Weekly 29 April to 5 May 2013.pdf

8/14/2019 Weekly 29 April to 5 May 2013.pdf

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29TH APRIL 2013 TO 05THMAY, 2013

WEEKLY CURRENT

AFFAIRS BULLETIN

Visit:ias100.in

Call: 09582948810, 09953007628

CHRONICLE IAS ACADEMY GS MAINS UPGRADITION PROGRAMME A SOLUTION TO 1250 MARKS


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[ 2 ] Week l y Cu r r en t A f f a i r s 29thAp r i l t o 05thM ay, 2013

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Current A ffai rs Notes for IAS PT 2013

UPSC: The cent ral recrui t i ng agency in I ndi a, now adays emphasizi ng more on appl i cable part ofknow l edge. GS syl l abus has undergone an overhaul fr om t he past few years and requi res

mul t i dimensi onal approach to handl e t hi s. The paper concent rat es more on concept s rel at ed t o

genera l aw areness i .e. what w e see around us.

I t s recrui t i ng patt ern w ants an IAS aspi rant t o have gri p on soci o-economic problem-solv i ng-

ski l l s; appli cable know ledge of sci ence; abil i t y t o l ogi cal l y anal yse t he si t uati ons and int erpret

t he out comes accordingly .

Thus CHRONICLE IAS ACADEMYi s launching a comprehensi ve materi al w hi ch includes:Import ant Bi l l s; Commi t t ees; Report s; Current affai rs of t he past one year.

This w i l l prov i de a " t rustw ort hy and t ime savi ng guide" for all IAS aspir ants preparing forPrelims.

Topics Covered :-

1. INTERNATIONAL ORGANIZATION SUMMITS

2. Bills in Parliament

3. Biotechnology-1

4. Constitutional news

5. Environmental news

6. Health News

7. Important Reports 2012-13

8. INDIA - HDR 2011

9. International News

10. Science and Technology

11. Prelims Special Part-1

12. Prelims Special Part-2

13. Prelims special Part- 3

Package Fee

Current Affairs Notes for PT 2013 for Weekly E-Magazine Subscriber (Printed)........... 2000.00Current Affairs Notes for PT 2013 (Printed) ............................................................................ 2500.00


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Week l y Cu r r en t A f f a i r s 29thAp r i l t o 05thM ay, 2013 [3]

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Programme Assistance:

Email id:[email protected]

Technical Assistance : Sushil Singh

Email id: [email protected]

Call: 9582948810, 9953007628

Mail: [email protected]

productivity, Microirrigation, Urbanization,Government Initiatives......

Indian Economy Basics, Planning & Trade1. Industry Services, Agriculture, Energy.....2. Balance of Payments. Foreign Direct Investment.......3. Growth, Development and Other Issues.........4. Poverty Estimates, Impact of Poverty........5. Exchange rate. Role of RBI.....6. Nature of Planning - Five Year Plan, Planning after

1991 (LPG), Inflation.....

Governance and Contemporary PoliticalDevelopments: Development Politics, Political andAdministrative Institutions, Good Governance, InternalSecurity....

SECTIONAL TESTS(PAPER I & II)

1. Ecology and environment

2. Comprehension

3. Polity and Governance

4. English Language Comprehension + Logical

Reasoning

5. Geography

6. Decision Making and Problem Solving

7. General Science and Science and Technology

8. Mental Ability, Basic Numeracy, Data

Interpretation and Data Sufficiency

9. History

10. Indian Economy

FULL MOCK SCHEDULE31st March ...... Mock 1 Paper 1, Mock 1 Paper 2

7th April ......... Mock 2 Paper 1, Mock 2 Paper 2

21st April ........ Mock 3 Paper 1, Mock 3 Paper 2

28th April ....... Mock 4 Paper 1, Mock 4 Paper 2

TOPICAL TESTS

Infrastructure & Resources

1. Transportation infrastructure: Road and HighwayNetworks, Mass Transit Systems, Railways,Waterways, Ports....

2. Energy infrastructure:- Thermal Power Generation,Natural Gas Pipelines & Petroleum Pipelines, NuclearEnergy, Renewable Energy......

3. Water management infrastructure:- Drinking water

supply, Sewage Collection and Disposal of Wastewater, Flood Control, Water Harwesting.....

4. Communications infrastructure:- Television andRadio Transmission, Internet, Social Network, SearchEngines, Communications Satellites......

5. Solid Waste Management

6. Economic Infrastructure: Manufacturing Infrastructure,including Industrial Parks and Special Economic zones,Agricultural, Forestry and Fisheries Infrastructure....

7. Resources: Water Resources, Forest Resources, LandResources, Energy Resources, Minerals, ResourceManagement.....

Demography :Population Composition, Density, Literacy,Sex Ratio...

Environmental Problems & Global EnvironmentalGovernance : Deforestation, Pollution: Air, Water, Land,Noise, Desertification, Biodiversity Depletion, GlobalWarming, SD.......

Human Development, Social Sector Initiatives andProgrammes & Policies

1. Concept of Human Development, Developmentvs. Growth, Human Development Index, MPI,Innovation.....

2. Social Inclusion, Child Welfare, Women Welfare....

Agriculture, Urbanisation, Health : Agriculture andGDP, Agricultural Regionalization, Production and

Fee Structure :

All India Complete Test Online ......................................6000/-

All India Complete Test Postal .......................................4000/-

All India Mock Test Online .............................................3000/-

40Qs of IAS 2012 prelims paper were close and directly from Chronicles 2012 test series. When it comes to matching theformat of question in the exam it was 100% identical. Have you ever heard of such claim in IAS exam, indeed we

do it habitually! After all it is a matter of experiences. Testimonial is available at chronicleias.com as well in the public domain,

since it was conducted in 22 cities of India. We dont claim your success, but our performance. Lets begin...


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NATIONAL

National Urban Health Mission (NUHM)approved by the Cabinet

The Union Cabinet gave its approval to launcha National Urban Health Mission (NUHM) as a newsub-mission under the over-arching National HealthMission (NHM). Under the Scheme the followingproposals have been approved:

a) One Urban Primary Health Centre (U-PHC) forevery fifty to sixty thousand population.

b) One Urban Community Health Centre (U-CHC)for five to six U-PHCs in big cities.

c) One Auxiliary Nursing Midwives (ANM) for10,000 population.

d) One Accredited Social Health Activist ASHA(community link worker) for 200 to 500households.

The estimated cost of NUHM for 5 years periodis Rs.22,507 crore with the Central Government shareof Rs.16,955 crore. Centre-State funding pattern will

be 75:25 except for North Eastern states and otherspecial category states of Jammu and Kashmir,

Himachal Pradesh and Uttarakhand for whom thefunding pattern will be 90:10.

The scheme will focus on primary health careneeds of the urban poor. This Mission will beimplemented in 779 cities and towns with more than50,000 population and cover about 7.75 crore people.

The interventions under the sub-mission willresult in:

I. Reduction in Infant Mortality Rate (IMR)

II. Reduction in Maternal Mortality Ratio (MMR)

III. Universal access to reproductive health careIV. Convergence of all health related interventions.

The existing institutional mechanism andmanagement systems created and functioning underNRHM will be strengthened to meet the needs ofNUHM. Citywise implementation plans will beprepared based on baseline survey and felt need.Urban local bodies will be fully involved inimplementation of the scheme.

NUHM aims to improve the health status of the

urban population in general, particularly the poorand other disadvantaged sections by facilitatingequitable access to quality health care, through arevamped primary public health care system,

targeted outreach services and involvement of thecommunity and urban local bodies.

GOI clears Rs 11,000 cr modernisation plan for

central forces

The high-powered Cabinet Committee onSecurity (CCS), headed by Prime MinisterManmohan Singh has approved a Rs 11,000-croreproject for modernisation of central paramilitaryforces, including ITBP which guards the now tenseSino-Indian border which will be implemented in

five years beginning this fiscal.

The standoff along the Sino-Indian border inLadakh, which is being guarded by the Indo-TibetanBorder Police, is believed to have prompted the CCSto clear the project which is already delayed by ayear.

The Central Reserve Police Force (CRPF), BorderSecurity Force (BSF), Indo-Tibetan Border Police(ITBP), Central Industrial Security Force (CISF),Sashastra Seema Bal (SSB), National Security Guard

(NSG) and Assam Rifles will benefit under the planwhich was awaiting approval from CCS.

The modernisation will ensure that the forceshave better arms, ammunition, night vision devices,patrolling equipment, vehicles and otherinfrastructural upgradation.

The CRPF is primar il y deployed for int ernal

securi t y, law and order mai nt enance and anti -

Naxal operat i ons.

The BSF guards the I ndo-Pak i stan and I ndo-

Bangl adesh borders besides hel pi ng in i nt erna lsecuri t y dut i es.

The ITBP guards the Sino- I ndian border w hil e

SSB prot ect s t he I ndo-N epal and I ndo-Bhut an

frontiers.

The CISF pr i mar i ly guards country 's civ i l

airport s and major i nst all ati ons, including in

nuclear and aero space domai n.

The NSG i s a speci al i st counter- t err or f orce

w hil e Assam Ri fl es guards t he I ndo-M yanmar

border and i s deployed i n counter- i nsurgencyoperat i ons i n t he Nort heast .

The combined strengthen of all centralparamilitary forces is around eight lakh personnel.


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New Bill for protection and welfare of widows

Social organization Sulabh International haslaunched a campaign demanding a bill forprotection, welfare and maintenance of widows inthe country. The draft Bill prepared by SulabhInternational seeks to provide for measures to beundertaken by the state for the protection, welfare

and maintenance of neglected, abandoned anddestitute widows by establishing a welfare boardand creating a separate fund for these women.

The proposed Protection, Welfare andMaintenance of Widows Bill, 2013 is a slightimprovement on a similar document tabled in theLok Sabha by Professor Mahadeorao Shiwankar in2007 as Private Member's Bill that lapsed due to thedissolution of the House.

The National Widows Welfare Board is proposedto be chaired by the Union Minister for Social Justice

and Empowerment with MPs, widows, civil societyrepresentatives and State officials as its members.Central and State governments would contribute tothe Fund and all donations would be credited to itfor use for the welfare of widows.

The draft Bill proposes a subsistence allowanceof Rs. 2,000 per month for each woman - to be revisedas per price index - in addition to free residentialaccommodation, education, vocational training,employment and medical facilities.

Among other provisions, it says that a widowshall not be evicted or thrown out of the house ofher in-laws or parents, and would be entitled toproperty as per inheritance laws, in addition tomaintenance allowance from the heir or in-laws whodo not keep her in the family.

Sulabh International will also shortly start ahelpline for widows in Vrindavan and Varanasiwhere widows in distress or shelter providers couldseek help from.

According to the draft Bill, nearly three per cent

of the total female population in the countrycomprises widows; with more than half of them

being old, infirm, disabled and having no soyurceof income. A widow is often driven out by her in-laws' house or even her parental house. At someplaces, these women are termed as witches andtortured by their own family members.

Annual health Survey Report released

The Health Ministry has released the AnnualHealth Survey (AHS) conducted in 284 districts of

eight Empowered Action Group States of Bihar,Jharkhand, Uttar Pradesh, Uttarakhand, MadhyaPradesh, Chhattisgarh, Orissa and Rajasthan, besidesAssam, representing half the country's population.

The objective of the AHS is to yield acomprehensive, representative and reliable dataseton core vital indicators including composite oneslike Infant Mortality Rate, Maternal Mortality Ratioand Total Fertility Rate along with their co-variates(process and outcome indicators) at the district leveland map the changes therein on an annual basis.These benchmarks would help in better and holisticunderstanding and timely monitoring of variousdeterminants on well-being and health of populationparticularly Reproductive and Child Health.

Annual Health Survey (AHS) has beenimplemented by the Office of Registrar General,India for a three year period spread over 2010-11 to2012-13.

Highlights of the report:

a) Uttarakhand continues to perform well and UttarPradesh poorly on key health indicators.

b) Shravasti district of Uttar Pradesh recorded thehighest Infant Mortality Rate (IMR) - the numberof deaths of children less than one year of ageper 1000 live births - of 100, three districts ofAlmora, Pithoragarh and Rudraprayag inUttarakhand recorded a comparatively low IMRof 20.

c) Uttarakhand also recorded the lowest MaternalMortality Rate (MMR) (162) and Assam thehighest of 347 among these States.

d) Garhwal HQ (155) in Uttarakhand had thelowest MMR and Faizabad Mandal (437) in UttarPradesh the highest MMR which is defined asthe ratio of the number of maternal deaths per100,000 live births.

e) Pithoragarh district in Uttarakhand recorded thelowest of 766 while Moradabad district of UttarPradesh recorded the highest of 1,050.Amongthe States, Chhattisgarh recorded the highestSRB of 951 and Uttarakhand the lowest of 866.Assam recorded the highest rise in SRB.

f) Rudraprayag and Pithoragarh (12) inUttarakhand had the lowest Neo-Natal MortalityRate (NNMR) and Balangir district of Odishahad the highest of 72.

g) Pithoragarh district in Uttarakhand recorded thelowest Under Five Mortality Rate (U5MR) at 23while Kandhamal district of Odisha had thehighest of 142.

h) Bageshwar district in Uttarakhand had thelowest Crude Birth Rate (CBR) of 14.5 and

Shravasti in Uttar Pradesh the highest of 40.2,while it declined in 261 (91.9 per cent) districtsand remained same in 10 (3.5 per cent) districtsas compared to the baseline.


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i) IMR declined in 230 (81 per cent) districts andremained same in 30 (10.6 per cent) districts. Atotal of 248 (87.3 per cent) districts have an IMRof 45 or more.

j) For the Neo-Natal Mortality Rate (NNMR), itdeclined in 186 (65.5 per cent) districts andremained same in 55 (19.4 per cent) districts,

while the U5MR declined in 249 (87.7 per cent)districts and remained same in 10 (3.5 per cent).

k) In the MMR, as compared to baseline, Rajasthanrecorded the highest fall (67) while Jharkhandand Bihar recorded the lowest fall (11).

Rashtriya Madhyamik Shiksha Abhiyan(RMSA) revised

The Cabinet Committee on Economic Affairs hasapproved the proposal of the Ministry of HumanResource Development for the revision of norms

related to Rashtriya Madhyamik Shiksha Abhiyan(RMSA). This will facilitate the States / UTs toexecute the civil works for construction of newschools as well as expanding capacity in existingschools.

About RMSA:

This scheme was launched in March, 2009 withthe objective to enhance access to secondaryeducation and to improve its quality. It is envisagedto achieve an enrolment rate of 75% from 52.26% in

2005-06 at secondary stage within 5 years ofimplementation of the scheme by providing asecondary school within a reasonable distance ofany habitation. The other objectives includeimproving quality of education imparted atsecondary level through making all secondaryschools conform to prescribed norms, removinggender, socio-economic and disability barriers,providing universal access to secondary leveleducation by 2017, i.e., by the end of 12th Five YearPlan and achieving universal retention by 2020.

The revised norms are as follows:

a) State/UT governments will be permitted to useState Schedule of Rates (SSoR) or Central PublicWorks Department (CPWD) Rate, (whichever islower) for construction,

b) enhancing the funds of Management, MonitoringEvaluation and Research (MMER) from 2.2percent to 4 percent of the total outlay,

c) subsuming other centrally sponsored schemesof secondary education- Information and

Communication Technology (ICT) at school, girlshostel, Inclusive Education for Disabled atSecondary Stage (IEDSS) and Vocational

Education (VE) in their existing form under theumbrella of RMSA. The pattern of assistance aswell as coverage of schools as per their existingnorms of all subsumed schemes will continuefor the 12th Five Year Plan,

d) extending all the benefits of RMSA to aidedsecondary schools excluding infrastructure

support / core areas, this will help in providingsupport to interventions that will improve thequality of education in these schools.

e) continuation of existing fund sharing pattern of75:25 for the last four years of the 12th Plan tonon - North Eastern Region (NER) states and90:10 for NER States (including Sikkim), and

f) authorizing the RMSA Project Approval Board(PAD) of Ministry of Human ResourceDevelopment to consider for approval of theintegrated plan of the umbrella scheme of RMSA,

including the subsumed four centrally sponsoredschemes of secondary education and release offunds to the RMSA state implementation societydirectly.

g) Out of enhanced MMER of 4 percent, fund upto 3.5 percent of the annual budget allocated forRMSA will be earmarked to the states/UTs foractivities undertaken under MMER. In thosestates and UTs where the proposed percentagesof MMER do not meet the requirement, MMERcan be enhanced upto 5 percent of the budget

allocation of the concerned states/UTs.

Amendments in the National Food Security BillIntroduced in the Lok Sabha

Minister for Consumer Affairs, Food & PublicDistribution Shri K.V.Thomas has introducedamendments in the National Food Security Bill inthe Lok Sabha for consideration.

The National Food Security Bill was introducedto addresses the issue of food security in acomprehensive manner, by adopting a life cycle

approach.Based on the recommendations of the Standing

Committee and views of various stakeholdersthereon, the Government decided to move certainamendments to the Bill. These amendments seek tomake the framework of the proposed legislationsimpler, provide more flexibility to States/UTs inits implementation and to address some of theconcerns raised by them.

The key amendments to the Bill are as under:

a) Coverage and entitlement under Targeted

Public Distribution System (TPDS): Instead ofcoverage of upto 75% of the rural populationand upto 50% of the urban population under


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two categories of priority and generalhouseholds with different entitlements and issueprices provided in the original Bill, there would

be only one category of beneficiaries withuniform entitlement of 5 kg per person permonth.

b) Protection of entitlements under Targeted

Public Distribution System:The entitlement ofAntyodaya Anna Yojana (AAY) households,which constitute poorest of the poor will,however, be protected at 35 kg per householdper month. It is also proposed to accept therecommendation of the Committee to protect theexisting allocation of foodgrains to the States/UTs, subject to it being restricted to averageannualofftake during last three years (2009-10to 2011-12).

c) State-wise coverage and identification of

beneficiaries: Corresponding to coverage of75%/50% of the rural/urban population at theall India level, State-wise coverage will bedetermined by the Planning Commission. Thework of identification of eligible households isproposed to be left to the States/UTs, whichmay frame their own criteria or use the SocialEconomic and Caste Census (SECC) data.

d) Subsidized Prices under TDPS and their

revision:Uniform prices of Rs. 3/2/1 per kg forrice/wheat/coarse grains will be applicable toall eligible beneficiaries. It is proposed to fixthese prices for the first three years ofimplementation of the Act, and thereafter linkthe same suitably to MSP.

e) Cost of intra-State transportation & handling

of foodgrains and FPS Dealers' margin:In orderto address the concerns of States/UTs regardingadditional financial burden, it is proposed thatCentral Government may provide assistance toStates towards cost of intra-State transportation,

handling of foodgrains and FPS Dealers' margin,for which norms will be devised.

f) Grievance Redressal: It is proposed to allowStates/UTs to use the existing machinery ofDistrict Grievance Redressal Officer (DGRO),State Food Commission, if they so desire, to saveexpenditure on establishment of new set up.

At the coverage and entitlement now proposed,total estimated annual foodgrains requirement is612.3 lakh tonnes and the corresponding estimatedfood subsidy for implementation of NFSB, at 2013-14 costs, is about Rs. 1,24747 crore. When comparedto the estimated food subsidy requirement underexisting TDPS and Other Welfare Schemes, the

additional food subsidy implication is aboutRs.23,800 crore per annum. Requirement forassistance to States for meeting the expenditure onTransportation, Handling and FPS Dealers' margin,etc., would be additional.

Immunization communication campaignlaunched during Special Immunization Week

To create awareness on the urgency to vaccinateevery eligible child and intensify efforts to improveimmunization coverage, the Government of Indiahas launched Special Immunization Weeks. Fourweeks, with one week each in the months of April,

June, July and August will be used to hold specialimmunization sessions in high-risk areas across thecountry.

Each year, full immunization preventsapproximately 4 lakh under-five deaths from vaccinepreventable diseases in India. But close to 75 lakhchildren every year miss the benefits of childhoodvaccinations. A majority of those missing theopportunity are from among underserved andmarginalized populations. Being unvaccinated keepsthem at highest risk of catching life-threateningchildhood diseases. Globally, every fifth child isunimmunized.

Year 2012-13 was declared as "Year ofIntensification of Routine Immunization."Intensification efforts saw the expansion ofPentavalent vaccine to six more states in India aftersuccessful introduction in Tamil Nadu and Kerala.Pentavalent protects children from Hib pneumoniaand Hib meningitis in addition to protection fromdiphtheria, pertussis, tetanus and Hepatitis B.

In June 2012, the Governments of Ethiopia, Indiaand the United States with UNICEF, USAID andother partners launched a global roadmap to endpreventable deaths of children under the age of five.Since then, under the banner of Committing to ChildSurvival: A Promise Renewed, more than 170countries have signed up and renewed theircommitment to child survival. In February 2013,Government of India launched a Call to Action onChild Survival and Development in Tamil Nadu,renewing the promise towards further reducingUnder 5 mortality in India. The Summit also arrivedat a set of agreed actions that will sustain themomentum and promote accountability in India's

journey towards achieving the MillenniumDevelopment Goals related to maternal and childmortality.

New health policy released by KeralaA draft health policy, which seeks to take

healthcare in the State out of the purview of just the


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Health Department and make it literally everydepartment's responsibility and in turn, positionhealth as a product of the State's developmentagenda incorporating a host of allied subjects, wasreleased. The draft is the first step towards acomprehensive health policy, one which the Statenever had and, in fact, one which few other States

in the country have.The objective of the draft policy was to position

good health as the product of a development agendathat incorporated social determinants of health suchas water supply, nutrition, sanitation, prevention ofecological degradation, respect for citizens' rights,and gender sensitivity.

The policy would strive to ensure availability ofthe required financial, technical, and humanresources to meet the health needs of the State; toeffectively organise provision of healthcare from

primary to tertiary levels through referral networksmanaged by primary care providers to maximiseefficiency and reduce costs; and to regulate practisein the sector to ensure quality and patient protection.

The policy, in fact, aims at crucial changes fromthe grassroots level, looking at 'networked caremanaged by primary care groups.' This would alsohave a revamp of the primary care system, withspecialised training to be provided through a soon-to-be launched postgraduate course to create a cadre

of qualified doctors for primary care alone.The other major proposals in the draft policy

include a unified Kerala Public Health Act,combining the existing Travancore-Cochin PublicHealth Act and the Madras Public Health Act andcurrent needs; the setting up of a Public Health Cadreand Public Health Protection Agency; strategies toreduce maternal and infant mortality through aframework developed with support of the KeralaFederation of Obstetrics and Gynaecology and theNational Institute of Clinical Excellence, United

Kingdom; putting in place a referral protocol alongwith strengthening of cancer care and preventionsystems; systems for better trauma care managementwith dedicated trauma care teams at district andtaluk levels apart from extension of the 108Ambulance services across the State; a MedicalEstablishment Bill 2013 covering registration andregulation of all healthcare institutions, includingprivate hospitals, laboratories and diagnostic centres;a data management system that will compile allhousehold level data and also lead to an ElectronicHealth Record; pedagogic techniques to assurequality in the medical education sector; research anddocumentation and quality assurance systems for

promotion of Ayurveda and Homoeopathy systems;and proposals for continued engagement with theprivate sector for purchasing services.

Steps to Increase Level of Processing of

Perishable Food Items from 6% to 20%

The level of processing in 2005 was 6%. It is

estimated to have gone over 10%. The level ofprocessing of fruit and vegetables in the country isestimated at 2.20%. The low level of fruit andvegetable processing is due to non availability ofprocessable varieties of raw material of right quantityand quality, seasonable nature of industry, lack ofadequate post harvest infrastructure such as lack ofcold chain facilities, transportation, proper storagefacilities etc.

In order to increase level of processing and topromote food processing industries to exploit both

the domestic and international market potential forprocessed food products, Vision 2015 Document has

been finalized by the Ministry of Food ProcessingIndustries (MFPI), which envisages trebling the sizeof the processed food sector by increasing the levelof processing of perishables from 6% to 20%, valueaddition from 20% to 35% and share in global foodtrade from 1.5% to 3% by 2015. An integratedstrategy for promotion of agribusiness-Vision,Strategy and Action Plan for the Food ProcessingSector has also been approved by the Government.

For the growth of processed food products anduse of modern technologies available in foreigncountries, the extant policy permits Foreign DirectInvestment (FDI) under the automatic route for foodprocessing sector except for items reserved for theMicro and Small Scale sector. FDI brings in, apartfrom capital, state-of-art technology and bestmanagerial practices, thereby providing better accessto the domestic industry to foreign technology andintegration into the global market. Foreign Direct

Investment will bring new products, improvedquality and new technology in the Food ProcessingSector resulting in higher employment, reduction inwastage of agri products, safe and hygienic foods aswell as export potential of processed food.

Ministry of Food Processing Industries hasentered into agreements with some developedcountries viz. Germany & France for bilateral co-operation in the field of food processing whichgenerally include processed food segments includingfruits & vegetables. Besides, the Department of

Agriculture & Cooperation has entered into numberof umbrella agreements with some developedcountries like USA, France, Canada, Netherlands,


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Argentina, Austria, Brazil for bilateral co-operationin the areas of agriculture and allied sectors whichgenerally include agro and food processing. Apartfrom this, MoUs have been entered into by twoinstitutions under the Ministry, namely NationalInstitute of Food Technology Entrepreneurship &Management (NIFTEM) & Indian Institute of Crop

Processing Technology (IICPT) with universities insuch industrial countries. These MoUs relate tocollaboration in teaching and research in the foodprocessing sector.

Amendments in Prevention of Corruption Act,

1988

Sweeping changes to the Prevention ofCorruption Act, 1988 have been approved by theCabinet chaired by Prime Minister Manmohan Singh.Under the new amendments property illegally

acquired by a corrupt public servant will beconfiscated and a time line has been set for securingsanction to prosecute serving and retired publicservants under a bill.

A timeframe has been set for getting sanction ofcompetent authority to prosecute serving and retired

bureaucrats and reasons will have to be specifiedgiving the nod or refusing it.

For the first time, a provision for liability of acommercial entity for failing to prevent bribery of apublic servant has been incorporated.

The amended bill has also laid down a cleardefinition of different forms of bribery in line withinternational practices.

In what is being seen as a reprieve for retiredbureaucrats, they would not have to face prosecutionfor acts of omission and commission while in officewithout the prior sanction of competent authority.At present, the government's protection in the formof prosecution sanction does not extend to retired

bureaucrats.

A need was felt to bring the amendment toextend this protection to retired officials so that itwould be mandatory for the prosecuting agency toget prior sanction before prosecuting them forsomething which they might have done with goodintention while in office.

India's fight with malnutrition

According to Food Agriculture Organisation's(FAO) "The State of Food Insecurity in the World2012" report, there is a reduction of 34.9 percent in

prevalence of undernourishment from 1990-1992 to2010-2012 (down from 26.9 percent in 1990-1992 and17.5 percent in 2010-2012). In 2012, the Food

Agriculture Organisation's (FAO) report indicatesthat 17.5 percent of India's population was estimatedto be undernourished in 2010-2012 (down from 19.0percent in 2007-2009 and 20.9 percent in 2004-2006).

The problem of malnutrition is complex, multi-dimensional and inter-generational in nature andcannot be improved by a single sector alone. The

approach to deal with the nutrition challenges hasbeen two pronged: First is the mult i-sectoralapproach for accelerated action on the determinantsof malnutrition in targeting nutrition in schemes/programmes of all the sectors. The second approachis the direct and specific interventions targetedtowards the vulnerable groups such as children

below 6 years, adolescent girls, pregnant andlactating mothers.

The Government is implementing severalschemes/programmes of different Ministries/

Departments through State Governments/UTAdministrations. The schemes/programmes includethe Integrated Child Development Services (ICDS),National Rural Health Mission (NRHM), Mid-DayMeal Scheme(MDM), Rajiv Gandhi Schemes forEmpowerment of Adolescent Girls (RGSEAG)namely SABLA, Indira Gandhi Matritva SahyogYojna (IGMSY) as direct targeted interventions.Besides, indirect Multi-sectoral interventions includeTargeted Public Distribution System (TPDS),National Horticulture Mission, National Food

Security Mission, Mahatma Gandhi National RuralEmployment Guarantee Scheme (MGNREGS),Nirmal Bharat Abhiyan, National Rural DrinkingWater Programme etc. Several of the schemesnamely, ICDS, NRHM, MDM, SGSY have beenexpanded post 2005-06. All these schemes havepotential to address one or other aspect of Nutrition.

Nutrition has been receiving attention at thehighest levels. Recent decisions of Government interalia, include (i) strengthening and restructuring ofthe ICDS with special focus on pregnant and

lactating mothers and children under three. (ii) amulti-sectoral programme to address the maternaland child malnutrition in selected 200 high-burdendistricts. (iii) A nationwide information, educationand communication campaign (iv) bringing in strongnutrition focus in Ministries dealing with Health,Drinking Water Supply and Sanitation, SchoolEducation, Agriculture and Food & PublicDistribution. (v) programmes such as the ICDS andMidday meal shall use iron fortified iodized salt(Double fortified salt).

The main schemes/programmes of Ministry ofWomen and Child Development which have a

bearing on the nutritional status includes the


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[ 1 0 ] Week l y Cu r r en t A f f a i r s 29thAp r i l t o 05thM ay, 2013

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Integrated Child Development Services (ICDS)Scheme which provides a package of six servicesnamely supplementary nutrition, pre-school non-formal education, nutrition & health education,immunization, health check-up and referral services.ICDS Scheme has since been universalized witheffect from 2008-09.

Recently Government has approved thestrengthening and restructuring of ICDS with specialfocus on pregnant and lactating mothers andchildren under three. The restructured andstrengthened ICDS has been rolled out in threephases with focus on the 200 high burden districtsfor malnutrition during 2012-13 and additional 200districts in 2013-14 including districts from the

special category States and North Eastern Region(NER) and the remaining districts in 2014-15.

Additionally, Government has launched anInformation, Education and Communication (IEC)

Campaign against malnutrition for generating

awareness on key nutrition issues with effect from

28th December, 2012.

The proposed National Food Security Bill,introduced in the Lok Sabha will also contribute

towards food security. Government has also

announced a pilot programme on Nutri-Farms for

introducing new crop varieties that are rich in micro-

nutrients such as iron-rich bajra, protein-rich maize

and zinc-rich wheat.


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Court bans Musharraf from polls for lifePakistan's former military ruler Pervez

Musharraf 's plans to stage a political comeback were

virtually sealed after the Peshawar high court

banned him from contesting polls for life while

another court remanded him in judicial custody till

three days after the May 11 parliamentary polls.

The high court's ruling came on an appeal by

the former president who had challenged the

rejection of his nomination papers for the national

assembly seat in the north-western hill-station ofChitral. The ruling stated that since Musharraf had

abrogated the Constitution twice, he could not be

allowed to contest elections for either the National

Assembly or Senate.

The military dictator returned to Pakistan from

self-imposed exile on March 24 to head his All

Pakistan Muslim League in the May 11 general

elections. He had filed nomination papers from four

constituencies, but his candidature was rejected in

each of them. His appeals against dismissal of papersfrom other seats - Islamabad, Karachi and Kasur in

Punjab - were rejected earlier.

Meanwhile, an anti-terrorism court (ATC) in the

garrison city of Rawalpindi sent him to a two-week

judicial remand in the Benazir Bhutto assassination

case. The court fixed the next date of hearing on

May 14, three days after the polls. Bhutto was killed

in a deadly bomb and gun attack in December 2007

after addressing an election rally in Rawalpindi's

Liaquat Bagh. The court had framed charges againstMusharraf in the case in February 2011, and in

August that year he was declared a proclaimed

offender. The ex-army chief, already in judicial

custody in the judges' detention case after imposing

emergency in November 2007, was not produced in

the court for security reasons.

The court gave permission to the Balochistan

police to question Musharraf in the case relating to

the killing of Baloch nationalist leader Nawab Akbar

Khan Bugti. Bugti was killed in a military offensive

in the mountainous Dera Bugti region in southwest

in August 2006 when Musharraf was president and

army chief.

INTERNATIONAL

Arab League nod for Israel-Palestine land swapQatar's Prime Minister and Foreign Minister,

Sheikh Hamad Bin Jasem Al Thani on behalf of the22-nation Arab League (AL) stated that Arabcountries have collectively agreed to accept anarrangement that would allow Israelis andPalestinians to go ahead with land swaps to resolvedifferences, rather than strictly sticking to the pre-

1967-war position.

It is a part of the process by Arab nations and

US to promote Israeli-Palestinian peace.Israel welcomed the support given by the Arab

league delegation and the US secretary of state tothe diplomatic process.

Arab League statement appeared to be asoftening of the 2002 Arab Peace Initiative whichcalled for a two-state solution based on a completeIsraeli withdrawal to the pre-1967 lines and makingeast Jerusalem the Palestinian capital, in return for"normal relations in the context of a comprehensivepeace with Israel".

The 2002 initiative also called for the"achievement of a just solution to the Palestinianrefugee problem to be agreed upon in accordancewith UN General Assembly Resolution 194." In theArab world, that resolution is viewed as enshrining

a Palestinian refugee "right of return" to Israel.

The Palestinian leadership supported the landswap idea but the radical Popular Front for theLiberation of Palestine group condemned theproposal. The group accused the Arab foreign

ministers of "begging" the US to resume the peaceprocess between the PA and Israel. Another radicalgroup, the Democratic Front for the Liberation ofPalestine, also condemned the land swap idea andaccused Qatar of seeking to liquidate the Palestinian

issue. Muhammad Jadallah, a senior member of theDFLP, said that Qatar was seeking to take over theArab League in order to serve US interests in theregion.

UN launches initiative to achieve 'zero hunger'

in Asia and the Pacific

According to the UN Food and AgricultureOrganization (FAO), one in every eight people in


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Asia and the Pacific suffers from chronic hunger,and nearly two-thirds of the world's chronicallyhungry people live in the region.

The Millennium Development Goals (MDGs)that world leaders have pledged to achieve by 2015aimed at halving the proportion of people who sufferfrom hunger, along with improving education,

gender equality, child and maternal health andenvironmental stability. The MDGs have been themost successful global anti-poverty drive in history.But there are still many gaps.

Thus the United Nations has launched the ZeroHunger Challenge in Asia and the Pacific, callingon governments, farmers, scientists, business, civilsociety and consumers to work together to endhunger in the region where the majority of theworld's undernourished people live.

First proposed at the UN Conference on

Sustainable Development (Rio+20) in Brazil last June,Secretary-General Ban Ki-moon's Zero HungerChallenge aims for a future where every individualhas adequate nutrition.

Its five objectives are to make sure that everyonein the world has access to enough nutritious foodall year long; to end childhood stunting; to buildsustainable food systems; to double the productivityand income of smallholder farmers, especiallywomen; and to prevent food from being lost orwasted.

Over 270,000 pedestrians killed each year:WHO

The World Health Organisation report stated thatmore than 270,000 pedestrians are killed on theworld's roads each year; 5,000 pedestrians are killedon the world's roads each week because their needshave been neglected for decades, often in favour ofmotorised transport

The UN health agency underlined that pedestrian

victims make up 22 per cent of the total 1.24 millionpeople killed annually in road traffic accidentsaround the globe.

It pointed to studies showing that males --whether children or adults -- make up a highproportion of pedestrian deaths and injuries.

In developed countries, older pedestrians aremore at risk, while in low-income and middle-income countries, children and young adults areoften affected.

The proportion of pedestrians killed in relationto other road users is highest in Africa, at 38 percent, and lowest in Southeast Asia, where the figureis 12 per cent.

Governments should put in place measures tobetter protect all of pedestrian. This will not onlysave lives, but create the conditions needed to makewalking safe. When roads are safe, people will walkmore, and this in turn will improve health andprotect the environment.

The WHO recommends a mix of enforcement,

engineering and education measures to improvepedestrian safety. They include boosting laws againstspeeding, drinking and driving, and mobile phoneuse at the wheel, as well as providing pavements,underpasses and decent road lighting, better publictransport and improved design with soft vehiclefronts that reduce impact damage.

Iraq revokes al-Jazeera's licence

Iraqi authorities had revoked the operatinglicences of pan-Arab broadcaster al-Jazeera and nine

other satellite TV channels, alleging that they arepromoting a sectarian agenda as the countrygrapples with a wave of violence.

Al-Jazeera is based in the small, energy-rich Gulfnation of Qatar. The channel has aggressivelycovered the "Arab Spring" uprisings across theregion, and has broadcast extensively on the civilwar in neighbouring Syria. Qatar itself is a harshcritic of the Syrian regime and a leading backer ofthe rebels, and is accused by many supporters of

Iraq's Shia-led government of backing protests inIraq too.

Iraq and other governments across West Asiahave temporarily shut down al-Jazeera's offices inthe past because they were disgruntled by itscoverage.

The other nine channels whose licences weresuspended by Iraq's Communications and MediaCommission include al-Sharqiya and al-SharqiyaNews, which frequently criticise the government,

and seven smaller local channels.

Bee-harming pesticides banned in EU

Europe will enforce the world's first continent-wide ban on widely used insecticides linked toserious harm in bees, if passed by EuropeanCommission (EC).

The landmark suspension is a victory for millionsof environment campaigners concerned aboutdramatic declines in bees, who were backed byexperts at the European Food Safety Authority

(EFSA). But it is a serious defeat for the chemicalcompanies, who make billions a year from theproducts.


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Neonicotinoids have been widely used for morethan decade and are used as seed treatments ratherthan sprays, meaning the insecticide pervades thegrowing plant, as well as its nectar and pollen. Theyare less harmful than some of the sprays theyreplaced, but scientific studies have increasinglylinked them to poor bee health.

Google recognises 'Palestine'

Google has recognised the Palestinians' upgradedU.N. status, placing the name "Palestine" on itssearch engine instead of "Palestinian Territories".

The domain name www.google.ps, Google'ssearch engine for the territories, now brings up ahomepage with "Palestine" written underneath theGoogle logo.

The U.N. General Assembly in Novemberupgraded Palestine to the status of non-memberobserver state by a vote of 138 votes in favour, nine

against and 41 abstentions. Palestinian authoritieshave since begun to use the "State of Palestine" indiplomatic correspondence and issued officialstamps for the purpose.


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Committee set up to boost exports fromMSMEs

Micro, Small and Medium Enterprises (MSME)sector contributes about 40 per cent in the country'stotal exports and over 8 per cent to India's GrossDomestic Product (GDP). The exports from MSMEis decreasing, there is an urgent need to look at theMSME sector as exports are not doing well due towhich the country's trade deficit has touched an all-time high of USD 190.1 billion in 2012-13.

Thus worried over widening trade gap, thegovernment has set up a six-member inter-ministerial committee under the chairmanship ofFinance Secretary R S Gujral, that will suggestmeasures to boost MSME exports.

The committee will suggest short and long termmeasures to enhance exports from MSME sector. Itwill submit its recommendations by mid-May.

Although the government is taking every stepincluding recent announcement of incentives andrevamping special economic zone (SEZ) policy in

order to increase shipments from the country, "moreneeds to be done". India's exports declined by about2 per cent to $300.5 billion in 2012-13, way belowthe $360 billion targeted at the beginning of the year,due to the global demand slowdown.

The widening trade gap is adding woes on thethe Current Account Deficit (CAD) front, which hasemerged as a tough policy challenge for thegovernment. CAD crossed 6.7 per cent of the GDPin the third quarter of last fiscal.

The other members of the committee includeCommerce Secretary S R Rao, Revenue SecretarySumit Bose, MSME Secretary Madhav Lal, FinancialServices Secretary Rajiv Takru and Chief EconomicAdviser Raghuram Rajan.

According to experts, the government shouldtake steps like providing credit to the sector ataffordable rates. Government should also increasethe marketing funds for MSMEs. It will help themin marketing and branding of their products in theinternational market.

As per estimates, the share of MSME exportshas fallen from 40 per cent to 36 per cent to thecountry's total exports. The sector accounts for

ECONOMY

around 45 per cent of the manufacturing output andprovides employment to about 60 million personsthrough 26 million enterprises.

RBI pegs 5.7 percent growth for current fiscal

Projecting a modest pick-up in economic activityin the coming months, Reserve Bank pegged theGDP growth rate for the current fiscal at 5.7 pc,significantly lower than the Finance Ministry'sforecast of 6.1 to 6.7 pc and Prime Minister'sEconomic Advisory Council's growth projection of

6.4 percent for 2013-14. It is also lower than theWorld Bank's growth projection, which predicted

Indian economy to grow by 6.1 percent in 2013-14on account of robust domestic demand, strongsavings and investment rate.

India's economy grew by 5 percent in the lastfiscal, lowest in a decade, on account of poorperformance of manufacturing, agriculture andservices sector.

The Reserve Bank has also cut the key interest

rate by just 0.25 percent to 7.25 percent and kept theliquidity enhancing cash reserve requirementunchanged, disappointing the industry and stockmarket.

Further, the central bank stated that inflation willhover broadly around the 5.5 percent mark in thecurrent fiscal and will deploy "all instruments at

command" to bring it down to 5 percent by Marchnext year. Headline inflation, as measured by thewholesale price index (WPI), moderated to an

average of 7.3 percent last fiscal year. The overallinflation in March fell to 5.96 percent, lowest in thelast three years, but the consumer price indexremained elevated at 10.39 percent.

The central bank further stated that it is criticalto consolidate and build on the recent gains incontaining inflation and it will endeavour tocondition the evolution of inflation to a level of 5

percent by March 2014.

The decision to leave the CRR unchanged seems

to have been driven by an improvement in theliquidity deficit, as the banks are now drawingaround Rs 84,000 crore from the overnight windowcompared to Rs 1.8 lakh crore late last fiscal.


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Describing the widening current account deficitand its financing as the biggest threat to monetarypolicy, RBI warned that growth would slip ifgovernance is not improved and supply constraintsare not unlocked. The central bank expects non-foodcredit growth to pick up marginally to 15 percent in2013-14 from 14 percent achieved in the previous

fiscal and deposit mobilisation to be flat at 14 percent.Foll ow ing are t he highli ght s of t he RBI 's annual

monet ary pol i cy 2013-14:

a) Key short -t erm l ending rate (repo) cut by 0.25

pc t o 7.25 pc.

b) Cash reserv e rat i o kept unchanged at 4 per

cent.

c) RBI says assessmen t o f grow th - i n f l a t i on

dynam i cs li mi t s scope for furt her easing of

poli cy rat e.

d) FY14 GDP grow th pegged at 5.7 per cent, dow nfrom govt 's est imat es.

e) Inf lat ion t o remain range-bound around 5.5

pc in FY14.

f) CAD i s the biggest risk to t he economy.

g) RBI proposes doubl i ng of l imi ts on prior i t y

sector l endi ng to M SMEs t o Rs 5 cr.

h) Banks asked to stop differenti al t reatment t o

home-branch and non-home branch cust omers.

i ) RB I sa y s p r o be i n t o Cobr a po st ' s st i n g

opera t i on cal l s fo r a bet t er r egu la t o ry

compli ance by bank s.

j ) Bank s not car ry i ng out cust omer due di l i gence

as required w hil e market ing and distr ibut ing

t hird-party products.

k) RBI proposes restr i ct i ng gold imports only to

meet genui ne needs of expor t ers of gol d

j ewel l ery .

l ) Banks asked to set up mechanism to monit or

and revi ew implement ati on of D ir ect Benefi t

Transfer.

m) M id-quarter revi ew of policy on 17th June.

Civil Aviation Ministry Permits ScheduledAirlines to Charge Fees for Certain UnbundlesServices Separately

The Minister for Civil Aviation, Shri Ajit Singh,has decided to permit scheduled airlines to unbundlecertain services and to charge fees for these servicesseparately. This is based on the recommendationsof the Nathan Economic Consultants in their reporton "Economic Regulations to Airlines Ticket Pricingin India". The objective of the decision is to facilitateairlines to offer low base fare for price sensitive

travellers, while at the same time offer choice toservice seekers at a price. This will allow thepassengers to benefit from lower base fares and tocustomise the product to better suit theirrequirements and budget while allowing airlines todevelop more sustainable operations in anenvironment of wafer thin margins.

The list of services that have been unbundledand can be charged for separately includepreferential seating, meals and drinks except water,usage of airlines' lounges, carrying check-in baggage,sports equipment carriage, musical instrumentcarriage and luggage specially declared valuable.

DGCA is empowered to monitor the levy ofcharges for such services/flight products under Rule135 of the Aircraft Rules, 1937 and such servicescome under tariff as per the definition providedunder Section-5 of the Aircraft Act. However, the

levy of such charges will be based on the followingprinciples:-

a. Safety, schedule and reliability not to becompromised.

b. Services permitted for unbundling shall bedistinct with a clear description and without anyambiguity.

c. Services to be provided on opt-in basis and noton opt-out basis i.e. customers should be givenopportunity to pick and choose which amenities

they want to receive and pay for.d. Charges for unbundled services shall be a fixed

amount and announced well in advance by theairlines which shall not vary with the base farefor a particular flight.

e. The key guiding principle shall be adequatedisclosure and transparency on the part ofairlines on the websites, online travel portalsand travel agents so that the consumersmaximize the informed choice.

f. Airline to file details of services to be unbundledand fee charges for the same to DGCA in termsof product description, charges/fee, manner ofdisclosure to public, terms and conditions etc.

g. DGCA may not fix fee for unbundled servicesbut shall have the right to intervene and stopcharging if regulatory principles are violated bythe airlines.

The list of services will be reviewed by theministry after six months.

Globally, airlines are permitted to unbundle

services and charge each unbundled service. Thepractice is widely followed by low-cost airlines suchas AirAsia, Ryanair and EasyJet.


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Fixation of Nutrient Based Subsidy (NBS) rates

for the year 2013-14

The Cabinet accorded approval to the proposalsof the Department of Fertilizers for fixation of NBSrates for the year 2013-14. These rates will beapplicable from 1st April 2013.

The Department of Fertilizers is implementing

Nutrient Based Subsidy Policy for the P&K fertilizersw.e.f. 1.4.2010. As per this Policy, the Governmentof India announce NBS rates for various nutrientsnamely Nitrogen (N), Phosphate (P), Potash (K) andSulphur (S) for P&K fertilizers covered under thepolicy every year.

Accordingly, the Cabinet has approved per KgNBS rates of fertilizer nutrients 'N', 'P', 'K' & 'S` forthe financial year 2013-14 at Rs.20.875, Rs.18.679, Rs.18.333 and Rs.1.677, respectively. Based on these

rates, the subsidy on Di-Ammonium Phosphate(DAP) and Muriate of Potash (MOP) would be Rs.12350 PMT and Rs. 11300 PMT, respectively. Theper Metric Tonne subsidy on other P&K fertilizerscovered under the Nutrient Based Subsidy Policyshall also be as per the nutrient content in that grade.

Under the NBS policy applicable to fertilizersother than Urea, while the government decides afixed subsidy on each grade of fertilizers covered bythe policy, the importers and manufacturers decidethe domestic prices of these fertilizers. They are

allowed to fix the MRP at reasonable level. As thedomestic demand for P&K fertilizers is largely metthrough import of finished fertilizers and the rawmaterials, the domestic price should normally movein tandem with movement of prices in theinternational market. However, in view of the recenttrend of falling international prices having nocorresponding decrease in domestic prices, theCabinet has decided that it shall henceforth bemandatory for all fertilizer companies to submit

certified cost data while claiming subsidy. In caseMRP is not found to be reasonable, subsidy may berestricted or denied. In proven case of abuse ofsubsidy mechanism, the Government may excludeany grade/grades for fertilizers of a particularcompany or the fertilizer company itself from theNBS Scheme.

The Cabinet has also decided that thereasonability of MRP of P&K fertilizers fixed by thecompanies in the year 2012-13 shall also be lookedinto by the Government for making recovery of

subsidy, wherever necessary.The implementation of new rates will result in

reduction of subsidy by about 15%. The price of

DAP and MOP is expected to be reduced by a

minimum of Rs.1500 and Rs.1000 per MT,

respectively from the current level which will

provide relief to the farmers.

Proposal for extension of completion date of

NATRiP project

The Cabinet Committee on Economic Affairs(CCEA) approved the extension of the date of

completion of the project by two years beyond 31st

December, 2012 to 31st December, 2014.

The National Automotive Testing and R&D

Infrastructure Project (NATRiP) was approved by

the CCEA on 25th July, 2005 with a total investment

of Rs.1718 crore, for upgradation of three existing

centres viz. Vehicle Research and Development

Establishment viz. VRDE at Ahmednagar,

Automotive Research Association of India (ARAI)at Pune and International Centre for Automotive

Technology (ICAT) at Manesar and for setting up of

four Greenfield centres at Chennai, Indore, Silchar

and Rae Bareily for automotive testing,

homologation and R&D. The project aims at putting

in place automative testing infrastructure that will

meet safety and emission regulation requirements

till 2015 and also deepen India's automotive R&D

capabilities.

NATRiP faced hurdles in the initial stages onaccount of delays in acquisition of land at various

sites, delays in clearances, shifting of utilities,

contractual complications etc. These factors have

already led to escalation of the project cost and

extension of the scheduled completion date. The

CCEA, on 31st July, 2011 had approved the revised

cost of 2,288 crore and 21st December, 2012 as the

completion date of the project.

The completion date of 31st December, 2012 was

arrived at on the assumption that adequate funding

and availability of required land will be ensured as

envisaged. However, despite best efforts, the project

implementation continues to be hampered by a

number of problems.

Creation and launch of an Exchange Traded

Fund comprising stocks of listed CPSEs

The Cabinet Committee on Economic Affairs

today approved the setting up of a Central Public

Sector Enterprises (CPSE) Exchange Traded Fund

(ETF), which would comprise CPSE stocks (fromamongst the listed CPSE stocks). Each stock would

have a fixed weightage in the basket.


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The composition of the basket, the launch of theNew Fund Offer (NFO), the discount to be providedand other issues relating to contribution and pricingof the ETF would be decided by the EmpoweredGroup of Ministers (EGoM).

This will help in minimizing market disruptionsseen in public offerings of listed CPSEs; increase

ability of the Government to monetize partial stakesin listed CPSEs, some of which have low liquidityand free float; broad base retails participation ofshares of CPSEs, and moreover, help to deepen the

market for equity-based products; beneficial to theGovernment from a pricing perspective as part ofthe discounts could be back-ended; in the perspectiveof success of ETFs globally, a CPSE ETF will boostthe ETF product in the country, and will help fulfillthe domestic investors' appetite for an equity ETFproducts as the domestic Indian investor is vastlyunder-served vis-a-vis the foreign investorcommunity.

CPSE ETF is made up of a basket of shares of

different CPSEs, that tracks an index fund, but tradeslike a stock on the exchange.

Reliance Jio, five others join to set up under-

sea cable system

Telecom carriers Vodafone Group of the U.K.,Telekom Malaysia from Malaysia, Omantel from

Oman, Etisalat from the UAE, Reliance Jio Infocommand Dialog Axiata from Sri Lanka have formed aconsortium to set up an Bay 8,000-km-long Bay ofBengal Gateway (BBG) submarine cable system tolink Malaysia and Singapore to the Middle East, with

connections reaching out to India (Mumbai andChennai) and Sri Lanka.

The construction of BBG is planned not only to

provide connectivity between Southeast Asia, SouthAsia and the Middle East, but also to Europe, Africa

and to Far East Asia through inter-connections withother existing and newly-built cable systems landingin India, the Middle East and Far East Asia.

The construction and maintenance agreement(C&MA) and the supply contract for BBG weresigned in Kuala Lumpur. The cable system isdesigned to provide upgradable and transmissionfacilities by having 100 Gbps capability. This cablesystem is expected to carry commercial traffic by

the end of 2014. BBG will also serve as anextraordinary opportunity for business growth as it

will help support current and future high capacityrequirements from the surrounding areas of theregion and next generation Internet applications.

According to analysts, this new cable systemcould help end the monopoly of some existingplayers operating in this region and bring downinfrastructure cost for the consortium members. TataCommunications' formerly VSNL submarine cablesystem almost passes through the same route.

BSE, S&P Dow Jones Indices launch S&P BSE

500 Shariah index

BSE and S&P Dow Jones Indices has announcedthe launch of the S&P BSE 500 Shariah index, thefirst new index resulting from the strategicpartnership formed between the two companies inFebruary 2013.

The S&P BSE 500 Shariah index was designed torepresent all Shariah compliant stocks of the broad

based S&P BSE 500 index. The S&P BSE 500 consistsof 500 of the largest, most liquid Indian stocks

trading at the BSE. The S&P BSE 500 representsnearly 93 percent of the total market capitalizationon the BSE and covers all 20 major industries of theeconomy.

The S&P BSE 500 Shariah index meets the needfor an investable benchmark in India to gauge theperformance of some of the most widely followedShariah compliant stocks trading at the BSE.

Shariah is Islamic canonical law, which observantMuslims adhere to in their daily lives. Shariah has

certain strictures regarding finance and commercialactivities permitted for Muslims.

S&P Dow Jones Indices has contracted withRatings Intelligence Partners (RI) to provide theShariah screens and to filter the stocks. RatingsIntelligence Partners is a London/Kuwait-basedconsulting company specializing in solutions for theglobal Islamic investment market.

The partnership brings together BSE's closelywatched India index suite, which includes the

SENSEX, with S&P Dow Jones Indices' 115 years ofexperience in publishing uncompromised global

benchmarks.

NSE certification programme

To provide school and college studentsemployability skills relating to the world of stocksand shares, the Department of Education has inkeda memorandum of understanding with the NationalStock Exchange for two certification programmes.

While students of Plus One classes will be offeredthe NSE Certified Financial Markets ProfessionalProgramme, college students will be able to take theNSE Certified Capital Market Professional


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Programme. These courses will be offered under theAdditional Skill Acquisition Programme (ASAP) ofthe Department of Education.

The NSE would initially train 300 master trainerswho, in turn, would impart the skills to school andcollege students. The department aimed to providesuch training to 75,000 students by 2017. The

department has signed MoUs with NASSCOM,BSNL and the Indian Institute of Cost Accountantsfor offering similar courses under the ASAP.

Foodgrains output exceeds target for 2013

The Centre has revised its foodgrains productionestimate upwards by 5.22 million tonnes for 2012-13over earlier expectation on account of higher outputof rice, wheat and coarse cereals.

The total foodgrains output is now estimated at255.36 million tonnes with wheat production pegged

at 93.62 million tonnes and rice at 104.22 milliontonnes.

However, despite a better showing in the thirdadvance estimates released officially, the totalfoodgrains production will be lower by 3.96 milliontonnes than the previous year's (2011-12) recordproduction of 259.24 million tonnes. Wheat outputthen was 94.98 million tonnes and rice was 105.31million tonnes.

Drought in parts of Maharashtra, Gujarat,Karnataka, Andhra Pradesh, Tamil Nadu and

Rajasthan due to delayed and inadequate monsoonhad hit production of coarse cereals and pulsesduring kharif season but the late rains redeemedthe situation. However, some hail and untimely raintowards the final stages of the rabi season thatfollowed, affected the wheat output in parts ofPunjab and Haryana.

As per the 3rd Advance Estimates, the total riceproduction (including kharif and rabi) for the 2012-13 crop year from July to June, has been revisedupwards to 104.22 million tonnes from 101.8 milliontonnes in the second advance estimates. The thruston rice cultivation in the eastern region has helpedenhance production.

Output of coarse cereals is expected to be 39.52million tonnes as against 38.47 million tonnes in theearlier estimate. In the previous year, however, thecoarse cereals production was higher at 42.04 milliontonnes. There has been a slight improvement in theoutput of pulses from 17.58 million tonnes in thesecond estimates to 18.00 million tonnes in the thirdadvance estimates, which is higher than output of17.09 million tonnes achieved in the previous year.But for gram and moong the output of all pulseshas improved.

The overall production of oilseeds is expected tobe higher at 30.72 million tonnes than the earlierestimate as well as the output in the previous year.The output of groundnut, however, which was hit

by kharif drought in Gujarat and Karnataka, is likelyto be lower by 1.53 million tonnes.

"India Aviation - 2014" released by CivilAviation Minister

Civil Aviation is a key infrastructure sector thatfacilitates the growth of business, seamless flow ofinvestment, trade and tourism, with significantmultiplier effects across the economy. The aviationsector is one of the prime movers for economicgrowth and a strategic element of employmentgeneration, besides providing air transport forpassengers and goods. Over a third of world trade

by value is delivered by air and about half of

international tourism is facilitated by air links.Aviation has created a global community based onthe connectivity it provides. In a world of decreasing

barriers to trade, the civil aviation industry remainsa unique engine for innovation and technologicalprogress, one that provides infrastructure that keepsthe nation competitive.

Rapidly expanding air transport network andopening up of the airport infrastructure to privatesector participation have fuelled the growth of theair traffic in India. The Indian airport system is

poised to handle 336 million domestic and 85 millioninternational passengers by 2020, making India thethird largest aviation market.

In order to stimulate air connectivity, airlinesare expected to add around 370 aircrafts, worth US$27.5 billion, to their fleet by the year 2017. Moreover,it is estimated that commercial fleet size is expectedto reach 1000 from 400 today by 2020, and onethousand General aviation aircrafts by 2020including fleet renewal. Estimated investment

requirement for the General aviation aircrafts aloneis of the order of US$ 4 Billion.

Indian government has envisaged investment ofUS $12.1 billion in the airports sector during the12th Plan period, of which US $ 9.3 billion isexpected to come from the private sector forconstruction of new airports, expansion,modernization of existing airports and developmentof low cost airports to keep the tariff at its minimalat smaller airports, improvement in connectinginfrastructure, development of world class Air

Navigation Services infrastructure. At the same time,in order to develop world class ground handling,cargo, logistic facilities including high-output


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distribution centers at major airports, hugeinvestment is also anticipated.

Indian Government has introduced severalpolicies and regulatory reforms to encourage privateparticipation and investments in the sector. Therehave also been several initiatives in the regulatoryframework for propelling the aviation sector to new

heights despite the challenges faced due to risingfuel costs, fierce competition and infrastructure

bottlenecks. Recently, 49% FDI by the foreign carriersin domestic airlines has been allowed which aregoing to provide much-needed relief to the domesticaviation industry, reeling under the pressure ofmounting losses and rising debt burden. Somecarriers like Tata - Air Asia and Jet Airways - Etihadhave already announced their collaboration whichis expected to boost civil aviation both domesticallyand internationally. Further, Indian carriers have

been allowed to import ATF directly.Recently, the Aircraft Acquisition Committee has

been abolished to liberalise the acquisition of aircraftby the scheduled, non-scheduled airlines, flyinginstitutes and for private use, which will giveimpetus to the growth and expansion of airlines inIndia. Henceforth, no permission for acquisition ofaircraft will be required from the Ministry of CivilAviation and they will be free to acquire aircrafts asper their business plan and requirements. This

decision will minimize delays in seeking approvalsand avoid the cumbersome procedures whichairlines were supposed to follow before acquiringan aircraft. The decision will help airlines to plan

better for future induction of aircraft and alsomaintain timeliness of acquisition.

The Government has also allowed Flexi Use ofAirspace by civil and military users, which permitsthem to efficiently and effectively utilize theavailable airspace on sharing basis. It would resultin optimum usage of airspace, enhancement of

airspace capacity, minimizing delays, conservationof fuel, reduction in emissions and ultimate

benefits to travelling public. It is expected thatthere will be a reduction of carbon emissions byabout 7 million kg per annum by direct routing

between 7 major city pairs only because of flexibleusage of airspace.

In an endeavor to make the growth of the sectorequitable and inclusive, Government has takensignificant measures for providing affordable airconnectivity to remote and interior areas of thecountry - the North Eastern Region and Tier-II & IIIcities of India. Government is in the process offormulation of a policy for the promotion of regionalconnectivity, incentivizing Indian airlines to operateon these routes, by code-sharing and seat-creditmechanism. The bigger airlines will be able to usesuch credits to meet their requirement of having toconnect such remote areas without having to losemoney on such operations. This is expected togenerate greater financial viability for regionaloperators. An Essential Air Services Fund is also

being proposed by the Government for providingsubsidy for development of low-cost airportsthroughout the country. This is to encouragedomestic airlines to fly on remote interior routeswith tourism potential.

To spur the growth of international air travel,the Government has taken substantial steps toliberalize and grant traffic rights to Indian carriersto fly to several new destinations across the globe.The new traffic rights have increased the overalltraffic entitlements of the airlines by approximately60% over the existing traffic rights.

Another important move that has accelerated themodernization and development process is the

privatization of five major airports under PPP modeand the policy of development of Greenfield airportswhich envisages synergy between the public andprivate sector.

Moreover, to develop civil aviation in India andfurther facilitate the functioning of the sector, seriesof policy reform decisions are under consideration.These include getting ATF declared as notifiedproduct & bringing transparency in its pricing;rationalisation of bilateral air service agreementswith different countries, traffic entitlements on

international routes to Indian carriers, creation of aseparate Air Navigation Services Corporation fromAAI to make it more effective, efficient &professional body, creation of a Civil AviationAuthority in place of DGCA and creation of aseparate Civil Aviation Security Force which isprofessionally trained for the work of civil aviation.


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INDIA AND THE WORLD

India and Germany step up cooperation inhealth sector

A 16 Member Delegation led by Hon'ble Ministerof Health, Government of Germany, Mr. Daniel Bahr,called on Union Health & Family Welfare Minister,Shri Ghulam Nabi Azad in New Delhi. The Germandelegation includes three Members of the Parliamentand senior officers of the Government of Germanyand leaders of private pharmaceutical sector. IndianDelegation included Secretary (Health & Family

Welfare), DGHS, AS&DG (CGHS) and DrugController General of India.

Following the Supreme Court's judgement in theNovartis patent, Germany expressed hope thatpharma firms would have clear rules to rely on for

business in India - as innovation needs to be"acknowledged and innovation does need a fairprice.

Germany also acknowledged the strongercooperation between Indian and Germany in thehealth sector, especially in training and immigration

of medical and nursing professionals.

Further India is planning to introduce theGerman Health Smart Card model. Thus during themeet the Indian minister detailed about

'Unorganised Workers' Social Security Act, 2008, theRashtriya Swasthya Bima Yojana (RSBY) and themassive programme of skilling 500 million people

by 2022. He said RSBY has already reached out tomore than 34.4 Million families covering about 110Million persons. More than 5.2 Million workers have

visited the hospitals and availed the hospitalizationfacilities under the scheme. He also placed on recordthe appreciation of the Government of India to

Government of Germany for the technical supportgiven under the project Indo German Social SecurityProgramme through GIZ India in making the projecta success. The German side inquired about theframework of RSBY and its impact on the lives ofworkers. They were also informed of the newinitiatives taken to augment the base andapplicability of of RSBY smart card. They also

showed keen interest to foster exchange ofprogrammes between the two countries in thisregard.

During the meet Azad also mentioned about therecent changes made in the Drugs and CosmeticsAct and assured the German delegation about thetransparency while dealing with the cases of druglicenses. Both sides agreed that there is a need tofurther discuss various pending issues on medicaltechnologies and drug licensing.

The German Minister offered cooperation in thefield of medical technologies, training of medicalprofessionals and in the pharma sector, besideshealth card and insurance.

I ndia pharma industry i s rapidl y grow ing sect or

and in vol ume of export s, i t st ands at number t hree

in t he w orl d. India produces affordable drugs at t he

highest qual i t y and export medi cines t o more t han

200 count ri es and vacci nes t o about 150 nat i ons

across t he globe.

Chinese troops erect another tent at DBO

Even as tensions between India and Chinacontinue in eastern Ladakh, the two sides held a

third flag meeting to discuss the incursion issue.Chinese troops have erected another tent in

Daulat Beg Oldi (DBO) sector in Ladakh raising thenumber of such structures in the area of incursionto five, as the standoff between India and Chinaentered the third week.

Local commanders of the two sides, usually ofthe rank of brigadier, met for the third flag meetingto discuss the situation prevailing in the Daulat BegOldie (DBO).

China is showing no signs of withdrawing itstroops from the Indian Territory; it has laid downcondition that some bunkers constructed by India ata key vantage point be dismantled. The vantagepoint is at a junction between two mountains inLadakh area from where the Indian troops couldremain unseen and oversee the activities of theChinese troops in that area.

The first two flag meetings held on April 18and 23 failed to yield any result that could havehelped in ending the stand-off. According to India's

perception of the LAC, Chinese troops' incursionis 19 km deep inside Indian territory in easternLadakh.


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The rigidity shown by the Chinese over itsdemand is also one of the reasons behind more flagmeetings between the two sides not being held forover a week.

India to develop Iranian port

India has announced its participation in the

Chabahar port project - a move that would reinforceNew Delhi's strategic ties with Tehran and Kabulahead of next year's withdrawal from Afghanistan

by the United States.

Analysts point out that India's participation "inthe upgradation" of Chabahar port has deep

geopolitical resonance. The full development of theChabahar port would lower landlockedAfghanistan's dependence on Pakistani ports forassured access to the sea.

Besides, the trilateral arrangement could balancejoint forays by China and Pakistan in the IndianOcean. In February, Pakistan decided that China

would operate its Gwadar port, just 76 km fromChabahar. For the first time, Gwadar would provideChinese ships sustained anchorage in an area onthe edge of the Arabian Sea, not far from the Straitof Hormuz, through which the bulk of the world'senergy supplies pass.


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More Rains and Floods Due to GlobalWarming not proved

Monsoon rainfall varies on different spatial and

temporal scales. Extreme rainfall events that occur

at some isolated places (viz. heavy rainfall over

Mumbai or in Rajasthan) are highly localized andare part of the natural variability of the Indian

monsoon system itself. Although, some recent

studies hint at an increasing frequency and

intensity of extremes in rainfall during the past 40-

50 years, their attribution to global warming is yet

to be established. Moreover, the report of the Inter-

governmental Panel on Climate Change (IPCC-AR4, 2007) and our country`s own assessment using

regional climate models indicate that the extremes

rainfall events are likely to be more frequent in the

later part of the 21st century in the world including

India. As regards other extreme weather

phenomena, there are many other reasons for their

occurrence, which cannot always be related to

climate change.

Although, the monsoon rainfall at all India leveldoes not show any trend but on regional scale areas

of increasing trend is discerned. It is not clear if this

increasing trend in the heavy rainfall events is

attributable to global warming. Summary of the

observed long term changes so far include:

(i) Mean annual surface air temperatures show a

significant warming of about 0.5 degree C/100

years during the last century.

(ii) No significant long-term trends are reported in

the frequencies of large-scale droughts or floodsin the summer monsoon season.

(iii) The total frequency of cyclonic storms that form

over the Bay of Bengal has remained almost

constant.

(iv) Analysis of past tide gauge records for the

Indian coastline regions gives an estimate of sea

level rise of 1.30 mm/year.

(v) There is evidence that glaciers in Himalayas arereceding, however it is unclear as to how much

of this recession is attributable to climate change,as glacial retreat is also due to natural long-

term inter-glacial cycles.

SCIENCE & TECHNOLOGY

Further, the Government has undertaken thefollowing steps in the area of climate Change:

a) Prime Minister's Council on Climate Change has

been constituted to coordinate national action

for assessment, adaptation and mitigation of

climate change.

b) Under the National Action Plan on Climate

Change (NAPCC), it is proposed to establish a

permanent institutional mechanism that will

play a development and coordination role. The

NAPCC was released by the Prime Minister on30th June 2008.

c) Under the NAPCC, eight missions in specific

areas of Solar Energy, Enhanced Energy

Efficiency, Sustainable Habitat, Water,

Sustaining the Himalayan Eco-system, Green

India, Sustainable Agriculture and Strategic

knowledge for Climate Change have been

identified as a part of multipronged, long term

and integrated strategies for achieving key

developmental goals in the context of climatechange by appropriately dealing wi

Documents

Weekly 29 April to 5 May 2013.pdf