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  • 27 Apr 2021
  • 32 min read
Internal Security

Increase in World Military Spending during Covid-19: SIPRI

Why in News

According to the latest data published by Stockholm International Peace Research Institute (SIPRI), the military spending across the world rose to USD 1,981 billion in 2020, during Covid-19 pandemic.

Key Points

  • Global Scenario:
    • Military spending as a share of Gross Domestic Product (GDP), reached a global average of 2.4% in 2020, up from 2.2% in 2019.
    • The five biggest spenders in 2020, which together accounted for 62% of global military expenditure were: the United States>China>India>Russia>the United Kingdom.
      • US: 2020 was the third consecutive year of growth in US military spending, following seven years of continuous reductions.
        • This reflects growing concerns over perceived threats from strategic competitors such as China and Russia, as well as the Trump administration’s drive to bolster what it saw as a depleted US military.
      • China: China’s spending has risen for 26 consecutive years, the longest series of uninterrupted increases by any country in the SIPRI Military Expenditure Database.
    • Nearly all members of the North Atlantic Treaty Organization (NATO) saw their military burden rise in 2020.
    • The countries with the biggest increases in military burden among the top 15 spenders in 2020 were Saudi Arabia, Russia, Israel and US.
  • Regional Scenario:
    • Europe: Military spending across Europe rose by 4.0% in 2020.
      • Germany and France were the 7th and 8th largest spender globally.
    • Asia and Oceania: In addition to China, India (USD 72.9 billion), Japan (USD 49.1 billion), South Korea (USD 45.7 billion) and Australia (USD 27.5 billion) were the largest military spenders in the Asia and Oceania region.
      • All four countries increased their military spending between 2019 and 2020 and over the decade 2011-20.
    • Sub-Saharan Africa: Military expenditure in sub-Saharan Africa increased by 3.4% in 2020 to reach USD 18.5 billion.
      • The biggest increases in spending were made by Chad, Mali, Mauritania and Nigeria, all in the Sahel region, as well as Uganda.
    • South America: Military expenditure in South America fell by 2.1%.
      • The decrease was largely due to a 3.1% drop in spending by Brazil, the sub region's largest military spender.
    • Middle Eastern Countries: The combined military spending of the 11 Middle Eastern countries for which SIPRI has spending figures decreased by 6.5% in 2020.
      • Eight of the nine members of the Organization of the Petroleum Exporting Countries (OPEC) for which SIPRI has figures cut their military spending in 2020.
      • Angola’s spending fell by 12%, Saudi Arabia’s by 10%, and Kuwait’s by 5.9%.
      • Non-OPEC oil exporter Bahrain also cut its spending by 9.8%.
  • India’s Scenario:
    • India was the third largest military spender in the world in 2020, behind only the US and China.
    • India’s military expenditure was USD 72.9 billion and it accounted for 3.7% of the global military expenditure share.
    • India’s spending since 2019 grew by 2.1%. The increase can be largely attributed to India’s ongoing conflict with Pakistan and renewed border tension with China.
      • The continuing military confrontation with China in eastern Ladakh, of course, has led India to make several emergency arms purchases from abroad since the crisis erupted in early May 2020.
    • India’s annual military expenditure also includes a huge pension bill for 33-lakh veterans and defence civilians.
      • In the 2021-2022 defence budget, for instance, the pension bill was Rs. 1.15 lakh crore out of the total Rs 4.78 lakh crore outlay.
    • India has to maintain an over 15-lakh strong armed forces because of the two active and unresolved borders with China and Pakistan.
      • Consequently, the revenue expenditure for the day-to-day running costs and salary bill in the defence budget by far outstrips the capital outlay for military modernization, leaving critical operational shortages on different fronts, ranging from fighters to submarines.
    • With a weak domestic defence-industrial base, India of course continues to languish in the strategically-vulnerable position of being the world’s second-largest arms importer just behind Saudi Arabia.
      • India accounted for 9.5% of the total global arms imports during 2016-2020.

Stockholm International Peace Research Institute

  • This think tank is an independent international institute dedicated to research into conflict, armaments, arms control and disarmament.
  • It was established in 1966 at Stockholm (Sweden).
  • It provides data, analysis and recommendations, based on open sources, to policymakers, researchers, media and the interested public.

Source: IE


International Relations

The Armenian Genocide

Why in News

Recently, the US President officially recognised the mass killings of Armenians by Ottoman Turks in 1915-16 as an act of genocide.

  • The Armenian diaspora marks 24th April as Armenian Genocide Remembrance Day.

Key Points

  • Genocide (Meaning):
    • According to Article II of the United Nations (UN) Convention on Genocide of December 1948, genocide has been described as carrying out acts intended “to destroy, in whole or in part, a national, ethnic, racial or religious group”.
    • Raphael Lemkin, the Polish lawyer, coined the term “genocide” in 1943.
  • Armenian Genocide:
    • The Armenian Genocide is called the first genocide of the 20th century.
    • It refers to the systematic annihilation of Armenians in the Ottoman Empire from 1915 to 1917.
    • After the First World War broke out in November 1914, the Ottoman Turks participated in the war, siding with Germany and the Austro-Hungarian empire.
    • The Ottoman Turks believed the Armenians would side with Russia in the war. This resulted in the Ottoman Turks engaging in a mass-removal campaign of Armenians from the border areas along the Eastern Front.
    • On 24th April, 1915, Ottoman Turkish government officials arrested and executed thousands of Armenian intellectuals. It was the start of the Armenian Genocide.
    • Armenian families, including small children, were forced to walk for days without food, water and shelter in the deserts of Syria and Arabia.
    • According to estimates, approximately 1.5 million Armenians died during the genocide, either in massacres and in killings, or from ill treatment, abuse and starvation.

  • Significance of this Recognition:
    • The acknowledgement by the US government will have little legal impact on Turkey, other than becoming a cause for embarrassment for the country and giving other countries the impetus to also acknowledge the genocide.
      • According to the Armenian National Institute, 30 countries officially recognise the Armenian Genocide.
  • Turkey’s Response:
    • Such moves would only set back the already strained relationship between US and Turkey, both of whom are North Atlantic Treaty Organization allies.
      • Ties between the US and Turkey have been strained over a range of issues that include Turkey’s purchase of Russian S-400 defence systems, foreign policy differences with regard to Syria, human rights and other intersecting legal issues.
    • Turkey has acknowledged that atrocities were committed against Armenians, but denies it was a genocide (which comes with legal implications) and challenges the estimates that 1.5 million were killed.
  • India’s Stand:
    • India, that has not formally recognised the Armenian Genocide has primarily adopted this stance in the interests of its wider foreign policy decisions and geo-political interests in the region.
      • India does not have any domestic law on genocide, even though it has ratified the United Nations Convention on Genocide.
      • This was even observed by the Delhi High Court in State v. Sajjan Kumar (2018). The case concerned the mass killing of Sikhs during the anti-Sikh riots in 1984 in Delhi — and throughout the country.
  • Other Related News to Armenia:
    • Armenia-Azerbaijan Conflict:
      • Recently, Russia has brokered a new peace deal between Armenia and Azerbaijan. Both countries have been in a military conflict over the disputed region of Nagorno-Karabakh in the South Caucasus.
      • Nagorno-Karabakh, the centre of the conflict, is located within Azerbaijan but is populated, mostly, by those of Armenian ethnicity (and mostly Christian compared to the Shia Muslim majority Azerbaijan).

Source: TH


International Relations

Project Dantak

Why in News

Recently, Project DANTAK which is one of the oldest Projects of the Border Roads Organisation (BRO) commemorated its Diamond Jubilee in Bhutan.

  • Over 1,200 DANTAK personnel laid down their lives while constructing important infrastructure in Bhutan.

Key Points

  • About:
    • Project DANTAK was established on 24th April1961.
    • It was a result of the visionary leadership of the third King of Bhutan and then Prime Minister of India Jawahar Lal Nehru.
    • DANTAK was tasked to construct the pioneering motorable roads.
  • Achievements:
    • Road Connectivity:
      • Over the years, the Project has completed approximately 1600 km of blacktopped roads and 120 km of tracks in Bhutan with 5000 meters of bridges over them.
    • Other Projects Executed:
      • Include the construction of Paro Airport, Yonphula Airfield, Thimphu – Trashigang Highway, Telecommunication & Hydro Power Infrastructure, Sherubtse College, Kanglung and India House Estate.
    • Medical and Education Facilities:
      • The medical and education facilities established by DANTAK in far flung areas were often the first in those locations.
    • Food Outlets:
      • The food outlets along the road introduced the Bhutanese to Indian delicacies and developed a sweet tooth in them.
  • Indo-Bhutan Relationship:
    • Indo-Bhutan Treaty of Peace and Friendship, 1949:
      • The Treaty provides for, among other things, perpetual peace and friendship, free trade and commerce and equal justice to each other’s citizens.
      • In 2007, the treaty was re-negotiated, and provisions were included to encourage Bhutan’s sovereignty, abolishing the need to take India’s guidance on foreign policy.
    • Multilateral Partnership:
    • Economic Partnership:
      • Mutually beneficial hydro-power cooperation with Bhutan forms the core of bilateral economic cooperation.
        • The 720 MW Mangdechhu was commissioned in August 2019. HEPs namely, 1200 MW Punatsangchhu-I, 1020 MW Punatsangchhu-II and Kholongchhu HEP (600 MWs) are under various stages of implementation.
      • India is Bhutan's largest trading partner.

Border Roads Organisation

  • BRO was conceived and raised in 1960 by Pandit Jawaharlal Nehru for coordinating the speedy development of a network of roads in the North and the North Eastern border regions of the country.
  • It works under the administrative control of the Ministry of Defence.
  • It has diversified into a large spectrum of construction and development works comprising airfields, building projects, defence works and tunneling and has endeared itself to the people.
  • Some Recent Achievements:
    • Atal Tunnel: It is located in Himachal Pradesh’s Rohtang pass. It connects Solang Valley near Manali to Sissu in Lahaul and Spiti district.
    • Nechiphu Tunnel: Foundation stone was laid on the Balipara-Charduar-Tawang (BCT) road in West Kameng district of Arunachal Pradesh.
    • Daporijo Bridge: It is over Subansiri river in Arunachal Pradesh.
    • Kasowal Bridge: It is over Ravi river. It connects Kasowal enclave in Punjab along the India - Pakistan border to the rest of the country.
    • Darbuk-Shyok-Daulat Beg Oldie Road: It connects Leh via the villages of Darbuk and Shyok at southern Shyok River Valley, with the Daulat Beg Oldi (DBO) post near the northern border.
    • Barsi Bridge (longest bridge on Manali–Leh highway): It is built on Bagga river, which joins with Chandra river at Tandi in Lahaul to flow down into Jammu & Kashmir as the Chenab.

Source: TH


International Relations

US Supports India in Covid-Crisis

Why in News

Recently, the Prime Minister of India and US President had a telephone conversation with assurances exchanged on smoothening out issues related to supply chains for vaccines for Covid-19.

  • The telephone call came in the background of not just flagging supply chain issues with the US with regard to vaccines but also the lack of certain resources in India to fight the pandemic, as the country has been hit by exponentially rising cases and deaths.
  • Earlier in 2020, India and the US planned to work together on vaccine research and testing for Covid-19.

Key Points

  • Bilateral Discussion:
    • India discussed its initiative at the World Trade Organisation (WTO) for a relaxation in the norms of the agreement on Trade Related Aspects of Intellectual Property (TRIPS) to ensure quick and affordable access to vaccines and medicines for developing countries.
      • The 1995 agreement on TRIPS is a key legal instrument that harmonises Intellectual Property (IP) protection by imposing binding obligations on member countries to ensure a minimum level of protection and enforcement of IP rights in their territories.
      • IP rights could hinder the supply of vaccines and drugs at affordable prices.
    • India also mentioned its commitment to contain the Covid-19 pandemic globally through Vaccine Maitri, and its participation in COVAX and the Quad Vaccine Initiatives.
    • Both discussed the Covid-19 situation in their respective countries, including India’s ongoing efforts to contain the second wave of Covid-19 through expedited vaccination efforts, and ensuring supply of critical medicines, therapeutics and health care equipment.
    • Recent Developments in the Relations:
      • India-US ties were elevated to "comprehensive global strategic partnership" in 2020.
      • India and the US signed the Basic Exchange and Cooperation Agreement for Geo-Spatial Cooperation (BECA), with which the two countries have inked all the all four foundational agreements to bolster defence ties.
      • Among the many highlights are deepening government-to-government dialogues, shared vision of the Indo-Pacific, regional cooperation, defence and security ties, and ability to respond to unexpected challenges.
  • India’s Request:
    • Emphasized the need to ensure smooth and open supply chains of raw materials and inputs required for manufacture of vaccines, medicines, and therapeutics related to Covid-19.
    • Requested for supply of seven essential items that it needs on an urgent basis. These are oxygen concentrators, oxygen cylinders, oxygen generators, oxygen generation plants, remdesivir, favipiravir, and tocilizumab.
  • US’ Steps:
    • It has diverted its pending orders of vaccine filters to India’s vaccine manufacturers. It will help India make more vaccines.
    • It has identified sources of specific raw material urgently required for Indian manufacture of the Covishield vaccine that will immediately be made available for India.
  • Other Countries Helping India:
    • Singapore has donated four cryogenic oxygen tanks to India.
    • The United Kingdom has announced that it will ship over “600 pieces of vital medical equipment” to help India fight Covid19.
    • Australia has announced that it will send oxygen, ventilators and Personal Protective Equipment (PPE) kits to India as part of an immediate support package.
    • Saudi Arabia is shipping 80 metric tonnes of liquid oxygen to India.
    • Germany is preparing a “mission of support” for India.
    • Russia had also announced that it would send 3,00,000-4,00,000 units of Remdesivir injection. It is also planning to send Covid-19 assistance including oxygen concentrators, generators, and drugs needed to treat the disease.
    • China has also announced that it would provide support and help based on India’s needs.

Source: TH


Governance

Chandler Good Government Index

Why in News

Recently, India has been ranked 49th in the Chandler Good Government Index (CGGI).

  • Finland has topped the list.

Key Points

  • About:
    • The CGGI is released by the Chandler Institute of Governance which is a private nonprofit organization headquartered in Singapore.
    • The Index classifies 104 countries in terms of government capabilities and outcomes.
    • Each country is measured across over 50 open data points. The index focuses on seven pillars:
      • Leadership and foresight.
      • Robust laws and policies.
      • Strong institutions.
      • Financial stewardship.
      • Attractive marketplace.
      • Global influence and reputation.
      • Helping people rise.
  • Objective:
    • It supports government leaders and public officers worldwide in nation building and strengthening public institutional capacity through training, research and advisory work.
    • It also shares tools and frameworks for effective policymaking, and empowers nations to provide better public services for citizens.
  • Performance of South Asian Countries:
    • India ranked 49th, Sri Lanka 74th, Pakistan 90th and Nepal 92nd.
  • Indian Initiatives for Good Governance:
    • Good Governance Index:
      • It has been launched by the Ministry of Personnel, Public Grievances & Pensions to determine the status of governance in the country.
      • It assesses the impact of various interventions taken up by the State Government and UTs.
    • Good Governance Day:
      • It is celebrated annually on 25th December to mark the birth anniversary of the former Prime Minister Atal Bihari Vajpayee.
      • Its aim is to create awareness of accountability in government among the citizens of India.
    • National e-Governance Plan:
      • It has the vision to “make all government services accessible to the common man in his locality, through common service delivery outlets and ensure efficiency, transparency & reliability of such services at affordable costs to realize the basic needs of the common man.”
    • Right to Information Act, 2005:
      • It plays an effective role in ensuring transparency in governance.
    • Other Initiatives:

Governance

  • About:
    • It is the process of decision-making and the process by which decisions are implemented (or not implemented).
    • Governance can be used in several contexts such as corporate governance, international governance, national governance and local governance.
  • Good Governance:
    • It is an approach to government that is committed to creating a system founded in justice and peace that protects individual’s human rights and civil liberties.
  • Eight Characteristics of Good Governance as Identified by the United Nations:

Source:TH


Agriculture

Crop Diversification

Why in News

Recently, a top agriculture economist has suggested that the best chance of Crop Diversification is through animal agriculture/animal husbandry.

Key Points

  • About:
    • Crop diversification refers to the addition of new crops or cropping systems to agricultural production on a particular farm taking into account the different returns from value- added crops with complementary marketing opportunities.
      • Cropping System: It refers to the crops, crop sequences and management techniques used on a particular agricultural field over a period of years.
      • Types: Major cropping systems in India are sequential-cropping, monocropping, intercropping, relay Cropping, mixed-cropping and alley cropping.
    • Many farmers also use the mixed crop-livestock system to increase their standards of living and income.
      • Animal husbandry or Animal Agriculture is the branch of science dealing with the practice of breeding, farming and care of farm animals (livestocks) such as cattle, dogs, sheep and horses by humans for advantages.
      • It refers to livestock raising and selective breeding. It is a branch of agriculture.
  • Types:

  • Benefits:
    • Increase Income on Small Land Holding:
      • At present, 70-80% farmers have land below 2 hectare. To overcome this, existing cropping patterns must be diversified with high value crops such as maize, pulses, etc.
      • The Government of Haryana has also supported this by announcing that farmers switching to other alternate crops instead of paddy will be paid Rs. 7000 per acre incentive (Mera Pani - Meri Virasat Scheme).
    • Economic Stability:
      • Crop diversification can better tolerate the ups and downs in price of various farm products and it may ensure economic stability of farming products.
    • Mitigating Natural Calamities:
      • Sudden adverse weather conditions like erratic rainfall, drought, hail, incidence of insect and pest disease. Under this situation, crop diversification through mixed cropping may be useful.
    • Balance Food Demand:
      • Most of the Indian population suffers from malnutrition. Most of the girl children have anemia. Including crops like pulses, oilseed, horticulture, and vegetable crops can improve socio economic status by adding quality to the food basket and also improve soil health with the aim of food safety and nutritional security.
      • The Government of India has now targeted to increase the area under pulses and oilseeds through National Food Security Mission (NFSM).
    • Conservation:
      • Adoption of crop diversification helps in conservation of natural resources like introduction of legume in rice-wheat cropping system, which has the ability to fix atmospheric Nitrogen to help sustain soil fertility.
      • Soil Health Card (SHC) provides information to farmers on nutrient status of their soil along with recommendations on appropriate dosage of nutrients to be applied for improving soil health and its fertility.
  • Challenges:
    • Majority cropped area in the country is completely dependent on rainfall.
    • Sub-optimal and over-use of resources like land and water resources, causing a negative impact on the environment and sustainability of agriculture.
      • Animal agriculture is the second largest contributor to human-made Greenhouse Gas (GHG) emissions after fossil fuels and is a leading cause of deforestation, water and air pollution and biodiversity loss.
    • Inadequate supply of seeds and plants of improved cultivars.
    • Fragmentation of land holding less favouring modernization and mechanization of agriculture.
    • Poor basic infrastructure like rural roads, power, transport, communications etc.
    • Inadequate post-harvest technologies and inadequate infrastructure for post-harvest handling of perishable horticultural produce.
    • Very weak agro-based industry.
    • Weak research - extension - farmer linkages.
    • Inadequately trained human resources together with persistent and large scale illiteracy amongst farmers.
    • Host of diseases and pests affecting most crop plants.
    • Poor database for horticultural crops.
    • Decreased investments in the agricultural sector over the years.
  • Other Related Initiatives:

Way Forward

  • Although there are challenges which can not be ignored, crop diversification provides an opportunity to double farmers income and create food security for the nation.
  • Therefore, the government must promote crop diversification by purchasing crops produced other than wheat and rice at Minimum Support Price. This could also help conserve the dwindling supply of underground water.
  • Agricultural emissions can also be limited through smarter livestock handling, technology-enabled monitoring of fertilizer application, simple changes in field layout and other, more efficient agricultural techniques.

Source:IE


Indian Economy

PowerGrid Infrastructure Investment Trust

Why in News

The Power Grid Corporation of India (PGCIL) launched its Infrastructure Investment Trust (InvIT) - PowerGrid Infrastructure Investment Trust (PGInvIT).

Key Points

  • About PGInvIT:
    • This is the first time a state-owned entity (PGCIL) is monetizing its infrastructure assets through the InvIT route.
    • This will be only the third InvIT to be listed in the Indian markets, after IRB InvIT and India Grid Trust, both of which went public in 2017.
    • The InvIT route was proposed by the Centre as an alternative fundraising route for state-run companies to manage funding requirements without having to depend on government support.

Power Grid

  • It is a public limited company under the administrative control of the Ministry of Power.
  • It is the largest power transmission company in India.
  • It started its commercial operation in the year 1992-93 and is today, a Maharatna company.
  • About Infrastructure Investment Trust (InvIT):
    • It is a collective investment scheme similar to a mutual fund, which enables direct investment of money from individual and institutional investors in infrastructure projects to earn a small portion of the income as return.
    • InvITs can be treated as the modified version of REITs (real estate investment trusts) designed to suit the specific circumstances of the infrastructure sector.
    • It is created to hold income-generating and operational infrastructure assets such as roads, power transmission lines, gas pipelines, etc.
      • These assets have long-term contracts with strong counterparties that provide a steady cash flow over the long term – typically 15-20 years.
    • The InvITs are regulated by the SEBI (Infrastructure Investment Trusts) Regulations, 2014.
    • An InvIT consists of four elements:
      • Trustee has the responsibility of inspecting the performance of an InvIT.
      • Sponsor(s) are promoters of the company that set up the InvIT.
      • Investment Manager is entrusted with the task of supervising the assets and investments of the InvIT.
      • Project Manager is responsible for the execution of the project.
    • Units of InvITs can be listed and traded on a stock exchange, providing them liquidity.
      • Or they can be private and unlisted, in which case they are not publicly traded and largely invested in by institutional investors.
  • Advantages of Setting up InvITs:
    • For sponsors (infrastructure developers), InvITs provide a convenient route to monetize revenue-generating assets, unlock equity gains, and deleverage their balance sheets (i.e. to reduce debts).
    • InvITs also present a more tax-friendly structure. Being a trust, all income received by the InvIT from underlying assets receives a pass-through treatment and is not taxable at the InvIT level.
    • For investors such as banks, financial institutions, pension funds, insurance companies, and even retail investors, InvITs provide a good low-risk investment opportunity.
  • Disadvantages of InvITs:
    • InvITs are sensitive to changes in regulatory and tax law.
    • Infrastructure assets are not inflation-linked in India.
      • A high rate of inflation has a significant impact on the performance of InvITs.

Source:BS


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