2 March 2026 | Daily Current Affairs

Coconut Cultivation Sustainability – Climate Risks & Policy Measures | UPSC GS 3

Context

India is world’s largest producer and consumer of coconuts.

Major States:

  • Karnataka
  • Kerala
  • Tamil Nadu

Key Challenges

Climate Stress:

  • 1.6–2°C rise by 2050
  • Rainfall variability
  • Interior regions becoming unsuitable

Disease:

  • Root wilt in Kerala & TN
  • Severe in Alappuzha & Pollachi

Productivity Imbalance:

  • TN hybrids yield 250–300 tender coconuts/tree
  • Yield already high
  • Climate vulnerability ignored

High Domestic Prices:

  • Indicates supply instability

Budget 2026–27 Measures

  • Rejuvenation of old gardens
  • High-yield variety distribution
  • Coastal plantations

Core shift: From productivity → sustainability & resilience.

India–Canada CEPA – Trade Target, Strategic Significance & GS 2 Analysis

Objective

Trade Numbers

  • Trade in 2024: $30+ billion
  • Target: $50–70 billion by 2030

Areas of Cooperation

  • Energy
  • Clean technology
  • Defence
  • AI & advanced tech
  • Nuclear energy (uranium supply)

Trilateral Partnership

Australia–Canada–India framework (G20 2025)

Strategic angle: Diversification away from China-centric supply chains.

GST Collection Rise – February 2026 Data & Revenue Trends | UPSC GS 3

Context

Gross GST collections rose 8.1% YoY in Feb 2026 to ₹1.83 lakh crore.

GST Basics

Constitutional Basis

Rate Rationalisation

  • 375 items saw rate cuts
  • Slabs consolidated mainly to 5% & 18%
  • 40% retained for ultra-luxury/tobacco

Significance: Stable revenue despite rationalisation.

PYQ – 2017, Ans – A

Iran–Israel War – Causes, Nuclear Trigger & Regional Impact | UPSC GS 2

Core Thesis

The Iran–Israel war is not sudden. It is the culmination of decades of ideological hostility, proxy conflict, failed nuclear diplomacy and recent regional destabilisation.

Historical Evolution

  • Pre-1979: Iran (Shah era) had working ties with Israel and the U.S.
  • 1979 Islamic Revolution: Iran became ideologically anti-Israel and anti-U.S.
  • Israel began treating Iran as a long-term existential threat.

Proxy War Phase

For decades, confrontation remained indirect:

Iran:

  • Built regional network (Hezbollah, Hamas, allied militias)
  • Used proxies to pressure Israel

Israel:

  • Airstrikes in Syria
  • Targeted Iranian assets
  • Prevented Iranian entrenchment near borders

Nuclear Trigger

  • Iran expanded uranium enrichment
  • 2015 nuclear deal collapsed after U.S. withdrawal
  • Israel considers nuclear-capable Iran unacceptable

Immediate Escalation (2025–26)

  • Gaza war reshaped Israeli security thinking
  • Syrian instability exposed Iranian networks
  • Oman mediation failed
  • Israel launched pre-emptive strikes
  • Iran retaliated with direct missile attacks

Shift: Proxy war → Open confrontation

Strategic Objectives

Israel:

  • Degrade nuclear capability
  • Dismantle militia infrastructure
  • Restore deterrence

Iran:

  • Preserve regime
  • Maintain regional influence
  • Avoid strategic humiliation

Wider Implications

  • Strait of Hormuz risk
  • U.S. involvement deepening
  • Gulf states cautious
  • Long-term regional instability

Sixteenth Finance Commission – Devolution Formula & Fiscal Federal Issues | UPSC GS 2

Constitutional Basis

  • Article 280
  • Appointed every 5 years
  • Award period: 2026–27 onward

Recommends

  • Vertical devolution
  • Horizontal distribution
  • Grants-in-aid (Article 275)

Key Data

  • 14th FC: 42%
  • 15th FC: 41%
  • 16th FC: 41% retained

Transfers as % of Centre’s gross revenue:

  • 14th FC: 35.6%
  • 15th FC: 34.4%
  • 16th FC (est.): 32.7%

Major Concerns

  • Rising cesses & surcharges shrinking divisible pool
  • GSDP contribution added as criterion
  • Tax effort criterion dropped
  • Revenue deficit grants discontinued
  • Some large States may lose share

Core issue: Fiscal federal balance under strain.

PYQ – 2023, Ans – B
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