- 10% Quota for general category
- NITI Aayog proposes all India Judicial Service Examination
- CAG Report on government spending
- Need for Citizenship (Amendment) Bill
- Clause 6 of Assam accord : indepth analysis
- Collegium system for appointment of judges
- Fear of Executive Courts
- Tamilnadu Reservation Policy
Governance & Social Justice
- Bhasha Sangam Program : Celebration of Linguistic Diversity
- Cabinet approves revision in list of scheduled tribes of Arunachal Pradesh
- Does India need a coal commission?
- Concerns in Ayushman Bharat
- Depression at workplaces : A major health issue in India
- How to bridge Gender gap in India : Mckinsey Global Institute Report
- Government plans to rename Indian Forest Service
- IGOT Program for Competent Civil Services
- Indian Medical Council Amendment Bill 2018
- National Commission for Indian Systems of Medicine and Homoeopathy
- Government bats for National Medical Devices Promotion Council
- Parental consent for vaccination
- India Signs Agreement with OECD for PISA 2021
- Kerala’s wall of resistance
- Should an IAS officer use Social Media?
- Social media addiction
- Legal Status for SSC
- Tripal Talaq Bill 2018
- Web Wonder Women Campaign by Ministry of WCD
- West Bengal Leaves Ayushman Bharat : In-depth Analysis
- Why Asian Infrastructure Investment Bank Is Important For India
- What Is The Asia Reassurance Initiative Act
- E-Passport for Indians
- What Is G-77
- Failed Coup In Gabon
- Bagladesh Election
- Powering South Asian Integration
- ISRO’S New Station In Bhutan
- Kenya Replace Pictures Of Leaders on Coins With Animal
- Macedonia Name Change
- Why Norway Is Important For India
- Why India Need Membership Of NSG
- Pakistan Declared A Hindu Temple A Heritage Site
- Raisina Dialogue 2019
- India’s Republic Day Guest
- India To Take Over Sittwe Port Operation In Myanmar
- U.S. Mexico Border
- US Government Shutdown
- US Venezuela Crisis
- What is Angel Investment?
- Byorung Bridge
- India’s Airport Privatization Plan
- Rationalisation of GST Rates
- 1st Advance Estimates of Economic Growth by CSO
- Democracy Index 2018
- E-DRISHTI Software by Ministry of Railways
- What is GAFA tax
- Ganga Expressway to be Built in UP
- Green-Ag Project launched by India with UN FAO
- Issue of Tax Evasion under GST
- Improvements under GST Regime
- ICAT Certification for Automobilies
- What is Indian Bridge management System?
- Draft Information Technology Amendmenet Rules 2018
- Jamrani multipurpose DAM Project
- What is KALIA Scheme?
- MANDAL DAM
- Mega Merger!
- MSP for minor forest produce
- NITI Aayog suggestions on farm Economy
- India’s first vertical-lift Bridge
- Paradip Hyderabad pipeline
- Measures to address issues in Sugar industry
- Capital infusion in PSBs
- Renukaji dam
- PM Modi inaugrates Rice Research Institute
- Section 74 of the insolvency and Bankruptcy Code
- Social & Environmental Cost of Building dams
- Solar feeder Maharashtra model
- RBI Tokenisation
- Sikkim-Universal basic income
- Global Risks Report 2019
Science & Technology
- Why Beech Trees Dying
- Beat Plastic Pollution Resolve by India
- Why USA Is Killings California Sea Lions
- Carbon Tax
- China’s War On Particulate Air Pollution Is Causing More Serve Ozone Pollution
- CITES Washington Convention
- Coastal Regulation Zone
- Melting Ice Sheets And Release Of methane
- National Clean Air Programme Feature &Critical Analysis
- Oceans Are Heating Up 40% Faster Than Previous Estimates
- Revival Of Iran’s Lake Urmia
- India submitted sixth national report to Convention on Biological Diversity
- How Wild Fire Affect crop and vegetation Production
- NITI Aayog’s SDG Index
Spice of the Month
- GS 3 || Economy || Industries || Major Industries
Why in news?
- NITI Aayog has setup high-level committees to address the problems in the sugar industry.
What are the issues in the sugar industry?
- In India sugar industry’s woes are rooted in excessive government interference (read controls) and a total disconnect between the prices of input (sugarcane) and output (sugar).
- The prices have seldom been allowed to be determined by the market and the net result is the periodic ups and downs in sugar production, prices and exports.
- The present liquidity crunch in the sugar industry can also be attributed to surplus output, depressed prices and unviable exports.
- It has, predictably, led to the accumulation of cane price arrears and consequential unrest among the cane
- Though the government has, as usual, responded with various kinds of direct and indirect fiscal sops, including grants, interest subvention, tacit export subsidies and minimum ex-factory sale price, the crisis persists.
What is NITI Aayog’s plan in this regard?
- NITI Aayog has setup a 13-member task force panel to suggest long-term strategies to rationalize the sugar economy and align it with the global market.
- The underlying objective is to reduce the burden on the exchequer due to the financial bail-out packages that the government has to repeatedly dole out to sustain the economic health of this Rs 800 billion agro-industry and avert piling up of unpaid cane price dues of the sugarcane growers.
- The task force is also expected to suggest ways and means to mitigate the adverse impacts of sugarcane farming on the environment, notably groundwater.
- The lasting cure of this industry’s ills can be found in the report of the Rangarajan Committee, which has mooted wide-ranging reforms to free it of government clutches.
- Though the Centre had implemented some of its recommendations, it had, at the same time, left some other reforms for the states to carry out but they have remained largely unimplemented.
- The Centre, too, has re-imposed, some of the restrictions it had lifted earlier, thus, defeating the very purpose of sugar sector reforms.
- The government urgently needs to introduce the revenue-sharing formula, suggested by the Rangarajan Committee, under which the mills are required to share with the farmers 70-75 per cent of the revenue earned from sugar and its byproducts.
- By linking the prices in the market, this system allows the production of sugarcane as well as sugar to be dictated by the demand-supply dynamics of the local and global markets.
- Since such an arrangement is acceptable to all stakeholders in this sector, there is little reason why it should not be implemented forthwith.
- The NITI Aayog’s task force would serve a useful purpose only if it can come up with something better than this.
- Apart from theseenvironmental issues which has received less attention needs to be taken care by promoting drip irrigation and water-efficient crop varieties and agronomic practices.
- The Government had replaced Planning Commission with institution NITI Aayog (National Institution for Transforming India). The reason had mentioned that Specific to the planning process, there is a need to separate as well as energize the distinct ‘process’ of governance from the ‘strategy’ of governance.
- An important evolutionary change from the past will be replacing a centre-to-state one-way flow of policy by a genuine and continuing partnership with the states.
- The institution must have the necessary resources, knowledge, skills and, ability to act with speed to provide the strategic policy vision for the government as well as deal with contingent issues.
- Chairperson: Prime Minister of India
- Governing Council: Comprising the Chief Ministers of all States and Lt. Governors of Union Territories.
- Regional Councils: Will be formed to address specific issues and contingencies impacting more than one state or region.
- India is mainly an agricultural country. Agriculture is the most important occupation of 60% of the population either directly or indirectly. It is the basic foundation of economic development.
- The agriculture growth rate has been unsteady in the past and the events of farmer’s suicide due to distressed agriculture have led to various protests.
- It is not merely a source of livelihood but a way of life. It is the main source of food, fodder and fuel.
- Challenges/ Issues in the Indian farming system Monopoly procurement continues.
- There is little progress in direct link between farmer and buyer.
- Due to the fluctuations in the market forces of demand and supply farmers are facing price uncertainties.
- Foreign direct investment in farm to fork chain is very restricted.
- Half the farmers don’t have access to formal credit, since most of them don’t own the land that they till.
- Contract farming remains virtually banned.
- Land leasing is not possible (but done informally).
- Moneylenders are taboo, even though they might be in the best position to address credit needs, albeit with proper regulation.
- The farmer’s plight is full of woe, exposed to risks from prices, demand, weather, pests and whims of policy and regulation.
- The government’s aim to double farm income in the next four years is a near impossible feat but signals the right intention.