DAILY NEWS ANALYSIS

Monthly DNA

16 Jun, 2021

52 Min Read

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Paper	Topics	Subject
GS-II	China- Taiwan issue	International Relations
GS-III	Delhi HC and UAPA	Internal security
PT Pointer	Mandatory Hallmarking of Gold	Economic Issues
PT Pointer	NAFED launches Fortified Rice Bran Oil	S&T

China- Taiwan issue

GS-II : International Relations China

Taiwan reports the largest incursion by Chinese forces

As many as 28 Chinese air force aircraft, including fighters and nuclear-capable bombers, entered Taiwan’s air defence identification zone (ADIZ) on Tuesday, the island’s government said. It is the largest reported incursion to date.
Taiwan has complained over the last few months of repeated missions by China’s air force near the self-ruled island, concentrated in the southwestern part of its air defence zone near the Taiwan-controlled Pratas Islands.
The latest Chinese mission involved 14 J-16 and six J-11 fighters, as well as four H-6 bombers, which can carry nuclear weapons, and anti-submarine, electronic warfare and early warning aircraft said Taiwan’s Defence Ministry.
It was the largest daily incursion since the Ministry began regularly reporting Chinese Air Force activities in Taiwan’s ADIZ last year.
The Ministry said Taiwanese combat aircraft were dispatched to intercept the Chinese aircraft and missile systems were also deployed to monitor them.

Historical Background

The first known settlers in Taiwan are Austronesian tribal people thought to have come from modern-day southern China.
After a brief spell as a Dutch colony (1624-1661), Taiwan was unquestionably administered by China from 1683 to 1895.
At the beginning of the 17th Century, significant numbers of migrants started arriving from China, often fleeing turmoil or hardship.
The descendants of these migrated people now make up by far the largest population group in Taiwan.
After the First Sino-Japanese War in 1895, Taiwan was under the control of Japan.
But with the end of World War II, the Republic of China (ROC) began ruling Taiwan with the support of its allies- the USA and the UK.
China initially had two political parties- the Kuomintang (KMT) or the ROC and the Chinese Communist Party (CCP).
However, the KMT had to flee to Taiwan after the Chinese Civil War as the communist forces led by Mao Zedong became victorious.
The undemocratic policies combined with wartime corruption made the Republic of China Government vulnerable to the Communist threat, while the Chinese Communist Party (CCP) gained popularity due to their early efforts on land reform and had the popular support of the peasants for its unflagging efforts to fight against the Japanese invaders.
KMT leader Chiang Kai-shek and a few from his party fled to Taiwan in 1949.
China considers Taiwan part of its territory to be taken control of by force if necessary. But Taiwan's leaders say that Taiwan is a sovereign state.
After 1949, KMT dominated Taiwan’s politics for a long time until the emergence of the Democratic Progressive Party (DPP).
The DPP grew out of the Taiwanese democracy movement that rebelled against the Kuomintang (KMT) dictatorship and advocates a Taiwan-centred national identity.
Contact with China was completely severed for a long time.
After decades of hostile intentions and angry rhetoric, relations between China and Taiwan started improving in the 1980s.
China put forward a formula, known as "one country, two systems", under which Taiwan would be given significant autonomy if it accepted Chinese reunification.

One-China Policy:

It recognizes that there is only one China and that Taiwan is a part of that.

Any country wishing to establish diplomatic relations with Beijing must acknowledge there is only “One China” and sever all formal ties with Taiwan.
The One China policy is also different from the “One China principle”, which insists that both Taiwan and mainland China are inalienable parts of a single “China.”

Taiwan rejected the Chinese proposal of “one country, two systems” during the 1980s, but it did relax its rules on visits to and investments in China.
There were also limited talks between the two sides unofficial representatives, though Beijing's insistence that Taiwan's Republic of China (ROC) government is illegitimate prevented government-to-government contact.
China's implementation of national security law in Hong Kong in 2020 was seen by many as yet another sign that Beijing was becoming significantly more assertive in the region.

What is the “one country, two systems” approach?

The principle of “one country, two systems” was first proposed by Deng Xiaoping as a way to restore the relationship between the communist mainland with historically Chinese territories (Taiwan, Hong Kong and Macau)—that had capitalist economies.
This system was initially proposed to Taiwan.
The Taiwanese had demanded that if they were to accept the one country, two systems approach:

The People’s Republic of China (PRC) should be renamed as the Republic of China and,
Democratic elections would have to be conducted in mainland China. This was however not accepted by mainland China.

He had suggested that there would be only one China, but the distinct Chinese regions such as Hong Kong and Macau could retain their own economic and administrative systems, while the rest of China uses the socialism with Chinese characteristics system.
In 1984 the concept was enshrined in the Sino-British Joint Declaration, in which the two countries agreed that Britain would hand over sovereignty of Hong Kong to China.
China is responsible for defence and foreign affairs but Hong Kong runs its own internal security.

What are the Three Linkages?

It was a proposal by the PRC in 1979, to open up three direct links between the Taiwan Straits and China, which are: Postal services, Trade and Transportation.
The “Three Links” were officially established in 2008, in an agreement between the Taiwan-based Straits Exchange Foundation (SEF) and China’s Association for Relations Across the Taiwan Strait (ARATS).

Taiwan-China relations

Taiwan is the most populous state that is not a member of the United Nations and the largest economy outside the UN.
Taiwan is Asia’s 5th largest economy.
It is a global leader in chip manufacturing and the second-largest manufacturer of IT hardware, etc.
China is Taiwan’s top trading partner, with trade totalling $226 billion in 2018.
Taiwan runs a large trade surplus with China.
While Taiwan is self-governed and de facto independent, it has never formally declared independence from the mainland.
Under the “one country, two systems” formula, Taiwan would have the right to run its own affairs; a similar arrangement is used in Hong Kong.
Taiwan is a member of the World Trade Organization, Asia-Pacific Economic Cooperation and Asian Development Bank under various names.

Role of the USA in China-Taiwan relations

The US is by far Taiwan's most important friend and its only ally.
In 1979, the US ended diplomatic recognition of Taiwan in order to concentrate on burgeoning ties with China.
However, it later revoked and passed the Taiwan Relations Act, which promises to supply Taiwan with defensive weapons, and stressed that any attack by China would be considered of "grave concern" to the US.
The Taiwan Travel Act aims to promote greater engagement between US and Taiwan.
The US has also sought to leverage Taiwan to pressure China in the U.S.’s ongoing trade war.

Why Taiwan is important to India?

Taiwan is the world’s leading producer of semiconductors and other electronic components.
The Taiwan Semiconductor Manufacturing Company (TSMC) has more than 55 per cent of the global market share in the production of high-end custom-made chips.
Of the two rival companies that have survived, US-based Intel is in trouble and Korea’s Samsung has challenges of its own.
There will be no generation of data without the semiconductors.
It might be more accurate to say that “semiconductors are the new oil” and their production is increasingly dominated by Taiwan and the TMSC.
Taiwan’s position as a semiconductor superpower opens the door for more intensive strategic-economic cooperation between Delhi and Taipei.

India’s Stand on the Issue:

Since 1949, India has accepted the “One China” policy that accepts Taiwan and Tibet as part of China.
However, India uses the policy to make a diplomatic point, i.e., if India believes in the “One China” policy, China should also believe in a “One India” policy.
Even though India has stopped mentioning its adherence to the One China policy in joint statements and official documents since 2010, its engagement with Taiwan is still restricted due to the framework of ties with China.
India and Taiwan do not have formal diplomatic relations but since 1995, both sides have maintained representative offices in each other’s capitals that function as de facto embassies.

Way forward

Delhi must begin to deal with Taiwan as a weighty entity in its own right that offers so much to advance India’s prosperity.
Delhi does not have to discard its “One-China policy” to recognise that Taiwan is once again becoming the lightning rod in US-China tensions.
Consider the question “India needs to explore the opportunities in its relationship with Taiwan even as it pursues and sticks to its One China policy. Comment.

Conclusion

As Taiwan becomes the world’s most dangerous flashpoint, the geopolitical consequences for Asia are real. Although Delhi has embraced the Indo-Pacific maritime construct, it is yet to come to terms with Taiwan’s critical role in shaping the strategic future of Asia’s waters.

Source: TH

Delhi HC and UAPA

GS-III : Internal security Internal security

Delhi HC and UAPA

What is the news?

Notwithstanding the fact that the definition of ‘terrorist act’ in the Unlawful Activities (Prevention) Act (UAPA) is “wide and even somewhat vague”, the phrase ‘terrorist act’ cannot be permitted to be casually applied to criminal acts that fall squarely within the definition of conventional offences, the Delhi High Court.
A bench of Justice Siddharth Mridul and Justice Anup Jairam Bhanbhani said the word ‘terrorism’ or ‘terror’ has nowhere been defined in the UAPA.
Hence, the court must be careful in employing the definitional words and phrases used in section 15 (of the UAPA that defines ‘terrorist act') in their absolute literal sense or use them lightly in a manner that would trivialise the extremely heinous offence of ‘terrorist act’, without understanding how terrorism is different even from conventional, heinous crime, the bench said.
The High Court’s observation came while granting regular bail to JNU students Natasha Narwal and Devangana Kalita, and Jamia Millia Islamia student Asif Iqbal Tanha, arrested in connection with the north-east Delhi riots.

Unlawful Activities Prevention Act, 1967

UAPA’s origin

The ‘terrorist act’, including conspiracy and act preparatory to the commission of a terrorist act, were brought within the purview of UAPA by an amendment made in 2004, on the heels of Parliament repealing Prevention of Terrorism Act (POTA).
POTA’s precursor, the Terrorist & Disruptive Activities (Prevention) Act (TADA) was repealed in 1995.
The High Court said the phrase ‘terrorist act’ must get its colour and flavour from the problem of terrorism as was earlier addressed by the Parliament under TADA and POTA.

Unlawful Activity refers to any action taken by individual or association whether by action/ words spoken/ written/signs to questions disrupts the territorial integrity and sovereignty of India.
It is an enhancement of TADA, 1995 and POTA, 2004. It was enacted during Indira Gandhi.
The National Integration Council (headed by PM) appointed a Committee on National Integration and Regionalisation.
Pursuant to this Committee, 16th CAA, 1963 was enacted to impose, by law, reasonable restrictions in Art 19 (Speech, Association, Assembly) in the interests of integrity and sovereignty of India.
And to implement the provisions of 1963 Constitution Amendment Act, Unlawful Activities (Prevention) Act was enacted in 1967.

UAPA, 1967

NIA Amendment Act, 2019

It aims at effective prevention of unlawful activities across India and abroad.
Its main objective was to provide powers to Central Agencies and States to deal with terrorist activities directed against integrity and sovereignty of India.
Center may designate an organization as a terrorist organization.
It is applicable across the entire country.
Any Indian or Foreign National charged under UAPA is liable for punishment under UAPA, 1967.
It is applicable even if the crime is committed on a foreign land, outside India.
Persons on ships and aircrafts registered in India.

It amended Schedule 4 of UAPA which will allow NIA to designate Individuals as terrorist.
It empowers DG of NIA to seize properties (which previously required permission from DGP).
It allows NIA officers (Inspector and above) to investigate the cases. Earlier only DSP or ACP and above could investigate.
MHA declared 4 individuals as terrorists
1. Jaish-e-Mohammed chief Masood Azhar
2. Lashkar e Taiba - Hafiz Saeed, Rehman Lakhvi
3. Dawood Ibrahim

UAPA Amendments

The UAPA – an enhancement on the TADA (Terrorist and Disruptive Activities (Prevention) Act), which was allowed to lapse in 1995 and the Prevention of Terrorism Act (POTA) was repealed in 2004 — was originally passed in 1967 under the then Congress government led by former Prime Minister Indira Gandhi.
Eventually amendments were brought in under the successive United Progressive Alliance (UPA) governments in 2004, 2008 and 2013.

PT Shot: At present, NIA is functioning as the Central Counter Terrorism Law Enforcement Agency in India established under NIA Act 2008.

About Unlawful Activities [Prevention] Act(UAPA):

UAPA was introduced in 1967 to target secessionist organizations.
- It is primarily an anti-terror law aimed at preventing certain unlawful activities of individuals and associations.
Investigation: The cases under the UAPA are investigated by the State police and the National Investigation Agency(NIA).
Bail: Under the act, getting bail is rare. The investigating agency has up to 180 days to file a charge sheet..
It is considered to be the predecessor of laws (now repealed) Terrorist and Disruptive Activities (Prevention) Act (TADA) and Prevention of Terrorism Act(POTA).

Key Provisions of the Act:

The Act assigns absolute power to the central government. It can declare an activity as unlawful, by way of an Official Gazette.
The act has the death penalty and life imprisonment as the highest punishments.
Under the act, both Indian and foreign nationals can be charged. It will be applicable to the offenders in the same manner, even if the crime is committed on a foreign land, outside India.
The investigating agency can file a charge sheet in maximum 180 days after the arrests. This duration can be extended further after information to the court.

2004 amendment:

The act was amended in 2004.
It added “terrorist act” to the list of offences, to ban organisations for terrorist activities.

2019 amendment:

The amendment empowers the Central Government to designate individuals as terrorists on certain grounds.
It empowers the Director-General, National Investigation Agency (NIA) to grant approval of seizure or attachment of property when the case is under investigation by the agency.
It also empowers the officers of the NIA, of the rank of Inspector or above to investigate cases of terrorism in addition to those conducted by the DSP or ACP or above rank officer in the state

Data on UAPA Cases

There is 72% increase in the number of persons arrested under the UAPA (Unlawful Activities [Prevention] Act in 2019 compared to year 2015, data provided by the Ministry of Home Affairs (MHA).
As many as 1,948 persons were arrested under the UAPA in 1,226 cases registered across the country in 2019.
In 2019, the highest number of such cases were registered in Manipur (306), followed by Tamil Nadu (270), Jammu & Kashmir (255), Jharkhand (105) and Assam (87) cases. While in 2017 (below image) shows that Manipur was followed by J&K, Assam, Indicating Sharp rise in cases in TamilNadu, Jharkhand
The highest number of arrests were made in Uttar Pradesh (498), followed by Manipur (386), Tamil Nadu (308), Jammu & Kashmir (227) and Jharkhand (202).
NCRB data reveals 5,922 UAPA arrests between 2016 and 2019 against a mere 132 convictions. At 2019’s start, 3,908 UAPA cases were pending investigation from previous years in which police filed 257 charge sheets in 2019.
From 2015 till 2018, the cases registered under the Act annually stood at 897, 922, 901 and 1,182 respectively, while the number of arrests was 1,128, 999, 1,554 and 1,421.
Meanwhile, against 1,876 cases pending trial from previous years and 485 cases sent for trial in 2019, courts completed trial in just 113 cases, with a 29% CONVICTION RATE.
Cases under the UAPA are investigated by the State police and the National Investigation Agency (NIA). As far as the NIA is concerned, so far 48 special courts have been constituted across the country for the speedy trial of terror-related cases.

National Investigating Agency

NIA is a Central agency established by NIA Act, 2008 (after Mumbai attacks) to combat terror in India.
It comes under the Ministry of Home Affairs.
NIA acts as the Central Counter Terrorism Law Enforcement Agency.
It is authorised to investigate any terror related matter without special permission of the States.
The founding DG of NIA was Radha Vinod Raju. Currently Y C Modi is the chief.
Functions
1. To investigate terror related cases or to make strategy to combat terrorism.
2. To study and analyse laws related to terrorism in other countries and evaluate and amend Indian laws.
3. To investigate and prosecute offences affecting sovereignty, integrity, security of the State.
4. To have friendly relations with Foreign countries and International org.
5. To implement International treaties, agreements and conventions.
NIA has banned JeM, LeT, PLA, SIMI, Babbar Khalsa International, ULFA, NDFB (Assam), LTTE, TNLA etc.
NIA (Amendment), 2019
1. Ambit of NIA increased to investigate Human Trafficking, Counterfeit currency, Manufacture or sale of prohibited arms, Cyber Terrorism and Offenses under Explosive Substances Act, 1998.
2. Jurisdiction of NIA increased. They can investigate offences committed outside India. It will be subject to international treaties and domestic laws of other countries.
3. Center and State can designate Session Courts as Special Courts to conduct trials under NIA Act. This will be done in consultation with CJHC of the respective State.

Defining ‘terrorism’

To understand the concept and construction of 'terrorism', Delhi High Court referred to various judgments of the Supreme Court where the issue has already been dealt with.
“Terrorism is one of the manifestations of increased lawlessness and cult of violence... A ‘terrorist’ activity does not merely arise by causing disturbance of law and order or of public order. The fallout of the intended activity must be such that it travels beyond the capacity of the ordinary law enforcement agencies to tackle it under the ordinary penal law,” the Supreme Court had said in Hitendra Vishnu Thakur versus State of Maharashtra case.
In the same judgment, the Supreme Court said, “Every ‘terrorist’ may be a criminal but every criminal cannot be given the label of a ‘terrorist’ only to set in motion the more stringent provisions of TADA.”
The High Court said, in its opinion, “The intent and purport of the Parliament in enacting the UAPA, and more specifically in amending it in 2004 and 2008 to bring terrorist activity within its scope, was, and could only have been, to deal with matters of profound impact on the ‘Defence of India’, nothing more and nothing less.”
“Foisting extremely grave and serious penal provisions engrafted in sections 15, 17 and 18 UAPA frivolously upon people, would undermine the intent and purpose of the Parliament in enacting a law that is meant to address threats to the very existence of our Nation,” the court cautioned.
It reminded that a sacrosanct principle of interpretation of penal provisions is that they must be construed strictly and narrowly, to ensure that a person who was not within the legislative intendment does not get roped into a penal provision.
“Also, the more stringent a penal provision, the more strictly it must be construed,” the High Court remarked pointing at the use of the stringent provision under UAPA against the three students in the north-east Delhi riots case.

Source: TH

Mandatory Hallmarking of Gold

GS-III : Economic Issues Gold investment

Hallmarking of Gold

Mandatory Hallmarking of Gold Jewellery is going to come into force from tomorrow, 16th June 2021.

Under Hallmarking scheme of the Bureau of Indian Standards, Jewellers are registered for selling hallmarked jewellery and recognise testing and Hallmarking centres.
BIS (Hallmarking) Regulations, were implemented w.e.f. 14.06.2018. Hallmarking will enable Consumers/Jewellery buyers to make a right choice and save them from any unnecessary confusion while buying gold.
At present, only 30% of Indian Gold Jewellery is hallmarked.
India is the world’s largest importer of gold, with annual imports of 700-800 tonne.

The jewellers have been given one year time to register with the Bureau of Indian Standards (BIS) and clear their stocks if not hallmarked yet.
Hallmarked gold jewellery will be only in three grades – 14-carat, 18-carat and 22-carat instead of current availability of ten grades.
It will contain four marks:

BIS mark,
Purity in carat,
Assay centre’s name and
Jewellers’ identification mark.

The rule is applicable only on sales by retailers and not to consumers. However, it is available for consumers who want to get their old jewellery hallmarked.
Anybody found violating the provision, will have to pay a minimum fine of Rs 1 lakh or 5 times the price of the article.
The government had informed about these hallmarking norms to the World Trade Organisation (WTO), which will help exporters get to know the changes in advance in importing country like India.
Impact of Hallmarking of Gold

The Hallmarking of jewellery/artefacts is required to enhance the credibility of gold Jewellry and Customer satisfaction through third party assurance for the marked purity/fineness of gold , consumer protection.
This step will also help to develop India as a leading gold market centre in the World.
It will also help to get the purity as marked on the ornaments.
It will bring transparency and assure the consumers of quality.
The new system will weed out anomalies and corruption in the system of manufacturing of jewellery.

Source: PIB

NAFED launches Fortified Rice Bran Oil

GS-III : S&T Health

NAFED launches Fortified Rice Bran Oil

Rice Bran oil has multiple health benefits, including lowering cholesterol levels due to its low trans-fat content and high mono-unsaturated and polyunsaturated fat contents.
It also acts as a booster and reduces the risk of cancer due to the high amount of Vitamin E it contains.
This oil is recommended by The American Heart Association and the World Health Organization (WHO) as one of the best substitutes for other edible oils.
Rice Bran oil from Nafed will be fortified and it will be ensured that it will contain additional nutrients and vitamins.
According to the FSSAI, fortified oil can help a person fulfil 25-30% of the recommended dietary intake for vitamins A and D.
Nafed Fortified Rice Bran Oil will be available at all Nafed Stores and also on various online platforms.
Impact

This initiative by Nafed will significantly reduce the country's consumption dependence on imported edible oil in future.
This will provide opportunities for Indian edible oil manufacturers further, and also will give an impetus to the Prime Minister's Aatmnirbhar Bharat initiative.

This Rice bran oil will be marketed by Nafed (National Agricultural Cooperative Marketing Federation of India Ltd).

National Agricultural Cooperative Marketing Federation of India Ltd

It is an apex organization of marketing cooperatives for agricultural produce in India.
It was founded on 2 October 1958 and is registered under the Multi-State Cooperative Societies Act, 2002.
NAFED is now one of the largest procurement as well as marketing agencies for agricultural products in India.

Objectives:

To organize, promote and develop marketing, processing and storage of agricultural, horticultural and forest produce.
To distribute agricultural machinery, implements and other inputs, undertake inter-state, import and export trade, wholesale or retail as the case may be.
To act and assist for technical advice in agricultural production for the promotion and the working of its members, partners, associates and cooperative marketing, processing and supply societies in India.

Source: PIB

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DAILY NEWS ANALYSIS

GS-II : International Relations China

Taiwan reports the largest incursion by Chinese forces

Historical Background

One-China Policy:

What is the “one country, two systems” approach?

What are the Three Linkages?

Taiwan-China relations

Role of the USA in China-Taiwan relations

The US is by far Taiwan's most important friend and its only ally.

Why Taiwan is important to India?

India’s Stand on the Issue:

Way forward

Conclusion

GS-III : Internal security Internal security

Delhi HC and UAPA

What is the news?

GS-III : Economic Issues Gold investment

Hallmarking of Gold

GS-III : S&T Health

NAFED launches Fortified Rice Bran Oil

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