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Daily Current Affairs (DCA) May 14, 2026

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Daily Current Affairs Quiz
14 May, 2026

Table of Contents

Reports

1. Global Forest Goals Report 2026

Context:

A new United Nations assessment the Global Forest Goals Report 2026 prepared jointly by the UN Department of Economic and Social Affairs (UNDESA) and the UN Forum on Forests (UNFF) Secretariat has flagged rising demand for fuelwood and charcoal as a major emerging driver of global forest degradation, particularly in sub-Saharan Africa and parts of Asia, even as agricultural expansion continues to be the single largest cause of deforestation. The report finds that global forest cover declined from 4.18 billion hectares in 2015 to 4.14 billion hectares in 2025 — an average net annual loss of 4.12 million hectares.

Key Highlights

  • Report: Global Forest Goals Report 2026.
  • Prepared by: UNDESA + UN Forum on Forests Secretariat.
  • Headline insight: Demand for fuelwood and charcoal has emerged as a major driver of forest degradation — especially in sub-Saharan Africa and parts of Asia.
  • Largest driver overall: Agricultural expansion — still the biggest reason for deforestation globally.
  • Global forest cover:
    • 2015: 4.18 billion hectares.
    • 2025: 4.14 billion hectares.
    • Net annual loss: 4.12 million hectares.
  • Primary forest loss: ~16 million hectares between 2015–2025; South America records the steepest loss.
  • Climate pressures intensifying: Droughts, heatwaves, wildfires, pests, and diseases.
  • Restoration gap:
    • 91 countries pledged to restore 190 million hectares.
    • Only 44 million hectares restored by 2025.
  • Asia’s progress: Highest restoration performance globally — >31 million hectares (42.2% of pledged area).
  • Implications flagged:
    • Climate change risks — degraded forests = weaker carbon sinks.
    • Energy poverty linkage — fuelwood reliance reflects lack of clean cooking access.
    • Threat to biodiversity — endemic species, ecosystem services at risk.
    • Need for deforestation-free supply chains and stronger forest governance.

About the News

What does the Global Forest Goals Report 2026 say?

It is a UN assessment of progress on global forest goals, showing that forest cover continues to decline, with rising fuelwood and charcoal demand emerging as a major driver of forest degradation — especially in Africa and parts of Asia — alongside the long-standing issue of agricultural expansion.

Who prepared the report?

The UN Department of Economic and Social Affairs (UNDESA) along with the UN Forum on Forests (UNFF) Secretariat.

How much forest has the world lost in the past decade?

Global forest cover declined from 4.18 billion hectares in 2015 to 4.14 billion hectares in 2025, representing a net annual loss of 4.12 million hectares. Additionally, around 16 million hectares of primary forest have been lost in this period — with South America showing the largest decline.

What is the biggest driver of deforestation globally?

Agricultural expansion — conversion of forests into farmland — remains the largest global driver. The new finding is that fuelwood and charcoal demand has now become a major contributor to degradation, particularly in poorer regions with limited clean-cooking access.

What climate-related pressures are intensifying degradation?

Droughts, heatwaves, wildfires, pests, and diseases are increasingly damaging forests worldwide — a vicious cycle in which climate change weakens forests, and weaker forests further accelerate climate change through reduced carbon sinks.

What progress has been made on restoration?

91 countries pledged to restore 190 million hectares, but only 44 million hectares had actually been restored by 2025 — a substantial gap. Asia leads with more than 31 million hectares restored (42.2% of its pledged area).

Why is Asia’s performance notable?

Because Asia — which includes major forested nations like India, China, Indonesia, and others — has shown that large-scale restoration is operationally feasible with the right policies, financial mechanisms, and community engagement.

Why is fuelwood-driven degradation a critical concern?

Because it directly links environmental degradation to poverty and energy access: (a) Households without clean cooking fuels rely on firewood and charcoal. (b) Over-extraction depletes forests, especially in vulnerable regions. (c) The cycle deepens rural poverty, indoor air pollution, and biodiversity loss simultaneously.

What does the report recommend?

(a) Deforestation-free supply chains for commodities like timber, palm oil, soy, beef, cocoa. (b) Universal access to clean cooking energy to reduce fuelwood demand. (c) Stronger forest governance, including land-tenure security, community forestry, and enforcement. (d) Climate-resilient forest management to address droughts, fires, and pests. (e) Mobilising finance to close the restoration gap.

Why is this report important for India?

Because India has its own forest restoration commitments (LiFE mission, Bonn Challenge pledge of 26 million hectares by 2030), and is part of Asia’s broader restoration story. The findings also highlight the importance of clean cooking energy (Ujjwala Yojana, PM-LPG) and community forestry models as tools for both environment and equity.

Background Concepts (Q&A)

What is the UN Forum on Forests (UNFF)?

The UNFF is an intergovernmental body established in 2000 under the UN Economic and Social Council (ECOSOC) to promote management, conservation, and sustainable development of all types of forests, and to strengthen long-term political commitment. It has universal membership.

What is UNDESA?

The United Nations Department of Economic and Social Affairs is a UN Secretariat department that supports international cooperation in addressing global economic, social, and environmental challenges. It also serves as the secretariat for UNFF.

What are the UN Strategic Plan for Forests (UNSPF) and the Global Forest Goals?

Adopted in 2017, the UN Strategic Plan for Forests 2017–2030 lays out 6 Global Forest Goals aimed at reversing forest loss, enhancing forest-based economic and social benefits, increasing protected forests, mobilising financial resources, promoting governance, and enhancing cooperation. The Global Forest Goals Reports track progress against these goals.

What is a primary forest?

A primary forest is a naturally regenerated forest of native species where there are no clearly visible indications of human activity and where the ecological processes are not significantly disturbed. They are the most biodiverse and most carbon-rich forests.

What is REDD+?

REDD+ stands for Reducing Emissions from Deforestation and Forest Degradation, plus Conservation, Sustainable Management of Forests, and Enhancement of Forest Carbon Stocks. It is a UN-backed mechanism that incentivises developing countries to reduce emissions from forests through results-based finance.

What is the Bonn Challenge?

A global effort launched in 2011 by the Government of Germany and IUCN to restore 150 million hectares of degraded land by 2020, and 350 million hectares by 2030. Many countries — including India (26 million hectares pledged) — have made commitments under this challenge.

What is the New York Declaration on Forests (NYDF)?

A 2014 voluntary political declaration endorsed by countries, companies, and civil society to halve natural forest loss by 2020 and end it by 2030. It is widely considered to have fallen behind its targets.

What are “carbon sinks”?

A carbon sink is any system that absorbs more carbon than it releases. Forests are major carbon sinks — they absorb atmospheric CO₂ through photosynthesis. Degraded or destroyed forests lose this capacity and instead release stored carbon.

What is the difference between deforestation and forest degradation?

Deforestation: Permanent removal of forest cover, often for non-forest uses like agriculture or urbanisation. Forest degradation: Reduction in the quality, density, biodiversity, or ecological function of a forest, even if forest cover technically remains.

What is “fuelwood” and why is its demand significant?

Fuelwood is wood harvested for use as fuel — for cooking, heating, or making charcoal. It remains a primary cooking energy source for around 2 billion people globally, especially in sub-Saharan Africa, parts of South Asia, and Southeast Asia. Heavy fuelwood demand drives forest degradation even when total forest cover doesn’t fall.

What is India’s forest scenario?

India’s forest and tree cover is about 25% of geographical area (as per recent Forest Survey of India reports), with a stated goal of 33% under the National Forest Policy, 1988. India runs major programmes including Compensatory Afforestation Fund (CAMPA), Joint Forest Management (JFM), Green India Mission, and large pledges under the Bonn Challenge.

How does SDG 15 connect to this?

Sustainable Development Goal 15 — Life on Land — aims to protect, restore, and promote sustainable use of terrestrial ecosystems, including sustainably managing forests, combating desertification, and halting biodiversity loss. The Global Forest Goals Report tracks progress toward SDG 15 targets.

Practice MCQs

Q1. With reference to the Global Forest Goals Report 2026, consider the following statements:

  1. It was prepared by the UN Department of Economic and Social Affairs (UNDESA) and the UN Forum on Forests Secretariat.
  2. Global forest cover declined from 4.18 billion hectares in 2015 to 4.14 billion hectares in 2025.
  3. Fuelwood and charcoal demand have emerged as a major driver of forest degradation, especially in Africa and parts of Asia.
  4. Agricultural expansion has been overtaken by fuelwood demand as the largest driver of deforestation globally.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the UN Forum on Forests (UNFF):

  1. It is an intergovernmental body under the UN Economic and Social Council (ECOSOC).
  2. It promotes the management, conservation, and sustainable development of all types of forests.
  3. It is part of the UN Strategic Plan for Forests 2017–2030 framework.
  4. It is a body under the World Bank.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to global forest restoration initiatives, consider the following statements:

  1. The Bonn Challenge was launched in 2011 to restore 150 million hectares of degraded land by 2020.
  2. India has pledged to restore 26 million hectares under the Bonn Challenge by 2030.
  3. The New York Declaration on Forests was adopted in 2014.
  4. Asia has restored over 31 million hectares of forests as per the latest assessment.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about forests and climate:

  1. Primary forests are naturally regenerated forests of native species with no clearly visible indications of human activity.
  2. Forests are major carbon sinks because they absorb more carbon than they release.
  3. REDD+ is a UN-backed mechanism for reducing emissions from deforestation and forest degradation.
  4. India’s national policy targets 50% of geographical area under forest and tree cover.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; agricultural expansion remains the largest driver of deforestation globally — fuelwood and charcoal are described as emerging major drivers of degradation, not the largest overall.
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the UNFF is under the UN ECOSOC, not the World Bank.
  3. (e) — All four statements are correct.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; India’s National Forest Policy, 1988 targets 33% of geographical area under forest and tree cover — not 50%.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper III — Environment, Biodiversity, Climate Change, International Reports
UPSC MainsGS Paper III — Environment & Climate Change, Biodiversity, Sustainable Development
BPSC / State PCSGeography, Environment, Current Affairs
Banking (RBI Gr B, NABARD)ESI / Environment & Sustainability — high importance
SSC / Insurance / RailwayStatic + Current GK on UN bodies, forest reports, climate initiatives
Forest Services (IFoS)Core area — UNFF, REDD+, Bonn Challenge, primary forests, restoration

National Affairs

1. Government doubles import duty on gold & silver, effective rate now at 18.4%

Source: TH

Context of the News

The Government of India has doubled the effective tax on imports of gold and silver — from ~9.2% to ~18.4% — through two notifications issued late on Tuesday night, with the changes taking effect from Wednesday. The move follows Prime Minister Narendra Modi’s recent appeal to citizens to reduce gold purchases for at least a year, and comes against the backdrop of the West Asia crisis that has pushed up India’s crude oil import bill, widened the Current Account Deficit (CAD), and put pressure on the rupee and foreign exchange reserves.

Key Highlights

  • Action: Government doubles effective import tax on gold and silver from ~9.2% to ~18.4%.
  • Issued via: Two notifications late on Tuesday night; effective Wednesday.
  • Stated trigger: Impact of the West Asia crisis on India’s Current Account Deficit and forex reserves.
  • Recent context: PM Modi’s public appeal to citizens to reduce gold purchases for at least a year.
  • Tax breakdown:
ComponentPreviousNew
Basic Customs Duty5%10%
AIDC (Agriculture Infrastructure and Development Cess)1%5%
IGST (on assessable value incl. customs duty)3%3% (unchanged)
Effective total tax~9.2%~18.4%
  • Government rationale:
    • Prudent management” of external sector amid global crude oil volatility.
    • Prioritise forex for essential imports — crude oil, fertilisers, industrial raw materials, defence requirements, critical technologies, capital goods.
    • Gold/silver — though “culturally and financially significant” — are consumption and investment-driven and result in substantial forex outflow.

About the News

What has the government done?

It has doubled the effective import tax on gold and silver, from ~9.2% to ~18.4%, through two notifications that came into effect on Wednesday.

What is the new tax structure?

(a) Basic Customs Duty: raised from 5% to 10%. (b) AIDC: raised from 1% to 5%. (c) IGST: unchanged at 3% on the assessable value including customs duties. Effective total tax on imports: ~18.4%, up from ~9.2%.

Why has the government raised these duties?

To conserve foreign exchange in the face of rising crude oil prices and external sector pressures from the West Asia crisis. By making gold and silver imports costlier, the government wants to redirect forex to “essential” imports like crude, fertilisers, defence, critical technologies, and capital goods.

How does this link to PM Modi’s recent appeal?

PM Modi had urged citizens to reduce gold purchases for at least a year to help protect forex reserves and the rupee exchange rate. The duty hike is a policy backing for this appeal — making expensive gold more expensive in order to dampen demand.

Why is the West Asia crisis the trigger?

Because the conflict has caused volatility in crude oil markets and shipping routes. India, importing roughly 80–90% of its crude, faces a higher import bill, weaker rupee, wider CAD, and broader inflationary pressure — leaving little room for elevated non-essential imports.

Is the industry happy with the move?

No — jewellers, refiners, and trade associations have called it “retrograde” and “blunt”. They argue: (a) Demand is culturally driven — weddings, festivals, gifting — and is unlikely to fall significantly. (b) The hike will encourage smuggling, since black-market imports become more profitable. (c) Jewellery employment (a major source of informal sector jobs) will suffer as legitimate trade contracts.

Why does India consume so much gold?

India is one of the world’s largest gold consumers — accounting for around 20–25% of global demand annually. Gold is bought as: (a) Wedding and festival ornaments. (b) Investment / store of value — particularly in rural areas without easy banking access. (c) Inflation hedge. (d) Cultural and religious gifting.

What is the link with the Current Account Deficit (CAD)?

Gold imports are the second-largest contributor to India’s import bill after crude oil. A surge in gold imports widens the CAD, weakens the rupee, and reduces forex reserves. The duty hike is intended to squeeze gold imports and thereby narrow the CAD.

Has India tried this approach before?

Yes. India has periodically raised gold import duties during periods of CAD stress — most prominently in 2013 (during the “Taper Tantrum”) when import duty was raised to 10%. Effects historically have been mixed: while official imports declined, smuggling rose sharply.

What alternatives could India explore?

(a) Sovereign Gold Bonds (SGBs) — paper substitutes paying interest plus capital appreciation. (b) Gold Monetisation Scheme — bringing idle private gold into the financial system. (c) Gold ETFs and digital gold options. (d) Improving financial inclusion so people can store wealth in productive financial assets instead of gold.

Background Concepts

What is the Current Account Deficit (CAD)?

The CAD is the gap between a country’s total imports of goods, services, and net income/transfers, and its exports. A widening CAD signals rising import dependence or weakening exports, putting pressure on the currency and forex reserves.

What are the components of India’s import duty on gold?

(a) Basic Customs Duty (BCD): Levied under the Customs Tariff Act on imports. (b) Agriculture Infrastructure and Development Cess (AIDC): Introduced in Budget 2021-22, earmarked for agriculture infrastructure. (c) Integrated Goods and Services Tax (IGST): Levied on imports under the GST framework, payable on the assessable value plus customs duties.

What is the AIDC?

The Agriculture Infrastructure and Development Cess was introduced in the Union Budget 2021-22 as a dedicated cess on certain imports and select goods to fund infrastructure for agriculture. Being a cess, it is not part of the divisible pool of taxes with states.

Why does India rank so high in gold consumption?

Because of (a) deep cultural attachment — weddings, festivals like Akshaya Tritiya, Dhanteras; (b) historical mistrust of formal financial systems in rural areas; (c) gold as a hedge against inflation and currency depreciation; and (d) religious gifting and dowry traditions.

What are Sovereign Gold Bonds (SGBs)?

Government securities issued by the RBI on behalf of the Government of India, denominated in grams of gold. They pay a fixed interest rate (typically 2.5% per annum) in addition to capital appreciation linked to gold prices. They are a paper substitute for physical gold and aim to reduce gold imports.

What is the Gold Monetisation Scheme (GMS)?

Launched in 2015, the GMS allows individuals and institutions to deposit gold with banks and earn interest, with the gold being recycled into the banking system. It was designed to bring out idle private gold (estimated at over 20,000 tonnes in Indian households) into productive use.

What is the connection between gold imports and the rupee?

Because gold imports require substantial foreign exchange outflows, large imports increase demand for the US dollar and put downward pressure on the rupee. Conversely, lower gold imports help stabilise the rupee.

What happened in 2013 with gold duties?

During the “Taper Tantrum” of 2013, when global capital flowed out of emerging markets and the rupee fell sharply, India progressively raised gold import duty to 10% along with the “80:20” rule (linking imports to re-exports). Imports moderated, but smuggling rose, and most curbs were later relaxed.

What is the size of India’s gold imports?

India typically imports 600–900 tonnes of gold annually, worth several tens of billions of dollars — making gold one of its largest import items after crude oil.

Why is “smuggling” a concern when duties are raised?

Because as legal channels become more expensive, the arbitrage between international and domestic gold prices widens. This incentivises smuggling networks — via land borders, sea routes, and air passengers — leading to revenue loss, regulatory bypass, and even organised crime activity.

What was PM Modi’s recent appeal?

PM Modi urged citizens to voluntarily reduce gold purchases for at least a year as a contribution to conserving foreign exchange and protecting the rupee during the West Asia crisis.

Practice MCQs

Q1. With reference to the recent increase in import duty on gold and silver, consider the following statements:

  1. The effective tax rate on gold and silver imports has been doubled from about 9.2% to about 18.4%.
  2. The basic customs duty has been raised from 5% to 10%.
  3. The Agriculture Infrastructure and Development Cess (AIDC) has been raised from 1% to 5%.
  4. The IGST rate on these imports has been raised significantly along with customs duty.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about India’s gold consumption and imports:

  1. India is among the largest consumers of gold in the world.
  2. Gold is one of the largest components of India’s import bill after crude oil.
  3. Gold imports contribute significantly to widening the Current Account Deficit.
  4. India is a net exporter of gold to the world.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the Agriculture Infrastructure and Development Cess (AIDC), consider the following statements:

  1. It was introduced in the Union Budget 2021-22.
  2. It is dedicated to funding agriculture infrastructure.
  3. Being a cess, its proceeds are not shared with States from the divisible pool.
  4. It is levied only on imports of fertilisers.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about gold-related schemes in India:

  1. Sovereign Gold Bonds (SGBs) are issued by the RBI on behalf of the Government of India.
  2. The Gold Monetisation Scheme allows individuals to deposit gold with banks and earn interest.
  3. SGBs pay a fixed interest in addition to capital appreciation linked to gold prices.
  4. The Gold Monetisation Scheme was launched in 2010.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the IGST rate remains unchanged at 3% — only the customs duty and AIDC have been raised.
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; India is a major net importer (not exporter) of gold.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the AIDC applies to a range of imports and select goods (including gold, silver, alcoholic beverages, etc.) — not only fertilisers.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Gold Monetisation Scheme was launched in 2015, not 2010.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper I — Indian Economy (Taxation, Customs Duty, AIDC, CAD)
UPSC MainsGS Paper III — Indian Economy, External Sector, Taxation Policy
State PCSIndian Economy, Current Affairs
Banking (RBI Gr B, SBI PO, IBPS, NABARD)Banking & Economy — high importance
SEBI Grade AMacro-financial environment, capital flows
SSC / Insurance / RailwayStatic + Current GK on CAD, customs duty, AIDC, SGBs

2. Kimberley Process (KP) Intersessional Meeting in Mumbai

Context:

India has commenced the Kimberley Process (KP) Intersessional Meeting in Mumbai in its capacity as Chair of the Kimberley Process for 2026 — the third time India has held this prestigious role. The Kimberley Process is the world’s most comprehensive multi-stakeholder initiative — bringing together governments, the diamond industry, and civil society — to eliminate the trade in “conflict diamonds” (rough diamonds used by rebel movements to finance wars against legitimate governments).

Key Highlights

  • Event: Kimberley Process Intersessional Meeting commences in Mumbai.
  • India’s role: Chair of the Kimberley Process for 2026 (3rd time India is holding the chair).
  • Term assumed: 1 January 2026.
  • India’s 2026 theme: “3Cs — Credibility, Compliance, and Consumer Confidence”.
  • About the Kimberley Process (KP):
    • Multi-stakeholder initiative with governments, industry, and civil society.
    • Initiative began in May 2000 in Kimberley, South Africa.
    • KPCS adopted in November 2002; launched January 2003.
    • Established pursuant to UN General Assembly Resolution 55/56.
  • Stated purpose: Prevent conflict diamonds from entering mainstream trade and stop diamond purchases from funding violence or human rights abuses.
  • Key features of KPCS:
    • Statutory Certificate accompanying every rough-diamond shipment in tamper-resistant containers.
    • Trade restrictions — members cannot trade rough diamonds with non-members.
    • National legislation and internal controls required from each participant.
    • Working group review visits for compliance monitoring.
    • Statistical data sharing by member states for transparency.
  • India’s modernisation agenda (2026):
    • Digital, tamper-proof certificates.
    • Blockchain-based traceability to reduce fraud and improve supply-chain transparency.
  • Strategic context for India: India processes ~90% of the world’s rough diamonds in Surat, Gujarat, making it the largest cutting and polishing hub globally.

About the News

What event did India commence in Mumbai?

The Kimberley Process (KP) Intersessional Meeting — held in its capacity as Chair of the Kimberley Process for 2026.

What is the Kimberley Process?

The Kimberley Process is a multi-stakeholder international initiative — involving governments, the diamond industry, and civil society — designed to prevent the trade in conflict diamonds and ensure that diamond purchases do not fund violence or human rights abuses.

When was the Kimberley Process started?

The initiative was launched in May 2000 in Kimberley, South Africa. The Kimberley Process Certification Scheme (KPCS) was formally adopted in November 2002 and operationalised in January 2003.

Why was it created?

Because diamonds were being mined in conflict zones (notably Sierra Leone, Angola, DRC, Liberia, Côte d’Ivoire) and sold to fund rebel movements, prolonging civil wars and causing widespread human suffering. The international community — supported by UNGA Resolution 55/56 — created the KP to prevent “blood diamonds” from entering legitimate markets.

How does the Kimberley Process work?

(a) Every shipment of rough diamonds across borders must be in a tamper-resistant container with a government-validated KP Certificate. (b) Members cannot trade rough diamonds with non-members. (c) Each member must enact national laws and internal controls to prevent conflict diamonds from entering supply chains. (d) Working groups review compliance through periodic visits. (e) Members share statistical data to ensure transparency.

What is India’s 2026 theme as Chair?

India’s theme is the “3Cs — Credibility, Compliance, and Consumer Confidence” — focused on strengthening the integrity of certification, ensuring rigorous compliance, and building consumer trust in the global diamond trade.

How is India trying to modernise the system?

By pushing for: (a) Digital, tamper-proof certificates to replace paper-based KPCs. (b) Blockchain-based traceability to track diamonds across the supply chain. (c) Stronger data systems to reduce fraud and enhance transparency.

Why is India a natural leader in the KP?

Because India is the world’s largest hub for diamond cutting and polishing — particularly Surat (Gujarat), which processes about 90% of the world’s rough diamonds. India also has a long-standing role in diamond trade, jewellery design, and exports, making it a central node in the global diamond value chain.

What is the role of UNGA Resolution 55/56?

In December 2000, the UN General Assembly adopted Resolution 55/56, which called for the international community to develop a certification scheme for rough diamonds to break the link between illicit diamonds and armed conflict. The KPCS was the direct outcome of this resolution.

What is the link between the KP, livelihoods, and Africa?

Many African economies — Botswana, Namibia, DRC, Angola, South Africa, Sierra Leone — are heavily dependent on diamond mining for export earnings and rural livelihoods. By ensuring that legitimate diamond trade thrives, the KP supports jobs and incomes for millions in producing nations — even as it cuts off the rebel revenue stream.

What are the limitations of the KP?

(a) The KP defines “conflict diamonds” narrowly — only those linked to rebel movements against governments — and does not cover government violence, labour abuses, or environmental issues. (b) Smuggling and false certifications still occur. (c) Some major NGOs (e.g., Global Witness) have left the KP in the past, citing weak enforcement. (d) Lab-grown diamonds are emerging as an alternative but are outside KP’s scope.

Background Concepts

What are “conflict diamonds” or “blood diamonds”?

Rough diamonds that are mined in war zones and sold to finance armed conflict against legitimate governments. The term came into prominence during the civil wars in Sierra Leone, Angola, and the DRC in the 1990s, where rebel groups used diamonds to fund weapons purchases.

Who are the major diamond-producing countries?

By volume, the world’s largest producers include Russia, Botswana, Canada, the Democratic Republic of Congo (DRC), Angola, and South Africa. Russia and Botswana typically vie for the top spot in any given year.

Who is the major diamond-cutting hub?

India — particularly Surat in Gujarat — is the global hub for diamond cutting and polishing, handling about 90% of the world’s rough diamonds. The industry employs over a million people in Gujarat. Antwerp (Belgium) and Israel are other historic centres of the trade.

What was the trigger for the Kimberley Process?

Civil wars in Sierra Leone, Angola, Liberia, DRC, and Côte d’Ivoire in the 1990s, where rebel groups financed conflict through diamond exports. International outrage was further amplified by NGO reports, UN sanctions, and films like Blood Diamond (2006).

What is the Kimberley Process Certification Scheme (KPCS)?

The core operational instrument of the KP. The KPCS requires every shipment of rough diamonds to be certified by the exporting country as conflict-free, contained in tamper-resistant containers, and traded only with fellow participants.

How many countries are part of the KP?

The KP has over 80 participating countries, collectively representing more than 99.8% of global rough-diamond production and trade. India has been a key participant since the inception.

What is the structure of the KP?

The KP has:

  • An annual Chair (rotating among members).
  • A Plenary meeting and Intersessional meeting each year.
  • Working Groups on monitoring, diamond experts, statistics, alluvial mining, etc.
  • A secretariat (often informally hosted by the Chair country).

Where is the Kimberley region?

Kimberley is a city in the Northern Cape province of South Africa, famous for its historic diamond mines (including the “Big Hole”). It was chosen for the founding meeting in 2000 because of its historical association with the diamond industry.

What is the difference between KP certification and “ethical sourcing”?

KP certification is government-issued and covers conflict-free sourcing at the rough-diamond stage. Ethical sourcing is a broader, voluntary corporate concept that includes labour rights, environmental standards, community development, and human rights along the entire supply chain.

What is the role of lab-grown diamonds?

Lab-grown (synthetic) diamonds are manufactured in laboratories using High-Pressure High-Temperature (HPHT) or Chemical Vapor Deposition (CVD) processes. They are chemically identical to natural diamonds but carry no ethical risk of conflict sourcing. India is also a major hub for lab-grown diamonds.

What is the role of blockchain in diamond traceability?

Blockchain provides an immutable, distributed digital ledger that can track a diamond’s journey from mine to retail, with each stakeholder verifying transactions. Initiatives like De Beers’ Tracr and Everledger use blockchain to ensure traceability and authenticity — a model that India’s 2026 KP chairship seeks to mainstream within the KPCS itself.

Practice MCQs

Q1. With reference to the Kimberley Process and India’s role, consider the following statements:

  1. India is Chair of the Kimberley Process for 2026.
  2. India is holding the Kimberley Process chairship for the third time.
  3. India’s 2026 theme is “3Cs — Credibility, Compliance, and Consumer Confidence.”
  4. India seeks to introduce blockchain-based traceability under its chairship.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Kimberley Process Certification Scheme (KPCS):

  1. It was adopted in November 2002 and operationalised in January 2003.
  2. It was established pursuant to UN General Assembly Resolution 55/56.
  3. Every shipment of rough diamonds must be transported in a tamper-resistant container with a government-validated certificate.
  4. Members are allowed to trade rough diamonds with non-member countries.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. Consider the following statements about “conflict diamonds”:

  1. They refer to rough diamonds mined in war zones and sold to finance armed conflict.
  2. They came into international focus during civil wars in Sierra Leone, Angola, and DRC.
  3. The Kimberley Process defines “conflict diamonds” narrowly — only those linked to rebel movements against governments.
  4. Lab-grown diamonds fall under the scope of the Kimberley Process.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about India’s diamond industry:

  1. India is the world’s largest hub for diamond cutting and polishing.
  2. Surat, Gujarat is the major centre for diamond processing in India.
  3. India processes approximately 90% of the world’s rough diamonds.
  4. India is also the largest producer of rough diamonds in the world.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (d) — All four statements are correct.
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; under KPCS rules, members cannot trade rough diamonds with non-members — this is a core restriction of the scheme.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; lab-grown diamonds are outside the KP’s scope, as they are not naturally mined and don’t carry conflict-financing risks.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; India is the largest processing (cutting/polishing) hub but not the largest producer of rough diamonds — that is Russia or Botswana, depending on the year.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper II — International Organisations, India’s role; GS Paper III — Economy (Diamond industry)
UPSC MainsGS Paper II — India’s role in international organisations, bilateral and multilateral cooperation
State PCSInternational Organisations, Current Affairs
Banking (RBI Gr B, NABARD)Banking & Economy — moderate importance
SSC / Insurance / RailwayStatic + Current GK on Kimberley Process, India’s diamond industry, UN resolutions

3. The Union Minister for Earth Sciences has launched two path-breaking AI-enabled weather-forecasting products

Context:

The Union Minister for Earth Sciences has launched two path-breaking AI-enabled weather-forecasting products developed by the Ministry of Earth Sciences (MoES), designed to provide hyper-local, impact-based monsoon forecasts for 16 states and over 3,000 sub-districts (blocks). The systems mark a paradigm shift for Indian meteorology — moving from conventional broad-scale, district-level forecasts to site-specific, block-level, and even 1-km resolution rainfall predictions that can support real-time decision-making by farmers, urban planners, and disaster managers.

Key Highlights

  • Launched by: Union Minister, Ministry of Earth Sciences.
  • Coverage: 16 states and over 3,000 sub-districts (blocks).
  • Developing institutions:
    • India Meteorological Department (IMD).
    • Indian Institute of Tropical Meteorology (IITM), Pune.
    • National Centre for Medium Range Weather Forecasting (NCMRWF).
  • Predictive horizon: Up to 10 days ahead (with extended range up to 4 weeks for monsoon advance).

System 1: AI-enabled Forecast of Monsoon Advance

  • Resolution: Block-level (sub-district) — a first for India.
  • Coverage: 3,196 blocks across 15 states and 1 UT — primarily the rainfed monsoon core zone.
  • Updates: Weekly probabilistic forecasts up to 4 weeks in advance.
  • Mechanism: Blends ~100 years of IMD data, global weather models, and AI analytics.
  • Tracks monsoon progression from onset in Kerala.
  • Integration: Feeds directly into the Ministry of Agriculture’s advisory pipeline for sowing and irrigation decisions.

System 2: High Spatial Resolution Rainfall Forecast (UP Pilot)

  • System base: Derived from the Mithuna weather model.
  • Resolution: 1-km spatial resolution (downscaled from standard 12.5-km).
  • Predictive window: 10 days in advance.
  • Data sources: Dense network of Automatic Weather Stations (AWS), Doppler Weather Radars, and satellite datasets.
  • Pilot state: Uttar Pradesh.
  • Use cases: Urban planning, water resource management, disaster mitigation in densely populated regions.

About the News

What new tools has the Ministry of Earth Sciences launched?

Two AI-enabled monsoon forecasting platforms: (a) AI-enabled Forecast of Monsoon Advance — block-level forecasts up to 4 weeks in advance. (b) High Spatial Resolution Rainfall Forecast (UP Pilot) — 1-km resolution rainfall forecasts up to 10 days in advance.

Which institutions developed these systems?

The systems are a collaboration between three premier MoES bodies: IMD (India Meteorological Department), IITM (Indian Institute of Tropical Meteorology, Pune), and NCMRWF (National Centre for Medium Range Weather Forecasting).

What is the geographic coverage of the first system?

It covers 3,196 blocks across 15 states and 1 Union Territory, focusing on the rainfed monsoon core zone — the regions where agriculture is most dependent on the southwest monsoon.

What is special about the second system?

The High Spatial Resolution Rainfall Forecast is being piloted in Uttar Pradesh and provides rainfall predictions at 1-km resolution — far more granular than the conventional 12.5-km grid. It is derived from the Mithuna weather model.

What predictive horizon do these tools offer?

The monsoon advance system offers weekly updates up to 4 weeks in advance. The rainfall forecast system offers predictions up to 10 days in advance at 1-km resolution.

Why is block-level granularity important?

Because India’s agriculture is largely village-level decision-making — a forecast that says “rain in your district” is too broad for choosing when to sow, irrigate, or harvest. Block-level forecasts allow village-specific timing decisions, reducing crop loss from erratic rain.

Why was Uttar Pradesh chosen for the 1-km pilot?

UP is India’s most populous state with large agricultural belts, densely populated cities, and significant disaster exposure (floods, heat waves, droughts). It also benefits from a dense observational network that supports the higher resolution.

How does AI enhance traditional weather forecasting?

AI/ML can: (a) Detect patterns across vast historical and real-time datasets. (b) Downscale coarse model outputs to fine-grained predictions. (c) Provide probabilistic forecasts rather than deterministic single-point predictions. (d) Adapt and improve over time as more data is fed in. (e) Issue impact-based forecasts tailored to specific sectors (agriculture, water, urban management).

How does this help farmers specifically?

It enables them to: (a) Time sowing and irrigation based on expected rainfall. (b) Plan fertiliser and pesticide application to avoid wash-off. (c) Choose between short-duration and long-duration crop varieties. (d) Reduce input wastage and crop losses.

How does it help urban planners and disaster managers?

By providing localised rainfall predictions at city/neighbourhood scale, it supports: (a) Urban drainage and flood management. (b) Water reservoir operation. (c) Disaster mitigation for floods, heat events, and storms.

How does this fit into India’s broader weather modernisation push?

It is part of a wider initiative including Mission Mausam (a comprehensive scheme to upgrade India’s weather forecasting and climate services with investments in radars, supercomputers, and AI), Bharat Forecast System (BFS), and the expansion of the Doppler radar and Automatic Weather Station networks.

Background Concepts

What is the Ministry of Earth Sciences (MoES)?

A central ministry overseeing earth-system sciences in India — including atmospheric sciences (IMD, IITM, NCMRWF), oceanography (INCOIS, NIOT), geosciences, polar research, and seismology. It coordinates national capabilities in weather, climate, ocean, and disaster sciences.

What is the India Meteorological Department (IMD)?

Established in 1875, the IMD is India’s national meteorological service and the principal agency for weather forecasting, seismological observations, agro-meteorology, and aviation weather services. It functions under the Ministry of Earth Sciences.

What is the IITM?

The Indian Institute of Tropical Meteorology, Pune (established 1962) is an autonomous institute under MoES. It is the premier R&D body in atmospheric sciences, tropical meteorology, monsoon dynamics, and climate-change studies.

What is the NCMRWF?

The National Centre for Medium Range Weather Forecasting is an MoES institution at Noida that focuses on medium-range (3–10 day) weather forecasting using global numerical models. It also runs India’s GFS-based forecasting system.

What is the Indian Monsoon?

The Indian Monsoon refers to the seasonal reversal of winds bringing rainfall to the subcontinent. The Southwest (Summer) Monsoon — June to September — brings about 75% of India’s annual rainfall. The Northeast (Winter) Monsoon — October to December — primarily affects Tamil Nadu and the southern coast. The monsoon’s onset over Kerala is typically around 1 June.

What is the “monsoon core zone”?

The central Indian region — covering parts of MP, Chhattisgarh, Maharashtra, Odisha, and adjoining areas — that is largely rainfed and highly dependent on the southwest monsoon for agriculture. Variability here has the largest impact on national food production.

What is a Doppler Weather Radar (DWR)?

A specialised radar that detects precipitation type, intensity, motion, and storm rotation using the Doppler effect. India has been expanding its DWR network for better short-range, local-scale weather observation and now hosts dozens of DWRs across the country.

What are Automatic Weather Stations (AWS)?

Unmanned stations that automatically record meteorological parameters (temperature, humidity, rainfall, pressure, wind, solar radiation) and transmit data in real time. India has thousands of AWS supporting both research and operational forecasting.

What is the difference between deterministic and probabilistic forecasts?

A deterministic forecast says: “Rain will occur tomorrow.” A probabilistic forecast says: “There is a 70% chance of rain tomorrow, with expected rainfall of 20–30 mm.” Probabilistic forecasts quantify uncertainty and are increasingly preferred for risk-based decisions in agriculture, water, and disaster management.

What is “downscaling” in forecasting?

The process of converting coarse-resolution model outputs (e.g., 12.5 km) into finer-resolution predictions (e.g., 1 km) using statistical or dynamical methods. AI/ML now significantly enhances downscaling capabilities.

What is Mission Mausam?

A central scheme launched to modernise India’s weather and climate services, with major investments in Doppler radars, automatic weather stations, supercomputers, AI/ML, and climate research to make India’s forecasting capabilities world-class by 2026 and beyond.

Why is monsoon forecasting strategically important for India?

Because: (a) ~50% of India’s net sown area is rainfed. (b) Agriculture supports ~45% of employment. (c) Reservoir levels, hydropower, drinking water depend on monsoon. (d) Inflation (especially food) is closely linked to monsoon outcomes. (e) Disaster risk (floods, droughts) is monsoon-driven.

Practice MCQs

Q1. With reference to the AI-enabled monsoon forecasting platforms recently launched, consider the following statements:

  1. They have been developed by the Ministry of Earth Sciences.
  2. The “AI-enabled Forecast of Monsoon Advance” provides block-level probabilistic forecasts up to 4 weeks in advance.
  3. The High Spatial Resolution Rainfall Forecast offers rainfall forecasts at 1-km resolution.
  4. The platforms have been developed by the Ministry of Agriculture and Farmers’ Welfare.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about institutions involved in the AI-enabled forecasting platforms:

  1. The India Meteorological Department (IMD) was established in 1875.
  2. The Indian Institute of Tropical Meteorology (IITM) is based in Pune.
  3. The National Centre for Medium Range Weather Forecasting (NCMRWF) functions under the Ministry of Earth Sciences.
  4. All three institutions function under the Ministry of Science and Technology.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the Indian monsoon, consider the following statements:

  1. The Southwest Monsoon brings approximately 75% of India’s annual rainfall.
  2. The monsoon typically onsets over Kerala around 1 June.
  3. The Northeast Monsoon primarily affects Tamil Nadu and the southern coast.
  4. The “monsoon core zone” lies primarily in northern Himalayan states.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about weather forecasting technology in India:

  1. Doppler Weather Radars detect precipitation intensity, motion, and storm rotation.
  2. Automatic Weather Stations (AWS) record meteorological parameters and transmit them in real time.
  3. Probabilistic forecasts quantify the uncertainty of weather predictions.
  4. AI/ML cannot be used for “downscaling” coarse-resolution weather models to higher resolution.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the platforms have been developed by the Ministry of Earth Sciences (IMD, IITM, NCMRWF), not the Ministry of Agriculture, though they feed into agricultural advisories.
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the IMD, IITM, and NCMRWF all function under the Ministry of Earth Sciences, not the Ministry of Science and Technology.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the “monsoon core zone” lies in central India (parts of MP, Chhattisgarh, Maharashtra, Odisha, and adjoining areas) — not in the Himalayan states.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; AI/ML is now extensively used for downscaling coarse-resolution weather models to finer-resolution outputs — including in the very platforms being discussed.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper I — Geography (Monsoon); GS Paper III — Science & Technology, AI in Governance
UPSC MainsGS Paper III — Indian Economy (Agriculture), Disaster Management, S&T
BPSC / State PCSAgriculture, Geography, Science & Technology, Current Affairs
Banking (RBI Gr B, NABARD)Rural Economy, Agriculture — high importance
Forest / Agriculture / Environment examsCore area — IMD, monsoon, climate-resilient agriculture

3. 10th edition of the Indian Ocean Dialogue (IOD-10) in New Delhi

Context:

In May 2026, India hosted the 10th edition of the Indian Ocean Dialogue (IOD-10) in New Delhi from 7–8 May 2026, under the theme “Indian Ocean Region in a Transforming World”. The Dialogue was organised by the Ministry of External Affairs (MEA) in collaboration with the Indian Council of World Affairs (ICWA) and the IORA Secretariat. India currently holds the chairship of the Indian Ocean Rim Association (IORA) for 2025–27, giving this edition particular significance.

Key Highlights

  • Event: 10th Indian Ocean Dialogue (IOD-10).
  • Venue and dates: New Delhi, 7–8 May 2026.
  • Theme: Indian Ocean Region in a Transforming World.
  • Organising bodies:
    • Ministry of External Affairs (MEA).
    • Indian Council of World Affairs (ICWA).
    • IORA Secretariat.
  • India’s role at IORA: Chair of IORA for 2025–27.
  • Key dignitaries:
    • Union Minister Sarbananda Sonowal — Ministry of Ports, Shipping and Waterways.
    • Dhananjay Ramful — Minister of Regional Integration and International Trade, Republic of Mauritius.
    • Waleed Mohammed Al Qadimi — Minister of State, Republic of Yemen.
  • Highlight from Sonowal’s address: Women’s participation in India’s maritime sector has surged 340% since 2020.
  • India’s strategic vision:
    • MAHASAGARMutual and Holistic Advancement for Security and Growth Across Regions.
    • Neighbourhood First Policy — strengthening cooperation with immediate maritime and continental neighbours.
  • Underlying themes: Maritime security, blue economy, sustainable use of ocean resources, supply-chain resilience, climate adaptation, and regional cooperation.

About the News

What event did India recently host?

The 10th edition of the Indian Ocean Dialogue (IOD-10) in New Delhi, from 7–8 May 2026, under the theme “Indian Ocean Region in a Transforming World”.

Who organised the event?

It was organised by the Ministry of External Affairs (MEA) in collaboration with the Indian Council of World Affairs (ICWA) and the IORA Secretariat.

Why does India have a special role?

Because India currently holds the chairship of the Indian Ocean Rim Association (IORA) for the 2025–27 period, providing leadership in shaping the IOR agenda during a particularly transformative phase for global maritime security and trade.

Who were the key dignitaries at the inauguration?

(a) Union Minister Sarbananda Sonowal (India — Ports, Shipping & Waterways). (b) Dhananjay Ramful (Mauritius — Regional Integration and International Trade). (c) Waleed Mohammed Al Qadimi (Yemen — Minister of State).

What was the key data point shared by Sonowal?

That women’s participation in India’s maritime sector has surged by 340% since 2020 — a significant indicator of growing gender inclusion in a traditionally male-dominated sector.

What is the MAHASAGAR vision?

MAHASAGAR stands for “Mutual and Holistic Advancement for Security and Growth Across Regions” — India’s evolved maritime doctrine for the Indian Ocean and beyond. It builds on the earlier SAGAR (Security and Growth for All in the Region) doctrine, expanding its scope to include broader regional cooperation.

What is the Neighbourhood First policy?

A foreign-policy priority of India that emphasises deeper political, economic, security, and cultural ties with immediate land and maritime neighbours — including Bangladesh, Bhutan, Nepal, Sri Lanka, Maldives, Myanmar, Mauritius, Seychelles, and others.

Why is the IOR strategically important for India?

(a) India’s 7,500+ km coastline lies on the Indian Ocean. (b) Over 95% of India’s external trade by volume is maritime. (c) The IOR hosts critical sea lanes of communication (SLOCs) like the Strait of Hormuz, Bab-el-Mandeb, and Malacca. (d) India is central to peace and stability in the region. (e) Climate change, piracy, terrorism, and great-power competition all intersect in this ocean basin.

Why is the West Asia conflict particularly relevant to IOR discussions?

Because the conflict has triggered disruptions in the Strait of Hormuz and Red Sea shipping, affecting India’s oil, LPG, and trade flows. The IOD-10 took place against this backdrop, lending urgency to discussions on maritime security and supply chain resilience.

What is the broader significance of the IOD-10?

It signals India’s emergence as a central, agenda-setting player in the IOR — not only as a member but as chair of IORA, hosting key dialogues, advancing inclusive frameworks like MAHASAGAR, and building cooperative coalitions with both island and littoral nations.

Background Concepts

What is the Indian Ocean Rim Association (IORA)?

IORA is a regional intergovernmental organisation of 23 member states bordering the Indian Ocean, established in 1997. It promotes economic cooperation, maritime safety and security, fisheries, disaster management, tourism, blue economy, and trade among littoral states. Its secretariat is in Cyberjaya, Malaysia.

Who are the members of IORA?

The 23 members include: India, Australia, Bangladesh, Comoros, France (La Réunion), Indonesia, Iran, Kenya, Madagascar, Malaysia, Maldives, Mauritius, Mozambique, Oman, Seychelles, Singapore, Somalia, South Africa, Sri Lanka, Tanzania, Thailand, UAE, and Yemen. It also has several Dialogue Partners.

What is the Indian Ocean Dialogue (IOD)?

The Indian Ocean Dialogue is the flagship Track 1.5 (semi-official) dialogue of IORA, providing a platform for government officials, scholars, think tanks, and industry experts to deliberate on regional issues. IOD-10 in 2026 marked a decade of this engagement.

What is the Indian Council of World Affairs (ICWA)?

A think tank for foreign-policy research in India, established in 1943. It was given statutory status by an Act of Parliament in 2001. The Vice-President of India is its ex officio President. It plays a key role in policy research and Track-II dialogues.

What is the SAGAR doctrine?

SAGAR — “Security and Growth for All in the Region” — was articulated by Prime Minister Narendra Modi in 2015 in Mauritius as India’s maritime doctrine for the IOR. It emphasised: (a) Safeguarding India’s maritime interests. (b) Capacity building in friendly nations. (c) Sustainable development of the blue economy. (d) Collective action on maritime threats.

What is MAHASAGAR?

MAHASAGAR — “Mutual and Holistic Advancement for Security and Growth Across Regions” — is India’s evolved maritime vision that broadens the SAGAR doctrine to encompass deeper regional integration, holistic development, and strategic outreach beyond the IOR itself.

What are some key Indian initiatives in the IOR?

(a) SAGAR / MAHASAGAR doctrine. (b) Sagarmala (port-led development). (c) Maritime India Vision 2030. (d) Information Fusion Centre – Indian Ocean Region (IFC-IOR) at Gurugram for maritime domain awareness. (e) Mission SAGAR — humanitarian assistance during COVID-19. (f) Colombo Security Conclave with Sri Lanka, Maldives, Mauritius, Bangladesh (as observer). (g) Quad (with US, Japan, Australia) on Indo-Pacific issues.

What is “Maritime Domain Awareness (MDA)”?

The understanding of all activities in the maritime domain — shipping, fishing, illegal traffic, piracy, environmental hazards — that affect security, safety, economy, and the environment. India’s IFC-IOR is a key hub for sharing MDA information across the region.

What is the “Blue Economy”?

The sustainable use of ocean resources for economic growth, livelihoods, and ocean ecosystem health. It includes fisheries, shipping, marine tourism, offshore energy (oil, gas, renewables), seabed minerals, biotechnology, and marine research.

How does the IOR fit into the broader Indo-Pacific concept?

The Indo-Pacific is a strategic geographic construct linking the Indian and Pacific Oceans. The IOR is the western half of this construct. India has emphasised an Indo-Pacific that is free, open, inclusive, and rules-based, with the IOR as a critical component.

What is the significance of Mauritius and Yemen at IOD-10?

(a) Mauritius — Long-standing strategic partner in the western IOR; integral to India’s diaspora outreach and security cooperation. (b) Yemen — Located at the Bab-el-Mandeb strait, vital for Red Sea shipping; current site of conflict-related shipping disruptions; reinforces IOR security concerns.

Practice MCQs

Q1. With reference to the 10th Indian Ocean Dialogue (IOD-10), consider the following statements:

  1. It was hosted by India in New Delhi in May 2026.
  2. India currently holds the chairship of the Indian Ocean Rim Association (IORA) for 2025-27.
  3. The theme of IOD-10 was “Indian Ocean Region in a Transforming World.”
  4. It was organised by the Ministry of External Affairs in collaboration with ICWA and the IORA Secretariat.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Indian Ocean Rim Association (IORA):

  1. It is a regional intergovernmental organisation of 23 member states.
  2. It was established in 1997.
  3. Its secretariat is located in Mauritius.
  4. IORA member states include Mauritius, Yemen, Iran, and Australia.

Which of the above are correct? (a) 1, 2 and 4 only (b) 1, 2 and 3 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to India’s maritime policy frameworks, consider the following statements:

  1. The SAGAR doctrine — “Security and Growth for All in the Region” — was articulated in 2015.
  2. MAHASAGAR is the expanded version of the SAGAR vision.
  3. Sagarmala is a flagship programme for port-led development in India.
  4. The Information Fusion Centre – Indian Ocean Region (IFC-IOR) is located in Mumbai.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about institutions and frameworks related to India’s foreign policy:

  1. The Indian Council of World Affairs (ICWA) is a statutory body under an Act of Parliament.
  2. The Vice-President of India is the ex officio President of the ICWA.
  3. The Colombo Security Conclave includes India, Sri Lanka, Maldives, and Mauritius.
  4. India’s Neighbourhood First policy emphasises ties with immediate land and maritime neighbours.

Which of the above are correct? (a) 1, 2 and 4 only (b) 1, 2, 3 and 4 only (c) 2 and 3 only (d) 1 and 4 only (e) All four

Answer Key

  1. (d) — All four statements are correct.
  2. (a) — Statements 1, 2, 4 are correct. Statement 3 is wrong; the IORA Secretariat is located in Cyberjaya, Malaysia, not Mauritius.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the IFC-IOR is located in Gurugram, Haryana, not Mumbai.
  4. (b) — All four statements are correct.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper II — International Organisations (IORA), India’s bilateral relations
UPSC MainsGS Paper II — India’s foreign policy, Bilateral & multilateral relations, IOR
State PCSInternational Affairs, Current Affairs
Banking (RBI Gr B, NABARD)Indian Economy, External Sector — moderate importance
SSC / Insurance / RailwayStatic + Current GK on IORA, MEA, ICWA, SAGAR, Indian Ocean

4. India’s first Integrated Carbon Capture, Utilisation and Storage (CCUS) field laboratory facility

Context:

In May 2026, Union Education Minister Dharmendra Pradhan inaugurated India’s first Integrated Carbon Capture, Utilisation and Storage (CCUS) field laboratory facility at the Indian Institute of Technology Bombay (IIT-B), Mumbai, under the Bharat Innovates 2026 flagship. The facility is a landmark step in India’s climate technology landscape — it is the country’s first end-to-end pilot-scale platform that integrates Carbon Capture and Utilisation (CCU) with Geological CO₂ Sequestration (GCS) in basalt formations, and includes India’s first pilot-scale scientific drilling initiative to assess CO₂ storage potential in the Deccan Traps — among the world’s largest basaltic provinces.

Key Highlights

  • Inaugurated by: Union Education Minister Dharmendra Pradhan.
  • Date and venue: May 2026, IIT Bombay, Mumbai, Maharashtra.
  • Flagship platform: Bharat Innovates 2026.
  • What it is: India’s first Integrated CCUS field laboratory facility — an end-to-end pilot-scale platform.
  • Integrates:
    • Carbon Capture and Utilisation (CCU).
    • Geological CO₂ Sequestration (GCS) in basalt formations.
  • Pilot drilling: India’s first pilot-scale scientific drilling initiative to study CO₂ storage in the Deccan Traps.
  • Scaled up by: UrjanovaC — a deep-tech venture incubated at the Society for Innovation & Entrepreneurship (SINE), IIT-B, featured in Bharat Innovates 2026.
  • Capture technology:
    • Aqueous-based CO₂ capture.
    • Captures CO₂ from ambient air and industrial emissions.
    • Uses non-potable water sources — industrial effluents and seawater.
  • Captured CO₂ converted into: High-purity carbonate and bicarbonate salts.
  • End-use sectors: Steel, cement, petrochemicals, pharmaceuticals.

About the News

What did Union Minister Dharmendra Pradhan inaugurate at IIT Bombay?

He inaugurated India’s first Integrated Carbon Capture, Utilisation and Storage (CCUS) field laboratory facility under the Bharat Innovates 2026 flagship — at IIT Bombay.

What makes this facility unique?

It is India’s first end-to-end pilot-scale platform that integrates: (a) Carbon Capture and Utilisation (CCU). (b) Geological CO₂ Sequestration (GCS) in basalt formations. It also includes the country’s first pilot-scale scientific drilling initiative to assess CO₂ storage potential in the Deccan Traps.

Who is behind the technology?

The technology has been scaled up by UrjanovaC, a deep-tech start-up incubated at the Society for Innovation & Entrepreneurship (SINE), IIT-B, and recognised among the leading start-ups in Bharat Innovates 2026.

How does the capture process work?

It uses advanced aqueous-based CO₂ capture methods that can absorb CO₂ from: (a) Ambient air (Direct Air Capture). (b) Industrial emissions (e.g., from steel, cement plants). A key innovation: it uses non-potable water sources like industrial effluents and seawater, rather than fresh water — making the process resource-efficient.

What happens to the captured CO₂?

The captured CO₂ is converted into high-purity carbonate and bicarbonate salts, which can be directly used in steel, cement, petrochemicals, and pharmaceuticals. This means CO₂ is recycled into industrial value rather than just stored.

Why is the Deccan Traps location important?

The Deccan Traps — one of the world’s largest basalt provinces, covering large parts of Maharashtra, Madhya Pradesh, and Gujarat — has excellent geological characteristics for CO₂ mineralisation. Basalt rock reacts with CO₂ in water to form stable carbonate minerals, permanently locking away the carbon.

What is the global precedent for basalt sequestration?

Iceland’s CarbFix project has demonstrated that CO₂ injected into basalt can be converted into stable carbonate minerals in less than two years — far faster than conventional sedimentary CO₂ storage. India’s Deccan Traps offer a similar opportunity at a much larger scale.

How does this fit into India’s climate strategy?

India has committed to: (a) Net-zero emissions by 2070. (b) Reducing emissions intensity of GDP by 45% by 2030 (over 2005 levels). (c) Sourcing 50% of installed electric power from non-fossil sources by 2030. CCUS is a critical technology to decarbonise hard-to-abate sectors like steel and cement, where emissions cannot be fully eliminated by renewable energy.

What is the broader significance?

This facility represents the convergence of climate tech, deep science, and industrial innovation — and demonstrates how India’s academic institutions (IIT-B), incubators (SINE), and start-ups (UrjanovaC) can build commercially viable climate solutions with global potential.

Background Concepts (Q&A)

What is CCUS (Carbon Capture, Utilisation and Storage)?

A set of technologies that: (a) Capture CO₂ from industrial emissions or directly from the atmosphere. (b) Utilise the captured CO₂ in valuable products (carbonates, fuels, chemicals). (c) Sequester (store) the rest in geological formations or other long-term sinks.

What is the difference between CCS and CCUS?

CCS (Carbon Capture and Storage) — focuses on capturing and storing CO₂ underground. CCUS (Carbon Capture, Utilisation and Storage) — adds a utilisation step that converts captured CO₂ into useful products (chemicals, building materials, fuels), creating economic value.

What are the Deccan Traps?

The Deccan Traps are one of the largest volcanic basaltic provinces on Earth, formed by massive lava flows ~66 million years ago around the time of the Cretaceous–Paleogene extinction. They cover about 500,000 km² of central and western India, including most of Maharashtra. Basalt rock is chemically reactive with CO₂, making the Deccan a prime candidate for mineral carbonation sequestration.

What is mineralisation in carbon sequestration?

The process by which CO₂ reacts with calcium, magnesium, and iron silicates in rocks like basalt to form stable carbonate minerals — locking the carbon away permanently. It is one of the most secure forms of CO₂ storage.

What is Direct Air Capture (DAC)?

A technology that directly removes CO₂ from ambient air using chemical processes. Unlike industrial-emission capture, DAC can be located anywhere, and addresses the already-accumulated CO₂ in the atmosphere — not just new emissions.

What is IIT Bombay’s SINE?

SINE — Society for Innovation and Entrepreneurship — is the technology business incubator at IIT Bombay. Set up in 2004, it supports early-stage technology start-ups by providing infrastructure, mentorship, funding linkages, and networks. It has incubated over 150 start-ups across sectors.

What is “Bharat Innovates 2026”?

A flagship initiative showcasing India’s deep-tech start-ups in areas like clean energy, climate technology, advanced manufacturing, and AI. UrjanovaC is among the highlighted start-ups in 2026.

What is India’s net-zero target?

At COP26 (Glasgow, 2021), India committed to net-zero emissions by 2070 — meaning a balance between greenhouse gas emissions and removals from the atmosphere. India also committed to reducing emissions intensity of GDP and increasing non-fossil power capacity.

What is the Paris Agreement?

A legally binding international treaty on climate change adopted at COP21 in Paris (2015). It aims to limit global warming to well below 2°C above pre-industrial levels, and pursue efforts to limit it to 1.5°C. Each country submits Nationally Determined Contributions (NDCs) spelling out its climate actions.

Which Indian sectors are “hard-to-abate”?

Sectors where emissions cannot be fully eliminated by switching to renewable energy alone — including steel, cement, fertilisers, petrochemicals, and aviation/shipping. These sectors rely on high-temperature processes or chemistry that generates inherent CO₂. CCUS is critical to decarbonising them.

Why is water-source flexibility important for CCUS?

Because traditional capture methods may rely on freshwater, which is scarce in many industrial regions. The IIT-B facility’s use of industrial effluents and seawater addresses a key sustainability concern — decoupling carbon capture from freshwater stress.

What are some Indian climate initiatives related to CCUS?

(a) NITI Aayog’s CCUS Policy Framework (2022) — outlined India’s approach to deploying CCUS at scale. (b) Carbon Markets Bill / CCTS (Carbon Credit Trading Scheme). (c) National Hydrogen Mission. (d) National Mission for Enhanced Energy Efficiency (PAT scheme). (e) LiFE — Lifestyle for Environment movement.

Practice MCQs

Q1. With reference to India’s first Integrated CCUS field laboratory facility, consider the following statements:

  1. It was inaugurated by Union Minister Dharmendra Pradhan at IIT Bombay.
  2. It integrates Carbon Capture and Utilisation (CCU) with Geological CO₂ Sequestration in basalt formations.
  3. It includes India’s first pilot-scale scientific drilling initiative to assess CO₂ storage in the Deccan Traps.
  4. The technology has been scaled up by UrjanovaC, a start-up incubated at IIT Bombay.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Deccan Traps:

  1. They are one of the largest basaltic volcanic provinces in the world.
  2. They were formed by massive lava flows around 66 million years ago.
  3. Basalt rocks are chemically reactive with CO₂, making them suitable for mineral carbonation.
  4. The Deccan Traps lie primarily in the eastern Himalayan region of India.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to Carbon Capture, Utilisation and Storage (CCUS) technologies, consider the following statements:

  1. CCS focuses primarily on capturing and storing CO₂, while CCUS also includes utilisation.
  2. Direct Air Capture (DAC) removes CO₂ from ambient air.
  3. CCUS is particularly relevant for hard-to-abate sectors like steel and cement.
  4. CCUS captures CO₂ only after combustion in power plants.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about India’s climate commitments:

  1. India has committed to net-zero emissions by 2070.
  2. India aims to source 50% of installed electric power from non-fossil sources by 2030.
  3. India’s net-zero commitment was announced at COP26 in Glasgow.
  4. The Paris Agreement aims to limit global warming to well below 1°C above pre-industrial levels.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (d) — All four statements are correct.
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Deccan Traps lie in central and western India (covering Maharashtra, Madhya Pradesh, Gujarat) — not the eastern Himalayan region.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; CCUS includes various capture methods — pre-combustion, post-combustion, oxy-fuel, and Direct Air Capture (DAC) — not just post-combustion in power plants.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Paris Agreement aims to limit warming to well below 2°C above pre-industrial levels, with efforts to limit it to 1.5°C — not 1°C.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper III — Environment, S&T, Climate Change, CCUS; GS Paper I — Geography (Deccan Traps)
UPSC MainsGS Paper III — Environment, Climate Change, S&T, Industrial Decarbonisation
State PCSEnvironment, S&T, Current Affairs
Banking (RBI Gr B, NABARD)ESI / Environment & Sustainability — moderate importance
SSC / Insurance / RailwayStatic + Current GK on CCUS, Deccan Traps, IIT Bombay, climate commitments

5. Flagrant Violations’ of Tribal Rights in Great Nicobar Projects: Jairam Ramesh Writes to Minister Jual Oram

Context of the News

The Tribal Council of Little and Great Nicobar has flagged serious violations of the Forest Rights Act (FRA), 2006 in the Union government’s notification of three new wildlife sanctuaries in the Nicobar archipelago — on Little Nicobar Island, Menchal Island, and Meroe Island. These sanctuaries were notified by the Centre in October 2022 to compensate for the ecological impact of the ₹92,000-crore Great Nicobar Island (GNI) Project — a massive infrastructure programme to build an international container transhipment port, airport, and greenfield tourist township on the southernmost island, expected to affect coral colonies and the nesting habitats of the leatherback turtle and Nicobar megapode.

Key Highlights

  • Issue: Three new wildlife sanctuaries notified by Centre in Nicobar; tribal council says FRA violated.
  • Sanctuaries (notified October 2022):
    • Leatherback Turtle Sanctuary — parts of Little Nicobar Island.
    • Megapode Sanctuary — entire Menchal Island.
    • Coral Sanctuary — entire Meroe Island.
  • Background trigger: ₹92,000-crore Great Nicobar Island (GNI) project:
    • International container transhipment port.
    • Airport.
    • Greenfield tourist township.
    • Will impact coral colonies, leatherback turtle, and Nicobar megapode habitats.
  • Tribal council’s grievances:
    • No prior consultation with community since August 2022.
    • Sites of high cultural and spiritual significance — believed to be homes of ancestral spirits.
    • Encroaches on pre-existing rights — ritual hunts, plantations, ancestor worship, wildlife conservation.
    • Council Chairman only informed of his committee inclusion a month later.
  • Tribal council’s demand: Revoke the sanctuary notifications; dissolve the eco-sensitive zone committee.

About the News

What is the recent grievance raised by the Nicobarese?

The Tribal Council of Little and Great Nicobar has objected to the Centre’s notification of three wildlife sanctuaries — on Little Nicobar, Menchal, and Meroe islands — alleging violation of the Forest Rights Act (FRA) through lack of community consultation.

What are the three sanctuaries in question?

(a) Leatherback Turtle Sanctuary — covering parts of Little Nicobar Island. (b) Megapode Sanctuary — covering the entire Menchal Island. (c) Coral Sanctuary — covering the entire Meroe Island.

Why did the government notify these sanctuaries?

The sanctuaries were notified in October 2022 to conserve coral colonies and nesting habitats for the leatherback turtle and Nicobar megapode, whose existing habitats on Great Nicobar Island would be impacted by the ₹92,000-crore GNI infrastructure project (port, airport, township).

What is the cultural significance of these islands for the Nicobarese?

The Nicobarese consider Meroe and Menchal islands as sites of high cultural and spiritual significance — believed to be homes of ancestral spirits. They have traditionally exercised rights there for ritual hunts, plantations, worship, and conservation.

What is the Tribal Council demanding?

(a) Revocation of the wildlife sanctuary notifications. (b) Dissolution of the committee on eco-sensitive zones. (c) Restoration of community rights under the Forest Rights Act.

How did the A&NI administration respond?

In May 2025, it issued a “clarification” that the sanctuaries would not affect hunting rights conferred on STs of Nicobar Islands — a response the council finds inadequate as it doesn’t address the broader question of consent.

What did Jairam Ramesh say in his letter to the Tribal Affairs Minister?

The former Environment Minister argued that: (a) Consent under the FRA for the GNI project should have been from the Tribal Council, not from Gram Sabhas. (b) The government-controlled Andaman Adim Janjati Vikas Samiti could not validly grant consent on behalf of the Shompen (a PVTG). (c) The clearances granted under the FRA should be withdrawn.

Why is this case considered important?

Because it raises fundamental questions about: (a) Indigenous community consent in major development projects. (b) Whether compensatory conservation (creating sanctuaries elsewhere) can be done without violating tribal rights. (c) The role of statutory bodies versus elected village-level institutions in granting consent under FRA. (d) Protection of PVTGs in development planning.

What is the connection with the Great Nicobar Island project?

The wildlife sanctuaries were explicitly created as a conservation compensation mechanism for the ecological impact of the GNI project. Hence, scrapping or modifying the sanctuaries has implications for the environmental clearance of the GNI project itself.

What does the Calcutta High Court angle add?

The HC is hearing challenges to the GNI project over alleged FRA violations in obtaining tribal consent. A ruling against the project could have major implications for both the GNI development and the legitimacy of the three sanctuaries that depend on it.

Background Concepts

Where are the Nicobar Islands?

The Nicobar Islands are part of the Andaman and Nicobar Islands, a Union Territory of India in the Bay of Bengal near the Strait of Malacca. They are administratively divided into three districts; the Nicobar district includes islands like Great Nicobar, Little Nicobar, Car Nicobar, Katchal, Nancowry, Camorta, Meroe, Menchal, and Indira Point — the southernmost point of India.

Who are the Nicobarese?

The Nicobarese are the largest indigenous group in the Nicobar Islands, primarily of Mongoloid stock. They are organised into traditional councils (Tuhets) and are recognised as Scheduled Tribes under the Constitution.

Who are the Shompen?

The Shompen are a Particularly Vulnerable Tribal Group (PVTG) living mainly in the interior forests of Great Nicobar Island. They are semi-nomadic, forest-dependent, and have very limited contact with the outside world. Their estimated population is in the few hundreds.

What is the Forest Rights Act, 2006?

The Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 recognises the individual and community rights of forest-dwelling Scheduled Tribes and Other Traditional Forest Dwellers over forest land and resources they have traditionally inhabited and used. It also requires their free, prior, and informed consent before forest land can be diverted for non-forest purposes.

What is the role of the Gram Sabha under the FRA?

The Gram Sabha is the primary authority under the FRA — it identifies and recommends individual and community rights claims, and consent from the Gram Sabha is required for diversion of forest land for major projects. In Schedule V and tribal areas, this consent is critical.

What is the Andaman Adim Janjati Vikas Samiti (AAJVS)?

A state-managed welfare organisation set up by the A&NI administration for the welfare and protection of the primitive tribal groups of the islands — including the Shompen, Onge, Jarawa, Sentinelese. Its role has often been debated: protective body or government-controlled gatekeeper?

What is the Great Nicobar Island (GNI) project?

A ₹72,000–92,000 crore mega-infrastructure project approved in 2022, comprising: (a) An International Container Transhipment Terminal (ICTT). (b) A Greenfield International Airport. (c) A Power Plant (gas-based). (d) A Township and tourism complex. It is conceived as a strategic and commercial hub in the eastern Indian Ocean, near the Strait of Malacca.

Why are leatherback turtles and Nicobar megapodes ecologically significant?

Leatherback turtles (Dermochelys coriacea) are the largest sea turtles in the world, classified as Vulnerable by IUCN. The Nicobar Islands are among their most important nesting sites in the Indian Ocean. The Nicobar Megapode (Megapodius nicobariensis) is a ground-dwelling bird endemic to the Nicobar Islands, classified as Vulnerable by IUCN. They build large incubation mounds for their eggs and are particularly vulnerable to habitat loss and disturbance.

What are Eco-Sensitive Zones (ESZs)?

Eco-Sensitive Zones are areas around protected areas (national parks and wildlife sanctuaries) that act as buffer zones. Activities like mining, large industries, and unregulated tourism are restricted in ESZs, which are notified under the Environment (Protection) Act, 1986.

What is the Wildlife (Protection) Act, 1972?

A central law for the protection of wild animals, birds, and plants in India. It provides for the creation of National Parks, Wildlife Sanctuaries, Conservation Reserves, and Community Reserves, and lists threatened species in Schedules with varying levels of protection.

Why is consent-based decision-making contested in tribal areas?

Because standard consent mechanisms (Gram Sabha-based) may not always align with traditional tribal governance (Tribal Councils, customary leaders), and government-controlled bodies may not represent the genuine voice of the community. Specially for PVTGs, who may have limited engagement with formal institutions, the question of who can validly consent is central.

Practice MCQs

Q1. With reference to the three wildlife sanctuaries notified in the Nicobar Islands, consider the following statements:

  1. They are located on Little Nicobar, Menchal, and Meroe islands.
  2. They include a Leatherback Turtle Sanctuary, a Megapode Sanctuary, and a Coral Sanctuary.
  3. They were notified in October 2022 to compensate for ecological impacts of the Great Nicobar Island project.
  4. The Tribal Council of Little and Great Nicobar has supported the notification.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Forest Rights Act, 2006:

  1. It recognises both individual and community rights of forest-dwelling Scheduled Tribes and Other Traditional Forest Dwellers.
  2. It requires the consent of Gram Sabhas before forest land can be diverted for non-forest purposes.
  3. It is implemented by the Ministry of Environment, Forest and Climate Change.
  4. It is meant to “undo the historical injustice” to forest-dwelling communities.

Which of the above are correct? (a) 1, 2 and 4 only (b) 1, 3 and 4 only (c) 2 and 3 only (d) 1 and 4 only (e) All four

Q3. Consider the following statements about indigenous communities of the Andaman and Nicobar Islands:

  1. The Nicobarese are the largest indigenous group of the Nicobar Islands.
  2. The Shompen are a Particularly Vulnerable Tribal Group (PVTG) living mainly in Great Nicobar Island.
  3. The Andaman Adim Janjati Vikas Samiti is a tribal welfare body under the A&NI administration.
  4. The Jarawa and Sentinelese are tribes of the Nicobar Islands.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about wildlife and conservation in the Nicobar Islands:

  1. The Nicobar megapode is endemic to the Nicobar Islands.
  2. Leatherback turtles are classified as Vulnerable by the IUCN.
  3. Coral reefs in the Nicobar Islands suffered significant damage during the 2004 Indian Ocean tsunami.
  4. The Nicobar megapode is classified as Critically Endangered by the IUCN.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Tribal Council has opposed, not supported, the notification — calling for it to be revoked.
  2. (a) — Statements 1, 2, 4 are correct. Statement 3 is wrong; the Forest Rights Act is implemented by the Ministry of Tribal Affairs, not the Ministry of Environment, Forest and Climate Change.
  3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Jarawa and Sentinelese are tribes of the Andaman Islands, not the Nicobar Islands.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Nicobar megapode is classified as Vulnerable by the IUCN, not Critically Endangered.

Exam Relevance

ExamRelevance
UPSC PrelimsGS Paper II — Constitutional provisions for STs, Forest Rights Act; GS Paper III — Environment, Biodiversity, Conservation
UPSC MainsGS Paper II — Welfare of vulnerable sections (STs, PVTGs), Federalism, Indigenous rights
BPSC / State PCSGeography, Polity, Tribal welfare, Current Affairs
Banking (RBI Gr B, NABARD)ESI / Economic and Social Issues — important for environment & social section
Forest Services (IFoS)Core area — wildlife sanctuaries, FRA, indigenous-conservation conflicts

Banking/Finance

1. RBI cancels licence of Mumbai-based Sarvodaya Co-operative Bank

Source: ET

Context of the News

In May 2026, the Reserve Bank of India (RBI) cancelled the banking licence of Mumbai-based Sarvodaya Co-operative Bank Limited, with effect from 12 May 2026, invoking Sections 22(4) and 56 of the Banking Regulation Act, 1949. The cancellation was triggered by the bank’s inadequate capital, weak earning prospects, inability to fully repay depositors, and non-compliance with capital adequacy and licensing requirements under Sections 11(1) and 22(3) of the Act.

Key Highlights

  • Action: RBI cancelled the banking licence of Sarvodaya Co-operative Bank Limited, Mumbai.
  • Effective date: 12 May 2026.
  • Legal basis: Sections 22(4) and 56 of the Banking Regulation Act, 1949.
  • Reasons cited:
    • Inadequate capital and weak earning prospects.
    • Inability to fully repay depositors.
    • Non-compliance with Sections 11(1) and 22(3) (capital adequacy and licensing requirements).
  • Winding-up procedure:
    • RBI directed Maharashtra Registrar of Co-operative Societies (RCS) to start the winding-up process.
    • Liquidator to be appointed.
  • Operational restrictions imposed:
    • No fresh deposits.
    • No repayment of deposits.
    • All banking operations halted.
  • Depositor protection:
    • DICGC insurance cover of up to ₹5 lakh per depositor per bank.
    • Cover applies to principal and interest on savings, current, fixed, and recurring deposits.
  • Broader context: Continued cleanup of weak urban co-operative banks, in line with post-2020 BR Act amendments that strengthened RBI’s regulatory hand.

About the News (Q&A)

Which bank had its licence cancelled, and by whom?

The RBI cancelled the licence of Sarvodaya Co-operative Bank Limited (Mumbai) with effect from 12 May 2026.

Under which provisions was the licence cancelled?

Under Sections 22(4) and 56 of the Banking Regulation Act, 1949. The bank had also breached Sections 11(1) (capital requirements) and 22(3) (licensing requirements) of the Act.

What were the specific reasons cited by RBI?

(a) Inadequate capital and weak earning prospects. (b) Inability to fully repay current and future depositors. (c) Non-compliance with regulatory requirements on capital adequacy and licensing. (d) Continuation of the bank would have been prejudicial to depositor interests.

What happens after the licence is cancelled?

(a) The bank ceases all banking operations — no deposits, no repayments. (b) The Maharashtra Registrar of Co-operative Societies (RCS) initiates the winding-up process. (c) A liquidator is appointed. (d) Eligible depositors receive insurance compensation from DICGC.

How are depositors protected?

Through the Deposit Insurance and Credit Guarantee Corporation (DICGC), which insures deposits up to ₹5 lakh per depositor per bank. This covers principal and interest on savings, current, fixed, and recurring deposits.

What is the role of the Maharashtra RCS?

As co-operative societies fall under State legislation, the Registrar of Co-operative Societies at the state level is responsible for the formal winding-up and liquidation of co-operative banks once the RBI cancels their licence.

Why does RBI take such action?

Because once a bank loses the capacity to honour deposits, allowing it to continue operating only worsens depositor losses. The RBI’s action freezes the situation and triggers the DICGC’s insurance machinery to compensate depositors quickly.

How does this fit into the wider regulatory trend?

Following the PMC Bank crisis (2019) and similar episodes, the Banking Regulation (Amendment) Act, 2020 strengthened RBI’s powers over co-operative banks — including governance, audits, supersession of boards, and licensing. The RBI has since cancelled the licences of several weak urban co-operative banks to protect depositor interests and clean up the sector.

Are depositors with more than ₹5 lakh at risk?

Yes — any amount above ₹5 lakh per depositor is not covered by DICGC insurance and depends on the recovery during liquidation of the bank’s assets. This is one reason the RBI advises depositors to diversify across banks for safety.

Background Concepts (Q&A)

What are co-operative banks in India?

Co-operative banks are member-owned financial institutions established under state co-operative societies legislation (or the Multi-State Co-operative Societies Act, 2002). They serve specific communities, regions, or trades, and combine co-operative ownership with banking activities.

What is the structure of co-operative banks?

Indian co-operative banks broadly fall into: Urban Co-operative Banks (UCBs) — operating in urban/semi-urban areas; can be single-state or multi-state. Rural Co-operative Banks:

  • Short-term structure: State Co-operative Banks (StCBs) → District Central Co-operative Banks (DCCBs) → Primary Agricultural Credit Societies (PACS).
  • Long-term structure: State Co-operative Agriculture & Rural Development Banks (SCARDBs) → Primary Co-operative Agriculture & Rural Development Banks (PCARDBs).

Who regulates co-operative banks in India?

A dual control structure: Banking functions: Regulated by the RBI (and NABARD for rural co-operatives). Co-operative functions (registration, governance): Regulated by state Registrars of Co-operative Societies (or the Central Registrar for multi-state co-operatives).

What was the Banking Regulation (Amendment) Act, 2020?

A law that significantly expanded RBI’s powers over co-operative banks, particularly UCBs: (a) Brought them under RBI’s banking regulation framework. (b) Empowered the RBI to supersede co-operative bank boards. (c) Tightened audit, governance, and capital norms. (d) Helped align co-operative banks more closely with commercial banks on prudential standards.

What is the Banking Regulation Act, 1949?

The principal law governing banking in India. It defines what constitutes banking business, regulates licensing, capital adequacy, management, supervision, mergers, winding-up, and gives the RBI extensive powers to issue directions, conduct inspections, and impose penalties.

What are Sections 11, 22, and 56 of the BR Act?

Section 11(1): Requires banking companies to have minimum paid-up capital and reserves. Section 22: Deals with licensing of banking companies by the RBI, including conditions for issuance, refusal, and cancellation. Section 56: Adapts the BR Act for co-operative societies — i.e., the modifications under which it applies to co-operative banks.

What is the Deposit Insurance and Credit Guarantee Corporation (DICGC)?

A wholly-owned subsidiary of the RBI, established under the DICGC Act, 1961. It provides deposit insurance to depositors of all commercial banks (including foreign banks operating in India), regional rural banks, and co-operative banks. The cover was raised to ₹5 lakh per depositor per bank in 2020 (from ₹1 lakh earlier).

What kinds of deposits does DICGC insure?

DICGC insurance covers savings, current, fixed, and recurring deposits — including principal and interest — up to ₹5 lakh per depositor per bank. The cover is automatic and does not require any separate enrolment by depositors.

What was the PMC Bank case?

In 2019, the Punjab and Maharashtra Co-operative (PMC) Bank crisis exposed massive fraud and governance failures in a major urban co-operative bank, triggering depositor losses and public outrage. The crisis directly led to: (a) The 2020 BR Act amendment. (b) Doubling of DICGC cover from ₹1 lakh to ₹5 lakh. (c) Faster claim disbursal mechanisms.

What is “winding-up” in the banking context?

The formal process of closing down a financial institution, including: (a) Realising its assets. (b) Settling its liabilities in a defined order of priority. (c) Distributing residual amounts to shareholders/members. For co-operative banks, the state RCS typically conducts the winding-up after RBI’s licence cancellation.

Why have urban co-operative banks been under stress?

(a) Weak governance and politicised boards. (b) Limited geographical and product diversification. (c) Concentration risk in lending. (d) Inadequate capital. (e) Historically dual control regulatory ambiguity (now partly resolved).

What is the constitutional status of co-operatives in India?

The 97th Constitutional Amendment Act, 2011 added: (a) Article 19(1)(c) — right to form co-operative societies. (b) Article 43B — promotion of co-operatives as a Directive Principle. (c) Part IX-B — provisions for governance of co-operative societies. The Ministry of Co-operation, created in 2021, is the central nodal ministry for the sector.

Practice MCQs

Q1. With reference to the RBI’s cancellation of Sarvodaya Co-operative Bank’s licence, consider the following statements:

  1. The bank is based in Mumbai, Maharashtra.
  2. The licence was cancelled under Sections 22(4) and 56 of the Banking Regulation Act, 1949.
  3. The Maharashtra Registrar of Co-operative Societies has been directed to begin the winding-up process.
  4. Deposit insurance coverage under DICGC is up to ₹1 lakh per depositor per bank.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about co-operative banks in India:

  1. Urban Co-operative Banks (UCBs) may be either single-state or multi-state.
  2. Rural co-operative banks operate in a three-tier structure of StCBs, DCCBs, and PACS for short-term credit.
  3. The Banking Regulation (Amendment) Act, 2020 brought co-operative banks under stronger RBI supervision.
  4. Co-operative banks are entirely exempt from the Banking Regulation Act, 1949.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the Deposit Insurance and Credit Guarantee Corporation (DICGC), consider the following statements:

  1. It is a wholly-owned subsidiary of the Reserve Bank of India.
  2. It was established under the DICGC Act, 1961.
  3. It insures deposits up to ₹5 lakh per depositor per bank, including principal and interest.
  4. The deposit insurance cover was raised from ₹1 lakh to ₹5 lakh in 2020.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. With reference to constitutional and legal provisions for co-operative societies in India, consider the following statements:

  1. The 97th Constitutional Amendment Act, 2011 added Part IX-B to the Constitution dealing with co-operative societies.
  2. Article 43B promotes co-operative societies as a Directive Principle of State Policy.
  3. The Ministry of Co-operation was created at the Centre in 2021.
  4. Banking functions of co-operative banks are exclusively regulated by NABARD.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

  1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; DICGC cover was raised to ₹5 lakh per depositor per bank in 2020 (from the earlier ₹1 lakh).
  2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; co-operative banks are regulated under the Banking Regulation Act (as modified by Section 56), not exempt from it.
  3. (e) — All four statements are correct.
  4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; banking functions of co-operative banks are regulated by the RBI (and NABARD for rural co-operatives), but not exclusively by NABARD.

Facts To Remember

1. MoRD Notifies Implementation of VB-G RAM G Act, 2025 from July 1, 2026

The Ministry of Rural Development notified the implementation of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, across India from July 1, 2026. With the rollout of the new law, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005, will be repealed from the same date.

2. Faster Wage Payments Under New Rural Employment Scheme

Under the VB-G RAM G framework, wages will be directly transferred to beneficiaries through Direct Benefit Transfer into bank or post office accounts. The government has stated that payments will be processed within three days and credited within a maximum period of 15 days.

3. DFS Launches USD 1.5 Billion Bharat Maritime Insurance Pool

The Department of Financial Services under the Ministry of Finance launched the Bharat Maritime Insurance Pool (BMIP) worth USD 1.5 billion with a sovereign guarantee of USD 1.4 billion. The initiative aims to provide risk coverage for Indian vessels operating on international sea routes, including war-risk and high-risk maritime zones.

4. India Hosts 10th Indian Ocean Dialogue in New Delhi

India hosted the 10th edition of the Indian Ocean Dialogue in New Delhi under the theme “Indian Ocean Region in a Transforming World.” The event was organised by the Ministry of External Affairs in collaboration with the Indian Council of World Affairs and the Indian Ocean Rim Association Secretariat

5. India Launches First Integrated CCUS Field Laboratory at IIT Bombay

Union Education Minister Dharmendra Pradhan inaugurated India’s first integrated Carbon Capture, Utilisation and Storage field laboratory facility at IIT Bombay in Mumbai. The project integrates carbon capture technologies with geological carbon dioxide sequestration in basalt formations.

6. India and IFAD Launch New Rural Development Strategy for 2026–2033

India and the International Fund for Agricultural Development jointly launched a new eight-year Country Strategic Opportunities Programme for the period 2026–2033. The strategy focuses on strengthening rural livelihoods, climate resilience, and inclusive rural development across India.

7. IPC Signs MoUs with Bihar, Maharashtra, and Mizoram Pharmacy Councils

The Indian Pharmacopoeia Commission signed Memoranda of Understanding with the pharmacy councils of Bihar, Maharashtra, and Mizoram to strengthen pharmacovigilance, medicine safety, and rational drug use practices across India.

8. I4C and RBIH Sign MoU to Detect Mule Accounts and Cyber Frauds

The Indian Cyber Crime Coordination Centre and Reserve Bank Innovation Hub signed an MoU to strengthen Artificial Intelligence-based detection of mule accounts and cyber-enabled financial frauds.

9. NeGD Felicitates Five States for DigiLocker Integration

The National e-Governance Division honoured Gujarat, Karnataka, Kerala, Nagaland, and Rajasthan for outstanding DigiLocker integration initiatives during a national cybersecurity workshop in New Delhi.

10. New AU Credit Cards Offer Travel and Lifestyle Benefits

The cards provide benefits such as airport lounge access, reward points, cashback, movie offers, insurance coverage, EMI facilities, and lifestyle rewards targeting affluent, salaried, Gen Z, and first-time credit users.

11. DICGC Insurance Protection Available to Depositors

Following the cancellation, the Deposit Insurance and Credit Guarantee Corporation will provide deposit insurance coverage of up to Rs 5 lakh per depositor, including principal and interest.

12. ISRO Scientist Kuljeet Kaur Marhas Becomes First Indian Woman Fellow of Meteoritical Society

ISRO scientist Kuljeet Kaur Marhas became the first Indian woman to be elected as a Fellow of the Meteoritical Society for 2026. She is only the third Indian scientist to receive the prestigious recognition in planetary science and meteoritics.

13. Himanta Biswa Sarma Sworn in as Assam Chief Minister for Second Consecutive Term

Himanta Biswa Sarma took oath as the Chief Minister of Assam for a second consecutive term, becoming the first non-Congress leader in the state to achieve this milestone.

14. CII Elects R Mukundan as President for 2026–27

The Confederation of Indian Industry elected R Mukundan as its President for 2026–27. Suchitra Ella was elected President-Designate, while Shashwat Goenka became Vice President.

15. India Launches AI-Powered Hyper-Local Weather Forecast Systems

Union Minister Dr. Jitendra Singh launched two advanced AI-powered weather forecasting systems developed by the India Meteorological Department and partner institutions.

16. Argentina’s Faustino Oro Becomes Second-Youngest Chess Grandmaster

Argentina’s chess prodigy Faustino Oro became the second-youngest Grandmaster in chess history at the age of 12 years and 6 months after securing his final Grandmaster norm in Italy.

17. Faustino Oro Continues to Break Global Chess Records

Popularly known as the “Messi of Chess,” Faustino Oro has already become the youngest player to cross several FIDE rating milestones and remains one of the brightest young talents in global chess.

18. International Nurses Day Observed on May 12

International Nurses Day was observed globally on May 12, 2026, to recognise the contributions of nurses to healthcare systems and society. The day commemorates the birth anniversary of Florence Nightingale, the founder of modern nursing.

19. President Droupadi Murmu Confers National Florence Nightingale Awards

On the occasion of International Nurses Day 2026, President Droupadi Murmu presented the National Florence Nightingale Awards to 15 nursing professionals at Rashtrapati Bhavan in New Delhi.

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