Skip to main content

tv   World Business Report  BBC News  September 1, 2017 5:30am-5:46am BST

5:30 am
this is bbc world news. the headlines: reports from the united states say president trump will ask congress to release nearly $6 billion to help with the hurricane recovery effort in texas. 100,000 homes had been affected by the disastrous flooding. in france, president macron‘s government has published its plans to change the labour laws. the reforms include limiting the power of trades unions, and giving companies more flexibility to employ and dismiss workers. tens of thousands of muslim pilgrims have carried out the "stoning of the devil" ritual to mark the beginning of eid al—adha celebrations in saudi arabia. the celebration also signals the end of the annual hajj season. the transfer window has now closed across most of europe's top football leagues. amongst the biggest spenders of the summer were french side paris st—germain. english clubs collectively spent nearly $2 billion. now it's time for world business report. divorce deadlock —
5:31 am
the eu's chief brexit negotiator says there's been "no decisive progress" in this week's talks with britain's exit bill the main sticking point. plus, green shoots of recovery — how a bumper harvest is dragging brazil out of its worst recession in a century. welcome to world business report. i'm rachel horne. we start in brussels, where the third round of brexit negotiations has ended with "no decisive progress on the main topics" — those are the words of the eu's chief negotiator michel barnier. he and his uk counterpart, brexit secretary david davis, have hinted there's been some progress on the rights of expatriates and the irish border. but there's one major sticking point — money. how much will the uk will have to pay to leave the eu?
5:32 am
among a huge range of estimates, some suggest brussels will want this - $70 billion — although even higher figures been floated. the uk has said "no way." so where are the numbers coming from? well, britain makes a net contribution to the eu budget of 11 billion a year. eu officials say it needs to keep paying into the current budget until 2020, along with other commitments. but britain is questioning the legality of having to pay once it has left. here's the big problem for britain — the eu is its biggest export market. but it won't enter into any discussion about future trade relations without the bill being settled. those talks were supposed to start next month. but mr barnier is warning there is now "little chance of that". meanwhile, the uk is hoping to line up new trade deals with other major markets. later today, brexit secretary david davis is in washington dc where he will address the us chambers of commerce.
5:33 am
and prime minister theresa may has just been injapan to talk trade. japanese firms employ close to 160,000 people in the uk. japan has, of course, recently agreed a huge trade deal with the eu, just as britain heads for the exit. on thursday, japanese prime minister shinzo abe pressed mrs may for reassurances about the future. translation: the fact that even after the brexit decision, japanese companies continued to make investment into the uk, that shows the profound trust they have in british economy. with this in mind, i have asked prime minister may for her continued consideration in ensuring transparency and predictability to minimise the impact on business activity involving japanese companies. in the last few hours, the bbc has spoken to britain's international trade secretary, liam fox, who's also injapan. he echoed prime minister abe's
5:34 am
concerns about the need for progress on the post—brexit trade deal. it's very clear that businesses not just in europe but investors in places like here injapan are getting impatient and want to see that final shape of what that arrangement is going to be. they want to know that there will continue to be an open and liberal trading environment in europe, and there's a worry that if there's not the sort of agreement that britain wants you could end up with impediments to trade and investment in europe that don't exist today. peter bishop is deputy chief executive of the london chamber of commerce and industry. thank you forjoining us. let's start with those issues of trade talks. many had hoped perhaps measly that we could start those trade talks in october given there has been so little progress on the other issues that michel barnier has said
5:35 am
it is unlikely to happen. how will that be making uk businesses feel? they like certainty, they want certainty, they want to know what is going to happen and you can delay decisions about whether you will operate in the future from the mainland or indeed europe but you cannot put them off indefinitely decisions like that. now, if the arrangement that we do end up having with the eu is as close to as some of us hope what it is now then actually it shouldn't take that long to put in place some areas concerned but ina to put in place some areas concerned but in a panic. the issue is one of time, it is of the essence, we keep hearing about the clock ticking, the hope had been talks would start in 0ctober hope had been talks would start in october and we have the deadline of march 2019 and for lots of businesses they will be looking at the divorce bill, the exit bill, and 110w the divorce bill, the exit bill, and now figures ranging up to 100 billion have been mooted. if there we re billion have been mooted. if there were feeling from the business community that if the government
5:36 am
would just get on and settled divorce bill and get that settles, otherwise the longer they leave it, they could end up losing out in the long—term if businesses are moving elsewhere because they haven't got the clarity they need. of course they want the government to get on, they want the government to get on, they want the government to get on, they want a divorce bill to be settled. and yes there is an element that depending on what gillbee eventually do with the eu, we may be eating into the monies that we are saving by negotiating harder, as perhaps one would expect by further tariff barriers, let's say, in the future. but there is a big feeling around that there is going to be a transitional period of some years between march 19 and when the deal is finally, the deal finally kicks in. so looking after brexit, what should the government be considering when it comes to negotiating new trade deals? what issues and what countries should they be looking at? well, there are countries where barriers with trade between the uk
5:37 am
01’ barriers with trade between the uk or the barriers with trade between the uk orthe uk as barriers with trade between the uk or the uk as part of the eu, are high, and therefore by reducing them there is a likelihood there will be growth in trade. india is in that bracket. at the indians will see a trade deal in the round, they will see not just trade deal in the round, they will see notjust tariff barriers, nontariff barrier to us, there was the cultural and education to, they will want everything to be put into the basket and then make a win— win. there are other markets face were actually trade barriers to entry are not particularly high, britain for example exports to the states more than any other country in the world. more than germany or france or italy. so to spend a lot of time working out how we are going to increase trade fair when you could be putting your resource and resource is finite in this, into places like india, would be my advice. peter, thank you very much. let's turn to brazil, which is emerging from the deepest recession in a century —
5:38 am
it saw 10% wiped off its economy in two years. gdp figures out later could show it's on track to return to modest growth in 2017. it's all down to the nation's farmers — thanks to a bumper harvest, they been have propping up the wider economy. but as daniel gallas reports, the country still has serious problems to solve. work never stops in these fields in brazil. today they are covered in white as farmers are harvesting cotton. just a few weeks from now, the land will be cleared to make way for soya bean plantations. this farmer knows how important his farm is to brazil. we saved the country ‘s economy this year. it is impossible to match operas would look like without its farmers today. from the small ones to the big plantations, we are helping the country through the hard times.
5:39 am
agriculture accounts for more than one fifth of brazil's economic output. this is bumper harvest means the sector will grow by more than 10%. if brazil's agriculture sector was a single country, it would be growing faster than any other nation on the planet. this man is not only a farmer, he is the mayor of a city. revenues from agriculture have transformed his city. it boasts some of the best state funded schools in brazil, even after the town's population tripled in size over the last decade. but despite positive stories in the town, infrastructure outside could stall the engine of growth. the long road for brazilian exports to markets like china, europe and the us starts here that this is one of the worst roads in brazil. you can see there is no movement at all. it will take days for these trucks to reach the coast
5:40 am
and that makes brazilian products about 10% more expensive. and that makes brazilian products about 1096 more expensive. our transportation matrix is not adequate for the country. we need more railroads. so if we change our matrix, you would save around 100 billion a year, that means $30 billion. a year. but building better roads and railways is expensive and brazil's government is cash—strapped. prosperity is still confined to the country's highly productive fields. the bumper harvest may help end of recession but it will not fix brazil's more serious problems. in other news: the markets in asia are trading. they are on the up following wall street which was up yesterday and
5:41 am
concerns over north korea and storm harvey seemed to have eased. keep an eye on the us jobs figures for august, the robran goes to you when we get them. —— we will bring those to you. nearly half of young, low—paid parents are struggling to juggle child care with work, according to a survey for the trades union congress. researchers found that irregular hours were to blame, with many working parents feeling at the mercy of employers who are able to change their hours at short notice. the tuc says workers should receive their rotas a month in advance. our business correspondent emma simpson reports. hi, boys! it is the end of the day. kirra has got back from work and all of her kids are finally home also. show me. what is it doing? are precious few minutes before they are off to bed. kirra is self—employed
5:42 am
and works in ite. she and her partner from and works in ite. she and her partnerfrom hertfordshire and works in ite. she and her partner from hertfordshire and between them less than £28,000 a year. juggling childcare and work is a daily battle. i could be at home with my children enjoying my life with my children enjoying my life with them. when instead i'm running around trains, hoping and praying that my train is in slate or delayed 01’ that my train is in slate or delayed or cancelled. she is experience of a experience isn't unique. judging by today's service —— survey conducted by the tuc, barely half of europe had one parent are struggling to manage work and childcare, 42% felt paralysed at work when asked for flexibility, some are given fewer hours or even lost theirjobs as a result. nearly one third had resorted to taking annual leave to cover their child being sick. achieving a good worklife balance can be hard for any parent. this survey highlights just how difficult it is for families on low incomes, many of them don't even know what
5:43 am
the parental rights are. my down. the shift pattern is regular, although she is still often working after the kids go to bed. the tuc wa nts after the kids go to bed. the tuc wants everyone at work to get the same parental rights from day one. and to be made aware of them. this is bbc news. the latest headlines: reports from the united states quoting white house sources say president trump will ask congress to release an initial $5.9 billion to help with the recovery effort in texas. estimates about the amount of federal money that is likely to be needed vary widely, with top end estimates as high as $100 and $50 billion. french business leaders have praised president macron‘s planned changes to the country's labour laws. however, trade unionists have pledged to block the reforms. unemployment in france is currently almost ten % of the workforce. —— unemployment in france is currently almost 10% of the workforce. the transfer window has closed
5:44 am
across the transfer window has closed a cross m ost the transfer window has closed across most of europe top football leagues and among the big senders of the summer with french side para centreman. english clubs collectively spent nearly $2 billion. —— paris saint—germain. now it is time for our newspaper review. what's making headlines around the world ? in the washington post online, extensive coverage continues on hurricane harvey as the floodwaters recede in texas. forecasters now also have their eyes on two more storms brewing in the atlantic and gulf of mexico. 0n the front page of the financial times is the latest round of tense brexit discussions between the uk and eu. michael barnier, the chief eu negotiator, said there's been no decisive progress. in the guardian, the boss of ryanair says disrupting flights between the uk and eu will be the easiest and quickest way to stick it to the british. ceo michael 0'leary is quoted
5:45 am
saying, theresa may should stop drinking sake injapan and return to handle brexit talks. the new york times has the headline, the danger in trump talking to north korea. an analyst on east asian affairs says north korea is increasing tensions to pressure the us into direct talks with kim jong—un, and describes it all as a big trap. and finally, in the times, italian prosecco makers and british dentists locked in a row. it come after dentists warned of the so—called ‘prosecco smile' — they claim it's a triple whammy of carbonation, sweetness and alcohol that can rot teeth. the italian agriculture minsters has denounced the comments as fake news. better put yours away, no more present

14 Views

info Stream Only

Uploaded by TV Archive on