Daily Prelims Notes 21 July 2023

Daily Prelims Notes

21 July 2023

Table Of Contents

1. Government exempts RRBs from CCI’s merger control rule
2. India’s reliance on imported crude rises to 88.3% in April-June
3. Russian President Putin won’t travel to South Africa for BRICS summit
4. Rule 176 and Rule 267
5. Consider shifting cheetahs to Rajasthan – SC
6. Delimitation Commission
7. Swedish embassy in Iraq attacked; envoy expelled
8. Kerch Bridge
9. Lab-grown special mosquitoes can be the secret weapon to fight dengue
10. Centre bans export of non-basmati white rice to check price rise
11. Tunisia

1. Government exempts RRBs from CCI’s merger control rule

Subject: Economy

Section: External Sector

In News: Centre has exempted regional rural banks (RRBs) from the purview of CCI’s merger control regime, to set stage for the next round of consolidation.

Key Points:

• Normally for any merger and acquisition (M&A) beyond a threshold value, the Competition Commission of India (CCI) is to be notified, upon which approval is granted after scrutiny.
• CCI has the mandate to examine whether mergers and consolidation will lessen competition or affect consumer interests.
• CCI regulates mergers in order to ensure that reduction in the number of players in an industry does not stifle competition in the market and wherever it finds that terms of the transaction adversely impacts competition, modifications are suggested.
• Inorder to enable public sector mergers from time to time, PSU banks have been exempted from the provisions of the CCI M&A regulations. This practice has been followed under the arrangement of RBI being the financial sector’s regulator.
• The present exemption to M&A involving RRBs, from prior scrutiny and approval of Competition Commission of India (CCI) would be available for five years.
• The move will allow merger of RRBs without the prior scrutiny and approval of Competition Commission of India (CCI).
• Previous instances:
  • Government had a few years back, given a similar merger control regime exemption to help usher in smooth consolidation among public sector banks.
  • Also consolidation of SBI associate banks with SBI was exempted from CCI’s merger control regime. In 2020, 10 PSU banks were merged into four, bringing down the overall number of PSBs to 12 banks.
  • Similar exemption was obtained in the case of YES Bank, when SBI acquired 49% control in crisis ridden bank.

The Regional Rural Banks:

• India’s RRB journey started in 1975. RRBs were conceived as hybrid micro-banking institutions, combining the feel and familiarity of the cooperatives and business acumen of the commercial banks with the mandate to serve the credit needs of the small and marginal farmers, agricultural labourers, socio-economically weaker section of the population for development of agriculture, trade, commerce, industry and other productive activities.
• Over the years, the number of RRBs went up to as high as 196. Between 1987 and 2005, the number of RRBs remained at 196.
• However, post 2005 there has been gradual drop in the number of RRBs in the country with successive governments encouraging consolidation.
• There are about 43 RRBs (as of 2021) in India and these entities are regulated by the Reserve Bank of India (RBI).
• Last year, the government was even toying with the idea of having one large RRB in each State, after ushering in more consolidation.
• Currently, the Centre owns 50 per cent stake in each RRB, while the Sponsor Bank has 35 per cent and the remaining 15 per cent is with the State government.

2. India’s reliance on imported crude rises to 88.3% in April-June

Subject: Economy

Section: External Sector

In News: India’s reliance on imported crude inched up to 88.3 per cent in April-June from 86.5 per cent a year ago.

Key Points:

• While the government wants to reduce India’s high dependency on imported crude oil, this has been difficult because of:
  • sluggish domestic oil output, and
  • continually growing domestic demand
• India’s reliance on imported crude inched up to 88.3 per cent in April-June from 86.5 per cent a year ago.
• This is the result of rise in the consumption of fuels and other petroleum products with domestic oil production declining slightly, as per data released by the Petroleum Planning & Analysis Cell (PPAC) of the oil ministry.
• Government in 2015 had set a target to reduce reliance on oil imports to 67 per cent by 2022 from 77 per cent in 2013-14, but the dependence has only grown.
• Heavy reliance on imported crude oil makes the Indian economy vulnerable to global oil price volatility, apart from having a bearing on the country’s foreign trade deficit, foreign exchange reserves, rupee’s exchange rate, and inflation.
• At 60.1 million tonnes, the volume of India’s oil imports in April-June was a tad lower than 60.7 million tonnes in the year-ago period. India produced 30.49 million tonne of crude petroleum in 2020–21.
• However, reliance on imported crude still rose as the country’s petroleum product exports declined to 14.7 million tonnes from 16.6 million tonnes in the year-ago quarter.
• The computation of import dependency is based on the domestic consumption of petroleum products and excludes petroleum product exports as those volumes do not represent India’s demand.

3. Russian President Putin won’t travel to South Africa for BRICS summit

Subject: International relations

Section: International Organizations

Concept:

• Russian President Vladimir Putin will not travel to South Africa to attend the upcoming BRICS summit.
• BRICS brings together five major emerging economies namely Brazil, Russia, India, China, South Africa.
• It comprises 42 percent of the world’s population, 23 percent of the global GDP and around 17 percent of the share and world trade.
• South Africa is the President of this year’s BRICS summit.
• This announcement resolved a difficult situation for South Africa, which would have been theoretically obligated to arrest Putin for alleged war crimes if he had arrived in its jurisdiction.
• In March 2023, the International Criminal Court issued a warrant against Mr. Putin.
• The action of the ICC put South Africa in a difficult position as it is expected to carry out its obligations as an ICC member.

International Criminal Court (ICC)

• The International Criminal Court is a permanent court to prosecute serious international crimes committed by individuals.
• It tries crimes such as genocide, war crimes, crimes against humanity, and aggression.
• The court was established to fight global impunity and bring to justice criminals under international law, regardless of their rank or stature.
• It is different from the United Nations’ International Court of Justice, also at The Hague.
• HQ :The Hague, The Netherlands
• Statute :Before the ICC became functional in 2002, its founding treaty was adopted by the UN General Assembly in 1998 in Rome, Italy, thereby making it the Rome Statute.
• Membership
• To become a member of the ICC or State party to the Rome Statute, countries have to sign the statute and ratify it under their respective legislatures.
• 123 countries are currently members of the ICC, with African countries making up the largest bloc.
• Notably, countries including India, China, Iraq, North Korea and Turkey never signed the Rome Statute.
• Others including the US, Russia, Israel and Syria signed, but never ratified

How does the ICC function?

• Judges & Prosecutors
• The court carries out its investigations through the Office of the Prosecutor and has 18 judges.
• Both the judges and prosecutors hold non-renewable nine-year terms.
• Process
• There are pre-trial, trial, and appellate benches in the ICC.
• The prosecutor conducts a preliminary examination in a matter, before seeking permission from pre-trial judges to open a full investigation.
• The initial examination must conclude that the crimes in question are of sufficient gravity.
• Ways to open investigations
• The prosecutor can open an investigation in three ways:
• when a case is referred by a member country in its own territory;
• when a case is referred by the UN Security Council; and
• when the prosecutor takes up a case proprio motu or on his own.
• Non-member states can also be investigated in three ways:
• if alleged crimes were perpetrated by non-members in member states,
• if the non-members accept the court’s jurisdiction, or
• when the Security Council authorises it.

Does the ICC have the authority to prosecute President Putin?

• Russia has repeatedly said that it does not.
• The ICC’s jurisdiction is limited to offences that occurred after it came into existence on July 1, 2002, and were committed either in a country that has ratified the agreement, or by a national of a country that has ratified the agreement.
• Russia is not one of the 123 States Parties to the Rome Statute that recognise the authority of the ICC.
• The United States isn’t a signatory either, and it has over the years repeatedly and aggressively denounced the ICC.
• China and India too do not recognise the ICC’s jurisdiction.
• Even Ukraine is not a State Party to the Rome Statute.
• However, in 2014, Ukraine accepted the jurisdiction of the Court over alleged crimes committed on its territory from November 2013 to February 2014.
• Again, in 2015, it accepted the ICC’s jurisdiction from 20 February 2014 onwards, with no end date.

Is there a risk of arrest for Putin outside Russia?

• Only if he travels to a State Party to the ICC — like South Africa — and only in theory.
• This is the first time that the ICC has issued an arrest warrant against the head of one of the five permanent members of the UN Security Council.
• Sudan’s former President Omar al-Bashir and Libya’s Muammar Gaddafi are the only other leaders to have been indicted by the ICC while serving as head of state.

4. Rule 176 and Rule 267

Subject: Polity

Section: Legislature

Concept :

• Recently, there has been a row over Rule 267 and Rule 176 as the Opposition demanded a discussion on the Manipur violence under Rule 267, while the government agreed to a discussion under Rule 176. T
• The Opposition argued that Rule 267 was necessary to express the sense of the House on a serious matter, while the government said that Rule 176 was sufficient and Rule 267 was being misused to disrupt the House.
• The Opposition insisted on the Prime Minister making a suo motu statement, followed by a discussion under Rule 267, leading to disagreements.
• Rule 176 and Rule 267 are two different provisions in the Rules of Procedure and Conduct of Business in the Council of States (Rajya Sabha), which are used for raising discussions on urgent public matters.

Rule 176: Short Duration Discussion

• Rule 176 allows any member of the Rajya Sabha to raise a short-duration discussion on a matter of urgent public importance.
• Government’s Agreement
• The government agreed to a short-duration discussion on the first day of the Monsoon Session. This means that they were open to discussing the urgent matter raised by the Opposition, but within the time limit of two-and-a-half hours, as specified under Rule 176.
• Procedure
• The member desiring to raise the discussion must give notice in writing to the Secretary-General, clearly and precisely specifying the matter to be discussed.
• The notice should be accompanied by an explanatory note stating the reasons for raising the discussion, and it must be supported by the signatures of at least two other members.
• Once the Chairman admits the notice, the date and time for discussion are fixed, and it can be taken up immediately or scheduled for a later time.

Rule 267: Suspension of Rules

• Description
• Rule 267 relates to the suspension of rules and is used when any member wants to move that a particular rule be suspended in its application to a motion related to the business listed before the Council on that day.
• Opposition’s Demand
• The Opposition insisted on the Prime Minister making a suo motu (on his initiative) statement, followed by a discussion, suspending all business under Rule 267.
• In essence, they sought to suspend the normal proceedings and prioritize the discussion on the Manipur situation by allowing the Prime Minister to address the issue before any other business in the Rajya Sabha.
• Procedure
• To suspend a rule under Rule 267, any member needs the consent of the Chairman.
• If the motion to suspend the rule is carried out, the rule in question will be suspended for the time being, allowing the desired discussion to take place.
• Dispute
• While the government agreed to a short-duration discussion on the urgent matter raised by the Opposition under Rule 176, the Opposition insisted on suspending all business and having the Prime Minister make a suo motu statement followed by a discussion on the Manipur situation under Rule 267.
• These are different procedural mechanisms with different implications for the conduct of discussions in the Rajya Sabha.

5. Consider shifting cheetahs to Rajasthan – SC

Subject : Environment

Section: Species in news

Concept :

• The Supreme Court, on July 20, 2023, urged the Centre to spread the remaining cheetahs to different locations to prevent further deaths.
• Gavai suggested Center to consider shifting the cheetahs to Jawai National Park in Rajasthan.

About Jawai Hills

• Jawai Hills is a picturesque location in Pali district of Rajasthan, surrounded by Jawai Bandh,grasslands,riverbed and grazing ground.
• The Hills of Jawai were shaped by lava millions of years ago and now the natural caves and rock shelters of Jawai Hills are home to leopards and Indian striped hyena.
• Devgiri Cave Temple is located at the half way up the Jawai solitary hills and dedicated to Ashapura Mata Ji.
• Jawai dam crocodile sanctuary,Jawai hills leopards sanctuary and Kambeshwar ji leopard sanctuary are located in and around Jawai.
• The picturesque location around the Jawai hills and dam is home to number of wild animals such as Wolf, Chinkara, Jackals and Jungle cats.

6. Delimitation Commission

Subject: Polity

Section: Elections

Concept :

• Recently, Delimitation Commission finalize the Delimitation Order for the Union Territory of Jammu & Kashmir.

Delimitation Commission of India

• The Delimitation Commission of India, also known as the Boundary Commission of India, is a commission established by the Indian government under the provisions of the Delimitation Commission Act.
• The commission’s principal responsibility is to redraw the borders of the various assembly and Lok Sabha constituencies based on a recent census. During this practice, the representation from each state remains constant.
• The seats for SC and ST in a state, on the other hand, are adjusted by the census.
• Delimitation is the process of redrawing boundaries of Lok Sabha and State Assembly constituencies based on a recent Census to ensure that each seat has an almost equal number of voters.
• The last delimitation exercise took place in 1976. While the current boundaries were drawn based on the 2001 Census, the number of Lok Sabha and State Assembly seats remained frozen based on the 1971 Census.
• In 2002, the Constitution was amended to place a freeze on the exercise until the first Census conducted after the year 2026.
• The basic objective of this is a fair representation, fair geographical division for all the political parties, and to follow the motto of ” One Vote One Value.”

Constitutional Provisions

• Under Article 82, the Parliament enacts a Delimitation Act after every Census.
• Under Article 170, States also get divided into territorial constituencies as per Delimitation Act after every Census.

7. Swedish embassy in Iraq attacked; envoy expelled

Subject : International Relations

Section:  Map

Concept :

• Iraq’s prime minister ordered the expulsion of the Swedish ambassador from Iraq and the withdrawal of the Iraqi charge d’affaires from Sweden on Thursday as a man desecrated of a copy of the Quran in Stockholm with permission from Swedish authorities.

About Sweden

• Sweden is a country in Northern Europe on the Scandinavian Peninsula.
• It borders Norway to the west; Finland to the northeast; and the Baltic Sea and Gulf of Bothnia to the south and east.
• It has maritime borders with Denmark, Germany, Poland, Russia, Lithuania, Latvia and Estonia, and it is also linked to Denmark (southwest) by the Öresund bridge.

8. Kerch Bridge

Subject :International Relations

Section: Map

Concept :

• The Kerch Bridge, linking the Russian mainland to the Crimean Peninsula, suffered an attack by Ukrainian sea drones, leading to retaliatory actions by Russia.

About Kerch Bridge

• The Kerch Bridge, across the Kerch Strait, is 19 km long and has two parallel rail and roadways.
• It was opened in 2018 by Russian President Vladimir Putin with great fanfare, four years after Russia annexed Crimea from Ukraine through a contested referendum.
• It is also a symbol of Russia’s control over Crimea, annexed in 2014.
• It holds symbolic importance for Russia, as it provides direct connectivity between the mainland and the annexed Crimea.

Significance of the Kerch Bridge for Russia

• Establishing Connectivity: Following the annexation of Crimea in 2014, the bridge was constructed to secure a “land bridge” between mainland Russia and Crimea.
• Logistical Supply Link: The bridge plays a critical role in facilitating logistical supplies to Russian troops in southern Ukraine.
• Strategic Vulnerability: The bridge remains within range of Ukrainian fire, making its security vital for Russia’s military operations.

9. Lab-grown special mosquitoes can be the secret weapon to fight dengue

Subject : Science and technology

Section: Biotechnology

Concept :

• In a laboratory in Medellín, Colombia, scientists grow about 30 million Aedes aegypti mosquitoes every week.
• The Aedes mosquitoes are carriers of the dengue virus; paradoxically the ones grown in the lab will be used for the fight against dengue.
• The World Mosquito Program (WMP), a nonprofit organisation started in 2017, has pioneered this unconventional approach to combat mosquito-borne diseases.

Process

• Aedes aegypti mosquitoes are infected with the dengue virus when they bite infected people.
• After about a week, the bite of the mosquito can cause the spread of the disease.
• To disrupt the transmission of dengue and other viruses, the scientists infect the Aedes aegypti mosquitoes with Wolbachia, a naturally occurring bacteria found in over 50% of insect species.
• Wolbachia lives inside insect cells and can be passed down maternally through generations, effectively reducing the transmission of the dengue virus. The Wolbachia method has been tried and tested for a decade now.

In India

• It is suggested that the method is well-suited for southern Indian states due to the lesser temperature variations between seasons.
• Temperature and humidity not only affect dengue transmission, but also impact the Wolbachia method.
• In places where there is greater variation in temperatures, the density and frequency of the Wolbachia is affected.
• Further temperature studies are needed across different regions of India.

 Related Topic

 Genetically Modified Mosquitoes

• GM mosquitoes are mass-produced in a laboratory to carry two types of genes:
• A self-limiting gene that prevents female mosquito offspring from surviving to adulthood.
• A fluorescent marker gene that glows under a special red light. This allows researchers to identify GM mosquitoes in the wild.
• GM mosquitoes produced in the laboratory lay eggs. These eggs carry the self-limiting and fluorescent marker genes.
• GM mosquito eggs that carry the self-limiting gene are released into an area. Once they have hatched and develop through to the adult stage, they are available to mate with wild females. The genes are passed on to offspring.
• The male mosquitoes have a protein (the tTAV-OX5034 protein) that prevents female offspring from surviving when male OX5034 mosquitoes mate with wild female mosquitoes.
• The female offspring die before they become adults. The expected result is that the number of Aedes aegypti mosquitoes in the area decreases.

10. Centre bans export of non-basmati white rice to check price rise

Subject : Economy

Section: External Sector

Concept :

• Recently, the Centre banned the export of non-basmati white rice with immediate effect to boost domestic supply and help control inflation.
• Paddy had been planted in around 10.32 million hectares, which is almost 9.8 percent less than the area covered during the same period of last year.

Why the centre bans export of non-basmati rice ?

• The domestic prices of rice are on an increasing trend. The retail prices have increased by 11.5 percent over a year and 3 percent over the past month
• Rice stocks in the central pool as on July 1 are estimated to be around 48.65 million tonnes, almost 13 percent less than the same period last year.
• This sharp increase in exports can be ascribed to high international prices due to the geopolitical scenario, El Nino sentiments, and extreme climatic conditions in other rice-producing countries
• Export
• Non-basmati white rice accounts for nearly 25-30 percent of total rice exported from the country.
• The total exports of non-basmati white rice from India were $4.2 million in 2022-23, as against $2.62 million in the preceding year.
• Major destinations of India’s non-basmati white rice exports include Thailand, Italy, Spain, Sri Lanka, and the USA.
• Volume-wise, India exported 6.5 million tonnes of this variety in FY23, compared to 5.3 million tonnes in the previous financial year (a rise of nearly 22 percent).

Why India is Crucial to global rice Trade?

• It accounts for more than 40% of the world’s rice exports.
• Its rice shipment in 2022 was more than the next 4 exporters combined – Thailand, Vietnam, Pakistan, and the US.
• It exports rice to more than 140 countries.
• India exported 17.86 mt of non-basmati rice in 2022, including 10.3 million tons of non-basmati white rice.

Rice as a Crop:

• Rice (Oryza sativa) has a major role in diet, economy, employment, culture and history, and this staple food (of eastern and southern India) plays a pivotal role in the food and livelihood security of people.
• Rice is a nutritional staple food which provides instant energy as its most important component is carbohydrate (starch).
• On the other hand, it is poor in nitrogenous substances and fat content or lipids.
• It is fundamentally a kharif crop in India and demands a temperature of around 25 degrees Celsius and above, and rainfall of more than 100 cm.

11. Tunisia

Subject:International Relations

Section: Mapping

Concept:

• Tunisia has pushed African migrants to scorching no-man’s lands along its borders with little food and water.
• Under a deal with the European Union, Tunisia agreed to tighten border controls in exchange for aid.

Tunisia:

• Tunisia, officially the Republic of Tunisia, is the northernmost country in Africa.
• Tunisia is home to Africa’s northernmost point, Cape Angela, and its capital and largest city is Tunis, located on its northeastern coast, which lends the country its name.
• Tunisia was inhabited by the indigenous Berbers.
• Tunisia is well integrated into the international community. It is a member of the United Nations, La Francophonie, the Arab League, the OIC, the African Union, the Non-Aligned Movement, the International Criminal Court, and the Group of 77, among others.
• It maintains close economic and political relations with some European countries, particularly with France, and Italy, which geographically lie very close to it.
• Tunisia also has an association agreement with the European Union, and has also attained the status of a major non-NATO ally of the United States.
• The word Tunisia is derived from Tunis; a central urban hub and the capital of modern-day Tunisia.
• Tunisia has great environmental diversity due to its north–south extent. Its east–west extent is limited.
• Tunisia has a coastline 1,148 kilometres (713 mi) long. In maritime terms, the country claims a contiguous zone of 24 nautical miles (44 kilometres), and a territorial sea of 12 nautical miles (22 kilometres).