Great Nicobar Island (GNI) Development Project and Tribal Concerns: Conflict Between Environment, Development, and Indigenous Rights

General Studies Paper – II: Governance, Constitution, Polity, Social Justice, and International Relations.

Context

Great Nicobar Island (GNI), located in the far south of the Andaman and Nicobar Islands, is currently at the center of discussion due to a serious policy dilemma between an ambitious development project and the rights of local indigenous tribes. Recently, the Tribal Council of Great and Little Nicobar made serious allegations against the island administration, stating that their concerns are being continuously ignored during the implementation of this project.

Recent Controversy and Key Developments

• Allegation against the Administration: The administration is accused of attempting to force a "modern lifestyle" upon the Shompen tribe, an extremely sensitive and isolated community, against their will under the controversial project.

• Chief Secretary's Statement: The then-Chief Secretary stated that the Shompen cannot continue living their traditional way of life and must adopt modernity, while also hinting that separate settlements might be built for them.
• Contradiction with Government Assurances: This statement contradicts the assurance given in Parliament by the Environment Minister, where it was stated that there would be no displacement.
• Ignorative Stance toward the Council: The Tribal Council claims that the key issues raised in the July 16 meeting were omitted from subsequent government directives.

Great Nicobar Project

The Great Nicobar Island project is a strategic mega-infrastructure initiative of the Government of India, with an estimated cost of approximately ₹91,000 crore.

4 Main Pillars of the Great Nicobar Mega-Project:

1. International Transshipment Port
2. Greenfield International Airport
3. Gas and Solar-based Power Plant
4. A New Planned Township (City)

The primary objective of this project is to strengthen India's strategic and military presence near the Strait of Malacca, promote regional trade, and develop tourism.

Affected Tribes: Shompen and Nicobarese

This development project directly impacts the lives and ecology of two major indigenous communities residing on the island:

• Shompen Tribe
  • Identity: The Shompen are a hunter-gatherer tribe living in the dense interior rainforests of the island.
  • Population: Their total population is less than 300.
  • Status: They are listed as a Particularly Vulnerable Tribal Group (PVTG) by the Central Government.
  • Risk: Their contact with the outside world is extremely limited. The proposed power plant and roads near Galathea pass directly close to their traditional settlements and hunting grounds.
• Nicobarese Tribe
  • Identity: This is the main and relatively larger indigenous community of the archipelago.
  • Key Demands: In the July 16 meeting, representatives of the Nicobarese community raised the demand to resettle in their ancestral villages located along the western coast of Greater Nicobar.
  • Lack of Consent: The community questioned why their prior informed consent was not sought when notifying wildlife sanctuaries and protected areas in the Nicobar group of islands.

Major Policy and Ethical Concerns

• Blow to Cultural Autonomy: Forcing a 'modern lifestyle' upon a PVTG tribe like the Shompen could prove fatal to their natural existence and cultural identity.

• Biological and Health Risks: Due to their isolation, the Shompen tribe lacks immunity to external diseases. Contact with an outside population poses a threat of epidemics.
• Destruction of Ecology: Large-scale deforestation for the projects threatens to destroy island biodiversity and rare wildlife habitats.
• Contradictory Administrative Claims: Severe contradictions have been observed in the statements of officials from the Tribal Welfare Department and the Andaman Adim Janjati Vikas Sangathan (AAJVS) regarding rehabilitation and displacement, heightening mistrust among local communities.

Way Forward

• Transparent Dialogue and Consensus: The government and island administration should shift from a top-down development approach and establish transparent dialogue with the Tribal Council.

• Protection of Traditional Rights: The past promises of not interfering with the traditional habitat of the Shompen community must be honored in letter and spirit.
• Resolution of Legitimate Demands: The legitimate demands of the Nicobarese community regarding rehabilitation and ancestral land must be resolved equitably.
• Balanced Approach: The execution of the development project should be kept within the framework of constitutional provisions (Schedules 5 and 6), tribal rights, and international human rights standards.

Conclusion

The Great Nicobar Island project is strategically and economically vital for India. However, the success of this project can only be claimed if it does not come at the expense of the existence and rights of local tribes. Respecting the concerns of the Shompen and Nicobarese communities and adopting a path of inclusive development is the only just way to resolve this deadlock.

De-dollarisation and the Globalised Economy: A Strategic Analysis in the Context of BRICS 2026

General Studies Paper – III: Technology, Economic Development, Biodiversity, Environment, Security and Disaster Management.

Context

Since World War II, the U.S. dollar has enjoyed an unchallenged hegemony in global trade and financial systems. In the current era of geopolitical tensions and economic sanctions, the world's emerging economies are attempting to reduce their heavy reliance on the dollar to safeguard their financial sovereignty.

What is De-dollarisation?

De-dollarisation is the process of reducing the use of and reliance on the U.S. dollar in international trade, financial transactions, foreign exchange reserves of central banks, and the pricing of commodities (such as crude oil). Under this, countries conduct bilateral and multilateral trade through their local currencies, digital currencies, or an alternative multilateral currency system instead of the dollar.

Why in News Recently?

The Parliamentary Standing Committee on External Affairs, chaired by senior MP Shashi Tharoor, has asked the Government of India whether it plans to push a de-dollarisation agenda at the 18th BRICS Summit to be held in New Delhi in September 2026.

• RBI's Advocacy: The Reserve Bank of India has advocated for linking the official digital currencies (CBDC) of BRICS countries to facilitate cross-border trade and tourism payments.
• Question of Financial Sovereignty: Members of the parliamentary committee questioned the government on why it is not taking concrete steps toward de-dollarisation to achieve greater 'financial sovereignty' and mitigate the impact of U.S. sanctions.
• Limitations of Bilateral Mechanisms: After the local currency (Rupee-Ruble) trade mechanism with Russia did not fully succeed, focus is being directed toward a BRICS-based multilateral mechanism.

Requirement of De-dollarisation

• Financial Sovereignty and Security: Avoiding the risk of being ousted from the dollar-based SWIFT system (such as the sanctions imposed on Russia).

• Hedging Against Exchange Rate Risk: Reducing the impact of fluctuations in the local currencies of emerging economies caused by the U.S. Federal Reserve's monetary policies and interest rate changes.
• Cheaper Transaction Costs: Saving on dollar conversion fees and enabling direct trade in local currencies.
• Multipolar Financial System: Transitioning the global economy away from the hegemony of a single currency toward a more balanced and inclusive framework.

18th BRICS Summit

India assumed the BRICS chair on January 1, 2026. The 18th Summit to be hosted in New Delhi is extremely significant in this direction:

• Digital Currency Linkage: Presenting a blueprint to interconnect the Central Bank Digital Currencies (CBDC) of BRICS member nations.
• BRICS Pay: Promoting dollar-free payment systems and the use of local currencies for intra-BRICS trade.
• India's Stance as Host: India must strike a balance between its strategic autonomy and its relations with the U.S. as well as its BRICS partners.

American Point of View

The U.S. views any attempt at de-dollarisation as a direct threat to its global economic and strategic dominance:

• Donald Trump's Warning: U.S. President Donald Trump has explicitly warned BRICS nations that if they create a new currency as an alternative to the dollar or challenge the dollar's dominance, they will face punitive tariffs and other harsh economic sanctions.
• Defense of the 'Weaponisation' of the Dollar: The U.S. maintains that dollar-based sanctions are a necessary tool for its national security and for enforcing global rules.

Major Concerns

• Trade Imbalance: Trade imbalances in local currency trade (such as the excessive accumulation of Rubles/Rupees in India-Russia trade) remain a major hurdle.

• Currency Liquidity and Volatility: Currencies of most emerging economies are highly volatile and lack global liquidity comparable to the dollar.
• Fear of U.S. Punitive Measures: Global financial institutions hesitate to take risks due to threats of secondary sanctions and tariffs.
• Lack of Consensus: Divergent geopolitical interests among BRICS members (e.g., China vs. India) make it difficult to reach a consensus on a single shared BRICS currency.

Analysis

De-dollarisation is not an overnight shift; rather, it is a process of gradual restructuring of the global financial architecture. Although replacing the dollar entirely is unlikely in the near future, alternative payment mechanisms provide an essential safety net for global financial stability.

Way Forward

• Strengthening Digital Payment Networks: Priority should be given to digital reserve currencies and integrated payment systems (such as linking UPI with networks of other countries).

• Balanced Multilateralism: India should focus on building a 'pragmatic and flexible' financial system rather than becoming part of an 'anti-American' agenda.
• Local Currency Clearing Mechanisms: A more practical currency-swap arrangement should be developed to address bilateral trade imbalances.

Conclusion

De-dollarisation is not merely an effort to eliminate the dollar, but a step toward establishing a just and multipolar global economic order. India should utilize the platform of the 18th BRICS Summit to maintain global economic balance while protecting its national priorities and financial sovereignty.

National Food Security (Amendment) Bill, 2026: A Timely Step from Calorie Security to Holistic Nutrition Security

General Studies Paper – III: Technology, Economic Development, Biodiversity, Environment, Security and Disaster Management.

Context

The policy debate on food security in India has entered a new phase, moving beyond merely eradicating hunger toward holistic nutrition security. According to recent national consumption surveys, the percentage of households unable to afford an essential balanced diet has fallen from 52% in 2011-12 to approximately 25% in rural households and 21% in urban households in 2023-24. Despite this significant progress, a large segment of the country's population still relies solely on a foodgrain (cereal)-based diet, increasing the risk of the 'double burden of malnutrition' (undernutrition alongside non-communicable diseases).

Food Security

From a legal perspective, the National Food Security Act (NFSA), 2013 transformed access to food from a welfare scheme into a citizen's 'Statutory Right'. This Act covers 75% of the rural population and 50% of the urban population.

• Priority Households (PHH): Receive 5 kg of foodgrains per person per month.
• Antyodaya Anna Yojana (AAY): Provides 35 kg of foodgrains per household per month to the poorest families in society.

Distributing only cereal quotas does not constitute true food security. In the modern context, food security means not only filling stomachs but also providing the body with protein, micronutrients, and a balanced diet, as well as protecting citizens from lifestyle-related diseases.

Why in the News Recently?

The government recently made public the draft of the National Food Security (Amendment) Bill, 2026. The main points bringing this bill into discussion are as follows:

• Proposed Change in AAY Quota: Proposal to replace the fixed 35 kg per household entitlement for AAY families with 7 kg per person per month (subject to a maximum cap of 35 kg).
• Opposition by States: States like Tamil Nadu and Kerala have opposed this, stating that it will reduce the ration quota for smaller and vulnerable families.
• Impact of Data (Tamil Nadu Case Study): Out of 18.64 lakh AAY households in Tamil Nadu, 84.5% (15.75 lakh) have fewer than 5 members. Under the new formula, the state's AAY foodgrain allocation will drop from 65,261 tonnes to 42,040 tonnes (a reduction of 35.6%).

National Food Security (Amendment) Bill, 2026

This bill proposes an amendment to the first proviso of Section 3(1):

• Per-Person Formula: AAY beneficiaries will receive a ration of 7 kg/person.
• Maximum Cap: Total allocation per household will not exceed 35 kg under any circumstances.
• Objective: To eliminate inequality between large and small AAY families. Currently, large AAY families with 7 or 8 members received only 4.4 to 5 kg of ration per person, which was equal to or less than the 5 kg standard of PHH.

Mathematics of Entitlement (Gainers vs. Losers)

This formula appears fair on paper, but its outcomes reveal practical disparities:

Double Burden of Malnutrition

• Child Health (NFHS-6: 2023-24): Growth retardation (Stunting) in children under 5 years of age has declined to 29.3%, but there has been no significant improvement in Wasting (19.0%) and Underweight (31.8%). Only 15% of children aged 6–23 months receive an adequate diet.

• NCD Challenge (ICMR-INDIAB): In India, 10.1 crore people suffer from diabetes and 13.6 crore from pre-diabetes. Diets high in carbohydrates increase the risk of Type-2 diabetes by 30%.
• ICMR-NIN 2024 Guidelines: Cereals and millets should account for a maximum of 45% of total daily energy intake, with the remaining energy coming from pulses, milk, vegetables, and fats.

Coverage Gap (Problem of 2011 Census)

The NFSA beneficiary limit of 81.35 crore is still based on the 2011 Census. Based on the estimated population of 146.4 crore in 2025, only 55.6% of the population is currently covered.

Delivery System and Digital Infrastructure

• By the end of 2025, 5.50 lakh out of 5.51 lakh ration shops are equipped with e-PoS devices, and 'One Nation One Ration Card' is operational.

• Diabetes screening for 41.3 crore people has been conducted through more than 1.86 lakh 'Ayushman Arogya Mandirs' across the country.

Key Concerns

• Loss to Small and Vulnerable Families: Households with 1 to 4 members often consist of single elderly individuals, widows, or persons with disabilities. Receiving 7 or 14 kg of ration instead of 35 kg will put their food security at risk.

• Levelling-Down Approach: Instead of increasing the quota for any household, the bill attempts to remove disparity by reducing allocations.
• Outdated Census Base: Newly eligible poor individuals are deprived of legal rights due to delays in the census.
• Technical and Authentication Failure: Biometric or network failures on e-PoS devices deprive the most vulnerable sections of their rations.

Way Forward

• 'No-Loss' Safeguard: The existing 35 kg ration quota for any AAY family must not be reduced. Additional quotas for larger families should be provided separately based on need.

• Separate Budget for Dietary Diversification: Pulses, local millets, and edible oils should be included in the PDS at subsidized rates. This should be implemented through a separate budgetary allocation within the Union Budget (food subsidy: ₹2,27,629 crore), rather than cutting foodgrain quotas.
• Reorganization of Coverage Post-Census 2027: Beneficiary limits should be updated immediately based on new population data.
• Last-Mile Accessibility & Health Integration: Offline access and doorstep delivery should be guaranteed in cases of biometric failure. Ration shops should be utilized solely for primary nutrition awareness and referrals for health check-ups at Ayushman Arogya Mandirs.

Conclusion

Amending the National Food Security Act presents a historic opportunity to move India from mere 'cereal security' to 'holistic nutrition security.' The success of these reforms should be judged not by how many tonnes of foodgrains were distributed from warehouses, but by whether every poor family in the country is enabled to obtain balanced food and live a dignified and healthy life.

19 months high inflation: Challenge of retail inflation and economic scenario

General Studies Paper–III: Technology, Economic Development, Biodiversity, Environment, Security and Disaster Management.