UPSC Daily Current Affairs: 4th September 2024 | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly PDF Download

GS3/Economy

World Bank Revises India’s GDP Growth Estimate

Source: Business Standard

Why in news?

The World Bank (WB) has updated its projection for India's GDP growth, increasing it to 7% for FY25 from the previously estimated 6.6%. This revision is attributed to a rise in household investments in real estate and infrastructure development.

Highlights of the WB’s Forecast on the Indian Economy

• GDP growth:
  • India maintained its status as the fastest-growing major economy with a growth rate of 8.2% in the last fiscal year.
  • For the current fiscal year, growth is projected at 7%, followed by a slight decrease to 6.7% in FY26.
• Industrial growth:
  • Forecasts suggest a slowdown in industrial growth to 7.3% in FY26, down from 7.6% in FY25.
  • In FY24, industrial growth rebounded to 9.5% after disruptions caused by the Covid-19 pandemic.
• Gross Fixed Capital Formation (GFCF):
  • GFCF is anticipated to decelerate to 7.8% in FY25, compared to an estimated 9.0% in FY24.
  • The growth rate for GFCF was recorded at 6.6% in FY23.
• Service sector growth:
  • The service sector is expected to experience a decline, with growth dropping to 7.4% in FY25 and 7.1% in FY26 from 7.6% in FY24, influenced by a global downturn in IT investments.
• Agricultural growth:
  • A significant increase in agricultural growth is predicted, rising to 4.1% in FY25 from 1.4% in FY24.
• Export-Import:
  • The World Bank forecasts a 7.2% increase in goods and services exports for FY25, compared to FY24.
  • Imports are expected to grow by 4.1% in FY25, down from 10.9% in FY24.

Opportunities and Challenges for the Indian Economy

• Export Sector:
  • India has the potential to diversify its export base by boosting exports in electronics, green technologies, textiles, garments, and footwear, alongside established strengths in IT and pharmaceuticals.
  • However, India is losing competitiveness in labor-intensive sectors like apparel and footwear, with its global share in apparel exports declining from 4% in 2018 to 3% in 2022 due to rising production costs and lower productivity.
  • In contrast, countries such as Bangladesh, Vietnam, Poland, Germany, and France have increased their export shares in key job-creating sectors by up to 2% from 2015 to 2022.
• Trade Barriers:
  • The global trade environment has seen a rise in protectionism, impacting trade dynamics.
  • The reconfiguration of global value chains post-pandemic has opened new avenues for India.
  • India has improved its competitiveness through initiatives like the National Logistics Policy (NLP) and digital measures that aim to reduce trade costs.
  • Nonetheless, the increase in tariff and non-tariff barriers poses a threat to trade-focused investments.
• Current Account Deficit (CAD):
  • The CAD was recorded at 0.7% in FY24, a decrease from 2% in FY23.
  • Foreign exchange reserves reached a record high of $670.1 billion in August 2023, equivalent to 11 months of spending, bolstered by a shrinking CAD and strong foreign portfolio investment inflows.
  • However, the WB predicts a steady increase in the CAD, rising from 1.1% in FY25 to 1.2% in FY26 and 1.6% in FY27.
• Jobs in India:
  • Despite being the fastest-growing major economy, India faces a high urban youth unemployment rate of 17%.
  • Employment connected to international trade has declined over the past ten years.
  • The country has missed out on export opportunities resulting from China's exit from labor-intensive manufacturing sectors.
  • To foster more trade-related employment, India needs to deepen its integration into global value chains, which may also lead to innovations and productivity enhancements.

GS3/Science and Technology

Why gold nuggets are found in quartz veins?

Source: The Hindu

Why in News?

Researchers have been investigating the reason behind the historical discovery of gold nuggets predominantly in orogenic quartz veins.

Orogenic Gold Systems

• Orogenic gold systems are typically located in mountainous areas.
• These regions are shaped by significant geological processes, particularly the collision of tectonic plates.
• Key examples include:
  • The Himalayas
  • The Canadian Shield
  • The Western Australian goldfields

Formation of Large Nuggets

• Large gold nuggets are formed during tectonic activities that result in mountain creation.
• During earthquakes, stress is applied to quartz crystals, triggering reactions that deposit gold onto their surfaces.
• This process occurs repeatedly, leading to the accumulation of gold nuggets.

Understanding Gold Nuggets

• Gold nuggets are naturally occurring lumps or chunks of gold.
• They can be found in riverbeds, streams, or embedded within rock formations, especially in quartz veins.
• Orogenic quartz veins are specifically those that develop in mountainous regions.

Electrochemical Reactions

• The piezoelectric properties of quartz generate an electric field under stress.
• This electric field facilitates electrochemical reactions at the boundary between quartz and surrounding aqueous solutions containing dissolved gold.
• These reactions result in gold being deposited onto the quartz surface.

Research Findings

• Researchers identified that the piezocatalytic effect of quartz under seismic stress can account for the gold accumulation in quartz veins.
• Experiments involved applying mechanical strain to quartz slabs in a gold-bearing solution, resulting in observable gold deposition.
• This suggests that gold nuggets in orogenic systems are formed through repeated piezocatalytic reactions influenced by natural seismic activity.
• The process clarifies why gold deposits are concentrated and interconnected within quartz veins.

Conclusion

• Gold nuggets in orogenic quartz veins are formed via piezocatalytic reactions caused by seismic stress on quartz.
• This process facilitates gold deposition on quartz surfaces, clarifying the concentration of gold in mountainous regions.

Mains PYQ

The increasing demand for gold in India has led to a surge in imports, impacting the balance of payments and the external value of the rupee. In this context, examine the advantages of the Gold Monetization Scheme. (UPSC IAS/2015)

GS2/Polity

Anti-Naxal Operation in Dantewada, Chhattisgarh

Source: The Hindu

Why in News?

In a recent significant anti-Naxal operation, security forces successfully neutralized nine Maoist insurgents in the forested regions bordering Dantewada, Chhattisgarh. This operation is part of ongoing efforts aimed at eradicating Naxalite influence within the area. Dantewada, located in the Bastar region of Chhattisgarh, is notorious for being a stronghold of Naxal (Maoist) insurgency.

The region's challenging geography, characterized by dense forests and rugged terrain, has made it a persistent site of anti-Naxal operations, which have been conducted over many years due to the significant presence of Naxalite cadres.

Important Security Operations Against Naxalism:

• Operation Greyhounds (1989 – Ongoing): A specialized force formed to tackle Naxal insurgency in Andhra Pradesh and Telangana.
• Operation Green Hunt (2009 – Ongoing): Aimed at flushing out Naxalite insurgents from their strongholds in the "Red Corridor."
• Operation Thunderstorm (2010): Focused on targeting Naxal cadres in the dense forest regions of Lalgarh, West Bengal.
• Operation Octopus (2014): Conducted to eliminate Maoist influence in the Sukma district of Chhattisgarh.
• Operation All Out (2015 – Ongoing): A coordinated offensive against Naxalites in Jharkhand and Bihar.
• Operation Samadhan (2017 – Ongoing): A comprehensive approach addressing both security and developmental issues related to Left-Wing Extremism (LWE).
• Operation Prahar: Targeted efforts to eliminate high-ranking Maoist leaders and dismantle their support networks in the Bastar region.
• Operation Monsoon (2018): Focused on targeting Maoist groups during the monsoon season when their activities are typically reduced.

PYQ:

[2022] Naxalism represents a complex social, economic, and developmental challenge that manifests as a violent internal security threat. In this context, it is crucial to discuss the emerging issues and propose a multi-layered strategy to effectively address the menace of Naxalism.

GS1/History & Culture

Study confirms the existence of a Dockyard at Lothal

Source: Indian Express

Why in news?

A recent study conducted by the Indian Institute of Technology-Gandhinagar (IITGn) has provided new evidence that supports the existence of a dockyard at Lothal, measuring 222 x 37 meters, which had previously been a subject of debate among scholars.

• The discovery of Lothal, located in the Bhal region of Gujarat, during the 1950s sparked discussions among archaeologists regarding the presence of a dockyard.
• The IITGn study indicates that the Sabarmati River previously flowed near Lothal during the Harappan period, unlike its current course, which is approximately 20 km away.
• According to the study, there was a trade route that connected Ahmedabad through Lothal, Nal Sarovar, and the Little Rann to Dholavira, another significant Harappan site.
• Satellite imagery and multi-sensor data analyses have revealed ancient channels of the Sabarmati River, thus confirming Lothal's strategic position on a crucial riverine trade route.
• The research also proposes that traders might have accessed Gujarat via the Gulf of Khambhat, sourcing materials from Ratanpura before transporting them to Mesopotamia (modern-day Iraq).

About Lothal:

• Details
  • Location: Bhal region, Gujarat
  • Historical Significance: Established around 2200 BC; it served as a major trade center for beads, gems, and ornaments.
  • Name Meaning: "Lothal" translates to "the mound of the dead" in Gujarati, similar to the meaning of Mohenjodaro.
  • Discovery: Discovered by S.R. Rao and excavated from 1955 to 1960.
  • Port City Evidence: Recognized as the earliest known dock connected to the ancient Sabarmati River.
  • Key Features: Includes a tidal dockyard, marine microfossils, and a basin designed for sailing boats.
  • Heritage Status: Nominated for UNESCO World Heritage Site in 2014; it is the only port-town of the Indus Valley Civilization.

PYQ:

[2021] Which one of the following ancient towns is well-known for its elaborate system of water harvesting and management by building a series of dams and channelling water into connected reservoirs?

(a) Dholavira
(b) Kalibangan
(c) Rakhigarhi
(d) Ropar

GS2/Polity

How does John Mill’s theory define the Extent of Liberty?

Source: The Hindu

Why in News?

A recent incident involving the gang rape of a minor girl in Assam has led to controversial remarks by Chief Minister Sarma, which have been criticized as hate speech. These comments are seen as a violation of India's secular Constitution and could potentially harm societal harmony, breaching Mill's Harm Principle.

What does the Harm Principle Say?

• John Stuart Mill introduced the harm principle in his essay on 'Liberty'.
• This principle states that individual actions should only be restricted to prevent harm to others.
• The legitimate use of power is justified only to prevent harm to others, meaning individual freedoms should be upheld unless they infringe on others' rights or well-being.

Self-Regarding vs. Other-Regarding Actions:

• Mill differentiates between self-regarding actions (affecting only the individual) and other-regarding actions (affecting others).
• The state has no right to intervene in self-regarding actions but can regulate actions that harm others.

Definition of Harm:

• Harm is described as wrongful setbacks to individuals' rights and interests.
• Mill highlights that mere offense or disapproval does not equate to harm; for instance, being offended by someone's opinion does not justify restricting that opinion unless it incites violence or direct harm.

Limitations of Freedom:

• While individuals have the freedom to act, this freedom can be limited if their actions pose a significant threat to others.
• For example, inciting violence is considered harmful and warrants state intervention.

What does Mill say about ‘Freedom of Speech and Expression’?

• Importance of Free Speech: Mill emphasizes that all opinions, whether right or wrong, should be allowed to exist as they contribute to the quest for truth.
• Silencing opinions deprives humanity of the chance to challenge and improve its beliefs.
• Truth and Error: The clash of differing viewpoints helps people identify mistakes and solidify their understanding of the truth.
• Even false beliefs are beneficial as they compel individuals to defend their views.
• While Mill is a strong proponent of free speech, he acknowledges that it can be restricted when it directly incites harm, such as provoking violence against a specific group.
• For example, expressing dangerous opinions to an agitated crowd can lead to immediate danger.
• Balancing Freedom and Harm: Mill asserts that while free speech is crucial, it must be weighed against the potential harm it can cause, particularly when it leads to violence or significant psychological damage to targeted groups.

Way forward:

• Strengthen Legal Frameworks: Enhance laws against hate speech to ensure accountability, balancing the right to free expression with the need to protect societal harmony and prevent violence.
• Promote Inter-Community Dialogue: Encourage programs that foster tolerance and understanding among different communities, upholding the secular principles of the Constitution and reducing divisive rhetoric.

Mains PYQ:

What do you understand by the concept “freedom of speech and expression”? Does it cover hate speech also? Why do films in India stand on a slightly different plane from other forms of expression? Discuss.

GS2/Governance

SCOMET List

Source: PIB

Why in news?

The Directorate General of Foreign Trade (DGFT), part of the Ministry of Commerce & Industry, has unveiled the revised SCOMET (Special Chemicals, Organisms, Materials, Equipment, and Technologies) list for the year 2024.

What is the SCOMET List?

• Details
  • Purpose: The SCOMET list is designed to control the export of dual-use items that can serve both civilian and military purposes. This includes items that may aid in the creation of weapons of mass destruction (WMDs) and their delivery systems.
  • Regulatory Authority: The oversight is provided by the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce and Industry, Government of India.
  • Notification: The DGFT has notified these regulations under Appendix 3 to Schedule 2 of the ITC (HS) Classification of Export and Import Items.
  • Legal Framework: The SCOMET list is governed by Chapter IVA of the Foreign Trade (Development & Regulation) Act, 1992, as revised in 2010. This chapter establishes the legal basis for the control of dual-use items and specifies penalties for violations.
  • Policy and Procedures: The operational procedures are detailed in Chapter 10 of the Foreign Trade Policy (FTP) and the Handbook of Procedures (HBP) 2023. These documents outline the processes for licensing, application, and compliance for exporting SCOMET items.
• Categories of SCOMET Items
  • Category 0: Nuclear materials and related dual-use items.
  • Category 1: Toxic chemical agents and their precursors.
  • Category 2: Materials and equipment for material processing.
  • Category 3: Electronic equipment.
  • Category 4: Computer technology.
  • Category 5: Telecommunications and information security systems.
  • Category 6: Sensors and laser technologies.
  • Category 7: Navigation and avionics equipment.
  • Category 8: Marine technologies.
  • Category 9: Aerospace and propulsion systems.
• New Licensing Authority for Category 6
  • The Department of Defence Production (DDP) under the Ministry of Defence has been appointed as the new licensing authority for exports pertaining to Category 6 (Sensors and Lasers).
• Export Licensing
  • Exporters are required to secure a specific license from the DGFT, or from the DDP for Category 6 items, in order to export SCOMET items.
  • The licensing process involves an extensive review to ensure that the exports do not facilitate the proliferation of WMDs or unauthorized military applications.

GS2/Polity

Zero FIRs filed in local languages must have translated copy

Source: Indian Express

Why in News?

The Union Ministry of Home Affairs (MHA) has instructed Union Territories (UTs) to ensure that any 'zero FIRs' recorded in local languages are accompanied by a translated copy when forwarded to states with different languages. This directive is intended to uphold the legal validity of FIRs. Consequently, UTs have begun sending the original zero FIRs along with their English translations.

About FIRs

• The term First Information Report (FIR) is not explicitly defined in the Indian Penal Code (IPC), the Code of Criminal Procedure (CrPC) of 1973, or any other legal statute.
• According to police regulations, information recorded under Section 154 of the CrPC is referred to as FIR.
• This section specifies that any information related to a cognizable offense, if provided orally to an officer in charge of a police station, must be documented in writing.
• A free copy of the recorded information must be provided to the informant.
• Three essential elements of an FIR include:
  • The information must pertain to a cognizable offense.
  • It should be reported orally or in writing to the head of the police station.
  • It must be documented, signed by the informant, and key details noted in a daily diary.

A zero FIR

• A zero FIR can be filed at any police station by the victim, regardless of their residence or the crime location.
• If a police station receives a complaint about an alleged offense occurring in another jurisdiction, it registers a FIR and subsequently forwards it to the appropriate police station for further investigation.
• No regular FIR number is assigned initially; after the zero FIR is received, the relevant police station registers a new FIR and initiates the investigation.
• The concept of Zero FIR was introduced following recommendations from the Justice Verma Committee, which was established after the 2012 Nirbhaya gang rape case to suggest amendments to criminal law.
• The purpose of a Zero FIR is to prevent victims from having to navigate multiple jurisdictions to file a police complaint.
• This provision is designed to facilitate swift justice for victims to ensure timely action post-FIR filing.

FIR under new criminal laws

• Three new criminal laws came into effect on July 1, 2024:
  • Bharatiya Nyaya Sanhita 2023
  • Bharatiya Nagarik Suraksha Sanhita 2023
  • Bharatiya Sakshya Adhiniyam 2023
• These laws replaced the British-era Indian Penal Code, Code of Criminal Procedure, and the Indian Evidence Act, respectively.
• Under the new laws, individuals can report incidents via electronic communication, eliminating the need to physically visit a police station.
• This change allows for quicker and simpler reporting, enabling prompt police action.
• According to the Bharatiya Nagarik Suraksha Sanhita (BNSS), police are now mandated to register a ‘zero FIR’.
• Section 176 (3) of BNSS requires the collection of forensic evidence and video documentation of the crime scene for offenses punishable by seven years or more.
• If a forensic facility is unavailable in a state, it may utilize the facilities of another state.
• Victims will receive a complimentary copy of the FIR, ensuring their involvement in the legal process.

GS1/History & Culture

World Heritage City of Jaipur

Source: The Hindu

Why in News?

The Walled City of Jaipur, recognized as a UNESCO World Heritage Site since 2019, is poised for heritage conservation and development with a significant budget of ₹100 crore.

About the World Heritage City of Jaipur:

• Established in 1727 by Maharaja Sawai Jai Singh II, Jaipur was conceived as a commercial hub featuring a grid layout that adheres to Vedic architectural principles.
• Unlike many Indian cities situated in hilly regions, Jaipur is built on a flat plain, facilitating a systematic urban design characterized by broad streets and public squares known as chaupars.

Architectural Significance

• Jaipur’s urban planning is distinguished by its geometric layout, which harmoniously fuses traditional Hindu concepts with modern Western influences.
• The city is divided into nine blocks, with two designated for government buildings and the rest for public use.
• Jaipur is famously known as the "Pink City" due to its unique pink-colored buildings.
• The architecture showcases uniform facades along its main thoroughfares.
• Key monuments include:
  • Hawa Mahal: A palace renowned for its intricate facade and numerous windows.
  • City Palace: A royal residence that exemplifies a blend of Mughal and Rajput architectural styles.
  • Jantar Mantar: An astronomical observatory constructed by Jai Singh II.
  • Govind Dev Temple: A significant religious site that embodies the cultural heritage of the city.

Jaipur’s (Pink City) Criteria for UNESCO Recognition

• Criterion (ii): Displays a crucial interchange of human values in its architecture and urban planning.
• Criterion (iv): Serves as a notable example of a planned city that reflects the cultural traditions of its era.
• Criterion (vi): Directly associated with events or living traditions of universal significance, especially regarding its festivals and cultural practices.

Other Important Places Contributing to World Heritage Status

• Amber Fort (Amer Fort): 
  • A grand fort celebrated for its artistic Hindu and Mughal architectural styles, perched on a hill overlooking Maota Lake.
  • Known for its detailed carvings, mirror work, and spacious courtyards.
  • Houses a complex of palaces, courtyards, and museums at the heart of Jaipur, reflecting the rich cultural heritage of the area.
  • Combines Rajput and Mughal styles, showcasing royal artifacts, costumes, and weaponry.
• Hawa Mahal (Palace of Winds): 
  • A five-story palace featuring 953 small windows (jharokhas), designed for royal women to observe street activities while remaining unseen.
  • An iconic representation of Rajput architecture with intricate latticework and a unique design.
• Jantar Mantar: 
  • An astronomical observatory with 19 large instruments, including the world’s largest stone sundial.
  • A separate UNESCO World Heritage Site highlighting the scientific advancements of the 18th century.
• Nahargarh Fort: 
  • Constructed in 1734, situated on the Aravalli Hills, offering sweeping views of Jaipur.
  • Functioned as both a retreat and a defensive structure for the royal family, showcasing the military architecture of its time.

GS3/Economy

Did Corporate Tax Cuts Increase Wages?

Source: The Hindu

Why in news?

The ongoing debate surrounding the impact of corporate tax cuts on wages has gained renewed attention, especially in light of recent studies and economic data from the U.S. and India. This article explores the nuances of corporate tax cuts, their implications on wages, and the economic landscape post-implementation.

About Corporate Tax:

• Corporate tax is a direct tax levied on the profits earned by companies or corporations.
• The corporate tax rate differs from one country to another and is calculated on a company’s taxable income, which is derived after deducting operating expenses, depreciation, and other allowable deductions from the gross revenue.
• This tax serves as a crucial source of government revenue and can significantly influence a company's investment strategies, operational decisions, and growth plans.
• Governments often reduce corporate tax rates to attract investments and stimulate economic growth; however, the effects on wages, employment, and long-term revenue generation can vary widely.

The U.S. Experience with Corporate Tax Cuts:

• The Tax Cuts and Jobs Act, enacted in 2018 under President Donald Trump, notably reduced the top corporate tax rate from 35% to 21%.
• Supporters of the tax cuts claimed it would incentivize companies to invest more, leading to economic expansion, job creation, and increased wages.
• They further argued that such investments would foster technological advancements and productivity improvements, thereby enhancing wage levels.

Impact of Corporate Tax Cuts:

• A study titled "Lessons from the Biggest Business Tax Cut in U.S. History," published in the Journal of Economic Perspectives, indicated that while the tax cuts did spur an increase in investment, the effect was modest, estimated between 8% to 14%.
• This rise in investment is noteworthy, especially considering that without these tax cuts, investment levels might have fallen.
• Nonetheless, the broader economic impact of the tax reductions was limited.
• The tax cuts also led to a significant decline in tax revenue, with long-term projections suggesting a 41% drop.

Corporate Tax Cuts in India:

• In 2019, India implemented substantial reductions in corporate tax rates, lowering the rate for existing companies from 30% to 22% and for new companies from 25% to 15%.
• This decision resulted in a considerable revenue shortfall, estimated at around ₹1 lakh crore for the fiscal year 2020-21.
• The COVID-19 pandemic drastically affected India's labor market, causing a spike in unemployment rates.
• Although unemployment has decreased and labor force participation has improved, particularly among women, the corporate sector's contribution to recovery has been limited.
• Data from the Periodic Labour Force Survey (PLFS) reveals a decline in the share of regular wage employees from 22.8% in 2017-18 to 20.9% in 2022-23.
• Between 2017 and 2022, the compound annual growth rate (CAGR) of nominal monthly earnings for regular wage workers was 4.53% in rural areas and 5.75% in urban areas, barely surpassing inflation rates.
• This suggests that real wages for rural workers have actually decreased, while urban wages have stagnated.
• Despite an increase in corporate tax collections post-pandemic, this has not led to improved employment conditions or wage growth.
• There have been reports of tech companies in India laying off employees, indicating a stagnation in hiring growth.

Shift in Tax Burden to Individuals:

• The reduction in corporate tax rates has resulted in a noticeable shift in the tax burden to individual taxpayers, as reflected in the changing proportions of India's gross tax revenues.
• In 2017-18, corporate taxes constituted about 32% of gross tax revenues; this percentage has since dwindled.
• According to budget estimates for 2024-25:
  • Corporate Taxes contribute 26.5% of gross tax revenues,
  • GST contributes 27.65%, and
  • Income Tax contributes 30.91%.
• This shift may explain the government's moves to eliminate indexation benefits and impose taxes on long-term capital gains as a strategy to identify new revenue sources to offset the reduced corporate tax share.

What Lies Ahead?

• Corporate tax cuts do not guarantee increased investment, particularly when businesses face uncertainty regarding future profits.
• In economies that are still recuperating from the pandemic and grappling with supply chain issues, these tax cuts have had minimal effects on private investment levels.
• However, tax reductions on profits significantly affect income distribution.
• By enhancing profits on existing assets without necessarily promoting future investments, these cuts primarily benefit private capital and do little for wage earners.
• For wage earners to see tangible benefits, substantial investments would need to boost employment, productivity, and wages significantly.
• Economists advocate for policies that maintain higher taxes on current profits while providing stronger incentives for future investments.
• The mixed outcomes of these tax reductions highlight the complexities involved in policymaking within an unpredictable global economic context.

GS3/Science and Technology

Harnessing biotechnology for economic development

Source: Indian Express

Why in news?

The Centre recently introduced the BioE3 (Biotechnology for Economy, Environment, and Employment) policy, aimed at transforming industrial and manufacturing processes to be more sustainable and environmentally friendly. While it appears to be a routine effort to boost the biotech sector, the policy focuses on using biotechnology to develop manufacturing methods that mimic natural biological processes. Experts describe it as a significant move toward the industrialization of biology, which could have a major impact on the economy.

Applications

• Medical Biotechnology: Development of new drugs, vaccines, gene therapies, and diagnostic tools.
• Agricultural Biotechnology: Engineering genetically modified crops that are resistant to pests, diseases, and adverse environmental conditions, or that have enhanced nutritional value.
• Environmental Biotechnology: Employing microorganisms for pollution cleanup, as seen in bioremediation efforts.
• Industrial Biotechnology: Creation of biofuels and biodegradable plastics through biological processes rather than conventional chemical methods.

Emerging Possibilities in Biotechnology

• Recent developments in gene editing, protein synthesis, and enzyme production using genetically modified organisms, along with augmented data processing through artificial intelligence, have broadened the horizons of biotechnology.
• These innovations allow for the creation of environmentally friendly alternatives to traditional products and the substitution of polluting chemical processes in industries with cleaner biological methods.

Sustainable Alternatives

• Animal-Free Milk: Produced through precision fermentation, this milk replicates the taste, texture, and nutritional value of natural milk, while boasting a lower carbon footprint and increased availability.
• Bioplastics: Biodegradable plastics, such as polylactic acid derived from renewable resources like corn starch or sugarcane, can replace conventional plastics, thereby reducing environmental risks.
• Carbon Capture and Storage: Biotechnology offers creative solutions for capturing and utilizing carbon dioxide. Unlike traditional chemical carbon capture methods, biological processes using microorganisms can convert CO2 into valuable compounds like biofuels, thus eliminating the need for storage.
• Synthetic Biology and Organ Engineering: Synthetic biology facilitates the design of new organisms and biochemicals with specific functionalities. Organogenesis permits the growth of organs in laboratory settings, which may reduce dependency on organ donors for transplants.

The Future of Biotechnology

• While some biotechnological innovations, such as animal-free milk, are already available in select markets, many technologies remain in development. Challenges like scalability, financial limitations, and regulatory issues persist, but the potential of biotechnology is immense and continues to evolve.

Introduction to BioE3 Policy

• The BioE3 policy represents India's strategic initiative to pave the way for a future in which biotechnology significantly influences the economy and industrial practices. Though immediate economic benefits are not anticipated, the policy aims to cultivate competencies, foster research, and train talent for long-term advantages as these technologies mature.

Economic Impact of Biomanufacturing

• Biomanufacturing is projected to have a substantial economic impact, estimated to reach $2-4 trillion over the next decade. This process involves the use of biological organisms or mechanisms in industrial production. It is one element of the broader integration of biology into economic frameworks that the BioE3 policy seeks to promote.

Strategic Alignment with Other Initiatives

• The BioE3 policy aligns with other recent governmental missions, including the Artificial Intelligence Mission, Quantum Mission, and Green Hydrogen Mission. These initiatives aim to position India at the forefront of emerging technologies that will soon be critical to the global economy and address urgent challenges such as climate change and energy security.

Establishment of Biomanufacturing Hubs

• The policy envisions the creation of numerous biomanufacturing hubs throughout India. These centers will enable industry partners and start-ups to produce specialized chemicals, smart proteins, enzymes, functional foods, and other bioproducts. The focus will be on six key areas:
  • Bio-Based Chemicals and Enzymes
  • Functional Foods and Smart Proteins
  • Precision Biotherapeutics
  • Climate Resilient Agriculture
  • Carbon Capture and Utilisation
  • Futuristic Marine and Space Research
• For instance, developing life support systems for astronauts that recycle waste and produce oxygen and food in space involves cultivating unique plants or microorganisms in space habitats. Marine research under the policy could lead to discovering novel compounds and enzymes from marine organisms, which could have applications in pharmaceuticals and cosmetics.