India’s rural development Progress

Why in News?

Recently, Data shows that India has been witnessing a decline in budget allocation for essential social sectors.

What are the Issues?

• Cap on MNREGA spending – The government’s decision to cap the spending under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) at 60% for the FY 2025-26.
• But the ministry of Rural Development sought an increased outlay of Rs 5.23 lakh crore for the MGNREGS till 2029-30.
  • For instance, the budget allocations for different programmes under the National Food Security Act (NFSA) have seen a steady decline since before 2019.
• Decline in MNREGA household workers – The number of families working under the scheme has come down from 7.25 crore in 2021-22 to 5.79 crore in 2024-25.
• Increase in rural distress – Around 65% of the country’s population living in rural areas, alongside the ongoing rural distress.
• Such declining welfare allocations have serious implications for rural development.
• Dilemma in development analysis – Measuring rural development has two different approaches
  • As a package of policies for socio-economic development in rural areas.
  • In terms of social indicators like access to electricity, drinking water, health, and education.

What is rural development?

• Definition – It is a package of policies that aim to foster socio-economic development in rural areas.
• Genesis – Rural development as a concept gained traction in the 1970s with renewed emphasis on rural policies and programmes.
• Background – This stemmed from the failure of state-led modernisation projects and industrialisation policies that fell short of expectations.
• With growth concentrated in certain areas and widespread rural poverty persisting in the 1970s, it was recognised that the dispersion of basic services is central to equitable distribution of resources and poverty alleviation.
• Crucial component – Notably, agriculture is crucial to both rural growth and development.
• According to economic theories on development, agricultural development is a pre-requisite for rural industrial growth.
• These theories further suggest that as agriculture grows, the relative size of farms declines.
• Hence, a high growth agricultural sector along with a declining farm size are seen as markers of agricultural development.
• Structural transformation – It is shaped by the movement of both output and labour away from agriculture to the modern industrial sector.
  • In the Indian context, it is often noted that the nature of the structural transformation has been slow and has been linked to premature service-led growth.
  • Employment in manufacturing – The employment share of the manufacturing sector has failed to increase.
  • Growth of employment service sector – According to the Periodic Labour Force Survey (PLFS) data, this is primarily because of the rapid growth of the service sector, which has restrained the growth of the secondary sector.
  • Another interesting observation about the Indian economy is that most of the service sector is led by self-employment rather than wage employment.

What are the Policies on rural development?

• The Integrated Rural Development Programme (IRDP) – It was launched in 1978-79 and implemented from 1980.
• Later it was merged with five other rural development programmes in 1999.
• The core objective of the IRDP was to enable identified rural poor families to increase their incomes and cross the poverty line through the acquisition of credit-based productive assets.
• IRDP was focused on self-employment.
• Mahatma Gandhi national rural employment guarantee scheme – The National Rural Employment Programme later became MGNREGS.
• It provides a one-off wage payment to the workers for developing infrastructure such as roads and irrigation works that can generate long-term benefits for the propertied classes.
• MGNREGS emerged as a guarantor of 100 days of wage employment to rural individuals.
• The Pradhan Mantri Employment Generation Programme (PMEGP) – It offers subsidies to establish micro-enterprises.
• The Pradhan Mantri Mudra Yojana (PMMY) – It facilitates self-employment through loans to micro and small businesses.
• Rural Self-Employment and Training Institutes (RSETIs)
• Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY) – The focus is on skill development and entrepreneurship training, etc.
• State’s schemes – States like Assam have also launched schemes like the Chief Minister’s Atmanirbhar Asom Abhijan (CMAAA) to promote self-employment among youth through grants.

Self-employment is perceived as dynamic and capable of generating further employment in the context of such rural policies.

What are the impacts of the rural development schemes?

What are the Socio-economic indicators say about rural development?

• Indicators – Rural development can also be understood in terms of social indicators like access to electricity, drinking water, health, and education.
• Health care access – National Family Health Survey 2019-21 suggests improvement in these indicators compared to 2015-16, a deeper analysis shows a different picture.
  • For instance, rural health care is often marked by informal private doctors or providers, which national-level data sets often fail to capture.
• While numbers suggest that people in rural areas do visit doctors and seek medical care, the quality of this healthcare needs to be discussed.
• Stunting in children – Comparative analysis of indicators for rural and urban India shows a higher prevalence of stunting among children (37.3%) in rural areas as compared to urban areas (30.1%).
• Children from Scheduled Tribes and Scheduled Castes are more likely to be seen as disproportionately affected in these indicators.
• Educational challenges – The findings of the Annual Status of Education Report (ASER) 2023 reflect serious structural and quality issues in rural education.
• The report shows that many students in rural India are more likely to have progressed through the education system without acquiring foundational learning skills.
• Huge shortage of teachers and human resources further exacerbates the problems.
• Lack of meaningful employment – PLFS data suggests that despite the focus on skill-building and training programmes in rural India, meaningful rural employment generation has yet to materialise.
• Dependence on self-employment – India’s persistent reliance on self-employment as a sign of distress, not very different from wage-employment, and an alternative in the absence of wage or other gainful employment.

What lies ahead?

• Adequate investment in social sectors such as health, education, and nutrition could deliver full benefits.
• Livelihood generation needs to be aligned with a deeper understanding of the rural economy’s structure.
• Sustainable rural policy must integrate welfare and employment generation by strengthening budgetary support for social infrastructure.
• Investments in rural infrastructure could expand economic opportunities, support human development, and promote more inclusive and equitable growth.

Reference

The Indian Express| The status of Rural Development

Need for National Space Law

Why in News?

Recently, The Indian Space Research Organization (ISRO) with the Indian Navy successfully carry out the Well Deck trials of the Gaganyaan missions’s crew module at Eastern Naval Command using welldeck ship off the coast of Visakhapatnam.

What is Space law?

• Definition – According to United Nations office for outer space affairs (UNOOSA) Space law is a body of law governing activities in outer space.
• This includes the exploration, use, and liability for space objects.
• Components – This includes collection of international agreements, treaties, and national laws that aim to ensure responsible and peaceful space activities while fostering international cooperation.
• UN treaties – The five primary United Nations treaties on outer space are
  • The Outer Space Treaty (1967)
  • The Rescue Agreement (1968)
  • The Liability Convention (1972)
  • The Registration Convention (1974)
  • The Moon Agreement (1979).
• The core United Nations treaties on outer space provide the foundational principles for all space activities, from the peaceful use of outer space to the responsibility and liability of states.

• The Outer Space Treaty of 1967 – It establishes that space is the province of all humankind, prohibits national appropriation.
• It places responsibility on states for national activities in space, whether conducted by government or private entities.
• Its companion agreements create binding frameworks of rights, responsibilities, and liability rules.

What is the need for national space law?

“A nation with a strong base in science and technology is a nation with a strong backbone” — these words of A.P.J. Abdul Kalam.

• Provides thrust to space activities – In the race to explore, innovate, and commercialise outer space, the law is the Launchpad for sustainable, equitable, and safe space activities.
• Creates an enforceable structure – Space policy may signal intent but law is what creates an enforceable structure.
• Ensures compliance – Policies can guide and inspire but only statutory law can mandate compliance and provide legal certainty.
• Offers stability – National space legislation offers predictability, legal clarity, and a stable regulatory environment for both government and private actors.
• Implements international treaties – It operationalizes international commitments, enables effective oversight, and embeds sustainability into everyday practice.

• National legislation is the means by which nations can give effect to the international principles domestically.
• Promotes accountability – It ensures that the growing space sectors develop in a safe, sustainable, and internationally responsible way.
• Attracts investments – The legal clarity fosters investment and innovation for industry.
• Provides tools – It offers tools to manage activities responsibly in line with the applicable global framework for regulators
• Global examples – Japan, Luxembourg, and the US have enacted frameworks to facilitate licensing, liability coverage, and commercial rights over space activities and resources.
• Indian scenario – India has ratified the key UN space treaties but it is still in the process of enacting comprehensive national space legislation that fully operationalises these international commitments.

What are components of India’s regulatory evolution?

• India’s approach – India’s approach to space legislation reflects a methodical, incremental strategy.
• Two components – The national space legislation includes two cardinal interdependent aspects
  • Technical regulations
  • Regulatory framework
• Technical regulations – It governs space operations in orbit by commercial entities.
• This is the first aspect of authorisation process under Article VI of the Outer Space Treaty.
• The Department of Space is proceeding meticulously in this matter.

• This methodical approach has yielded concrete regulatory developments, including
  • The Catalogue of Standards for the Space Industry which is critical for ensuring the safety of space operations.
  • The Indian Space Policy, providing details of activities that non-governmental entities are encouraged to undertake in 2023.
  • The IN-SPACe Norms Procedure Guidelines (NPG) for Authorisation to implement the Space Policy in 2024.

IN-SPACe has addressed certain ground segment activities and establishing satellites in orbit.

• NPG for launch vehicles and other aspects will undoubtedly be issued in due course.
• Regulatory framework (textual part) — This is the space activities law that will contain provisions of the OST that are meticulously, carefully, appropriately drafted.

What are the challenges?

• Operational challenges – From the industry’s standpoint, the current regulatory transition creates significant operational challenges.
• Delay in clearances – The dual-use nature of space technologies creates particular complications, with companies facing delays from multiple ministry clearances even after provisional approvals.
• Lack of formal background – IN-SPACe, which currently operates without formal legal backing, requires clear statutory authority to strengthen its role as the central regulatory body.
• Absence of political consent – The risk to the Outer Space Treaty is the absence of political consensus consequent to big power contestations among the three military space super powers.
• Geopolitical issues – The greater threats to space governance emerge from international geopolitical tensions rather than national legislative delays.

What are the priorities for the national space law?

• Statutory authority – The fundamental priority of the national space law is the setting up of a statutory authority to give a legal backing.
• Strong regulations – The national space law should clearly set out licensing rules, qualifications, application processes, timelines, fees, and reasons for acceptance or denial, to avoid unnecessary delays and confusion from multiple ministry approvals.
• Clear FDI rules – It includes allowing 100% FDI in satellite component manufacturing under automatic routes, would attract critical capital for startups to scale operations.
• Vibrant liability frameworks – While India is ultimately responsible internationally, private companies must hold proper third-party insurance to cover any damages.
• It should create affordable insurance frameworks for startups managing high-value space assets.
• Transparency – The law should lay out transparent steps for reporting incidents and handling claims.
• Protection of innovation – Legislation should secure intellectual property rights without excessive government control.
• This balanced approach would prevent migration of talent and technologies to more IP-friendly jurisdictions.
• Encourage partnerships – It should encourage collaborations among industry, academia, and government, and foster investor trust.
• Binding safety standards – There should be a mandatory accident investigation procedures, enforceable space debris management laws.
• It also includes unified frameworks for space-related data and satellite communications, and an independent appellate body to prevent conflicts of interest.

What lies ahead?

• Without statutory backing, IN-SPACe’s regulatory decisions remain vulnerable to procedural challenges, creating uncertainty for private players navigating India’s growing commercial space ecosystem.
• With the International Astronautical Congress meeting in Sydney this year and potentially in India in the near future, the timing is significant for India.

Reference

The Hindu| Need for National Space Law

National Organ and Tissue Transplant Organisation (NOTTO)

Why in News?

The National Organ and Tissue Transplant Organisation (NOTTO) recently issued a direction stating that women patients and relatives of deceased donors will receive priority in organ allocation.

• Survey findings – Recently a survey denoted that women donate the most and receive the least with, 63.8% of all living organ donors from 2019 to 2023 were women.
• Yet men received the most donated organs, accounting for 69.8% of the recipients.
• National Organ and Tissue Transplant Organisation (NOTTO) – It is the apex government body to oversee organ donations.
• Each hospital of the country which engages in transplant activity, whether in retrieval or transplant, must link with the NOTTO.
• Organ transplantation and donation is covered under the Transplantation of Human Organs Act, 1994, which has allowed organ donation by live and brain-stem dead donors.
• In 2011, an amendment to the Act also brought in donation of human tissues.
• As per the Act, buying/selling of organs in any way is punishable and has a significant financial as well as judicial penalty.
• In its recent advisory, the NOTTO has asked State governments to create permanent posts for transplant coordinators at hospitals that perform organ transplantation or retrieval.
• It is advised that state governments have to develop facilities for organ and tissue retrieval in all trauma centres and register them as organ retrieval centres.
• Organ retrieval centres while calling for training emergency responders and ambulance staff to identify potential deceased donors early, particularly among victims of road traffic accidents and stroke patients.
• Global status of organ donation - World Health Organization (WHO) estimates that over 1,30,000 solid organ transplants are performed each year.
  • But this meets only about 10% of the worldwide need.

An organ donor can be anyone whose healthy organs are transplanted to a patient in urgent need. These organs, donated after brain or cardiac death, can be preserved and transplanted to save multiple lives.

• Every year, over 1.8 lakh Indians develop end-stage kidney disease, yet only about 12,000 kidney transplants take place across the country.
• Challenges - Lack of awareness, cultural myths, and hesitation to discuss organ donation within families remain the biggest obstacles.
• Way ahead - Countries with higher awareness and streamlined donor systems have achieved significantly better outcomes, showing what is possible when organ donation becomes a social norm.
• With modern transplantation techniques and effective medicines, recipients can live long and healthy lives.

A single donor can save up to 8 lives through organ donation and enhance many more through tissue donation such as corneas and skin.

Reference

The Hindu | National Organ and Tissue Transplant Organisation (NOTTO)

Gorumara National Park

Why in News?

The population of one-horned rhinos has risen at the Gorumara National Park in Jalpaiguri with the birth of two rhinos in mid-August, senior foresters said recently.

• Gorumara is Bengal’s second-largest rhino habitat after Jaldapara National Park in Alipurduar.
• Located in - Jalpaiguri, West Bengal.
• The park features forests and riverine grasslands in the Terai region of the foothills of the Eastern Himalayas.
• It was established as a wildlife sanctuary in 1949 and was declared a national park in 1992.
• Fauna - Indian rhinoceros, Asian elephant, Indian bison, leopard, sambar deer, barking deer, spotted deer, wild boar, and many species of birds, including peafowl, red jungle fowl and Indian hornbill.
• Flora - Sal forests with Common Teak, Rain Tree (Shirish or Albizia lebbeck), and Silk Cotton (Shimul or Bombax malabaricum) trees Bamboo groves, Terai grassland vegetation and tropical riverine reeds.
• Gorumara is home to numerous tropical orchids.
• Rivers - It is situated on the banks of River Murti and Raidak.
• The major conservation focus of the park is to maintain a viable breeding community of Indian Rhinoceroses.

Reference

Telegraph India | Gorumara National Park

2+2 dialogue between India and U.S.

Why in News?

Indian and US officials held a 2+2 Intersessional Dialogue recently.

A "2+2 dialogue" is a diplomatic format where the Foreign Ministers and Defence Ministers from two countries meet to discuss common issues and strengthen their bilateral relationship.

• Priority discussions - Trade and investment, energy security, including streng­thening civil-nuclear cooperation, critical minerals exploration, counter-narcotics and counterterrorism cooperation.
• Both sides looked forward to increasing defense cooperation, including signing a new 10-year Framework for the India – US Major Defense Partnership.
• Both sides advancing defence industrial, science, and technology cooperation, operational coordination, regional cooperation and information-sharing.
• The officials agreed to build upon the progress under the India - US COMPACT (Catalyzing Opportunities for Military Partnership, Accelerated Commerce & Technology).
• They reaffirmed their commitment to promoting a safer, stronger, and more prosperous Indo-Pacific region through the QUAD.

Quad brings together 4 countries - India, Australia, Japan, and the United States, with a commitment to work as a force for global good and to support an open, free, and inclusive Indo-Pacific that is prosperous and resilient.

References

1. Business Standard | 2+2 dialogue between India and US
2. The Hindu | India-U.S. 2+2 Intersessional Dialogue

Suspension of Import duty on cotton

Why in News?

In the wake of declining production of cotton, the Central government has recently withdrawn the 11% import duty it introduced in February 2021.

• Cotton - It is the main raw material for the textile industry.
• Global Rank - India is the second-largest cotton producer globally.
• Cultivation Area - It boasts the largest area under cotton cultivation worldwide. It is grown by nearly six million farmers in India.
• Current situation - The overall domestic cotton production is down to 294 lakh bales, the lowest in the last 15 years, against the requirement of 318 lakh bales (including non-mill use).
• Cotton production in the 2024-2025 cotton season (October to September) is estimated to be nearly 20 lakh bales lesser than the last cotton season.
• Imports are also likely to be highest at about 40 lakh bales, with major supplies coming from Australia, the U.S., Brazil, and Egypt.
• The Cotton Corporation of India purchased nearly 100 lakh bales of cotton from farmers at Minimum Support Price (MSP) during the ongoing cotton season.
• For the 2025-2026 cotton season, the government has hiked the MSP by 8%.
• It is said that only about two lakh bales of imported cotton that are in transit will be available without the duty as it will reach Indian shores by September 30.
• Several international brands are highlighting that cotton suppliers and garment manufacturers need to use cotton from these suppliers.
• When garment exporters compete in the international market, the raw material price was higher because of the duty. They will have a level-playing field without the duty.
• However, cotton farmers are not in complete agreement with these views.
• Need - The industry is looking at two major support measures from the government, it wants a stable policy so that the industry can plan for raw material procurement.
• The government should suspend the duty every year during the non-peak season (April to September) as the farmers would have sold majority of the produce by then.
• It also wants 5% interest subvention for working capital that textile mills need to purchase cotton during the peak season.
• If the mills, especially MSME units, have adequate funds, they can cover the required cotton and government need not spend on MSP operations.

Reference

The Hindu | Import duty on cotton