Kimberley Process Intersessional Meeting                                                                           

India to impose retaliatory tariffs on 29 American goods                                                    

Cabinet approves New Delhi International Arbitration Centre Bill,2019                             

India's exports up 3.93% in May; trade deficit widens to $15.36 bn                                    

Bihar first state to launch universal old-age pension scheme                                            

Scientists unravel the fungus responsible for Sheath Blight disease in rice                    

Kimberley Process Intersessional Meeting

GS PAPER - 02 INTERNATIONAL RELATIONS- Bilateral, regional and global groupings and agreements involving India and/or affecting India's interests.

Context :

• The Intersessional meeting of the Kimberley Process (KP) is being hosted by India from 17th to 21st June, 2019 in Mumbai.

• Besides meetings of different Working Groups and Committees of the Kimberley Process Certification Scheme (KPCS), two special forums regarding Diamond Terminology and Artisanal Mining – Small Steps to Larger Outcomes, will be held during the Intersessional.

India and the KPCS :

• India is one of the founder members of the Kimberley Process Certification Scheme and is the Chair of the Kimberley Process for the year 2019 with Russian Federation as Vice Chair

• India had earlier chaired KPCS in the year 2008.

• At present, KPCS has 55 members representing 82 countries including EU with 28 members.

• The Kimberley Process is a joint initiative involving Government, international diamond industry and civil society to stem the flow of Conflict Diamonds.

• Conflict Diamonds means rough diamonds used by rebel movements or their allies to finance conflict aimed at undermining legitimate governments.

• It is also described in United Nations Security Council (UNSC) Resolutions.

Functioning of KPCS :

• Task of carrying out a review of the working of the scheme in each participant country through review visit/review missions and gives its recommendations.

• Collects data in respect of export, import and production of rough diamonds in the participant countries.

• Solves technical problems in the implementation of the KPCS like proposing changes to the ‘Harmonised System Codes’ for rough diamonds to World Customs Organisation and harmonisation of valuation methodologies.

• To promote more effective internal controls on the production and trade of alluvial diamonds.

Rough diamond trading under the KPCS :

• As per the Scheme, each shipment of rough diamonds being exported and imported by crossing an international border be transported in a tamper proof container and accompanied by a validated Kimberley Process Certificate.

• The shipment can only be exported to a co-participant country in the KPCS. No uncertified shipments of rough diamonds are permitted to enter a participant country.

                                                                                                                              Source :- PIB

India to impose retaliatory tariffs on 29 American goods

GS PAPER - 03 ECONOMY - Effects of liberalization on the economy.

Context :

• India has decided to impose retaliatory tariffs on 29 goods imported from the U.S. from June 16, a year after it initially decided to do so.

Background :

• America had in March last year imposed 25 per cent tariff on steel and a 10 per cent import duty on aluminium products. As India is one of the major exporter of these items to the US, the US decision has revenue implication of about $240 million on Indian steel and aluminium products.

• The government had on June 21, 2018 decided to impose these duties in retaliation to the US decision of significantly hiking customs duties on certain steel and aluminium products.

• India extended the deadline for imposition of these duties multiple times in the hope that some solution would emerge during a negotiation between India and the US on a proposed trade package.

• The decision of the US to withdraw export incentives to Indian exporters under its Generalised System of Preferences (GSP) programme.

More about the news:

• The tariff would now be imposed on 29 US products, including almond, walnut and pulses.

• The other products on which duties will be hiked include certain kind of nuts, iron and steel products, apples, pears, flat rolled products of stainless steel, other alloy steel, tube and pipe fittings, and screws, bolts and rivets.

• The move will hurt American exporters of these 29 items as they have to pay duties on these products. India would get about $217 million additional revenue from such imports.

• The consensus view is that the impact is commensurate to the impact on India due to the U.S. tariffs on aluminium and steel imports.

• India has also dragged the US to the World Trade Organisation’s (WTO) dispute settlement mechanism over the imposition of import duties on steel and aluminium.

• India’s exports to the US in 2017-18 stood at $47.9 billion, while imports were at $26.7 billion. The trade balance is in favour of India.

                                                                                                                              Source :- The Hindu

Cabinet approves New Delhi International Arbitration Centre Bill,2019

GS PAPER - 03 ECONOMY - Effects of liberalization on the economy, changes in industrial policy and their effects on industrial growth.

Context :

• The Cabinet has approved the New Delhi International Arbitration Centre (NDIAC) Bill, 2019, with a view to promoting ease of doing business  in India. The Bill will be introduced in the scheduled Parliament session.

Key Features :

• The Bill provides for setting up of an independent autonomous body for institutional arbitration and to acquire and transfer the undertakings of International Centre For Alternative Dispute Resolution (ICADR) to New Delhi International Arbitration Centre(NDIAC).

Impacts :

• The benefits of institutionalized arbitration will be manifold for the Government and its agency and to the parties to a dispute.

• This will result in quality experts being available in India and also an advantage in terms of cost incurred.

• It will facilitate India becoming a hub for institutional arbitration.

New Delhi International Arbitration Centre (NDIAC)  :

• New Delhi International Arbitration Centre (NDIAC) will be headed by a chairperson who has been a Judge of the Supreme Court or a Judge of a High Court or an eminent person, having special knowledge and experience in the conduct or administration of arbitration law or management, to be appointed by the Central Government in consultation with the Chief Justice of India.

• There will be two Full time or Part time Members from amongst eminent persons having substantial knowledge and experience in institutional arbitration, both domestic and international.

• Also, one representative of a recognised body of commerce and industry shall be chosen on rotational basis as Part time Member.

• Secretary, Department of Legal Affairs, Financial Adviser nominated by the Department of Expenditure and Chief Executive Officer, NDIAC shall be ex-officio Members.

                                                                                                                                                                  Source :- PIB

India's exports up 3.93% in May; trade deficit widens to $15.36 bn

GS PAPER - 03 ECONOMY - Effects of liberalization on the economy.

Context :

• India’s trade deficit expanded to a six-month high of $15.4 billion in May, with import growth outpacing export growth following a 37% jump in gold imports.

More about the news:

• According to data released by the commerce ministry, exports grew 3.93% in May, while imports rose 4.31%.

• Exports have been in low single digits in six out of the last seven months, barring March when it grew in double digits.

Reasons for increase in  Trade deficits :

• Rising crude oil prices, amid sanctions on Iranian oil imports, could further increase imports and put pressure on India’s current account deficit.

• The escalating trade war between the US and China, and rising protectionism have cast a shadow on India’s prospects for higher exports.

                                                                                                                           Source :- livemint

Bihar first state to launch universal old-age pension scheme

GS PAPER - 02 GOVERNANCE - Welfare schemes for vulnerable sections of the population by the Centre and the States and the performance of these schemes

Context :

• Bihar state government has launched a universal old age pension scheme - Mukhyamantri Vridhajan Pension Yojana (MVPY)

Mukhyamantri Vridhajan Pension Yojana (MVPY) :  

Objective :

• The Bihar Mukhyamantri Vridhajan Pension Yojana (MVPY) scheme provides financial assistance to senior citizens of the state. This funding is provided to make all senior citizens in the State independent in their old age.

Key Features :

• The scheme covers all individuals who are above 60 years of age.

• The beneficiaries would be provided with a sum of Rs. 400 as monthly pension.

• This pension fund would be offered until the death of the individual.

• The pension amount of the scheme would be directly deposited in the bank holder’s account.

• The scheme will be implemented from 1st April 2019.

Eligibility :

• The applicant has to be a permanent resident of the State.

• The applicant should have completed 60 years of age.

• The applicant should not be retired government employee, in order to avail the benefits of the scheme.

• The applicant should belong to Below Poverty Line category.

                                                                                                             Source :- The Times of India

Scientists unravel the fungus responsible for Sheath Blight disease in rice

GS PAPER - 03 AGRICULTURE - Major crops cropping patterns in various parts of the country, different types of irrigation and irrigation systems storage, transport and marketing of agricultural produce and issues and related constraints;

Context :

• Recently,scientists at the National Institute of Plant Genome Research has unraveled the genomic diversity associated with aggressiveness of two Indian strains of Rhizoctonia solani.

• Rhizoctonia solani is a fungal pathogen that causes the dreaded Sheath Blight disease in rice.

Sheath Blight disease :

• Sheath Blight disease is a major issue in rice cultivation. It can cause up to 60 per cent reduction in rice yield.

• It is difficult to breed disease resistant rice varieties, as there is a lack of natural source of disease resistance.

• Consequently, controlling the disease in a sustainable manner has remained a challenge.

                                                                                                                             Source :- Down To Earth

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