17 Oct 2022: UPSC Exam Comprehensive News Analysis

A. GS 1 Related
B. GS 2 Related
SOCIAL JUSTICE
1. Controversy around Global Hunger Index
C. GS 3 Related
ECONOMY
1. Under Utilisation of Coal Mines
D. GS 4 Related
E. Editorials
SOCIAL JUSTICE
1. Food day as a reminder to ‘leave no one behind’
F. Prelims Facts
1. Digital Banking Units
2. Swachh Bharat Mission (Urban) 2.0
3. Project Zorawar
G. Tidbits
H. UPSC Prelims Practice Questions
I. UPSC Mains Practice Questions

A. GS 1 Related

Nothing here for today!!!

B. GS 2 Related

Category: SOCIAL JUSTICE

1. Controversy around Global Hunger Index

Syllabus: Issues Relating to Development & Management of Social Sector/Service

Mains: India’s performance in Global Hunger Index

Context: 2022 edition of Global Hunger Index was released recently.

Introduction:

• India has ranked 107 out of 121 countries in the Global Hunger Index (GHI).
• India was accorded a score of 29.1 out of 100 (with 0 representing no hunger), placing it behind Sri Lanka (66), Myanmar (71), Nepal (81) and Bangladesh (84). 
• For the second time in two years, the Ministry of Women and Child Development rejected the Global Hunger Index . It referred to the index as “an erroneous measure of hunger”.

Read more on 2022 GHI and its findings 

Indicators of GHI:

• The GHI score is computed using four broad indicators:
  • Undernourishment 
  • Child stunting 
  • Child wasting and 
  • Child mortality 
• Undernourishment measures of the proportion of the population facing chronic deficiency of dietary energy intake.This provides a basis to measure inadequate access to food and is among the lead indicators for international hunger targets, including the UN SDG 2. 
• Child stunting and mortality offers perspective about the child’s vulnerability to nutritional deficiencies, access to food and quality of nutrition. 
  • Since children (especially below five) are at a developmental age there is a greater and urgent requirement for nutrition with results particularly visible. This forms the basis of assessing nutritional requirements among children. 
• On the same rationale, child mortality indicates the serious consequences of hunger.

Controversy around GHI:

• As per the Union Ministry for Women and Child Development, the report lowers India’s rank based on the estimates of the Proportion of Undernourished (PoU) population. 
• The U.S. Food and Agriculture Organisation (FAO) estimate is based on the ‘Food Insecurity Experience Scale (FIES)’ survey module conducted using the Gallup World Poll, that bears a sample size of 3,000 respondents being asked eight questions. 
• This data represents a small proportion for a country of India’s size. 
• According to the Ministry, the report is disconnected from ground reality and chooses to ignore the food security efforts of the Indian government especially during the pandemic. 
  • India’s per capita dietary energy supply is  increasing year-on-year due to enhanced production of major agricultural commodities in the country over the years. 
  • The Union Cabinet through the Pradhan Mantri Garib Kalyan Ann Yojna (PM-GKAY), provisioned an additional 5 kg ration per person each month in addition to their normal quota of foodgrains. 
• The GHI website provides clarifications on these points raised by India. 
  • While FAO uses indicators on food security, prevalence of undernourishment and prevalence of moderate or severe food insecurity based on FIES — the GHI only uses the PoU obtained through food balance sheets based on data reported by member countries, including India. 
  • A food balance sheet provides a comprehensive picture of the pattern of a country’s food supply during a specified reference period. It lists down the source of the supply and its utilisation specific to each food category.
• GHI uses three child-specific indicators out of the four to calculate hunger for a country’s population to ensure the food supply situation of the population as a whole and the effects of inadequate nutrition within a vulnerable subset of the population are captured.
• All four indicators are recognised by the international community, including India, and used for measuring progress towards the UN SDGs.

Nut Graf:  Barring the war-torn Afghanistan, India has performed worse than all the countries in the South Asian region in the Global Hunger Index 2022.  India rejected the 2022 report, saying it suffers from serious methodological issues and deliberately ignores government efforts to ensure food security for the population.

E. Editorials

Category: SOCIAL JUSTICE

1. Food day as a reminder to ‘leave no one behind’

Syllabus: Issues related to Hunger and poverty.

Mains: Food and Nutritional Security

Prelims: World Food Day

Context: World Food Day is celebrated on 16th October.

Details:

• Food and nutrition security continue to be impacted by various factors like:
  • COVID-19 pandemic
  • Climate change
  • Fluctuating food inflation
  • Conflicts
  • Inequality
• Approximately 828 million people across the world do not have enough food to eat, and more than 50 million people face severe hunger.
• The Hunger Hotspots Outlook 2022-23 warns about increasing hunger issues as nearly 205 million people spread across 45 countries will require emergency food assistance to survive.
  • The Hunger Hotspots Outlook is a report published by the World Food Programme (WFP) and the Food and Agriculture Organization (FAO) of the United Nations.
• World Food Day is celebrated on October 16 every year. This year it was rightly reminded that it is important to ensure easy accessibility of safe and nutritious food to the vulnerable section of society. 
• World Food Day nudges to ‘Leave No One Behind’ and use it as an opportunity to strengthen food security nets, provide access to essential nutrition for millions and promote livelihood for vulnerable communities in various countries.
• The target of ending hunger by 2030 is possible only through collective and transformational steps that can bolster agri-food systems through better production,  nutrition,  environment, and eventually a better life.

Production and Nutrition in India:

• India increased its production levels and achieved self-sufficiency. It is now one of the largest exporters of agricultural products in the world. 
  • India recorded $49.6 billion in total agriculture exports in the year 2021-2022. This was a 20% increase from the exports in 2020-21. 
• FAO has played a crucial role in India since 1948 in various fields like crop/livestock/fisheries production, food security, and natural resources management.
• To ensure food equity India adopted National Food Security Act (NFSA) 2013 which anchors
  • Targeted Public Distribution System (TPDS)
  • PM POSHAN scheme (earlier referred to as the Mid-Day Meals scheme)
  • Integrated Child Development Services (ICDS)
• Moreover, the WFP collaborates with State and National governments to strengthen these schemes and make them accessible to the most needful sections. 
• Furthermore, the Government authorities adopt various other measures like digitization, rice fortification, and sanitation programmes for additional improvements.
• India adopted  Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) to deal with the impacts of the COVID-19 pandemic on food security.
  • It should also be noted that an International Monetary Fund (IMF) paper titled ‘Pandemic, Poverty, and Inequality: Evidence from India’ asserted that extreme poverty was maintained below 1% in 2020 due to the PMGKAY. 
• Concerns and remedial measures
• • The recent climate shocks in India have raised concerns about wheat and rice production for the subsequent year. A greater focus should be given to climate adaptation and resiliency.
  • India has a large population that is expected to rise further (Approximately 1.5 Billion by 2030). Thus it is important to adopt effective, inclusive, and sustainable methods of improving production thus moving away from conventional input-intensive agriculture.
  • India’s upcoming G20 presidency can be used as an opportunity to bring food and nutrition security to the very center of a resilient and equitable future.

Environmental Aspect in food security:

• Apart from climate change, nutrition and agricultural production are also associated with environmental sustainability. Excessive use of chemicals and non-judicious use of water causes soil degradation which hampers the nutritional value of food. The need of the hour is urgent attention.
• Benefits of Millets:
  • Millets are climate-smart crops that are good for nutrition, health, and the overall planet. 
  • They require fewer inputs and are less extractive for the soil. 
  • Moreover, they can revive the health of the soil and preserve agro-biodiversity. 
  • They have the potential to increase yields for small farmers (including rural women).
  • The International Fund for Agricultural Development’s (IFAD’s) Tejaswini programme with the Government of Madhya Pradesh highlighted that millet production can increase income by nearly ten times. For instance, the income of ₹1,800 per month in 2013-14 increased to ₹16,277 in 2020-21. 
  • It also ensures better food security as millet crops are not impacted by excessive rainfall.
• Measures taken by India:
  • India has taken various steps to revive millet production in the world. It also appealed United Nations General Assembly(UNGA) for declaring 2023 as the International Year of Millets. 
  • It is the largest producer of millet in the world. It produced nearly 41% of total millet production in 2020. The Union government has implemented a Sub-Mission on Nutri-Cereals (Millets) under the ambit of the National Food Security Mission. 
  • State-level interventions in Andhra Pradesh, Madhya Pradesh, and Odisha are proof of India’s resolve to revive indigenous crops.

For more information on the International Year of Millets, read here: International Year of Millets [UPSC Notes]

Way Ahead:

• Transformation of food systems, making them more sustainable, resilient, and equitable.
• Improving food and nutrition security, including non-distortionary income support and social protection schemes.
• Encouraging the production and consumption of indigenous foods like millet through consumer sensitization.
• The global and regional supply chain should be strengthened by increasing transparency. Measures like labeling, tracing, etc can be used.
• Promoting cooperation among various stakeholders to leverage innovations. 
• India can showcase its local solutions and best practices to champion the principle of leaving no one behind and lead the world in Food and Nutritional security.

Related Links: Food Security of India – Overview on Food Subsidies, Public Distribution System (PDS)

Nut Graf: Food security continues to be a major issue across the world. India has proactively worked in this direction but still, a lot needs to be done. India can also lead the world in this aspect, thus ensuring that no one is left behind.

F. Prelims Facts

1. Digital Banking Units

Syllabus: Banking Sector & NBFCs

Prelims: Digital Banking  

Context: Prime Minister Narendra Modi recently dedicated 75 digital banking units to the country.

Introduction:

• 75 Digital Banking Units (DBUs) were launched in 75 districts with an objective to promote financial inclusion.
• This is in line with the announcement that was made in the 2022-23 Union Budget by Finance Minister Nirmala Sitharaman to commemorate the 75 years of independence of the country.

What are these DBUs?

• A digital banking unit is a specialised fixed point business unit with certain minimum digital infrastructure for providing digital banking products and services as well as servicing existing financial products and services digitally in self-service mode at any time.
• The Reserve Bank of India (RBI)  announced the guidelines for DBUs in April 2022, following the report of a working group of the Indian Banks Association (IBA). 
• Commercial banks (other than regional rural banks, payment banks and local area banks) with past digital banking experience are permitted to open DBUs in tier 1 to tier 6 centres without having the need to take permission from the RBI in each case.
• As per the RBI, each DBU must offer certain minimum digital banking products and services. Such products should be on both liabilities and assets side of the balance sheet of the digital banking segment. 
• The services include saving bank accounts under various schemes, current accounts, fixed deposit and recurring deposit accounts, digital kits for customers, mobile banking, Internet banking, debit cards, credit cards, and mass transit system cards, digital kits for merchants, UPI QR codes, BHIM, Aadhaar and point of sale (PoS).
• Other services include making applications for and onboarding customers for identified retail, MSME or schematic loans, end-to-end digital processing of such loans, starting from online application to disbursal and identified government-sponsored schemes that are covered under the national portal.
• Compared to conventional banks with online and mobile banking facilities, neobanks or digital banks excel at product innovation and offer far better digital solutions.

G. Tidbits

Nothing here for today!!!

H. UPSC Prelims Practice Questions

Q1. Who among the following organisations releases the “The Hunger Hotspots Outlook”
 ? (Level-Medium)

1. United Nations
2. Food and Agriculture Organisation (FAO)
3. United Nations Development Program (UNDP)
4. World Food Programme

Choose the correct option from below :

1. 1 & 2 Only
2. 1 & 4 Only
3. 2 & 4 Only
4. 4 Only

CHECK ANSWERS:-

Answer: c

Explanation:

• The ‘Hunger Hotspots Outlook’ is a report by the Food and Agriculture Organisation of the United Nations (FAO) and World Food Programme (WFP).
• Report warns that acute food insecurity is likely to deteriorate further in 19 countries or situations – called hunger hotspots – during the outlook period from October 2022 to January 2023.
• Afghanistan, Ethiopia, Nigeria, South Sudan, Somalia and Yemen remain at the highest alert level, as they all have populations facing or projected to face starvation or at risk of deterioration towards catastrophic conditions as they already have critical food insecurity and are facing severe aggravating factors. 

Q2. Which among the following countries are not the members of G20? (Level-Medium)

1. Malaysia
2. Singapore
3. Philippines
4. Vietnam

Choose the correct option from below :

1. 1 Only
2. 2 & 3 Only
3. 1, 2 & 4 Only
4. All the above

CHECK ANSWERS:-

Answer: d

Explanation: 

Read more on G20

Q3.With regards to Foreign Direct Investment (FDI) in India consider the following 
statements(Level-Medium)

1. FDI in India has seen a consistent rise in the past 10 years
2. The confidence in the Indian economy has been driven by a weakening Rupee.

Choose the correct option from below :

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 and 2

CHECK ANSWERS:-

Answer: a

Explanation:

• Statement 01 is correct, According to a recent report by the Confederation of Indian Industries (CII) and EY, FDI in India has seen a consistent rise in the last decade, with FY2021-22 receiving an FDI inflow of USD 84.8 billion despite the impact of the pandemic and geo-political developments on investment sentiment.
• Statement 02 is incorrect, As per the report, the confidence in India’s potential stems from strong consumption trends, digitisation and a growing services sector, along with government’s strong focus on infrastructure and manufacturing. 

Q4. “The Common Framework”, recently seen in news, is associated with which one of 
the following multilateral organisations? (Level-Medium)

1. World Bank
2. IMF
3. United Nations
4. G20

CHECK ANSWERS:-

Answer: d

Explanation: 

• G20 Common Framework is the Common Framework for Debt Treatments beyond the Debt Service Suspension Initiative (DSSI). It is endorsed by the G20 members together with the Paris Club.
•  It was announced in November 2020 to deal with the issue of unsustainable debts faced by various countries.

Q5. Which among the following are the parameters used to compute the Global Hunger 
Index ? (Level-Difficult)

1. Micro nutrient Deficiency
2. Macro nutrient Deficiency
3. Maternal Mortality Rate
4. Infant Mortality Rate

Choose the correct option from below :

1. 1 Only
2. 2 and 3 Only
3. 4 Only
4. None of the Above

CHECK ANSWERS:-

Answer: d

Explanation: Global Hunger Index scores are based on the values of four component indicators:

• Undernourishment
• Child stunting
• Child wasting
• Child mortality

Q6. Which one of the following is likely to be the most inflationary in its effect? 
(Level-Easy)(CSE-PYQ-2013)

1. Repayment of public debt
2. Borrowing from the public to finance a budget deficit
3. Borrowing from banks to finance a budget deficit
4. Creating new money to finance a budget deficit

CHECK ANSWERS:-

Answer: d

Explanation: 

• Extremely high rates of inflation are generally associated with high rates of money growth. It is often the result of financing large deficits by printing money

I. UPSC Mains Practice Questions

1. India has rejected the findings of the Global Hunger Index Report. Critically examine. (250 words; 15 marks) (GS- 2; Governance)
2. India holding G20’s Presidency presents both opportunities and challenges. Discuss. (250 words; 15 marks)  (GS-2: International Relations)

Read the previous CNA here.