15 May 2023 : The Hindu Editorial

The Hindu Editorial

15-May-2023

Daily Current Affairs For UPSC ,The Hindu Editorial Summary

Facebook-f


Twitter


Youtube

1. This strategic-economic bloc will only tighten the leash.

Topic: GS2,GS3.

Context:

• • • In 2019, India withdrew from the RCEP, a trade pact involving China, Japan, South Korea, Australia, New Zealand, and ASEAN.

    • In 2023, India joined the IPEF, a U.S.-driven economic partnership framework.

    • The change in India’s stance reflects a strategic shift towards closer alignment with the United States.

Issue:

• • • Developing a strategic partnership with the U.S. is India’s top foreign policy priority, while its relationship with China has deteriorated.

    • Economic dependency on the U.S. should not come at the cost of India’s economic interests.

    • Concerns regarding a trade deal with China included the impact on India’s manufacturing sector and the influx of cheap Chinese goods into Indian markets.

    • Economic issues in the U.S. include agriculture, intellectual property, labour and environmental standards, and the digital economy.

    • The U.S.’s IPEF proposal focuses on areas beyond tariffs,such as intellectual property, services, investment, domestic regulation, and labour and environmental standards.

    • Traditional trade deals in the U.S. face potential obstacles in the legislature, and a tariffs-free trade deal is presented as a way to overcome resistance to free trade agreements.

    • The IPEF’s language creates vague webs that may not be obvious in their economic impact, benefiting U.S. strategists.

    • Assessment by experts suggests that the IPEF could give the U.S. a stranglehold over the economic systems of participating countries, excluding China.

    • The IPEF aims to develop a strategic-economic bloc centred on the U.S. and limits leeway for domestic policies and industrialization efforts.

Possible issues with joining IPEF:

• • • Developing country trade negotiators find it difficult to understand and respond to the language of the IPEF, which is filled with sophistry and relatively high-level, innocent-sounding text.

    • The rushed timeline for concluding the IPEF by November 2023 raises concerns, as traditional free trade agreements take years to finalize.

    • The seemingly innocent language of the IPEF could trap countries in permanent commitments, compromising domestic policy-making space with implications becoming apparent over time.

    • The IPEF has four pillars: trade, supply chains, clean economy, and fair economy. India has joined the other three pillars but not trade due to fears of falling into a trap, but there is pressure to join trade as well.

    • The IPEF’s pillars contribute to developing new economic architectures and structures beyond tariffs, which could have a strong impact on economic and trade flows in the long run.

    • Joining the IPEF could lead to hard-wiring supply chains and surrendering policy spaces in digital, labour and environment, and export constraints, resulting in irreversible economic dependency.

    • Implications of the IPEF can be observed in agriculture, genetically modified seeds and food, regulation of Big Tech, unfair labour and environment standards, and hindering the creation of a vibrant domestic ecosystem in emerging areas like the digital economy and green products.

2. Policymakers should keep a vigil on inflation.

Topic: GS3.

Context:

• • • Retail inflation in India slowed to an 18-month low of 4.7% in April, compared to an eight-year high of 7.8% in April 2022.

Issue:

• • • While headline inflation cooled by 96 basis points from March’s 5.66%, month-on-month price gains accelerated to 0.51% in April, up from 0.23% in March.

    • In April, food price gains softened, with the Consumer Food Price Index decreasing by 95 basis points to 3.84%.

    • Oils and fats experienced deflation, widening to 12.3% in April from 7.86% in March. Inflation in cereals also slowed to 13.7% from 15.3%.

    • However, within the food and beverages category, nine of the 12 subgroups saw sequential price gains, with vegetables registering 1.7% month-on-month inflation and fruits surging almost 4%.

    • Prices of pulses, sugar, and confectionery showed accelerations in both year-on-year and month-on-month inflation rates.

    • The government is taking measures to monitor pulse stocks and may impose more export curbs on sugar to prevent price increases.

    • Base effects from last year and supply-side measures are expected to keep headline retail inflation below the Reserve Bank of India’s upper tolerance threshold of 6% in the current quarter.

    • Risks to the inflation outlook include oil prices and uncertainty regarding the monsoon, with the possibility of an El Niño impacting foodgrains production.

    • Policymakers need to remain vigilant on inflation despite current favourable conditions.

For Enquiry

Phone


Whatsapp


Mail

Search


15 May 2023 : The Hindu Editorial



15 May 2023 : PIB



15 May 2023 : Daily Current Affairs



Kurukshetra Summary April 2023 : Panchayati Raj



13 May 2023 : PIB



13 May 2023 : The Hindu Editorial



13 May 2023 : Daily Current Affairs



12 May 2023 : The Hindu Editorial



12 May 2023 : PIB



12 May 2023 : Daily Current Affairs

The Hindu 15 May 2023 : The Hindu Editorial The Hindu Editorial
12-May-2023
Daily Current Affairs For UPSC ,The Hindu Editorial Summary
Facebook-f
Twitter
Youtube
1.Marriage…
PIB 15 May 2023 : PIB Press Information Bureau
15-May-2023
Daily Current Affairs For UPSC ,The PIB ( Press Information Bureau…
Current Affairs 15 May 2023 : Daily Current Affairs Daily Current Affairs
15-May-2023
Daily Current Affairs For UPSC ,Daily Current affairs of The hIndu…
kurukshetra summary Kurukshetra Summary April 2023 : Panchayati Raj Chapter 1: Empowering Panchayati Raj Institutions:
Panchayat Raj institutions (PRIs) are pillars of…
Uncategorized 13 May 2023 : PIB Press Information Bureau
13-May-2023
Daily Current Affairs For UPSC ,The PIB ( Press Information Bureau…
The Hindu 13 May 2023 : The Hindu Editorial The Hindu Editorial
13-May-2023
Daily Current Affairs For UPSC ,The Hindu Editorial Summary
Facebook-f
Twitter
Youtube
1….
Daily Current Affairs 13 May 2023 : Daily Current Affairs Daily Current Affairs
13-May-2023
Daily Current Affairs For UPSC ,Daily Current affairs of The hIndu…
The Hindu 12 May 2023 : The Hindu Editorial The Hindu Editorial
12-May-2023
Daily Current Affairs For UPSC ,The Hindu Editorial Summary
Facebook-f
Twitter
Youtube
1.Marriage…
PIB 12 May 2023 : PIB Press Information Bureau
12-May-2023
Daily Current Affairs For UPSC ,The PIB ( Press Information Bureau…
Daily Current Affairs 12 May 2023 : Daily Current Affairs Daily Current Affairs
12-May-2023
Daily Current Affairs For UPSC ,Daily Current affairs of The hIndu…