Mahatma Gandhi Pravasi Suraksha Yojana

Background
An estimated 5 million Indian Nationals with ECR (Emigration Check Required) passports are working on temporary employment/contract visas in the Gulf Countries. It is observed that a majority of the earnings periodically remitted by overseas Indian workers to their families in India are rarely accumulated as savings and often cause only a temporary improvement in the consumption expenditure of their families. As a result majority of overseas Indian workers face the risk of poverty when they return to India and when they are too old to work. Overseas Indian workers are largely excluded from formal social security benefits available to residents of ECR countries.2

India received over USD 66.13 billion in remittances in the year 2011-12 as compared to USD 55.62 billion in the previous, a hike of 19 per cent. The remittances to the country through private transfer of funds have been on the rise in the last few years. Remittances from Gulf countries accounted for an average 27 per cent of the total remittances to India (RBI study). 

Defence Offset Policy

The defence offset policy original intent was to impel foreign arms vendors towards sourcing defence goods and services from India.  It compels global vendors who win defence contracts worth Rs 300 crore or more to invest at least 30 per cent of the contract value into India’s defence industry. 1

The Ministry of Defence had infact also set up a Defence Offset Facilitation Agency to as a single window agency to facilitate implementation of the offset policy of the Ministry of Defence.  DOFA will assist potential vendors in interfacing with the Indian defence industry for identifying potential offset products/projects as well as provide requisite data and information for this purpose.2

However, the global arms industry, backed in many cases by their respective governments, has lobbied since 2006 for relaxing offset conditions. Indian officials also are in agreement. "The primary job of the acquisitions wing is timely procurement, not developing India’s defence industry. It views offsets as an inconvenient hurdle to procurement, a box that must be ticked. The result is that vendors get away with sub-standard proposals that do nothing to build indigenous capability,” points out Maj Gen (Retd) Mrinal Suman, an expert on offsets who has worked in the acquisitions wing.1

Thus, from 2011 onwards vendors can discharge offset liabilities in civil aerospace and internal security as well.1

Sources:
1. http://www.business-standard.com/india/news/defence-ministry-flouts-offset-policy-foreign-arms-vendors-benefit/478517/
2. http://mod.nic.in/DOFA.htm

National Rural Livelihoods Mission

The National Rural Livelihoods Mission (NRLM) has been conceived as a cornerstone of national poverty reduction strategy. It is a re-designed and re-structured version of the Swarnjayanti GramSwarojgar Yojana (SGSY).

The objective of the Mission is to reduce poverty among rural BPL by:
-  promoting diversified and gainful self-employment and wage employment opportunities (lead to an appreciable increase in income on sustainable basis). 
-  In the long run, it will ensure broad based inclusive growth and reduce disparities by spreading out the benefits from the islands of growth across the regions, sectors and communities.

The Rural Livelihoods Mission is proposed to have a three-tier interdependent structure.
- Apex: the National Rural Livelihoods Mission, under the Ministry of Rural Development (GOI). 
- State level: umbrella organization under the State Department of Rural Development which is responsible for implementing self-employment/rural livelihoods promotion programs. The State level Mission with dedicated professionals and domain experts will be guided financially, technically and supported by the NRLM on need basis. 
The National and the State Mission will have a symbiotic relationship. They will have mutual access to the knowledge and services in the area of rural livelihoods.
- Governing Council will be the policy making body setting overall vision and direction to the Mission, consistent with the national objectives.

Coastal Security Scheme

A Coastal Security Scheme has been formulated for strengthening infrastructure for patrolling and surveillance of country’s coastal areas, particularly the shallow areas close to coast to check and counter illegal cross border activities and criminal activities using coast or sea. The scheme is being implemented in all the 9 coastal States and 4 Union Territories from the year 2005-06.  
Under the scheme, assistance is been given to the coastal States and Union Territories to set up 73 coastal police stations which will be equipped with boats, jeeps and motor cycles for mobility on  coast and in close coastal waters.  The coastal police stations will also have a marine police with personnel trained  in maritime activities. Coast Guard is imparting training to the State Police personnel in maritime activities. 1

History of Coastal surveillance

The government’s approach towards coastal security has always been reactive and top down. Corrective measures were undertaken only after a major incident and implemented without preparing the environment at the ground level and thus enable them to function effectively. To begin with, large-scale smuggling along the western coast had compelled the government to establish the coast guard in August 1978 with a mandate to protect the maritime and national interests of the country as well as to assist in anti-smuggling operations. But the 1993 serial blasts in Mumbai highlighted the fact that an inadequately manned and ill-equipped coast guard alone cannot safeguard the coasts. Instead of addressing the fundamental issue of lack of manpower and inadequate equipment, the Indian government launched a new scheme to cater for the terror challenge. This was Operation Swan, launched in August 1993 to prevent clandestine landings along the Maharashtra and Gujarat coasts. It was a three layer security arrangement involving the navy, the coast guard and a joint patrolling team drawn from personnel belonging to the navy, coast guard, state police, and customs. While the underlying idea appears doable, the fact remains that Operation Swan has not resulted in a single seizure even after being for 18 years. Inadequate attention paid to overcome the basic problems of coordination, manpower, equipment, and motivation among the various concerned agencies at the ground level has been the main reason for this failure.

Reproductive and Child Health Health (RCH) programme

Reproductive and Child Health Health (RCH) programme implemented by the Government of India since 1997. The RCH program is an integrated package of a number of reproductive and health services including the:
- traditional antenatal, natal and post-natal care for pregnant women,
- care of infants, including immunization of children against vaccine-preventable diseases,
- identification and treatment of sexually transmitted diseases among women,
- sex education for adolescent boys and girls,
- early detection and treatment of cervical cancer among women nearing menopause, etc.

The programme was implemented through a threetier decentralized system of sharing power, responsibility and resources at each level, and was accompanied by the introduction of community involvement through the recruitment and training of Anganwadi workers (AGW) and Accredited Social Health Activists (ASHA). Moreover the Auxiliary Nurse Midwife (ANM) is trained to act as counselor, educator, and service-provider and as a person who can arrange for the hospitalization of difficult maternity cases.

Source: http://www.inflibnet.ac.in/ojs/index.php/JARSSA/article/viewFile/676/635

12th FYP: Approach Paper

Extract from 12th Five Year Plan Approach Paper: OVERVIEW

The Eleventh Five Year Plan (2007-08 to 2011-12) had aimed at achieving faster and more inclusive growth. Rapid GDP growth, targeted at 9.0 per cent per annum, was regarded necessary for two reasons: 
(a) to generate the income and employment opportunities that were needed for improving living
standards for the bulk of the population; and
(b) to generate the resources needed for financing social sector programmes, aimed at reducing poverty and enabling inclusiveness.

The economy has performed well on the growth front, averaging 8.2 per cent in the first four years. Growth in 2011-12 is likely to be around 8.0 per cent. The economy is therefore, likely to achieve an average GDP growth of around 8.2 per cent over the Eleventh Plan period, which is lower than the 9.0 per cent targeted originally, but higher than the 7.8 per cent achieved in the Tenth Plan. This implies a nearly 35 per cent increase in per-capita GDP during this period. It has also led to a substantial increase in government revenues, both at the Centre and the States, resulting in a significant step-up of resources for the programmes aimed at inclusiveness.
The acceleration in the growth in the Eleventh Plan period compared with the Tenth Plan is modest,but it is nevertheless a good performance, given the fact that a severe global economic crisis depressed growth in two of these five years, and also that in the year 2009 India had the weakest monsoon in three decades. The slowdown in 2011-12 is a matter of concern, but can be reversed if the investment climate is turned around and fiscal discipline is strengthened.

Niryat Bandhu Scheme

The Directorate General of Foreign Trade has launched the 'Niryat Bandhu Scheme', in Oct 2011, for international business mentoring of first generation enterpreneurs in international business enterprises. The officer (Niryat Bandhu) would function in the mentoring' arena and would be a ‘handholding' experiment for the young turks in international business enterprises. Under the scheme, officers of DGFT will be investing time and knowledge to mentor the interested individuals who want to conduct the business in a legal way.1

Over time, the scheme is expected to develop a class of businessmen who carry out the international business in an ethical manner. It is also expected to boost Indian exports. 2,3

Sources:

1. http://www.thehindu.com/business/article2535152.ece

2. http://www.smetimes.in/smetimes/news/top-stories/2011/Oct/14/govt-launches-niryat-bandhu-scheme-for-start-up-smes626154.html

3. http://investinindia.com/news/india%E2%80%99s-strategy-double-trade-usa-35m6

Voluntary National Youth Corps

The GoI in its efforts to harness the potential of India's 'youth bulge' (70% of India's population is below 35 years of age) has launched the Voluntary National Youth Corps, in 2010, to take up creative social action.

The Scheme would create a space enabling   young men and women in the age group of 18-25 to serve up to two years in nation building activities, for which they would receive a suitable honorarium (Rs. 2500 per month).  

The Scheme has  the following objectives:

· To set up a group of disciplined and dedicated youth who have the inclination and spirit to engage in the task of nation building

· To facilitate the realization of inclusive growth (both social and economic)

· To act as points for dissemination of information, basic knowledge in the community

· To act as group modulators and peer group educators

· To act as role models for the younger cohort specially towards enhancement of public ethics,  probity and dignity of labour.

The Department of Youth Affairs, Government of India will be responsible for the  overall implementation of the scheme. Nehru Yuva Kendra Sangathan (NYKS),  will work as the implementing arm of the Department. The National Youth Corps scheme is to be implemented by amalgamating  two existing volunteer schemes- National Service Volunteer Scheme and the Rashtriya Sadbhawana Yojana.

Students  who have  enrolled  themselves  for regular academic  courses  are not  eligible  for  registration under the scheme.

1. http://yas.nic.in/writereaddata/mainlinkFile/File825.pdf

National Lake Conservation Plan (NLCP)

Ministry of Environment and Forests has been implementing the National Lake Conservation Plan (NLCP) since 2001 for conservation and management of polluted and degraded lakes in urban and semi-urban areas. The major objectives of NLCP include encouraging and assisting state Governments for sustainable management and conservation of lakes. Initially the scheme was approved as a 100% Centrally-sponsored scheme, but was changed to 70-30 cost-sharing between Centre and State, from 2002. Since resources are limited a criteria was developed for prioritizing of lakes which needed to be conserved first.

Lakes being major sources of accessible fresh water, require well planned, sustainable and scientific efforts to prevent their degradation and ultimate death. The different problems encountered in the lake include excessive influx of sediments from the lake catchment, discharge of untreated or partially treated sewage & industrial waste waters/solid waste disposal, entry of diffused source nutrients from agricultural and forestry, improper management of storm water/combined with over abstraction, over-exploitation of lake for activities like recreation, fishing, encroachments, land reclamation resulting in lake shrinkage, shoreline erosion and impact on lake hydrology, deterioration in water quality and impact on bio diversity, climate change etc.

Activities covered under NLCP are:

Prevention of pollution from point sources by intercepting, diverting and treating the pollution loads entering the lake. The interception and diversion works may include sewerage & sewage treatment for the entire lake catchment area.

(i) In situ measures of lake cleaning such as de-silting, de-weeding, bioremediation, aeration, bio-manipulation, nutrient reduction, withdrawal of anoxic hypolimn ion, constructed wetland approach or any other successfully tested eco-technologies etc depending upon the site conditions.

(ii) Catchment area treatment which may include afforestation, storm water drainage, silt traps etc.

(iii) Strengthening of bund, lake fencing, shoreline development etc.

(iv) Lake front eco-development including public interface.

(v) Solid waste management & provision of dhobi ghats is generally not covered under NLCP.

(vi) Prevention of pollution from non-point sources by providing low cost sanitation.

(vii) Public awareness and public participation.

(viii) Capacity building, training and research in the area of Lake Conservation.

(ix) Any other activity depending upon location specific requirements.

Existing legal provisions are:

- The Water (Prevention and Control) of Pollution Act 1974

- Environment (Protection) Act 1986

- The National Environment Policy 2006

Sources:

http://moef.nic.in/modules/recent-initiatives/nlcp/NLCP_guideline.pdf 

Science Research in Indian Universities

"EXCELLENCE IN SCIENCE RESEARCH in INDIAN UNIVERSITIES"- This was the theme of the 98th Science Congress held in Jan 2011 (Chennai). Prime Minister Singh noted that universities are a vital link in science teaching and research. There is a need to create an 'innovation ecosystem' such that innovation becomes a 'way of life'. GOI has established 8 IITs and 5 Indian Institutes of Science Education and Research. Pandit Nehru  said,

"Universities stand for humanism, tolerance,  reason,  progress,  the adventure of ideas and for the search for truth. They stand for the onward march of the human race towards even higher objectives. If the universities discharge their duties adequately, all will be well with the nation and the people". [Nehru, J. 1947. Allahabad University]

Universities should encourage creativity and genius and not be held captive by bureaucracy and procedure.
Economic growth, public health and national security are all dependent on growth of S&T. Nonetheless this knowledge should be used for public good as the negative use of this can cause great harm to society. 

"I am compelled to fear that science will be used to promote the power of dominant groups rather than to make men happy". [Bertrand Russel]   

The rapid growth of S&T  must also be accompanied by a social debate on the ethical uses of the same. As Isaac Asimov said "Science gathers knowledge faster than society gathers wisdom".
Another key point is to increase the linkages between research in universities and industry so that the innovations can be translated into products within our country. Singh noted that even today the instruments using the 'Raman effect' principle are imported. To address this GOI is working to put in place better integration of corporates with industry so that required skills can be imparted in univ itself utilising resources better and reducing time and resources required in re-skilling. 
The PM noted the lack of youth interested in scientific research saying that though, 'science is ageless, our scientists must get younger'. 

Initiatives by GOI

• National Celebration of the birth centenary of Prof. S. Chandrashekhar.
• Yr 2010-13 to be designated as "Year of Science in India' to mark the centenary of the Indian Science Congress.
• INSPIRE (Innovation in Science Pursuit for Inspired Research)- a prog to attract the best talent to scientific research
• National Knowledge Network- a high-speed network that will encourage collaborations between researchers within India and with  those abroad. This will help strengthen our teaching and research base.
• BEST (Building Educators for Science Teaching)- a joint of the initiative MHRD and Ministry of S&T. 
• PURSE (Promotion of University Research and Scientific Excellence)- initiated by MoST in 2008. The scheme rewards universities based on research output. Universities are then provided research incentive grants    
• Science and Engineering Board ((SERB)- a statutory autonomous board to enhance basic research funding.
• S&T ministry has begun two initiatives for developing  technologies for societal benefits-  'Technological Intervention for Addressing Societal Needs' (TIASN), Technological Intervention for Elderly (TIE).
• promotion of scientific awareness among children- Children's Science Congress, Science Express, 'Eco-WASH (Water, Sanitation, Hygiene) Awareness and Literacy'.

Summarised from speeches of Prime Minister and Minister S&T at the 98th Indian Science Congress. http://www.dst.gov.in/scie_congrs/pm_speech_2011.pdf
http://www.dst.gov.in/scie_congrs/kapil_sibal_speech_eng_2011.pdf

Decade of Innovation: 2010-2020

DECADE OF INNOVATION (2010-2020)  was announced by the PM Manmohan Singh at the Indian Science Congress in 2010. The objective behind this is to develop an ‘innovation eco-system’ in the country to stimulate innovations and to produce solutions for the societal needs in terms of healthcare, energy, urban infrastructure, water and transportation.

"Innovation today is increasingly going beyond the confines of formal R&D to redefine everything. Today innovation can mean new and unique applications of old technologies, using design to develop new products and services, new processes and structures to improve performance in diverse areas, organisational creativity, and public sector initiatives to enhance delivery of services. Innovation is being seen as a means of creating sustainable and cost effective solutions for people at the bottom of the pyramid, and is being viewed as an important strategy for inclusive growth in developing economies....Innovation is the engine for the growth of prosperity and national competitiveness in the 21st century" [Introduction, NIC website http://www.innovationcouncil.gov.in/aboutus/aboutnic.php]

For this purpose a National Innovation Council was set up by the PM, headed by Sam Pitroda, to prepare a roadmap for this 'decade'. The approach and methodology guiding this would not be a blind-adoption of western thought but would recognize India's socio-cultural context, our economic and developmental problems, and be based on active collaboration with academics and industry both nationally and internationally. This ecosystem would be sustainable and inclusive and would seek to harness the potential of both the formal and informal sectors. The NIC would take policy measures across all sectors formally to make a difference. 

The importance of innovation cannot be undermined for any society for any point of time. But this era presents new and increasing challenges, to meet which new approaches and methods are required. Recognizing India’s innovation potential a recent study (Zinnov Management Consulting) has stated that ‘India is at the cusp of global innovation’. This is because of a timely amalgamation of domestic market, global aspirations of Indian companies and the stress laid on innovation and R&D. The report states that MNCs and start-ups are the drivers of this innovation. Also both the private sector and the government have recognized this and are working to harness this potential. The GOI has earmarked US$ 9 billion for IT initiatives. Encouragement given to new entrepreneurs by venture funds is also a catalyst.

Nonetheless there is much ground to cover as was indicated by a slip in the ranking of India on the Global Innovation Index 2010-11 (compiled by INSEAD) from to 62 from 56 last year. What is vital to the success of this initiative is the promotion of ‘culture of innovation’. India needs to invest in the processes that produce innovation which will encourage and inspire people to be experimentative and inventive. As Pitroda has stated “Innovation is not a project, it’s a process”. For maintaining a growth rate of 9-10% we need to develop a varied skill-base and innovate. Innovate not only to have globally-competitive products, but improve governance processes and structures, and bring development to the people. The economy has grown but pace of inclusion has been slow- innovation can address this.

Another related agency is the National Innovation Fund: was set up in 2000 to promote innovation at grassroots level. It is an autonomous body under the Dept. of Science and Technology (GOI).

References:

http://articles.economictimes.indiatimes.com/2011-07-06/news/29743767_1_innovation-start-up-ecosystem-india-today

http://www.dst.gov.in/whats_new/press-release10/pib_10-3-2010.htm

http://ibnlive.in.com/news/india-unlimited-with-sam-pitroda-part-i/165500-7.html

http://www.thehindubusinessline.com/companies/article2136928.ece

Virtual Labs

The aim of Virtual Labs is to enable university students to perform their required laboratory experiments using only a standard computer and Internet, thereby allowing sharing of costly equipment. It is a collection of ninety-one virtual laboratories containing hundreds of experiments in nine disciplines of science and engineering. Two types of virtual labs have been developed under this project:

a.    Simulation Based Virtual Labs: The simulations are carried out remotely at a high-end server, and the results are communicated to the student over the internet.  

b.    Remote Triggered Virtual Labs: the actual experiments are triggered remotely.  The output of the experiment (being conducted remotely) is communicated back to the student over the internet.

It is part of the National Mission on Education through Information and Communication Technology (NMEICT) which aims at providing easily accessible and high quality education throughout India.

1.     http://pib.nic.in/newsite/PrintRelease.aspx?relid=80486

2.    www.vlab.co.in.

National Policy on Urban Street Vendors, 2009

Street vending is an ancient profession, which continues to play an important role in present day economy and society. It is not only a source of employment but provides ‘affordable’ services to the majority of urban population. Their contribution must be recognised and facilitated.

Vendors also constitute an important component of the demographic, numbering approximately 2% of the population. The total number of street vendors in the country is estimated at around 1crore. Noteworthy that women comprise a large number of street vendors in almost every city.  

City	Vendors
Mumbai	2,50,000
Delhi	2,00,000
Calcutta	1,50,000
Ahmedabad	1,00,000

Despite their importance in urban life they face much harassment from the police and civic authorities as they are considered as unlawful entities. To address the various issues concerning them and their trade, a policy was formulated in 2004. This was subsequently revised in 2009. The policy also aims to reflect the spirit of the Constitution of India w.r.t. equal protection before law , right to practice any profession, State’s duty to minimise inequality of income etc.  

Definition: A 'Street Vendor' is defined as 'a person who offers goods or services for sale to the public in a street without having a permanent built-up structure.' There are three basic categories of street vendors:

(a) stationary (those who carry out vending on a regular  basis at a specific locatio);

(b) peripatetic (those who vend their goods and services on foot, or by carrying their wares on baskets or pushcarts) and

(c) mobile (those who move from place to place vending their goods or services).

The overarching objective of this policy is:

-      Provide and promote a supportive environment for earning livelihoods to the Street vendors,

-      Ensure absence of congestion and

-      Maintenance of hygiene in public spaces and streets.

Specific objectives are:

1. Legal: To give vendors legal status by implementing appropriate laws and providing legitimate hawking zones in urban development/ zoning plans. Certain sections of the Indian Penal Code (Sec.283) and the Police Act (Sec.34) which criminalize their activity on account of 'causing obstruction in public places' must be suitably modified.

2. A Town Vending Committee (TVC) will be formed to supervise the entire process of planning, organisation and regulation of street vending activities.

3. Registration: Replacing discretionary licenses for vending by nominal fee-based licenses (Here market forces like price, quality and demand will determine the number of vendors that can be sustained and thus number of licenses to be issued).

4. Treating vendors as an integral and legitimate part of the urban distribution system, since they facilitate convenient, efficient and cost-effective distribution of goods and services to the public.

5. Self Compliance: To promote self-compliance amongst Street vendors.

6. Organization: To promote organizations of Street vendors (e.g. Unions / Co-operatives/ Associations) to facilitate their empowerment.

7. Rehabilitation of child vendors to ensure a better future for them.

8. Social Security & Financial Services: To promote social security (pension, insurance, etc.,) and access to credit for Street vendors through promotion of SHGs/co-operatives/Federations/Micro Finance Institutions (MFIs) etc.

Critique of the Policy:

• Although the policy ensures that more than 40 percent of the members of TVCs are from the street vendors’ associations, it remains silent on the fact that only a meager proportion of street vendors in India fall under the fold of unions. Who will represent such a large number of non-unionized street vendors in the TVCs? The National Policy, then, seeks to institutionalize a certain form of participatory exclusion. 
• Many street vendors’ associations have questioned the limited possibilities of stake-holder participation in the TVCs which are heavily populated by high level state executives.
• The National Policy does not provide a guideline for the states to handle surplus labor force in the sector. For this reason, the National Policy should be linked with a larger employment generation scheme led by the state.”3

Urgent need for a central law on this issue, applicable to all States and UTs has been expressed by civil society. In response to this the Ministry for Housing and Urban Poverty Alleviation (MHUPA) has drafted the ‘Model Street Vendors (Protection of Livelihood and Regulation of Street-vending) Bill 2009. However the NAC has pitched for a central law to replace this bill. According to the council, the model bill allows the Centre to wash its hands of the matter and leave the execution of the legislation entirely to the states. The council believes a central law is justified because street vending is not a matter of “mere municipal regulation” but of “livelihoods, employment and social security of a significant number of urban poor households”. It says the central law should “prevail” if the states’ municipal and police laws are inconsistent with it. 7

1.    http://mhupa.gov.in/policies/natpol.htm

2.    http://casi.ssc.upenn.edu/system/files/National+Policy+on+Urband+Street+Vendors,+2009.pdf

3.    http://casi.ssc.upenn.edu/iit/bandyopadhyay

4.    http://www.thehindu.com/todays-paper/tp-opinion/article2905386.ece

5.    http://mhupa.gov.in/W_new/NCL_STREET_VENDING_23122011.pdf

6.    http://mhupa.gov.in/W_new/StreetVendorsBill.pdf

7.    http://www.telegraphindia.com/1110612/jsp/nation/story_14103171.jsp

High Security Registration Plates (HSRP)

High Security Registration Plates (HSRP) refer to vehicle registration plates that have been introduced by the Ministry of Road Transport and Highways to prevent counterfeiting and duplication of vehicle number plates.  This will curb vehicle thefts and misuse.

The HSRPs have:

- a non-replicable chromium hologram having the engine and chassis number. This will stick to the windshield and will get damaged if someone tries to tamper with it.

- the rear registration plate will be fitted with a non-reusable snap-lock, which if forcible removed will break and thus clearly show that the number plate has been tampered with. 

Source: reference 1.

The policy decision to introduce HSRPs was taken in 2001 but it hasn’t been implemented yet. Apparently only Sikkim and Meghalaya have introduced this so far. Therefore recently the Supreme Court has directed all state governments to ensure HSRP for all vehicles by June 15^th, 2012. 

1.      http://indiatoday.intoday.in/story/high-security-registration-plates-for-vehicles-in-delhi/1/159454.html

2.      http://www.thehindu.com/news/national/article2893692.ece

Maritime Agenda 2010-2020

The Ministry of Shipping released the ‘Maritime Agenda 2020’ in Jan 2011. It is a vision document for Indian shipping industry for the next 10 years, and replaces the National Maritime Development Programme. The aims are:

•           increase the Indian tonnage four fold to 43 million Gross Tonnage (GT),
•           increase the port capacity to around 3200 million tonnes requiring an investment of about Rs 3 lakh crore,
•           enhance India's share in global shipbuilding to 5% and
•           increase the share of Indian seafarers to at least 10%.  

Importance:

•  India is a major maritime nation by virtue of its long coast line of around 7517 Kms (continental coastline and island), with 13 major and 176 non-major ports, strategically located on the world’s shipping routes.
• About 90% by volume and 70% by value of the country’s international trade is carried on through maritime transport.
• Development of India’s ports and trade related infrastructure will continue to be critical to sustain the success of accelerated growth in the Indian economy. For eg: India’s merchandise trade intensity is still below 30% of GDP- as this grows it would make greater demands on the country’s ports and shipping facilities.
• As trade grows, the demand for maritime transport also grows. Technological developments in bulk and container transport have made maritime transport cheaper.
• Maritime transport is a crucial catalyst in the global economy by providing access to new markets and the benefits of international trade.

Challenges:

•          Following the 2008 financial crisis traffic volumes collapsed, freight rates plummeted and practically all capital investment programmes were curtailed.
•          All ports were hit by the recession, but not all cargo flows were affected to the same extent, and the competitive positioning of ports has changed. There was lower growth in consumption activity and more interest in energy and energy security.
•           New global trading patterns have emerged with Asia becoming the new hub of global container trade. The emerging markets of southeast Asia, the Indian subcontinent, sub-Saharan Africa, Latin America and the Middle East are gaining importance. The lack of port and transportation infrastructure in these regions emphasizes the major role that established container terminal developers and operators will continue to play.
•           Generally there is slower growth in world seaborne trade compared to world trade, because of slow growth in volumes. Reasons:  use of lightweight metals and lower material intensity in manufacturing processes; increase in transport of electronic items, medicines, jewellery, apparel that may weigh less.
•           Environment pollution: caused by increase in the number of plying ships and related shipping activities (towing, mooring, berthing, piloting, marine survey, sea patrolling, deployment of dredgers). World Ports Climate Initiative (WPCI) was initiated by the International Association of Ports and Harbours (IAPH) to address this issue.

Types of transport: Bulk transport involves shipping one homogeneous commodity (e.g. grain, ore etc) at any one time, but in large quantities; in contrast, container transport entails transporting different goods at the same time, but in standard containers that are easy to load and unload.

Sources:

http://shipping.gov.in/showfile.php?lid=261

http://articles.timesofindia.indiatimes.com/2011-02-05/india-business/28357137_1_indian-tonnage-ppp-projects-ppp-mode

Ethanol Blending Programme (EBP)

Ethanol is an organic solvent, similar in properties to the components of petroleum-derived gasoline. When ethanol is blended into fuel (at recommended level) then it increases combustion efficiency of the fuel. Furthermore Ethanol blending has important consequences for energy security, livelihood enhancement of farmers, health benefits, lower oil costs to consumers and government.

In India, ethanol made its foray into the transport sector as a fuel additive in 2001. Presently, under the EBP, GOI has mandated blending of 5 per cent ethanol with petrol on an all-India basis except North-Eastern states, Jammu & Kashmir and the islands. The programme is a significant step in utilising alternative, renewable and environment-friendly sources of energy like ethanol to supplement fossil fuels.

The EBP programme is primarily based on indigenously produced ethanol from sugarcane molasses.  India is the fourth largest producer of ethanol in the world. By blending petrol with 10 per cent biofuel, 80 million litres of petrol could be saved annually in India, says a report by the Institute of Defence Studies and Analyses.2 With reduced dependence on crude oil consumers can pay less for petrol. This will also contribute to reducing the government’s subsidy burden wrt to crude oil.

Ethanol is produced from molasses that are a byproduct of the processing of sugarcane. Thus ethanol production would in no way reduce food security. Further it would lead to better returns for sugar cane farmers and consequently better sugarcane and sugar production.- Increase in rural prosperity.

Further, ethanol is environment-friendly as it enhances combustion of petrol, resulting in lower emission of pollutants. Toxic pollutants like carbon monoxide and aromatics are reduced, and the potential to produce ground level ozone is lowered because the elements necessary for its production have been greatly lessened. Studies from polluted cities of US, Europe and Brazil which have used ethanol blended fuel, show a remarkable improvement in air quality. Thus EBP will also contribute to a healthy environment and public health.

Despite all its benefits the EBP has not taken off. This is due to various reasons:

-       Conflicting views on adequate availability of ethanol.

o   An ethanol shortfall due to EBP could impact the alcohol and chemical sectors.

o   Shortage of molasses for alcohol industry could lead to diversion of foodgrains for making alcohol- affecting food security. [This would become a very serious problem for GOI if the National Food Security Act is enacted]

-       Conflicts between different ministries- the petroleum and food ministries are actively supporting EBP.

-       Higher price of molasses being offered by alcohol industry leading to diversion of molasses to alcohol industry. Oil companies have only secured 32% of required ethanol in 2011.

-       Some state governments are disinterested in the programme. Eg: Tamil Nadu has a thriving alcohol industry that contributes substantial revenues to the state, and thus TN has banned ethanol supply to EBP.

However these problems should be resolved by:

-       encourage sugar industry to manage demands of the fuel and alcohol industries

-       ensure competitive pricing for ethanol

-       conversion of surplus sugarcane into ethanol

-       explore other sources of ethanol like jatropha, seaweed, cellulose waste from agro-forestry

-                     --        Plantation of bio-diesel producing plants on waste /degraded / marginal lands.

 References: 

1.     http://pib.nic.in/newsite/erelease.aspx?relid=56469

2.     http://business.rediff.com/slide-show/2010/jul/27/slide-show-1-why-india-must-push-for-ethanol-blended-petrol.htm

3.     http://www.direc2010.gov.in/pdf/Sustainability%20of%20Ethanol%20Blending%20Programme%20in%20India.pdf

4.     “Food Ministry seeks delay in ethanol blending plan”, The Economic Times.

5.     “The ethanol imperative”, The Hindu