Daily Current Affairs- 9th May 2025

Daily Current Affairs- 9th May 2025

Delivery of ‘INS Arnala’ – First Anti-Submarine Warfare Shallow Water Craft to the Indian Navy

In the News: On May 8, 2025, Garden Reach Shipbuilders & Engineers (GRSE) delivered 'INS Arnala', the first of eight Anti-Submarine Warfare Shallow Water Crafts (ASW SWCs), to the Indian Navy. This marks a significant advancement in India's indigenous naval capabilities.

Key Points:

• Strategic Role: INS Arnala is designed for full-scale sub-surface surveillance in coastal waters, capable of search and attack missions, and can conduct coordinated anti-submarine operations with aircraft.
• Design and Construction: Measuring 77.6 meters in length and 10.5 meters in width, the vessel was constructed through a public-private partnership between GRSE and Larsen & Toubro's Kattupalli shipyard in Tamil Nadu.
• Indigenous Content: The ship boasts nearly 88% indigenous content, aligning with the 'Aatmanirbhar Bharat' initiative to promote self-reliance in defence manufacturing.
• Operational Capabilities: Equipped with a combat management system, lightweight torpedoes, and anti-submarine warfare rockets, INS Arnala enhances the Navy's coastal defense and anti-submarine warfare capabilities.
• Fleet Expansion: This delivery is part of a larger initiative to build 16 ASW SWCs, with GRSE constructing eight and L&T responsible for the remaining eight, aiming to replace the aging Abhay-class corvettes.
• Recognition: GRSE received the Raksha Mantri's Award in 2022 for designing INS Arnala, recognized as the 'most silent ship' in its class. 

Competition Commission of India (Determination of Cost of Production) Regulations, 2025

In the News: On May 6, 2025, the Competition Commission of India (CCI) notified the "Determination of Cost of Production Regulations, 2025," replacing the 2009 framework. These regulations aim to enhance the assessment of predatory pricing and deep discounting practices, particularly in the e-commerce and quick-commerce sectors.

Key Highlights:

• Objective: To provide a flexible, sector-agnostic framework for determining production costs, enabling the CCI to effectively evaluate alleged predatory pricing by dominant enterprises.
• Cost Benchmarks:
  • The default measure is the Average Variable Cost (AVC), serving as a proxy for marginal cost.
  • In specific cases, the CCI may consider alternative cost concepts such as:
    • Average Total Cost (ATC)
    • Average Avoidable Cost
    • Long-Run Average Incremental Cost (LRAIC)
  • These alternatives depend on the nature of the industry, market dynamics, and technology involved.
• Definitions Clarified:
  • LRAIC: Now includes all variable and fixed costs, including sunk costs, directly or indirectly attributable to production. For multi-product enterprises, it encompasses a proportionate share of common costs.
  • Total Cost: Explicitly includes depreciation while excluding financial overheads to ensure consistent cost measurement.
• Expert Engagement: The CCI or the Director General may engage suitable experts for cost determination. Parties to proceedings can also request expert involvement, bearing the associated costs.
• Exclusion of Market Value: The CCI clarified that market value, reflecting external factors like consumer willingness to pay, is not a valid cost benchmark for assessing predatory pricing. 

Kartarpur Corridor Closed After Indian Strikes Under 'Operation Sindoor'

In the News: The Kartarpur Corridor, a vital visa-free passage for Sikh pilgrims between India and Pakistan, was closed following India's precision strikes on terrorist camps in Pakistan and Pakistan-occupied Kashmir (PoK) under 'Operation Sindoor'.

Key Points:

• Immediate Closure: The corridor at Dera Baba Nanak in Punjab's Gurdaspur district was shut down on May 7, 2025, shortly after India's military action. Approximately 100 pilgrims who had arrived to cross over were advised to return due to the prevailing security situation.
• Indefinite Suspension: Foreign Secretary Vikram Misri confirmed that services of the Kartarpur Sahib Corridor have been suspended until further notice, citing heightened tensions along the India-Pakistan border and concerns over potential misuse of the corridor by anti-India elements.
• Background: The closure follows the April 22 Pahalgam terror attack, which resulted in 26 fatalities. In response, India launched 'Operation Sindoor' targeting nine terrorist camps in Pakistan and PoK.
• Pilgrimage Impact: The Kartarpur Corridor, inaugurated in 2019, allows up to 5,000 Indian pilgrims daily to visit the Gurdwara Darbar Sahib in Pakistan. The suspension affects numerous devotees who utilize this corridor for religious purposes. 

India and Chile Sign Terms of Reference for Comprehensive Economic Partnership Agreement (CEPA)

In the News: India and Chile signed the Terms of Reference (ToR) to initiate negotiations for a Comprehensive Economic Partnership Agreement (CEPA). This agreement aims to deepen and broaden the existing economic ties between the two nations by expanding cooperation into new sectors beyond the current Preferential Trade Agreement (PTA) established in 2006.

Key Highlights:

• Objective: The CEPA seeks to build upon the existing PTA by encompassing a wider range of sectors, including digital services, investment promotion and cooperation, Micro, Small, and Medium Enterprises (MSMEs), and critical minerals. This expansion is intended to enhance economic integration and cooperation between India and Chile.
• First Round of Negotiations: The initial round of CEPA negotiations is scheduled to take place from May 26 to 30, 2025, in New Delhi.
• Signatories: The ToR was signed by Juan Angulo, Ambassador of Chile to India, and Vimal Anand, Joint Secretary in the Department of Commerce and Chief Negotiator for India-Chile CEPA from the Indian side.
• Background: India and Chile have shared a robust economic relationship, marked by the signing of a Framework Agreement on Economic Cooperation in January 2005 and a PTA in March 2006. The PTA was expanded in September 2016 and became effective in May 2017. From 2019 to 2021, both countries held three rounds of negotiations to further expand the PTA. The decision to move towards a CEPA was based on the recommendations of a Joint Study Group (JSG) formed under the 2005 Framework Agreement, with the JSG report finalized and signed on April 30, 2024. 

United Nations Forum on Forests (UNFF20)

In the News: The 20th session of the United Nations Forum on Forests (UNFF20) convened at the UN Headquarters in New York from May 5 to 9, 2025. Delegates from around the world gathered to assess progress on the UN Strategic Plan for Forests 2017–2030 and to accelerate actions toward achieving the six Global Forest Goals (GFGs)

• Collaborative Efforts: The Collaborative Partnership on Forests (CPF), comprising 16 international organizations, presented its 2025–2028 workplan, emphasizing coordinated actions to advance GFGs.
• India's Participation: Forest Conservation Achievements: India reported a consistent increase in forest and tree cover, now encompassing 25.17% of its geographical area. Key initiatives include:
  • Afforestation of over 1.55 lakh hectares under the Green India Mission.
  • A 7.86% increase in mangrove cover over the past decade.
  • Plantation of 1.4 billion seedlings under the "Ek Ped Maa Ke Naam" campaign.
• International Big Cat Alliance (IBCA): India invited UN Member States to join the IBCA, aiming to support conservation of the seven big cat species through joint research, knowledge exchange, and capacity-building.
• Country-Led Initiative (CLI): India called for global action on outcomes from the CLI hosted in Dehradun in October 2023, focusing on forest fire management and forest certification.
• Valuing Ecosystem Services: India shared findings from pilot studies in Uttarakhand, Rajasthan, and tiger reserves, quantifying ecosystem services like carbon sequestration and water provisioning. The studies utilized frameworks such as the System of Environmental-Economic Accounting (SEEA) and the Millennium Ecosystem Assessment (MEA). 

IPL 2025 Suspended Amid Escalating Indo-Pak Tensions

In the News: On May 9, 2025, the Board of Control for Cricket in India (BCCI) announced the suspension of the Indian Premier League (IPL) 2025 for one week due to escalating military tensions between India and Pakistan. This decision follows recent cross-border conflicts and security concerns affecting the tournament's operations.

Key Points:

• Immediate Suspension: The BCCI suspended the IPL 2025 season with immediate effect, citing national security concerns and the safety of players, staff, and spectators. The decision was made after consultations with franchisees, broadcasters, and other stakeholders.
• Security Incidents: A match between Punjab Kings and Delhi Capitals was abandoned mid-play due to a power outage at the Himachal Pradesh Cricket Association Stadium in Dharamshala, a venue close to the India-Pakistan border. The outage occurred amidst rising regional tensions, leading to safety concerns.
• Player Repatriation: Following the suspension, franchises are coordinating the safe return of players. Indian players are returning home, while overseas players are being assisted in leaving the country. Notably, Australian players and coaches, including Pat Cummins and Ricky Ponting, have begun departing India amid the unrest.
• Impact on Tournament Schedule: The suspension affects the remaining 12 league matches and four playoff games originally scheduled to conclude by May 25. The BCCI is exploring options to reschedule the remaining fixtures, possibly in September, depending on the geopolitical situation.