India

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  • Created by: ZodiacRat
  • Created on: 08-04-15 12:19

KQ2 – Introduction

  • India has a population of over 1 billion people.
  • It has one of the fastest growing economies.
  • It is experiencing rapid growth and has more people in poverty than in any other country.
  • Its economy is the 10th largest by nominal GDP.
  • Its economic growth rate was 5% in 2012/13.
  • In comparison, the UK’s growth rates was 3.2%.
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Call centre employment

  • Employees earn £3000/year.
  • 2-hour commute to work.
  • Employees take on British names to make communication easier.
  • People are motivated, keen, proud, eager to work.
  • Employees receive training in British culture.
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Entertainment industry

  • Bollywood is the informal term used for the Hindi-language film industry based in Maharashtra, Mumbai.
  • Bollywood films are now multi-million dollar productions.
  • Thousands of jobs have been created around the industry: actors, camera work, lighting, sound, costume, choreography, etc.
  • They sell more films than Hollywood.
  • Films produced in 2002: Hollywood = 739, Bollywood = 1013.
  • Tickets sold in 2002: Hollywood = $2.6bn, Bollywood = $3.6bn.
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Infrastructure

  • 700 million do not have access to a connected toilet.
  • This is a potential disease time bomb in rapidly expanding cities.
  • These issues are potential barriers to India’s progress, the most urgent issue is power.
  • Power cuts caused by demand outstripping supply lasted up to 24 hours in 2012 and plunged 300 million people into darkness.
  • Industrial output is restricted – companies have to shut down for a few hours each day.
  • Peak electricity demand in 2007/08 was 15% higher than supply.
  • The World Bank estimated in 2004 that 60% of small/medium businesses had their own generators, adding to costs but increasing reliability.
  • 60% have to access to electricity, especially in rural areas.
  • Water supply is another issue.
  • The lack of investment means people face shortages towards the end of the dry season when reservoirs and rivers are low.
  • Many places extract groundwater, but this is unsustainable and the water table is falling rapidly.
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Retailing

  • Mumbai is a buzzing metropolis.
  • It has a thriving middle class of 300m people with growing disposable incomes.
  • It is set to become the 5th largest consumer market, with luxury malls and international brands.
  • Credit cards were introduced in 2000, which allows people to get mortgages and borrow money.
  • Salaries have increased: 30-100% increase in annual wage.
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Service/financial industries

(Outsourcing: when an element of a business is contracted out to a service provider.)

  • 50% of India’s GDP comes from services
  • Outsourcing has been one of the keys to India’s success, as it has focused on call centres, back-office administrative work and software development. 
  • Often a TNC outsources to India and later ‘spins-off’ the outsourced business, and run by a local company.
  • 1990sBritish Airways and American Express transferred call centres and administrative functions to New Delhi.
  • There has been a flood of outsourcing from Aviva, Axa, Accencure, Dell and Lloyds TSB in the past decade.
  • By 2004, large Indian IT services companies like Infosys and Wipro had emerged, which take on the back-office functions for TNCs (BPO).
  • IT outsourcing was estimated to employ 700,000 workers in 2008.
  • Annual growth rates have been 35% in recent years.
  • India makes up 40% of the global market in IT outsourcing. 
  • Software service exports increased by 57% in 2000-2001.
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IT outsourcing

(Outsourcing: when an element of a business is contracted out to a service provider.)

  • 50% of India’s GDP comes from services
  • Outsourcing has been one of the keys to India’s success, as it has focused on call centres, back-office administrative work and software development. 
  • Often a TNC outsources to India and later ‘spins-off’ the outsourced business, and run by a local company.
  • 1990s British Airways and American Express transferred call centres and administrative functions to New Delhi.
  • There has been a flood of outsourcing from Aviva, Axa, Accencure, Dell and Lloyds TSB in the past decade.
  • By 2004, large Indian IT services companies like Infosys and Wipro had emerged, which take on the back-office functions for TNCs (BPO).
  • IT outsourcing was estimated to employ 700,000 workers in 2008.
  • Annual growth rates have been 35% in recent years.
  • India makes up 40% of the global market in IT outsourcing. 
  • Software service exports increased by 57% in 2000-2001.
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Growth in manufacturing - political

  • Policy change – in 1991 India loaned money from the IMF on the condition that India opened up for FDI, which led to globalisation/economic liberalism.
  • India is a politically stable country, following the British Empire from which it gained independence in 1947.
  • SEZs (Special Economic Zones)
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Growth in manufacturing - economic

  • Highly-skilled and well-educated workforce – India has similar education systems to the UK, which were established during the British Empire.
  • Wage costs are considerably lower in India than in the UK/USA, even lower than China.
  • SEZs – the government has set up areas of reduced rates (gas, electricity, water), favourable tax benefits and basic infrastructure.
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Growth in manufacturing - social

  • Indians often have a desire for Western lifestyle.
  • Indians are becoming consumers themselves and creating a new market for business.
  • Infrastructure has been built for companies and business imports/exports.
  • India has a young, dynamic, hardworking, well-educated workforce
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KQ3 - Intro (Rural communities)

  • 72% of the population is classed as rural.
  • 58% of which are farmers.
  • Most rural Indians have lower educational levels and fertility, greater poverty, and access to fewer services and ammenities. 
  • Some areas in states such as Bihar, Jharkand, Uttar Pradesh and Orissa are officially destitute. 
  • In Bihar, average annual incomes are 6000 rupees (£75) per capita, 1/3 of India's average.
  • 50% of households are below the poverty line in Bihar.
  • 80% of people in Bihar work in low-level jobs.
  • Only 6/10 househols have electricity, and 1/8 have flushing toilets.
  • Most land is owned by a wealthy minority. 
  • Most survive on subsistence farming. Farmers are too poor to invest. 
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Caste

  • Brahmans, Kshatriyas, Vaisyas, Sudras, Dalits (‘untouchables’). 
  • Dalits make up 25% of the population.
  • They traditionally perform the most menial tasks. 
  • The name ‘untouchables’ was outlawed in 1950, but is still used.
  • They cannot worship in temples with others, must obtain water from different sources, are humiliated, isolated and discriminated against. 
  • Dalit children are isolated in school classes.
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Immigration: push factors

  • Lack of job opportunities.
  • Debt.
  • Caste discrimination.
  • Lack of facilities.
  • Subsistence farming.
  • Land being taken.
  • Crop failure.
  • Increase in manufacturing leads to further lack of jobs.
  • Avergae income: £75/year
  • Lower standard of living.
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Immigration: pull factors

  • Abundance of employment opportunities.
  • Better quality of life.
  • Connection to water and electricity.
  • Average income (Tesco): £3000.
  • Better education and healthcare.
  • Better access to services and amenities.
  • Better life for next generation.
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Impacts of rural-urban migration on rural communit

  • Lack of workforce as here aren’t enough people.
  • Higher dependency ratio as old people are left behind, greater pressure.
  • Can’t sustain businesses, schools and hospitals.
  • Negative impact on food supply.
  • People get trapped further into a cycle of poverty, more children or debt.
  • Remittances sent back from cities.
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Difficulties in providing education

  • Lack of funding.
  • Poor infrastructure as they are cut off from urban areas.
  • Difficult to recruit teachers as they don't want to work in rural areas, due to growing middle class.
  • People don't value having an education as they only need agricultural skills to earn money.
  • Cost involved, parents need children at home for work.
  • Children miss lots of school during certain seasons, as harvests are unpredictable with climate change.
  • Children are often harassed or denied allowance to attend if they are from lower castes/poorer backgrounds.
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Informal sector

  • The formal sector with official jobs accounts for less than 10% of the workforce but produces 20% of GDP. 
  • The informal secor is huge, with 70% of wthe wokforce being rural.
  • Workers have more political influence as the formal sector expands, so there is less pressure to develop policies which will help the poorest in the informal sector. 

Characteristics of the informal sector:

  • No contracts.
  • Workers do not know their own rights.
  • Minimum wages cannot be enforced, and there are no safety laws or age limits.
  • Seasonal employment, no subsidies, poor working conditions.
  • No tax being generated, no trade unions.
  • Work is often in remote, cut-off, isolated areas.
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Hunger

  • The growing population increases the challenge of food security.
  • Multinational companies use large areas of land to grow industrial and food crops for export.
  • Big companies use up water resources, and increase polution of soil and water
  • Poor farmers are forced onto more marginal land which produduces lower yields.
  • Farmers who do try new technologies are at risk of debt and hunger.
  • India ranks 66 out of 88 on the 2008 Global Hunger Index. 
  • It scored worse than around 25 sub-Saharan African countries.
  • Children are malnourished due to inadequate access to food, poor feeding practices and poor childcare practices.
  • Rise in the global food prices has reduced the food-buying capacity of poor families. 
  • Food prices have increased, people's incomes haven't kept pace.
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KQ4 - Introduction

  • In 1961, 79 million people lived in urban areas; that number had increased by over 350% by 2001. 
  • In 1991 there were 23 metropolitan cities, there were 35 by 2001. 
  • Issues: shortfalls in housing, inadequate sewerage, poverty, social unrest. 1/3 of people live in cities and towns, but these areas generate 2/3 of GDP and 90% of government revenues. 
  • Slums now account for 1/4 of all urban housing.
  • More than 1/2 the population in Mumbai lives in slum.
  • The poor compete with the middle class for land
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Changes in economic activity

More job opportunities in call centres, IT back office functions for global businesses, high-end jobs, products and services (e.g. Infosys, Wipro).

More job opportunities from foreign-owned companies (=multiplier effect).

Bangalore has become successful - first city to get electricity, temperate climate, English widely spoken, SEZs

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Impact of migration on urban areas

  • Overpopulation of urban areas.
  • Fewer job opportunities.
  • Strain on infrastructure.
  • Frequent powercuts.
  • More rapid improvement of infrastructure and development of facilities.
  • More businesses setting up in India.
  • Increased size/number of slums.
  • Strain on resources and facilities (healthcare, food supplies, electricity).
  • Huge competition for jobs and decrease in wages.
  • Younger workforce of a reproductive range, enthusiastic workers but population and fertility increasing further.
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Dharavi - Asia's largest slum

  • One of the mot famous slums following 'Slum Dog Millionaire'.
  • 75,000 hutments, 1 million inhabitants in a 2km²  area in the heart of Mumbai.
  • Highly desirable piece of real estate.
  • Vibrant and successful.
  • Lot of job opportunities - solution for the homeless.
  • Shelters are permanent.
  • Majority have been there for over 10 years.
  • No costs for transport to work.
  • Self-sustaining and self-sufficient.
  • Residents have lifted themselves out of poverty.
  • Dharavi Development Plan - Government and developers plan to invest $1.2bn into transforming it into a modern township (high rise apartments, shopping complexes, hospital and school).
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Bangalore

  • India's 3rd largest city.
  • 1300 IT companies.
  • 110,000 technology workers, 60,000 in BPO.
  • Famous names: Yahoo, Infosys Technologies, Texas Instruments.
  • Largest job-creating city in India, traffic congestion, lack of hotel accomodation.
  • 8% of 5.3 million people live in slums.
  • Formal employment: Corporate high-tech IT businesses in the south and south east of the cities, high-rise office blocks in planned urban and industrial states. 
  • Informal employment: Low-wage local businesses serve elite groups in the north and west of the city, hundreds of small silk-weaving and garment manufacturers. 
  • Life expectancy in slums is 55-60, many children are malnourished.
  • 50% of the population has no access to piped water and other water comes from public fountains and bore holes, toilet fees are prohibitive.
  • Edge of Bangalore is filled with dormitory communities, "farmhouse" clusters and apartment blocks where young IT executives live. 
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Issues with the informal sector

  • People have no contracts, sick pay or health and safety regulations or restrictions. 
  • Less job security.
  • No tax revenue, so economy isn't as rich as it could be.
  • Unhealthier population and higher mortality rate.
  • Overwhelming/overcrowded slums.
  • No regular income.
  • No minimum wage.
  • No employment protection.
  • Workers can be exploited. 
  • People may turn to unsafe jobs (e.g. prostitution).
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Effects of the coastline of Mumbai

  • Drastic depletion in faunal and floral diversity.
  • Sewerage released into Arabian sea.
  • No sewerage or sanitation facilities.
  • Mangrove species have been reduced from 14 to only 2.
  • Used to be a cluster of 7 tiny islands, now forms a collected mass of islands.
  • Makim estuary shows high levels of nitrate, phosphate, hydrogen sulphide and sometimes zero oxygen levels. 
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KQ5 - Intro (Globalisation)

  • Globalisation is the process of the world's economic, political and cultural systems becoming more integrated In a way it is like the world coming together as a single community with similar shared systems and cultures.
  • Opening up of LEDCs to FDI and international trade.
  • Growth of middle class and demand for material gods.
  • Cheaper labour costs in other countries.
  • Global mobility of factors of production, capital and advances in infrastructure, transport and communication technologies. 
  • 1991 - IMF granted a structural adjustment loan.
  • India had to phase out government control of the market (liberalisation), privatise public sector organisations (privatisation), and reduce export subsidies and import barriers to enable free trade (globalisation).
  • Used to be protectionist/socialist. 
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Impacts of global trade on national economy

  • Growth of TNCs.
  • Improved transport systems.
  • Improved communication.
  • FDI allowed. 
  • Major trade partners are USA and China, also developing links with African countries.
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Impacts of Agriculture

  • McCain have contracts with farmers in Gujarat to grow potatoes to sell to McDonald's. 
  • Monsanto has a huge presence in India selling fertiliser, pesticides and agrochemicals even offering loands and finance deals. 
  • More employment opportunities, more formal and guaranteed employment. 
  • More companies are investing in the country, improving the economy.
  • Lower unempoyment rate, more dispoable income.
  • Improving agricultural economy, can maximise yields through knowledge.
  • Potential standard of living and higher profit margins. Some farmers have lost out because their land has been taken. Local independent famers can be exploited.
  • Local independent farmers don't earn as much from their produce.
  • Local companies/businesses may suffer, less cultural diversity.
  • More reliant on other countries for imports as India specialises in agriculture, IT, outsourcing and manufactureing.
  • Modern machinery replaces farmers, so some lose jobs.
  • Rural debt and suicide in India increasing. more likely to move into cities, growing slums.
  • Huge negative impact of environment - pollutuion, depltetion of species, eutrophication, contaminated soil, depletion of groundwater store, salinisation, desertification, increase in GHGs (climate). 
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Manufacturing

  • Backbone of the economy.
  • Competitiveness in manufacturing fosters growht, productivity and employment and strengthens agriculture and service sectors. 
  • Samsung - SK, McCain - Canada, Coca-Cola - USA, Airbus - France, LG - SK, Skoda, Czech Republic. 
  • Higher income per capita.
  • Job opportunities (e.g. Coca-Cola, 125,000 indirectly, 6,000 directly).
  • Wider variety of products.
  • Contributes to India's GDP.
  • Positive multiplier effect - promotes companies/labour.
  • Increased skills.
  • Increased tax revenues.
  • Raises awareness of global issues.
  • Some jobs replaced by machinery/technology.
  • Workers can be exploited.
  • Increased urbanisation/hyper-urbanisation.
  • Reduces chance of Indian companies developing.
  • Increased polution. 
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Coca-Cola

  • Has invested $1,000 million in their Indian business.
  • Employs 6,000 people, 125,000 indirectly. 
  • Indian protests groups unhappy - big business ignores needs of poorer communities and disadvantaged groups. 
  • Experiencing severe water shortages due to massive extraction of groundwater. 
  • Coca-Cola trying to win over local people by getting involved in local community aid projects.
  • Copmany has polluted surrounding soil and water - 4 types of insecticide and toxic pesticides, can't be filtered out, can't grow grain, rice, wheat, so must work away from home and collect rainwater. 
  • Police beatings despite right to demonstrate. 
  • Water smells and tastes strange - Coca-Cola has ben indiscriminately discharging its waste water into surrounding fields and sometimes rivers, including the Ganges. 
  • Water is unfit for human consumption. 
  • Plachimada and Mehdiganj - company distributed solid waste to farmers as 'fertiliser', BBC found it to be toxic and company only stopped distributing after order from state government. 
  • Products contained high levels of pesticides, Parliament has banned sale of Coca-Cola in its cafeteria. Could never be sold in EU/US.
  • Recent factory located in Ballia in area severely contaminated with arsenic in groundwater. 
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Tata

  • Employs 350,000 people worldwide.
  • Owns steel makers, car manufacturers, chemicals, energy and a hotel chain. (38 companies in the UK employ 47,000 people, e.g. Tetley Tea, Land Rover, Jaguar.)
  • Announced Tata Nano in 2008, world's cheapest car - £1,400. 
  • Car ownership is low, so Tata Nano was a popular idea.
  • Sources parts from India where labour costs are low to keep car cheap. 
  • 97% of components used are provided by European MNCs who have factories in India. 
  • Originally factories were going to be built in Singur, West Bengal, and would have created hundreds of skilled and semi-skilled jobs, but Tata pulled out after violent opposition in 2008.
  • Tata Nano adds to the congestion problem and cause air quality to fall leading to even more health problems for the poorest.
  • 3/4 of local people are farmers, no experience working in factories, would have led to hunger and malnutrition. Lots of farmers would get no compensation as they have no legal paperwork. 
  • Tata Nano can provide safe transport even for the poorest in society. 
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Globalisation as a 'threat'

  • Migration of people between countries for work or study is a major effect of interdependence.
  • Migrants often do dirty, dangeours and low-paid jobs that locals won't take. 
  • Others are highly skilled workers who fill jobs where there are skill shortages.
  • The NHS employs thousands of health workers from India and other LEDCs. 
  • More than 11% of all health workers who train in South Asia work in the UK.
  • The WHO estimates that at least 12% of doctors trained in India now live and work in the UK. 
  • Good for the NHS, but not for Indian health services, many LEDCs face massive brain drains. 
  • Staff can earn more than they would from their home country.
  • Staff train in the latest techniques and treatments.
  • Knowledge of new treatments can benefit LEDCs if staff return.
  • NHS would otherwise have a massive shortage of doctors and nurses.
  • Waiting times can be reduced.
  • Hospitals in Africa are desperately short of trained staff and morale is low among those who stay and work long hours for low pay. 
  • Money spent in an LEDC on university-level education does not benefit them and pay for the education of others through tax. 
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KQ 6: Deforestation and soil erosion

  • Logging
  • Hyper-urbanisation, city expansion
  • Over-exploitation (also by local communities for fuel/fodder)
  • Unregulated development
  • Submerged for resevoirs
  • Businesses pollute soil
  • People in rural areas use forests to meet their needs
  • Mangrove plantations
  • Large-scale agribusinesses buy land and clear it to use for agriculture.
  • The Chipko Movement involved Indian villagers trying to protect livelihhoods through non-violent resistance, succeeded in making governments reconsider.
  • Since 1988 the National Forest Plan has provided for local forest management and protection against illegal logging and encroachment.
  • 25-40% of proficts are returned to the local economy.
  • However, National Forest Plan is a '1 size fits all' logging policy which if not appropriate for all users and not sustainable everywhere. Illegal logging still occurs. There has been significant replanting by state foresttry departments, primarily of commercial timer. Forested area is increasing, but loss of biodiversity. 
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KQ6: Air Pollution

  • Transport is essential for development.
  • Acute levels of air pollution in Delhi has led to a public demand of action.
  • Air pollution (NO2, SO2, CO, CO2, SPs).
  • Rapid industrialisation.
  • Increased energy production.
  • Increased/rapid urbanisation.
  • Increase in motorised vehicles.
  • Bhopal disaster - 1984, Union Carbide pesticide plant in Bhopal, Madhya Pradesh, released toxic gases - everything contaminated. Death toll of 4000. 
  • Solutions: Motorised cycle rickshaws banned in 2006, reduce diesel consumption with compressed natural gas (CNG) buses. (India has the largest CNG bus fleet in the world.)
  • Getting rid of motorised cycle rickshaws may take away an afforable mean of transport. This also takes away possible employment for the poor. 
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KQ 6: Sustainable use of water resources

  • Increased demand for water due to demands of agriculture and  higher standards of living.
  • 20% of India's farms are commercial.
  • Embedded water is a major loss of water to the environment.
  • Over 70% of surface water is seriously polluted.
  • Solutions: RWH (Rain water harvesting) - meets water deficit in places like Rajasthan and Gujarat, rural communities using RWH, raises agricultural yields, recharges wells and raises levels of groundwater.
  • Narmada project - 3,200 small to large dams to provide water and electricity. (Displaced more than 2000 people.)
  • Level of bureacracy slows pace of change and adaption in rural areas.
  • Construction of dams could cause earthquakes.
  • Decreased fertility of flood plains and waterlogging. 
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KQ 6: Need for energy supplies

  • Demand for energy is increasing - Summer 2012: 300 million people suffered from powercuts in urban areas.
  • Growing middle class.
  • Increased export and car ownership.
  • 2006 - 65th largest oil consumer globally.
  • Over half of India's total energy consumption, oil 31% 
  • Solutions: Hydroelectric power. 
  • ATRA biogas - kitchens now smoke and ash free; fewer eye and lung problems (Pura village, Tumkur district, state of Karnataka.) 
  • Dams built which provide hydroelectric power were only small-scale and don't meet India's needs. 
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KQ 1: Climate

  • Climate is strongly influenced by the Himalayas and the Thar Desert. Has six climatic subtypes ranging from desert to alpine tundra, temperatures cooler in the north, four seasons: winter, summer, wet monsoon season, dry monsoon season. 
  • Wet monsoon occurs with the movement of the ITCZ (Intertropical convergence zone). Creates area of low pressure and draws in hot, moist winds from the ocean, rainfall is increased by orographic uplift, moist winds drawn over uplands (e.g. Western Ghats).
  • Average temperature of 30 degrees celcius, high humidity, average rainfall around 2000mm, decreasing with distance inland.
  • Cyclones are hurricanes are frequent towards the end of the rainy season.
  • Evaporation rates are high and temperatures remain relatively high at 25 in lowland areas.
  • Weather is much more severe in mountain areas. 
  • Relief, drainage an water availability: major rivers originate in the Himalayas in the north, Vindya and Satpura in the central plains, or the Western Ghats.
  • Himalayan rivers are fed by snowmelt and are continuous throughout the year. Other rivers depend on the monsoon so have significantly lower discharge during the dry season.
  • Natural resources: Major minerals include coal (3rd largest reserve in the world), iron ore, magnese, natural gas, diamonds and limestone. Oilfields off Mumbai and Assan met 30% of India's demand, still heavily dependent on imports of coal and oil, water used for hydroelectric power, wood (forests) used as a source of fuel and is often unsustainable. 
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KQ 1: Human Geography

  • Higher fertility rate in the north: Punjab and Bihar - 4-7 children.
  • Lower fertility rate in the south: Kerala - 1.7 children.
  • North-east is very densely popuated - Punjab, New Delhi, Haryana, Bihar, West Bengal, Kolkata.
  • High inequality within the country and states - rich&poor, men&women, rural&urban, upper&lower caste.
  • HDI (Human Development Index): 135th - medium development rate. 
  • India's population is the fastest growing in the world, by 2030 India's population will have permanently overtaken China's as the world's largest. 
  • Concentrated in fertile northern floodplains - 4 states account for 40% of the population (Bihar, Madhya Pradesh, Uttar Pradesh, Rajasthan) and 47% of population growth. 
  • Southern states have lower fertility rates than the north. Organised as a federation of states and union territories, each has considerable political independence.
  • Since 1991, economic growth has been characterised by increased inequality, between states' average income in Punjab, Gujarat, and Maharashtra is four times that of Bihar. 
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