Blue Economy for development of the global south

(MAINS GS 3:Indian Economy and issues relating to planning, mobilization, of resources, growth, development and employment.)

Context:

• India’s taking over the G20 presidency from Indonesia is significant because it makes India the middle of the triad (Indonesia, India, and Brazil) from the global south to preside over the G20. 
• It is up to the Indian presidency therefore to highlight the significance of the BE from the global south perspective.

Reinforced  Blue Economy (BE):

• The Blue Economy (BE) imperative for the Indian G20 Presidency gets reinforced by the fact that the BE has a separate connotation for the global south, as compared to the global north.
• The global importance of the BE can be gauged from the fact that 80 per cent of world trade happens using the seas, 40 per cent of the world’s population live near coastal areas, and more than 3 billion people access the oceans for their livelihood. 
• The value of the “natural capital” of the BE is estimated at around USD 25 trillion, with the annual value of produced goods and services estimated to be US $2.5 trillion per year, equivalent to the world’s seventh largest economy in gross domestic product (GDP) terms.

Oceans for the global south:

• The importance of the oceans for the global south can be understood from the roles it plays in human livelihoods, through the provisioning of the various ecosystem services on which the coastal community is dependent.
• The Millennium Ecosystem Assessment talks of the services provided by the blue economy through the organic functioning of its natural ecosystem. 
• These can be classified as provisioning services (fisheries, building materials, food, etc), regulating services (carbon sink and carbon sequestration, erosion prevention, extreme event moderation, etc) cultural services (tourism, recreational, aesthetic, and spiritual benefits) and supporting services (life-cycle maintenance for both fauna and local, element and nutrient cycling).

GDP of the poor:

• The Economics of Ecosystems and Biodiversity (TEEB) termed these ecosystem services as “GDP of the poor” as the majority of the poor’s livelihoods and incomes are drawn from the ecosystem services. 
• Apart from that, the ocean being the next big economic frontier, with rapidly growing numerous ocean-based industries, it is poised to be the future growth driver of the global south through activities like wind energy, offshore aquaculture, seabed mining and marine genetic biotechnology.
•  It needs to be kept in mind that South Asia has been a major contributor to the global food basket through its fisheries sector, with the artisanal fisheries in the Bay of Bengal region contributing more than 80% of marine fish production.

An opportunity:

• Given the global importance of the BE, and more so for the vulnerable ocean-dependent communities for the global south, India’s G20 Presidency brings about the unique opportunity to prioritise the BE for the purpose for growth, green economy and social equity.
• There is a concern that without the elaboration of specific principles or guidance, national blue economies, or sustainable ocean economies, are likely to focus on the pursuance of economic growth, with little attention paid to environmental sustainability and social equity. 
• India’s engagement in the Blue Economy has been rising, with its active involvement in international and regional dialogues on the Blue Economy, maritime and marine cooperation.

Conclusion:

• PM Modi’s call for LIFE (Lifestyle for the Environment) at COP26 in Glasgow becomes extremely important. 
• This is for the very important provisioning, supporting and regulating services that form the basis of human survival that the G20 under Indian Presidency should seriously take up the conservation of the marine and coastal ecosystems.