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CURRENT AFFAIRS
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Newspaper Analysis and Summary– 10th December 2013
SCIENCE AND TECHNOLOGY
ISRO to refine Mars craft course tomorrow- The Hindu
ISRO plans to do the first of its four small, planned course corrections on the Mars-bound Indian
spacecraft at dawn on Wednesday. The spacecraft, ejected from the earth‘s orbit on December 1,
was on Monday said to be cruising some 23 lakh km away from earth. Controllers of its various
systems met at tracking centre ISTRAC in the evening to take stock of its situation and plan the
operation, called trajectory correction manoeuvre (TCM). Team ISRO calls it fine-tuning of its
course.
This TCM is needed as the spacecraft slightly overachieved its parameter, which can happen during
operations such as the crucial December 1 manoeuvre, said M. Annadurai, Programme Director of
the Mars Orbiter Mission. Monday‘s meeting was to take stock, finalise the duration of firing the
smaller thrusters — tentatively for about 40 seconds at 6.30 a.m. on December 11 — and the rest of
the TCM-1 strategy. This time, all eight small 22-Newton thrusters on the spacecraft would be used
to minutely slow it down. The activity, as also the three similar remote shots planned next year,
would ensure that the spacecraft travelled at a specific speed and kept its date with Mars in
September next year, he explained to The Hindu .
Dr. Annadurai said, ―We have a fair idea of the trend of its 10-month behaviour, such as its position
and velocity.‖ On December 1, while steering the spacecraft away from the earth, the trans-Mars
injection (TMI) gave it a small extra speed of 2 km a second. Mars, too, is moving at 30 km a
second in its own path. As such the spacecraft‘s motion should be occasionally synchronised for its
rendezvous with Mars in September 2014, he said. Currently it was under the sole influence of
sun‘s forces. The signals were coming at a delay of eight seconds and this would get longer. For the
December 1 move and the earlier six orbit-raising moves, the ISRO engineers used the larger 440-
Newton liquid motor. The other corrections or TCMs are due next year in April, August and mid-
September, the last one 10 days before the spacecraft reaches and begins to orbit Mars.
Nobel laureate bats for genetically-modified crops- The Hindu
Scientists and others, who are in favour of genetically-modified (GM) food crops, have got support
from an unexpected quarter — a Nobel laureate. Richard J. Roberts, who won the Nobel Prize for
physiology or medicine in 1993, on Monday made a forceful case for promoting research on GM
food crops and their use for public consumption, saying they were needed to at least take care of
vitamin and other deficiencies in the developing world. Describing the protest by ―green‖ parties in
Europe against GM crops as a ―crime against humanity,‖ he particularly drew attention to the
project to produce a GM rice variety for tackling the problem of Vitamin A deficiency in India and
other countries. ―The green parties are playing politics. About one-and-a-half [million] to two
million children are affected by Vitamin A deficiency. It‘s a crime against humanity … If I can get
support from a philanthropist, I will file a case in the international court of justice.‘‘
Addressing a plenary lecture at the ongoing science conclave in the Indian Institute of Information
Technology here, Professor Roberts also stressed the need for scientists to create awareness among
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the public and politicians on the scientific facts behind GM crops and other such contentious issues.
―There is need for more science in politics and less politics in science.‖ The science conclave is
being organised since 2008 by the Ministries of Human Resource Development and Science and
Technology, as part of an exercise to promote science and technology as a viable career for bright
youngsters. Participants include science leaders from India and abroad, and school and college
students.
ENVIRONMENT
NTPC reaffirms commitment to Katwa project- The Hindu
The National Thermal Power Corporation, which has been facing land problems at its proposed
Katwa project in West Bengal‘s Bardhaman district, has reaffirmed its commitment to the project.
NTPC chairman Arup Roy Chowdhury on Monday met State Power Minister Manish Gupta in this
regard. They discussed the project and the government was informed that the NTPC was planning
to start work on the project, a source in the government said. It is learnt that the matter is set to be
placed before the NTPC board shortly. The NTPC, the country‘s largest thermal power generator,
has 550 acres for the project, which was acquired by the Left Front government. It hit a roadblock
while trying to acquire an additional 150 acres, which was required for the township and the fly ash
pond.
While the earlier requirement for a project of this size was pegged at 1050 acres, current
technology and some modifications have paved the way for implementing the project on 700 acres.
There are indications that the NTPC will now buy the land directly from the owners. It is learnt that
while the township may be located elsewhere, alternate ways of disposing of the fly ash have to be
found. One of the options being considered is export. ―We respect the State government‘s land
policy,‖ Mr. Roy Chowdhury said. It may be mentioned that the NTPC chief had said In May, 2011
— when Mamata Banerjee came to power — that the company was keen to invest in West Bengal.
CULTURE
More than 1.60 lakh people visit Hornbill Festival – The Hindu
The biggest indigenous festival of the Northeast and the annual tourism promotional festival
organised by the Nagaland government — The Hornbill Festival — has so far attracted over 1.60-
lakh visitors, including foreign tourists, who thronged the picturesque Naga heritage village, some
12 km from the State capital. The Tourism Department figures indicated that the 10-day-long
festivities, which entered the eighth day on Sunday, witnessed 1,61,784 tourists, including 1,347
foreign tourists, 14,237 domestic tourists and 1,311,35 locals.
Talking to reporters on the sidelines of the festivities at Kisama, Nagaland Chief Minister Neiphiu
Rio said that there had an been overwhelming response from tourists and other people. He hoped
more number of people would be visiting the festival in the years to come. He said Nagaland had
become a safe destination for tourists who during the festival could witness the beautiful culture
and tradition of different tribes of the State. The festival, inaugurated by President Pranab
Mukherjee on December 1, will conclude on Tuesday evening.
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POLITY AND GOVERNANCE
India’s mid-day meal scheme ranked 12th among lower-middle-income
countries- The Hindu
A global report by the World Food Project (WFP) for 2013 on 169 countries has said that India has
the largest school feeding programme in the world, catering to over 114 million children, but stands
12thamong 35 lower-middle-income countries covering 79 per cent of its total number of school-
going children. The report titled ―State of School Feeding Worldwide, 2013‖ draws from a global
survey conducted by WFP in 2012 and a series of case studies and peer reviewed technical working
papers undertaken in collaboration with partner countries.
The report lauds India‘s mid-day meal scheme as ―a good example of a mixed implementation
approach‖ with two procurement processes — one for food grains, which are subsidised Centrally
through the government-owned Food Corporation of India, and one for other items like fresh fruits
or vegetables, procured at the State level. The report notes that gross primary enrolment grew
between 2001-2002 and 2007-2008 in India, following the implementation of the mid-day meal
programme, particularly among Scheduled Castes and Tribes.
The report adds an important rider — ―school feeding can only help if the other major elements that
are prerequisites for learning — such as teachers, textbooks, curriculum and an environment
conducive to learning — are also in place.‖ It warns that care should be taken to avoid using
teachers or education staff to prepare food, since this ―merely taxes the system that school-feeding
programmes aim to enhance.‖ The report also says that the nutritional impact of the programme is
yet to be evaluated. ―The links with health and nutrition could be strengthened considerably by
better coordination between sectors. Other weaknesses remain, such as insufficient allocation of
budget for food transportation and infrastructure.‖ Late disbursement of government funds too has
a negative impact.
In a significant recommendation, the report proposes linking the programme to the agriculture
sector which ―can potentially benefit the entire community as well as the children.‖ Countries like
Brazil, Chile and Scotland have demonstrated the effectiveness of purchasing school food locally in
order to simultaneously ―feed children better and stimulate the local economy.‖
NOTA did many candidates in- The Hindu
Political parties have chosen to remain indifferent to ‗None of the Above‘ (NOTA), an option given
to voters for the first time to reject all contestants, saying it is irrelevant because it did not impact
the outcome of the recent Assembly elections. While in Chhattisgarh, 3.07 per cent of the valid
votes went to NOTA — the highest among the four States for which results were declared on
Sunday — in Delhi, it was 0.63 per cent. Voters in Mizoram did not find the option interesting:
very few exercised the choice, with figures ranging from 36 to less than 200 hits.
Interestingly, in Chhattisgarh even a marginal difference in vote share makes or mars government
formation. This time, the difference is less than 0.75 per cent between the winning Bharatiya Janata
Party and the Congress). For some, the trend means that parties should put up acceptable candidates
and avoid dubious ones, but parties say that since it does not impact the outcome, it is irrelevant.
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―All it [NOTA] has done is to give voters a right to exercise, which is a fundamental right; but there
was neither clarity on what it meant nor its consequences,‖ D. Raja of the Communist Party of
India told The Hindu .
Going through the results for every State, it is obvious that in more than 60 per cent of the
constituencies, the third highest number of votes went to NOTA. This suggests that the option
attracted those who never go to vote — possibly out of disenchantment with the system — and
provided voters with an opportunity to express themselves rather than abstaining. The NOTA‘s
figures in the Left Wing Extremists-dominated areas of Bastar may as well be an expression of
disenchantment with electoral politics, as espoused by the Maoists, as it may be an individual
voter‘s dislike for the candidates in fray in places like Chitrakot, where more than 10,000 voters
chose the option. In the Konta constituency in Chhattisgarh, where CPI candidate Manish Kunjam
secured third position, the difference of votes was just 2,100, whereas 4,000 voters chose NOTA.
Agreeing that some of those who opted for NOTA could have voted for a party if NOTA was not
there, Mr. Raja said it was too early to say what made people choose NOTA, instead of abstaining.
―Maybe, anxiety or lack of clarity.‖Interestingly, the percentage of NOTA voters was high in the
tribal belts of Rajasthan, compared with urban areas. The total percentage of NOTA in the State
was 1.92 per cent. According to the Election Commission, the tribal district of Dungarpur in south
Rajasthan tops the list of 33 districts where the maximum NOTA voting was recorded. Madhya
Pradesh recorded 1.92 per cent votes on NOTA.
Last-mile attempt to re-energise MGNREGA- The Hindu
The initial phase of Kaam Maango Abhiyan, an awareness campaign the Ministry for Rural
Development launched on December 6 to increase the demand for work under the Mahatma Gandhi
National Rural Employment Guarantee Act (MGNREGA), has shown significant promise. The
campaign is focussing on six districts: Sitapur (Uttar Pradesh); Nashik (Maharashtra); Raichur
(Karnataka); Katihar (Bihar); West Singhbum (Jharkhand); and Sundergarh (Odisha). It will create
a model for a nationwide campaign to be launched on February 2, which is celebrated as the
MGNREGA Day.
It will involve training of officials, mass awareness drives through padyatras and institutionalising
the monthly Rozgar Diwas in every panchayat for people to register their demand and grievances.
The Abhiyan has made an immediate impact in Nashik, where 98 per cent of the gram panchayats
have shown a rise in person days of work demanded as of December 8, compared with the
Management Information System data on November 18. The highest rise is in the Surgane,
Tondwal, Chandori and Devdongari gram panchayats. Especially in Devdongari, it is 813 per cent
higher than what it was 15 days ago.
―Kaam Maango Abhiyan is a last-mile attempt to re-energise the MGNREGA. This momentum and
energy shall hopefully sustain itself,‖ a Ministry official told The Hindu . In Uttar Pradesh, in just
three weeks, 700 gram panchayats have demanded work. ―We have observed that the demand
under MGNREGA is not being registered. The system is not efficiently acknowledging this
demand. Thanks to the Abhiyan, the State governments are focussing on understanding demand,‖
the official said. Incidentally, the Uttar Pradesh government has been running a simultaneous
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campaign in all districts, called ‗Kaam Lo Abhiyan.‘ In the first phase of padyatras, 30,000
applications for work have been registered across seven blocks of 132 gram panchayats in Bihar.
Sources say Bihar has effectively mobilised people, and volunteers have been stopping off at
panchayat bhawans, putting out information about MGNREGA. Odisha has registered 37,000 work
applications across 250 gram panchayats. ―This indicates the reach of the Abhiyan to the most
isolated areas. All demands for work must be accepted and are monitored by the Centre every day.
We are learning lessons from each district. MGNREGA is not dead; the system stopped
responding. This is the key message,‖ the official explained.
Amid protests, JPC report on 2G tabled in Lok Sabha- The Hindu
The report of the 30-member Joint Parliamentary Committee, headed by P.C. Chacko, that went
into allocation and pricing of telecom licences and spectrum, was tabled in the Lok Sabha on
Monday amid protests by the BJP, the Trinamool Congress and the Left parties as Speaker Meira
Kumar refused to allow any objection or discussion at the presentation stage. DMK members led by
T.R. Baalu, who too have been demanding discussion on the issue, came to the well and shouted
slogans before walking out in protest against the Speaker‘s decision.
Ruling out any discussion at the presentation stage, Ms. Kumar referred to the request already
received from Yashwant Sinha (BJP), Gurudas Dasgupta (CPI) and Kalyan Banerjee (TMC). She
said: ―There is no provision in the rules which permits discussion or raising of objections before
presentation of a report which has been duly adopted by a JPC.‖ The Opposition members wanted
to record their objections regarding the alleged violation of some rules during the deliberations in
the JPC.
Later, Mr. Chacko presented the JPC report to the House. The report, which was made public on
September 29, when it was given to the Speaker by Mr. Chacko, contains as many as seven dissent
notes given by members of the BJP, the CPI(M), the CPI, the DMK, the AIADMK, the Trinamool
Congress and the BJD. It exonerated Prime Minister Manmohan Singh and Finance Minister P.
Chidambaram of any wrongdoing. It said Dr. Singh was misled by the then Communications
Minister, A. Raja, about the procedure to be followed by the Department of Telecom regarding
issuance of UAS licences. Meanwhile, Mr. Sinha and Mr. Dasgupta told journalists outside the
House that a ―fraud‖ and ―fabricated‖ document was tabled in the Lok Sabha in violation of rules
which had set a ―bad precedent.‖ Mr. Gupta said: ―This is a perverse report and fraud report and
cannot be considered to be a JPC report.‖
INTERNATIONAL RELATIONS
Bangladesh : U.N. envoy hopeful of solution- The Hindu
U.N. special envoy Oscar Fernandez-Taranco is optimistic of finding a solution to Bangladesh‘s
political impasse — if certain conditions are met. Speaking to media for the first time since he
landed here on Friday last, Mr. Fernandez-Taranco outlined four factors for achieving a
breakthrough: ―If we have a political will, if we have leadership, if we have an attitude of
compromise, and, most importantly, if we are engaged in a peaceful dialogue.‖ It was not clear
what explained his optimism because he was not yet sharing with the media details of his
discussions with political parties, the Prime Minister, the Opposition leader, the chief election
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commissioner and a section of the civil society as well as the Dhaka-based envoys of India, U.S.
and Russia.
Transport blockade extended-But soon after the U.N. assistant secretary general expressed his
optimism, the BNP-led alliance extended its 72-hour transport blockade by another 72 hours ,
stretching it to Friday morning.―We are extending our agitation because our demand for holding the
polls under a non-political caretaker dispensation has not been met,‖ said BNP spokesperson
Salahuddin Ahmed, in a video message sent to the media from an undisclosed location. Upset with
the BNP‘s determination to persist with the violent agitation, the ruling Awami League, whose
leaders have been reposing hope on Mr. Taranco‘s Bangladesh mission so far , indicated they
would go ahead with the parliament polls slated for Jan 5 .
Tech giants unite to demand surveillance reform- The Hindu
Internet giants Google, Microsoft and Apple were among a group of companies that sent an open
letter to U.S. President Barack Obama, calling for the scaleback of the expansive surveillance
programmes of the National Security Agency (NSA), which, they suggested, was eroding public
trust. Eight household names of the tech world including Facebook, Twitter, AOL, Yahoo and
LinkedIn announced that they had formed an alliance called the Reform Government Surveillance
group, which alluded to the revelations made by Edward Snowden, former NSA contractor-turned
whistleblower and called for surveillance reform.
On the alliance‘s website, reformgovernmentsurveillance.com, the companies said, ―The balance in
many countries has tipped too far in favour of the state and away from the rights of the individual…
that are enshrined in our Constitution.‖ The coming-together of these eight traditionally fierce
rivals marks an unprecedented challenge to the NSA‘s far-reaching surveillance of Internet
communications, which has faced rigorous interrogation following Mr. Snowden‘s exposés in
several newspapers, including The Hindu , since June 2013.
This week, the eight companies addressed the President and members of the U.S. Congress and said
they were committed to keeping their users‘ data secure through the latest encryption technology
―to prevent unauthorised surveillance on our networks and by pushing back on government
requests to ensure that they are legal and reasonable in scope‖. They also called upon the U.S.
intelligence community to ensure that the government surveillance efforts ―are clearly restricted by
law, proportionate to the risks, transparent and subject to independent oversight‖. Following this
summer‘s revelations on the scale of mass global surveillance, Congressional oversight committees
grilled NSA chief Keith Alexander and Director of National Intelligence James Clapper on whether
any rules stemming from the governing Foreign Intelligence Surveillance Act were flouted by the
Agency.
Principles
Among the principles the alliance outlined as desirable were limiting governments‘ authority to
collect users‘ information, oversight and accountability, transparency about government demands
and respecting the free flow of information . A principle likely to be relevant to India‘s concerns
about the NSA‘s surveillance is the alliance‘s argument that ―Governments should not require
service providers to locate infrastructure within a country‘s borders or operate locally.‖
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Following The Hindu ‘s publication of top-secret NSA documents provided by Mr. Snowden on the
extent of the NSA‘s spying on targets within India, New Delhi was said to be discussing the
prospect of having e-mail service providers located within its territory and under its control. Last
week, the Indian government also said to have stepped up its discussions with the U.S. on the
spying programmes after revelations that its diplomatic posts in Washington and New York were
among the surveillance targets of the NSA.
Call for restraint after Singapore witnesses violence in more than 40 years -
The Hindu
Singapore faced shocking scenes of burning cars and littered streets on Monday following a riot by
South Asian workers in the worst outbreak of violence in more than 40 years in the tightly
controlled city-state. The hour-long disturbances on Sunday night, triggered when an Indian
construction worker was struck and killed by a private bus in the Little India district, compelled
Prime Minister Lee Hsien Loong to order the creation of a special committee to investigate the
incident.
Police said about 400 people were involved in the riot, and that 27 South Asian workers had been
arrested on charges punishable by up to seven years in prison as well as caning. Mr. Lee said there
could be ―no excuse‖ for the rampage that left 39 police and civil defence staff injured, and 25
vehicles — including 16 police cars — damaged or torched. He reminded Singaporeans that ―the
vast majority of foreign workers here obey our laws. We must not let this bad incident tarnish our
views of workers here. Nor should we condone hateful or xenophobic comments, especially
online‖.
Mr. Lee added that the committee of inquiry to be convened by the Interior Ministry would review
the factors that led to the riot, as well as existing measures to manage areas where foreign workers
congregate. Singapore is one of the wealthiest places in the world, but the island republic of 5.4
million people depends heavily on guest workers, with labourers from South Asia dominating
sectors like construction. Widely regarded as one of the world‘s safest societies, the city-state
prides itself on social order and racial harmony, and many citizens expressed dismay over the
mayhem.
Police said the 27 men arrested were aged between 23 and 45, and included 24 Indian nationals,
two Bangladeshis and one Singapore permanent resident. Analysts played down suggestions that
the riot, which was brought under control by elite police commandoes, could be an indication of
wider discontent among poorly paid migrant workers. The incident triggered online attacks on
foreign workers, whose large presence has been a hot political topic in recent years. Others called
for calm and warned against stoking racial hatred. The victim was identified as Sakthivel
Kumaravelu (33), who worked for a scaffolding company.
Cause of the riot-Transport Minister Lui Tuck Yew, an MP for the affected district, said the cause
of the riot was still unclear, but that ―alcohol could have been a contributory factor‖. There have
already been calls to curb alcohol consumption in public places in the congested Little India
precinct. Sunday‘s violence was the first riot in Singapore since racial disturbances in 1969. Since
then, the government has imposed strict controls on protests. Ethnic Chinese make up 74 per cent
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of Singapore‘s resident population of 3.8 million, with Malay Muslims accounting for 13.3 per
cent, followed by ethnic Indians, Eurasians and other racial groups.
ECONOMY
Waking up the world to climate change – The Hindu
When Gwyn Prins and Steve Rayner published The Wrong Trousers in 2007, they famously
attributed the failure of the Kyoto Protocol not to the fact that the developing countries did not have
legally binding commitments as it was fashionable to do. Rather, they argued that a tame solution
of a top-down international treaty was being imposed on a fundamentally wicked problem. In other
words, addressing climate change was inherently different from negotiating reductions in nuclear
warheads or ozone depleting substances where targets and timetables make sense.
Mike Berners-Lee and Duncan Clark in The Burning Question resuscitate the numbers game again.
And, they do so with frightening lucidity. Opening with an honest admission by Bill McKibben in
the preface about how ―ineffective‖ the fight against climate change has been over the last 20 years
or so, the book initially walks us through a few figures. For example, if we want a 75% chance of
staying below two degrees of warming, we can burn 565 gigatons of carbon dioxide by 2050.
However, as we are growing emissions at the rate of around 3% per year, we will exhaust this
budget of 565 gigatons within the next 16 years. By itself, 565 gigatons might not mean much. But,
when McKibben compares this number against the total carbon dioxide equivalent of proven fossil
fuel reserves of 2,795 gigatons, we are forced to reckon with the reality that we would need to keep
80% of these reserves under the ground to stay below two degrees of warming. Perhaps indicating
the recalcitrance of fossil fuel-heavy companies and revenue-dependent states, these are proven
reserves and have already entered the balance sheets of companies and revenue forecasts.
The climate convention has long avoided tackling this elephant in the room. As Christiana
Figueres, Executive Secretary of UN climate convention, prepared her remarks for the World Coal
Summit, hosted concurrently with the annual climate negotiations in Warsaw, activist organizations
cried foul and asked her to deny any legitimacy to the summit by not attending. Fortunately, she
pressed forward, arguing that she should not just be preaching to the choir. This shift perhaps could
be more momentous than is being recognized. As Berners-Lee and Clark would recommend, we
may finally be starting to address both the users and producers of fossil fuels. Greater engagement
with this industry would also mean that developing carbon capture technologies is not an admission
of defeat but of relentless pragmatism. After all, the authors reveal energy resources rarely vanish
away- they merely get dwarfed as total energy consumption keeps going up. With the IPCC
announcing climate change as ―unequivocal,‖ and climate skeptics being pushed to the fringes, all
of this ultimately begs the question -- if the science is this clear, why have we as collective
humanity not woken up to this threat? How are we to understand political inaction with scientific
consensus?
Why are we not more outraged about this? What can we as individuals do? If we are only
squeezing the balloon by opting for a metro ride instead of taking the cab, what really is the point
of living green? Or, how do we justify promoting many such autonomous actions if they really
have no discernible effect on emissions? The answer perhaps lies in the space that these actions
create — both within our larger communities as well as our own psychological processes. Even
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more, if these actions can create these social ‗ripple effects‘ so that the groundswell takes over, they
will be what could save us.
Yet, will this cultural change come in time for us to act before we hit climate tipping points? The
case for outrage becomes quite strong. At the end, we may come back to square one. If we need a
global deal based on a carbon budget, this will inevitably involve devising a burden sharing
agreement. But that is exactly what countries have tried to do so far and they have failed. They
failed to such an extreme that we have reverted to the exact opposite: we have instituted a bottom-
up system where countries announce what they will be doing. And, developments in Warsaw
indicate that this seems to be the direction we are heading in for the foreseeable future. However, it
would be unfair to stop there. Berners-Lee and Clark‘s effort at making the carbon budget so
tangible is meant to rankle and awake.
We may not end up following the path to a global agreement they outline but they will have woken
us up in the process. And, that would make reading The Burning Question worth it.
Nokia owes Rs.21,153 cr., IT Dept tells Delhi HC – The Hindu
The Income Tax Department has informed the Delhi High Court that Nokia India and Nokia
Corporation owed it Rs.21,153 crore as total tax liability (existing and anticipated), including
penalty during 2006-13. The amount payable by Nokia has been arrived at by the I-T Department
on the basis that the mobile manufacturing firm does not discharge its TDS liability on royalty
payments, and is not entitled to any deduction under tax laws for operating from a special economic
zone (SEZ).
The submission has been made by the I-T Department in its reply to Nokia‘s plea for unfreezing of
its assets in India prior to its $7.20-billion deal with Microsoft. In case the TDS liability is paid and
the deduction under tax laws for operating from a SEZ is available to Nokia, then its total tax
liability (existing and anticipated), including penalty would be Rs.14,200 crore. Meanwhile, a
bench of justices Sanjiv Khanna and Sanjeev Sachdeva adjourned the hearing on Nokia‘s plea to
Tuesday.
‗No official tax claim‘: However, Nokia said it had not been served with ‗any official claim‘ of the
Income Tax (I-T) Department, which had told the Delhi High Court that the mobile company owed
it Rs.21,153 crore as tax liability (existing and anticipated), including penalty. The company, in a
statement, said that in the recent months it had seen and read about many claims from the I-T
Department and added that these were ‗without merit‘, and it would defend itself ‗vigorously‘ in
the court.
―We have not been served with any official claim, so we cannot comment on this. We want to
stress that our main focus right now is to remove the freeze on our Indian assets, including
Chennai, before the deadline of December 12. ―In recent months, we have seen and read about
many claims from the tax authorities. We feel they are without merit and will defend ourselves
vigorously in court,‖ the statement said.
Offers to pay Rs.3,000 crore : A senior Nokia official, meanwhile, said it had offered to pay about
Rs.3,000 crore to the government to resolve the tax row so that its Chennai manufacturing plant
could be de-frozen for sale to Microsoft Corporation. Since the facility would have no use for
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Nokia post the Microsoft deal, they would try to find another buyer for it, the official told PTI.
Nokia also offered the government that it would deposit Rs.700 crore so that it could continue to
fight the case, besides its offer that if the authorities allowed sale of the Chennai unit, the firm
would deposit the cash generated out of it with them, which would be a minimum of Rs.2,250
crore.
Iranian market keeps Indian tea exporters guessing – The Hindu
Indian tea exporters are cautiously optimistic about the opportunities that are likely to emerge in the
Iranian tea market following the signing of the accord between the super-powers and Iran. Tea
exports to the sanctions-hit country have been rising in recent times after a sharp drop in 2010,
post-sanctions. It started picking up after the Indian government created an alternative rupee-based
settlement mechanism through which five Iranian banks were designated to open letters of credit
and interact with city-based-UCO bank.
High-value market
India had worked its way into this high-value market, increasing exports from 1.5 million kg in
2003 to 14.5 million kg in 2008. It collapsed to around 3 million kg in 2010 in the wake of U.S.
sanctions and consequential payment problems. Referring to the gains that Indian tea exports made
in the market through the financial pathway enabled by UCO Bank, Monojit Dasgupta, Secretary
General of the Indian Tea Association, said : ―Latest statistics show that between January and July,
2013, India exported 10.8 million kg of tea to Iran valued at Rs. 252.3 crore. This compares with
the exports of 3.5 million kg of tea valued at Rs. 64.7 crore exported a year ago. Among the major
Indian tea exporters are: McLeod Russel Ltd., Goodricke, M K Shah Exports, Rossel Tea, Warren
Tea and Andrew Yule. Indian exporters are somewhat circumspect that competition may now also
move in as the deal may ease international trading with Iran.
Mauritius, India agree to ‘LoB’ clause – The Hindu
Mauritius has agreed to include a ‗limitation of benefits (LoB)‘ clause in its revised tax treaty with
India. While specific details of this clause in the India-Mauritius tax treaty are being ironed out,
LoB clauses are typically aimed at preventing ‗treaty shopping‘ or inappropriate use of tax pacts by
third-country investors. The LoB clause limits treaty benefits to those who meet certain conditions,
including those related to business, residency and investment commitments of the entity seeking
benefit of a Double Taxation Avoidance Agreement (DTAA).
―Mauritius and India have agreed on the principle of including a limitation of benefits (LoB) clause
in the treaty,‖ the island nation‘s Financial Services Commission (FSC) Chairman Marc Hein told
PTI. The FSC is Mauritius‘ integrated regulator for global business companies and non-banking
financial services sector. ―This LoB clause will have the effect of bringing even more substance to
companies which want to be tax resident in Mauritius,‖ said Mr. Hein, who was here to participate
in an international taxation conference. He added that ―there is already a mechanism to prevent
misuse, and the further obligations should alleviate the fears of the Indian authorities.‘‘
EDITORIALS
Not just about the islands- The Hindu
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In late November, China announced that it now had an Air Defence Identification Zone (ADIZ) in
the East China Sea. This development led to an immediate spiking of tensions with its neighbours,
Japan, South Korea and Taiwan, as well as with the United States. In response, the United States
sent two B-52 bombers into the air zone claimed by China. A couple of days later, Japan and South
Korea followed suit, sending aircraft into the zone without informing the Chinese authorities.
While the U.S. has now at least advised its passenger airlines to follow the rules of the Chinese
ADIZ, Tokyo has explicitly refused to do so. For those bemused by China‘s sudden announcement
and the flurry of international attention that has accompanied it, here is a handy guide to the issue.
What is an ADIZ?
It‘s a section of international airspace over which a country declares its right to identify aircraft,
ostensibly to protect itself from foreign threat. It‘s a product of customary international law but it‘s
not jurisdictional.
What happens once an ADIZ is established?
A country would use radar to detect unexpected aircraft flying in the ADIZ and observe them. This
would sort some, if not most, into the category of being unthreatening. Using radio, it would query
those it was concerned about. The country may ask who they are and what they are doing. If they
are not a security threat, that would be sufficient. If the country was still not sure, it would launch
an aircraft to intercept and observe. The country would not have the authority to do anything else
unless it thought the aircraft was a direct threat to the country.
What‘s the problem with China declaring an ADIZ?
Well, the problem is that China‘s ADIZ overlaps with the ADIZ that was created by the U.S. after
World War-II and transferred to Japan in 1969. Japan sees this as an affront to its sovereignty. The
bigger problem is that China‘s ADIZ encompasses the Diaoyu/Senkaku islands claimed by both
China and Japan. This is the first time an overlapping ADIZ has been declared in an area where
there is a sovereignty dispute. As a result, with China monitoring the space, and the U.S. and
China‘s neighbours defying it, there is now an increased risk of either a deliberate or accidental
incident involving military aircraft. Some are also concerned that China thinks the ADIZ will
strengthen its claim over the Diaoyu/Senkaku islands.
Is it Diaoyu or Senkaku? And what‘s the history issue that crops up in every article?
The Chinese call the islands Diaoyudao. The Japanese call them Senkaku. Impartial observers try to
get both names in. The ―history problem‖ (lishi wenti) as China terms it, refers to the history of
Japanese colonialism in China. Japan, once a vassal state of imperial China, subjugated and
humiliated the Chinese not once but twice in different periods of time — in the late 1800s, and
again, in the 1930s. Japan‘s domination and exploitation of China, along with the conquests of
Western powers, falls under the ―century of humiliation‖ (bainian guochi) in the Chinese historical
narrative.
The Diaoyudao islands were considered lost during this period when Japan formally annexed them
in 1895. The suffering at the hands of Japan was particularly shocking for China and the issue
remains hugely sensitive, not just because Japan was considered an inferior vassal state at the
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beginning of this tumultuous period, but also because modern Japan is seen as unremorseful of the
atrocities it inflicted on China.
So why did China suddenly declare the ADIZ? Is it just about controlling Diaoyu/Senkaku?
That depends on whom you talk to. Chinese foreign policy decision-making is highly opaque, so all
anyone can do is to speculate and there have been a number of speculative theories. First, China
could be redefining the status quo. China feels it has a right to an ADIZ to protect its sovereignty
over both its territory as well as its claimed maritime spaces. After all, Japan has an ADIZ.
Moreover, Japan‘s ADIZ comes within 130 km of China‘s territory; therefore it‘s only fair that
China‘s ADIZ extends to within 130 km of Japan‘s territory. Second, it could be a direct challenge
to Japan‘s administration of Diaoyu/Senkaku. Japan has administrative control over the islands; this
could be China‘s attempt at a different kind of parallel control.
Third, this could be not about Diaoyu/Senkaku but rather about bigger maritime security issues in
the East China Sea and asserting Chinese dominance. The New York Times quoted an unnamed
adviser to President Obama saying, ―It‘s pretty clear this isn‘t about the islands.‖
Fourth, it could be a combination of domestic political pressure from Chinese nationalists in the
media and the PLA, and President Xi Jinping feeling his way into his new role. Japan is a domestic
hot button issue and any move by the government that could be interpreted as pushback against
Japan would appeal to a small but highly vocal section of nationalists in the media as well as the
PLA, which tends to take stronger stances on Chinese territorial sovereignty than the Ministry of
Foreign Affairs. That, combined with President Xi‘s relatively new leadership, could be a way for
him to consolidate his authority.
What does this mean for India?
Well, hawks would immediately jump to the conclusion that China is more aggressive in its foreign
policy, which does not bode well for its relations with India. Certainly, China‘s announcement of
the ADIZ was unexpected. It was done without any consultation with Japan and has thus been seen
as very disrespectful. It has also been called unnecessary. Since the ADIZ is not jurisdictional, it
makes no legal difference to China‘s claim over Diaoyu/Senkaku.
A more sober look, however, would take into account a few additional facts. First, many countries
have an ADIZ and establishing one is not surprising in itself. It‘s possible the Chinese government
did not realise that the establishment of the ADIZ would lead to this strong backlash. In their eyes,
they were establishing parity with Japan, not needling it. Second, China backed off from their
initial terming of the ADIZ as ―emergency defensive measures‖ and insisted that they just want
notification from aircraft entering the airspace, and are not about to respond with force.
Third, as The Diplomat pointed out, China is engaging in ―lawfare‖ — using international
institutions to achieve strategic goals. This is indicative of acceptance rather than the rejection of
the current international order. Fourth, because China, like all other countries, has a right to an
ADIZ, the ADIZ itself should not be the problem. Rather, China‘s actions should be scrutinised.
If Japanese planes flying towards Diaoyu/Senkaku are intercepted on a regular basis, that would be
more of an issue than the establishment of the ADIZ itself, unexpected though it may have been.
Last, unpalatable as this may be to the Indian power elite, given the focus on the ―China threat‖,
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India, currently at least, simply does not factor into China‘s strategic priorities. China is intently
focused on the United States. Implicitly, this may actually be a good thing, leading to maintenance
of the status quo for the foreseeable future
Making human rights a reality- The Hindu
Today, December 10, is commemorated internationally as Human Rights Day. The UN General
Assembly adopted the Universal Declaration of Human Rights in 1948 with a view to bringing a
common standard of achievement for all peoples and all nations. It was primarily meant to promote
a simple yet powerful idea that all human beings are born free and equal in terms of dignity and
rights. With the Declaration, it was made clear that rights are not conferred by any government;
they are the birthright of all people. It does not matter what country we live in, who our leaders are,
or even who we are. Because we are human, we have rights. And because we have rights,
governments are bound to protect them.
In the 65 years since the Declaration was adopted, many nations including India have made
progress in making human rights a human reality. Gradually, the barricades that previously
prohibited people from enjoying the full measure of liberty, dignity, and humanity have come
down. Public interest litigation and the judicial activism of the Supreme Court played a major role
in expanding the scope of human rights and in giving it much-needed legitimacy through some
important verdicts. In many places, indiscriminate laws have been repealed, legal and social
practices that degraded humans have been abolished, vulnerable groups have been given due
recognition and their lives made secure. These progressive judicial pronouncements were a reaction
to social action groups and movements seeking judicial intervention to persuade and pressure
governments to defend and fulfil the rights of the most marginalised. This progress was not that
effortless. People had to fight, organise and campaign in public and private forums to change not
only laws, but hearts and minds.
However, there is still much to be done to secure that assurance, that actuality, and progress for all
people. We have repeatedly witnessed such human rights violations: awareness about human rights
needs to be made universal. Our endeavour should be to mould a society with no gender
discrimination and no violence. When women are empowered, that ensures stable societies.
Likewise, when leaders of nations empower people through futurist policies, the prosperity of the
nations becomes certain. When religion transforms into a spiritual force, people become
enlightened citizens with a value system.
While there is acceptance of universal respect and adherence to human rights, infringement of
internationally recognised norms continues unabated in almost all parts of the world. The overall
situation has been characterised by large-scale breaches of civil and political rights, as well as
economic, social and cultural rights. It is a fact that India, being the world‘s most populous
democracy, continues to have considerable human rights problems despite making commitments to
deal with some of the most prevalent abuses.
Colonial approach-Though India took many proactive steps and followed a welfare state model, the
police and the bureaucracy have remained largely colonial in their approach and sought to exert
control and power over citizens. The feudal and communal characteristics of the Indian polity,
coupled with a colonial bureaucracy, dampened the spirit of freedom, rights and affirmative action
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enshrined in the Constitution. The country has a booming civil society, free media, and an
independent judiciary. However, ongoing violent practices that harm vulnerable groups, corruption,
and lack of accountability for their perpetrators, lead to human rights violations. Many women,
children, Dalits, tribal communities, religious minorities, people with disabilities, and sexual and
gender minorities stay marginalised and continue to suffer discrimination because of the
government‘s failure to train public officials in stopping discriminatory behaviour. Issues
pertaining to police brutality, extrajudicial killings, torture, arbitrary arrests and detention, bonded
labour, inhuman and degrading treatment of prisoners, custodial deaths, corruption, labour and
migrant rights, sexual violence, refugees, internally displaced people, terrorism, poverty, human
trafficking and so on, remain. Continuous attempts are being made by the National Human Rights
Commission to address such human rights issues. Some of these issues are being monitored as
programmes on the directions of the Supreme Court.
Human Rights Day is an occasion for us to analyse the journey that our nation has undertaken so
far on the path sketched by the Constitution, and prepare jointly to make dignity with human rights
for all our countrymen a reality. Though scepticism still exists in some quarters, there has been a
greater level of acknowledgment of the need to encourage and guard human rights, in spite of the
abuse of the human rights discourse by the new imperialist forces. If human rights need to have
genuine meaning, they must be correlated to public involvement, and this participation should be
preceded by empowerment of the people.
A sense of empowerment necessitates a sense of dignity, self-worth and the ability to ask questions
with a spirit of legal entitlements and political consciousness based on rights. A process of political
empowerment and a sense of rights empower citizens to participate in the public sphere. The
splendour of human rights has to be maintained with nobility and glory. There cannot be any
wearing down of values, deterioration of quality or any cobwebs in the procedure.
When the definition of poverty harms the poor- The Hindu
The idea that poverty is determined, defined and measured by a group of people mostly unaffected
by it is an intriguing one. Numerous definitions and studies globally tell us what poverty is, how it
is measured — extreme and the moderate (there are categories!). Though surprisingly, none of
these definitions has been evolved by or in consultation with the poor themselves. The arrogance of
economists is such that they endeavour and succeed, in some measure, to estimate and tell us how
poor we should feel and why. It is little surprise then that Rahul Gandhi thinks that poverty is a
state of the mind. He is absolutely correct. It is a state in the mind of self-indulgent economists with
little or no engagement of the poor.
Narendra Modi is no different. He attributes malnutrition in girls to vanity and the desire to control
weight. The rest of India, which sees stunted, underweight, undernourished girls everywhere,
somehow never makes this mistake. But our leaders make these mistakes nonchalantly,
unapologetically and brazenly. What helps them do so? Arbitrary definitions of poverty determined
by groups of economists, often employed by the government, who use numbers to obfuscate the
poverty debate in India and elsewhere.
Every year, the government claims that the poverty numbers have fallen thanks to the hard work of
these economists. According to whom — the poor? What allows a group of people to define
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poverty for a nation without consulting those that make up that category? We rarely ask the poor
what poverty means to them and what change in lifestyle would make them poverty-free. Have
Indian economists and the leaders ever wondered if the poor continue to be poor because we don‘t
understand poverty sufficiently? Or perhaps, the poor understand poverty too well?
The questions are sufficiently intriguing. The answers are harder to find. There is a poverty line in
India and elsewhere, which tells us how we can measure poverty. The global poverty line for
extreme poverty is $1.25 and for moderate poverty is $2. In India, until recently, we measured
poverty in terms of calorific value.
The much-criticised Tendulkar committee based its definition on purchasing power parity. More
recently, another panel was set up under Dr. Rangarajan to define poverty. In the U.S., the poverty
line is determined by the basic cost of food for a family multiplied by three. This figure is adjusted
for inflation every year.
Before considering differing definitions, it‘s important to consider calmly for a moment what the
poverty line denotes. Is life just above the poverty line so much better than life right below it? In
purely practical terms, are nutrition, health and well-being radically better as we cross this
imaginary poverty line? It might be worthwhile to ask the poor. After all, they are experts on the
subject.
A survey among the Indian or global poor on what poverty is would lead to a definition widely
divergent from that of governments and economists. The poor, across India and the world, will
probably be in concurrence. What does this tell us? That the business of poverty measurement is an
extremely useful one. A poorly-created poverty measurement index easily misrepresents and often
reduces the poverty in a society. In doing so, it decreases the responsibility of the privileged and the
powerful to improve the condition of the less privileged.
Logic of measurement
It also misinforms the primary discourse in a society deeply wedded to the logic of measurement
and numbers. Poverty, as the poor experience it, is a concept which has little or no resonance
amongst any other class. In the long-term, such discourses fracture societies, eventually leading to
unrest, inequality, internalised dissatisfaction and eventual conflict. The point to consider, then, is
who should define poverty and why the poor should not lead this process? Poverty, as defined by
the poor, must converge at some point with the state‘s definition. Why? Because if our definitions
of what poverty is can be so vastly divergent, how can any programmes designed for poverty
alleviation ever truly succeed? There is a need to recognise that poverty is multi-dimensional. After
all, despite rising above the poverty line, millions of Indians continue to lack access to safe water,
sanitation, housing, nutrition, health and education.
Unless we take into account what poverty means to the poor, measuring or reducing it will continue
to remain a game of deliberate obfuscation. We can continue to measure poverty inadequately and
pat ourselves on reducing extreme poverty year on year. Or we can have a more considered,
nuanced and inclusive discussion on what poverty is. Until then, poverty will continue to be ‗a state
of mind of a young stunted girl participating in a beauty contest in Gujarat‘ — that way both Rahul
and Modi will be right. The poor, however, will continue to be wronged.
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Speaking the same language- Indian Express
The emperor and empress of Japan's recent trip to India is a landmark in the history of bilateral ties.
For the couple, the visit would have been tinged with nostalgia — the last time they were in India
was for their honeymoon in 1960. During that trip, they laid the foundation stone for the India
International Centre in New Delhi, which has since become well known for organising programmes
on art and culture, as well as seminars and conferences to promote understanding between India
and various other nations, including Japan. During their more recent visit here they visited
Kalakshetra in Chennai, indicating their keen interest in Indian art and culture. Apart from meeting
high dignitaries, they also interacted with various sections of people in India — academics, artists,
scientists, schoolchildren. Japanese nationals in India also got a rare opportunity to interact with the
emperor and empress.
The visit signifies the growing importance Japan has accorded to India in all spheres, and of the
greater interactions between the people of both countries to promote mutual understanding. While
our postwar relations with Japan started on a note of mutual respect and empathy, its decision to
ally with the US while India preferred to remain non-aligned drew the two countries apart.
However, even in this period of distance, certain ties survived. Japan was the first country to extend
aid to the tune of $50 million to India, as early as in 1958. India continued to hold first place in
Japan's overseas development assistance grants and loans programme, used for infrastructure
development.
The notion that good relations between nations can only be built on mutual understanding and
respect led to India and Japan offering scholarships for higher studies in all fields to those who
wished to study in the other country. There is no doubt that, because of Japan's phenomenal
economic growth, it was able to contribute more to this endeavour. However, the Euro- and US-
centric attitudes of Indians often discouraged them from opting for Japan as a higher education
destination.The normalisation of Japan's relations with China in 1972 opened up the latter as a
destination for Japanese investment and products. India's importance to Japan therefore declined.
There have been misunderstandings because of the lack of timely dialogue between the two
countries, but never a period of outright hostility. The prompt assistance Japan gave India to tide it
through the 1991 balance of payments crisis opened up a new phase in bilateral ties. Soon after,
India launched its Look East policy and liberalised its economy. India's economic reforms were
promoted in Japan by its media and several economic organisations. Large Japanese companies,
such as Toyota, Mitsubishi and Sony, established a presence in India. In spite of opposition from
China, Japan took the momentous decision to support India's becoming an integral part of the East
Asia Summit.
On the cultural front, the Japan Foundation — a counterpart to the Indian Council for Cultural
Relations — established an office in India in 1994 and facilitated an increased number of academic
and cultural exchanges. Even as early as 1910, Japanese universities offered courses in Indian
languages. But the study of the Japanese language — a means to understand the development and
various other aspects of the country — only started in the late 1950s in India. It was only in 2004,
as a result of initiatives to promote economic relations between the two countries, that a definite
target for the promotion of Japanese language education in India was set. It was decided that
Japanese could be introduced even at the secondary level in schools in India, to help students
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overcome the language barrier. As a part of its policy of globalisation, Japan has started the Global
30 programme, in which select Japanese universities will impart education in English. Scholarships
have also been instituted. However, Japan is still not viewed as a destination for higher education
among young Indian students, who still look towards the West, particularly English-speaking
countries.
It is hoped that the recently concluded visit will facilitate a change in attitudes and there will be
more interactions between the young of both countries. This will promote mutual understanding
and the realisation that we have many similarities in our traditions and values.
Talk of war and peace – The Hindu
The denial by Nawaz Sharif of his ―fourth war over Kashmir‖ remark, and his reiteration that
problems with India have to be resolved through peaceful methods, came not a moment too soon.
The Pakistan Prime Minister had been quoted as saying that ―Kashmir is a flashpoint and can
trigger a fourth war between the two nuclear powers at any time,‖ in his address to the ―Azad
Jammu and Kashmir Council‖ in Pakistan Occupied Kashmir. Denying that he had ever made such
a remark, his office put out a transcript of his speech that had no mention of the word war. This is
the second time that Mr. Sharif has had to deny words attributed to him on India, the first when he
was said to have made a personal remark against Prime Minister Manmohan Singh. It can only
mean one of two things: either Mr. Sharif speaks without thinking through the impact of his words,
only to regret it later; or what he says is deliberately distorted. Both have the same effect, of
vitiating the already bad bilateral atmosphere. In this instance, the reported talk of war set off
alarms in India, and was even seen in the context of the recent change at the top in the Pakistan
Army. The normally unflappable Prime Minister Manmohan Singh, in the thick of election season,
jumped in to respond with the remark that Pakistan would not be able to win a war against India ―in
my lifetime‖. The episode has shown up Pakistan and India in poor light for their inability to act
like mature nations, falling back instead on vocabulary more typical of quarrelsome people trying
to settle scores.
Prime Minister Sharif was right to point out that Kashmir is a key issue in the list of problems
between the two countries. A resolution to the issue was close in 2006. Mr. Sharif would do well to
examine dispassionately the merits of the Musharraf-era proposals despite the bad history between
him and Pakistan‘s former military ruler. This and the host of other issues, including Siachen,
should be reason enough for the two countries to get back to the negotiating table quickly. But
inexplicably, even the simple directive by the two Prime Ministers at their September meeting in
New York asking their militaries to take steps to strengthen the ceasefire on the Line of Control has
not been carried out. For Mr. Sharif, who both before and after his election made no secret of his
desire to make peace with India, the time to take ownership of his government‘s India policy is
now, when his mandate is fresh. It would also help put the lid on anti-Pakistan rhetoric on the
Indian side in the run-up to the 2014 elections, and prevent the atmosphere from worsening.
Bali burden - Indian Express
Given that India has stakes in the success of multilateralism, the lack of an agreement at the Bali
summit would have been a disaster. It has to be said, then, that India's hardball tactics worked. Bali
did not fail while India largely got what it was fighting for — the right to hike its food subsidies till
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such time that various distortions in the global subsidy agreement aren't fixed. For instance, subsidy
calculations are based on 1986-88 prices while global wheat prices have more than doubled since.
While developed countries were willing to offer a ceasefire for four years, India managed to extend
this till the time an agreement is reached. During this period, no country can take India to the
WTO's dispute settlement board (DSB) arguing that its food subsidies are excessive.
But caveats need to be added, and a larger examination must be made to ascertain whether Indian
agriculture will benefit from this in the long run. First, the caveat. No country can take India to the
DSB as long as its food subsidies, under the Food Security Act, for instance, do not distort global
trade. But in a situation where the Food Corporation of India has excessive foodgrain stocks and
these are liquidated at prices lower than what it costs the FCI, this can be construed as trade-
distorting and can invite action by the WTO.
The larger issue relates to India's gains. Right now, India wants to be free to offer farmers whatever
minimum support prices (MSPs) it wants to buy their crops. But given that too much of wheat and
rice is being grown relative to other crops, and that too in states where it should not be grown —
India would save a lot of water if cultivation of these crops shifted to states like Bihar and West
Bengal — farmers need to be incentivised differently. The Bali win means MSPs can simply be
hiked for other crops, but how do you incentivise farmers in Bihar and West Bengal to move to
wheat and rice if the FCI does little procurement there? This is where the UIDAI comes in. India
now has a system in place that can deliver income support directly — in keeping with farm acreage,
for instance — which will make farming more efficient and, under the WTO system, is not
considered trade-distortive. The win at Bali means India is free to expand its inefficient system of
subsidies till a fiscal breakdown. A pyrrhic victory, at best.