CAO Daily Editorial analysis for UPSC IAS 14-October, 2017

Current Affairs Only Daily Editorial Analysis for Competitive Exams

14th October, 2017


Six steps to job creation  {Development and Employment}

(The Hindu)


Unemployment, irregular jobs and low salaries continue to hurt India while it continues to embrace labour reforms.

Three demographic groups that are in urgent need of jobs

  • Growing number of better educated youth.
  • Uneducated agricultural workers who wish to leave agricultural distress behind.
  • Young women.

What can policy-makers do to revive job growth?


Excessive imports have been decimating Indian manufacturing. An inverted duty structure has the following features: higher duty on intermediate goods compared to final finished goods, with the latter often enjoying concessional customs duty.

As a result, domestic manufacturers face high tariffs since the last 12-15 years, leading to higher raw material cost at home, emanating from the unfavourable inverted duty structure.


Trade policy should be consistent with such an industrial policy. 


The packaging labour intensive sectors have been ignored.


special packages are needed for labour-intensive industries to create jobs. There are a number of labour intensive manufacturing sectors in India such as food processing, leather and footwear, wood manufacturers and furniture, textiles and apparel and garments.

The nature of the package will need to be individually designed for each sector defined as quickly as possible.


Unorganised sector employment is in MSMEs, which tend to be concentrated in specific geographic locations.

There is a cluster development programme of the Ministry of MSMEs, which is poorly funded and could be better designed as well.


there should be cluster development to support job creation in micro, small and medium enterprises (MSMEs).


The Ministry of Urban Development (MoUD) has a programme called AMRUT (Atal Mission for Rejuvenation and Urban Transformation) aimed at improving infrastructure for small towns. Infrastructure investment by the government always creates many jobs. But the programme does not take into account whether the infrastructure investment under it is taking place in towns which have clusters of unorganised sector economic activities


An engagement between the Urban Development and MSME Ministries is necessary to ensure that this is happening. It will attract more investment to industrial clusters, which is where most non-agricultural jobs are.


The problem with skilling women programmes has been low placement after skilling is complete.


The availability of jobs close to where the skilling is conducted will also enhance the demand for skilling.


Public investment in the health sector has remained even in the last three years at 1.15% of GDP, despite the creation of the national health policy at the beginning of 2017.


Public investments in health, education, police and judiciary can create many government jobs.

 Govt proposes new guidelines on groundwater usage by industries { Natural Resource Management}


In news

Central government has proposed guidelines which stipulate that all industries, mining and infrastructure dewatering projects—whether existing or new—that draw or propose to draw groundwater will now need to obtain a no-objection certificate (NOC).


Completely changing the way groundwater is managed.

About the proposal

The Union ministry of water resources, river development and Ganga rejuvenation sent the draft guidelines for the issuance of NOCs to all state governments on Wednesday, seeking feedback over the next 60 days.

The draft guidelines come after several orders from the National Green Tribunal asking the government to ensure that groundwater withdrawal is in accordance with the law.

Major revisions proposed in the draft

pan-India coverage, decentralization of NOC issuing authorities and introduction of a water conservation fee in lieu of recharge mechanism which would be used by states for effective groundwater management.

It does away with provisions regarding artificial recharge and construction of artificial recharge structures by project proponents.


  • Water sector experts said that the proposed guidelines will seriously dilute the present rules and added that the fee is paltry.
  • “The proposed guidelines don’t seem to have any scientific basis they are just ad hoc.
  • They don’t talk about the extent of groundwater that can be extracted in a given area.
  • The proposed fee also looks very negligible.
  • There is a huge possibility of misuse of these proposed rules and can bring back inspector raj,





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