6th May 2025-Current Affairs

1. Vizhinjam Port: A Game-Changer for India’s Maritime Trade and Economic Growth – Economy

Why in News?

• In May 2025, PM Narendra Modi inaugurated the ₹8,800 crore Vizhinjam International Deepwater Multipurpose Seaport in Thiruvananthapuram, Kerala.
• This marks India’s first deep-water, semi-automated container transhipment port, built to revolutionize the country’s maritime logistics and global trade connectivity.

Strategic Importance

Location Advantage

• Just 10 nautical miles from major global east-west shipping routes.
• Reduces India’s dependency on foreign transhipment hubs like Colombo, Singapore, and Dubai.
• Positions India as a potential maritime gateway for South Asia.

Key Features and Infrastructure

Historical Significance

• Ancient maritime port during the Chola period, known as Rajendra Chola Pattinam.
• Had declined over centuries but has now been revitalized as a global transhipment hub.

Economic Implications

Reduced Logistics Costs

• Cargo can now be directly transhipped in India, reducing cost and time delays associated with foreign ports.

Boost to Exports and Trade Efficiency

• Makes Indian exports more competitive by improving turnaround time and reducing freight dependency.

Job Creation and Local Development

• Creates employment in port logistics, operations, and support services, particularly in Kerala.

Strengthens Maritime Diplomacy

• Can emerge as a key regional logistics node, supporting India’s Act East and Blue Economy strategies.

Challenges to Success

• Coordination required among central, state, and private sector stakeholders.
• Ensuring environmental sustainability, especially in a sensitive coastal region.
• Global shipping partnerships are key to attracting regular vessel traffic.

Summary

• Name: Vizhinjam International Deepwater Multipurpose Seaport
• Location: Thiruvananthapuram, Kerala
• Inauguration: May 2025 by PM Modi
• Significance: India’s first deep-water, semi-automated transhipment port
• Natural Depth: 20 metres (suitable for ULCVs)
• Development Model: PPP (Kerala Govt + Adani Ports + Union Govt)
• Cost: ₹8,867 crore
• Operational Since: July 2024
• Current Handling Capacity: 1 million TEUs
• Target Capacity by 2028: 4.87 million TEUs
• Strategic Impact: Reduces reliance on foreign ports, boosts trade, job creation, economic growth
• Historical Link: Chola period maritime hub
• Key for: GS3 Economy topics — Infrastructure, Investment Models, Trade, Employment

Exam Connect – Possible Questions

Prelims

1. Which of the following statements about Vizhinjam Port is/are correct?

1. It is India’s first deep-water port with full automation.
2. The port is located close to major global shipping routes.
3. It was developed entirely by the Union Government without private investment.

A. 1 and 2 only
B. 2 only
C. 1 and 3 only
D. All of the above

Answer: B

Statement 1 is incorrect (semi-automated, not fully), and Statement 3 is incorrect (PPP model with Adani Ports and Kerala Govt).

2. The term “TEU” often seen in news refers to:
A. Trade Efficiency Unit
B. Twenty-foot Equivalent Unit
C. Transhipment Evaluation Unit
D. Terminal Efficiency Unit

Answer: B

Mains

1. Discuss the strategic and economic importance of the Vizhinjam International Seaport in the context of India’s maritime trade and logistics reforms. (250 words)

2. Vizhinjam Port is a step toward India’s goal of becoming a global maritime hub. Critically analyze its potential and challenges. (250 words)

3. Examine the role of Public-Private Partnership (PPP) in port infrastructure development in India with reference to Vizhinjam Port. (150 words)

2. Debate on State Share in Tax Pool – A Challenge for the 16th Finance Commission – Polity

Why in News?

• Growing demand from Indian states to increase their share in the divisible tax pool from the current 41% to 50%.
• This debate is central to the 16th Finance Commission’s mandate, as it must balance state autonomy with central fiscal responsibility.

Background: Evolution of Tax Devolution in India

Key Issues and Challenges

Decline in Effective Share

• Although the statutory share is 41%, effective devolution is much lower.
• Cesses and surcharges, which form a large part of tax revenues, are not shareable with states.
• Example: Shareable tax pool dropped from 88.6% (2011–12) to 78.9% (2021–22).
• As a result, states received only 32% of gross tax revenues on average over the last 6 years.

Centre’s Fiscal Constraints

• The Centre argues that increasing state devolution may:
  • Reduce its fiscal space for national priorities (defence, subsidies, infrastructure).
  • Worsen its debt burden, especially with increased borrowings to fund existing state transfers.

Tied vs Untied Transfers

• Tied funds are conditional (e.g., Centrally Sponsored Schemes like PMGSY, MGNREGA).
• Untied funds allow states flexibility based on local priorities.
• States demand more untied funds, but:
  • Centre is reluctant to dilute politically significant schemes.
  • Rationalizing CSSs is politically and administratively difficult.

Quality and Efficiency of State Spending

• Many states face high revenue deficits and are borrowing for revenue (non-capital) expenditure, reducing developmental investment.
• Examples:
  • Karnataka and Punjab have large revenue deficits affecting capital creation.
• Raises concerns about whether more funds will be efficiently utilized.

Equity in Public Services

• Spending disparities exist:
  • Richer states (like Maharashtra, Tamil Nadu) can spend more on public services.
  • Poorer states (like Bihar, UP) struggle despite higher needs.
• Debate: Will more untied funding reduce inequality, or will richer states benefit disproportionately?

Devolution to Local Governments

• India’s third tier (Panchayats and Municipalities) receives much less funding compared to countries like China and South Africa.
• Issue: Will increased state funds be passed on to local bodies, or retained at state level?
• Effective decentralization requires:
  • Incentivizing states for local devolution.
  • Strengthening local revenue-raising capacity.

Broader Constitutional and Political Context

Article 280: Mandates Finance Commission to recommend devolution of revenues.

Cooperative Federalism: A key theme in India’s governance, but often challenged by centralization tendencies.

Political Dynamics: Central control over CSSs and reluctance to release unconditional funds often clash with state demands for autonomy.

Way Forward for the 16th Finance Commission

Summary

Exam Connect – Possible Questions

Prelims

1. Which Article of the Indian Constitution mandates the formation of a Finance Commission?
A. Article 280
B. Article 270
C. Article 275
D. Article 282
Answer: A

2. Cesses and surcharges imposed by the Centre are:
A. Shared equally with the states
B. Shared only with special-category states
C. Not shared with the states
D. Shared based on Finance Commission recommendation
Answer: C

3. Which Finance Commission recommended the increase of states’ share in the divisible tax pool to 42%?
A. 13th FC
B. 14th FC
C. 15th FC
D. 12th FC
Answer: B

Mains

1. Discuss the role of the Finance Commission in promoting cooperative fiscal federalism in India. In this context, critically examine the demand for increasing the states’ share in the divisible tax pool.
(250 words)

2. The rise of cesses and surcharges in the Union’s tax structure has distorted the principle of horizontal and vertical equity. Evaluate this statement in the context of recent intergovernmental fiscal challenges.
(250 words)

3. How can the 16th Finance Commission ensure effective and equitable fiscal devolution to both states and local governments while maintaining the fiscal discipline of the Union? Suggest a balanced roadmap.
(250 words)

3. ICAR Unveils World’s First Genome-Edited Rice Varieties – Science and Technology

Why in News?

• The Indian Council of Agricultural Research (ICAR) has developed the world’s first genome-edited rice varieties:
  • DRR Dhan 100 (Kamala)
  • Pusa DST Rice 1
• These are aimed at higher yield, drought and salinity tolerance, and improved nitrogen-use efficiency, crucial for climate-resilient agriculture.

What is Genome Editing in Plants?

• Genome Editing is the precise modification of DNA within an organism without introducing foreign genes.
• Technologies used include CRISPR-Cas9, which allows targeted alterations of specific genes.
• Difference from GMOs: Genome-edited crops do not contain transgenes (foreign DNA), making them more acceptable under public and regulatory scrutiny.

Key Features of the New Varieties

Scientific & Environmental Significance

Climate Resilience

• Designed to withstand abiotic stresses: drought, salinity, and heat—key challenges under climate change.
• Shorter growing cycle reduces exposure to adverse weather.

Resource Efficiency

• High Nitrogen-Use Efficiency (NUE) → reduces overuse of fertilizers.
• Water-saving potential due to early maturity → vital for water-scarce regions.

Food Security

• Higher productivity supports self-sufficiency in rice, a staple for over 60% of the Indian population.

Policy & Regulatory Framework

Exemption from Stringent Biosafety Norms

• As per a 2022 notification under the Environment (Protection) Act, 1986, certain genome-edited crops are exempt from GMO regulations.
• Genome-edited crops like Kamala and Pusa DST are classified under SDN-1 and SDN-2 categories (site-directed nuclease), which do not involve transgenes.

Government Push

• ₹500 crore allocated by the Government of India for genome-editing research.
• Supports the goal of doubling farmers’ income and achieving sustainable agricultural practices.

Global and National Implications

• India leads globally in deploying genome editing in food crops, setting an example for non-GMO biotech innovation.
• Supports United Nations SDGs:
  • Goal 2: Zero Hunger
  • Goal 13: Climate Action
  • Goal 12: Responsible Consumption and Production

Summary

Exam Connect – Possible Questions

Prelims

1. Consider the following statements regarding genome-edited crops:
   1. They involve the insertion of foreign DNA to improve traits.Genome-edited crops like DRR Dhan 100 are exempt from India’s GMO regulatory framework.CRISPR-Cas9 is a tool used in genome editing.Which of the statements are correct?
   a) 1 and 2 only
   b) 2 and 3 only
   c) 1 and 3 only
   d) 1, 2 and 3
   Answer: b) 2 and 3 only

2. DRR Dhan 100, recently in news, is: a) A genetically modified rice variety developed in China
   b) A high-yielding rice variety using traditional hybridization
   c) A genome-edited rice developed by ICAR
   d) A millet variety promoted under PM-POSHAN scheme
   Answer: c) A genome-edited rice developed by ICAR

Mains

1. GS3 (250 words)
   “Genome-edited crops offer a sustainable solution to India’s agricultural and environmental challenges.”
   Discuss in light of recent innovations by ICAR in rice cultivation.
2. GS3 (150 words)
   Highlight the differences between genetically modified organisms (GMOs) and genome-edited crops. Why is the latter seen as a preferable path for India’s food security and climate resilience?

3. Biological Diversity (Access and Benefit Sharing) Regulation, 2025 – Environment

Why in News?

• The National Biodiversity Authority (NBA) introduced the 2025 Access and Benefit Sharing (ABS) Regulation after approval from the Central Government.
• Aims to regulate access to biological resources, traditional knowledge, and digital sequence information (DSI), while ensuring equitable benefit sharing.
• Follows the Biodiversity (Amendment) Act, 2023 and aligns with India’s international obligations under the Convention on Biological Diversity (CBD) and Nagoya Protocol.

What is Access and Benefit Sharing (ABS)?

Access and Benefit Sharing is a system that governs:

• Access to biological resources (plants, microbes, animals, etc.)
• Fair and equitable sharing of benefits (monetary or non-monetary) arising from their use.

This ensures:

• Protection of traditional knowledge of indigenous communities.
• Sustainable utilization of biodiversity.
• Justice to local stakeholders contributing to biodiversity conservation.

Key Features of the 2025 Regulation

Tiered Benefit-Sharing Structure (Based on User’s Turnover)

Exemptions

• Cultivated medicinal plants are exempt, aligning with the 2023 Amendment Act.

High-Value/Threatened Species

• Minimum 5% benefit sharing, escalating up to 20% or more for:
  • Red sanders
  • Agarwood
  • Sandalwood

Inclusion of Digital Sequence Information (DSI)

• For the first time, digital data related to genetic sequences is covered.
• Researchers and IP seekers using DSI must share benefits.

Compliance and Reporting

• Users with turnover above ₹1 crore must submit annual statements detailing:
  • Resource usage
  • Revenue earned
  • Compliance with benefit-sharing obligations

Why is this Regulation Important?

Sustainable Development

• Encourages responsible resource use, balancing conservation and commercial interests.

Protection of Traditional Knowledge

• Recognizes the contributions of local communities and tribal knowledge systems.

Legal and Ethical Compliance

• Brings India in line with international legal frameworks like:
  • CBD (1992)
  • Nagoya Protocol (2010)

Boosts India’s Bioeconomy

• By regulating access and ensuring equity, it promotes trust, research, and innovation in sectors like:
  • Pharmaceuticals
  • Agriculture
  • Biotechnology

Challenges & Considerations

• Enforcement mechanisms for digital information (DSI) remain complex.
• Ensuring community-level awareness and capacity to claim benefits.
• Avoiding over-regulation that could discourage scientific research and investment.

Summary

The Biological Diversity (Access and Benefit Sharing) Regulation, 2025, notified by the National Biodiversity Authority, provides a tiered structure for benefit sharing from the use of biological resources, traditional knowledge, and digital sequence information. Exempting cultivated medicinal plants and enforcing higher benefit sharing for endangered species, the regulation balances economic use and biodiversity conservation. It reflects India’s commitment to the CBD and Nagoya Protocol, ensuring fair compensation to resource-contributing communities.

Exam Connect – Possible Questions

Prelims

1. Consider the following about the Biological Diversity (Access and Benefit Sharing) Regulation, 2025:

1. Cultivated medicinal plants are exempted from benefit-sharing obligations.
2. The regulation includes benefit-sharing provisions for the use of digital sequence information (DSI).
3. All users must share benefits regardless of their turnover.

Which of the above statements is/are correct?
A. 1 and 2 only
B. 1 and 3 only
C. 2 and 3 only
D. All of the above

Answer: A

Statement 3 is incorrect – exemptions exist for users with turnover below ₹5 crore.

2. Which of the following species are subject to higher benefit-sharing rates under the ABS Regulation, 2025?

1. Sandalwood
2. Teakwood
3. Red Sanders
4. Agarwood

A. 1 and 3 only
B. 1, 3, and 4 only
C. 2 and 4 only
D. All of the above

Answer: B

Mains

1. Discuss the significance of the Biological Diversity (Access and Benefit Sharing) Regulation, 2025, in promoting biodiversity conservation and equitable benefit distribution in India. (250 words)

2. Critically examine the role of benefit-sharing frameworks in ensuring justice to indigenous communities while fostering scientific innovation. (250 words)

3. How does India’s approach to Access and Benefit Sharing under the 2025 regulation reflect its commitment to international biodiversity treaties like the Nagoya Protocol? (150 words)

5. ‘Kamala’ and ‘Pusa DST Rice 1’ — India’s First Genome-Edited Rice Varieties – Science and Technology

Why in News?

• The Union Agriculture Minister announced ‘Kamala’ (DRR Dhan 100) and ‘Pusa DST Rice 1’ as India’s first genome-edited rice varieties, and the world’s first such commercialized drought- and salinity-tolerant rice.
• Developed by the Indian Council of Agricultural Research (ICAR) using CRISPR-Cas9 genome editing without inserting any foreign DNA.
• Approved under relaxed genome editing regulations by India’s biosafety authorities.

Key Features of the Genome-Edited Rice Varieties

Benefits and Implications

1. Yield Improvement

• Addresses stagnating paddy yields and rising food demand.
• Supports India’s food security — rice forms ~40% of the food grain basket.

2. Climate Resilience

• Traits like drought and salinity tolerance support farming in coastal, arid, and degraded soils.
• Early maturity helps avoid terminal heat stress and reduce dependence on prolonged irrigation.

3. Sustainability & Resource Efficiency

• Saves 7,500 million m³ of water due to reduced irrigation needs.
• Reduces GHG emissions by ~20%, contributing to climate goals and sustainable agriculture.

4. Regulatory Milestone

• Approved under relaxed rules for site-directed nuclease (SDN-1) genome editing — not considered transgenic/GM.
• Avoids lengthy regulatory procedures required for GM crops with foreign DNA.

Difference: Genome Editing vs. Genetic Modification (GM)

Summary

India introduced ‘Kamala’ and ‘Pusa DST Rice 1’, its first genome-edited rice varieties using CRISPR-Cas9, offering higher yield, drought and salinity tolerance, and early maturity. These innovations align with sustainable agriculture goals, improve water-use efficiency, and enhance food security. Notably, they contain no foreign DNA and are approved under relaxed biosafety norms, marking a regulatory and scientific breakthrough for Indian agriculture.

Exam Connect – Possible Questions

Prelims

1. With reference to the recently introduced genome-edited rice varieties in India, consider the following statements:

1. Both ‘Kamala’ and ‘Pusa DST Rice 1’ contain foreign DNA inserted using genetic modification.
2. These varieties were developed using CRISPR-Cas9 genome editing.
3. ‘Kamala’ has early maturity and drought tolerance traits.

Which of the statements given above is/are correct?
A. 1 and 2 only
B. 2 and 3 only
C. 1 and 3 only
D. All of the above

Answer: B

Statement 1 is incorrect — no foreign DNA was inserted.

2. What is the significance of CRISPR-Cas9 technology in agriculture?

A. It introduces random mutations in plant genomes.
B. It allows precise genome editing without adding foreign DNA.
C. It is used only in animal biotechnology.
D. It produces hybrid seeds through cross-pollination.

Answer: B

Mains

1. What is genome editing, and how does it differ from genetic modification? Discuss the significance of CRISPR-Cas9-based genome editing in India’s food security and climate-resilient agriculture. (250 words)

2. Discuss the potential of genome-edited crops in addressing the challenges of sustainable agriculture. Use recent examples from India to support your answer. (250 words)

6. “China Plus One” Strategy and Its Relevance to India – Economy

Why in News?

• Japanese and other international firms are increasingly turning to India under the “China Plus One” strategy.
• The strategy is gaining prominence due to global supply chain disruptions, US-China trade tensions, and China’s Zero-COVID policy.

What is the “China Plus One” Strategy?

Definition:
A global business strategy adopted by multinational companies to diversify their manufacturing and supply chains by adding at least one more country (in addition to China) to reduce over-dependence on China.

Origin:

• Gained global traction post 2013, but intensified after:
  • US-China Trade War (2018–19)
  • COVID-19 disruptions and China’s lockdowns
  • Rising geopolitical risks and regulatory uncertainty in China

Why Reduce Dependence on China?

1. Rising labor costs in China
2. Trade barriers with countries like the USA
3. Political tensions and supply chain risks
4. China’s restrictive regulatory environment
5. Zero-COVID lockdowns halted global manufacturing

Countries Benefiting from the Strategy

🇮🇳 India’s Strategic Advantages under China Plus One

1. Demographic Edge

• Large, young skilled labor force
• Growing middle-class consumer base

2. Cost Advantage

• Lower wages than China
• Competitive operational costs in manufacturing

3. Digital and Physical Infrastructure

• Digital India and BharatNet programs improving internet penetration
• Industrial corridors and freight connectivity (e.g., Delhi-Mumbai Industrial Corridor)

4. Policy Support

• PLI (Production-Linked Incentive) Schemes to boost manufacturing
• Make in India, Startup India, and Ease of Doing Business reforms
• Tax incentives and FDI liberalization in key sectors

Sectors in India Poised to Benefit

Challenges India Must Address

• Bureaucratic delays and land acquisition hurdles
• Logistics bottlenecks and port inefficiencies
• Skilling gaps and labour law rigidity
• Inconsistent policy implementation at the state level

Summary

The “China Plus One” strategy, adopted globally to diversify supply chains away from China, presents a strategic opportunity for India. Backed by PLI schemes, skilled labor, competitive costs, and infrastructure development, India is emerging as a viable alternative for global manufacturers. However, realizing its full potential requires addressing logistical, bureaucratic, and labor-related challenges.

Exam Connect – Possible Questions

Prelims

1. Which of the following best describes the “China Plus One” strategy?

A. A Chinese export policy to promote offshore investment
B. A global business strategy to include one more Asian country in trade
C. A supply chain diversification strategy to reduce reliance on China
D. An initiative by ASEAN to boost trade with China and one Western country

Answer: C

2. Which of the following factors contributed to the rise of the “China Plus One” strategy?

1. US-China trade tensions
2. China’s Zero-COVID policy
3. Increasing ease of doing business in China
4. Supply chain disruptions

A. 1, 2, and 4 only
B. 1, 3, and 4 only
C. 2 and 3 only
D. All of the above

Answer: A

Mains

1. The “China Plus One” strategy presents a unique opportunity for India to become a global manufacturing hub. Discuss India’s preparedness and the challenges that need to be addressed to leverage this opportunity. (250 words)

2. Examine how government initiatives like Make in India and PLI schemes align with the goals of global supply chain diversification. (150 words)

7. India’s Arctic Strategy: Evolving Realities and Strategic Imperatives – International Relations

Why in News?

• The Arctic is rapidly shifting from a zone of scientific collaboration to a contested geopolitical space.
• Climate change has opened new shipping routes like the Northern Sea Route (NSR), enhancing the region’s economic and military relevance.
• India’s 2022 Arctic Policy, primarily focused on scientific and environmental cooperation, is now seen as inadequate in light of growing strategic competition.

Geopolitical Shifts in the Arctic

From Science to Strategy

• Historically governed by treaties and scientific cooperation (e.g., Arctic Council).
• Now witnessing:
  • Increased militarization (submarines, bases, patrols).
  • Great power competition, especially between Russia, USA, and increasingly China.

Key Strategic Factors

• Melting sea ice is making the NSR navigable for longer periods — a shortcut between Europe and Asia.
• The Arctic holds:
  • 13% of undiscovered oil reserves
  • 30% of undiscovered natural gas
  • Critical rare earth minerals

🇮🇳 India’s Arctic Policy: A Snapshot

Arctic Policy (2022) – Key Pillars:

1. Climate and environmental research
2. Scientific cooperation
3. Sustainable development
4. Capacity building
5. International cooperation

Inspired by India’s Himalayan research experience.

Limitations in Current Approach

• Overly science-centric; lacks geopolitical and security dimensions.
• Does not adequately address:
  • Military deployments by Arctic states
  • Chinese ambitions in the region (Polar Silk Road)
  • India’s economic interests in shipping, energy, or resource extraction

India’s Strategic Constraints & Opportunities

Challenges

• Limited Arctic presence compared to China, which is an Observer in Arctic Council and calls itself a “Near-Arctic State.”
• India’s Russia ties may complicate relations with Nordic countries and other Western Arctic stakeholders.
• Lack of a coordinated defence-diplomatic strategy for Arctic engagement.

Opportunities

• Leverage soft power through scientific research and climate leadership.
• Collaborate with Nordic countries on sustainable technology and clean energy.
• Develop Arctic desks in MEA and MoD for policy coherence.
• Tap into Blue Economy opportunities in emerging Arctic shipping routes.

Way Forward: Toward a Balanced Arctic Strategy

Summary

India’s current Arctic Policy (2022), centered around climate research and sustainability, falls short of addressing the emerging geopolitical tensions and strategic competition in the Arctic. With rising militarization, new shipping routes like the Northern Sea Route, and great power rivalry, India must recalibrate its Arctic engagement. A more integrated approach that includes diplomatic, economic, and strategic considerations is essential to secure India’s long-term interests in the region.

Exam Connect – Possible Questions

Prelims

1. The Northern Sea Route (NSR), recently in news, connects:

A. Atlantic Ocean and Indian Ocean via Panama Canal
B. Pacific Ocean and Atlantic Ocean along the Arctic coast of Russia
C. Indian Ocean and Mediterranean Sea via Red Sea
D. Atlantic Ocean and Arctic Ocean via the Northwest Passage

Answer: B

2. Which of the following are objectives of India’s Arctic Policy (2022)?

1. Promotion of military presence in the Arctic
2. Sustainable development of the Arctic region
3. Strengthening scientific research
4. Enhancing polar tourism

A. 1, 2, and 4
B. 2 and 3 only
C. 1 and 3 only
D. All of the above

Answer: B

Mains

1. India’s Arctic Policy, though progressive in scientific terms, lacks strategic depth in the face of emerging geopolitical tensions. Discuss the need for recalibrating India’s Arctic engagement. (250 words)

2. Analyze how climate change has transformed the Arctic from a region of scientific cooperation to one of strategic competition. What role can India play in this evolving dynamic? (250 words)