Current Affairs – December 14, 2025

{GS3 – IE} Current Status of Production Linked Incentive Scheme **

• Context (TH): The Department for Promotion of Industry and Internal Trade (DPIIT) released its Year-End Review 2025, highlighting the outcomes of the Production-Linked Incentive (PLI) schemes.

• Investment: PLI schemes have attracted over ₹1.88 lakh crore of actual investment across 14 sectors.
• Output: These investments have generated incremental production and sales of over ₹17 lakh crore.
• Employment: The schemes have created more than 12.3 lakh direct and indirect jobs.
• Export: Exports under PLI schemes have crossed ₹7.5 lakh crore.
  • Key Contributors: Electronics, Pharmaceuticals, Telecom & Networking products, and Food Processing.

About Production Linked Incentive (PLI) Scheme

• About Scheme: PLI offers performance-based incentives for incremental sales of products manufactured in India.
• Objective: It aims to expand domestic manufacturing, attract foreign investment, reduce import dependence, and create jobs.
• Launch Year: The scheme was launched in March 2020 under the Atmanirbhar Bharat initiative.
  • The first phase targeted three sectors: mobile manufacturing, pharmaceutical ingredients (bulk drugs), and medical devices.
• Nodal Agency: DPIIT under the Ministry of Commerce and Industry acts as the coordinating authority.
  • Oversight: The Empowered Group of Secretaries, chaired by the Cabinet Secretary, monitors scheme implementation.
  • Sectoral: Each sector is managed by its respective ministry as the implementing authority.
• Output Basis: Incentives are released only after companies meet specified incremental production and sales targets.
• Time Duration: Each sector’s PLI scheme runs for a fixed period of four to six years.
  • Base Year: A designated financial year, often FY 2019-20, is used to compute incremental sales.
• Coverage: Fourteen strategic sectors are covered to support national economic growth and security.
• Eligibility: Eligible manufacturing units must be physically located within India.
  • Threshold: Firms must meet annual thresholds for incremental investment and incremental production or sales turnover.

Read More> Initiatives for Export Promotion

{GS3 – IE} India’s Crude Oil Diversification **

• Context (TH): The Parliamentary Committee has urged closer coordination between the Ministry of Petroleum and Natural Gas (MoPNG) and the Ministry of External Affairs (MEA) to diversify crude oil sources.

• India imports ~89% of its crude oil needs, exposing it to global supply shocks.

Why Crude Oil Diversification Is Critical for India?

• Energy Security Resilience: Heavy dependence on a few suppliers exposes India to geopolitical shocks. E.g. the Russia–Ukraine war (2022) pushed Brent crude above $120/barrel, straining India’s supply chain.
• Fiscal Stability: Oil imports drive current account deficit and inflation transmission. E.g. Petroleum imports form ~30% of India’s total import bill (MoPNG).
• Strategic Autonomy: Overdependence constrains foreign policy choices. E.g. Payment and insurance hurdles in Iranian and Russian crude trade post sanctions.
• Supply Route Security: Chokepoints heighten vulnerability to disruptions. E.g. Nearly 60% of India’s crude passes through the Strait of Hormuz, a high-risk corridor.

Challenges In Crude Oil Diversification

• Ageing Oilfields: Domestic production decline weakens bargaining power abroad. E.g. Crude output fell from 34.2 MMT (2018-19) to ~28.7 MMT (2024-25) despite higher capex.
• Price Volatility: Wide crude price swings complicate long-term contracting. E.g. Brent crude fluctuated between $70–$120/barrel (2021–24).
• Capex Inefficiency: Upstream PSU capex rose from ₹1.33 lakh crore (2020–21) to ₹1.70 lakh crore (2024–25) without output gains.
• Regulatory Uncertainty: Host-country tax and policy changes affect project viability. E.g. ICRIER notes regulatory risks reducing returns in Africa & Latin America assets.

Way Forward

• Diplomatic Coordination: Integrate the MoPNG with MEA for upstream asset access; E.g. targeted energy diplomacy with West Asia & Africa, which supply ~65% of India’s crude.
• Contract Flexibility: Expand hedging and flexible term contracts to manage volatility; E.g. spot-term mix helped India absorb the 2022 oil price shock without shortages.
• Route Diversification: Strengthen alternate import routes and storage buffers; E.g. expand Strategic Petroleum Reserves (SPR) beyond current ~39 MMT.
• Domestic Revival: Scale Enhanced Oil Recovery (EOR) and frontier basin exploration; E.g. EOR can raise recovery by 5–15% in mature fields (ONGC estimates).

{GS3 – Infra} Underlying Challenges in India’s Civil Aviation Sector **

• Context (TH): A wave of mass flight cancellations by IndiGo exposed structural weaknesses and longstanding regulatory gaps in India’s civil aviation sector.

Challenges Faced by India’s Civil Aviation Sector

• Regulatory Capture: The DGCA remains under the Ministry despite the 2006 ICAO audit recommending independent oversight.
• Market Duopoly: Dominance of IndiGo (60%) and the Tata Group (20%) makes nationwide operations vulnerable to disruptions.
• Fuel Cost: High taxes and GST exclusions make Aviation Turbine Fuel form 40-50% of total airline operating expenses.
• Currency Risk: Dollar-denominated costs raise operating expenses and reduce profits when the Rupee weakens.
• Route Mortality: Over 100 UDAN routes closed after government subsidies ended due to a lack of commercial viability.
• Pilot Shortage: Insufficient trained pilots make compliance with Flight Duty Time Limitations difficult.
• ATCO Shortage: Inadequate Air Traffic Controller (ATCO) strength reduces safe-handling capacity during peak traffic.
• MRO Gap: Limited domestic MRO (Maintenance, Repair and Overhaul) capacity makes airlines rely on foreign servicing for major maintenance.

Way Forward

• Implement Convention: Strictly implement the 2025 Protection of Interests in Aircraft Objects Act to secure lessor rights during defaults.
• Reform ATF: Bring Aviation Turbine Fuel under GST to allow airlines to claim Input Tax Credit for reducing operating costs.
• Expand MRO: Reduce GST on MRO services to 5% and attract OEMs (Original Equipment Manufacturer) like Safran to strengthen domestic maintenance capacity.
• Optimise FDTL: Introduce stricter Flight Duty Time Limitations (FDTL) norms in phases to manage pilot fatigue without causing capacity shocks.
• Build Hubs: Develop coordinated flight banks and a “Hub and Spoke” model at Delhi and Jewar to capture international transit traffic.
• Sustain UDAN: Use targeted Viability Gap Funding and smaller aircraft to keep regional routes commercially viable.

Read More> India’s Aviation Sector | Flight Duty Time Limitation (FDTL) Rules

{GS3 – S&T} Scientists Performed OTOCs using ‘Willow’ Quantum Chip

• Context (TH): Scientists measured Out-of-Time-Order Correlators (OTOCs) using Google’s 65-qubit “Willow” superconducting quantum chip.
• Speed: The quantum computer ran the “Quantum Echoes” algorithm nearly 13,000 times faster than the best-known classical algorithm.

Out-of-Time-Order Correlators (OTOCs)

• Chaos Metric: OTOCs measure quantum chaos by showing how a tiny present disturbance changes a measurement taken later within a quantum system.
• Time-Reversal: The system receives a tiny nudge and is forced to retrace its earlier steps to undo the disturbance.
  • Echo Check: If the system returns to its start, it is stable; a weak or missing echo shows the information was irreversibly scrambled.
• Hardware: High sensitivity makes OTOCs a reliable metric for testing quantum computing hardware.

About Quantum Computing

• Qubit Concept: Quantum computing uses qubits that can exist in multiple states simultaneously; unlike classical bits, which are restricted to 0 or 1.
• Core Function: It uses superposition, entanglement, and interference to solve complex problems far faster than classical computers.
• Quantum Advantage: This refers to the point where a quantum computer performs a meaningful task faster or more efficiently than any classical computer.
• NQM Target: The National Quantum Mission (NQM) aims to build 50-1000-qubit systems and develop secure quantum networks and advanced quantum sensors.

Read More> Quantum Computing

{Prelims – Envi} 50 Years of CITES *

• Context (DTE): The Convention on International Trade in Endangered Species of Wild Flora and Fauna (CITES) marked its 50^th anniversary at CoP20 in Samarkand, Uzbekistan.

• It was the first CITES Conference of the Parties (CoP) held in Central Asia.

Key Outcomes

• Species Uplistings: The convention added 77 species to the CITES Appendices, including major uplistings for sharks and iguanas, to strengthen trade controls.
• Bird Protections: The meeting enhanced trade safeguards for several bird groups, including African hornbills, vultures, and threatened songbirds.
• Asian Big Cats: Members approved an independent reporting system to support evidence-based decisions on species such as tigers, leopards, and Asiatic lions.
• Illegal Trade: Delegates focused on fighting illegal wildlife trade, emphasising technology use, online crime monitoring, and regional cooperation in the Samarkand Declaration.
• Funding Decision: Parties approved a 6.98% budget increase to support operations for 2026–2028.

About CITES

• CITES is a multilateral treaty to ensure that international trade in wild animals and plants does not threaten their survival.
• Proposed in 1963 at an IUCN meeting, signed in 1973 in Washington, D.C., it came into effect in 1975.
• The Convention has 185 Parties and oversees trade in over 40,000 species.
• The treaty is legally binding but doesn’t override national laws; Parties must enact domestic laws to implement CITES.
• It classifies species into three Appendices based on threat level.
  • Appendix I: Covers species threatened with extinction, receiving the highest protection; commercial trade is generally prohibited.
  • Appendix II: Covers species that are not endangered but may become so without regulation; commercial trade is allowed with permits.
  • Appendix III: Covers species listed by individual countries seeking international support to regulate trade, which requires permits or certificates of origin depending on the country.

Read More > 50 Years of CITES

{Prelims – Eco} ADB Raises India’s FY26 Growth Outlook

• Context (BS): The Asian Development Bank (ADB) has revised India’s FY26 GDP growth projection upward to 7.2%, marking a sharp upgrade from its earlier estimate of 6.5%.

Key Details

• Momentum: Q2 GDP expanded 8.2% (six-quarter high), taking first-half growth to about 8%, signalling sustained near-term momentum behind the revision.
• Drivers: Revision reflects stronger domestic consumption (stimulated by recent tax cuts) and higher investment, with supply-side support from robust manufacturing and services expansion.
• Regional Impact: India’s stronger outlook lifts Asia’s 2025 growth projection to 5.1% (from 4.8%), making India the principal engine of the region’s faster expansion.

{Prelims – IR} IndiaAI and UN Women Collaboration

• Context (PIB): IndiaAI and UN Women India have launched a worldwide call for nominations to identify real-world AI solutions promoting gender equality.

• This collaboration aims to showcase measurable, verifiable AI applications that benefit women and girls, particularly in the Global South.

About IndiaAI

• IndiaAI functions as an independent business division under the Ministry of Electronics and Information Technology (MeitY), executing the IndiaAI Mission.
• IndiaAI Mission was launched in 2024 for ‘Making AI in India and Making AI Work for India”.
• The mission aims to position India as a global leader in Artificial Intelligence and democratise the benefits of AI.

Read More > India-AI Mission | India AI Governance Guidelines

About UN Women

• UN Women is the United Nations (UN) agency dedicated to promoting gender equality and empowering women and girls.
• It was established in 2010 by the UN General Assembly through the merger of four pre-existing women-focused entities to improve impact and efficiency.
• Mission: To realise the Sustainable Development Goals (SDGs), particularly SDG 5 (Gender Equality).
• Structure: Headquartered in New York, UN Women works in over 120 countries via regional offices.
• Governance: The Executive Board, elected by the UN Economic and Social Council (ECOSOC), provides operational and policy guidelines.
• UN Women India: Supports Gender-Responsive Budgeting (GRB) in national planning and provides technical support to accelerate gender equality initiatives.

{Prelims – IR} India–Liberia MoU on Pharmacopoeial Cooperation

• Context (NOA): India and Liberia signed a Memorandum of Understanding (MoU) to strengthen cooperation in pharmacopoeia.

• It aims to promote shared quality standards and improve access to safe and affordable medicines in West African countries.
• The MoU encompasses knowledge exchange and training provisions for Liberian regulatory staff.
• Significance: The agreement reinforces India’s commitments to universal health coverage, while strengthening India–Africa diplomatic ties.

Read More > India-Africa Relations

{Prelims – Infra} Indian Railways’ Renewable Energy Push

• Context (PIB): Indian Railways is expanding its use of renewable energy as part of its plan to become a net-zero carbon emitter by 2030.

Key Developments

• Renewable Traction: Indian Railways has commissioned 812 MW solar and 93 MW wind power for traction, and also secured 1,600 MW round-the-clock hybrid supply.
• Electrification: About 99.2% of the broad-gauge network is electrified via mission-mode work, with route electrification jumping from 21,801 km (pre-2014) to 46,900 km (2014–25).
• IGBT Locomotives: Insulated Gate Bipolar Transistor (IGBT)-based locomotives with regenerative braking are being deployed, which improves energy efficiency.
• Engine Transition: Coal and diesel engines are being phased out, with steam engines retained only on UNESCO heritage routes, while advancing a hydrogen-train pilot for cleaner propulsion.

About Indian Railways

• India’s national rail system, established in 1853 under colonial administration, now runs roughly 69,000 km of route (4^th largest rail network globally) and employs about 1.25 million people.
• It carries over 7 billion passengers (FY25) and handled about 1,590 million tonnes of freight in 2023-24, making it central to national mobility and logistics.

Read More > India’s Railway Sector

{Prelims – PAN} Charaichung Festival

• Context (DD): Assam’s Majuli hosts the Charaichung Festival to revive Charaichung, the first protected bird sanctuary of Asia.

• Festival Purpose: Charaichung Festival is an annual event to conserve the Charaichung Bird Sanctuary.
• Local Initiative: It is a community-led effort organised by Majuli-based NGO “Majulir Sahitya”.

Read More > Pulicat Bird Sanctuary

{Prelims – Diseases} Haemorrhagic Septicaemia

• Context (TH): Ten blackbucks died at Tata Steel Zoological Park, Jamshedpur, with preliminary findings suggesting haemorrhagic septicaemia (Pasteurellosis).

About Haemorrhagic Septicaemia

• Haemorrhagic Septicaemia (Pasteurellosis) is a bacterial disease caused by Pasteurella multocida; it mainly affects cattle, buffaloes and some wild antelopes.
• Spreads through inhalation or ingestion via contaminated feed, water, droplets or fomites; outbreaks are common in humid, monsoon-like conditions.
• Endemic to South & Southeast Asia, Africa, parts of the Middle East and southern Europe; major livestock losses occur in India, Pakistan and Bangladesh.
• Highly acute with high mortality and morbidity; symptoms include high fever, rapid swelling of throat/neck and respiratory distress, often leading to sudden death.
  • Younger animals are more susceptible than adults.
• Control relies on annual vaccination in endemic zones and rapid antibiotic treatment (early stage only); prevention includes sanitation, isolation and biosecurity measures

Read More > Anthrax

{Prelims – In News} Shilp Didi Programme

• Context (PIB): The Union Textiles Secretary, at the National Handicrafts and Heritage Week, outlined the government’s Shilp Didi Programme and its role in supporting women artisans.

About Shilp Didi Programme

• Overview: Launched in 2024 by the Ministry of Textiles, the programme trains and supports women artisans (“Shilp Didis”) to strengthen design, digital skills and entrepreneurship.
• Coverage: The pilot phase includes 100 women artisans from 72 districts across 23 states, covering 30 handicraft traditions such as textiles, pottery, metal crafts and embroidery.
• Training: Artisans receive e-training on entrepreneurship, social media and e-commerce, supported by National Handicrafts Development Programme (NHDP) clusters for design, marketing and sales.
• Market Access: The programme provides visibility through Dilli Haat, craft fairs, curated events, and e-commerce platforms, helping women artisans expand markets and enhance income.

Read More > PM Vishwakarma Scheme