13 February 2025 : Indian Express Editorial Analysis

1. For good and for all

(Source – Indian Express, Section – The Ideas Page – Page No. – 11)

The Promise and Challenges of AI

• Artificial Intelligence (AI) is transforming our world in unprecedented ways.
• A simple experiment, such as uploading a medical report to an AI app, reveals AI’s ability to decode complex information into simple language.
• However, the same AI may fail at a seemingly trivial task, like generating an image of a left-handed writer, because of biases in training data.
• This highlights both AI’s immense potential and the challenges of embedded biases.
• Addressing these concerns requires global cooperation.

AI’s Role in Shaping Humanity

• AI is more than just a technological milestone; it is rewriting the code for humanity’s future.
• Unlike past innovations, AI is evolving at an extraordinary pace, with rapid adoption across sectors and deep interdependence between nations.
• This necessitates a collective approach to governance and ethical standards.
• The objective should not only be to manage risks but also to encourage innovation that serves the greater good.
• Governance should focus on making AI accessible, especially in the Global South, where technological capacities are often lacking.
• Bridging this gap will ensure that AI benefits everyone, rather than deepening global inequalities.

AI for Social Good

• AI has the potential to revolutionize essential sectors such as healthcare, education, and agriculture.
• By leveraging AI, the world can accelerate progress toward sustainable development goals.
• To achieve this, it is crucial to develop open-source systems that promote transparency, build unbiased datasets, and democratize technology.
• However, AI also brings challenges like cyber threats, misinformation, and deep fakes, which require proactive countermeasures.
• Ensuring that AI remains people-centric and rooted in local ecosystems will maximize its effectiveness.

Addressing Job Disruptions and Sustainability

• One of the biggest concerns surrounding AI is job displacement.
• While AI may eliminate certain roles, history suggests that technological advancements often create new opportunities.
• Preparing for an AI-driven future requires investment in skill development and continuous learning.
• Another critical issue is AI’s high energy consumption.
• Sustainable AI solutions must include clean energy sources and more efficient models that minimize resource use.
• India and France’s collaboration on renewable energy, such as through the International Solar Alliance, sets a precedent for integrating sustainability into AI development.

India’s Leadership in AI

• India has demonstrated how digital infrastructure can be scaled efficiently for large populations.
• By building an open and accessible digital network for 1.4 billion people, India has modernized governance and empowered citizens through data-driven policies.
• Its AI mission aligns with this vision, promoting responsible AI development while ensuring accessibility.
• Under India’s G20 presidency, a global consensus was built on AI’s responsible use.
• With a large AI talent pool, indigenous Large Language Models, and a unique public-private partnership approach, India is positioned as a global AI leader.

The Future of AI: A Human Responsibility

• As we enter the AI age, concerns about machines surpassing human intelligence persist.
• However, the power to shape AI’s future lies with humanity.
• Ethical AI development requires a sense of responsibility, ensuring that AI serves as a tool for collective progress rather than a force of disruption.
• By fostering international collaboration, responsible governance, and sustainable innovation, we can build an AI-driven future that is inclusive, ethical, and beneficial for all.

2. Don’t Go It alone

(Source – Indian Express, Section – The Editorial Page- Page No. – 10)

Farmers’ Demand for WTO Exit and MSP Concerns

• A section of Indian farmers has been demanding India’s exit from the World Trade Organisation (WTO), believing that WTO rules hinder their ability to secure a legally guaranteed Minimum Support Price (MSP).

• Under the WTO’s Agreement on Agriculture (AoA), MSP is categorized as a trade-distorting subsidy, as it gives domestic farmers an advantage in the global market.

• This classification imposes limits on such subsidies, restricting India’s ability to set MSP freely.
• The outdated External Reference Price (ERP), based on 1986-88 prices, further complicates the issue by widening the gap between MSP and ERP due to inflation.
• Despite India’s persistent efforts to revise these provisions, no significant progress has been made at the WTO.

Would Exiting WTO Solve the Problem?

• While India can technically exit the WTO with a six-month notice under Article XV, doing so would allow it to set MSP without restrictions.
• However, the fiscal feasibility of such an approach remains uncertain.
• Moreover, exiting the WTO solely for the sake of MSP is not a practical solution.
• Within the current AoA framework, India already has policy flexibility through the peace clause, which temporarily protects trade-distorting subsidies like MSP from legal challenges.
• Additionally, alternative policy instruments such as direct income support (e.g., Pradhan Mantri Kisan Samman Nidhi) can be expanded, as they do not fall under trade-distorting subsidies.
• Unfortunately, the 2025 budget did not take significant steps in this direction.

The Role of WTO Beyond Agriculture

• The WTO is not just about agriculture; it governs global trade rules across various sectors.
• It ensures national treatment (non-discrimination between domestic and imported goods) and most-favoured-nation (MFN) status (equal treatment of trading partners).
• If India exits the WTO, its exports would lose these protections, making Indian goods vulnerable to trade barriers and discrimination.
• India would then have to negotiate separate Free Trade Agreements (FTAs) with multiple countries—a costly and complex process that often imposes stricter terms than WTO rules, especially for developing countries.

Dispute Resolution and Trade Protectionism

• The WTO provides a structured trade dispute resolution mechanism, which, despite its current limitations, is more effective than diplomacy-based alternatives.
• India has successfully used this system multiple times to challenge unfair trade practices.
• Without WTO membership, India would lose this legal recourse, making its exports more vulnerable to unfair trade restrictions.
• Moreover, with the US withdrawing support from the WTO and rising trade protectionism, India should strengthen multilateral trade institutions rather than abandon them.
• A weakened WTO would allow powerful economies like the US and China to dominate global trade without checks and balances, further disadvantaging developing nations.

Strengthening WTO Instead of Exiting

• Rather than exiting the WTO, India should focus on reforming global trade rules to better reflect the needs of developing countries.
• Strengthening multilateral trade frameworks is the best way to counter rising protectionism and ensure fair global trade.
• It is also essential to engage farmers in policy discussions and clearly communicate how WTO membership benefits India’s agricultural and trade interests.
• A well-informed dialogue with farmers can help address concerns while maintaining India’s position in global trade negotiations.