Analyzing editorials from The Hindu is a crucial component of Civil Services Examination preparation. These editorials offer insightful perspectives on current national and international issues, fostering critical thinking and enhancing one’s understanding of diverse topics relevant to the UPSC syllabus. Through this analysis, aspirants can refine their skills in comprehension, articulation, and issue-based evaluation, which are essential for the Preliminary, Mains, and Interview stages of the examination.
1. States and the Danger of Poorly Manufactured Drugs
- Background of the Issue:
- Multiple incidents in India involve not of standard quality (NSQ) drugs, including recent deaths in Ballari, Karnataka, linked to drugs manufactured in West Bengal.
- Under the Drugs and Cosmetics Act, 1940, pharmaceutical companies licensed in one state can sell drugs nationwide, often leading to poor-quality drugs entering other states.
- Regulatory Challenges:
- Each state is responsible for licensing and inspecting manufacturing units within its territory.
- States like Karnataka face limitations in stopping poorly manufactured drugs from other states.
- Over three years, 601 of 894 NSQ drug samples in Karnataka originated from manufacturers in other states.
- Information Sharing as a Solution:
- Establish a centralised database of drug test results, inspection reports, and licensing information accessible to all states.
- This would enable a risk-based approach to enforcement and procurement decisions.
- Such databases can help procurement agencies like KSMSCL verify the quality of manufacturers and avoid purchasing NSQ drugs.
- Centralised Blacklist Register:
- A national registry of blacklisted pharmaceutical manufacturers could prevent bad actors from re-entering the market.
- Procurement agencies currently lack independent means to verify claims made by manufacturers.
- Enhancing State Powers:
- States should have legal authority to block sales of drugs by out-of-state manufacturers under investigation for serious NSQ violations.
- Legislative reforms in the Drugs and Cosmetics Act, 1940, are required to empower states in this regard.
- Role of the Union Government:
- The Union Health Ministry must spearhead legislative reforms to improve drug quality across India.
- A collaborative effort between the central and state governments is essential to strengthen regulatory mechanisms.
- Impact on Public Health:
- Poorly manufactured drugs compromise public health, especially in government hospitals.
- Strengthening regulations and information sharing can enhance the quality of medicines in public healthcare systems.
- Call for Action:
- Karnataka has expressed readiness to support reforms and plans to urge the Union Health Ministry for swift action on this critical issue.
2. UPI Duopoly’s Rise and Market Vulnerabilities
- UPI Growth and Significance:
- UPI accounts for 8 out of 10 digital transactions in India, with transactions worth ₹20.60 lakh crore in August 2024 alone.
- Despite impressive penetration (30% of the population), 70% of India remains untapped, requiring innovations in app design, service offerings, and user engagement.
- Market Concentration and Duopoly:
- Two Third Party App Providers (TPAPs), PhonePe (48.36%) and Google Pay (37.3%), control over 85% of the UPI market.
- Paytm, the next largest player, holds only 7.2% market share.
- This duopoly poses risks of systemic vulnerabilities, reduced competition, and foreign dominance.
- Major Risks of UPI Duopoly:
- Systemic Vulnerability:
- Over-reliance on two platforms creates single points of failure, threatening the stability of the financial ecosystem.
- Reduced Competition and Innovation:
- Dominant players enjoy scale advantages, creating high barriers for smaller entrants and reducing the incentive for innovation.
- Foreign Dominance:
- PhonePe (Walmart) and Google Pay (Google) are foreign-owned, raising concerns about data security, sovereignty, and potential regulatory oversight gaps.
- Systemic Vulnerability:
- Regulatory Interventions:
- In 2020, NPCI introduced a 30% market share cap for TPAPs, with a two-year implementation timeline, but deadlines have been repeatedly extended.
- Reports suggest NPCI may increase the market share cap to 40%, further entrenching the duopoly.
- Policy Recommendations:
- Enforce the market share cap to ensure a level playing field for Indian TPAPs and smaller players.
- Incentivize Indian developers and companies to counterbalance the dominance of foreign-owned TPAPs.
- Develop failsafe mechanisms to reduce systemic vulnerabilities in the UPI ecosystem.
- Promote innovation through a competitive and diverse marketplace.
- Future of UPI:
- UPI must balance its growth trajectory with resilience, reliability, and inclusivity.
- Addressing market concentration is critical to maintaining public trust and fostering transformational innovation in digital payments.
3. When Justice Becomes a Cruel Joke
- Background of the Maradu Apartments Demolition:
- Four apartment complexes (Golden Kayaloram, Alfa Serene, H2O Holy Faith, and Jain Coral) constructed on the banks of Vembanad Lake were demolished in January 2020.
- Demolition was ordered by the Supreme Court due to violations of Coastal Regulation Zone (CRZ) 2011 norms.
- Nearly 350 residents were evicted, and compensation of ₹25 lakh was mandated for each apartment owner.
- Legal and Regulatory Aspects:
- Violations included construction without prior clearance from the Kerala Coastal Zone Management Authority, a requirement under CRZ 2011 rules.
- CRZ 2011 was later replaced with CRZ 2019, which relaxed restrictions on construction in specific areas, allowing development towards the landward side of water bodies.
- Evolving Legal Perspective:
- The Supreme Court revisited its stance, expressing empathy for apartment owners and suggesting heavy penalties for violators could have been an alternative to demolition.
- Similar cases like Kapico Resorts (2022) faced demolition for CRZ violations, while the DLF Chilavannur apartment (2018) was spared with a ₹1 crore fine.
- Reclassification Under CRZ 2019:
- Maradu Municipality is now included in Zone Two under CRZ 2019, easing construction restrictions.
- The No Development Zone has been reduced, allowing constructions along the building line of the existing built-up area.
- Current Developments:
- The Supreme Court has tasked an amicus curiae to examine the feasibility of new construction at the site of the demolished apartments.
- Authorities are delineating building lines to assess permissible construction under the new CRZ norms.
- Concerns and Implications:
- Former residents feel victimized by delayed justice, bearing the consequences of regulatory lapses by builders and officials.
- The demolition highlighted the importance of enforcing environmental regulations but also underscored the need for balancing justice with the rights of innocent buyers.
- The case emphasizes the significance of clear and timely regulatory actions to prevent similar situations in the future.
- Broader Lessons:
- Enforcement of environmental laws must be coupled with accountability of violators, including builders and officials.
- Legal remedies should prioritize the protection of innocent stakeholders to avoid undue hardships.
- Evolving regulations like CRZ 2019 require robust mechanisms to address disputes arising from retrospective applicability.
Source: https://www.thehindu.com/opinion/op-ed/when-justice-becomes-a-cruel-joke/article69043410.ece
4. The Sheikh Hasina Extradition Demand and India’s Options
- Background:
- Former Bangladesh Prime Minister Sheikh Hasina fled to New Delhi in August 2024 during anti-government protests.
- Bangladesh formally requested her extradition on December 23, 2024, alleging her involvement in genocide and crimes against humanity during her tenure.
- Arrest warrants were issued by the Dhaka-based International Crimes Tribunal on October 17, 2024.
- Legal Framework for Extradition:
- India and Bangladesh signed a bilateral extradition treaty in 2013.
- The Indian Extradition Act, 1962, provides the framework for such requests, where Bangladesh is the requesting state and India is the requested state.
- The principle of aut dedere aut judicare (extradite or prosecute) applies in cases of grave international crimes.
- Challenges and Defenses:
- Political Offenses: India can claim that the charges against Ms. Hasina are political, but this is unlikely to hold given the severity of alleged crimes.
- Non-Inquiry Rule: Traditional common law practice of leaving extradition decisions to the executive. However, modern jurisprudence allows judicial scrutiny.
- Human Rights Concerns: Ms. Hasina, though a non-citizen, is protected under Articles 20 and 21 of the Indian Constitution. The Supreme Court has previously ruled on the rights of non-citizens (e.g., NHRC vs. State of Arunachal Pradesh, 1996).
- Proposed Solutions:
- India can allow in-house arrest for Ms. Hasina with provisions for virtual trial participation.
- Cooperation with Bangladesh in evidence collection while ensuring fair trial standards.
- Sentencing arrangements allowing Ms. Hasina to serve a potential sentence in India.
- International Criminal Court (ICC) and Jurisdiction:
- Bangladesh, as a party to the Rome Statute, can refer the case to the ICC if domestic trials are deemed unfair.
- The ICC operates on the principle of complementarity, intervening only if national jurisdictions fail to conduct impartial and independent proceedings.
- India-Bangladesh Relations:
- Extradition and trial decisions must balance human rights concerns with diplomatic relations.
- Ensuring fairness and avoiding perceptions of vengeance are crucial for maintaining bilateral ties.
- Lessons for International and Domestic Law:
- Upholding the rule of law requires safeguarding human rights, even in politically sensitive cases.
- Stronger frameworks are needed to handle extradition cases involving high-profile political figures while ensuring justice and fairness.
This case exemplifies the interplay between international relations, human rights, and legal principles, offering significant insights for governance, diplomacy, and law enforcement in South Asia.
5. Koneru Humpy’s Chess Triumph and India’s Chess Legacy
- Koneru Humpy’s Achievement:
- Koneru Humpy, 37, won her second World Rapid Chess Championship by defeating Indonesia’s Irene Sukandar in the final round.
- The victory comes five years after her first title in 2019, marking a significant achievement given the younger competition.
- Humpy, seeded 10th in the tournament, excelled in rapid chess, a format she does not favor as much as classical chess.
- India’s Chess Renaissance:
- 2024 has been a landmark year for Indian chess, with Humpy’s win following D. Gukesh’s historic World Championship victory in the classical format at 18 years of age.
- India’s teams, both men and women, claimed twin golds at the Chess Olympiad, a feat previously achieved only by the USSR and China.
- Challenges and Opportunities:
- Despite India’s growing stature as a chess superpower, the sport lacks the widespread recognition it deserves outside of a few states like Tamil Nadu.
- Tania Sachdev, part of the victorious women’s Olympiad team, highlighted the lack of support for chess in regions like Delhi.
- Contributing Factors to Success:
- Factors fueling the Indian chess revolution include an active chess federation, strong parental support, corporate sponsorship, and the availability of Grandmasters as coaches.
- The legacy of Viswanathan Anand, a five-time World Champion, continues to inspire Indian players.
- The Way Forward:
- Humpy’s success in the rapid format is a reminder of the need to replicate such achievements in classical chess, the most prestigious format.
- India must increase governmental and societal support to solidify its position as a global chess powerhouse.
Koneru Humpy’s triumph and India’s broader chess success underscore the country’s emergence as a dominant force in the sport, while also highlighting the need for systemic support to sustain and grow this legacy.
6. Concerns over the Indian Rupee’s Depreciation
- Record Low for the Rupee:
- The Indian rupee hit an all-time low of ₹85 to the U.S. dollar on December 19, 2024, and came close to breaching ₹86 before Reserve Bank of India (RBI) intervention brought it back to ₹85.53.
- Factors Behind the Decline:
- Sustained foreign portfolio outflows due to overstretched stock valuations and underwhelming corporate performance.
- China’s economic stimulus, attracting emerging market portfolios.
- The strengthening of the U.S. dollar after Donald Trump’s electoral victory, compounded by his threat of a 100% tariff on BRICS nations for proposing a common currency.
- Economic Implications:
- A record trade deficit and soaring import bills are expected to double the current account deficit in the upcoming quarter.
- Imported inflation, especially on essential commodities like edible oil and crude petroleum, is a growing concern.
- Services trade continues to show a surplus, but uncertainties about the H-1B visa regime could pose additional challenges.
- Policy Responses and Constraints:
- The RBI is actively intervening in the forex market but faces limits on how much of its forex reserves can be used to stabilize the rupee.
- The Finance Ministry acknowledges the exchange rate volatility’s impact on monetary policy flexibility.
- Former RBI Governor Shaktikanta Das dismissed the BRICS currency proposal, emphasizing India’s commitment to the U.S. dollar as the primary trade currency.
- External and Domestic Challenges:
- External pressures include unpredictable foreign investment flows and the outlook for U.S. monetary policy in 2025.
- Domestic drivers such as sluggish consumption and low investment levels exacerbate economic vulnerabilities.
- The Road Ahead:
- Policymakers need to address immediate concerns such as managing the rupee’s stability and controlling inflation.
- Structural reforms to boost domestic consumption, attract investments, and strengthen external resilience are crucial to navigating these economic headwinds.
India faces a critical juncture where coordinated monetary and fiscal measures are essential to stabilize the currency and mitigate the broader economic risks posed by its depreciation.
Source: https://www.thehindu.com/opinion/editorial/currency-concerns-on-the-rupee/article69043979.ece
Also Read: The Hindu Editorial Analysis- Dec 30,2024
Disclaimer:
This analysis is based on the editorial content published in The Hindu and is intended solely for informational and educational purposes. The views, opinions, and interpretations expressed herein are those of the author of original article. Readers are encouraged to refer to the original article for complete context and to exercise their own judgment while interpreting the analysis. The analysis does not constitute professional advice or endorsement of any political, economic, or social perspective.
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