The Prayas ePathshala

Exams आसान है !

Q1. Analyse inclusive growth and its applicability to the field of socioeconomic development.

GS III – Economy/Growth-related issues

Introduction:

Inclusive growth, as defined by the OECD, is economic growth that generates opportunity for all members of society and is allocated equally. By including social indicators and ensuring that marginalised groups actively engage in and profit from the development process, it goes beyond conventional metrics of growth.

The fundamentals of inclusive growth:

Ensuring that everyone can participate in and profit from economic activity, irrespective of their location, income, gender, ethnicity, or handicap
Equity is the reduction of disparities in wealth, income, and opportunity while fostering social inclusion and mobility.
Growth is defined as increasing productivity, innovation, and competitiveness as well as producing more and better jobs.
Sustainability is the goal of maintaining natural resources and ecosystems for future generations while striking a balance between economic, social, and environmental goals.
Stability is the preservation of fiscal restraint, shock and crisis resistance, and macroeconomic stability.

Important Aspects of Socioeconomic Development:

Poverty reduction and shared prosperity: Compared to trickle-down strategies, inclusive growth provides a more equitable and durable route to poverty reduction.
Encouraging social mobility, investing in human development, and generating decent jobs enable marginalised populations to climb the economic ladder and live better.
Social Stability and cohesiveness: Improving opportunities for all people and addressing disparities can reduce social tensions, promote justice, and bolster social cohesiveness. Consequently, this generates a more steady atmosphere for enduring sustainable growth.
Productivity and creativity can be increased in the economy by having a trained and healthy workforce, as well as better access to technology and education. Higher national income results from this, which also promotes inclusive growth.
Sustainable development ensures that future generations can prosper by striking a balance between environmental preservation and economic development.
As a result, it supports the Sustainable Development Goals of the UN, which seek to eradicate poverty, safeguard the environment, and guarantee everyone’s right to peace and prosperity.

Sustainable development requires inclusive growth in order to provide a fair and equitable society where advancement benefits all, fostering fairness and prosperity.

Q2. Examine the complexities involved in agricultural product marketing and transportation in the Indian environment.

GS III – Environmental Conservation/Agriculture-related issues

Introduction:

India is the world’s second-largest agricultural producer, but getting its varied commodities to market and through the transportation system is a major difficulty. This is frequently fraught with inefficiencies and results in 15% post-harvest losses, which negatively affects farmer earnings and customer access.

Bottlenecks in the transport system:

Bad infrastructure: With 63,72,613 km of roads, India has the second-largest road network in the world. Thirty percent of these are unpaved, and the remaining seventy percent are paved.
Inadequate logistics: The industry is beset by a deficiency in standardisation, innovation, coordination, and regulation. India’s logistics costs are projected to be 13–14% of GDP, far higher than the 8–9% global average.
Restricted storage facilities: Approximately 60% of India’s cold storage capacity is centred in the states of West Bengal, Bihar, and Uttar Pradesh. The country’s storage capacity is insufficient and unevenly distributed.
Of its 37–39 million tonnes of cold storage capacity, India uses just 60% of it.
Lack of Investment: The government is able to impose export prohibitions, price controls, and stock limits on specific commodities under the Essential Commodities Act, which deters private investment and innovation in the transportation and storage industry.

Concerns with Marketing:

Market Fragmentation: There are more than 6,000 agricultural marketplaces in India, each with its own set of rules and facilities. Because of its complexity and lack of transparency, marketing is expensive and ineffective.
In addition, producers are mandated by the Agricultural Produce Market Committee (APMC) Act to exclusively sell their produce in approved market yards.
Lack of timely and accurate information regarding the availability, demand, and prices of agricultural products in various marketplaces is a major problem for many farmers.
In 2023, just 5.8% of Indian farmers surveyed by the National Sample Survey Office reported using any kind of market information.
Absence of quality control and standardisation: India’s agricultural goods are not categorised or ranked based on their quantity, quality, or diversity. This leads to issues in the market with adulteration, inconsistency, and heterogeneity.
India is ranked 74th out of 113 countries in the world on the Global Food Security Index, which evaluates the accessibility, cost, quality, and safety of food, according to a report published by the Food and Agriculture Organisation.

The Way Ahead:

enhancing the cold storage, airports, highways, trains, rivers, and other transportation infrastructure for agricultural products and inputs.
encouraging the grading, labelling, certification, and testing of agricultural goods in accordance with their quality, quantity, and variety in order to promote standardisation and quality control.
improving market integration and competition through digital technology, new models such as e-trading, contract farming, farmers’ markets, modern terminals, direct marketing, and alternative marketing channels.
Increase eNAM’s reach: All farmers, even those who live in rural locations, should have easier access to the eNAM platform. Additional kiosks might be installed, and platform usage training could be given.

In order to fully realise the sector’s potential for farmer wealth and consumer access to high-quality produce, India’s agriculture needs to be revitalised. This will be accomplished by addressing transportation and marketing issues, developing infrastructure, implementing technology, empowering farmers, and adding value.