UPSC Essentials | Mains answer practice — GS 2 : Questions on India-Nepal relations and regional tensions in middle east (Week 51)

QUESTION 2

Where does India stand in terms of commerce with Israel and Iran? Highlight the regional tensions that are affecting commerce.

General points on the structure of the answers

Introduction

QUESTION 1: What is the significance of the India-Nepal relationship? Discuss the key difficulties and prospects in the India-Nepal border dispute.

Introduction:

— India and Nepal have strong friendship and cooperation based on an open border and deep-rooted family and cultural linkages.

— Nepal shares a border of more than 1850 kilometres with five Indian states: Sikkim, West Bengal, Bihar, Uttar Pradesh, and Uttarakhand.

— India and Nepal have extensive defence cooperation.

— The Government of India’s development assistance to Nepal is a broad-based plan that focuses on the establishment of infrastructure at the grassroots level, with projects implemented in infrastructure, health, water resources, education, and rural and community development.

— Cooperation in water resources, particularly involving common rivers, is one of the most important sectors of bilateral cooperation.

— Since 1971, India and Nepal have had a Power Exchange Agreement to meet power requirements along their borders, utilising each other’s transmission facilities.

Body:

— The territorial dispute concerns a 372-square-kilometer area that comprises Limpiadhura, Lipulekh, and Kalapani at the India-Nepal-China trijunction in Uttarakhand’s Pithoragarh district. Nepal has long maintained that these lands belong to it, both historically and clearly.

Genesis of the issue

— The Treaty of Sugauli, which ended the Anglo-Nepalese War of 1814-16, resulted in Nepal surrendering land to the East India Company. Article 5 of the treaty removed Nepal’s rulers’ sovereignty over the territory east of the Kali River.

— The British Surveyor General of India’s maps from 1819, 1821, 1827, and 1856 depicted the Kali River as originating near Limpiadhura.

— The following map, issued in 1879, used the river’s name in the local language: “Kuti Yangti”.

— However, the last map printed by the British before leaving India in 1947 depicted the Kali River’s origin near Limpiadhura.

— According to Shrestha, the villages in this area — Gunji, Nabhi, Kuti, and Kalapani, also known as Tulsi Nyurang and Nabhidang — were included in the Nepal government census until 1962, and the villagers paid land revenue to the government in Kathmandu. However, the scenario shifted during the conflict between India and China that year.

(Source: Explained: History of India and Nepal’s border issue by Yubaraj Ghimire)

Points to Ponder

Map work: Limpiadhura, Lipulekh, and Kalapani

Treaty of Sugauli

Anglo-Nepalese War

Related Previous Year Questions

India is an age-old friend of Sri Lanka.’ Discuss India’s role in the recent crisis in Sri Lanka in the light of the preceding statement. (2022)

The USA is facing an existential threat in the form of China, that is much more challenging than the erstwhile Soviet Union.” Explain. (2021)

QUESTION 2: Where does India stand in terms of commerce with Israel and Iran? Highlight the regional tensions that are affecting commerce.

Body:

— India began diplomatic relations with Israel in 1992. Since then, commerce between the two countries has increased dramatically, from approximately $200 million in 1992 (mainly for diamonds) to $10.7 billion (excluding defence) in the fiscal year 2022-23. Iran, on the other hand, was India’s 59th largest trading partner, accounting for $2.33 billion in bilateral trade.

— According to the think tank Global Trade Research Initiative (GTRI), petrol prices in India are unlikely to rise as a result of the ongoing Middle East tensions.

— Tensions in the Red Sea, which serves as a vital commercial route between Europe and Asia, may have an impact. This route accounts for around 12% of total world trade.

— Since November 2023, Yemeni militants known as the Houthis have shot on certain ships sailing through this region. They claim it is in response to Israel’s military activity in the Gaza Strip, whilst Israel accuses Iran of supporting the Houthis.

— The latest war between Iran and Israel may exacerbate India’s commercial problems caused by shipping disruptions in the Red Sea. However, this battle is unlikely to have an impact on Indian petrol prices. The conflict has made the situation in West Asia extremely insecure, perhaps forcing initiatives such as the Middle East-Europe Economic Corridor (IMEC) to remain on paper for an extended period.

— The current violence is unlikely to seriously impair crude oil and gas output because major producers such as the United States, Russia, and North Sea firms are not in the conflict zone, and Saudi Arabia has not directly intervened.

— However, shipping problems in the Red Sea, which have forced longer trade routes via the Cape of Good Hope to Europe and North America’s east coast, may result in higher oil and petrol costs. In India, the impact on consumers may be negligible because the government can balance price rises by lowering taxes.

(Source: Where India’s trade with Israel and Iran stands, and whether regional tensions could impact it by Harikishan Sharma)

Points to Ponder

Important places in news in Israel and Iran

Trade between India and Iran

Trade between India and Israel

Location of Israel and neighbouring countries

Related Previous Year Questions

In what ways would the ongoing U.S-Iran Nuclear Pact Controversy affect the national interest of India? How should India respond to this situation? (2018)

Indian diaspora has scaled new heights in the West. Describe its economic and political benefits for India. (2023)

Previous Mains Answer Practice

UPSC Essentials: Mains answer practice — GS 1 (Week 49)

UPSC Essentials: Mains answer practice — GS 1 (Week 50)

UPSC Essentials: Mains answer practice — GS 2 (Week 50)

UPSC Essentials: Mains answer practice — GS 2 (Week 49)

UPSC Essentials: Mains answer practice — GS 3 (Week 51)

UPSC Essentials: Mains answer practice — GS 3 (Week 50)

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