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Ballistic Missile Defence Coalition: 10 Nations, Best Notes

ballistic missile defence coalition of Ukraine and nine European nations
The ballistic missile defence coalition brings together ten countries

Why in News?

Ukraine and nine European countries announced a ballistic missile defence coalition to protect Europe from ballistic missile attacks and to work towards a common European missile shield.

Key Facts for Prelims: The Ballistic Missile Defence Coalition

  • Total members: Ten โ€” Ukraine plus nine European nations
  • Member countries: Ukraine, Denmark, France, Germany, Italy, the Netherlands, Norway, Spain, Sweden and the United Kingdom
  • Aim: Shared operational requirements, joint technical working groups, common governance and a roadmap to initial operational capability
  • Basis of design: Ukraine’s battlefield experience in intercepting large-scale missile attacks
  • Membership: The ballistic missile defence coalition remains open to other countries sharing its objectives

Interconnected Concept: Ballistic Missiles

A ballistic missile is launched like a rocket, travels most of its path along a curved trajectory under gravity, and falls on the target at very high speed. It is powered only during the initial boost phase, which is why a dedicated ballistic missile defence coalition focuses on early detection and interception.

Classification by Range

TypeRange
Tactical Ballistic MissileLess than 300 km
Short-Range (SRBM)300 km to 1,000 km
Medium-Range (MRBM)1,000 km to 3,000 km
Intermediate-Range (IRBM)3,000 km to 5,500 km
Intercontinental (ICBM)More than 5,500 km

Ballistic vs Cruise Missile: Static Exam Link

  • Ballistic: Powered only in the boost phase, follows a high arched trajectory, re-enters at hypersonic speed. Example: Agni series
  • Cruise: Powered throughout flight, flies low and level within the atmosphere, continuously guided. Example: BrahMos, Nirbhay
  • India’s capability: DRDO’s two-tier Ballistic Missile Defence programme โ€” Prithvi Air Defence (PAD) for exo-atmospheric and Advanced Air Defence (AAD) for endo-atmospheric interception
  • Related regime: Missile Technology Control Regime (MTCR), which India joined in 2016 โ€” a voluntary export control regime, not a treaty

Why the Ballistic Missile Defence Coalition Matters

The ballistic missile defence coalition is significant less for the hardware it will eventually field and more for what it signals about European strategic autonomy. Missile defence has traditionally been organised through NATO structures that depend heavily on American sensors, interceptors and command systems. By pooling requirements among ten states, the coalition attempts to build a European capability that can function alongside, rather than entirely within, existing alliance arrangements.

Technically, defending against ballistic missiles is far harder than defending against aircraft. A warhead re-enters the atmosphere at several kilometres per second, leaving an interception window measured in seconds. Effective defence therefore requires layered systems: space-based or long-range radar for early warning, exo-atmospheric interceptors for the midcourse phase, and endo-atmospheric interceptors for the terminal phase. This layering is exactly the logic behind India’s own two-tier programme, and it is a favourite comparison in examination questions.

For Indian aspirants, three linkages are worth remembering. First, the distinction between ballistic and cruise missiles, which turns on propulsion and trajectory rather than on range or payload. Second, the classification of missiles by range, from tactical systems up to intercontinental ones. Third, the export-control architecture, especially the Missile Technology Control Regime, the Wassenaar Arrangement and the Hague Code of Conduct, all of which India has joined, and none of which is a legally binding treaty.

Quick Revision Table: Ballistic Missile Defence Coalition

ParameterDetail
Number of CountriesTen (Ukraine and nine European nations)
MembersUkraine, Denmark, France, Germany, Italy, Netherlands, Norway, Spain, Sweden, UK
ObjectiveCommon European ballistic missile shield
ICBM RangeAbove 5,500 km
IRBM Range3,000 to 5,500 km
India’s BMD InterceptorsPAD (exo-atmospheric) and AAD (endo-atmospheric)

Trap / Confusing Points

ConfusionCorrect Fact
The coalition has nine members in totalIt has ten โ€” Ukraine plus nine European nations
It is a NATO command structureIt is a coalition of willing states, not a NATO body
Ballistic missiles are powered throughout flightThey are powered only in the boost phase; cruise missiles are powered throughout
MRBM range is 300 to 1,000 kmThat is the SRBM range; MRBM is 1,000 to 3,000 km
MTCR is a legally binding treatyMTCR is an informal, voluntary export control grouping; India joined in 2016

Practice MCQs

1. How many countries in total are part of the newly announced ballistic missile defence coalition?

a. Eight
b. Nine
c. Ten
d. Twelve

Ans: C
Ukraine along with nine European nations.

2. Which of the following is NOT a member of the coalition?

a. Norway
b. Sweden
c. Poland
d. Denmark

Ans: C
The members are Ukraine, Denmark, France, Germany, Italy, the Netherlands, Norway, Spain, Sweden and the UK.

3. An Intercontinental Ballistic Missile is one with a range of:

a. More than 1,000 km
b. More than 3,000 km
c. More than 5,500 km
d. More than 10,000 km

Ans: C
ICBMs are defined as having a range exceeding 5,500 km.

4. Which statement correctly distinguishes a ballistic missile from a cruise missile?

a. Ballistic missiles are powered throughout their flight
b. Cruise missiles follow a high arched trajectory under gravity
c. Ballistic missiles are powered only during the boost phase
d. Cruise missiles cannot be guided after launch

Ans: C
A ballistic missile is powered only in the boost phase, while a cruise missile is powered and guided throughout.

5. India’s two-tier Ballistic Missile Defence programme uses which interceptors?

a. Akash and Trishul
b. Prithvi Air Defence and Advanced Air Defence
c. Barak-8 and QRSAM
d. Nag and Nirbhay

Ans: B
PAD intercepts at exo-atmospheric and AAD at endo-atmospheric altitudes, both from DRDO.

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Hormuz Bypass Port 2026: UAE Plans Best Alternative Route

Hormuz bypass port planned by the UAE on its east coast
A Hormuz bypass port would let cargo avoid the strait entirely

Why in News?

The United Arab Emirates is planning a new deepwater Hormuz bypass port on its east coast, allowing cargo to avoid the Strait of Hormuz and cutting reliance on one of the world’s most vulnerable shipping routes after months of Iran-United States conflict.

Key Facts for Prelims: Why a Hormuz Bypass Port

  • The UAE east coast (Gulf of Oman side, around Fujairah) lies outside the Strait of Hormuz, so ships can reach it without entering the strait
  • Debris from an intercepted missile triggered a fire at Jebel Ali port, West Asia’s largest container port, which lies on the Persian Gulf side
  • Activity at the port fell by as much as 90% after the strait was closed, forcing the UAE to seek alternative routes
  • Cargo would be unloaded on the east coast and moved overland to Dubai, Abu Dhabi and other Gulf states

Interconnected Concept: What is a Strait?

A strait is a narrow, naturally formed waterway connecting two larger water bodies and usually separating two landmasses. Straits carrying a very high share of global trade or energy are called chokepoints.

Strait of Hormuz

  • Connects: Persian Gulf (west) and the Gulf of Oman or Arabian Sea (east)
  • Bordering countries: Iran on the north; UAE and Oman’s Musandam Peninsula (an exclave) on the south
  • Significance: The only sea passage from the oil-rich Persian Gulf to the open ocean
  • Volume: Around 20 million barrels of oil per day, roughly 20% of global petroleum consumption

Other Important Straits

StraitConnectsSeparatesKey Point
HormuzPersian Gulf and Gulf of OmanIran and UAE/Oman (Musandam)About 20 million barrels of oil a day
MalaccaIndian Ocean (Andaman Sea) and Pacific Ocean (South China Sea)Malay Peninsula and SumatraAbout 25% of global traded goods
GibraltarAtlantic Ocean and Mediterranean SeaSpain and MoroccoGateway to the Mediterranean
Palk StraitBay of Bengal and Palk Bay/Gulf of MannarIndia (Tamil Nadu) and Sri LankaShallow; linked to the Sethusamudram debate

Why a Hormuz Bypass Port Matters Strategically

The value of a Hormuz bypass port lies in geography. Every cargo and tanker leaving the Persian Gulf must currently squeeze through a channel whose navigable shipping lanes are only a few kilometres wide, with Iranian territory on one side. Any state that can threaten those lanes gains disproportionate leverage over global energy markets without firing on a single vessel. Building port capacity on the Gulf of Oman side removes that leverage for a portion of regional trade.

India has a direct stake in this. West Asia supplies a large share of India’s crude oil and natural gas, and Indian ports on the western coast are among the closest major destinations for Gulf cargo. Disruption in the strait raises freight and insurance costs, widens the current account deficit and feeds into domestic inflation through fuel prices. India has responded over the years by diversifying crude sources, expanding strategic petroleum reserves and investing in alternative connectivity such as Chabahar port in Iran and the International North-South Transport Corridor.

Aspirants should connect this development to the broader idea of maritime chokepoints. Apart from Hormuz, the Suez Canal, the Bab-el-Mandeb, the Strait of Malacca, the Panama Canal and the Cape of Good Hope route regularly appear in questions. In each case the examiner tests three things: which water bodies are joined, which countries lie on either side, and what share of global trade or energy passes through.

Quick Revision Table

ParameterDetail
ConnectsPersian Gulf and Gulf of Oman
Northern CoastIran
Southern CoastUAE and Oman’s Musandam exclave
Oil TransitAbout 20 million barrels a day, nearly 20% of global consumption
Largest Container Port AffectedJebel Ali, Dubai
Location of Proposed Bypass PortUAE east coast, Gulf of Oman side

Trap / Confusing Points

ConfusionCorrect Fact
The Strait of Hormuz connects the Red Sea to the Arabian SeaIt connects the Persian Gulf to the Gulf of Oman. The Bab-el-Mandeb connects the Red Sea to the Gulf of Aden
Saudi Arabia borders the straitIt is bordered by Iran, UAE and Oman only
Musandam is part of the UAEMusandam is an exclave of Oman, separated from mainland Oman by UAE territory
Malacca is the biggest energy chokepointHormuz is the biggest energy chokepoint; Malacca leads in general trade volume
Palk Strait separates India from the MaldivesIt separates India (Tamil Nadu) from Sri Lanka

Practice MCQs

1. The Strait of Hormuz connects which two water bodies?

a. Red Sea and Gulf of Aden
b. Persian Gulf and Gulf of Oman
c. Mediterranean Sea and Atlantic Ocean
d. Bay of Bengal and Gulf of Mannar

Ans: B
It is the only sea passage from the Persian Gulf to the open ocean via the Gulf of Oman.

2. Which of the following countries border the strait?
1. Iran 2. Oman 3. UAE 4. Saudi Arabia

a. 1, 2 and 3 only
b. 1 and 4 only
c. 2, 3 and 4 only
d. 1, 2, 3 and 4

Ans: A
Iran lies to the north, and the UAE and Oman’s Musandam Peninsula to the south.

3. Musandam Peninsula is an exclave of:

a. UAE
b. Qatar
c. Oman
d. Yemen

Ans: C
Musandam is cut off from mainland Oman by UAE territory.

4. The Strait of Malacca separates which of the following?

a. Malay Peninsula and Sumatra
b. Java and Borneo
c. Malaysia and the Philippines
d. Thailand and Vietnam

Ans: A
It carries about 25% of global traded goods.

5. Approximately what share of global petroleum consumption transits the strait?

a. 5%
b. 10%
c. 20%
d. 40%

Ans: C
About 20 million barrels of oil a day, roughly 20% of global petroleum consumption.

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Investment Friendliness Index 2026: Gujarat Tops NITI Aayog List

Investment Friendliness Index 2026 released by NITI Aayog
Gujarat topped the first Investment Friendliness Index

Why in News?

Gujarat has topped NITI Aayog‘s first-ever Investment Friendliness Index (IFI) 2026, followed by Maharashtra and Tamil Nadu.

Key Facts for Prelims: Investment Friendliness Index

  • Released by: NITI Aayog โ€” first edition
  • Coverage: All 28 States and 8 Union Territories
  • Purpose: Assesses the ability of states to attract and sustain investment, rather than being a mere ranking exercise
  • Top three: Gujarat, Maharashtra, Tamil Nadu
  • Number of pillars: Eight, with differing weightages

Eight Pillars and Weightages

PillarWeightage
Infrastructure25%
Business Climate20%
Resources15%
Regulatory Ease12%
Government Policy10%
Financial Health7%
Institutional Environment6%
Environmental Resilience5%

Four Categories of States

  • Top Performers: Five states
  • Frontrunners: 15 states, including Delhi, Uttar Pradesh, Andhra Pradesh
  • Emerging Performers: Eight states and UTs, including Punjab, West Bengal, Bihar, Jammu and Kashmir
  • Aspiring States: Eight, including Mizoram, Arunachal Pradesh, Manipur

Static Exam Link: NITI Aayog and Other Indices

  • NITI Aayog: Established 1 January 2015, replacing the Planning Commission. Created by an executive resolution โ€” neither constitutional nor statutory
  • Chairperson: Prime Minister, with a Vice-Chairperson and a CEO
  • Other NITI Aayog indices: SDG India Index, Composite Water Management Index, India Innovation Index, Health Index, Export Preparedness Index, Fiscal Health Index, National Multidimensional Poverty Index
  • Distinguish: The Business Reform Action Plan (BRAP) state ranking is by DPIIT; the country-level Ease of Doing Business ranking was by the World Bank (discontinued in 2021)

Why the Investment Friendliness Index Matters

The Investment Friendliness Index is best understood as a competitive federalism instrument. Since land, electricity, labour administration and local clearances are largely state subjects or concurrent matters, the real determinants of where a factory is built lie with state governments rather than the Union. Publishing a comparative index creates reputational pressure on states to fix the specific bottlenecks that investors report.

The choice of pillars is itself instructive. Giving infrastructure the highest weight reflects evidence that reliable power, road and port connectivity and ready industrial land matter more to investors than headline incentives. Including environmental resilience, even at a small weight, acknowledges that climate risk now affects the viability of industrial locations. Financial health captures whether a state has the fiscal room to honour the commitments it makes.

Aspirants should be careful to distinguish this index from similar-sounding exercises. The Business Reform Action Plan ranking is a DPIIT exercise focused on implementation of specific reform measures. The World Bank’s Ease of Doing Business ranking was a country-level exercise, discontinued in 2021. NITI Aayog’s own family of indices, covering SDGs, water, innovation, health, exports and fiscal health, follows the same design philosophy of ranking states to spur reform.

Quick Revision Table: Investment Friendliness Index

ParameterDetail
Released ByNITI Aayog (first edition)
Coverage28 States and 8 UTs
Number of PillarsEight
Highest-weight PillarInfrastructure (25%)
Lowest-weight PillarEnvironmental Resilience (5%)
Rank 1Gujarat
Rank 2 and 3Maharashtra, Tamil Nadu
CategoriesTop Performers, Frontrunners, Emerging Performers, Aspiring States

Trap / Confusing Points

ConfusionCorrect Fact
The Investment Friendliness Index is released by DPIITIt is a NITI Aayog report; DPIIT releases the BRAP state rankings
Business climate carries the highest weightInfrastructure (25%) is highest; business climate is second at 20%
Only major states were assessedAll 28 states and 8 UTs were assessed
Andhra Pradesh and Delhi are top performersThey are Frontrunners; only five states are Top Performers
NITI Aayog is a constitutional bodyIt was created by an executive resolution in 2015

Practice MCQs

1. The Investment Friendliness Index has been released by:

a. DPIIT
b. NITI Aayog
c. Ministry of Finance
d. Reserve Bank of India

Ans: B
It is NITI Aayog’s first-ever index of state-level investment readiness.

2. Which state topped the index?

a. Maharashtra
b. Tamil Nadu
c. Gujarat
d. Karnataka

Ans: C
Gujarat ranked first, followed by Maharashtra and Tamil Nadu.

3. Which pillar carries the highest weightage?

a. Business climate
b. Regulatory ease
c. Infrastructure
d. Government policy

Ans: C
Infrastructure carries 25%, the highest of the eight pillars.

4. States and UTs are classified into how many categories?

a. Three
b. Four
c. Five
d. Six

Ans: B
Top performers, frontrunners, emerging performers and aspiring states.

5. Consider the following statements about NITI Aayog:
1. It is a constitutional body.
2. It replaced the Planning Commission in 2015.
Which of the above is or are correct?

a. 1 only
b. 2 only
c. Both 1 and 2
d. Neither 1 nor 2

Ans: B
NITI Aayog was set up by an executive resolution on 1 January 2015 and is not a constitutional or statutory body.

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e-Shram Portal: 31.78 Crore Workers, Best UPSC Notes

e-Shram portal registrations of unorganised workers
The e-Shram portal has registered over 31.78 crore unorganised workers

Why in News?

The Ministry of Labour and Employment announced that more than 31.78 crore unorganised workers have been registered on the e-Shram portal, strengthening efforts to extend social security to the unorganised sector.

Key Facts for Prelims: e-Shram Portal

  • Nodal Ministry: Ministry of Labour and Employment
  • Objective: Create the first-ever National Database of Unorganised Workers (NDUW)
  • Identifier issued: A 12-digit Universal Account Number (UAN), seeded with Aadhaar
  • Target beneficiaries: Migrant workers, construction workers, street vendors, gig and platform workers, domestic workers, agricultural labourers
  • Function: Single platform to access central and state social security and welfare schemes
  • Linked schemes: PMSBY, PMJJBY, Ayushman Bharat PM-JAY
  • Registration: Free, self-registration or through CSCs, with Aadhaar-based authentication

Static Exam Link: Unorganised Sector and Social Security

  • Unorganised Workers Social Security Act, 2008: Provides for the National Social Security Board and welfare schemes for unorganised workers
  • Code on Social Security, 2020: First law to define gig worker, platform worker and aggregator; provides for a social security fund
  • Constitutional basis: Article 41 and Article 43 under the Directive Principles of State Policy; Labour is in the Concurrent List
  • Related schemes: PMSBY โ€” accident insurance; PMJJBY โ€” life insurance; PM-JAY โ€” health cover of Rs 5 lakh per family per year

Why the e-Shram Portal Matters for Governance

The core problem the e-Shram portal addresses is identification. Welfare schemes for unorganised workers existed long before the portal, but there was no single verified list of who those workers were, where they lived or what work they did. Without such a list, benefits could not be targeted, portability across states was impossible, and migrant workers routinely fell out of the system when they moved. Aadhaar-seeded registration creates a de-duplicated database that makes direct benefit transfer feasible for this group.

The design also reflects a shift in how India thinks about labour welfare. Instead of tying benefits to a formal employer, which most unorganised workers do not have, entitlements attach to the worker. This is the same principle behind the social security fund envisaged in the Code on Social Security, 2020 for gig and platform workers, financed partly through aggregator contributions.

Limitations are equally examinable. Registration is self-declared, so occupational data can be inaccurate. Digital access and Aadhaar authentication failures exclude some of the poorest workers. Registration alone does not create a legal entitlement, since benefits still depend on the eligibility rules of individual schemes. And states run parallel welfare boards, particularly for construction workers, whose databases do not always align with the national one. For prelims, focus on the nodal ministry, the database name, the identifier, and which schemes are linked.

Quick Revision Table: e-Shram Portal

ParameterDetail
Nodal MinistryMinistry of Labour and Employment
Database CreatedNational Database of Unorganised Workers (NDUW)
Identifier12-digit UAN, Aadhaar-seeded
RegistrationsOver 31.78 crore
CoverageUnorganised, migrant, gig and platform workers
Linked SchemesPMSBY, PMJJBY, Ayushman Bharat PM-JAY
Law Defining Gig WorkersCode on Social Security, 2020

Trap / Confusing Points

ConfusionCorrect Fact
The e-Shram portal is run by the Ministry of Rural DevelopmentIt is an initiative of the Ministry of Labour and Employment
Its UAN is the same as the EPFO UANBoth are 12-digit UANs but different: EPFO UAN is for organised-sector PF members; the e-Shram UAN is for unorganised workers
Registration itself provides a pensionIt is a database and access platform; benefits flow through linked schemes
Organised-sector employees can registerEPFO/ESIC members and income-tax payers are generally not eligible
Gig workers were first defined in the 2008 ActThey were first defined in the Code on Social Security, 2020

Practice MCQs

1. The e-Shram portal is an initiative of which ministry?

a. Ministry of Rural Development
b. Ministry of Labour and Employment
c. Ministry of Social Justice and Empowerment
d. Ministry of Skill Development and Entrepreneurship

Ans: B
It is a flagship initiative of the Ministry of Labour and Employment.

2. The portal creates which of the following databases?

a. National Register of Migrant Labour
b. National Database of Unorganised Workers
c. National Employment Register
d. National Skill Registry

Ans: B
It is the first-ever National Database of Unorganised Workers.

3. Registered workers are issued a:

a. 10-digit registration number
b. 12-digit Universal Account Number seeded with Aadhaar
c. 16-digit Aadhaar-linked identity
d. 8-digit labour card number

Ans: B
Each registered worker receives a 12-digit UAN seeded with Aadhaar.

4. Which of the following are linked for benefit delivery?
1. PMSBY 2. PMJJBY 3. Ayushman Bharat PM-JAY

a. 1 and 2 only
b. 2 and 3 only
c. 1 and 3 only
d. 1, 2 and 3

Ans: D
It acts as a single window to central and state welfare schemes including all three.

5. Gig workers and platform workers were first defined in Indian law under:

a. Unorganised Workers Social Security Act, 2008
b. Industrial Relations Code, 2020
c. Code on Social Security, 2020
d. Occupational Safety, Health and Working Conditions Code, 2020

Ans: C
The Code on Social Security, 2020 first defined gig worker, platform worker and aggregator.

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Index of Core Industries: New Base Year 2022-23 for UPSC

Index of Core Industries revised base year 2022-23
The Index of Core Industries now covers nine sectors

Why in News?

The Office of the Economic Adviser (OEA) under the Department for Promotion of Industry and Internal Trade (DPIIT) released the revised Index of Core Industries series with 2022-23 as the new base year, replacing the 2011-12 series. Core industries output grew 5% in June 2026 under the new series.

Key Facts for Prelims: Index of Core Industries

  • Compiled and released by: Office of the Economic Adviser (OEA), DPIIT, Ministry of Commerce and Industry
  • New Base Year: 2022-23 (earlier 2011-12)
  • Number of sectors: Raised from eight to nine
  • New sector added: Iron Ore โ€” added for its extensive use in industrial production
  • Nine core sectors: Coal, Crude Oil, Natural Gas, Refinery Products, Fertilisers, Steel, Cement, Electricity and Iron Ore
  • Highest weight: Electricity (~30.93%), followed by Refinery Products and Steel
  • Coal definition narrowed: Only Raw Coal retained; Coal Middlings and Washed Coal excluded to remove double counting
  • Steel data: Gross production data now used, replacing net production data of the 2011-12 series
  • Back series: Released for April 2023 to May 2026

Index of Core Industries and the Index of Industrial Production

The Index of Core Industries is a sub-set of the Index of Industrial Production (IIP). The eight core industries earlier carried a combined weight of about 40.27% in the IIP, which makes the Index of Core Industries an early indicator of industrial momentum, released ahead of the IIP.

  • IIP is compiled by: National Statistical Office (NSO), MoSPI โ€” not by DPIIT
  • IIP base year: 2011-12; IIP has three broad sectors โ€” Mining, Manufacturing, Electricity
  • Base year revision purpose: Capture structural changes in the economy, new products and improved data sources; a more recent base year makes growth rates more representative
  • Related indices: Index of Services Production (NSO), WPI (OEA, DPIIT), CPI (NSO)

Why the Index of Core Industries Revision Matters

A base year is simply the reference point against which current output is compared. As an economy changes, an old base year quietly distorts the picture: goods that were important in 2011-12 may matter less today, while newer products may not be captured at all. Revising the Index of Core Industries to 2022-23 realigns the index with the present structure of Indian industry and with the data systems now available, including GST-linked reporting.

The addition of iron ore is the substantive change. Iron ore sits at the very start of the industrial value chain, feeding steel, construction, machinery and automobiles. Tracking it separately gives policymakers an earlier signal of industrial turning points than steel output alone. At the same time, restricting coal to raw coal corrects a genuine measurement flaw, because washed coal and middlings are processed forms of the same tonnage and counting them again inflated the index.

For prelims, the safest preparation is to fix in memory the compiling agency, the base year, the number of sectors, the highest-weight sector and the relationship with the IIP. Examiners frequently pair this index with the Wholesale Price Index, which the same office compiles, and with the Index of Industrial Production and Index of Services Production, which the National Statistical Office compiles.

Quick Revision Table: Index of Core Industries

ParameterDetail
Released ByOffice of the Economic Adviser, DPIIT
New Base Year2022-23
Previous Base Year2011-12
Number of SectorsNine (earlier eight)
Newly Added SectorIron Ore
Highest Weight SectorElectricity (~30.93%)
Coal CoverageRaw Coal only
Steel Data BasisGross production
Parent IndexIndex of Industrial Production (IIP)

Trap / Confusing Points

ConfusionCorrect Fact
It is released by MoSPI/NSOThe Index of Core Industries is released by the Office of the Economic Adviser, DPIIT. The IIP is released by NSO, MoSPI
Steel has the highest weightElectricity (~30.93%) has the highest weight; Refinery Products and Steel follow
Iron and Steel are one sector, so nothing changedIron Ore is a separate, newly added ninth core sector, distinct from Steel
Washed coal and middlings are countedOnly Raw Coal is counted now, to avoid double counting
ICI and IIP have the same base yearICI has shifted to 2022-23; the IIP series continues on 2011-12

Practice MCQs

1. The Index of Core Industries is compiled and released by which of the following?

a. National Statistical Office, MoSPI
b. Office of the Economic Adviser, DPIIT
c. Reserve Bank of India
d. NITI Aayog

Ans: B
The Office of the Economic Adviser under DPIIT compiles it, as well as the Wholesale Price Index.

2. Which sector was newly added to the revised index, taking the count to nine?

a. Iron Ore
b. Aluminium
c. Copper
d. Automobiles

Ans: A
Iron Ore was added in view of its extensive use in industrial production.

3. What is the base year of the revised series?

a. 2011-12
b. 2017-18
c. 2022-23
d. 2024-25

Ans: C
The base year was shifted from 2011-12 to 2022-23 to reflect the current structure of the economy.

4. Which sector carries the largest weight in the revised index?

a. Steel
b. Coal
c. Refinery Products
d. Electricity

Ans: D
Electricity has the highest weight at roughly 30.93%.

5. In the revised series, coal has been restricted to raw coal. The main reason is:

a. To reduce import dependence
b. To avoid double counting
c. To exclude captive mines
d. To align with global coal classification

Ans: B
Coal middlings and washed coal are derived from raw coal, so counting them would double count the same output.

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Index of Services Production (ISP): 5 Critical UPSC Facts

Why in News?

The Ministry of Statistics and Programme Implementation (MoSPI) released trial data for the Index of Services Production (ISP), India’s first high-frequency macroeconomic indicator to measure the performance of the formal services sector. The trial ISP covers 19 sub-sectors, together accounting for nearly 60% of India’s total services output.

Key Facts for Prelims: Index of Services Production (ISP)

  • Released by: National Statistical Office (NSO), under MoSPI
  • Nature: Monthly, high-frequency macroeconomic indicator
  • Base Year: 2024-25
  • Coverage: 19 sub-sectors of the formal services sector, accounting for ~60% of total services output
  • Compilation Formula: Fixed-weight Laspeyres volume index
  • Weights: Based on sectoral contribution to Gross Value Added (GVA)
  • Highest-weight sub-sector: IT services (22.47%), followed by retail trade (16.4%)
  • Data Sources: Administrative data (air transport, railways, banking, insurance); GST outward-supply data (bulk of market services); ASISSE survey (health and education, to be added later)
  • Release Lag: ~60 days, on the 29th of every month
  • TAC-ISP Chair: Ms. Debjani Ghosh, Distinguished Fellow, NITI Aayog

Static Exam Link: ISP vs Index of Industrial Production (IIP)

The Index of Industrial Production (IIP) measures short-term output only of the industrial sector (mining, manufacturing, electricity) and has no counterpart for services. Since the services sector contributes over 50% of India’s Gross Value Added (about 52.9% in 2024-25) and nearly 30% of employment, the absence of a similar short-term services indicator was a long-standing statistical gap. The ISP fills this gap and complements the IIP for full-economy monitoring.

  • ISP excludes: Public administration and defence, non-market financial services, personal services, government-run health/education, and gambling activities
  • ISP is formal-sector only: It draws on GST outward-supply data, so informal/unregistered services are not captured
  • Deflators used: WPI for wholesale trade; sector-specific CPI where available; general CPI for banking, insurance and other services
  • Quantity-based sub-sectors: Only Air Transport and Railways (measured in physical units, e.g., passenger-km); all others are value-based

Quick Revision Table: Index of Services Production

ParameterDetail
Released ByNSO, MoSPI
Base Year2024-25
Sub-sectors Covered19 (nearly 60% of services output)
Compilation MethodFixed-weight Laspeyres volume index
Counterpart IndexIIP (Index of Industrial Production)
Highest Weight Sub-sectorIT services (22.47%)
TAC-ISP ChairpersonDebjani Ghosh, NITI Aayog
Data SourcesAdministrative data, GST, ASISSE

Trap / Confusing Points

ConfusionCorrect Fact
ISP covers the entire services sectorISP covers only 19 sub-sectors (~60%) of the formal services sector; informal and several non-market activities are excluded
ISP and IIP are compiled the same wayIIP uses physical production quantities; ISP is mostly value-based (GST/turnover), deflated to real output, except Air Transport and Railways which are quantity-based
Health and education are covered in ISP nowThese two sub-sectors will be added later, based on ASISSE survey results, not GST data
Retail trade has the highest weight in ISPIT services (22.47%) has the highest weight, ahead of retail trade (16.4%)

Practice MCQs

1. The Index of Services Production (ISP) has been launched by which organisation?

a. RBI
b. NITI Aayog
c. National Statistical Office (NSO), MoSPI
d. Department of Economic Affairs

Ans: C
The ISP is compiled and released by the National Statistical Office under the Ministry of Statistics and Programme Implementation.

2. What is the base year of the Index of Services Production?

a. 2011-12
b. 2022-23
c. 2023-24
d. 2024-25

Ans: D
The ISP uses 2024-25 as its base year, aligned with the base year of the revised CPI series.

3. The Index of Services Production is best described as a short-term counterpart of which index?

a. Consumer Price Index (CPI)
b. Index of Industrial Production (IIP)
c. Wholesale Price Index (WPI)
d. Human Development Index (HDI)

Ans: B
ISP complements the IIP, which measures only industrial output, by tracking short-term services sector performance.

4. Which sub-sector carries the highest weight in the trial Index of Services Production?

a. Retail trade
b. Accommodation and food services
c. IT services
d. Real estate

Ans: C
IT services has the highest weight at 22.47%, ahead of retail trade at 16.4%.

5. Which formula is used to compile the Index of Services Production?

a. Paasche price index
b. Fisher’s ideal index
c. Fixed-weight Laspeyres volume index
d. Chain-weighted index

Ans: C
ISP is compiled as a fixed-weight Laspeyres volume index, with weights based on sectoral GVA contribution.

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MP to Send Tigers and Gaurs to Andhra Pradesh: Gundla Brahmeswaram Sanctuary

Why in News?

Madhya Pradesh has agreed to provide tigers and Indian bison (gaurs) to Andhra Pradesh. AP plans to reintroduce 25โ€“30 gaurs into the Gundla Brahmeswaram Wildlife Sanctuary in the Nagarjunasagar-Srisailam Tiger Reserve (NSTR).

Key Facts for Prelims

Madhya Pradesh & Tiger Census

  • MP had 785 tigers as per the 2022 All India Tiger Estimation โ€” highest tiger population of any state

Gundla Brahmeswaram (GBM) Wildlife Sanctuary

  • Location: Nallamala Hills, Eastern Ghats โ€” Kurnool and Prakasam districts, Andhra Pradesh
  • Hill Passes: Between Mantralamma Kanuma and Nandi Kanuma
  • River: Gundlakamma River โ€” perennial water source
  • Endemic Species: Lesser Woolly Horseshoe Bat โ€” found only in this region
  • Part of: Nagarjunasagar-Srisailam Tiger Reserve (NSTR)

Quick Revision Table

ParameterDetail
State with highest tigers (2022)Madhya Pradesh (785 tigers)
SanctuaryGundla Brahmeswaram Wildlife Sanctuary
LocationNallamala Hills, Eastern Ghats (Kurnool & Prakasam, AP)
Tiger ReserveNagarjunasagar-Srisailam Tiger Reserve (NSTR)
RiverGundlakamma River
Endemic speciesLesser Woolly Horseshoe Bat
Animals to be reintroduced25โ€“30 gaurs (Indian bison)

Trap / Confusing Points

ConfusionCorrect Fact
Gaur = American BisonGaur is the Indian Bison โ€” different from American bison
GBM is in TelanganaGBM is in Andhra Pradesh (Kurnool and Prakasam districts)
NSTR is only in APNSTR spans both Andhra Pradesh and Telangana
MP has 500 tigers (2022 census)MP had 785 tigers in 2022 โ€” highest in India
GBM is in Western GhatsGBM is in the Eastern Ghats (Nallamala Hills)

Practice MCQs

1. As per 2022 tiger estimation, which state has the highest tiger population?

a. Uttarakhand
b. Karnataka
c. Madhya Pradesh
d. Maharashtra

Ans: C
Madhya Pradesh had 785 tigers in the 2022 census โ€” highest for any state.

2. Gundla Brahmeswaram Wildlife Sanctuary is part of which tiger reserve?

a. Amrabad Tiger Reserve
b. Nagarjunasagar-Srisailam Tiger Reserve
c. Satpura Tiger Reserve
d. Simlipal Tiger Reserve

Ans: B
GBM Wildlife Sanctuary lies within the Nagarjunasagar-Srisailam Tiger Reserve (NSTR).

3. GBM Wildlife Sanctuary is located in which hill range?

a. Shevaroy Hills
b. Cardamom Hills
c. Nallamala Hills
d. Papi Hills

Ans: C
GBM is in the Nallamallai Hill ranges of the Eastern Ghats in Kurnool and Prakasam districts of AP.

4. The endemic species uniquely found in GBM Wildlife Sanctuary?

a. Indian Star Tortoise
b. Lesser Woolly Horseshoe Bat
c. Slender Loris
d. Indian Giant Squirrel

Ans: B
The Lesser Woolly Horseshoe Bat is a rare mammal found only in the Gundla Brahmeswaram region.

5. Which river provides a perennial water source in GBM Wildlife Sanctuary?

a. Krishna River
b. Tungabhadra River
c. Gundlakamma River
d. Penna River

Ans: C
The Gundlakamma River is a perennial water source crisscrossing the sanctuary.

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World Day to Combat Desertification and Drought: June 17

Why in News?

The World Day to Combat Desertification and Drought is observed globally on June 17 every year. The day commemorates the adoption of the United Nations Convention to Combat Desertification (UNCCD).

Key Facts for Prelims: UNCCD

  • Origin: Conceived at the 1992 Rio Earth Summit (UNCED)
  • Formally Adopted: 1994 in Paris
  • Came into Force: 1996
  • Significance: The only legally binding international agreement linking environmental conservation directly to sustainable land management
  • Focus: Addresses desertification, land degradation, and drought (DLDD)
  • India’s Target: Restore 26 million hectares of degraded land by 2030 โ€” Land Degradation Neutrality (LDN)

The Three Rio Conventions (1992)

ConventionFocusAdoptedIn Force
UNCCDDesertification, Land Degradation, Drought19941996
UNFCCCClimate Change19921994
CBDBiodiversity Conservation19921993

Trap / Confusing Points

ConfusionCorrect Fact
UNCCD was adopted at Rio 1992UNCCD was conceived at Rio 1992 but formally adopted in 1994 in Paris
Desertification Day is June 5June 5 = World Environment Day; June 17 = Desertification and Drought Day
UNCCD focuses on climate changeUNCCD focuses on desertification, land degradation, drought; UNFCCC handles climate change
India targets 30 million ha restorationIndia’s target is 26 million hectares by 2030

Practice MCQs

1. World Day to Combat Desertification and Drought is observed on which date?

a. June 5
b. June 8
c. June 17
d. June 21

Ans: C
June 17 commemorates the adoption of UNCCD.

2. UNCCD was formally adopted in which year and city?

a. 1992, Rio de Janeiro
b. 1994, Paris
c. 1996, New York
d. 2000, Bonn

Ans: B
UNCCD was formally adopted in 1994 in Paris.

3. UNCCD is the only legally binding agreement linking environmental conservation to?

a. Renewable energy targets
b. Sustainable land management
c. Marine biodiversity protection
d. Climate financing

Ans: B
UNCCD uniquely links environmental conservation to sustainable land management.

4. India’s target for restoration of degraded land under LDN?

a. 15 million hectares
b. 20 million hectares
c. 26 million hectares
d. 30 million hectares

Ans: C
India committed to restoring 26 million hectares of degraded land by 2030.

5. Which Rio Convention focuses on desertification and land degradation?

a. UNFCCC
b. CBD
c. UNCCD
d. Ramsar Convention

Ans: C
UNCCD specifically addresses desertification, land degradation, and drought.

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PSS Procurement of Pulses and Oilseeds in 4 States: PM-AASHA | UPSC Notes

Why in News?

The Centre approved large-scale procurement of pulses and oilseeds at MSP under the Price Support Scheme (PSS) in four states: Tamil Nadu, Gujarat, Uttar Pradesh, and Haryana.

Key Facts for Prelims: MSP & PM-AASHA

Minimum Support Price (MSP)

  • MSP is the guaranteed rate at which the government buys crops from farmers
  • Recommending body: Commission for Agricultural Costs and Prices (CACP) under Ministry of Agriculture
  • Approving body: Cabinet Committee on Economic Affairs (CCEA), chaired by PM
  • MSP is announced for 22 mandated crops (14 Kharif + 6 Rabi + 2 commercial) + FRP for sugarcane

PM-AASHA

  • Type: Central Sector Umbrella Scheme
  • Nodal Ministry: Ministry of Agriculture and Farmers Welfare

PM-AASHA’s Three Components

ComponentMechanismCrops
Price Support Scheme (PSS)Physical procurement at MSPPulses, Oilseeds, Copra
Price Deficiency Payment Scheme (PDPS)DBT cash transfer of MSP-market price gapOilseeds
Private Procurement & Stockist Scheme (PPSS)Private stockists procure oilseeds at MSP โ€” pilot basisOilseeds (selected districts)

Trap / Confusing Points

ConfusionCorrect Fact
CACP approves MSPCACP only recommends; CCEA approves
MSP covers all cropsMSP for 22 mandated crops + FRP for sugarcane only
PM-AASHA is under Ministry of FinancePM-AASHA is under Ministry of Agriculture and Farmers Welfare
PDPS is physical procurementPDPS is a cash transfer (DBT) โ€” no physical procurement
PSS covers all cropsPSS covers only pulses, oilseeds, and copra

Practice MCQs

1. Which body recommends MSP for crops?

a. CCEA
b. NITI Aayog
c. Commission for Agricultural Costs and Prices (CACP)
d. FCI

Ans: C
CACP recommends MSP; CCEA chaired by PM gives final approval.

2. MSP is announced for how many mandated crops?

a. 14
b. 18
c. 22
d. 26

Ans: C
MSP is announced for 22 mandated crops (14 Kharif + 6 Rabi + 2 commercial) plus FRP for sugarcane.

3. Which PM-AASHA component involves direct cash transfer to farmers?

a. PSS
b. PDPS
c. PPSS
d. Market Intervention Scheme

Ans: B
PDPS covers the deficit between MSP and market price via DBT.

4. PSS procurement was recently approved for which four states?

a. TN, Gujarat, UP, Haryana
b. MP, Rajasthan, Punjab, Maharashtra
c. Bihar, Odisha, Karnataka, AP
d. Telangana, WB, Kerala, Assam

Ans: A
PSS procurement approved in Tamil Nadu, Gujarat, Uttar Pradesh, and Haryana.

5. PM-AASHA is classified as which type of scheme?

a. Centrally Sponsored Scheme
b. State Sector Scheme
c. Central Sector Umbrella Scheme
d. PPP Scheme

Ans: C
PM-AASHA is a Central Sector Umbrella Scheme under Ministry of Agriculture and Farmers Welfare.

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Cabinet Approves โ‚น37,500 Crore Coal/Lignite Gasification Scheme | UPSC Notes

Why in News?

The Union Cabinet approved a Scheme for Promotion of Surface Coal/Lignite Gasification Projects with a financial outlay of โ‚น37,500 crore. The scheme targets gasification of 100 Million Tonnes (MT) of coal by 2030.

Key Facts for Prelims

  • Financial Outlay: โ‚น37,500 crore
  • National Target: Gasify 100 MT of coal by 2030
  • Product: Syngas (synthesis gas) โ€” versatile feedstock for fuels and chemicals
  • India’s Coal Reserves: ~401 billion tonnes (one of world’s largest)
  • India’s Lignite Reserves: ~47 billion tonnes
  • Coal’s share in India’s energy mix: Over 55%

Why Coal Gasification? Import Substitution

ProductCurrent Import Dependence
LNGMore than 50% imported
Urea~20% imported
Ammonia~100% imported
Methanol~80โ€“90% imported

Trap / Confusing Points

ConfusionCorrect Fact
Gasification = combustion of coalGasification converts coal to syngas โ€” a chemical process, not direct combustion
Target is 100 MT by 2025Target is 100 MT by 2030
Coal’s share in energy is 30%Coal accounts for over 55% of India’s energy mix
India has limited coal reservesIndia has ~401 billion tonnes โ€” one of the world’s largest

Practice MCQs

1. Financial outlay of the Coal/Lignite Gasification Promotion Scheme?

a. โ‚น15,000 crore
b. โ‚น25,000 crore
c. โ‚น37,500 crore
d. โ‚น50,000 crore

Ans: C
The Cabinet approved the scheme with a financial outlay of โ‚น37,500 crore.

2. Coal gasification primarily produces?

a. CNG
b. Synthesis gas (Syngas)
c. LPG
d. Coal Tar

Ans: B
Gasification converts coal/lignite into syngas โ€” a versatile feedstock for fuels and chemicals.

3. India’s national target for coal gasification by 2030?

a. 50 MT
b. 75 MT
c. 100 MT
d. 150 MT

Ans: C
India’s target is gasifying 100 MT of coal by 2030.

4. Coal’s share in India’s energy mix?

a. Over 30%
b. Over 40%
c. Over 55%
d. Over 70%

Ans: C
Coal accounts for over 55% of India’s energy mix.

5. Which import product is currently ~100% imported and can be substituted by coal gasification?

a. LNG
b. Methanol
c. Ammonia
d. Urea

Ans: C
India imports ~100% of its ammonia. Domestic syngas production can address this dependency.

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