Why in News? The Government of India has announced standards for green ammonia and green methanol to promote trade and production of green hydrogen derivatives under the National Green Hydrogen Mission. Introduction The National Green Hydrogen Mission aims to build a strong environment in India for the production, use, and development of green hydrogen technologies. Its main goal is to promote clean energy, reduce dependence on imported fossil fuels, and move the country towards a more sustainable and self-reliant energy system. Green hydrogen is produced by splitting water into hydrogen and oxygen through a process called electrolysis. When this process uses electricity generated from renewable sources such as solar or wind power, the hydrogen produced is considered “green” because it does not release carbon emissions. Due to its clean nature and ability to store energy, green hydrogen is increasingly seen as an important solution for reducing emissions in sectors like industry, transport, and power. India has strong potential to lead in this field because of its vast renewable energy capacity and its growing focus on addressing climate change. By promoting the production and use of green hydrogen, the mission seeks to make India a global hub for green hydrogen production and export while supporting the country’s long-term transition to a low-carbon economy. National Green Hydrogen Mission In January 2023, the Union Cabinet of India approved the National Green Hydrogen Mission, which marked an important step toward achieving the country’s sustainable energy goals and climate commitments. Expected Outcomes by 2030: Expected Outcomes by 2030: Expected Outcomes by 2030: National Green Hydrogen Mission Implementation The mission aims to roll out in stages, initially targeting existing hydrogen-utilizing sectors for Green Hydrogen deployment and ecosystem development, then expanding to new economic sectors, with each phase’s key focus areas outlined. National Green Hydrogen Mission Benefits and Goals The National Green Hydrogen Mission (NGHM) aims to make India a global hub for the production, use, and export of green hydrogen and its derivatives. Some of the important benefits and goals of the mission are as follows: The overall aim of the National Green Hydrogen Mission is to make India self-reliant (Aatmanirbhar) in clean energy while also contributing to and inspiring the global transition towards sustainable energy. National Green Hydrogen Mission Challenges The National Green Hydrogen Mission in India faces several challenges that need to be addressed for its successful implementation. Some of the key obstacles include: FAQ’s Q1. What is the National Green Hydrogen Mission?The National Green Hydrogen Mission is a government initiative launched by India to promote the production, use, and export of green hydrogen. The mission focuses on developing a strong ecosystem for green hydrogen technologies so that clean energy can be widely adopted. It also aims to reduce dependence on fossil fuels and support India’s transition toward a low-carbon and sustainable energy system. Q2. What is the objective of the mission?The main objective of the mission is to make India a global hub for the production, utilization, and export of green hydrogen and its derivatives. It also aims to strengthen energy security, reduce carbon emissions, encourage domestic manufacturing of related technologies, and support the country’s long-term climate goals. Q3. What are the key targets and benefits of the mission?The mission aims to achieve a green hydrogen production capacity of at least 5 million metric tonnes per year by 2030 and add around 125 GW of renewable energy capacity. It is also expected to attract large investments, create lakhs of employment opportunities, reduce fossil fuel imports, and significantly cut greenhouse gas emissions, thereby contributing to a cleaner and more sustainable economy. Q4. What are the Strategic Interventions for Green Hydrogen Transition (SIGHT)?SIGHT is a major programme under the National Green Hydrogen Mission that provides financial incentives to promote the domestic manufacturing of electrolysers and the production of green hydrogen. The goal is to encourage industries to invest in green hydrogen technologies, reduce production costs, and help build a strong green hydrogen ecosystem in India.

Introduction Indian agriculture, worth nearly $600 billion, provides livelihoods to about 45% of the country’s workforce while contributing roughly 15–18% to India’s Gross Value Added (GVA). This shows how deeply important the sector is for the country’s economy and society. However, even though India is one of the world’s largest producers of foodgrains, milk, fruits, and vegetables, it accounts for only about 2.5–3% of the $8 trillion global agri-food trade. One major reason is that value addition in agriculture remains low, at around 10%. As a result, a large share of agricultural produce is sold as raw commodities instead of being processed and exported as branded products. This clear gap between India’s strong production capacity and the limited income earned from markets highlights the urgent need to transform agriculture into a modern, market-linked, and value-chain driven engine of growth. What are the Current Developments Fueling Indian Agricultural Growth ?  What are the Key Issues in the Indian Agricultural Sector?  What Measures are Needed to Make Indian Agriculture More Profitable ?  Conclusion To move from a “green revolution” to a “green-gold revolution,” India needs to close the gap between what farmers produce at the farm level and the value that can be realized in domestic and global markets. While the country has achieved strong production capacity, the real challenge lies in improving value addition, processing, and market integration so that farmers earn better returns from their produce. Integrating Digital Public Infrastructure such as AgriStack with climate-resilient biotechnology and decentralized solar-based logistics systems can help transform agriculture from a basic subsistence activity into a modern, high-value agri-business sector. These tools can improve access to data, credit, storage, and markets while also strengthening climate resilience. In the long run, the profitability and sustainability of Indian agriculture will depend on empowering small farmers through collective institutions, better bargaining power, data-driven precision farming, and a diversified bio-economy that uses resources efficiently and recognizes the value of every drop of water and every inch of soil.

Why in News? The 16th Finance Commission of India has submitted its recommendations for the period 2026–31. It retained the States’ share in tax devolution at 41%, while introducing changes in the horizontal distribution formula and proposing reforms such as merging cesses and surcharges into the divisible pool. What are the Key Recommendations of the 16th Finance Commission (2026–31)? Fiscal Roadmap and Reforms What are the Key Issues with the 16th Finance Commission Recommendations? What Steps can be Taken to Bolster Fiscal Federalism in India? Conclusion The 16th Finance Commission tried to manage a complicated fiscal federal system by keeping the states’ share in the divisible pool at 41% and introducing new measures that reward economic performance and efficiency. These steps were intended to encourage states to improve revenue generation and economic contribution while maintaining the existing framework of fiscal transfers between the Centre and the states. However, several concerns have been raised about its recommendations. The Commission did not place limits on the growing use of cesses and surcharges, which are not shared with states and therefore reduce the effective share of states in central taxes. In addition, the removal of revenue deficit grants has created worries among poorer and geographically disadvantaged states that depend on such support to manage their finances. Critics also argue that the new formula, which gives weight to contribution to GDP, may benefit economically stronger states more than less developed ones. Because of these factors, many experts believe the recommendations may increase concerns about fiscal equity among states. Going forward, the biggest challenge for India’s fiscal federalism will be to strike a balance between rewarding performance and ensuring fair redistribution of resources, so that both efficiency and regional equality are maintained in the country’s financial governance. FAQ’s 1. What is the vertical devolution recommended by the 16th Finance Commission? The 16th FC retained the States’ share in the divisible pool of central taxes at 41% , unchanged from the 15th FC, imparting it a “semi-permanence.” 2. What is the ‘grand bargain’ proposed by the 16th Finance Commission? It proposed that States accept a smaller share of a larger divisible pool if the Centre merges a large part of the cesses and surcharges into the regular tax base, ensuring no revenue loss to either side. 3. What is the new criterion introduced in the horizontal devolution formula? The Commission introduced a 10% weight for ‘contribution to GDP’ (measured by share in all-State GSDP), replacing the tax effort/fiscal discipline criterion, to reward economic performance.