DAILY NEWS ANALYSIS

Recently, the Government of India increased the financial approval limit of the Central Silk Board from ?50 lakh to ?1 crore by amending Rule 22 of the Central Silk Board Rules, 1955. This step is intended to improve administrative efficiency and speed up decision-making for projects related to the development of the silk industry in India.

About Central Silk Board

The Central Silk Board (CSB) is a statutory body established in 1948 through an Act of Parliament to promote and regulate the development of the silk sector in India.

The Board functions under the administrative control of the Ministry of Textiles, Government of India.

Its headquarters is located in Bengaluru, Karnataka.

The Board serves as the apex institution responsible for policy advice, research, and the promotion of sericulture activities across the country.

Mandate of the Central Silk Board

Advisory Role to the Government

One of the primary responsibilities of the Central Silk Board is to advise the Central Government on all matters related to the development of the silk industry, including policies concerning the import and export of raw silk.

Industry Monitoring and Reporting

The Board is responsible for preparing reports and providing data related to the silk sector whenever required by the Government. These reports assist in policy formulation and sectoral planning.

Promotion of Scientific Sericulture

The Board promotes modern and scientific methods of sericulture in order to increase productivity, improve the quality of silk, and enhance the overall efficiency of the industry.

Employment Generation

Sericulture is a labour-intensive activity, and the Board works to create employment opportunities and increase income levels for rural households, especially farmers, artisans, and small producers.

Silk Production in India

Global Position

India is the second-largest producer and consumer of silk in the world, making the sector important for rural employment, traditional industries, and exports.

Growth in Production

India’s raw silk production has shown consistent growth, increasing from 31,906 metric tonnes in 2017–18 to 38,913 metric tonnes in 2023–24, reflecting the expansion and modernization of the sericulture sector.

Major Silk-Producing States

The leading silk-producing states include:

• Karnataka – the largest producer of silk in India

• Andhra Pradesh

• Other important contributors include Tamil Nadu, West Bengal, and Assam.

Major Varieties of Silk Produced in India

India is unique in producing all four major varieties of natural silk, which include:

• Mulberry Silk – the most widely produced variety

• Eri Silk – known for its softness and warmth

• Tasar Silk – produced mainly in forest areas

• Muga Silk – a golden-coloured silk unique to Assam

Conclusion

The Central Silk Board plays a crucial role in the growth and regulation of India’s silk industry. By promoting scientific sericulture, supporting rural livelihoods, and advising the government on policy matters, the Board contributes significantly to strengthening India’s position as a major global producer of silk. The recent increase in its financial approval limit is expected to enhance operational efficiency and accelerate development initiatives in the sericulture sector.

Recently, Union Minister Ashwini Vaishnaw stated that while India engages with global powers at international forums, the World Economic Forum (WEF) meeting at Davos primarily serves as a platform for exchange of ideas rather than formal group-to-group trade negotiations.

About the World Economic Forum

The World Economic Forum (WEF) is an international non-profit organization established in 1971. It brings together political leaders, business executives, academics, and civil society representatives to discuss and address pressing global issues.

The organisation promotes the concept of stakeholder theory, which emphasizes that businesses should consider the interests of society, governments, and communities, rather than focusing only on shareholders.

The central mission of the WEF is “to improve the state of the world through public-private cooperation.”

Headquarters

The headquarters of the World Economic Forum is located in Geneva, Switzerland.

Annual Meeting at Davos

The WEF is best known for its Annual Meeting held in Davos, a famous ski resort town in Switzerland.

The Davos meeting brings together global leaders from governments, multinational corporations, international organisations, and civil society. During the meeting, participants discuss major global challenges and priorities for the coming year.

Major Areas of Focus

The World Economic Forum addresses several key global issues, including:

• Climate change and environmental sustainability

• Global economic development

• Technological transformation

• International security

• Social inequality and inclusive growth

Funding and Membership

The WEF is primarily funded through membership contributions from companies and organisations. Its membership includes major global corporations, influential policymakers, and thought leaders, who collaborate through the forum to explore solutions to global challenges.

Significance

The World Economic Forum provides an important platform for dialogue and cooperation between the public and private sectors. Although it does not make binding decisions, it helps shape global economic discussions, policy debates, and collaborative initiatives.

Conclusion

The World Economic Forum plays a significant role in facilitating global dialogue on economic, social, and environmental issues. Through its annual meetings and initiatives, it promotes public-private cooperation and collective efforts to address complex global challenges.

Recently, India launched the Responsible Nations Index (RNI) at the Dr. Ambedkar International Centre. The index aims to evaluate countries not only on economic strength but also on their responsibility toward citizens, the environment, and the global community.

About the Responsible Nations Index

The Responsible Nations Index (RNI) is India’s first globally anchored index designed to measure how responsibly nations conduct their governance and international engagement.

The index has been developed by the World Intellectual Foundation (WIF) in collaboration with leading academic institutions including Jawaharlal Nehru University, Indian Institute of Management Mumbai, and the Dr. Ambedkar International Centre.

It evaluates 154 countries using transparent and globally sourced data, ensuring credibility and comparability across nations.

Key Objective of the Index

The primary objective of the Responsible Nations Index is to move beyond traditional metrics such as GDP or military power and instead measure how responsibly countries manage governance, social welfare, environmental protection, and global cooperation.

Core Dimensions of the Responsible Nations Index

Internal Responsibility

This dimension focuses on the well-being, dignity, and justice for citizens. It evaluates how effectively a country ensures social welfare, equality, governance quality, and human development.

Environmental Responsibility

This dimension assesses how responsibly nations manage natural resources and address environmental challenges. It includes climate action, sustainability policies, and ecological conservation efforts.

External Responsibility

This dimension measures a country’s contribution to global peace, cooperation, and stability. It evaluates engagement in international cooperation, diplomacy, and support for global development goals.

Significance of the Responsible Nations Index

The Responsible Nations Index is significant because it introduces a value-based approach to evaluating national performance. Instead of focusing solely on economic power, it highlights ethical governance, sustainable development, and global responsibility.

It also aims to promote international dialogue on responsible leadership, particularly in areas such as global food security, environmental sustainability, and cooperative international relations.

Conclusion

The Responsible Nations Index represents an innovative attempt to redefine how countries are evaluated on the global stage. By emphasizing responsibility, sustainability, and ethical governance, it seeks to provide a more balanced and holistic understanding of national progress and global leadership.

Recently, the Kamchatka Peninsula in Russia’s Far East has experienced extreme and record-breaking snowfall, as powerful winter storms dumped several metres of snow across the region. The event highlights the peninsula’s harsh climatic conditions and unique geographical environment.

Location

The Kamchatka Peninsula is located in Russia in the far eastern part of the country.
It lies between the Sea of Okhotsk to the west and the Pacific Ocean and Bering Sea to the east.

The peninsula forms part of the Kamchatka Krai, an administrative region of Russia.

Geological Significance

The Kamchatka Peninsula is one of the most volcanically active regions in the world. It lies on the Pacific Ring of Fire, a zone known for frequent volcanic eruptions and earthquakes.

The region is often called the “Land of Fire and Ice” because of the presence of active volcanoes, glaciers, and geothermal activity.

The peninsula has more than 150 volcanoes, of which 29 are active.

UNESCO World Heritage Site

The peninsula contains the Volcanoes of Kamchatka, a UNESCO World Heritage Site recognized for its exceptional volcanic landscapes, biodiversity, and geological significance.

Climate

The Kamchatka Peninsula experiences a severe subarctic climate characterized by:

• Long, extremely cold and snowy winters

• Wet and cool summers

• Frequent storms and heavy snowfall

These climatic conditions contribute to the region’s glaciers, rivers, and geothermal features.

Highest Peak

The highest point on the peninsula is Klyuchevskaya Sopka, located in the Eastern Range. It is also the highest active volcano in Eurasia.

Nearby Island Chain

The Kuril Islands extend from the southern tip of the Kamchatka Peninsula and stretch toward Hokkaido, the northernmost island of Japan.

Conclusion

The Kamchatka Peninsula is a geologically and environmentally unique region, known for its active volcanoes, geothermal activity, harsh climate, and rich natural landscapes. Its location along the Pacific Ring of Fire makes it one of the most volcanically dynamic areas in the world.

Recently, the Bombay Natural History Society (BNHS) launched a new conservation project under the National Mission for Clean Ganga (NMCG) in Dehradun to protect the Indian Skimmer in the Ganga Basin. The initiative aims to conserve this endangered riverine bird species and its fragile habitat.

About the Indian Skimmer

The Indian Skimmer is a unique water bird belonging to the genus Rynchops in the Laridae family. It gets its name from its distinctive feeding behaviour, where it flies low over water and “skims” the surface to catch fish.

This species is known for its specialized feeding technique, which makes it one of the most distinctive river birds in South Asia.

Habitat

The Indian Skimmer primarily inhabits large sandy lowland rivers, lakes, and marshy areas. During the non-breeding season, it can also be found in estuaries and coastal regions.

Distribution

The Indian Skimmer is native to South Asia and is mainly found in:

• India

• Bangladesh

• Pakistan

Smaller populations also occur in Nepal and Myanmar.

In India, one of the most important habitats for the species is the Chambal River, where significant breeding populations are observed.

Conservation Status

According to the International Union for Conservation of Nature (IUCN), the Indian Skimmer is classified as Endangered.

Major Threats

The survival of the Indian Skimmer is threatened by several factors, including:

• Loss and degradation of river habitats

• Unplanned water release from dams

• Excessive sand mining in riverbeds

• Predation by animals and disturbance near nesting sites

These threats have led to a significant decline in the population of the species.

Key Features of the Indian Skimmer

The Indian Skimmer has a distinctive and striking appearance.

• Its upper body is black, while the underbelly is white.

• The most notable feature is its bright orange beak, where the lower mandible is significantly longer than the upper mandible.

• This specialized beak allows the bird to skim across the water surface to catch small fish and aquatic organisms.

• It also has long, angular wings, which help it perform fast and precise flight close to the water surface.

Conclusion

The Indian Skimmer is a rare and ecologically important river bird species in South Asia. Conservation initiatives such as the project launched by BNHS under the National Mission for Clean Ganga are essential to protect its habitat, restore river ecosystems, and prevent further population decline.

The relationship between India and the United Arab Emirates has evolved from a traditional energy-based partnership into a comprehensive economic and strategic relationship. Over the years, strong political trust, growing trade, and expanding investments have transformed bilateral ties into a diversified economic corridor. The economic partnership has progressed rapidly, achieving several milestones ahead of schedule and setting a new target of $200 billion in bilateral trade by 2032.

Political and Diplomatic Relations

Diplomatic relations between India and the UAE were established in 1972, which laid the foundation for long-term cooperation. Over time, the relationship has strengthened through frequent high-level visits, diplomatic engagement, and cooperation in regional security and counter-terrorism.

A major milestone occurred in 2017, when both countries elevated their ties to a Comprehensive Strategic Partnership, expanding collaboration in political, economic, and defence areas. The close diplomatic ties are also reflected in the fact that the Indian Prime Minister has received the UAE’s highest civilian honour, the Order of Zayed, symbolising the deep mutual trust and friendship between the two nations.

Economic and Trade Relations

The UAE has become India’s third-largest trading partner, reflecting the growing economic interdependence between the two countries. Currently, bilateral trade exceeds $80–85 billion annually, making the UAE one of India’s most important economic partners in the Middle East.

A key policy framework supporting this growth is the India–UAE Comprehensive Economic Partnership Agreement (CEPA) signed in 2022. This agreement has eliminated tariffs on nearly 90% of traded goods, making trade faster and more affordable. CEPA has significantly boosted exports, encouraged investments, and improved market access for businesses in both countries.

To further strengthen investor confidence, the two countries also signed the India–UAE Bilateral Investment Treaty, which provides legal protections and dispute-resolution mechanisms for investors.

Economic Transformation Beyond Oil

Traditionally, India–UAE relations were centred on oil and energy trade. However, the economic partnership is now undergoing a major transformation toward diversified trade and investment.

Non-oil trade between the two countries grew by nearly 20% in the last year, reaching approximately $65 billion. This reflects the expansion of cooperation into manufacturing, logistics, finance, technology, and renewable energy sectors. As a result, India–UAE relations are now viewed as a broad economic partnership rather than just an energy relationship.

Industrial and Manufacturing Cooperation

Industrial collaboration between the two nations has expanded into modern and sustainable sectors. Indian businesses have partnered with UAE companies in projects such as low-carbon chemical production worth over $2 billion, electric bus manufacturing, and solar-plus-storage energy systems.

Major Indian energy companies like Indian Oil Corporation and Hindustan Petroleum Corporation Limited have also signed long-term liquefied natural gas (LNG) agreements with UAE partners. These agreements help strengthen India’s energy security while deepening strategic cooperation between the two countries.

Investment and Financial Cooperation

Investment flows have become an important pillar of the bilateral partnership. UAE investments in India have exceeded $22 billion since 2000, focusing on sectors such as infrastructure, banking, renewable energy, healthcare, and technology.

One of the most prominent investors is the Abu Dhabi Investment Authority, which became the first sovereign wealth fund to establish a base in GIFT City, India’s international financial services hub.

Indian companies have also expanded their presence in the UAE, with investments exceeding $16 billion in sectors such as retail, construction, hospitality, and information technology.

Role of the Indian Diaspora and Connectivity

The Indian diaspora plays a crucial role in strengthening India–UAE relations. Nearly five million Indians live and work in the UAE, making them the largest expatriate community in the country. This diaspora contributes significantly to remittances, business networks, and cultural connectivity between the two nations.

Connectivity between India and the UAE is also very strong, with over 1,200 flights operating weekly, making it one of the busiest international aviation corridors in the world.

Expansion into Global Markets

India and the UAE are increasingly collaborating to expand their economic presence into third markets such as Africa, West Asia, and Eurasia. An important initiative in this direction is Bharat Mart, a large wholesale trade hub currently under construction in the UAE.

This project aims to serve as a global distribution centre for Indian products and could significantly increase India’s exports to emerging markets. The two countries are also exploring joint digital infrastructure projects, trade facilitation initiatives, and development partnerships in Africa.

Cooperation in Artificial Intelligence and Technology

Technology and innovation are becoming new pillars of the partnership. India is hosting the AI Impact Summit in New Delhi, which represents the first major global AI summit hosted in the Global South and highlights India’s growing role in AI governance and digital innovation.

The UAE has also demonstrated strong leadership in this field by becoming the first country in the world to appoint a Minister of State for Artificial Intelligence in 2017. Both nations are now cooperating in areas such as advanced computing capacity, data centres, and AI-driven innovation ecosystems.

Concerns and Challenges in India–UAE Relations

Overdependence on Energy Trade

Although non-oil trade has expanded significantly, hydrocarbons still form a major component of the economic relationship. Both countries must accelerate diversification into renewable energy, green hydrogen, manufacturing, and digital sectors.

Labour and Welfare Issues

Despite improvements in labour laws, concerns remain regarding contract transparency, wage disputes, and working conditions in certain sectors. Since the Indian diaspora forms the human backbone of the partnership, labour-related issues can quickly become diplomatic sensitivities.

Geopolitical Instability

The UAE is located close to the Strait of Hormuz, a critical global energy chokepoint. Regional tensions involving countries like Iran could potentially disrupt energy supply chains and financial flows, which are important for India’s economy.

Trade and Regulatory Barriers

Despite tariff reductions under CEPA, some sectors still face non-tariff barriers, regulatory standards, certification requirements, and logistics bottlenecks, particularly affecting small and medium enterprises.

Financial and Technological Risks

Increasing financial integration also raises concerns regarding currency volatility, global financial shocks, cybersecurity threats, and data governance issues, especially as cooperation expands in AI, fintech, and digital infrastructure.

Way Forward

India’s rise as a major global economic power presents significant opportunities for deeper collaboration. With its rapidly expanding economy approaching $4 trillion, India offers strong capabilities in manufacturing, digital public infrastructure, and entrepreneurship.

The Delhi Declaration between India and Arab Foreign Ministers has outlined a roadmap to expand cooperation through 2028 in areas such as trade, technology, energy, and security.

In the future, the success of the India–UAE partnership will depend on deep economic integration, expanded global cooperation, and leadership in emerging sectors such as artificial intelligence and clean energy.

Conclusion

The partnership between India and the UAE has evolved into a dynamic and multifaceted relationship encompassing trade, investment, technology, energy, and global outreach. With strong political trust, expanding economic cooperation, and shared strategic interests, the two countries are well positioned to build one of the most influential economic partnerships in the 21st century.

Recently, a high-level committee on Union–State relations submitted its first report to the Government of Tamil Nadu. The report examines the distribution of powers and responsibilities between the Union and the States, highlighting ongoing debates regarding the balance between central authority and state autonomy. This discussion is closely linked to the concept of federalism, which forms the foundation of India’s constitutional governance.

Federalism in India

Meaning of Federalism

Federalism is a system of government in which powers are constitutionally divided between a central authority and regional governments. In such a system, both levels of government operate within their own constitutionally defined spheres of authority.

Unlike a unitary system, where power flows entirely from the centre, a federal system ensures that neither level of government is legally subordinate to the other within its assigned domain. This arrangement allows governance to function efficiently in large and diverse countries.

India’s Unique Federal Design

Constitutional Framework

The Constitution of India, which came into force in 1950, established a federal structure with a strong central government. Its design was influenced by the Government of India Act 1935, which introduced many administrative features later incorporated into the Constitution.

Several factors shaped India’s federal system, including Partition, integration of princely states, and concerns about national unity. As a result, the Constitution deliberately created a powerful Union government to maintain stability.

India is described in the Constitution as a “Union of States,” emphasizing unity while recognising regional diversity. Because the Union has stronger powers in certain areas, India’s federal structure is often described as “quasi-federal” or “federal with a unitary bias.”

Constitutional Division of Powers

Schedule VII of the Constitution

The Constitution divides legislative powers between the Union and the States through three lists in the Seventh Schedule.

Union List

Subjects under the Union List are exclusively controlled by Parliament. Important areas include defence, foreign affairs, and currency.

State List

Subjects under the State List fall under the authority of State legislatures. These include police, public order, and public health, which require local governance.

Concurrent List

Both the Union and the States can legislate on subjects in the Concurrent List, such as education, forests, and marriage laws. However, in case of conflict, Union law prevails, reflecting the need to maintain national coherence while allowing regional governance.

Core Principles of Indian Federalism

Constitutional Supremacy

India follows the principle of constitutional supremacy. Both the Union and the States derive their authority from the Constitution, and no government can act beyond its constitutional limits.

Division of Legislative, Executive and Financial Powers

Federalism in India involves the distribution of legislative, executive, and financial powers. While legislative authority defines who can make laws, executive powers determine implementation, and financial powers involve taxation and revenue distribution.

Revenue sharing between the Union and States occurs through mechanisms such as the Finance Commission, the GST Council, and various Centrally Sponsored Schemes.

Cooperative Federalism

India’s federal system ideally operates through cooperative federalism, where the Union and States collaborate to design and implement policies. Institutions such as the Inter-State Council and the GST Council facilitate dialogue and joint decision-making.

In recent years, the concept of competitive federalism has also emerged, where states compete to improve investment climate, governance efficiency, and economic performance.

Unity with Diversity

India is characterised by immense linguistic, cultural, and economic diversity. Federalism allows different states to adopt policies suited to their needs while remaining part of a unified national framework.

For example:

• Tamil Nadu pioneered the midday meal scheme.

• Kerala achieved notable success in public health and social development.

• Maharashtra experimented with employment guarantee schemes.

Asymmetrical Federalism

India also practices asymmetrical federalism, where certain states or regions receive special constitutional provisions. For instance, tribal areas in Northeast India are governed under the Sixth Schedule of the Constitution of India, allowing greater local autonomy.

Judicial Safeguards for Federalism

Federalism in India has been strengthened by the judiciary. In the landmark S.R. Bommai vs Union of India, the Supreme Court of India declared that federalism is part of the Basic Structure of the Constitution.

This means that Parliament cannot amend the Constitution in a way that destroys federalism. The judgement also limited the arbitrary use of President’s Rule under Article 356, making such proclamations subject to judicial review.

Commissions on Centre–State Relations

Several commissions have studied and recommended reforms to improve federal relations.

Rajamannar Committee (1971)

Established by Tamil Nadu, it advocated greater autonomy for states and clear limits on Union intervention.

Sarkaria Commission (1983–1988)

This commission recommended strengthening cooperative federalism, promoting consultation with states, and restricting the misuse of Article 356.

Punchhi Commission (2007–2010)

It suggested redefining the role of Governors and strengthening intergovernmental institutions to improve federal functioning.

Concerns and Challenges in Indian Federalism

Centralisation of Legislative Powers

There is concern that Parliament increasingly legislates on subjects related to state authority. Provisions such as Articles 249 and 250 allow Parliament to legislate on State List matters under certain conditions, potentially reducing state autonomy.

Misuse of Article 356

Before the S.R. Bommai judgement, Article 356 (President’s Rule) was frequently used for political purposes. Although the Supreme Court has placed restrictions, the provision remains controversial.

Role of Governors

Governors have been criticised for delays in granting assent to state bills, discretionary decisions during government formation, and political bias. These issues often lead to conflicts between the Union and State governments.

Fiscal Federalism Imbalance

States carry significant expenditure responsibilities in sectors such as health, education, and agriculture, but major taxation powers remain with the Union. This creates a vertical fiscal imbalance, making states financially dependent on the Centre.

GST and Shared Sovereignty

The introduction of the Goods and Services Tax in 2017 fundamentally reshaped India’s fiscal federalism. While GST created a unified national market, states also expressed concerns regarding loss of taxation autonomy and delays in compensation payments.

Executive Federalism

Increasingly, federal decision-making occurs through executive institutions such as NITI Aayog, the GST Council, and the Inter-State Council. This trend sometimes reduces legislative debate and transparency.

Political Centralisation

When a single political party dominates the Union government, policy-making can become centralised. Conversely, coalition governments historically promoted negotiated federalism and stronger state bargaining power.

Way Forward: Strengthening Federalism in India

Limiting Overreach on Concurrent Subjects

Parliament should exercise restraint in legislating on Concurrent List subjects, unless uniform national standards are essential.

Reforming the Role of Governors

Clear guidelines should be established for Governor appointments, timelines for bill assent, and limitations on discretionary powers. Implementing recommendations of the Sarkaria and Punchhi Commissions would reduce conflicts.

Reforming Fiscal Transfers

The use of discretionary grants under Article 282 should be clarified to ensure predictable, transparent, and rule-based financial devolution.

Recalibrating GST Governance

GST mechanisms should improve transparency, timely compensation, and limited tax flexibility for states to balance national market integration with fiscal autonomy.

Strengthening Cooperative and Competitive Federalism

India’s federal future depends on combining cooperative federalism, where governments work together, with competitive federalism, where states innovate and learn from each other.

Conclusion

India’s federal system represents a carefully balanced model that combines national unity with regional autonomy. While the Constitution provides strong powers to the Union, judicial safeguards and institutional mechanisms ensure that states remain important partners in governance. Strengthening dialogue, fiscal autonomy, and institutional cooperation will be essential to preserve the spirit of federalism in India’s democratic framework.