Daily Prelims Notes 28 November 2024

November 28, 2024
Posted by: OptimizeIAS Team
Category: DPN

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Daily Prelims Notes

28 November 2024

Table Of Contents

1. Impact of Corporate Tax Cuts on India’s Economy and Corporate Savings

Sub : Eco

Sec: Fiscal Policy

Introduction of Corporate Tax Cuts (2019)
Pre-2019 Tax Regime:
- 25% tax rate for companies with annual turnover up to ₹400 crore.
- 30% tax rate for others.
2019 Tax Cut:
- New tax regime reduced corporate tax to 22% for companies opting to forgo specific deductions.
- Lower tax rates introduced for new manufacturing companies with certain conditions.
- Estimated Tax Savings by Corporates
Tax Savings Since 2019:
- India’s largest corporates may have saved over ₹3 lakh crore in taxes since the introduction of the concessional tax regime in 2019.
Revenue Foregone from Deductions:
- Over the last decade (FY13 to FY22), ₹8.22 lakh crore in revenue was foregone through various corporate tax deductions.
- Decline in Corporate Tax Rates
Effective Tax Rate Before 2019:
- 30% or higher average effective tax rate for corporates on profits.
Post-2019 Tax Cut:
- Effective tax rate fell to 21.2% by FY24.
- Large companies, including the top 10% of the BSE 500, benefited.
- Corporate Profits vs Taxes Paid (FY20–FY24)
Corporate Profits Growth:
- Corporate profits grew at a significant rate of 32.5% between FY20 and FY24.
Taxes Paid Growth:
- Despite the growth in profits, the taxes paid by corporates grew by only 18.6% during the same period.

Corporate Tax

Corporate Tax is a direct tax levied on the profits of companies and corporations, both private and public, under the Companies Act.

The tax is calculated on the net income of the company after deducting business expenses, operating costs, and depreciation.

Corporate Tax Cuts in India (2019 Tax Reforms):

In 2019, India reduced corporate tax rates:
- For existing companies: From 30% to 22%.
- For new companies: From 25% to 15%.

Revenue Forgone:

Revenue forgone refers to the income or tax revenue that a government “forgoes” or loses due to exemptions, deductions, or other tax benefits provided to businesses, individuals, or other entities. This term is often used in the context of fiscal policy to describe the impact of tax incentives or relief measures, which reduce the tax base and government revenue collection.

In simpler terms, it represents the revenue the government could have collected but has decided to forgo in order to encourage specific behaviours such as investment, production, or consumption.

2. Trump’s Trade War, USMCA, and the Fentanyl Crisis: Implications on Global Trade and Public Health

Sub : Eco

Sec: External sector Policy

Introduction: The Trade War and Tariff Strategy

Donald Trump announced plans to levy 25% tariffs on imports from Canada and Mexico, and an additional 10% tariff on imports from China.
The tariffs aim to address the trade deficit, drug trafficking, and migrant flows into the U.S.
This move risks sparking a global trade war with the U.S.’s largest trading partners.

U.S. Trade with Canada, Mexico, and China (2023)

Total imports from these countries: $1.2 trillion.
Key Imports:
- Canada: Crude oil and gas products.
- Mexico: Automobiles and auto parts.
- China: Electronics such as phones and laptops.

Trump’s Reasons for Imposing Tariffs

Retaliation for Drugs and Migrants:
- Aimed at combating fentanyl trafficking and illegal immigration.
Reducing the Trade Deficit:
- The U.S. imports more than it exports, and Trump sees this deficit as harmful.
Encouraging Domestic Manufacturing:
- Tariffs are intended to incentivize companies to move production to the U.S.
- Trump’s message: “Build in the U.S., and you won’t face tariffs.”

Impact on U.S. Consumers

Price Increases:
- Tariffs raise costs for companies, which pass them on to consumers.
- Estimated household cost increase: $1,900 to $7,600 due to 1.4% to 5.1% inflation.
Corporate Responses:
- Companies like Walmart, Columbia Sportswear, and AutoZone plan to increase prices.
Consumer Awareness:
- Nearly two-thirds of Americans expect price hikes if tariffs are broadly implemented.

International Response and Impact on Farmers

Retaliation by Trading Partners:
- China: Tariffs on U.S. soybeans and corn hurt American farmers.
- Mexico: Economy Minister warned of retaliatory tariffs: “If you put 25% tariffs on me, I have to react.”
Impact on U.S. Farmers:
- U.S. farmers lost $10 billion in export revenue during previous disputes.
- 92% of tariff revenue was used to bail out affected farmers.

The USMCA: A Modernized Trade Agreement

The United States-Mexico-Canada Agreement (USMCA) replaced NAFTA on July 1, 2020.
Key Features:
- Level Playing Field: New rules of origin for automobiles and anti-currency manipulation measures.
- Agriculture Support: Enhanced market access for U.S. farmers and agribusinesses.
- 21st-Century Provisions: Stronger intellectual property (IP) protections, digital trade rules, and SME support.

Fentanyl Crisis: China’s Role and U.S. Response

Overview of the Opioid Epidemic:
- In 2021, over 107,000 overdose deaths occurred in the U.S., with 75% involving opioids like fentanyl.
- Fentanyl is 100 times more potent than morphine.
China’s Role:
- Produces precursor chemicals sent to Mexico, where fentanyl is manufactured and trafficked to the U.S.
U.S.-China Cooperation:
- In 2019, China added fentanyl to its controlled substances list.
- In 2023, the U.S. and China resumed cooperation through a Counternarcotics Working Group.

Trump’s Tariff Threat Over Fentanyl

In response to China’s failure to curb fentanyl trafficking, Trump announced an additional 10% tariff on Chinese imports.
Trump criticized China for failing to implement stricter penalties on drug traffickers.

Challenges to Resolving the Fentanyl Crisis

Local Resistance in China: Some Chinese provinces resist regulation due to employment concerns.
Blame-Shifting: China blames U.S. pharmaceutical companies like Purdue Pharma for the opioid crisis.

What Are Opioids?

Opioids are a class of drugs that derive from or mimic natural substances found in the opium poppy plant.
Mechanism of Action:
- They activate opioid receptors in the brain and body, blocking pain signals between the brain and the body.
- Effects include pain relief, euphoria, and sedation, but they are highly addictive.
Common Opioids:
- Prescription opioids: Oxycodone, morphine, and codeine.
- Illegal opioids: Heroin and illicitly manufactured fentanyl.
Risk of Overdose:
- Opioids can suppress the brain’s ability to regulate breathing, leading to respiratory failure and death.

What Is Fentanyl?

Fentanyl is a synthetic opioid that is 100 times more potent than morphine and 50 times more potent than heroin.

Medical Use: Approved by the FDA as an analgesic (pain reliever) and anesthetic for treating severe pain, such as in cancer patients or during surgery.

Illicit Use: Often mixed with other drugs (heroin, cocaine) or pressed into counterfeit pills, increasing the risk of accidental overdose due to its extreme potency.

United States-Mexico-Canada Agreement (USMCA)

The United States-Mexico-Canada Agreement (USMCA), replaced the North American Free Trade Agreement (NAFTA), came into effect on July 1, 2020. It aims to create a more balanced, mutually beneficial trade framework that supports high-paying jobs and enhances the North American economy.

NAFTA (North American Free Trade Agreement)

Signed: 1992, by Canada, Mexico, and the United States.
Purpose: To eliminate tariffs and reduce trade barriers between the three North American countries, aiming to create a trilateral trade bloc.

3. A primer on plastic pollution treaty talks

Sub :Env

Sec: Int conventions

Context:

The last round of negotiations for a legally binding treaty to combat global plastic pollution is underway in Busan, South Korea.
The treaty aims to create a legally binding global framework to address plastic pollution by managing production, consumption, design, and waste.

Chemicals and Polymers of Concern:

Chemicals of Concern: Includes phthalates, bisphenols, and flame retardants, known for toxicity and health risks.
Polymers of Concern: Expanded polystyrene (EPS), PVC, and other non-recyclable materials contribute to environmental harm.
Proposals:
- Norway and EU: Strong global regulations, lists for elimination/minimization.
- Opposition: Saudi Arabia, Kuwait, and Russia oppose including chemicals in the treaty, citing existing conventions (e.g., Stockholm Convention).
- Moderates: India and Egypt propose national discretion with risk-based approaches.

Proposals from Key Nations:

Rwanda: Proposed a 40% reduction in primary plastic production by 2040 (baseline: 2025).
EU: Comprehensive targets with reviews and elimination of subsidies for plastic production.
Peru: Focus on sustainable production and analysis of global trade in plastics.
Guatemala, Philippines, Thailand, Panama, and Australia: Emphasize capacity building, gradual implementation, and focus on challenging plastics.
Saudi Arabia, Russia, and Kuwait: Strongly oppose global mandates on production and chemical regulation.

Global Plastic Pollution:

Plastic pollution is a critical environmental issue caused by the excessive production, inadequate disposal, and pervasive use of plastics. It affects ecosystems, wildlife, and human health worldwide.

Key Facts and Statistics

Production and Waste:
- Global plastic production reached 367 million tons in 2020 and is projected to rise to 736 million tons by 2040 without policy intervention.
- Less than 10% of plastic waste is recycled, while the majority ends up in landfills or the environment.
Ocean Pollution:
- Around 11 million tons of plastic waste enter oceans annually, a figure that could triple by 2040.
- Plastic pollution affects at least 700 marine species, often through ingestion or entanglement.
Single-Use Plastics:
- Single-use plastics account for a significant portion of pollution. Items like bags, bottles, and straws are used briefly but persist in the environment for hundreds of years.
Microplastics:
- Microplastics (<5mm) result from the breakdown of larger plastics and are found in water, air, and soil.
- They pose risks to marine life and human health through the food chain.

Sources of Plastic Pollution

Industries:
- Packaging (largest contributor, about 40% of plastic use).
- Textiles, electronics, and construction materials.
Consumer Waste:
- Improper disposal of products like bottles, bags, and single-use items.
Fishing and Shipping:
- Abandoned fishing gear and waste from shipping activities contribute significantly to marine plastic pollution.

Environmental Impacts

Ecosystems: Plastics disrupt habitats, block sunlight, and release toxins into soil and water.
Wildlife: Animals ingest or become entangled in plastics, leading to injuries, starvation, or death.
Climate Change: Plastic production and incineration contribute to greenhouse gas emissions, with emissions expected to reach 1.34 gigatons annually by 2030.

Human Health Risks

Chemical Exposure: Plastics release harmful chemicals like BPA and phthalates, which are linked to hormonal and reproductive issues.
Microplastics: Detected in food, water, and air, microplastics may carry toxins that affect human health.

Global Efforts to Combat Plastic Pollution

Paris Agreement (2015): Includes commitments to reduce emissions from plastic production.
United Nations Environment Programme (UNEP): Advocates for a global agreement to eliminate plastic pollution.
International Coastal Cleanups: Mobilize volunteers worldwide to collect waste from beaches and waterways.

Source: TH

4. Earth’s desertification emergency: UNCCD COP16 summit begins in Riyadh next week — what can we expect to happen

Sub: Env

Sec: Int conventions

Context:

The 16th session of the Conference of Parties (COP16) to the United Nations Convention to Combat Desertification (UNCCD) will be held from December 2-13, 2024, in Riyadh, Saudi Arabia. This session coincides with the UNCCD’s 30th anniversary and brings a renewed focus on addressing desertification, land degradation, and droughts, which are pressing global challenges.

Key Highlights of COP16:

Theme: “Our Land and Our Future”
- The theme emphasizes land restoration and resilience-building as essential for sustainable development and climate action.
Historic Venue:
- Hosting COP16 in Saudi Arabia, a region acutely affected by desertification and drought, underscores the urgency of addressing these issues.
Largest UN Land Conference:
- COP16 is set to be the largest UN land conference to date, with participation from 197 parties globally.
Dual Approach:
- Negotiation Track: Focuses on political declarations and COP decisions crucial for global action on land degradation and drought resilience.
- Action Agenda: Highlights voluntary commitments, thematic dialogues, and implementation plans through multi-stakeholder partnerships.
Key Objectives:
- Accelerate land restoration to achieve a land-degradation-neutral world by 2030.
- Boost resilience to droughts, dust storms, and other land-related challenges.
- Restore soil health, promote land rights, and create sustainable livelihoods.
- Unlock economic opportunities tied to land restoration.
Riyadh Action Agenda:
- A flagship outcome, structured around thematic days, to scale up responses to land conservation, restoration, and drought resilience.

Global Context: Desertification, Land Degradation, and Drought

3.2 billion people are affected by desertification worldwide.
29% increase in droughts since 2000, driven by climate change and unsustainable land use.
Land degradation has caused economic losses worth $11 trillion.

Projected Impacts:
- By 2050, over 216 million people could be displaced internally due to climate-induced land degradation and drought.
- To meet global goals, 1.5 billion hectares of degraded land must be restored by 2030.
Key Drivers:
- Erratic rainfall and over-reliance on groundwater.
- Decline in natural groundwater recharge systems like ponds and lakes.
- Unsustainable agricultural and land management practices.

Significance of COP16:

Call to Action:
- Expected to declare a global emergency on land degradation and desertification.
- Focus on concrete implementation of past discussions through action-oriented strategies.
Economic and Social Opportunities:
- Land restoration presents opportunities for job creation, poverty alleviation, and climate resilience.
Global Cooperation:
- Encourages collective action among nations, non-state actors, and private sector stakeholders to address land degradation on a war footing.

5. Religious Conversion for Quota Benefits Deemed Fraudulent: Supreme Court Verdict

Sub: Polity

Sec: Constitution

Why in News

The Supreme Court of India recently delivered a landmark judgment, asserting that religious conversion done solely to secure reservation benefits constitutes a fraud on the Constitution. The judgment highlights the sanctity of the reservation policy and condemns its misuse for ulterior motives.

Background:

A woman from Puducherry, originally a Christian by birth, sought a Scheduled Caste (SC) community certificate after allegedly converting to Hinduism. She claimed this status to secure employment under the SC reservation quota.
Evidence showed her parents’ marriage was registered under the Indian Christian Marriage Act, 1872. Records indicated she had been baptized and regularly attended church services, contradicting her claim of conversion to Hinduism.
Supreme Court: Conversion must be based on genuine belief in the tenets and principles of a religion, not driven by ulterior motives like securing reservations.

Article 25 of Indian Constitution:

Article 25 says that all persons are equally entitled to freedom of conscience and the right to freely profess, practice, and propagate religion. The implications of these are:
Freedom of conscience: Inner freedom of an individual to mould his relationship with God or Creatures in whatever way he desires.
Right to profess: Declaration of one’s religious beliefs and faith openly and freely.
Right to practice: Performance of religious worship, rituals, ceremonies, and exhibition of beliefs and ideas.
Right to propagate: Transmission and dissemination of one’s religious beliefs to others or exposition of the tenets of one’s religion. But it does not include the right to convert another person to one’s own religion. Forcible conversions impinge on the ‘freedom of conscience’ guaranteed to all the persons alike.
Thus, Article 25 covers not only religious beliefs (doctrines) but also religious practices (rituals).
Moreover, these rights are available to all persons–citizens as well as non-citizens.
However, these rights are subject to public order, morality, health, and other provisions relating to fundamental rights.

About Arya Samaj:

The Arya Samaj Movement, revivalist in form though not in content, was the result of a reaction to Western influences.
Its founder, Dayananda Saraswati or Mulshankar (1824-1883) was born in the old Morvi state in Gujarat in a brahmin family.
The first Arya Samaj unit was formally set up by him at Bombay in 1875 and later the headquarters of the Samaj were established at Lahore.
Dayananda’s views were published in his famous work, Satyarth Prakash (The True Exposition). His vision of India included a classless and casteless society, a united India (religiously, socially and nationally), and an India free from foreign rule, with Aryan religion being the common religion of all.
He took inspiration from the Vedas and considered them to be ‘India’s Rock of Ages’, the infallible and the true original seed of Hinduism. He gave the slogan “Back to the Vedas”.
Dayananda launched a frontal attack on Hindu orthodoxy, caste rigidities, untouchability, idolatry, polytheism, belief in magic, charms and animal sacrifices, taboo on sea voyages, feeding the dead through shraddhas, etc.
Dayananda subscribed to the Vedic notion of chaturvarna system in which a person was not born in any caste but was identified as a brahmin, kshatriya, vaishya or shudra according to the occupation the person followed.

6. Moiré Superconductors: Unlocking New Frontiers in Quantum Materials

Sub :Sci

Sec: Awareness in IT and Computer

Why in News

Recent research has demonstrated that moiré materials made from semiconductors, such as twisted bilayer tungsten diselenide (tWSe₂), exhibit superconductivity. This discovery challenges the earlier notion that superconductivity was exclusive to graphene-based moiré systems. The study, published in Nature, opens new avenues for exploring quantum materials and their unique properties.

What Are Moiré Materials?

Moiré materials are formed by stacking two layers of 2D materials and rotating one layer by a small angle. This misalignment creates a distinct moiré pattern that alters the material’s electronic and quantum properties.
Example: Graphene, a single layer of carbon atoms, forms a moiré material when stacked and twisted.
The study shows that semiconductor-based moiré materials like twisted bilayer tungsten diselenide tWSe₂ also exhibit superconductivity, previously thought to be unique to graphene.
Formation: The twist in the layers of moiré materials creates a pattern that influences their electronic structure.
The twist results in the formation of flat energy bands, where electrons exhibit uniform energy levels, leading to slow-moving, “heavy” electrons.
The flat bands enhance electron-electron interactions, which play a critical role in superconductivity.

Superconductivity in tWSe₂:

The researchers created a moiré material using a twist angle of 3.65° in tWSe₂.
The material exhibited superconductivity at a temperature of approximately -272.93°C, comparable to high-temperature superconductors.
Unlike graphene-based systems, tWSe₂ showed stable superconducting properties, even under cycling between room and transition temperatures.
Strong electron interactions in moiré materials result in the formation of Cooper pairs. These paired electrons move without resistance, leading to superconductivity.
In tWSe₂, superconductivity is driven primarily by electron-electron interactions and half-filled electronic states, contrasting with graphene-based systems that rely on electron-lattice interactions.
The material exhibited a coherence length ten times longer than other moiré materials, indicating its stable superconducting state.

About Cooper pair:

A Cooper pair is a pair of electrons that bond together in a superconducting material due to attractive interactions, despite their natural repulsion.

This pairing occurs at low temperatures when electrons interact with lattice vibrations (phonons) or other mechanisms.

The paired electrons move in a coordinated manner, enabling them to flow without scattering or resistance. This phenomenon underlies superconductivity, where electrical current passes through the material with zero energy loss.

Comparison:

Property	Graphene-Based Moiré Materials	tWSe₂
Superconductivity Driver	Electron-lattice interactions	Electron-electron interactions
Temperature Stability	Less stable	More stable
Transition Temperature	Higher than tWSe₂	~-272.93°C

7. Indian Army Integrates Logistics Drones and Advances Stealth Technology

Sub :Sci

Sec: Defence

Why in News

The Indian Army has received Sabal-20 logistics drones, developed by Endure Air Systems, for deployment in the eastern sector. Simultaneously, the Indian Institute of Technology (IIT), Kanpur, has unveiled a groundbreaking Metamaterial Surface Cloaking System (MSCS), named Analakshya, marking a major advancement in stealth technology.

Sabal-20 Logistics Drones:

Developer: Endure Air Systems, incubated at IIT Kanpur in 2018.
Type: Electric unmanned helicopter based on variable pitch technology.
Payload Capacity: Up to 20 kg.

Capabilities:

Long-range deliveries.
High-altitude operations.
Precision logistics missions.

Equipped with advanced Vertical Take-Off and Landing (VTOL) technology, allowing seamless operations in confined and rugged terrains.

Low RPM design: Reduces noise and provides a low aural signature, enhancing stealth in sensitive missions.

Analakshya: Metamaterial Surface Cloaking System

The Metamaterial Surface Cloaking System (MSCS) is an advanced stealth technology developed by IIT Kanpur.
It manipulates electromagnetic waves to provide cloaking against radar detection, thermal imaging, and motion sensors.
Made using metamaterials, which have engineered properties to control wave behaviour.
Provides near-perfect wave absorption across a broad electromagnetic spectrum.
Lightweight, ultra-thin, and flexible, suitable for diverse terrains and climates.
Ideal for military camouflage, covering soldiers, vehicles, and aircraft to evade detection.
Protects against Synthetic Aperture Radar (SAR) imaging and radar-guided missiles.
Can be adapted for aircraft windshields and radar-absorbing textiles.
More efficient than traditional stealth materials like heavy ceramics.
Potential for active camouflage systems to dynamically adjust to environments.
Scalable for use in both ground-based and aerial platforms.
Adaptable for high-speed aircraft and extreme operational conditions.

8. First phase of ‘One Nation One Subscription’ approved: How the scheme can improve govt institutions’ access to journals

Sub : Schemes

Sec : Sci

Context:

The Union Cabinet approved a budget of Rs 6,000 crore for the One Nation One Subscription (ONOS)
This initiative aims to centralize the access to academic journals for higher education institutions (HEIs) in India, making scholarly resources more equitable and accessible.

About the initiative:

The primary goal of ONOS is to consolidate access to scholarly journals for nearly 6,300 government-run HEIs, including universities, colleges, and research institutions.
The initiative will provide access to 13,000 scholarly journals from 30 international publishers through a single platform, effective from January 1, 2025.
The journals cover a wide range of academic disciplines, and institutions only need to register on the platform to access them.
The ONOS scheme aligns with the National Education Policy (NEP) 2020.

Current System:

Currently, HEIs access journals through 10 library consortia managed by various ministries, such as the UGC-Infonet Digital Library Consortium, which provides access to a limited set of journals. Additionally, some HEIs subscribe to journals individually.

9. SC seeks balance between bail and obligation of accused to timely trial

Sub : Polity

Sec : Legislation in news

Context:

The Supreme Court proposed a solution to address delays in trials for accused persons seeking bail in money laundering cases under the Prevention of Money Laundering Act (PMLA).
The Court’s suggestion aims to strike a balance between protecting the accused’s right to liberty and ensuring the trial progresses without undue delays.

Key Proposal:

The Court suggested that accused persons seeking bail on the ground of trial delay should give an undertaking to cooperate fully with the trial and not seek adjournments during the course of the trial.
The Court ruled that a delay in the trial, which is not the fault of the accused, is a valid ground for granting bail.

Violation of fundamental right:

The Court stated that keeping an accused in custody indefinitely while waiting for a speedy trial violates their fundamental right to liberty under Article 21 of the Indian Constitution.

Prevention of Money Laundering Act (PMLA)

Prevention of Money Laundering Act, 2002 was enacted by the Indian Government to prevent money laundering and to provide for confiscation of property derived from money laundering.
Under the PMLA, the burden of proof lies with the accused, who has to prove that the suspect property/assets have not been obtained through proceeds of crime.
The provisions of this act are applicable to all financial institutions, banks (Including RBI), mutual funds, insurance companies, and their financial intermediaries.

10. The right to work deleted

Sub : Polity

Sec : Legislation in news

Context:

The number of worker deletions in MGNERGA job cards significantly increased from 1.49 crore in 2021-22 to 5.53 crore in 2022-23, marking a 247% rise.
This surge coincided with the government’s push for Aadhaar-based payment systems (ABPS) under MGNREGA, which led to an increased focus on deletion of non-compliant or duplicate workers to improve compliance metrics.

What is MGNREGA:

The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a landmark legislation aimed at enhancing livelihood security in rural India by providing a legal guarantee of 100 days of paid employment per year to rural households.
MGNREGA ensures that every rural household has the legal right to work, with a unique job card issued for each household. This card contains the names of all registered adults within the household.

Deletions from Job Cards:

If a person is found to have provided false information during registration, the Gram Panchayat can order their deletion from the register. The person must be given a chance to be heard in the presence of two independent witnesses.
The Ministry of Rural Development (MoRD) issues Master Circulars, updated periodically, that provide guidelines on the deletion of workers from job cards.

Conditions for Deletion:

Permanent migration of the household.
Duplicate job card entries.
Issuance of the card based on forged documents.
Reclassification of a Gram Panchayat as a Municipal Corporation, resulting in the deletion of all job cards in that area.

Not Willing to Work:

One of the most common reasons for deletions in the sample is that workers were categorized as “Not willing to work.” In 2022-23, 83% of deletions were attributed to this reason.

Absence of Proper Consultations:

In many cases, deletions were made without consulting the Gram Sabhas, violating the due process outlined in the Act. Workers often did not have prior knowledge of their deletion.

11. Ban this carcinogenic ‘heart-burn’ drug

Sub: Sci

Sec: Health

Context:

In 2020, Valisure, an American pharmacy, revealed that Ranitidine products, including Zantac, contained high levels of N-nitrosodimethylamine (NDMA).
Ranitidine is a medication used to decrease stomach acid production.
NDMA is a potent carcinogen, and prolonged exposure to high levels can increase the risk of cancer.

Use in India:

The Indian government has not taken action to stop the sale of Ranitidine in the country, even though there are alternative drugs available.
The Indian Pharmacopeia Commission (IPC), which sets standards for drug impurities, failed to detect the NDMA issue.
Given the known health risks, there is increasing pressure for the Ministry of Health to take action and prohibit the sale of Ranitidine in India.

Regulatory Authority for banning Drugs:

Under Section 26A of The Drugs and Cosmetics Act, 1940, the Ministry of Health, specifically the Drug Regulation Section, has the authority to prohibit the manufacture and sale of drugs in India if a public health concern is raised.

Indian Pharmacopeia Commission (IPC):

The IPC is an autonomous body under the Ministry of Health responsible for setting standards for drugs, including permissible impurity levels and testing protocols.
It publishes the Indian Pharmacopeia, which guides the quality control of pharmaceuticals in India.