31 March 2025 Indian Express Editorial


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Editorial 1 : Thread and Weave of Reform

Context: Textile industry in India

 

Introduction: India’s ambitious target to elevate its textile and apparel (T&A) exports from $34.8 billion in 2023-24 to $100 billion by 2030 raises the question on feasibility of the target.

 

Current Status and Global Context

  • Historical Growth: From $11.5 billion in FY 2001 to $34.8 billion in FY24. This is a steady growth but is insufficient for the $100 billion target.
  • Competitor Performance
    1. Bangladesh: Global apparel share rose from 2.2% (2000) to 9.6% (2023).
    2. Vietnam: Global apparel share jumped from 1% (2000) to 5.8% (2023).
    3. China: Lost market share (34.8% to 29.8% post-2010), creating opportunities which others captured.

 

Key Challenges in the Textile Value Chain

  • Farm-Level Issues: Decline in Cotton Production
    1. Bt cotton adoption (2002) boosted production from 13.6 million bales (2002-03) to 39.8 million bales (2013-14).
    2. Current Crisis
      • Production projected to drop to 30 million bales (2024-25), which is lowest in 15 years.
      • India is set to become a net cotton importer (2.6 million bales imported vs. 1.5 million exported in 2024-25).
    3. Cause: Delayed approval of next-gen GM seeds (e.g. herbicide-tolerant Bt cotton) despite GEAC clearance.
  • Structural Weaknesses in the Textile Industry
    1. Cotton vs. MMF Imbalance
      • India’s cotton-to-man-made fibre (MMF) ratio is 60:40, compared to global average of 30:70.
      • High MMF raw material costs (e.g. polyester, viscose) i.e. 20% costlier than competitors.
    2. Fragmented Garment Sector
      • 80% of garment factories are decentralized, leading to inefficiencies.
      • Slow adoption of modern technology and weak value chain integration.
  • Policy and Market Access Barriers
    1. Tariff Disadvantages
      • EU tariffs: 9.7% on Indian apparel vs. 0% for Bangladesh (GSP Everything but Arms” arrangement) and 1.66% for Vietnam (EU-Vietnam FTA).
      • US tariffs: 11.47% on Indian apparel.
    2. Limited FTAs: Lack of agreements with key markets (EU, US) restricts competitiveness.

 

Growth Opportunities

  • Global Apparel Market: Expected to reach $2.37 trillion by 2030.
  • Emerging Markets: Japan, Russia, Brazil, and South Korea offer potential for niche products (western wear, swimwear, etc.).
  • PM-MITRA Scheme: Aims to develop integrated textile parks, but challenges persist (e.g. exclusion of MSMEs due to high land requirements).

 

Way Forward: Strategic Recommendations

  • Boost MMF-Based Apparel
    1. Remove non-tariff barriers (e.g. quality control orders on MMF).
    2. Incentivize investment in MMF production to align with global trends.
  • Fast-Track PM-MITRA Scheme
    1. Create integrated textile hubs for scalability and efficiency.
    2. Address MSME exclusion by revising land requirements.
  • Negotiate Critical FTAs
    1. Prioritize agreements with EU and US to reduce tariff disadvantages.
    2. Explore partnerships with emerging markets to diversify exports.
  • Revive Cotton Productivity
    1. Streamline GM seed approvals: Accelerate adoption of next-gen pest-resistant cotton varieties.
    2. Invest in farming techniques: High-density planting, precision farming, and irrigation expansion.
    3. Bridge productivity gap: India’s cotton yield (435 kg/hectare) lags behind China (1,945 kg/hectare) and Brazil (1,839 kg/hectare).
  • Transition to a Fashion-Driven Industry
    1. Focus on high-value segments (e.g. women’s western wear, intimate wear).
    2. Leverage India’s design and craftsmanship strengths.

 

Conclusion: The target of $100 billion textile and apparel (T&A) exports by 2030 will only be achievable by bold reforms and policy agility. Failure to reform could leave India’s T&A exports stagnant, with competitors further consolidating their global dominance.

 

Editorial 2 : The Nuclear Leap

Context: Nuclear Energy in India

 

Key Policy Shift

  • Opening to Private Sector: The government announced the opening of India’s nuclear sector to private players, marking a historic shift.
  • Legislative Reforms: Amendments to the Atomic Energy Act and Civil Liability for Nuclear Damage Act are under consideration to enable private participation.

 

India’s Energy Challenges

  • Growing Demand
    1. Electricity demand projected to triple by 2047.
    2. Current fossil fuel dependence at 70%.
    3. Paradox: Balancing economic growth with carbon reduction and energy security.
  • Nuclear Energy as a Solution
    1. Baseload Power: Unlike solar/wind, nuclear energy provides uninterrupted supply.
    2. Sustainability: Minimal carbon emissions. India can leverage its vast thorium reserves which is world’s largest.

 

Three-Stage Nuclear Programme

  • Stage 1: PHWRs (Pressurised Heavy Water Reactors) using natural uranium.
  • Stage 2: Fast Breeder Reactors (FBRs) to utilize plutonium and thorium.
    1. Prototype Fast Breeder Reactor (PFBR) nearing completion.
  • Stage 3: Thorium-based reactors for energy self-sufficiency.

 

Current Nuclear Landscape

  • Capacity Growth
    1. Installed capacity surged by 70% from 4,780 MW (2013–14) to 8,180 MW (2023–24).
    2. 24 operational reactors; 21 new reactors (15,300 MW) under construction.
  • Technological Milestones
    1. Indigenous 700 MWe PHWR commissioned at Kakrapar, Gujarat (2023–24).
    2. Radiation levels at nuclear plants well below global benchmarks (e.g. Kudankulam: 0.002 microsieverts).

 

Future Goals & Initiatives

  • Nuclear Energy Mission for Viksit Bharat: 100 GW nuclear capacity by 2047 as compared to 8.18 GW today.
  • Technological Innovations
    1. Small Modular Reactors (SMRs): ₹20,000 crore allocated for R&D. Target of 5 indigenous SMRs by 2033.
    2. Bharat Small Reactors (BSRs): 220 MW PHWRs for industrial decarbonization.
  • Public-Private Partnerships: ASHVINI: Joint venture between NPCIL and NTPC to develop nuclear facilities.
  • International Collaborations
    1. 6 reactors (1,208 MW each) planned with the US at Kovvada, Andhra Pradesh.
    2. Partnerships with Russia and France for reactor technology.

 

Challenges

  • Public Perception: Safety concerns persist despite India’s exemplary safety record (safety first, production next ethos).
  • Financial & Legislative Hurdles: Need for liability law amendments to attract private investment.
  • Balancing Growth & Sustainability: Integration with renewables (solar/wind) to ensure grid stability.

 

Conclusion: Nuclear energy is pivotal for India’s energy security, decarbonization, and self-reliance. Nuclear success in India requires public awareness, technological innovation, and global partnerships. Success hinges on balancing expansion goals with safety protocols and financial viability.