Current Affairs 22 September 2020 – IAS Current Affairs

Current Affairs 22 September 2020 focuses on Prelims-Mains perspective. Major events are :

1. Feluda test for Covid-19
2. Minimum Support Price Detailed Analysis
3. Suspending MP’s From Rajya Sabha
4. Destination North East-2020
5. Infrastructure Investment Trust by NHAI
6. Basel III compliant bonds by SBI
7. Facts Based on Parliament Session

Feluda test for Covid-19

Why in News ?

An accurate and low-cost paper-based test strip to detect Covid-19 in less than 30 minutes has been approved for commercial launch by the Drugs Controller General of India.

About Feluda Test

• Developed by a research team of the Council of Scientific and Industrial Research (CSIR) and Tata Group.
  • Acronym for FNCAS9 Editor Linked Uniform Detection Assay. 
• Developed by a research team led by Debojyoti Chakraborty and Souvik Maiti of the Council of Scientific and Industrial Research (CSIR) and Tata Group.
  • The test  feluda with 96 per cent sensitivity and 98 per cent specificity for detecting novel coronavirus. 
• Test matches accuracy levels of RT-PCR tests
• Testing using Feluda
  • It uses indigenously developed CRISPR gene-editing technology to identify and target the genetic material of SARS-CoV2.
  • Feluda test is similar to a pregnancy test strip.
  • Cas9 protein interact with the SARS-CoV2 sequence in the patient’s genetic material.
  • The Cas9-SARS-CoV2 complex is then put on the paper strip where using two lines (one control, one test) makes it possible to determine if the test sample was infected with Covid-19.
• Comparison with other test rate : 
  • Feluda’ test costs just about Rs 500.
  • RT-PCR test costs between Rs 1,600 to Rs 2,000 four to eight hours, but results may take up to a day.
  • Antibody tests costs between Rs 500 and Rs 600 having time duration of  20-30 mins.
  • Rapid antigen test kit 30 minutes, costs Rs 450.
  • TruNat test provides results within 60 minutes for about Rs 1,300.

What is CRISPR gene-editing technology ?

• It is a powerful tool for editing genomes and allows alter DNA sequences and modify gene function.
  • Genome editing or gene editing is a group of technologies that give scientists the ability to change an organism’s DNA.
  • CRISPR-Cas9, which is short for clustered regularly interspaced short palindromic repeats and CRISPR-associated protein 9 (Cas9)
• It is use in correcting genetic defects and treating and preventing the spread of diseases.
• This can detect specific sequences of DNA within a gene and uses an enzyme functioning as molecular scissors to remove it.

Source : Indian Express

Topic

GS III : Achievements of Indians in science & technology; indigenization of technology and developing new technology

Minimum Support Price Detailed Analysis

Why in News ?

Reason for this Minimum Support Price Detailed Analysis is

1. After the Farmers Bill was passed there was a huge protest against the bill . One of the protest is related to the Minimum Support Price.
2. The government announced minimum support prices (MSP) for six rabi crops of 2020-21, to be marketed in rabi marketing season 2021-22.

What is Minimum Support Price ?

• If the open market has lesser price than the cost incurred during cultivation the farmers will get minimum set price for their crops.
• Agriculture Price Commission (Now Commission for Agricultural Costs and Prices (CACP)) was established in the year 1965, based on Jha committee recommendations to suggest support prices for crops after considering the cost of cultivation to account.
  • To ensure remunerative prices to farmers and reasonable prices to consumers and promote sustainable use of resources towards socially desirable crop mix.
  • During the Green Revolution, Government of India for the first time in 1966-67 for wheat Minimum Support Prices were announced.
  • Later MSP was expanded to a number of crops that was a boost for the Green Revolution.

Who is Deciding the MSP and How they calculate ?

• The central government notifies MSPs based on the recommendations of the Commission for Agricultural Costs and Prices (CACP)
• About CACP ?
  • Commission for Agricultural Costs & Prices (CACP) since 1985  and earlier named as Agricultural Prices Commission)
  • It came into existence in January 1965.
  • The Commission comprises of
    • Chairman,
    • Member Secretary,
    • One Member (Official) and
    • Two Members (Non-Official)
    • The non-official members are representatives of the farming community
      • They usually have an active association with the farming community.
  • It is mandated to recommend minimum support prices (MSPs)
• How they calculate ?
  • CACP considers factors
    • The cost of cultivation and production, productivity of crops, and market prices for the determination of MSPs.
    • National Commission on Farmers under Prof. M. S. Swaminathan also called as M.S Swaminathan Committee in 2006 had recommended that MSPs must be at least 50% more than the cost of production.
    • In 2018 year’s budget speech the Finance Minister said that MSPs would be fixed at least at 50% more than the cost of production.
  • CACP calculates cost of production at three levels
    1. A2, which includes cost of inputs such as seeds, fertilizer, labour
    2. A2+FL, which includes the implied cost of family labour (FL)
    3. C2, which includes the implied rent on land and interest on capital assets over and above A2+FL.

Which are the various crops under MSP ?

• • CACP recommends MSPs of 23 commodities comprises
    • 7 cereals : paddy, wheat, maize, sorghum, pearl millet, barley and ragi.
    • 5 pulses : gram, tur, moong, urad, lentil.
    • 7 oilseeds : groundnut, rapeseed-mustard, soyabean, seasmum, sunflower, safflower, nigerseed.
    • 4 commercial crops : copra, sugarcane, cotton and raw jute.
  • The above crops are 14 crops of the kharif season, 6 rabi crops and two other commercial crops.

Issues related to MSP

• All farmers do not receive benefits of increase in MSPs.
• The CACP in 2018-19 price policy report shows the inability of farmers to sell at MSPs is one of the key areas of concern.
• Farmers who are unable to sell their produce at MSPs have to sell it at market prices, which may be much lower than the MSPs.
• In 2018-19, just 12% of the 33.6 million farmers who were growing wheat availed of the government’s MSP.
• Small and and marginal farmers sold in their produce in  mandis which was usually controlled by middlemen and where market prices are often below government MSPs.

About the recent price increase six rabi crops of 2020-21 News

• The wheat MSP has seen an increase of just 2.6 per cent the lowest increase in 11 years.
• The MSPs for the other crops : barley, gram, lentil (masur), rapeseed and mustard, and safflower.
• The hike have seen a lower hike compared to last year.
• This increase in MSP is in line with the recommendations of Swaminathan Commission.
• Wheat MSP for the rabi crop of 2020-21 has been fixed at Rs 1,975 per quintal and 2.6 per cent higher than Rs 1,925 in 2019-20.
• Expected returns to farmers over their cost of production for these crops
  • Wheat (106%) followed by rapeseed & mustard (93%), gram and lentil (78%).
  • For barley, return to farmers over their cost of production is estimated at 65% and for safflower, it is 50%.

How Procurement process done ?

• Mode of purchase : The stocks shall be purchased by Cooperative Societies, Farmers’ Producer’s Organizations (FPO), Farmers’ Producer’s Companies, Panchayati Raj Institutions directly from farmers to eliminate possibility of middlemen taking advantage of the scheme.
• Area of operation : Purchase will be made from only those farmers who come into the area of operation of that particular purchase centers.
• Payment to Farmers : The paymentsto the farmers shall be made by ECS and cheques only,against their sale within three days from actual deliveryto the procuring agency.
  • The bank account of one individual farmer shall not be used for making payments of other farmers.
• Limitation on holding the stock : The procured material shall be stored only to its biological life but not exceeding six months.

Source : Indian Express

Topic

GS II : Developmental Initiative

1. Government policies and interventions for development in various sectors and issues arising out of their design and implementation

GS III : Food and Agriculture

1. Issues related to direct and indirect farm subsidies and minimum support prices; Public Distribution System- objectives, functioning, limitations, revamping; issues of buffer stocks and food security; Technology missions; economics of animal-rearing

Suspending MP’s From Rajya Sabha

Why in News ?

Eight Rajya Sabha MPs were suspended on  September 21 for unruly behaviour in the House the previous day (September 20). The motion was passed by a voice vote. Suspending MP’s From Rajya Sabha. 

About the News

• The government moved a motion seeking the suspension of opposition party MP’s
• Reason Mentioned
  • It is the role and duty of the Presiding Officer in case of Lok Sabha Speaker and Chairman in case of Rajya Sabha to maintain order so that House can function smoothly.
  • The suspension of the eight members comes it witnessed massive unruly scenes by protesting Opposition members during the passage of two farm Bills.
  • In order to ensure that proceedings are conducted in the proper manner the Speaker/Chairman is empowered to force a Member to withdraw from the House.
• It is strong action, but it is not uncommon.

Power to Suspend MP’s

• Rules of Procedure and Conduct of Business Rule Number 373
  • Withdrawal and Suspension of Members : The Speaker, if is of the opinion that the conduct of any member is grossly disorderly, may direct such member to withdraw immediately from the House, and any member so ordered to withdraw shall do so forthwith and shall remain absent during the remainder of the day’s sitting.
• Suspension of Member 374
  1. The Speaker, may, if deems it necessary, name a member who disregards the authority of the Chair or abuses the rules of the House by persistently and wilfully obstructing the business thereof.
  2. If a member is so named by The Speaker, the Speaker shall, on a motion being made forthwith put the question that the member (naming such member) be suspended from the service of the House for a period not exceeding the remainder of the session:
     • Provided that the House may, at any time, on a motion being made, resolve that such suspension be terminated.
  3. A member suspended under this rule shall forthwith withdraw from the precincts of the House.
• Automatic Suspension of a Member Section (374A)
  1. Notwithstanding anything contained in rules 373 and 374, in the event of grave disorder occasioned by a member coming into the well of the House or abusing the Rules of the House persistently and wilfully obstructing its business by shouting slogans or otherwise, such member shall, on being named by the Speaker, stand automatically suspended from the service of the House for five consecutive sittings or the remainder of the session, whichever is less:
     • Provided that the House may, at any time, on a motion being made, resolve that such suspension be terminated.
  2. On The Speaker announcing the suspension under this rule, the member shall forthwith withdraw from the precincts of the House.
• Do Chairman have the Power (Suspending MP’s From Rajya Sabha) ?
  • Unlike the Speaker the Rajya Sabha Chairman does not have the power to suspend a Member.
    • The House may, by another motion, terminate the suspension.
  • Chairman may name a Member who disregards the authority of the Chair or abuses the rules of the Council by persistently and wilfully obstructing business.
  • In such a situation, the House may adopt a motion suspending the Member from the service of the House for a period not exceeding the remainder of the session.

Source : Indian Express

Topic

GS II : Constitution of India and Indian polity

• Parliament and State Legislatures – structure, functioning, conduct of business, powers & privileges and issues arising out of these

Destination North East-2020

Why in News ?

Union Minister of State (Independent Charge), Development of North Eastern Region (DoNER), unveiled the Logo and song for festival “Destination North East-2020”.

About Destination North East-2020

• It is a festival helps to familiarize people of other parts of the country with the rich unexplored potential of North East.
• Destination North East 2020 is also an effort to make everyone explore the Local Destinations. 
• The annual event was organized by the collaborative effort of North Eastern Council(NEC), Indian Council for Cultural Relations (ICCR) and North East Region Community Resource Management Project (NERCORMP).
• North East offers a lot to Rest of India to learn from its culture, cuisines, entrepreneurship skills, scenic attributes and a society which is highly disciplined, literate and forward looking.
• Very rich business tradition in the areas of Bamboo, Handicrafts, Textiles and Handloom.
• The northeastern region, which is so far the least affected by Covid-19, could become the destination for the traditional Europe-bound tourists in the post-pandemic period.

North East Region

• The states of Assam, Arunachal Pradesh, Sikkim, Nagaland, Mizoram, Meghalaya, Tripura, and Manipur. 

Infrastructure Investment Trust by NHAI

Why in News ?

Union Cabinet approved the National Highways Authority of India (NHAI) setting up Infrastructure Investment Trust (InvIT) in December 2019, the company has recently started meeting investor groups, as it prepares to come up with its InvIT issue.

• Issue will enable NHAI to monetise its completed National Highways that have a toll collection track record of at least one year.
• NHAI reserves the right to levy toll on identified highways and it will help the company raise funds for more road development across the country.

About Infrastructure Investment Trust (InvIT)

• NHAI’s InvIT will be a Trust established by NHAI under the Indian Trust Act, 1882 and SEBI regulations.
• Institutions similar to mutual funds
  • It pool investment from various categories of investors and invest them into completed and revenue-generating infrastructure projects, thereby creating returns for the investor.
  • The unit-holders will get the distributions at least once every six month.
• Structured like mutual funds, they have
  • A trustee – Responsibility of inspecting the performance of an InvIT
  • Sponsor – Promoters of the company that set up the InvIT
  • Investment manager – Supervising the assets and investments
  • Project manager – Execution of the project
• The fund will be raised by monetising the completed NHs by introducing toll systems on the identified highway.

Why it required Immediate funds ?

• Centre had launched Bharatmala Pariyojana, its flagship highway development programme, for development of 24,800 km of roads at a total investment of Rs 5,35,000 crore.
• The highways authority plans to raise more than Rs. 85,000 crore by fiscal year 2025 through the toll-operate-transfer (ToT) model and infrastructure investment trusts (InvITs).

How The investor Get Benefit ?

• InvITs enable these investors to buy a small portion of the units being sold by the fund depending upon their risk appetite.
• Such trusts comprise largely of completed and operational projects with positive cash flow, the risks are somewhat contained.
• Investors can benefit from the cash flow that gets distributed.
• Besides the Unit-holders benefit from tax norms including exemption on dividend income and no capital gains tax if units are held for more than three years.

Source : Indian Express

Topic

GS III : Infrastructure and Indstry

• Infrastructure: Energy, Ports, Roads, Airports, Railways etc

Basel III compliant bonds by SBI

Why in News ?

The country’s largest lender State Bank of India on Monday said it has raised Rs 7,000 crore by issuing Basel III compliant.

What is Basel III Compliant bond ?

• Basel III regulations are designed to enhance the quality and quantity of capital held by banks.
• Bonds qualify as tier II capital of the bank and has face value of Rs 10 lakh each bearing coupon rate of 6.24 per cent per annum payable annually for a tenor of 10 years.
• Issuer of the bonds can call back the bonds before the maturity date by paying back the principal amount to investors.
  • There is call option after 5 years and on anniversary thereafter.
• Under the globally accepted Basel-III capital regulations, banks need to improve and strengthen their capital planning processes.

About Basel Guidelines

• Purpose of the accord is to ensure that financial institutions have enough capital on account to meet obligations and absorb unexpected losses.
• India has accepted Basel accords for the banking system.
• Basel I : Capital measurement system focused almost entirely on credit risk. India adopted Basel 1 guidelines in 1999.
• Basel II : The refined and reformed versions of Basel I accord. Has three parameters.
  • Capital Adequacy Requirements
  • Supervisory Review
  • Market Discipline
• Basel III : Basel III guidelines were released in 2010. To promote a more resilient banking system by focusing on four vital banking parameters capital, leverage, funding and liquidity.

Source : Economic Times

Topic

GS II : Important International institutions, agencies and fora- their structure, mandate

GS III : Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment

Facts Based on Parliament Session

Why this Facts Based on Parliament Session ?

The monsoon session of the Parliament Lok Sabha and Rajya Sabha started from September 14, 2020 and will continue till October 1. Here we include some Facts based on Parliament Session and figure based on the parliament session. This will help you in writing mains answers.

O-SMART

• O-SMART (Ocean Services, Modelling, Applications, Resources and Technology) scheme of Ministry of Earth Sciences (MoES)
• The Scheme Aims to
  • To generate and regularly update information on Marine Living Resources and their relationship with the physical environment in the Indian Exclusive Economic Zone (EEZ).
  • To Monitor levels of sea water pollutants for health assessment of coastal waters of India, to develop shoreline change maps for assessment of coastal erosion due to natural and anthropogenic activities.
  • To develop technologies to tap the marine bio resources.
  • To develop underwater vehicles and technologies.
  • Submission of India’s claim over continental shelf extending beyond the Exclusive Economic Zone supported by scientific data.

Neutrino Observatory in the country

• India based Neutrino observatory (INO) will observe neutrinos produced in the atmosphere of the Earth.
• This observation will tell us more about the properties of neutrino particles, whose main source is the Sun and the Earth’s atmosphere.
• The neutrino detector will be a magnetized iron calorimeter, which will be the heaviest one made by any country.
• The site identified is in Bodi West Hills, in Theni district, Tamil Nadu.

Steps to Boost The Growth of Industries

• Aatmanirbhar Package to boost Industrial growth has been announced by the Government for Rs. 20.97 lakh crore with bold reforms in a number of sectors.
• The Emergency Credit Line Guarantee Scheme (ECLGS), having provision of Rs 3 lakh crores, is 100% credit guarantee and Collateral Free Automatic Loans for MSMEs.
• Higher FDI cap has been allowed through automatic route in a number of sectors by streamlining and liberalising several sectors.
• Centralized Investment Clearance Cell is being created, which would provide end-to-end facilitation support, including pre-investment advisory, information related to land banks and facilitating clearances at Central and State level.
• Production Linked Incentive (PLI) scheme has been announced for large scale electronics manufacturing (Rs.40,955 crore), medical devices (Rs.3,420 crore) and KSMs/ Drug Intermediates and APIs (Rs. 6,940 crore).
• National Infrastructure Pipeline (NIP) to provide world-class infrastructure across the country and improve the quality of life for all citizens.

Source : pib

Topic

GS II & GS III

Current Affairs 22 September 2020 : Our major Sources for the Current Affairs are The Hindu, Indian Express, PIB. For more queries and mentor-ship please contact us.