The Aakhya Weekly #41 | Flying Through Glass Ceilings
In Focus: Indian Women in Aviation
In 1936, clad in a traditional saree, 21-year-old Sarla Thakral entered the cockpit of a small double-winged plane, bracing herself to fly solo for the very first time. While a thousand hours of flying had prepared her for this, she perhaps did not expect to pave the path for so many as the first Indian woman to fly an aircraft. Since then, the likes of Prem Mathur, Nivedita Bhasin, Harpreet A De Singh, and Squadron leader Avani Chaturvedi have continued to reach newer heights for Indian women in the aviation sector. As per the latest data by the Directorate General of Civil Aviation, 15% of pilots in India are women, almost three times the global average of 5%. For a country placed 135th among 146 countries on the World Economic Forum’s ranking of nations based on gender parity, it is a truly astonishing feat to be ranked top in gender equality at the flight deck globally. Unlike the maritime sector, which could be considered a similar career avenue, the aviation sector has been faring better with increasing participation of women over the years.
Incremental changes in the ecosystem have been key to this transition. At the foundation level, there has been immense policy support by the government towards the promotion of STEM education for girls. The Department of Science & Technology has 21 schemes in the form of research grants, excellence awards, scholarships, and fellowships to encourage the uptake of STEM education amongst girls across the country. Government efforts have been less than adequate at higher levels of aviation training but states like Haryana have taken it upon themselves to provide subsidised fees for flight training at flying centres under government institutes (Haryana Institute of Civil Aviation in this instance) to women. Many Indian women have been drawn to aviation due to operational training for microlight aircraft by the National Cadet Corps, the youth wing of the Indian Armed Forces that see a countrywide average of nearly 40% female participation, with the rates reaching 50% in some states. Taking it a step further, in 2022, the Defence Ministry converted its experimental scheme for the induction of women fighter pilots in the Indian Air Force into a permanent one.
Additionally, industry players, non-profit organisations, associations, and academic institutions have shown a keen interest in facilitating accessible flight training for women through various fully funded and partial scholarships. Moreover, the strongest enabling force for women in aviation seems to be fair workplace policies implemented by commercial airlines. Commercial aviation has somehow eliminated the gender pay gap, providing equal pay based on the number of miles under a pilot’s belt and seniority. The country’s leading airlines have devised policies to attract and retain female talent on top of an unbiased recruitment process. Sensitivity training, late night pick and drop services, the option to work on-ground during pregnancy, compensation for loss of pay in this duration, flexible contracts, paid maternity leave, and reimbursement of creche fees have been some of the pioneering steps in this direction.
Women are not merely participating in the aviation sector, they have proven themselves to be better at it. Research has shown that women pilots and trainees are more meticulous and account for fewer accidents during flights. The essence of this triumph remains to be the labour of the countless women pilots who keep on overcoming the burden of patriarchal expectations and obstacles in a male-dominated sector each day. There is a long way for the Indian aviation sector to achieve complete gender equality but it is safe to say that women are no longer settling with breaking glass ceilings, we prefer flying through them.
Top Stories of the Week
Protests over a ‘Right to Health’ in Rajasthan
Last week, the Rajasthan state assembly cleared its contentious Right to Health Bill. The Bill creates a set of statutory healthcare rights for persons in the state, relating to matters ranging from the information they must be provided, to their rights to clinical treatment and allied services, to the manner in which they shall be treated by the healthcare system. The Bill is the first of its kind in any state in India. It has, however, been met with widespread protests and condemnation from the state’s medical fraternity. This is Chief Minister Gehlot’s second major healthcare scheme, following the Chiranjeevi Swasthya Bima Yojana, a public insurance scheme for families in the state.
In contention is Section 3(c) of the Bill, which allows one to avail emergency care and treatment from any healthcare provider, without prior payment of fees or other procedural hurdles. Any non-compliance with the provision will be met with penalties - of Rs. 10,000 at the first instance, and Rs. 25,000 thereafter. Incidentally, this reflects the obligations of doctors under the National Medical Council’s Code of Ethics, and mirrors the Supreme Court’s finding that emergency care is a professional obligation of any doctor.
To healthcare professionals in the state, however, the law is ‘draconian’. Perhaps their most significant fear is that the Bill does not provide for any reimbursement mechanism. The costs of such emergency treatment, then, may end up being borne by private healthcare providers themselves. The Government has given assurances that they shall bear any such expenses, but that does not appear to have allayed doctors’ fears. In the meanwhile, the other provisions of the legislation, many with broad, sweeping effects - including substantial compliance burdens on private healthcare providers - have received little attention.
India nets Rs. 157.9 Cr in TDS on crypto transactions
The Government of India is reported to have collected Rs. 157.9 crore in direct taxes by way of tax deducted at source (TDS) on virtual digital asset (VDA) transactions. VDAs, which are commonly referred to as ‘cryptocurrencies’, are subject to a stringent taxation regime where 1% TDS is chargeable on every transaction exceeding Rs. 10,000. The tax regime was announced by the Finance Ministry in Union Budget 2022, which also included a 30% capital gains tax on sale of VDAs, effective from 1 April 2022. The 1% TDS on transactions came into effect from 1 July 2022.
India’s Minister of State for Finance, Mr. Pankaj Chaudhary, in response to an un-starred Parliamentary Question, has given his reply in the Rajya Sabha on 28 March 2023, where he mentioned the above amount as the total revenue from TDS upto 20 March 2022 for FY 2022-23. When analysed in context of assessments of Indian VDA exchanges, which reported a heavy downturn in VDA investments and trading following the imposition of these taxes, the figures would indicate that there is still a considerably large market for VDAs in India.
This Week in Policy
Economy and Taxation
The Lok Sabha has passed the Finance Bill 2023, with over 60 amendments. The Bill brings about many tax-related changes - including the imposition of short term capital gains tax on debt mutual funds, a hike in the withholding tax on royalty and technical fee payments, and higher securities transaction taxes on futures and options. It also clears the setting up of GST appellate tribunals in states across the country.
The Lok Sabha has passed the Competition Bill 2022, which amends the country’s antitrust laws, which were formulated in 2002. The bill brings in a variety of changes to existing competition law - such as the introduction of ‘hub-and-spoke cartels’ to prohibited behaviour, changes in merger provisions to permit the CCI to scrutinise transactions based on deal-size, and introduces settlement and commitment procedures for the faster settlement of disputes, among others.
The NPCI has introduced a 1.1% interchange fee on certain UPI transactions of a value of more than INR 2,000. This fee will only apply to digital wallet transactions made through merchant QR codes.
Labour
The Central Board of Trustees of the EPFO held their 233rd meeting. The body recommended an interest of 8.15% per annum to be credited on EPF accumulations for the Financial Year 2022-23.
Agriculture and FMCG
Punjab announces hikes in crop loss compensation in the wake of crop loss due to bad weather.
Healthcare
India has launched a new mathematical system to estimate its tuberculosis burden in-country, stepping away from WHO estimates. As per the new model, India’s TB incidence is 196 per 100,000 persons, compared to the previous estimate of 210.
The Government has exempted all drugs and food imported for special medical purposes for the treatment of rare diseases from customs duty.
Foreign affairs
India, which holds the Presidency of the Asian-African Legal Consultative Organisation (AALCO) this year, hosted a seminar on “Seven Decades of the Indian Constitution”. The seminar was inaugurated by MoS External Affairs Meenakshi Lekhi and saw participation from the AALCO Secretariat, delegates from AALCO Member States and other countries.
Russia and India are reportedly in talks to expand use of the Northern Sea shipping route which passes through the Arctic region, which could also include the building of processing facilities.
Technology, Media and Telecommunications
The Ministry of Electronics and Information Technology (MeitY) has constituted a nine-member task force aimed at making India a ‘product developer and manufacturing nation’.
Google collaborates with MeitY’s Startup Hub; announces 2023 cohort of 100 Indian startups as part of Appscale Academy
International trade and commerce
BIMSTEC’s Secretary General Tenzing Lekphell has said that the proposed free trade agreement between BIMSTEC countries is at the final stage and is nearing completion.
India’s goods and services exports have crossed the US$750 bn mark for the first time, according to Union Minister of Commerce and Industry Piyush Goyal.
Banking, Finance and Insurance
SEBI mandates introduction of Business Responsibility and Sustainability Report Core to enhance reliability of ESG disclosures, ratings and investing. ESG rating providers will be required to consider India/emerging market parameters in ESG ratings considering the different set of environmental and social challenges faced by firms in India.
SEBI to set up a “Corporate Debt Market Development Fund” (CDMDF) to act as a “backstop” facility to purchase investment grade corporate debt securities in times of stress. The CDMDF, based on a guarantee to be provided by National Credit Guarantee Trust Company, may raise funds to purchase corporate debt securities during market dislocation.
Manufacturing
Government allocates a total capacity of 39,600 MW of domestic solar PV module manufacturing capacity to 11 companies, with a total outlay of Rs 14,007 crores under the production-linked incentive scheme for high efficiency solar PV modules tranche-II.
The Ministry of Electronics and Information Technology has constituted a nine-member task force to make India a ‘product developer and manufacturing nation’. The task force is expected to submit its recommendations on the subject in two months.
Retail and e-commerce
In the latest round of discussions, the government deliberates imposing a ban on sale of products or services by ‘related parties’ or ‘associated enterprises’ of internet marketplaces to its registered merchants.
According to a recent report by a renowned research consultancy, Indian e-commerce is expected to grow at a compound annual growth rate (CAGR) of 27 per cent to reach $163 billion by 2026, almost three times the growth of the overall retail market.
Logistics and Infrastructure
Government plans to bid out 6-7 multi-modal logistics parks or MMLPs in the next financial year (2023-24), eyeing a significant upgrade of its logistics infrastructure. Another 14-15 critical infrastructure gap connectivity projects for road-based port connectivity are slated for development in the coming year.
With the aim to reduce traffic congestion, the government will introduce new technologies including GPS-based toll collection systems in the next 6 months to replace existing highway toll plazas in the country.
Sustainability and Energy
The World Bank approves a $363 million loan to Karnataka to provide clean drinking water supply to two million rural households in the state through a piped water connection in their homes.
Sanchi, in Madhya Pradesh, to be developed as the world’s first net zero city.
Tracking the G20
In the busiest week for G20 in India yet, five parallel working group meetings were held all over India. The 2nd Framework Working Group Meeting was held in Chennai, 2nd Environment and Climate Working Group Meeting in Gandhinagar, 1st Trade & Investment Working Group Meeting in Mumbai, 2nd Infrastructure Working Group Meeting in Visakhapatnam, and 2nd Agriculture Working Group Meeting in Chandigarh respectively.
In perhaps the most important takeaway from these meetings, India’s commerce secretary, Sunil Barthwal, emphasized the need for trade finance cooperation among member countries to help reduce the widening trade finance gap at the TIWG meeting in Mumbai.
In this week’s notable coverage, Shailesh Nayak in this op-ed in The Hindu pens a shared G20 vision for the ocean commons.
Upcoming Events
G20 Development Working Group Side Event
April 6 | Backwater Ripples, Kumarakom, Kerala
The Energy and Resources Institute (TERI) in collaboration with the Ministry of External Affairs, Government of India, India’s G20 secretariat, and Research and Information System for Developing Countries (RIS), are hosting a G20 DWG side event on the theme “Just Green Transitions” at Backwater Ripples, Kumarakom on April 06. The multi-stakeholder event will see experts from policymaking, civil society, and industry discuss and deliberate on key issues of just green transitions, specifically from the oft neglected demand side sectors such as agriculture and MSMEs, to expand the scope for factoring in inclusivity beyond the usual energy supply dominated discussions. More Information | Registration Link
‘Know Your Regulator’ Finale
March 31 | Hybrid
The State Capacity Initiative at the Centre for Policy Research (CPR) is hosting the final talk in the ‘Know Your Regulator’ talk series for reforming regulatory governance in India on March 31, 2023. discuss the future of regulatory governance in India. A compilation of key learnings from the series in the field of regulatory design and capacity will also be released. As part of this series, CPR spoke to chairpersons of nine Indian statutory regulatory authorities (“SRA”) overseeing distinct sectors such as insolvency and bankruptcy, food safety, real estate, electricity, water, pensions, and insurance. More Information | Registration Link
India’s Trade Policy in the 21st Century
April 5 | Hybrid
The Centre for Social and Economic Progress is hosting a dialogue on the book – India’s Trade Policy in the 21st Century by Amita Batra on Wednesday, April 5 in a hybrid format. The author will discuss the book with Penny Goldberg, Elihu Professor of Economics and Global Affairs at Yale University. The session will be moderated by Rakesh Mohan, Member, EAC-PM. The most significant development in global trade in the 21st century has been the predominance of global value chain (GVC) led trade, however, India’s share in global goods trade has remained low and stagnant over almost the entire two-decade period in this century. The book and this session aims to discover reasons for the same. More Information | Registration Link
A Few Good Reads
Vivek Kaul writes of how the recent amendments to the Finance Bill abolish the ‘revdis’ that the Indian state has hitherto given to its rich.
Clayton Christensen traces how our economies are being disbalanced by a focus of the “New Church of Finance” on short-term gains, at the cost of long-term innovation.
As rhetoric around a new ‘War Against Drugs’ in Mexico heats up in the United States, Brad Pearce points out the folly of such an attempt.
Putin did not “Make Russia Great Again”; he was merely a pitstop in the country’s post-Soviet collapse, argues Noah Smith. In his story is a lesson - of the dangers of pursuing short-term gains at the cost of long-term resilience.
The Economist describes what a Chinese invasion of Taiwan might look like.
Tweets of the Week
Does international law really matter? Paul Prost weighs in:
India has four new cheetah cubs!
The maiden batch of the Indian Navy’s Agniveers passes out from the INS Chilka:
Key Notifications and Reports
The International Forum for Environmental Sustainability and Technology (iFOREST) has released a report mapping a roadmap India can adopt for its climate transition.
The Committee on Estimates released a report on evaluation of Electric Vehicle policy.
The Ministry of Jal Shakti has issued amendments to its guidelines for the extraction of ground-water.