Vienna Convention on Diplomatic Relations

• With the departure of 41 diplomats, the India-Canada dispute took a new direction.
• India maintained that its conduct adheres to the principles outlined in Vienna Convention on Diplomatic Relations Article 11.1.

The Vienna Convention: What Is It?

• A worldwide agreement known as the Vienna Convention on Diplomatic Relations was signed in 1961 by 61 nations.
• In order to promote the “development of friendly relations among nations,” it lays up a framework for diplomatic relations between sovereign states.
• India is one of the 193 countries that are currently parties to the agreement.

Major Provisions:

• The Convention’s central tenet is diplomatic immunity. It provides diplomats stationed in host countries with exemptions from specific laws and taxes. It guarantees that ambassadors can carry out their responsibilities without intimidation, fear, or threat.
• Diplomats are exempt from arrest and detention under Article 29 of the Convention. The host nation is obliged to treat the diplomatic agent with due respect and to take all reasonable precautions to shield the diplomat’s person, liberty, or dignity from any injury or violation.
• Article 11.1 of the Convention, the host nation may set reasonable and suitable restrictions on the size of a foreign diplomatic mission, taking into account the specific needs of the mission as well as the conditions and circumstances that currently exist in the host country.
• The receiving State may, at any time and without cause, designate the head of the mission or any member of the diplomatic staff persona non grata, or unwanted, in accordance with Article 9 of the Convention.

Farmer Producer Organizations (FPOs)

A focus of the Indian government’s multifaceted strategy to increase farmers’ income has been the function of Farmer Producers’ Organizations (FPOs).

Central idea

• The government is using a variety of tactics, including as increased production and climate-resilient farming practices, to increase farmers’ incomes. Divided landholdings have historically hampered investment and development. FPOs are presented as a solution to address this issue.

About FPOs.

• Farmers are classified geographically into FPOs.
• Either a cooperative or a firm may register.
• Cluster-based farming, technology adoption, quality control, and assisting farmers with food selling are among their possible uses.
• Creation and Development of FPOs
• The initiative to create and promote 10,000 FPOs was launched by the central government as a proactive measure.
• These groups support farmer cooperation in a number of areas, including market connections, value addition, and input management.

Financial Incentives and Support

• Interest Subvention: Credit granted to improve post-harvest infrastructure is eligible for a 3% interest subvention from the Agriculture Infrastructure Fund, which is formed by the central government. The state government of Uttar Pradesh reduces the loan rate to about 3% by providing FPOs and agro entrepreneurs with an additional 3% subvention.
• Convergence of Schemes: In order to support farm mechanization, organic farming, MSP-based procurement, agri-marketing, seed production and processing, nutrition, and the supply of inputs such as seeds, fertilizers, pesticides, and technological innovations, the government is aggressively promoting the convergence of various schemes.

Success Stories and Innovations

• Crop Diversification: In Uttar Pradesh, FPOs have been essential to both value addition and crop diversification. They work in a number of industries, including as sugarcane-based products, horticulture, pulses, oilseeds, millets, pulses, and medicinal and aromatic crops. Through FPOs, climate-resilient practices including direct rice sowing, seed processing facilities, and farm machinery banks are made possible.
• Optimal Nutrition: Agri-products high in nutrition, such as millets, mushrooms, moringa, and fortified cereals, are being promoted by FPOs. The region’s nutritional results have improved as a result of partnerships with district administrations.
• Business Partnerships: FPOs and corporations have signed over 200 Memorandums of Understanding (MoUs) for the sale of commodities, input supply, technical dealership, and financial connection. The government facilitates these partnerships, which have resulted in the local products being registered as Geographical Indications (GI), thus advancing indigenous agriculture.

Bidenomics and Global Economic Landscape in 2024

• Significant elections are expected to take place in several of the world’s top economies, including the US, India, Russia, the UK, and the EU in 2024, making it a historic year for the global economy.
• President Joe Biden’s economic philosophy is known as “Bidenomics.” It serves to communicate the plans, strategies, and economic successes of his administration.

Bidenomics: A Considerable Aspect

• Policy Shifts: The results of the US election could have a significant impact, particularly in relation to President Biden’s unique economic policy strategy, or “Bidenomics.”
• Radical Departures: With moves like pulling out of the Paris Climate Agreement and enacting protectionist trade laws against countries like China, Trump’s policies markedly deviated from accepted US and international norms.
• Bidenomics: President Biden introduced a policy shift aimed at reversing decades of economic trends, emphasizing income equality and reducing the influence of big corporations.

3 major aspects of Bidenomics:

Performance of Bidenomics:

• Macro Indicators: On a macroeconomic level, Bidenomics has shown positive results, as indicated by GDP growth, unemployment rates, and inflation trends.
• GDP Growth: The US has outperformed major developed nations in terms of GDP growth, with a rapid post-pandemic recovery.
• Unemployment: Unemployment rates have decreased significantly under Biden’s leadership, with job creation outpacing the number of job seekers.
• Inflation: However, inflation spiked due to external factors but has since moderated.

Gujarat’s Dhordo village gets UNWTO recognition

• The United Nations World Tourism Organization (UNWTO) has named Gujarat’s Dhordo village one of the Best Tourism Villages for 2023.
• The Great Rann of Kutch town of Dhordo is well-known for its yearly Rann Utsav, a celebration of the area’s rich cultural legacy and traditional crafts, music, and art.

About UNWTO Recognition of villages:

• Villages that support rural development and protect natural environments, cultural variety, and traditional foods are honored by the UNWTO.
• These communities are exceptional in a number of areas, such as the growth of tourism, sustainability, and cultural and natural resources.
• As part of the UNWTO’s efforts to support rural development, counteract depopulation, and promote sustainable practices through tourism, the Best Tourism Villages project was introduced in 2021.

Double Taxation Avoidance Agreement (DTAA)

• A Double Taxation Avoidance Agreement (DTAA) cannot be implemented unless it is notified under Section 90 of the Income Tax Act, according to a ruling by the Supreme Court of India.
• Multinational businesses (MNCs) from Switzerland, the Netherlands, France, and other nations may be significantly impacted by this ruling.

Implications:

• The move would bring in more tax money for the Indian government, but it might also cause a rift with other countries that have tax treaties.
• The Most Favoured Nation (MFN) clause in several Indian treaties with OECD member nations is at the center of the disagreement about how to interpret the verdict.
• Similar to the concessions granted to other OECD countries, this clause permits reductions in tax rates on dividends, interest, royalties, or fees for technical services.

Kasturi Cotton Bharat

• The “Kasturi Cotton Bharat” website was inaugurated by the Union Minister of Textiles, Commerce & Industry, Consumer Affairs, and Food & Public Distribution.
• This program intends to increase Indian cotton’s competitiveness in the international market and is backed by the Cotton Corporation of India, trade associations, and the industry.
• It focuses on self-regulation for Indian cotton certification, traceability, and branding.
• A digital platform for information and updates, the website https://kasturicotton.texprocil.org explains how ginners can register to manufacture the Kasturi Cotton Bharat Brand.
• This brand is an expression of Indianness, whiteness, softness, purity, and luster. A blockchain-based software platform and QR-based certification technologies will be utilized throughout the supply chain to guarantee traceability.