Month: May 2023

The G20 leaders will focus on collective progress, equity, and inclusive growth under India’s chairmanship, with the summit theme of One Earth, One Family, One Future. The commitment of India to green development, circular economy, and lifestyle improvements aims to accomplish the 2030 Sustainable Development Goals. In June, the Comptroller and Auditor General of India (CAG) will preside at SAI20, the G20 Engagement Group for Supreme Audit Institutions (SAls).

Priority areas for SAI20 discussions During India’s presidency,

In June of this year, the Comptroller and Auditor General of India (CAG) will preside over the SAI20 meeting in Goa.

Two priority areas have been selected for SAI20 deliberation:

• Blue economy
• Responsible Artificial Intelligence

SAI20

• SAI20 refers to the G20 countries’ Supreme Audit Institutions (SAIs).
• It is a meeting for SAIs from G20 countries to exchange experiences and skills in auditing public policies and governance practises.
• The group meets once a year to address major public auditing issues and to propose coordinated measures to enhance good governance and accountability in their respective nations.

Blue Economy

• The World Bank defines blue economy as the sustainable use of ocean resources for economic growth, improved livelihoods, and job creation while conserving the health of the ecosystem.
• Gunter Pauli’s book “The Blue Economy: 10 Years, 100 Innovations, 100 Million Jobs” (2010) popularised the concept of the Blue Economy.
• At a conference in 2012, the United Nations introduced blue economy and emphasised sustainable management, arguing that healthy marine ecosystems are more productive. Indeed, the UN acknowledges that the Blue Economy is precisely what is required to implement SDG 14, Life Below Water.
• The term ‘blue economy’ refers not only to ocean-dependent economic development, but also to inclusive social development, as well as environmental and ecological security.

Key functions and significance of Supreme Audit Institutions (SAIs)

• Independent audits: SAIs undertake independent audits of government finances and operations to guarantee that public funds are spent legally and that government agencies are running effectively and efficiently.
• openness and accountability: SAIs supports openness and accountability by making audit reports public and by informing the public about government spending and activities.
• Improving governance: By exposing flaws and inefficiencies in government operations, SAIs can contribute to better governance and more efficient use of public resources.
• SAIs assist the legislative branch by providing information and analysis that allows parliamentarians to make educated decisions about government programmes and policies.
• Compliance with laws and regulations: SAIs assure compliance with laws and regulations by analysing government operations and financial statements to ensure compliance with applicable laws and regulations.
• Fostering international cooperation: SAIs engage and exchange best practises with their counterparts in other countries through international organisations such as the International Organisation of Supreme Audit Institutions (INTOSAI) to promote good governance and accountability globally.

How can CAG take the lead in the SAI20 engagement group?

• Setting the agenda: The CAG can establish the agenda for SAI20 discussions, suggesting priority areas for discussion and ensuring alignment with the G20 and UN goals.
• The CAG can give technical experience in auditing and public finance management, which can assist other SAIs in the group in developing their competence and improving their performance.
• Creating audit toolkits: The CAG can take the lead in creating audit toolkits that will assist SAIs in the group in assessing development along coastal sections, monitoring marine water quality, and promoting sustainable development.
• Building consensus: The CAG can try to promote constructive debate and agreement among SAIs in the group on how to improve auditing of performance in certain areas of ocean-based operations.
• Increasing accountability: The CAG can use SAI20 to promote transparency, accountability, and good governance in ocean-based operations, which can help guarantee that the benefits of economic growth are distributed equally across generations.

@the end

The toolkits developed by SAI20, led by the CAG of India, will be presented at the SAI20 Engagement Group meeting, which will provide a rare chance for productive debate and agreement to improve auditing of performance in specific areas of ocean-based operations. This collaborative endeavour will not only help auditors in SAI20 member nations gain capacity, but would also benefit regional auditing communities by providing a shared and reproducible auditing tool.

Source: https://pib.gov.in/PressReleasePage.aspx?PRID=1906034#:~:text=The%20SAI20%20Delegates%20Meeting%20will,under%20the%20India's%20G20%20Presidency.

The Ministry of Science and Technology’s Department of Science and Technology has published the National Manufacturing Innovation Survey (NMIS) 2021-22. Survey Questions

(1) Firm-level survey

• It collected information about the types of innovations and the inventive tactics adopted by businesses.
• This includes the innovation process, access to financing, resources, and information for innovation, as well as recording the elements influencing a firm’s innovation activities.
• During the observation period, one in every four firms successfully implemented an innovation.
• Over 80% of these businesses benefited significantly in terms of expanding markets, increasing production, and lowering costs.

(2) Sectorial System of Innovation survey

• It mapped the manufacturing innovation system and its role in achieving firm-level innovation.
• It assesses the interconnections of the innovation ecosystem’s stakeholders, impediments to innovation, and the convergence or divergence of policy instruments in five main industrial sectors essential to the Indian economy.

The main points

• Dadra and Nagar Haveli, Daman and Diu (DNH&DD), Telangana, and Tamil Nadu are the most “innovative” states, followed by Karnataka.
• Telangana, Karnataka, and Tamil Nadu had the largest proportion of innovative enterprises, accounting for 46.18%, 39.10%, and 31.90%, respectively.
• Odisha, Bihar, and Jharkhand had the lowest proportion of such businesses, with 12.78%, 13.47%, and 13.71%, respectively.
• Almost three-quarters of the 8,000-odd firms surveyed, the majority of which were micro, small, and medium enterprises (MSME), did not create any innovative products or processes.
• However, nearly 80% of the firms that did report significant gains, such as expanding markets and lowering production costs, reported significant gains.

Identified impediments

• The most common “barriers to innovation” were a lack of internal money, high innovation expenses, and a lack of external financing.
• Despite being among India’s most industrialised states, Gujarat and DNH&DD showed the highest frequency of impediments to innovation.

The importance of the survey

• It will contribute to the Make-in-India initiative, specifically the Production Linked Incentive (PLI) schemes.
• It will aid in the expansion of manufacturing in a range of industries, including electronics, medicines, and autos.

Source: https://indianexpress.com/article/india/national-manufacturing-innovation-survey-dst-karnataka-telangana-8589073/

The Department of Food and Public Distribution (DoF&PD), particularly the Food Corporation of India (FCI), must have breathed a sigh of relief as wheat procurement has surpassed 20 million tonnes (MT), a significant increase over last year. Three states have given more than 98 percent to the central pool: Punjab, Haryana, and Madhya Pradesh.

Estimates of wheat output

• The Ministry of Agriculture and Farmers’ Welfare (MoA&FW) had previously estimated this year’s wheat production at 112 MT. The impact of unseasonal rainfall on wheat production, on the other hand, has made the updated projection questionable.
• Punjab: Punjab, one of the main contributors to wheat procurement, is also expecting losses owing to bad weather right before harvest. Despite the unseasonal rains, interactions with Punjab Agriculture University (PAU), market functionaries, and farmers indicate that wheat production this year will be higher than last.
• Uttar Pradesh produces about twice as much wheat (approximately 35 MT) as Punjab (approximately 18 MT). UP is expected to get 3.5 MT of wheat, but has only procured 0.12 MT thus yet. Unless there is a surprise in May and June, global wheat procurement may fall far short of 30 MT.

Difficulties in delivering healthful food through PDS

• Infrastructure and supply chain management: There is a lack of enough infrastructure and a supply chain to transport and store nutritious foods like millets, pulses, and oilseeds. This causes deterioration and waste, lowering the quality of food delivered through PDS.
• Cost: Providing healthful food items through PDS may raise the program’s cost, making it difficult for the government to continue in the long run.
• Awareness and demand: The general public is unaware of the benefits of healthy foods and the importance of including them in their diet. Furthermore, there may not be enough demand for these items, resulting in low offtake and waste.
• Operational problems: There are various operational challenges that must be solved for an effective PDS programme, such as the procurement, storage, and delivery of healthy food items.
• Political interference: Political intervention may occur in the selection of food items to be included in the PDS, resulting in a concentration on populist measures rather than nutritional food items. This has the potential to impair the program’s effectiveness.

Nutrition security through PDS and a help to climate resilient agriculture

• Including more nutritious foods in PDS: Including more nutritious foods in PDS, such as millets, pulses, and oilseeds, can help fulfil the twin goals of nutrition and climate resilience.
• Encouraging the cultivation of climate-resilient food crops such as millets, pulses, oilseeds, and so on can help ensure a consistent supply of healthy food.
• Fair price stores can be updated and designated as Nutritious Food Hubs (NFHs) if at least 10% of them are improved. These NFHs can be bio-fortified, including rice and wheat, millets, pulses, oilseeds (particularly soyabean products with 40% protein), fortified milk and edible oils, eggs, and so on.
• Targeted beneficiaries may be given electronic vouchers (similar to an e-meal coupon in a food court) that can be charged by the government three or four times a year.
• Government aid for improving NFHs: With government assistance, NFHs can be upgraded, creating a demand from the masses for more diverse and healthy food.
• Rice procurement must be limited: Rice procurement must be limited, beginning with districts where the water table is rapidly diminishing.
• For example, the groundwater level in Sangrur, Punjab, fell by more than 25 metres between 2000 and 2019. Farmers in such districts should be motivated to cultivate climate-smart millets, pulses, oilseeds, and other crops that require considerably less water and fertiliser, saving power and fertiliser subsidies.
• Giving a special package for carbon credits: The Centre and the states must work together to provide a special package for carbon credits for the cultivation of such crops. Farmers can be compensated up to Rs 10,000 per acre (to be divided equally by the Centre and the state), as these crops would save the Centre’s fertiliser subsidy and the state’s power subsidy.

@the end

Chintan Shivir of the Department of Food and Public Distribution has a fantastic vision for leveraging PDS to supply more nutritious food, but there are significant operational hurdles to ensure a consistent flow of these goods. Upgrading at least 10% of the fair price stores to healthy Food Hubs could create a demand from the general public for more diverse and healthy food. However, limiting rice procurement and incentivizing farmers to grow climate-smart millets, pulses, and oilseeds that use less water and fertiliser are necessary.

Source: https://planet.outlookindia.com/news/pds-from-food-security-to-nutrition-security-news-414653