UPSC current affairs · Wednesday

Current Affairs, 15 July 2026

8 issues picked from 58 PIB releases · about 2 minutes each · written by UPSC Grade, each fact checked against its PIB release or by a second model

How to readRead “Why in news” and “What it is” for every issue. Open For Prelims or For Mains for the exam you’re preparing for, then Test yourself at the foot of each card. Half the news questions in Prelims are answered from background, not the news itself.

In 60 seconds

Semicon 2.0 (India Semiconductor Mission). Cabinet clears Rs.1,27,500 crore Semicon 2.0 to build India's full chip ecosystem on six pillars.
India-UK Comprehensive Economic and Trade Agreement (CETA). India-UK trade pact enters into force: zero-duty UK access, calibrated Indian tariff cuts, easier professional mobility.
Mobile Phone Manufacturing Scheme (MPMS). Cabinet approves Rs 62,500 crore, five-year sales-linked incentive scheme for mobile phone manufacturing and Indian brands.
National Investment Policy for Urea (NIPU-2026). CCEA approves NIPU-2026 to draw investment into new gas-based urea plants and cut imports.
Shipbuilding Financial Assistance Scheme and Maritime Development Fund. SbDS in-principle approval for Porbandar shipbuilding cluster and Vadinar ship repair facility in Gujarat.
BRICS and India's 2026 Chairship. BRICS labour ministers adopt a Declaration in Hyderabad; India launches BRICS CONNECT for technical cooperation.
Coal Exchanges in India. Coal ministry opens online registration for coal exchanges, with the Coal Controller Organisation as regulator.
Critical and Strategic Mineral Blocks auctions. Mines Ministry launches eighth tranche: 20 critical mineral blocks across nine States offered for auction.

Scheme

Semicon 2.0 (India Semiconductor Mission)

GS3 Science and technologyGS3 EconomyPrelims and Mains

Why in news: On 15 July 2026 the Union Cabinet approved Semicon 2.0, the next phase of India's semiconductor push, with an outlay of Rs.1,27,500 crore.
What it is: The India Semiconductor Mission (ISM) is the programme under MeitY to build a domestic chip ecosystem. ISM 1.0 began in 2021 and backed fabs, ATMP/OSAT units and chip design. ISM 2.0 is the next phase and widens support to materials, machines, research and talent.

Six pillars of ISM 2.0: Design; Machines and Materials; more fabs; ATMP/OSAT industry; R&D; and Talent Development.
ISM 1.0 timeline: Planned as a six-year programme, it met its objectives in four years.
Plants under ISM 1.0: Twelve plants were approved under ISM 1.0, and five have started commercial production.
Expected design companies: The Minister estimated at least 200 chip design companies would emerge under ISM 2.0.
Nodal ministry: ISM sits under the Ministry of Electronics and Information Technology.
Approval and outlay: The Union Cabinet approved Semicon 2.0 on 15 July 2026 with an outlay of Rs 1,27,500 crore.
Semicon 1.0 outlay: Semicon 1.0 was approved in December 2021 with an outlay of Rs 76,000 crore.
Semicon 1.0 units: Twelve units were approved: one silicon fab, one silicon carbide fab, one GaN Micro LED display fab and nine ATMP/OSAT units. Five have begun commercial production.
Concentration of production: Taiwan produces over 60% of global chips and nearly 90% of advanced chips.
Six pillars: Design; Machines and Materials; more Fabs; ATMP/OSAT; R&D; Talent Development.
Nodal agency: ISM invites applications, appraises them, recommends applicants and oversees implementation.
C-DAC role: ISM may implement the design and deployment categories with C-DAC's help.
Duration: Projects generally run up to six years. Applications stay open initially for three years.
Funding and review: MeitY makes budget provisions; a mid-term assessment follows three years of implementation.
Design incentive: Pillar 1 includes a Deployment-Linked Incentive (DLI) for chips, IPs and SoCs.
Outlay: Semicon 2.0 has a total budget outlay of Rs.1,27,500 crore.
ISM 1.0 manufacturing: Twelve manufacturing units were approved with over Rs.1.64 lakh crore investment: one silicon fab, one SiC fab, one GaN Micro LED display fab and nine packaging units.
Commercial production: Micron, Kaynes and CG Semi have started commercial production.
Projects approved: Two new projects, both in Gujarat, were cleared. One is a compound semiconductor fab with ATMP at Dholera; the other is an OSAT unit at Surat.
Crystal Matrix Limited, Dholera: It will make Mini/Micro-LED display modules and offer GaN foundry services, including epitaxy on 6-inch wafers.
Suchi Semicon, Surat: An OSAT facility for discrete semiconductors, with capacity of 1033.20 million chips a year.
ISM tally: Approved projects under ISM now total 12, with cumulative investment of about Rs 1.64 lakh crore.
Design support: Government design infrastructure support covers 315 academic institutions and 104 start-ups.
OSAT meaning: OSAT stands for Outsourced Semiconductor Assembly and Test: firms that package and test chips made by fabs.
Talent target: The 10-year target is to train 85,000 engineers in semiconductor design, and the minister says good progress was made in four years.
EDA tool access: EDA tools backed by firms such as Synopsys, Cadence and Siemens are available in 315 academic institutions.
Fabrication of student chips: Student-designed chips are fabricated and tested at the Semiconductor Laboratory (SCL), Mohali.
Expansion under Semicon 2.0: The programme will grow from 315 to 500 universities.
EDA tools: 350 universities have been given access to EDA tools, used by 65 thousand engineers.
ISM 2.0 aims: It targets production of equipment and materials, design of full-stack Indian IP, and stronger supply chains.

Don’t confuse with Fab vs fabless: A fab makes chips on wafers. A fabless firm only designs chips and uses a foundry to make them.

Don’t confuse with ATMP vs OSAT: ATMP is Assembly, Testing, Marking and Packaging; OSAT is Outsourced Semiconductor Assembly and Test. Both handle the post-fabrication stage.

Don’t confuse with Fab vs ATMP/OSAT: A fab makes the chip on wafers; ATMP/OSAT packages and tests the finished chip.

Don’t confuse with ISM 1.0 vs Semicon 2.0: ISM 1.0 (2021) backed fabs, packaging and design. Semicon 2.0 adds machines, materials, advanced R&D and deeper talent building.

Don’t confuse with Compound vs silicon semiconductors: Compound semiconductors like GaN combine elements and suit power, RF and optoelectronics. Silicon is a single-element material used in most logic chips.

Don’t confuse with ISM vs SCL Mohali: ISM is the national programme under MeitY. SCL Mohali is a government fab laboratory used to make the student chips.

Don’t confuse with C2S vs fab incentives: C2S is about design talent and startups. Fab and ATMP/OSAT subsidies are separate parts of ISM.

Don’t confuse with EDA tools vs tapeout: EDA tools are software used to design chips. Tapeout is the final design submission for fabrication.

Don’t confuse with ISM vs ECMS: ISM backs chip fabs, packaging, design, equipment and materials. ECMS supports electronic components and sub-assemblies manufacturing.

Don’t confuse with ISM vs PLI for electronics: ISM is a semiconductor-specific mission. PLI schemes give production-linked incentives on sales across electronics products.

Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.

Why it matters

Support across the whole value chain can cut import dependence and build strategic resilience in chips.
Design strength and talent can move India from design services to owning chip IP and products.
Cuts import dependence, as India spent about USD 150 billion on chip imports in FY17-FY25.
Builds the full value chain and supports supply chain resilience and strategic autonomy.
Creates high-value jobs and supports strategic sectors such as space and defence.
Strengthens supply-chain resilience and national security in a critical technology.
Covers the full value chain, including equipment, materials and talent, not just fabs.
Can create 50,000-60,000 direct jobs, according to the Minister.
Cuts import dependence and strengthens supply chain resilience and national security.
Builds upstream capacity in materials, machines and design IP, not just assembly.
Supports growth across sectors such as automobiles, telecom, electronics and aerospace.
Adds compound semiconductor and display capability, reducing import dependence in a strategic technology.
Creates skilled jobs and builds a Gujarat cluster at Dholera and Surat.
Builds a skilled design workforce, which is a key gap in India's chip ecosystem.
Open-access EDA tools lower cost for students and startups across the country.
Reduces import dependence in a strategic input for electronics, defence and autos.
Builds jobs and a full chain from design to packaging, and spreads units across states.
Reduces import dependence in chips and strengthens supply chains.
Equipment, materials and IP move India beyond assembly into deeper value chains.

Problems

Fabs need heavy capital, steady power and ultra-pure water, and depend on imported machines and materials.
Only five of twelve approved plants are producing, and the talent trained is below the design target of 85,000.
Chip manufacturing is highly complex, capital-intensive and needs long, steady policy support.
Production is concentrated in a few economies, so India depends on trusted partners for tools and technology.
Only five of twelve approved units were producing by 2026, so execution and talent remain gaps.
Chip fabs need very large capital, water, power and skilled staff.
India depends on imported equipment and materials, and global competition for subsidies is heavy.
Projects take years to deliver, and fiscal support is large.
Fabs need huge capital, water, power and ultra-pure inputs, with long gestation.
India's current nodes (28nm-110nm) lag leading-edge global technology.
Dependence on foreign technology partners and a shortage of skilled engineers.
Chip fabs need heavy capital, water, power and skilled workers, and face global competition.
Dependence on imported materials, equipment and technology persists.
Trained designers may leave for foreign firms, so retention is a risk.
Training must be matched by fabs and industry jobs to be useful.
Fabs need large capital, water, power and scarce skilled talent.
Most approved projects are packaging, and India depends on foreign technology partners.
Fabs need heavy capital, water, power and a mature supplier base.
Shortage of skilled chip designers and process engineers.

Way forward

Localise materials and equipment and keep strong partnerships with trusted countries.
Link research, industry and academia so design talent leads to products and IP.
Sustain long-term funding and speed up approvals and execution of approved units.
Build the machines, materials and talent base while deepening trusted international partnerships.
Link R&D to industry so design work grows into products made in India.
Build equipment and materials suppliers alongside fabs.
Link talent training to industry needs and speed up approvals.
Use the mid-term review to correct design and funding gaps.
Develop advanced nodes through R&D tie-ups with leading centres in India and abroad.
Build supplier clusters for gases, chemicals and equipment alongside fabs.
Align training in universities with industry needs such as clean room and fab skills.
Build the supply chain of materials, gases and equipment through ISM 2.0.
Link design, talent and manufacturing so projects reach commercial scale.
Link academic training with industry internships and local fabs.
Support design startups to turn student chips into products.
Build materials, equipment and talent base, as ISM 2.0 intends.
Speed up project execution and anchor demand through domestic chip design.
Build industry-linked research and training centres with steady funding.
Develop local equipment and materials clusters alongside fabs.

Put in your answer

ISM 1.0 execution record: Five of twelve approved plants are in commercial production, and the first phase ended ahead of schedule.

Semicon 1.0 progress: Twelve units approved with over Rs 1.64 lakh crore investment; five are producing.

Design talent: India employs nearly 20% of the global chip design workforce.

Talent target: India reached its target of 85,000 semiconductor engineers in four years against a 10-year plan; a further one lakh is targeted.

Design by students: Students from Tier-II and Tier-III cities have designed more than 250 chips.

Market share: Close to 10% of the global semiconductor market is expected to be in India in the coming years.

ISM 1.0 investment: Twelve approved manufacturing units carry over Rs.1.64 lakh crore of investment.

Design ecosystem: 24 design projects approved for support; 105 start-ups/MSMEs given EDA tool access.

Talent pipeline: About 68,000 students trained on EDA tools across 315 universities.

ISM scale: 12 approved projects with about Rs 1.64 lakh crore investment show the mission's progress.

Execution status: Two projects have begun commercial shipments from India, and two more are expected to follow soon.

EDA programme scale: Over 1.85 crore hours of EDA tool use recorded; called the world's largest open-access EDA programme.

Jobs demand: As the global industry reaches USD 2 trillion, about 2 million skilled professionals will be needed.

Investment scale: 10 approved projects carry about Rs 1.6 lakh crore of envisaged investment.

ECMS: ECMS has drawn investment commitments at double its target, with outlay now proposed at Rs 40,000 crore.

Test yourself

True or false?

1 of 19

Statements the way Prelims prints them. Say first, then see the fact.

1.Semicon 2.0 was approved by the Union Cabinet in July 2026 with an outlay of Rs 1,27,500 crore.
2.The Semiconductor Laboratory (SCL), which develops flight-grade chips for satellites and launch vehicles, is located in Mohali.
3.Silicon, the most widely used semiconductor material, is obtained from silica found in sand.
4.The India Semiconductor Mission is the nodal agency for Semicon 2.0.
5.ISM may implement the design and deployment categories with the assistance of the Centre for Development of Advanced Computing.
6.Semicon 2.0 will initially accept applications for ten years.
7.The scheme's mid-term assessment will be conducted after five years of implementation.
8.Semicon 2.0 has a total budget outlay of Rs.1,27,500 crore.
9.The India Semiconductor Mission functions under the Ministry of Electronics and Information Technology.
10.The Semicon India Programme has a total outlay of Rs 76,000 crore.
11.Of the 10 projects approved under the programme, 8 are fabs and 2 are packaging units.
12.The India Semiconductor Mission is the nodal agency for appraisal and recommendation of semiconductor projects under the programme.
13.The Tata Electronics fab in Gujarat is being set up in technology partnership with a company from South Korea.
14.The Micron facility in Gujarat is meant for assembly and test of both DRAM and NAND products.
15.The India Semiconductor Mission functions under the Ministry of Commerce and Industry.
16.ISM 2.0 is meant to produce equipment and materials and design full-stack Indian IP.
17.The Electronics Components Manufacturing Scheme was launched in April 2025.
18.The ECMS outlay is proposed to be increased to Rs 40,000 crore.
19.The India Semiconductor Mission is an independent body set up by an Act of Parliament.

Written by us from the release, not by UPSC; checked by a second model.

Source: PIB, Cabinet, 15 Jul, 15:09 IST · Release 291244

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

International relations

India-UK Comprehensive Economic and Trade Agreement (CETA)

GS2 International Relations / Trade agreementsGS3 EconomyPrelims and Mains

Why in news: The India-UK Comprehensive Economic and Trade Agreement (CETA) came into effect, as announced by PIB on 15 July 2026. It gives zero-duty access on nearly 99% of India's exports to the UK.
What it is: The India-UK CETA is a bilateral free trade agreement covering goods, services, investment, digital trade and professional mobility. It pairs UK tariff elimination on most Indian exports with phased, selective Indian tariff cuts that protect sensitive sectors. It also contains provisions on gender, labour rights and traditional knowledge.

UK tariff access: The UK gives zero-duty access on nearly 99% of India's exports, covering almost 100% of trade value.
Mutual recognition: Both sides will pursue Mutual Recognition Agreements for nursing, accountancy and architecture within 12 months of entry into force.
Double Contribution Convention: Dual social security contributions are removed for assignments of up to 60 months.
Structure: CETA has 30 chapters. It includes digital trade, financial services, IP and, for the first time bilaterally, government procurement.
Services access: The UK commits to all major services sectors and 137 sub-sectors of interest to India.
Protected sectors in India: India has shielded dairy, cereals, millets, edible oils, oilseeds, apples and some vegetables.
Trade goal: The India-UK Roadmap 2030 aims to double bilateral trade to USD 100 billion by 2030.

Don’t confuse with CETA vs CEPA: CETA (India-UK) and CEPA (India-UAE, India-Japan) are both comprehensive trade pacts; the name differs but both cover goods, services and investment.

Don’t confuse with Double Contribution Convention vs DTAA: The DCC covers social security contributions. A DTAA avoids double taxation of income.

International bodies and relations: the largest group of news questions in Prelims (61 since 2013), often about background, members and location. In Mains, 27 news-triggered questions, mostly on India's interests.

Why it matters

Gives Indian labour-intensive exports such as textiles, leather and gems a tariff edge over rivals like Bangladesh and Vietnam.
Eases professional mobility and services access, where India has a large surplus with the UK.
Adds to India's network of free trade agreements and diversifies export markets.
Gives Indian labour-intensive exports duty-free access to a major market, helping jobs in textiles, leather and marine sectors.
Expands services exports and mobility for professionals, supported by the social security exemption.
Diversifies trade partners and builds a template for rules-based, next-generation trade deals.

Problems

Domestic sensitivities in dairy, agriculture and autos need protection, with limits on how far India can open.
Non-tariff barriers, UK and EU standards and compliance costs can limit actual gains for MSMEs.
Mobility gains depend on UK visa and immigration policy, which is outside the treaty.
Indian exporters must meet UK standards, rules of origin and steel measures, including quotas.
Opening to UK imports may pressure domestic industry, while farm and rural sectors need continued protection.
Mobility gains depend on UK visa and immigration policy, which can change.

Way forward

Complete the MRAs within the 12-month timeline and use the DCC to deliver benefits to professionals.
Help MSMEs meet UK standards and use the Single Window and AEO systems to use the tariff preferences.
Monitor sensitive sectors during phased tariff cuts and review the impact.
Help MSMEs use the agreement through awareness, certification and logistics support.
Monitor trade data and use the joint review mechanisms to resolve steel and non-tariff issues.
Keep sensitive sectors protected while negotiating further on mobility and recognition of qualifications.

Put in your answer

Merchandise trade: Merchandise trade reached USD 25.12 billion in 2025-26, with India running a surplus of USD 1.76 billion.

Double Contribution Convention: The convention is expected to benefit over 75,000 Indian professionals and around 900 Indian companies.

Tariff cuts: UK tariffs of up to 70% on processed food and up to 21.5% on marine products fall to zero.

Social security gain: More than 75,000 Indian professionals and over 900 companies are expected to benefit from the DCC.

Mobility first: 1,800 Indian chefs, yoga instructors and classical musicians get dedicated annual mobility.

Test yourself

True or false?

1 of 12

Statements the way Prelims prints them. Say first, then see the fact.

1.Under the CETA, the UK gives zero-duty access on nearly 99% of India's exports.
2.India has offered tariff concessions on all of its tariff lines under the CETA.
3.Strategic products under PLI and Make in India get tariff concessions phased over 5, 7 or 10 years.
4.The India-UK Young Professional Scheme was announced on the sidelines of the G20 Bali Summit.
5.The UK has agreed not to impose an Economic Needs Test on Indian professionals under the agreement.
6.Mutual Recognition Agreements under the CETA are proposed for medicine, law and engineering.
7.The India-UK CETA enters into force on 15 July 2026.
8.The exemption period under the India-UK Double Contribution Convention has been extended from 3 years to 5 years.
9.The UK has made services commitments covering 137 sub-sectors of export interest to India.
10.CETA was signed in London in July 2025 by the Commerce Ministers of both countries in the presence of the two Prime Ministers.
11.Under CETA, India has opened its dairy and cereals sectors to UK imports on a phased basis.
12.The India-UK Roadmap 2030 targets doubling bilateral trade to USD 100 billion by 2030.

Written by us from the release, not by UPSC; checked by a second model.

Source: PIB Headquarters, 15 Jul, 16:35 IST · Release 291262

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Scheme

Mobile Phone Manufacturing Scheme (MPMS)

GS3 Economy · Industry and manufacturingGS3 Science and TechnologyPrelims and Mains

Why in news: On 15 July 2026 the Union Cabinet approved the Mobile Phone Manufacturing Scheme (MPMS) with an outlay of Rs 62,500 crore, running FY 2026-27 to FY 2030-31.
What it is: MPMS is an incentive scheme for mobile phone makers in India, run by MeitY. It has two target segments: one for large-scale manufacturing and one for Indian-owned brands with Indian design and IP. It follows the PLI scheme for large scale electronics manufacturing, which helped make India a major phone maker and exporter.

TS2 Indian Brand test: TS2 needs minimum turnover of Rs 1,000 crore in FY 2025-26, Indian management control, more than 51% Indian citizen shareholding, India-held IP and in-house R&D.
Predecessor: PLI-LSEM ended on 31 March 2026.
Outlay: Budgetary outlay is Rs 62,500 crore.
Tenure: Five years, FY 2026-27 to FY 2030-31.
Predecessor scheme: PLI-LSEM helped make India a mobile manufacturing and export hub; its tenure ended on 31 March 2026.
Position of India: India is the world's second-largest mobile phone maker by volume, and 99.2% of phones used in India are made domestically.

Don’t confuse with MPMS vs PLI-LSEM: PLI-LSEM was the earlier incentive for large scale electronics and ended 31 March 2026. MPMS is the new scheme for FY 2026-27 to FY 2030-31, focused on phones and Indian brands.

Don’t confuse with TS1 vs TS2 turnover: TS1 needs Rs 10,000 crore minimum turnover in FY 2025-26; TS2 needs Rs 1,000 crore.

Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.

Test yourself

Source: PIB, Cabinet, 15 Jul, 15:23 IST · Release 291245

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Economy

National Investment Policy for Urea (NIPU-2026)

GS3 Agriculture / Fertilizer policyPrelims and Mains

Why in news: On 15 July 2026 the Cabinet Committee on Economic Affairs approved the National Investment Policy for Urea-2026 (NIPU-2026), on the Department of Fertilizers' proposal. It covers new gas-based urea plants.
What it is: NIPU-2026 is a policy of the Department of Fertilizers for new urea manufacturing units. It replaces the New Investment Policy of 2012, whose window for new investment closed in October 2019. It aims at self-sufficiency in urea by reducing the gap between domestic output and demand, which is met by imports.

Approving body: The CCEA, chaired by the Prime Minister, approved the policy on the Department of Fertilizers' proposal.
Return on Equity band: A Return on Equity band with a floor of 12% and a ceiling of 16% is introduced.
Cost separation and forex: Fixed and variable costs are separated. Fixed cost is converted into INR after four years to reduce forex risk.
Savings: Savings of over Rs 250 crore per plant are expected compared with NIP-2012.
NIP-2012 outcome: Under NIP-2012, 6 new urea units were set up: 4 by joint venture companies of nominated PSUs and 2 by private companies.
Current capacity: There are 33 operational urea units with a total capacity of 269.42 LMT.

Don’t confuse with NIP-2012 vs NIPU-2026: NIP-2012 covered revamp, expansion, brownfield and greenfield projects and lapsed in 2019. NIPU-2026 is the new policy for new urea units with a RoE band and INR conversion of fixed cost.

Economy terms and data: 42 Prelims questions since 2013, rising in recent years; they test what a term or instrument means. In Mains, 12 news-triggered questions.

Test yourself

Source: PIB, Cabinet Committee on Economic Affairs (CCEA), 15 Jul, 15:33 IST · Release 291248

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Scheme

Shipbuilding Financial Assistance Scheme and Maritime Development Fund

GS3 Infrastructure and industryPrelims and Mains

Why in news: On 15 July 2026 the Ministry of Ports, Shipping and Waterways gave in-principle approval under the Shipbuilding Development Scheme (SbDS) to a greenfield shipbuilding cluster at Porbandar and a ₹1,570-crore ship repair facility at Vadinar, Gujarat.
What it is: The Shipbuilding Financial Assistance Scheme (SBFAS) extends the earlier Shipbuilding Financial Assistance Policy. It gives financial support to Indian shipyards to offset their cost disadvantage against global yards. The Maritime Development Fund offers long-term finance to the shipbuilding and maritime sector, alongside the National Shipbuilding Mission that oversees the schemes.

SBFAS outlay: SBFAS is an extension of the Shipbuilding Financial Assistance Policy, with an outlay of ₹24,736 crore, to address cost disadvantages of Indian shipyards.
National Shipbuilding Mission: NSbM is an inter-ministerial body and nodal agency overseeing SBFAS and the Shipbuilding Development Scheme.
Greenfield clusters: Under SBDS, greenfield shipbuilding clusters in Andhra Pradesh, Gujarat and Tamil Nadu have in-principle approval, plus three brownfield expansions.
Implementing vehicle: The cluster will be developed through NSHIP-Gujarat, an SPV jointly promoted by the Ministry of Ports, Shipping and Waterways and the Gujarat Maritime Board.
Policy anchor: SbDS falls under the Maritime Amrit Kaal Vision 2047.

Don’t confuse with SBFAS vs SBDS: SBFAS gives financial assistance to offset shipyard cost disadvantage; SBDS develops shipbuilding clusters and capacity expansion.

Don’t confuse with MIF vs IIF: MIF (₹20,000 crore) is for equity; IIF (₹5,000 crore) lowers debt cost.

Don’t confuse with Greenfield vs brownfield: Greenfield means a new project on fresh land (Porbandar cluster). Brownfield means expansion of an existing setup (Vadinar, an extension of Cochin Shipyard's operations).

Don’t confuse with In-principle approval vs final sanction: In-principle approval signals eligibility for assistance. Release of funds follows later steps and conditions.

Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.

Test yourself

Source: PIB, Ministry of Shipping, 15 Jul, 15:39 IST · Release 291250

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

International relations

BRICS and India's 2026 Chairship

GS2 International relations · GroupingsPrelims and Mains

Why in news: On 15 July 2026, the 12th BRICS Labour and Employment Ministers' Meeting in Hyderabad adopted a Declaration and launched India's proposed 'BRICS CONNECT' initiative under India's BRICS Chairship.
What it is: BRICS is a grouping of major emerging economies that works through three pillars: political and security, economic and financial, and cultural and people-to-people exchanges. The chair rotates yearly and sets the agenda and theme. The BRICS Parliamentary Forum brings together legislatures of member countries for parliamentary diplomacy alongside the leaders' summit.

Forum and theme: The 12th BRICS Parliamentary Forum was held in New Delhi on 26-27 October 2026 under the theme of people-centric development.
India's chairship: India's 2026 chairship carries the theme 'Building for Resilience, Innovation, Cooperation and Sustainability'. India hosted the 18th BRICS Summit on 12-13 September 2026.
Three pillars: Cooperation runs across political and security, economic and financial, and cultural and people-to-people pillars.
IPU and BRICS Plus: Members noted Russia's initiative to consider a BRICS Plus geopolitical group within the Inter-Parliamentary Union.
Next chair: China will chair BRICS in 2027.
Counter-terrorism machinery: The declaration welcomes the BRICS Counter-Terrorism Working Group and its five subgroups, and calls for early adoption of the Comprehensive Convention on International Terrorism at the UN.
Event: The 12th BRICS Parliamentary Forum 2026 was inaugurated by the Lok Sabha Speaker at Samvidhan Sadan, Parliament House Complex, New Delhi.
Theme: The theme is 'Strengthening Parliaments for People-Centric Development'.
Four pillars: The two-day Forum discusses four pillars: resilience, innovation, cooperation and sustainability.
Summit link: The BRICS Summit of Heads of State and Government in New Delhi, chaired by PM Modi, unanimously adopted a Joint Statement.
Modi's vision: PM Modi's vision is to make BRICS an 'ecosystem of solutions'.
Members at the meeting: Ten BRICS tax administrations took part: Brazil, China, Egypt, Ethiopia, India, Indonesia, Iran, Russia, South Africa and the UAE.
New working groups: Two India-led Working Groups were set up: International Taxation and Transfer Pricing, and Revenue Statistics. They will continue beyond the Chairship.
Host body: The meeting was hosted by the Central Board of Direct Taxes, Ministry of Finance.
Next tax-track Chair: China is the incoming Chair of the BRICS tax cooperation track for 2027.
Institutional outcomes: The Young Tax Professionals programme became an annual feature. The Tax Cross-Learning Lab was launched. Terms of Reference of the BRICS Tax Support Network were approved.
UN tax negotiations: India stressed that BRICS views matter in the negotiations on the UN Framework Convention on International Tax Cooperation.
Summit and host: The 18th BRICS Summit was held in New Delhi, with India as chair in 2026.
Outcome document: The summit adopted the New Delhi BRICS Leaders' Declaration, setting shared priorities and direction for BRICS cooperation.
Reform of the UN: India's PM called for greater representation in global institutions, especially the UN Security Council.
BRICS financial institutions: BRICS has the New Development Bank (HQ Shanghai) and the Contingent Reserve Arrangement.
Summit and theme: The XVIII BRICS Summit met in New Delhi on 12-13 September 2026. Its theme was Building for Resilience, Innovation, Cooperation and Sustainability.
UNSC reform stand: China and Russia reiterated support for the aspirations of Brazil and India to play a greater role in the UN, including its Security Council.
WTO dispute settlement: BRICS called for immediate restoration of a fully functioning two-tier binding WTO dispute settlement system and appointment of new Appellate Body members.
Share of global trade: BRICS accounts for nearly one-fourth of global trade, according to the Commerce Minister.
Intra-BRICS trade growth: Trade among BRICS countries rose from USD 84 billion in 2003 to nearly USD 1.2 trillion in 2024.
Strategy document: The BRICS Economic Partnership Strategy 2030 guides economic integration among members. The Jaipur Consensus was cited as a basis for a common BRICS mechanism to support MSMEs.
Startup and business bodies: India's Chairship has pushed the BRICS incubator network and the BRICS Startup Innovation Fund. The BRICS Business Council and the BRICS Women's Business Alliance bring business into the BRICS process.
Original members: The original BRIC grouping was Brazil, Russia, India and China. South Africa joined in 2010, making it BRICS.
India's earlier Chairships: India chaired BRICS in 2012, 2016 and 2021. The 2012 Delhi Summit proposed a development bank and laid the basis of the Contingent Reserve Arrangement.
Share of world: Members hold 49.5% of world population, 40% of global GDP and 26% of global trade.
Host office: The meeting was hosted by the Office of the Controller General of Patents, Designs and Trade Marks under DPIIT, Ministry of Commerce and Industry.
Main outcome: The meeting adopted Updated Operational Guidelines to guide result-oriented cooperation and joint efforts on global IP standards.
Patent cooperation study: Progress was noted on a study on reinforced patent examination cooperation to reduce backlogs and improve exchange of search results.
Traditional knowledge: The IP heads recognised the importance of protecting and preserving traditional knowledge and traditional systems of medicine.
Meeting: The 12th BRICS Environment Ministers' Meeting was held in New Delhi under India's 2026 Chairship, led by Environment Minister Bhupender Yadav.
Chairship theme: India's chairship redefines BRICS as 'Building Resilience and Innovation for Cooperation and Sustainability', with a people-centric approach and the spirit of 'Humanity First'.
Four priorities: The environment track priorities are sustainable lifestyles; afforestation, forest fire management and disaster resilience; circular economy; and adaptation.
Outcome: The meeting adopted the Joint Ministerial Statement by consensus. It has four Outcome Documents, and four Knowledge Compendiums were launched.
Outcome documents: They cover a network of institutions on sustainable lifestyles, landscape management against desertification, forest fire preparedness, and community-based climate adaptation.
Decision-making: BRICS works by consensus and has no secretariat or charter; the chair rotates annually.
BRICS CONNECT: An India-proposed platform for technical cooperation, knowledge exchange and capacity building among BRICS members, covering labour market intelligence, skills forecasting and social security.
Declaration priorities: The Declaration has four priorities: social security and formalisation, women's participation, employability and skills mapping, and digital technologies for all workers including gig and platform workers.
ILO occupations study: The ILO, with India and Brazil, is running a feasibility study on an International Reference Classification of Occupations; members are encouraged to join a pilot in Digital, Care and Green sectors.
Knowledge partners: ILO, the International Social Security Association and the UN Resident Coordinator's Office supported the technical deliberations.
Social protection coverage: ILO running estimates put India's social protection reach at 1 billion people.
Meeting and place: The 3rd BRICS Transport Ministers' Meeting was held in Nagpur, Maharashtra, on 11 July 2026 under India's chairship.
Working Group role: The Transport Working Group's senior officials finalised the agenda outcomes and the draft Declaration before ministers adopted it.
Declaration themes: The Declaration covers circularity in infrastructure, Sustainable Aviation Fuel, transport decarbonisation, urban mobility hubs, logistics supply chain cooperation and a BRICS Railway Research Network.
Decision by consensus: The Declaration was adopted unanimously, reflecting BRICS' consensus-based way of working.
Chair rotation: The BRICS chair rotates annually, and India will hand over these initiatives to the next chair.
New centre: The BRICS Digital Centre of Excellence for Smart Grids and Energy Storage was launched under the Energy Research Cooperation Platform. It is a voluntary platform for knowledge sharing and capacity building.
Guiding principles: The BRICS Guiding Principles on Smart Grids and Energy Storage were adopted.
Other bodies present: The International Solar Alliance, the Global Biofuels Alliance and the New Development Bank took part in the deliberations.
Energy Track theme: India's Energy Track theme was "Sarveshaam Urjam" (Energy for All), with three priorities: energy security, energy access and equity, and technology and innovation.
Indore Declaration: The BRICS agriculture ministers adopted the joint declaration unanimously. It covers food security, farmer welfare, climate-resilient farming, trade and digital agriculture.
BRICS weight in agriculture: BRICS has nearly half the world's population, about 42% of global agricultural land and about 42% of global foodgrain output (as stated by the Minister).
Digital Agriculture Network: A BRICS Network on Digital Agriculture will cover AI, geospatial technology and digital public infrastructure. IIT Delhi will coordinate it.
Agro-Ecology Centres of Excellence: A BRICS Network of Centres of Excellence on Agro-Ecology and Regenerative Agriculture was set up. India's centre is the Indian Institute of Farming Systems Research, Modipuram.
Seed forum and AgriN: A Global Forum on Farmers' Rights in Seed Systems and BRICS AgriN (Agro Inputs, Genetic Resources and Information Network) were announced.
Research platform: The existing BRICS Agricultural Research Platform is to be developed into a 'Knowledge-to-Action Hub'.

Don’t confuse with BRICS Summit vs BRICS Parliamentary Forum: The Summit is the leaders' executive-level meeting; the Parliamentary Forum is a meeting of legislature presiding officers and delegations.

Don’t confuse with Member vs partner countries: Members sign the declaration; partner countries are welcomed to take part in engagements but are a separate category.

Don’t confuse with BRICS tax track vs BRICS Summit: The Heads of Tax Authorities meeting is a sectoral track meeting under the Chair. The Summit is the leaders' annual meeting.

Don’t confuse with CBDT vs Department of Revenue: CBDT is a statutory body within the Department of Revenue. The Department sits in the Ministry of Finance.

Don’t confuse with New Development Bank vs Contingent Reserve Arrangement: The NDB funds infrastructure and sustainable development projects. The CRA is a liquidity backstop for members facing balance-of-payments pressure.

Don’t confuse with BRICS vs BRICS Plus/Partner countries: Members are the full BRICS grouping. Partner countries and Outreach/BRICS Plus invitees take part in engagements but are not full members.

Don’t confuse with BRICS vs New Development Bank: BRICS is the political-economic forum. The New Development Bank is its multilateral lender, headquartered in Shanghai.

Don’t confuse with BRICS Business Council vs BRICS Business Forum: The Business Council is a standing body of business leaders. The Business Forum is an event held during the Chairship.

Don’t confuse with Full member vs Partner Country: Full members (11) take part in the core structure. Partner countries such as Vietnam and Nigeria have a separate, structured engagement channel.

Don’t confuse with BRICS vs BIMSTEC: BIMSTEC is a Bay of Bengal regional grouping. It was invited to the 2016 Goa BRICS Outreach Summit but is a separate body.

Don’t confuse with IP BRICS vs WIPO: IP BRICS is a cooperation track among five or more member IP offices. WIPO is the UN agency that sets global IP rules and treaties.

Don’t confuse with Mission LiFE vs Ek Ped Maa Ke Naam: Mission LiFE promotes sustainable lifestyles and behaviour change. Ek Ped Maa Ke Naam is a tree-planting campaign. Both were cited as examples of public participation.

Don’t confuse with ILO vs ISSA: The International Labour Organisation is a UN specialised agency on labour standards. The International Social Security Association is a separate body of social security institutions.

Don’t confuse with BRICS vs BRICS+: BRICS refers to the core member grouping; 'BRICS+' is used for its wider outreach with partner and invited countries.

Don’t confuse with Ministerial Meeting vs Senior Officials' Meeting: Officials negotiate and finalise the text; ministers adopt it.

Don’t confuse with ISA vs GBA: The International Solar Alliance promotes solar energy. The Global Biofuels Alliance promotes biofuels. Both are India-backed bodies, and neither is a BRICS body.

Don’t confuse with NDB vs ERCP: The New Development Bank is the BRICS bank that finances projects. The Energy Research Cooperation Platform is a research and knowledge forum on energy.

Don’t confuse with Existing platform vs new networks: The Agricultural Research Platform is old and is being upgraded. The four networks and forums (agro-ecology centres, digital agriculture, seed rights forum, AgriN) are new.

Don’t confuse with Members vs partners: Delegates came from BRICS member and partner countries. Partner countries are not full members.

Why it matters

Parliamentary diplomacy adds a legislative layer to India's engagement with the Global South.
Shared positions on UN Security Council reform and terrorism, including the 22 April 2025 Pahalgam attack, support India's foreign policy goals.
Digital public infrastructure and AI cooperation let India share its technology model.
Parliamentary diplomacy adds a legislative layer to BRICS and helps turn summit commitments into laws and budgets.
It supports India's push to voice Global South concerns.
Permanent working groups let India shape BRICS positions on transfer pricing and tax data beyond its own year as Chair.
A common BRICS voice strengthens the Global South's say in global tax rules such as the UN tax convention talks.
Gives India a platform to push Global South concerns and UN Security Council reform.
Shows India's role in shaping multilateral rules through a non-Western-led grouping.
Gives the Global South a joint platform to push reform of the UN, IMF, World Bank and WTO.
Shows backing from China and Russia for India's UNSC aspirations.
Lets India shape agendas on health, digital public infrastructure, AI, disaster resilience and climate.
Gives India a platform to push for Global South priorities and a reformed multilateral trading system with the WTO at its core.
Supports India's export push in engineering goods, electronics and pharmaceuticals, and promotes UPI and digital public infrastructure abroad.
Gives India a platform to voice Global South concerns and push reform of the IMF, World Bank and WTO.
Chairing lets India set the agenda on practical cooperation such as digital public infrastructure, health, MSMEs and counter-terrorism.
The NDB and CRA offer alternatives to Western-led financing.
Shared IP cooperation helps members shape global IP standards and voice Global South concerns.
Work on GIs and traditional knowledge supports protection and commercialisation of such products in BRICS markets.
Lets India push Global South concerns on climate finance, adaptation and equity.
Shares India's community-based models such as Mission LiFE across emerging economies.
Shows India using its chair to push a Global South, people-centric labour agenda.
BRICS CONNECT moves cooperation from policy dialogue to practical capacity building.
Sectoral tracks like transport give India a chance to shape BRICS' agenda on sustainable infrastructure and logistics.
Cooperation on SAF and decarbonisation links trade and connectivity with climate goals.
Lets India push the Global South view that countries need policy space and their own energy pathways.
Showcases India's clean energy and biofuel leadership and builds cooperation on smart grids, storage and hydrogen.
Gives India agenda-setting power on food security and Global South farm concerns during its chairship.
Links research, digital tools and seed conservation to climate-resilient farming across a bloc with large farmland and foodgrain share.

Problems

Members hold different views, with several in tension (for example, over West Asia and sanctions), so declarations stay general and consensus-based.
Expanded membership dilutes cohesion and makes common positions harder.
Members differ in political systems and national priorities, so parliamentary outcomes stay non-binding and hard to turn into action.
Members differ in tax systems, capacity and geopolitical interests, which makes common positions hard.
BRICS outcomes are non-binding and depend on each chair's follow-through.
Members differ in interests and geopolitical positions, which makes consensus hard.
Expansion of membership can dilute focus and cohesion.
Consensus is hard in a larger BRICS with diverse and sometimes conflicting interests.
India and China differ on some issues, and a BRICS stance on de-dollarisation and sanctions can strain India's ties with the West.
Many outcomes are voluntary and non-binding, so follow-through is uneven.
Non-tariff measures and regulatory barriers raise export costs and limit intra-BRICS trade.
Members differ in size, interests and geopolitics, which makes consensus on common payment or currency mechanisms hard.
A larger, more diverse membership makes consensus harder, as members have differing interests and rivalries.
Divergent positions among members, for example India and China, limit common stands on issues like terrorism and UN reform.
Most cooperation is voluntary and non-binding, so delivery depends on follow-through.
Members differ in IP regimes and in priorities, such as public health access versus patent protection.
Backlogs and uneven examination capacity slow cooperation.
Outcome documents are consensual and non-binding, so implementation depends on members.
Members differ on climate finance, energy transition and emission priorities.
The Declaration is non-binding; social protection expansion is left to nationally determined levels.
Members differ widely in labour markets and capacity, making common standards hard.
Consensus-based declarations are often broad and non-binding.
Members differ in economic structure and priorities, which makes implementation uneven.
BRICS members differ in energy mix and interests, so outcomes are consensus-based and voluntary.
The new centre is voluntary and non-binding, so impact depends on member participation and funding.
BRICS declarations are non-binding, so implementation depends on members' will and funding.
Members differ on trade, subsidies and seed or intellectual property rules, which may slow the Grain Exchange and seed forum.

Way forward

Turn declarations into concrete work such as the digital public infrastructure repository and pilot projects.
Use the IPU and the 2027 Chinese chairship to carry forward Global South priorities, while managing differences through consensus.
Use legislatures' oversight and budget roles to track Joint Statement commitments, and share best practices among parliaments.
Continue the work through the working groups and hand over smoothly to China in 2027.
Use shared tools such as peer learning and the Support Network to build capacity in member tax administrations.
Focus on concrete, deliverable outcomes such as capacity building and the proposed seafarers network.
Build consensus on institutional reform through coordinated positions in the UN and other forums.
Turn declarations into funded, time-bound projects through the NDB and working groups.
Use the chairship to link BRICS positions with G20 and other fora for reform.
Keep a balanced stance, including local-currency payments without hurting multilateral ties.
Simplify regulatory procedures, speed up customs clearance and recognise professional qualifications.
Link payment systems step by step and expand local-currency settlement.
Strengthen institutional mechanisms and turn declarations into funded, time-bound projects.
Settle a clear rotation formula and criteria for members and partners.
Use the Chairship to build consensus on reformed multilateralism and local-currency trade.
Use patent examination cooperation and shared search results to cut backlogs.
Review projects periodically so cooperation continues across chairships.
Turn principles into funded joint projects, training and technology exchange.
Track delivery through the knowledge network and the next chair's agenda.
Turn BRICS CONNECT into funded, time-bound programmes with measurable outcomes.
Extend the occupation classification pilot and share India's digital platforms such as e-Shram with partners.
Convert declaration themes into funded joint projects, such as the Railway Research Network.
Ensure continuity by handing over initiatives to the next chair with clear timelines.
Turn the guiding principles into pilot projects and shared standards.
Use the NDB and other bodies for affordable financing of clean energy in developing economies.
Set timelines, funding and national focal institutions for each network.
Link the networks to existing national schemes and farmer groups so that research reaches small farmers.

Put in your answer

Counter-terrorism stance: The declaration condemns the 22 April 2025 attack in Jammu and Kashmir and calls for zero tolerance and no double standards.

UN reform: Members support comprehensive UN reform, including the Security Council, to make it more representative.

Digital public infrastructure: A proposal to launch a DPI repository and pilot projects for BRICS countries was noted.

Institutional continuity: India-led working groups and an annual training programme show how a chair can leave lasting mechanisms in BRICS.

Global South rule-shaper: The PM said BRICS can train young diplomats and policymakers from the Global South in negotiation skills and legal expertise, so they move from rule-taker to rule-shaper.

Partnership, not privilege: The PM urged turning the pyramid of privilege into a platform of partnership in global governance.

Terrorism stand: The Declaration condemns the 22 April 2025 terrorist attack in Jammu and Kashmir, which killed 26 people, and rejects double standards on terrorism.

IMF quota reform: BRICS urged the 16th General Review of Quotas increases to take effect and quota realignment under the 17th review.

Opposition to unilateral sanctions and CBAM: BRICS opposes unilateral measures such as carbon border adjustment mechanisms.

Non-tariff barriers: Non-tariff measures impose higher export costs than tariffs for 88 per cent of countries. Useful to argue for regulatory simplification.

IP BRICS projects: New projects include an IP Awareness Series, a FinTech Innovation Monitor and a Industrial Property Commercialisation Forum, plus work on IP policies for public health.

India's new NDC: India's new Nationally Determined Contribution for 2031-2035 was cited as combining climate action with inclusive development and energy security.

Mission LiFE and Ek Ped Maa Ke Naam: Cited as examples of combining ecological restoration, public participation and community ownership.

Labour Codes: India merged 29 labour laws into four Labour Codes in November 2025, cited as a worker-centric reform.

e-Shram: The portal gives unique identification and benefit access to over 317 million registered unorganised workers.

BRICS Transport Declaration 2026: Example of India using its chairship to push sustainable transport themes such as SAF, decarbonisation and logistics.

India's solar growth: Solar capacity rose from about 3 GW in 2014 to over 154 GW, per the Power Minister.

India's energy targets: India aims for over 400 GWh of energy storage by 2032 and 100 GW of nuclear capacity by 2047.

BRICS share of agriculture: About 42% of global farmland and foodgrain production, and nearly half the world's population, as stated by the Minister.

Seed rights forum: The Global Forum on Farmers' Rights in Seed Systems focuses on protecting farmers' seed rights and indigenous seed diversity.

Test yourself

True or false?

1 of 28

Statements the way Prelims prints them. Say first, then see the fact.

1.BRICS cooperation rests on four pillars, including a separate defence pillar.
2.India hosted the 18th BRICS Summit in September 2026.
3.Russia is to chair BRICS in 2027.
4.The declaration takes note of a proposal to set up a BRICS Plus geopolitical group within the Inter-Parliamentary Union, put forward by India.
5.The BRICS Counter-Terrorism Working Group operates through five subgroups.
6.The BRICS chair rotates every five years.
7.The XVIII BRICS Summit was held in New Delhi in September 2026.
8.The Declaration says BRICS cooperation rests on two pillars: political and security, and economic and financial.
9.China and Russia reiterated support for Brazil's and India's aspirations to play a greater role in the UN, including its Security Council.
10.India will chair BRICS in 2027 and host the XIX Summit.
11.BRICS called for restoring a two-tier binding WTO dispute settlement mechanism and appointing new Appellate Body members.
12.The Declaration supports Ethiopia's and Iran's bid for accession to the WTO.
13.The Declaration welcomes India's Chairship of the Kimberley Process in 2026.
14.The New Development Bank is headquartered in New Delhi.
15.The BRICS Presidency rotates annually according to the alphabetical order of member countries' names.
16.Indonesia joined as the eleventh full member of BRICS in January 2025.
17.The Partner Country category gives partner countries full membership rights in BRICS.
18.The acronym 'BRIC' was coined in 2001 by Goldman Sachs.
19.The New Development Bank has its headquarters in New Delhi.
20.The Contingent Reserve Arrangement is meant to give short-term liquidity support to members facing financial instability.
21.The 13th BRICS Summit, hosted by India in 2021, was held in person in New Delhi.
22.The Indore Declaration was adopted unanimously by the BRICS agriculture ministers.
23.The BRICS Network on Digital Agriculture will be coordinated by the Indian Council of Agricultural Research headquarters in New Delhi.
24.The Indian Institute of Farming Systems Research, Modipuram, is India's Centre of Excellence under the new BRICS agro-ecology network.
25.BRICS countries together hold about 42 per cent of global agricultural land, according to the Union Minister.
26.The BRICS Agricultural Research Platform was newly created at the Indore meeting.
27.The chair of BRICS rotates every year and sets the agenda for that year.
28.The BRICS Grain Exchange was formally established at the Indore meeting.

Written by us from the release, not by UPSC; checked by a second model.

Source: PIB, Ministry of Labour & Employment, 15 Jul, 17:29 IST · Release 291268

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Economy

Coal Exchanges in India

GS3 Economy / EnergyPrelims and Mains

Why in news: On 15 July 2026, Coal Minister G. Kishan Reddy launched an online portal in New Delhi to accept applications for registering Coal Exchanges. It was launched at the curtain raiser for Indian Mining Week 2026.
What it is: The Coal Exchange Rules, 2026 are subordinate rules under the Mines and Minerals (Development and Regulation) Act, 1957. They set up a regulated framework for online exchanges where coal, lignite and processed forms are traded through delivery-based contracts. They fix registration, governance, price discovery, surveillance and risk safeguards.

Regulator: The Coal Controller Organisation is the Authority that registers and regulates coal exchanges.
Settlement Guarantee Fund: Each exchange runs a Settlement Guarantee Fund managed by an independent committee, with at least 50% in safe, liquid instruments.
Regulator's powers: The Authority has powers of intervention, interim orders and inspection, and watches for manipulation, cartelization, insider trading and abuse of dominant position.
Who can trade: Any entity, including captive and commercial miners and small and medium non-regulated sector consumers, can trade.
Legal basis: Coal exchanges are enabled by the MMDR Amendment Act, 2025, which introduced Mineral Exchanges.
Rules: The Ministry of Coal notified the Coal Exchange Rules, 2026 to govern establishing and operating exchanges.
Validity: A registration stays valid for 25 years.
Safeguards: Exchanges offer price discovery, quality assurance through approved sampling agencies, market surveillance, and clearing and settlement backed by a settlement fund.
Fee payment: Application fees are paid through the BharatKosh Portal.
Parent law: The 2025 amendment to the MMDR Act introduced the concept of a Mineral Exchange and empowered the Centre to promote transparent trading of minerals, including coal.
Registration term: Registrations will be granted for 25 years.
Market model: The shift is from a one-to-many sales model to a many-to-many trading platform.
Who gains access: Commercial and captive miners get access to a wider pool of buyers, and public sector coal companies can also use the platform.

Don’t confuse with Coal Controller Organisation vs Coal India Ltd: The CCO is a regulatory and statistical office under the Ministry of Coal. Coal India Ltd is a public sector producer of coal.

Don’t confuse with Coal exchange vs e-auction: An exchange is a regulated platform for trading delivery-based coal contracts among many buyers and sellers. An e-auction is a sale route run by a coal seller.

Don’t confuse with Coal Controller Organisation vs Ministry of Coal: The Ministry of Coal makes the rules. The CCO, a body under the Ministry, is the authority to register and regulate exchanges.

Economy terms and data: 42 Prelims questions since 2013, rising in recent years; they test what a term or instrument means. In Mains, 12 news-triggered questions.

Why it matters

Transparent price discovery can reduce opacity in coal pricing and widen market access for small and medium consumers.
An independent regulator with surveillance powers can help curb cartelization and manipulation.
Market-based price discovery and transparent trading can improve efficiency in the coal market.
It can attract private participation and improve supply-chain resilience, supporting energy security.
Transparent price discovery and wider buyer access can improve efficiency in coal marketing.
Supports energy security and ease of doing business through a more competitive coal market.

Problems

The regulator is a government organisation, which raises questions about independence and capacity for market oversight.
Quality variation in coal complicates standard contracts and price adjustment.
A new market needs enough buyers, sellers and liquidity, and trust in quality checks and settlement.
Coal pricing and supply are dominated by a few large producers, so competition and market manipulation need watching.
Thin initial trading volumes and the dominance of public sector producers may limit real price discovery.
Regulatory oversight is needed to prevent price manipulation and to manage risk.

Way forward

Build strong quality certification and sampling systems so that price adjustment is trusted.
Review regulatory capacity and transparency once the first exchange begins trading.
Enforce strong surveillance, sampling and settlement safeguards through the regulator.
Phase in participation and review rules as the first exchanges start operating.
Build strong surveillance and risk safeguards, with clear bye-laws for exchanges.
Phase in participation and link the exchange gradually with existing sales channels.

Put in your answer

Market safeguards: The Rules require a surveillance department, an automated audit trail, a disaster recovery site and a grievance redressal forum.

MMDR Amendment Act, 2025: It introduced the Mineral Exchange concept, a legal basis for market-based mineral trading that can be cited as a reform example.

Many-to-many model: Use the shift from one-to-many to many-to-many trading as an example of market reform in the energy sector.

Test yourself

Source: PIB, Ministry of Coal, 15 Jul, 20:03 IST · Release 291283

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Economy

Critical and Strategic Mineral Blocks auctions

GS3 Economy / MiningPrelims and Mains

Why in news: On 15 July 2026, the Ministry of Mines launched the Eighth Tranche of e-auction of 20 Critical and Strategic Mineral Blocks at the curtain raiser of India Mining Week 2026.
What it is: The Critical and Strategic Mineral Blocks auctions are tranche-wise e-auctions of mineral blocks run by the Ministry of Mines with State governments. They aim to build domestic supply of minerals needed for clean energy, electronics and defence, and to cut import dependence. Blocks are offered as Composite Licences (exploration plus mining) or Mining Leases.

Tranche size: The 8th Tranche has 20 mineral blocks: 17 Composite Licence blocks and 3 Mining Lease blocks, across nine States.
Auction record so far: 88 critical and strategic mineral blocks have been offered, and 56 have been successfully auctioned.
Minerals on offer: Blocks include graphite, rare earth elements, vanadium, gallium, titanium, molybdenum, tungsten, potash, phosphorite and glauconite.
Exploration support: The NMEDT scheme partially reimburses exploration expenses of Composite Licence holders.
Unified Mining Portal: The portal is meant to ease doing business and coordinate Centre and States for faster approvals and operationalisation.
Legal basis: Auctions of mineral blocks are conducted under the Mines and Minerals (Development and Regulation) Act, 1957, as amended in 2015 and 2023.
Size of the eighth tranche: 20 blocks are on offer: 13 newly identified and 7 under the Second Attempt.
Cumulative progress: Across all tranches, 88 critical mineral blocks have been offered and 56 auctioned so far, as stated by the Ministry's Secretary.
Auction method: Online two-stage ascending forward auction. The preferred bidder is the one quoting the highest percentage of the value of mineral dispatched.
Total auctioned: 56 critical and strategic mineral blocks have been auctioned out of 88 unique blocks taken up by the Centre, a success rate of over 63%.
Seventh Tranche: The NIT was issued on 23 March 2026 offering 19 blocks. Ten were auctioned, with first-time blocks in Gujarat, Uttarakhand and Telangana.
Exploration Licence: The second EL tranche extended the framework to Arunachal Pradesh, Uttar Pradesh and Odisha for the first time. Cumulative EL blocks auctioned by the Centre are 11.
Minerals in tranche: The Seventh Tranche included graphite, rare earth elements, vanadium, titanium, glauconite and rock phosphate.
Who gets the revenue: Auction revenue goes to the State Governments where the blocks lie, even though the Centre conducts the auction.
Insurance Surety Bond: The Mineral (Auction) Amendment Rules, 2026 allow an Insurance Surety Bond as an alternative to bank guarantees.
Post-auction timelines: The Mineral (Auction) Second Amendment Rules, 2025 streamlined the timelines for performance security, upfront payment and Letter of Intent.

Don’t confuse with Composite Licence vs Mining Lease: A Composite Licence covers both exploration (prospecting) and mining; a Mining Lease is for mining in an already explored block.

Don’t confuse with NMET vs NMEDT: The National Mineral Exploration Trust (NMET) funds exploration; the release names the NMEDT scheme for partial reimbursement of exploration costs for Composite Licence holders. Check the exact name when it is asked.

Don’t confuse with Exploration Licence vs Composite Licence: An Exploration Licence is for exploration of critical and deep-seated minerals. A Composite Licence covers both exploration and mining in one grant.

Don’t confuse with Mining Lease vs Composite Licence: A Mining Lease allows mining of a block that is already explored. A Composite Licence covers exploration first and then mining in one grant.

Don’t confuse with Forward vs reverse auction: In a forward auction, bidders compete upward, as here on the percentage of value of mineral dispatched. In a reverse auction, bidders compete downward on price.

Economy terms and data: 42 Prelims questions since 2013, rising in recent years; they test what a term or instrument means. In Mains, 12 news-triggered questions.

Why it matters

Builds domestic supply of minerals for clean energy, electronics and strategic industries, reducing import dependence.
Brings in private investment and State participation through transparent e-auctions.
Builds domestic supply of minerals for clean energy, electronics and defence, cutting import dependence.
Draws private investment and brings in State revenue through auction premiums.
Builds domestic supply of minerals needed for clean energy, electronics and defence, cutting import dependence.
Opens new states to exploration and draws private and public sector participation.
Builds domestic supply of minerals for clean energy, electronics and defence, and cuts import dependence.
Gives States revenue and draws private investment into exploration and mining.

Problems

Many auctioned blocks are slow to start production; 32 of the 88 offered blocks were not auctioned.
Moving from mining to processing and refining needs technology and supply chain capacity.
Many blocks go unsold, so a Second Attempt is needed: 56 of 88 auctioned.
Exploration risk, environmental and forest clearances, and local community concerns can delay mining.
Only about 63% of blocks offered found bidders, so some blocks stay unsold.
Auctioning a block does not ensure quick production, since clearances, exploration risk and processing capacity remain hurdles.
Limited availability and geographical concentration of critical minerals make supply chains fragile.
Blocks can stay unoperationalised because of delays in clearances, so auctions may not turn into output.

Way forward

Speed up clearances through the Unified Mining Portal and regular Centre-State reviews.
Link exploration support and auctions to processing, refining and value addition.
Do more exploration so that blocks come with better data and draw more bids.
Pair mining with processing, refining and recycling to build the full value chain.
Strengthen exploration data, and processing and refining capacity along with auctions.
Speed up clearances and give states a clear role, in line with the National Critical Mineral Mission.
Speed up post-auction approvals and keep simplifying auction rules.
Pair auctions with exploration, processing and recycling capacity.

Put in your answer

Value chain push: Officials stress moving beyond mining to processing, refining and value addition for resilient supply chains.

Auction progress: 88 critical mineral blocks offered across tranches, 56 auctioned: a data point on the reform's uptake and its limits.

Rare metal block: A West Bengal block offers lithium, cesium and rubidium, relevant to battery supply chains.

National Critical Mineral Mission: The auctions are cited as supporting the National Critical Mineral Mission's aim of cutting import dependence and building a pipeline of assets.

MMDR Act amendment, 2023: The amendment notified 24 critical and strategic minerals and enabled Central auctions of their leases and licences.

No practice question for this one; the card may still help an answer. Why: Lasting topic already on file; tranche launch adds little testable detail.

Source: PIB, Ministry of Mines, 15 Jul, 20:55 IST · Release 291287

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Quick facts

CCEA approved a 43.218 km Varuna riverbank elevated corridor in Varanasi under Hybrid Annuity Model at Rs 10,998.32 crore, to be built by NHAI.
PLFS June 2026: overall LFPR 54.4%, WPR 51.4%, unemployment rate 5.5% (15+ years).
BRCP Phase-III launched with Rs 1,500 crore: Rs 1,000 crore from DBT and Rs 500 crore from Wellcome Trust.
PM to flag off India's first hydrogen train between Jind and Sonipat on 17 July 2026.

Source: PIB, 15 Jul

What we left out: 46 of 58 releases

Routine results and recruitment (1)
Ceremonies and campaigns (13)
Routine MoUs (6)
Speeches without a decision (5)
Same issue as another release (10)
Routine project approvals (3)
Routine data and features (1)
Research findings, no syllabus line (1)
Routine tenders (1)
Feature explainers (1)
Visit schedules and meetings (2)
Routine service updates (1)
Routine portal launches (1)

Practise the day’s news

In UPSC’s formats, inside each issue. The answer and why come after you choose.

1Semicon 2.0 (India Semiconductor Mission)MCQ · 19 true or false · Mains
2India-UK Comprehensive Economic and Trade Agreement (CETA)MCQ · 12 true or false · Mains
3Mobile Phone Manufacturing Scheme (MPMS)MCQ · 10 true or false · Mains
4National Investment Policy for Urea (NIPU-2026)MCQ · 4 true or false
5Shipbuilding Financial Assistance Scheme and Maritime Development FundMCQ · 7 true or false
6BRICS and India's 2026 ChairshipMCQ · 28 true or false · Mains
7Coal Exchanges in IndiaMCQ · 7 true or false

Mains question of the day

15 marks · 250 words

On 15 July 2026 the Union Cabinet approved Semicon 2.0 with an outlay of Rs.1,27,500 crore, as the next phase of the India Semiconductor Mission. Discuss the main features of the scheme and critically examine the challenges India faces in building a complete domestic semiconductor ecosystem.

From: Semicon 2.0 (India Semiconductor Mission)

Write and get it marked

Keep reading

The day before

Tuesday, 14 July 2026India-Australia Civil Nuclear Cooperation Agreement · India-Maldives Free Trade Agreement · Codex Alimentarius Commission and 5 more

The day after

Thursday, 16 July 2026Corporate Average Fuel Economy (CAFE) Norms · UDAN (Ude Desh ka Aam Nagrik) · NITI Aayog Roadmap for Bioeconomy Powerhouse by 2035 and 5 more

All days

Practice · 7 Mains question