vulnerable to exploitation, bonded labor, and human trafficking, especially in remote regions where law enforcement is weak.
• Cultural Erosion: Rapid urbanisation and modernisation can lead to the erosion of tribal cultures, languages, and traditional practices. The younger generation may face challenges preserving their cultural identity.
• Lack of Representation: Despite protective measures, tribal communities often face inadequate political representation and lack a strong voice in decision-making processes that concern their welfare and rights.

Way Forward

• Land and Resource Rights: Recognising and securing land and resource rights for tribal communities is crucial to their well-being. Displacement and land alienation have been significant issues faced by tribes, and addressing these concerns is essential for their sustenance.
• Education and Skill Development: Providing quality education and skill development programs tailored to the needs and cultural context of tribal communities can enable them to access better livelihood opportunities and participate more actively in the mainstream economy.
• Healthcare and Sanitation: Ensuring access to proper healthcare facilities and sanitation is essential to improving the overall health and well-being of tribal communities, who often face unique health challenges due to geographical isolation and limited access to services.
• Empowerment of Women: Recognising the crucial role of women in tribal societies and promoting their active participation in decision-making processes, economic activities, and community development.
• Promotion of Indigenous Culture: Preserving and promoting tribal languages, art, traditions, and cultural practices are vital to maintaining the rich diversity of India's heritage.
• Participation and Inclusion: Encouraging tribal representation and participation in local governance and policy-making bodies, which will help ensure their voices are heard in matters that directly affect their lives.

NITI Aayog Unveils TCRM Matrix Framework

Context: NITI Aayog has introduced the Techno-Commercial Readiness and Market Maturity Matrix (TCRM Matrix) framework, an innovative assessment tool aimed at transforming technology evaluation, encouraging innovation, and nurturing entrepreneurship in India.

What is TCRM Matrix?

• TCRM Matrix stands for Techno-Commercial Readiness and Market Maturity Matrix.
• It is an assessment tool designed to revolutionize technology evaluation, foster innovation, and fuel entrepreneurship in India.
• The framework presents an integrated assessment model that offers in-depth insights and actionable intelligence to stakeholders at every stage of the technology development cycle.

How will TCRM Matrix be Useful?

• TCRM framework provides a robust analysis of the joint readiness of a project.
• The scale is intended to give a standard language for innovators, researchers, and investors to communicate about the readiness of a technology for commercialization or deployment.
• The Technology Readiness Level (TRL) was designed to give a framework for assessing a technology’s readiness and communicate more effectively about the risks and opportunities associated with a given technology by utilizing standard language to express the maturity of a technology.
• This framework was developed from the study of innovation from an economic perspective and looks at the increase in performance of a technology over time.
• It finds that from the point of introduction of the technology by an innovator, the improvement in performance of a technology usually starts very slowly with early adopters.
• The Commercialization Readiness Level (CRL) will assess various indicators which influence the commercial and market conditions beyond the technology maturity.
• It assess how a new technology could be commercially successful all the way through to commercial availability and wider acceptance within the target market.
• This enables key barriers to be addressed to support the commercialization of a technology.
• It is intended to supplement the TRL scale by providing increased focus on a technology’s preparedness for market launch and commercial success through specific and clearly defined business indicators.
• Market Readiness Level (MRL) is a methodology used to evaluate how close to the market the project outputs.
• It is used to assess how ready your product or service is to take to market as a commercial offering for a group of customers.
• It relies on extrinsic indicators like the awareness of extrinsic market indicators.
• It is intended to supplement the TRL and CRL by focusing on a technology’s preparedness for the purpose of customer adoption and market success

Why is TCRM Matrix Needed?

• According to the Global Innovation Index 2022, India was ranked 40th in the world in terms of R&D expenditure as a percentage of GDP.
• India’s start-up ecosystem has grown rapidly, with over 50,000 start-ups in the country. This is supported by a strong network of incubators and accelerators, which have helped to nurture and support these innovative companies.
• The IT and software sector contributed USD 191 billion to India’s GDP in 2020, accounting for 7.7% of the country’s total GDP.
• The Indian pharmaceutical industry is the world’s third largest by volume, with over 20,000 registered companies.

Way Forward:

• The adoption of the TCRM Matrix framework necessitates a comprehensive analysis and contextualization within the unique national and sectoral innovation landscape. This will help policymakers in making effective decisions to foster innovation and drive growth.

What is the Global Innovation Index?

• The Global Innovation Index (GII), which is published annually by World Intellectual Property Organization (WIPO).
• The GII has also been recognized by the UN Economic and Social Council in its 2019 resolution on Science, Technology and Innovation for Development as an authoritative benchmark for measuring innovation in relation to the Sustainable Development Goals (SDGs).

What is WIPO?

• WIPO is the global forum for intellectual property (IP) services, policy, information and cooperation.
• It is a self-funding agency of the United Nations, with 193 member states.
• Its aim is to lead the development of a balanced and effective international IP system that enables innovation and creativity for the benefit of all.

Intellectual Property Rights Policy Management Framework

Context: Recently, the Ministry of Commerce and Industry, Government of India, has informed the Rajya Sabha about the Intellectual Property Rights Policy Management (IPRPM) Framework.

What is IPRPM Framework?

About:

• The framework was launched in the form of National IPR (Intellectual Property Rights) Policy 2016 encompassing all IPRs into a single vision document setting in place an institutional mechanism for implementation, monitoring and review of IP laws.

Objective:

• IPR Awareness: Outreach and promotion are important to create public awareness about the economic, social and cultural benefits of IPRs among all sections of society.
• Generation of IPRs: To stimulate the generation of IPRs.
• Legal and Legislative Framework: To have strong and effective IPR laws, which balance the interests of rights owners with larger public interest.
• Administration and Management: To modernize and strengthen service oriented IPR administration.
• Commercialisation of IPRs: Get value for IPRs through commercialisation.
• Enforcement and Adjudication: To strengthen the enforcement and adjudicatory mechanisms for combating IPR infringements.
• Human Capital Development: To strengthen and expand human resources, institutions and capacities for teaching, training, research and skill building in IPRs.

Initiatives under IPR Policy:

• National Intellectual Property Awareness Mission (NIPAM): It is a flagship program to impart IP awareness and basic training in educational institutes
• National Intellectual Property (IP) Awards: These are conferred every year to recognize and reward the top achievers comprising individuals, institutions, organizations and enterprises, for their IP creations and commercialization.
• Scheme for Facilitating Start-Ups Intellectual Property Protection (SIPP): It encourages filling of Patent applications by Startups.
• Patent Facilitation Programme: It aims to scout patentable inventions and provide full financial, technical and legal support in filing and obtaining patents.

What are Intellectual Property Rights?

About:

• IPR are the rights given to persons over the creation of their minds. They usually give the creator an exclusive right over the use of his/her creation for a certain period of time.
• These rights are outlined in Article 27 of the Universal Declaration of Human Rights, which provides for the right to benefit from the protection of moral and material interests resulting from authorship of scientific, literary or artistic productions.
• The importance of intellectual property was first recognized in the Paris Convention for the Protection of Industrial Property (1883) and the Berne Convention for the Protection of Literary and Artistic Works (1886).
• Both treaties are administered by the World Intellectual Property Organization (WIPO).

Need for IPR:

Encourages Innovation:

• The legal protection of new creations encourages the commitment of additional resources for further innovation.

Economic Growth:

• The promotion and protection of intellectual property spurs economic growth, creates new jobs and industries and enhances the quality and enjoyment of life.

Safeguard the Rights of Creators:

• IPR is required to safeguard creators and other producers of their intellectual commodity, goods and services by granting them certain time-limited rights to control the use made of the manufactured goods.

Ease of Doing Business:

• It promotes innovation and creativity and ensures ease of doing business.

Transfer of Technology:

• It facilitates the transfer of technology in the form of foreign direct investment, joint ventures and licensing.

What are the Issues Related to IPR Regime?

• Patent-Friendliness Over Public Health: The National IPR Policy recognizes the contribution of the Indian pharmaceutical sector in providing affordable medicines globally. However, India's patent establishment has prioritized patent-friendliness over public health and national interest in the pharmaceutical sector.
• Data Exclusivity: Foreign investors and Multi-National Corporations (MNCs) allege that Indian law does not protect against unfair commercial use of test data or other data submitted to the government during the application for market approval of pharmaceutical or agro-chemical products. For this, they demand a data exclusivity law.
• Resulting in Anti-Competitive Market: The Patents Act has four stakeholders: society, government, patentees, and their competitors, and interpreting and enforcing the act to only benefit patentees undermines the rights of other stakeholders and leads to anti-competitive market outcomes.

What are the Treaties and Conventions related to IPR?

Global:

• India is a member of the WTO (World Trade Organization) and committed to the Agreement on TRIPS (Trade Related Aspects of Intellectual Property Rights) Agreement.
• India is also a member of WIPO (World Intellectual Property Organisation), a body responsible for the promotion of the protection of intellectual property rights throughout the world.
• India is also a member of the following important WIPO-administered International Treaties and Conventions relating to IPRs:
• Budapest Treaty on the International Recognition of the Deposit of Microorganisms for the Purposes of Patent Procedure (adopted in 1977)
• Paris Convention for the Protection of Industrial Property (adopted in 1883).
• Convention Establishing the World Intellectual Property Organization (adopted in 1967).
• Berne Convention for the Protection of Literary and Artistic Works (Adopted in 1886).
• Patent Cooperation Treaty (Adopted in 1970).

National:

Indian Patent Act 1970:

• This principal law for patenting system in India came into force in the year 1972. It replaced the Indian Patents and Designs Act 1911.
• The Act was amended by the Patents (Amendment) Act, 2005, wherein product patent was extended to all fields of technology including food, drugs, chemicals and microorganisms.

Way Forward

• India, as a developing country, has often faced challenges in striking a balance between providing access to essential goods like medicines and incentivizing innovation through patents.
• India can involve adopting measures that encourage innovation while ensuring access to affordable healthcare and other essential goods.
• As technology and business models continue to evolve, it is essential to regularly review and update the IPR laws to remain relevant and effective.
• Flexibility in the IPR regime is necessary to address emerging challenges such as those posed by digital technologies.