Sign Up

Have an account?

Sign In

Don't have account,

Forgot Password

Lost your password? Please enter your email address. You will receive a link and will create a new password via email.


Have an account?

Sorry, you do not have permission to ask a question, You must login to ask a question.

Need An Account,

Please briefly explain why you feel this question should be reported.

Please briefly explain why you feel this answer should be reported.

Please briefly explain why you feel this user should be reported.

Search
Ask A Question

Indian Economy

Share
Followers
155 Answers
1k Questions
Home/Indian Economy/Page 10

Mains Answer Writing Latest Questions

Dolly Mehara
  • 0
Dolly MeharaLearner
Asked: June 26, 2024In:
  • 0

The milk industry’s success can be applied to address the ongoing issues with the sourcing and promotion of pulses and grains in India. Talk about it. (Answer in 250 words)

upsc: storage transport & marketing in agriculture
  1. Meera Singh
    Meera Singh Begginer

    In India, cereals and pulses are primarily procured by agriculture marketing societies like FCI and NAFED, whereas milk procurement is done through cooperative societies like AMUL. Procurement by cooperative societies gains both stakeholders' trust as well as public confidence, while procurement undRead more

    In India, cereals and pulses are primarily procured by agriculture marketing societies like FCI and NAFED, whereas milk procurement is done through cooperative societies like AMUL. Procurement by cooperative societies gains both stakeholders’ trust as well as public confidence, while procurement undertaken by agriculture marketing societies is often mired in controversy due to various problems.

    Issues in the procurement and marketing of cereals and pulses in India:

    • Quality grading: The absence of grading or sorting machines in most of the procurement centers leads to the absence of positive incentives for better quality.
    • Malpractices in awarding MSP: Due to the absence of grading and encouraging collusion, commodities not qualified for FAQ (fair average quality) are also getting minimum support price (MSP) for which it is otherwise ineligible.
    • Episodic procurement: Cereals and pulses procurement happens only once in the Rabi and Kharif seasons, which leaves out farmers who harvest off-season.
    • Absence of forward and backward linkages: It impacts the marketing capacity of farmers. They have to sell to local buyers, who don’t guarantee the minimum price.
    • Delay in payments: FCI and the National Agricultural Cooperative Marketing Federation of India (NAFED) often face a cash crunch as they are dependent on budget allocations.

    Model of the milk sector in dealing with issues related to cereals and pulses procurement and marketing in India:

    • Transparency: Quality checking through machinery like a lactometer and a centrifuge machine in the milk sector helps farmers to be immune from fraud related to the grading of stock.
    • Ease of doing business: Minimal or no restrictions on quantity to sell. It helps small and marginal farmers to sell their products along with the large farmers who generally have greater bargaining power.
    • Round-the-year procurement: Like milk collection undertaken every day, allowing agriculture marketing societies to procure cereals and pulses 365 days a year can help those farmers who want to sell according to the market dynamics.
    • Dedicated service: Like milk sector co-operatives, agriculture marketing societies need to devote time, energy, and domain expertise to ensure both forward and backward linkages for a smooth marketing mechanism.
    • Regular payments: The milk sector is known for daily or weekly payments, which ensure income security for dairy farmers. Such liquidity flow can be adopted by financially empowering agriculture marketing societies as it will build trust among farmers and encourage them to sell produce to the agriculture marketing societies.
    • Creating equity fund: The district milk union retains 25 to 50 paise per liter from the payments to dairy farmers to consolidate funds for building their own infrastructure and for other expenses. Such an independent source of income would make agriculture marketing societies less dependent on governments.

    The newly established Ministry of Cooperation in coordination with the Ministry of Agriculture & Farmers Welfare can adopt the best practices of the milk sector from the states of Gujarat and Maharashtra into the agriculture procurement and marketing societies. Agri Infra Fund as well as the Rural Infrastructure Development Fund (RIDF) of NABARD can be used to strengthen the cereals and pulses procurement and marketing mechanism in India.

    See less
Shekhar jaat
  • 0
Shekhar jaatBegginer
Asked: June 26, 2024In:
  • 0

Analyze how the Public Distribution System’s (PDS) digital transformation in India has assisted in resolving the issues that it faces. (Answer in 150 words)

upsc: public distribution system
  1. Bhairavi Gauatam
    Bhairavi Gauatam Begginer

    The Public Distribution System (PDS) has evolved as a system of management of scarcity through the distribution of food grains at affordable prices. It has the objective of providing food and nutritional security, stabilizing food prices, redistribution of food, and maintaining buffer stock. HoweverRead more

    The Public Distribution System (PDS) has evolved as a system of management of scarcity through the distribution of food grains at affordable prices. It has the objective of providing food and nutritional security, stabilizing food prices, redistribution of food, and maintaining buffer stock.

    However, the PDS in India has been beset with certain challenges, including:

    • Bogus cards and ghost beneficiaries: Due to the ghost beneficiaries, grains are deflected to the open markets and sold at higher prices, which leads to the shortage of food grains for the deprived and vulnerable people. For instance, it was revealed in 2020 that nearly 22% of PDS cards in Chhattisgarh were found to be bogus (16 lakh PDS cards out of 72 lakh cards).
    • Identification failures and denial of entitlements: Due to factors like poor quality of fingerprints, intermittent network, non-possession of the Aadhaar, or failure of biometric authentication, many deserving families do not get rations.
    • Leakages: According to the NSSO (2011-2012), leakage in PDS is about 46.7 percent due to leakages of the food grains during transportation.
    • Differentiated impact on married women: When a woman marries and leaves a qualifying household to join another, she must register on the new family ration card to ensure that she continues to receive food rations. However, doing so is a cumbersome process, which has left many women without access to subsidized food.

    To address these issues, there has been a push towards digitizing the PDS over the last couple of years. The initiatives include linkage with the Aadhaar card and maintenance of digital records at Fair Price Shops.

    These initiatives have led to the following impact on the Public Distribution System:

    • Increased transparency: End-to-end computerization has resulted in increased efficiency and transparency of the distribution (allocation, inventory, tracking) as witnessed in Chhattisgarh, Tamil Nadu, Delhi, and Madhya Pradesh. Also, smart ration cards have features of data storage and check on counterfeiting. It is being implemented in Haryana, Andhra Pradesh and Odisha.
    • Identification of rightful beneficiaries: Electronic Point of Sale (ePoS) devices are being installed at Fair Price Shops (FPSs) for the distribution of food grains through authentication and electronic record-keeping of the sale transactions. At present, out of 5.33 lakh Fair Price Shops (FPSs), about 5.07 lakh (95.0%) of FPSs have ePoS devices that confirm identification through biometric/Aadhaar authentication.
    • Tracking: GPS is being used in tracking the movement of trucks from depot to FPS, thus providing a strict vigil on any diversion and leakage of food grains.
    • Data collection and storage: IM-PDS and Annavitran portals that are parts of ‘One Nation, One Ration Card (ONORC)’ provide a central repository of all ration cards and beneficiaries’ data- portability. The Annavitran portal hosts the data on the distribution of food grains through E-PoS devices within a state.

    Providing better connectivity, a faster network, installing more devices per shop, establishing additional call centers to address technical queries, analyzing the technology adoption behavior for improved policies, and promoting digital literacy can further help address the issues pertaining to the PDS.

    See less
Shekhar jaat
  • 0
Shekhar jaatBegginer
Asked: June 26, 2024In:
  • 0

Fertigation may drastically reduce the use of valuable resources like water and minimize nutrient losses to the environment, helping to sustainably grow more food in a changing climate. Talk about it. (Answer in 150 words)

upsc: technology missions in agriculture
Dolly Mehara
  • 0
Dolly MeharaLearner
Asked: June 26, 2024In:
  • 0

Outlining the problems with land records that exist now in India, talk about how definitive land titling and land record digitization can assist solve them. (Answer in 250 words)

upsc: land reforms
  1. Rajesh Meena
    Rajesh Meena Begginer

    Land records consist of various types of information (property maps, sale deeds, etc.) and are maintained across different departments at the district or village levels. These departments work in silos and give rise to various issues, such as: Absence of a nationwide template: Land records are maintRead more

    Land records consist of various types of information (property maps, sale deeds, etc.) and are maintained across different departments at the district or village levels.

    These departments work in silos and give rise to various issues, such as:

    • Absence of a nationwide template: Land records are maintained by different departments in each state. It becomes strenuous to ensure that all such records in all the departments are updated and the details mentioned in one department exactly correspond to the details. mentioned in other departments.
    • Lack of a single window title verification and investigation system: The presumption of land ownership is drawn from multiple documents and records, which are maintained by multiple departments, making it a very long and cumbersome process of title investigation.
    • Presumptive titling: Ownership is decided based on recent economic transactions, which are easy to fake and thus lead to land disputes and litigations.
    • Non-mandatory registration: Under the Registration Act, of 1908, registration of property is not mandatory for certain transactions, such as land acquisition by the government, heirship partitions, etc. Thus, several property divisions are not recorded and, hence, do not correctly reflect the ownership of the property.
    • Opaqueness in land leasing: The current system of land leasing does not enable tenants to access bank credit and prevents them from making investments in land improvement.

    The role of land record digitization and conclusive ‘land titling’ in addressing the above-mentioned issues are the following:

    • Increases transparency: Land record digitization and conclusive land titling will enable complete transparency and real-time updates in land titles since property records could be placed in the public domain.
    • Controls benami transactions: Benami transactions in land dealings could be pre-empted and eliminated by the digitization of land records and their regular updating.
    • One-stop solution: It will lead to the establishment of a single window title verification and investigation system, which will be easily accessible to professionals as well as to the general public, making the public documents “public” in the real sense.
    • Brings uniformity: Along with digitizing the land documents, the Central and state governments may take initiatives to maintain the land documents in a uniform manner and in a language that is understood nationwide.
    • Clear ownership: Unlike presumptive titling, where neither the government nor the legal framework guarantees the ownership title of the land, under a conclusive land titling system, land records designate actual ownership.
    • Easy bank credit: Conclusive land titling helps the rightful landowner easily avail credit from banks, as the government takes responsibility for the accuracy.

    In addition, addressing land record issues and the mammoth task of mapping and digitizing 800 million land parcels further needs Centre-state coordination, a structured timeline for dispute resolutions, an integrated repository of land records covering both urban and rural areas, etc. Recent initiatives like the Digital India Land Records Implementation Programme 2.0 and the mapping of land parcels in rural inhabited areas using drone technology are welcome steps towards land reforms.

    See less
Garima Singla
  • 1
Garima SinglaBegginer
Asked: July 9, 2024In:
  • 1

What are the impacts of reduction of Cash Reserves Ratio by RBI on the credit creation in the market?

monetary policy and budgeting
  1. Garv Joshi
    Garv Joshi Begginer

    When the Reserve Bank of India (RBI) reduces the Cash Reserve Ratio (CRR), it impacts directly on the credit creation process in an economy. CRR is a certain percentage of a bank's total deposits that has to be maintained in form of cash with RBI. By reducing CRR, RBI can increase the amount availabRead more

    When the Reserve Bank of India (RBI) reduces the Cash Reserve Ratio (CRR), it impacts directly on the credit creation process in an economy. CRR is a certain percentage of a bank’s total deposits that has to be maintained in form of cash with RBI. By reducing CRR, RBI can increase the amount available with banks for lending.
    Here is the explanation:-

    1.Increased Liquidity: As explained above, reduction in CRR leads to release of some part of [banks near-cash asset] as reserves and therefore permits banks to supply more credit.
    2.Lower Borrowing Costs: When banks have access to more funds to lend, they may reduce interest rates on loans because they do not need to compete as aggressively for deposits as they would when their reserves are limited.
    3.Boost to Economic Activity: With greater lending capacity at lower rates of interest, banks are able to assist not only new businesses† but also existing firms in expanding and generating additional employment and output. Consumers, too, are more likely to borrow in order to make purchases† thus contributing† to further spending.
    4.Multiplier Effect: The additional lending leads to a multiplier effect in the economy – when banks lend more, it increases the deposits with banks by borrowers, which in turn increases the possibility of further lending, thus creating more credit on its own.
    So, effectively, RBI reduces CRR to infuse liquidity in banking system, increase borrowings at lower cost and boost economic growth through increased credit creation.

    See less
Arundhati Chowdhury
  • 4
Arundhati ChowdhuryBegginer
Asked: July 10, 2024In:
  • 4

In the current wave of fitness awareness   people tend to shift to organic farming whose products are expensive. How can the products of organic farming be made affordable to every individual in India?

health and farmingquestion
  1. Pulkita Rajain
    Pulkita Rajain Begginer

    The main reason for the high cost of organic farming products is due to high growing cost and low scale production. In India, most of the farmers own few acres of land and seeing the high cost of production, they tend to avoid it and go for inorganic one. And due to that it is produced on a low scalRead more

    The main reason for the high cost of organic farming products is due to high growing cost and low scale production. In India, most of the farmers own few acres of land and seeing the high cost of production, they tend to avoid it and go for inorganic one. And due to that it is produced on a low scale. If anything is produced in a low scale and demand increases, the price also inflates. Now, people in cities mostly prefer organic eatables, but they are not produced that much in comparison to the demand.

    But farmers have slowly started understanding that the one time investment can result in better profit afterwards. So, they are moving towards growing organic eatables. And with advancement in time, the cost of organic products will also normalize…

    See less
Shekhar jaat
  • 0
Shekhar jaatBegginer
Asked: June 26, 2024In:
  • 0

Describe what you mean by urban agriculture and list the many kinds. Talk about its importance in relation to India as well. (Answer in 150 words)

upsc: cropping pattern
  1. Meera Singh
    Meera Singh Begginer

    Urban agriculture refers to agricultural practices followed in urban and peri-urban areas i.e. growing of plants and the rearing of animals primarily for food and other domestic use within a city or a town. It also involves activities such as the production, processing, marketing, and delivery of faRead more

    Urban agriculture refers to agricultural practices followed in urban and peri-urban areas i.e. growing of plants and the rearing of animals primarily for food and other domestic use within a city or a town. It also involves activities such as the production, processing, marketing, and delivery of farming products.

    Urban agriculture has different types:

    • Backyard Gardens: Backyard Garden farming is a type of urban farming carried out on the house property to grow food which if the surplus is shared among neighbors, friends, and family.
    • Street Landscaping: In this type of urban farming, grass, landscaping, street trees, vegetation, and others are produced in the private streets of the society or community.
    • Vertical Farms: Vertical farming is the practice of producing crops vertically stacked. It also provides controlled environment farming. Vertical farming aims to optimize crop growth.
    • Forest Gardening: Forest gardening is the practice of having grown gardens in the urban forest. In this type, different types of crops are produced.
    • Rooftop Gardens: Rooftop gardens provide temperature control, architectural enhancement, corridors for wildlife, habitats, and recreational opportunities with decorative benefits.
    • Aquaponics: In aquaponics, fish are raised in water tanks. In these tanks, plants are also grown, and the waste from the fish gives manure to the plants.
    • Urban Beekeeping: It is also known as backyard beekeeping or hobby beekeeping. It is said that bees from the city are healthier and more productive.
    • Greenhouse: It includes the practice of agriculture in commercial, residential, and communal urban spaces. It helps farmers to increase their yield and performance with improved quality.

    Significance for India

    • Decentralized Production: Small-scale decentralized production can supplement diets at the household or community level.
    • Environment Management: Urban agriculture can combat the urban heat island effect and function as an urban lung in addition to providing visual appeal. Additionally, it brings purposeful recreation that has a direct impact on city health.
    • Eco-Cultural Learning: Urban agriculture helps city dwellers establish linkages with nature and educate them about its richness and diversity.
    • Waste Management: The use of suitably treated wastewater for urban agriculture can reduce the demand for fresh water and help in wastewater disposal.
      • Moreover, organic waste from the city can be composted and used in food and flower production which can reduce the total quantum of waste and its dumping on land, thereby, reducing the requirement of landfills.
    • Employment Generation: It can add to the number of jobs improve livelihood opportunities in the cities and generate some income, especially for the poor. As urban populations grow, urban agriculture must become vital to municipal functions. Similarly, urban plans must include urban agriculture in their land-use strategies.
    See less
Rohit Valiyan
  • 0
Rohit ValiyanLearner
Asked: June 22, 2024In:
  • 0

Describe the Design Linked Incentive (DLI) program. Talk about how this plan might affect India’s semiconductor manufacturing sector. (Answer in 200 words)

upsc: manufacturing sector
  1. Bharti Singh
    Bharti Singh Begginer

    The Ministry of Electronics and Information Technology has announced the Design Linked Incentive (DLI) Scheme to offset the disabilities in the domestic industry involved in semiconductor design in order to not only move up in value-chain but also strengthen the semiconductor chip design ecosystem iRead more

    The Ministry of Electronics and Information Technology has announced the Design Linked Incentive (DLI) Scheme to offset the disabilities in the domestic industry involved in semiconductor design in order to not only move up in value-chain but also strengthen the semiconductor chip design ecosystem in the country.

    It aims to offer financial incentives as well as design infrastructure support across various stages of development and deployment of semiconductor design(s) for Integrated Circuits (ICs), Chipsets, System on Chips (SoCs), Systems & IP Cores and semiconductor linked design(s) over a period of 5 years.

    This scheme can create a difference in the semiconductor manufacturing industry in India in the following ways:

    • Promoting R&D: It will provide funds for R&D under rising development costs and fulfil the needs of design that requires 12-20% of company sales back into R&D.
    • Establishing semiconductor ecosystem: It will help to create a vibrant semiconductor ecosystem, helping in development of modern complex chips, often leveraging external IP and design support services.
      • It aims to set up the India Chip Centre to host the state-of-the-art design infrastructure and facilitate its access to supported companies.
    • Financial support: It aims to provide financial support to companies setting up fabs or semiconductor making plants in India.
      • Under this scheme, a reimbursement of up to 50% of the eligible expenditure subject to a ceiling of Rs.15 Crore per application will be provided as fiscal support to the approved applicants who are engaged in semiconductor design.
      • Further, incentives would be provided to applicants whose semiconductor design and semiconductor linked design are deployed in electronic products.
    • Increase competition: The scheme will attract existing and global players as it will support their expenditures related to design software, IP rights, development, testing and deployment. This will encourage innovation in India apart from avoiding dependencies on a few countries or companies.
    • Increased capacity: The increased capacity of the semiconductor sector will spur demands from other sectors such as transportation, energy, agriculture etc. which will in turn fuel development of the semiconductor industry.
    • Access to larger markets: This scheme will help domestic companies to become part of the global value chain, thereby providing access to larger global markets.

    Considering these contributions, this scheme would add to economic strength and contribute towards the creation of a US$1 trillion digital economy with a multiplier effect to achieve a US$5 trillion economy by 2025 provided certain challenges such as rapid changes in technology, high competition, specialisation and expertise, threats to supply chain etc. are addressed. Thus, there is a need to promote research, strengthen the supply chain, improve the patent ecosystem, etc, to realise the true potential of the scheme. The DLI scheme along with the Production-Linked Incentive (PLI) scheme have a crucial role in shaping India as an efficient, equitable, and resilient design and manufacturing hub.

    See less
Load More Questions

Resources & Suggestions

Mains Answer Writing Latest Articles

On: April 18, 2025

Daily Answer Writing Practice Questions (18 April 2025)

Do you agree with the claim that indecision and risk aversion are prevalent issues in Indian bureaucracy? Support your answer with logical reasoning. (150 words) ऐसा कहा जाता है कि भारतीय नौकरशाही में अनिर्णय और जोखिम से बचने की प्रवृत्ति ...

On: April 18, 2025 Comments: 0

Strengthening India’s Cyber Defence

Rising Threats Digital Era Challenges: 2024 marks a significant rise in digital threats, particularly from AI and cyberattacks. Key Issues: Disinformation campaigns. Cyber fraud affecting daily life. Current Major Cyber Threats Ransomware Rampage: Over 48,000 instances of WannaCry ransomware detected ...

On: April 18, 2025 Comments: 0

भारत की साइबर सुरक्षा

बढ़ते खतरे कृत्रिम बुद्धिमत्ता (AI) और साइबर हमले: 2024 में AI और साइबर हमलों के खतरे में वृद्धि। महत्वपूर्ण अवसंरचना पर हमले: डिजिटल हमलों और दुष्प्रचार अभियानों की संभावना बढ़ी है। प्रमुख साइबर खतरें रैनसमवेयर का प्रकोप: 48,000 से अधिक ...

Explore Our Blog