Workers in India’s Brick Kiln Industry Trapped in Perpetual Poverty

A human rights organization says millions of workers in India’s brick kiln industry are trapped in a perpetual cycle of imposed debt and low wages, which forces them to bring their children to work alongside them in the hot, dusty kilns.

An estimated 23 million workers are employed in at least 100,000 brick kilns operating across the northern state of Punjab, according to a study released Wednesday by Anti-Slavery International. Nearly all the workers are provided loans from the kiln owners before the brick making season begins, immediately putting them into debt. The owners withhold their wages during the entire season, which lasts up to 10 months, and keep no records, allowing them to pay their workers far less than what is due.

Up to 80 percent of children under 14 years old working an average of nine hours a day during the hot weather months. Because workers are paid for each piece of brick they make, families are forced to put their children to work to increase their output.

The report also says living conditions at the kilns are dire, with the air filled with dust and other chemicals and no access to running water, and entire families living in cramped rooms of just under eight meters.

Volunteers for Social Justice, which partnered with Anti-Slavery International in the report, is urging India’s government to enact a minimum wage for the brick kiln workers, along with child labor laws to ensure that children get a proper education. “It is time that the government takes that responsibility and ends this exploitation that shouldn’t be taking place in the 21st century,” says Jai Singh, the director of Volunteers for Social Justice.

Drones May Soon Deliver Life Saving Defibrillators to Rural Areas

A cardiac arrest happens when the heart stops beating regularly, due to mixed up electrical signals. According to the American Heart Association, when cardiac arrest occurs, every minute that passes before help arrives lowers a person’s chance of surviving by seven to 10 percent. However, as we hear from VOA’s Kevin Enochs, in a crisis when every minute counts, drones may be able to quickly get help to people who live in rural areas.

Giant Antennas in New Mexico Search for Cosmic Discoveries

Employing an array of giant telescopes positioned in the New Mexico desert, astronomers have started a massive surveying project aimed at producing the most detailed view ever made of such a large portion of space using radio waves emitted from throughout the Milky Way and beyond.

The National Radio Astronomy Observatory announced the project this week, saying the Very Large Array will make three scans of the sky that’s visible from the scrubland of the San Augustin Plains. It is one of the best spots on the planet to scan space, with 80 percent of the Earth’s sky visible from the location.

The array works like a camera. But instead of collecting light waves to make images, the telescopes that look like big satellite dishes receive radio waves emitted by cosmic explosions and other interstellar phenomenon.

Astronomers expect the images gathered by the array will allow them to detect in finer detail gamma ray bursts, supernovas and other cosmic events that visible-light telescopes cannot see due to dust present throughout the universe. For example, the array can peer through the thick clouds of dust and gas where stars are born.

Scientists involved in the project say the results will provide valuable information for astrophysics researchers.

“In addition to what we think [the survey] will discover, we undoubtedly will be surprised by discoveries we aren’t anticipating now,” project director Claire Chandler said in a statement. “That is the lesson of scientific history and perhaps the most exciting part of a project like this.”

The survey is possible because of a major technological upgrade at the Very Large Array, which was initially conceived in the 1960s and built in the 1970s. The antennas relied on their original electronics and processing systems for years until a recent overhaul made the system capable of producing much higher resolution images.

The work done at the Very Large Array is similar to that of the Hubble Space Telescope — making high-quality images so scientists can better study objects in the universe and the physics of how they work.

Research efforts elsewhere search the galaxy for signals or evidence of extraterrestrials, but the New Mexico operation would almost certainly get involved if signals are received, said Very Large Array spokesman Dave Finley.

“I do think when the time comes that they find a signal that they think is the real thing, the first phone call they will make will be to us. They’ll want an image of that region,” Finley said.

Astronomers using the array also expect to see more examples of powerful jets of superfast particles propelled by the energy of massive black holes at the center of galaxies. This could help in understanding how galaxies grow over time.

The National Radio Astronomy Observatory in 2013 invited astronomers from around the world to submit ideas and suggestions for the survey. Based on the recommendations, scientists and engineers designed the survey and ran a test in 2016. Approval for the full survey was granted this year.

The survey will involve about 5,500 hours of observing time. Data from the three separate scans will be combined to produce the radio images.

The scanning began Sept. 7 and the raw data will be available to researchers as quickly as the observations are made.

The seven-year project will not come at an additional financial cost because the array already has a $15 million annual budget for making observations 24 hours a day for various scientific requests. More of that time will now be dedicated to the project.

Mobile App Aims to Help End Child Marriage in India’s Bihar

A mobile phone app is the latest tool for campaigners seeking to end child marriage in India’s Bihar state, where nearly two-thirds of girls in some of its rural areas are married before the legal age of 18.

The app, Bandhan Tod, was developed by Gender Alliance — a collective of more than 270 charities in Bihar focused on gender rights — and launched this week by Deputy Chief Minister Sushil Kumar Modi. It is backed by the U.N. Population Fund.

India ranks among countries with the highest rates of child marriage in the world, accounting for a third of the global total of more than 700 million women, according to UNICEF, the United Nations children’s agency.

Bandhan Tod — meaning “break the binds” — includes classes on child marriage and dowries and their ill effects. It also has an SOS button that notifies the team when activated.

“The app is a big part of our efforts to end child marriage in the state,” said Prashanti Tiwary, head of Gender Alliance.

“Education is good, but when a young girl wants help because she is being forced to marry before the legal age, the app can be her way out,” she told the Thomson Reuters Foundation.

Despite a law banning girls from marrying before they turn 18, the practice is deeply rooted in tradition and widely accepted in Indian society. It is rarely reported as a crime and officials are often reluctant to prosecute offenders.

While boys also marry before the legal age of 21, girls are disproportionately affected.

Risks of abuse, death rise

Early marriage makes it more likely that girls will drop out of school, and campaigners say it also increases risks of sexual violence, domestic abuse and death in childbirth.

Legal efforts have failed to break the stranglehold of tradition and culture that continues to support child marriage, charity ActionAid India said in a report this year.

When the SOS on Bandhan Tod is activated, the nearest small NGO will attempt to resolve the issue. If the family resists, then the police will be notified, said Tiwary.

A similar app in West Bengal state to report child marriage and trafficking of women and children has helped prevent several such instances, according to Child in Need Institute, which launched the app in 2015.

Other efforts include a cash incentive, where the state transfers a sum of money to the girl’s bank account if she remains in school and unwed at age 18.

Suppliers of wedding tents in Rajasthan state have stopped dozens of child marriages by alerting officials.

“It will take a change in mindset and behavior to end child marriage,” said Tiwary, who is lobbying the government to raise the marriage age for women to 21, so they have the same opportunities as men.

“But technology provides a practical and accessible way to help prevent it on the ground,” she said.

Twitter Reports Progress on Weeding Out Users Advocating Violence

Twitter said that its internal controls were allowing it to weed out accounts being used for “promotion of terrorism” earlier rather than responding to government requests to close them down.

U.S. and European governments have been pressuring social media companies including Twitter, Facebook and Alphabet’s Google to fight harder against online radicalization, particularly by violent Islamist groups.

Twitter said it had removed 299,649 accounts in the first half of this year for the “promotion of terrorism,” a 20 percent decline from the previous six months. Three-quarters of those accounts were suspended before posting their first tweet.

Less than 1 percent of account suspensions were due to government requests, the company said, while 95 percent were thanks to Twitter’s internal efforts to combat extremist content with “proprietary tools,” up from 74 percent in the last transparency report.

Twitter defines “promotion of terrorism” as actively inciting or promoting violence “associated with internationally recognized terrorist organizations.”

The vast majority of notices from governments concerned “abusive behavior,” which includes violent threats, harassment, hateful conduct and impersonation.

Review: Glitzy iPhone X Aside, iPhone 8 is Fine for Most

The difference between Apple’s new iPhone models is a bit like flying first class compared with coach. We envy first class, but coach gets us there without breaking the budget.

The iPhone 8 will do just fine for $300 less than the glitzy iPhone X , even though it won’t make your friends and colleagues jealous. It’s also available much sooner – this Friday – starting at almost $700. The X (read as the numeral 10) won’t be out until November.

 

Still, the iPhone 8 remains a fairly straightforward update of the iPhone 7 , which itself was a fairly straightforward update of the iPhone 6S. Then again, no one expects much different from a coach seat.

 

What you’re not getting

 

It’s hard to talk about the iPhone 8 without comparing it to my 15 minutes with the iPhone X last Tuesday.

 

The X wowed with a fancy new display that flows to the edges of the phone. The phone is compact, yet features a screen slightly larger than the one on the supersized iPhone 8 Plus. The X also features facial recognition that lets you unlock the phone with a glance; you can also create animated emojis that match your facial expressions.

 

The 8 has none of that, although it does share other new goodies the X is getting, including wireless charging. The 8 and the X both have faster processors and sensors to enhance graphics in augmented reality, a blending of the virtual and physical worlds, though older iPhones will also run AR apps with a software update Tuesday.

Wireless charging

 

Apple is embraces wireless-charging technology that Android phones have had for years. It’s a rare case in which Apple isn’t going its own way; instead, it’s adopting an existing standard called Qi (pronounced chee). That means the iPhone gets all the technical advancements from the consortium behind Qi _ and can take immediate advantage of a slew of public wireless-charging stations.

 

It worked perfectly for me while waiting for a connecting flight in Los Angeles – no need to rummage through my backpack for a charging cord.

 

Apple says the wireless system should charge as quickly as the wall adapter included with iPhones. But I found wireless slower in testing, using a Belkin charger with the same power output as the iPhone charger.

 

Wireless charging is largely about convenience; it’s terrific if you can just drop your phone on a charging pad overnight or during the day at your desk. Apple says it will boost wireless-charging power by 50 percent in coming months, which will speed things up further. But those in a rush should consider a wall charger that comes with the iPad, which will still be even faster.

 

In a way, wireless charging makes up for Apple’s earlier decision to ditch the headphone jack in the iPhone 7, which made people share the Lightning port with both charging cords and wired headphones. You can now charge and use wired headphones at the same time.

 

Display

 

Colors on the 8’s screen adapt to lighting in the room. It’s noticeable in my apartment at night, as artificial lighting tends to be warmer and more yellowish. The screen adapts by making whites more like beige and yellow even yellower. It’s softer on the eyes and mimics how light glows on white paper, though it can make images appear less natural. You can turn this feature off.

 

Resolution isn’t as sharp as what the X and many rival Android phones offer. The Plus offers enough pixels for high-definition video at the highest quality, 1080p, while the regular model is comparable to the lesser 720p.

 

Camera

 

New color filters produce truer and richer colors without looking fake, while a new flash technique tries to light the foreground and background more evenly. You have to know to look, as the iPhone 7 already had a great camera. Differences in test shots taken while sightseeing in Poland were subtle, but noticeable – more so on the iPhone 8 screen than on last year’s Mac.

 

The iPhone 8 also offers additional video options, including recording of ultra-high definition, or 4K, at 60 frames per second, twice the previous rate. (The phone’s display, though, isn’t sharp enough for 4K.)

 

A second lens in the 7 Plus and 8 Plus models lets the camera gauge depth and blur backgrounds in portrait shots, something once limited to full-featured SLR cameras. Samsung adopted that feature in this year’s Note 8 .

 

Coming to the 8 Plus are filters to mimic studio and other lighting conditions. My favorite, stage light, highlights the subject’s face and darkens the background. Some of these filters make images look fake – Apple has slapped a “beta” test tag to signal it’s not flawless. You can try them out and undo any changes you don’t like.

 

Design

 

To make wireless charging work, the 8 features a glass back, something last seen in the iPhone 4S in 2011. Aesthetic considerations aside, this gives you another sheet of glass to break.

 

Apple says custom glass from Corning makes the phone stronger. Even so, consider a service plan and get a case. Wireless charging works with most cases, as long as there’s no metal or magnets. I found the phone charged just as fast with the case on.

 

About the price tag

 

The iPhone 8 is about $50 more than what the iPhone 7 cost at launch. Samsung has similarly increased the prices of its flagship Galaxy phones, and the S8 still outsold last year’s S7. Consumers seem willing to pay.

 

You do get double the storage – 64 gigabytes – at that price, a value considering that iPhone storage boosts typically cost $100. You’ll need that extra storage for video, apps and fancy features such as AR and animated photos.

 

Nonetheless, I would have preferred the option of a cheaper, lower-storage version. For that, you need an older model , such as the $549 iPhone 7 and the $449 6S. There’s also the smaller iPhone SE for $349.

US Current Account Deficit Hits $123.1 Billion

The deficit in the broadest measure of U.S. trade rose to the highest level in more than eight years this spring, reflecting in part a drop in fines and penalties paid by foreign companies.

The deficit in the current account increased to $123.1 billion, up 8.5 percent from an imbalance of $113.5 billion in the first quarter, the Commerce Department reported Tuesday. It was the biggest deficit since a gap of $150 billion in the fourth quarter of 2008.

 

The current account is the most complete measure of trade because it includes not only goods and services but investment flows and other payments between the United States and the world.

 

President Donald Trump has promised to reduce America’s trade deficit, contending it costs U.S. factory jobs.

 

One of the biggest contributing factors to the larger deficit in the April-June quarter was a decline in receipts from foreigners after they had risen sharply in the first quarter. The government attributed the $5.2 billion decrease in receipts of secondary income from foreigners to a decline in fines and penalties paid by foreign companies. That category had risen sharply in the first quarter.

 

Exports of goods and services increased $2.2 billion in the second quarter. Exports are getting a lift from a pickup in global growth and a drop in the value of the U.S. dollar against other currencies. A weaker dollar makes American products more competitive on foreign markets.

 

Imports of goods and services were also up in the second quarter, rising $11.8 billion, reflecting rising domestic demand from stronger U.S. growth.

 

The rise in the current account deficit put the imbalance in the second quarter at a level equivalent to 2.6 percent of the total economy, as measured by the gross domestic product, up from 2.4 percent in the first quarter. By comparison, the largest current account deficit in relation to GDP was in the fourth quarter of 2005 when the deficit totaled 6.3 percent of GDP.

 

Trump says America’s trade deficits have been caused by bad trade deals and abusive practices by China and other U.S. trading partners. He has pledged changes that he says will reduce the deficit and bring back American factory jobs.

 

Popular US Toy Store Files for Bankruptcy

Toys ‘R’ Us, an iconic United States toy store, has filed for bankruptcy after struggling to compete with online retailers and racking up about $5 billion worth of debt.

In a statement Monday, the company said it is voluntarily seeking relief through the U.S. bankruptcy process, but that its international holdings would not be affected.

“The company’s approximately 1,600 Toys ‘R’ Us and Babies ‘R’ Us stores around the world, the vast majority of which are profitable, are continuing to operate as usual,” the statement reads. “Customers can also continue to shop for the toy and baby products they are looking for online.”

The company said it has begun the process of working with creditors to restructure the debt that its stores will remain open as the bankruptcy plays itself out.

The bankruptcy filing, CEO Dave Brandon said in a statement, “will provide us with greater financial flexibility to invest in our business … and strengthen our competitive position in an increasingly challenging and rapidly changing retail marketplace worldwide.”

The company said it is “well-stocked” for the upcoming holiday season, which has historically been a time when retailers can pad their bottom-line at the end of the year.

Toys ‘R’ Us has seen its popularity fall since the 1980s and ‘90s, when it began losing customers to big-box stores like Wal-Mart and Target, and more recently with the advent of online shopping giants like Amazon.

Jet Fuel Shortage Disrupts Travel To-From New Zealand’s Main Airport

As many as three dozen domestic and international flights at New Zealand’s Auckland Airport have been canceled Tuesday as it struggles to deal with a weeklong fuel shortage.

New Zealand’s main airport has lost 70 percent of its jet fuel supplies since a digger ruptured the main pipeline that carries fuel to the facility, forcing many air carriers to refuel at other airports in the Pacific region. The accident has also cut off supplies of high-grade gasoline at Auckland gas stations, although fuel supplier Z Energy says stocks of regular gasoline are still plentiful.

The pipeline’s owner says the repairs will not be completed until sometime next week.

Prime Minister Bill English says a naval tanker and military trucks have been assigned to transport fuel to ease the shortage, and has ordered all lawmakers and public employees to avoid any unnecessary air travel until the situation is resolved.

The fuel disruption has placed enormous pressure on English with Saturday’s national elections on the horizon. Jacinda Ardern, the leader of the main opposition Labour Party, accused English of ignoring warnings about the pipeline’s vulnerability.

“One pipeline, one digger, and New Zealand grinds to a halt,” Ardern told reporters Tuesday. The 37-year-old politician has led the Labour Party from a certain electoral defeat to a tight race with English’s ruling National Party.

Probe into State Firms Reveals Nagging Corruption Problem in Vietnam

A multi-million-dollar banking flap being investigated in Vietnam this month casts light on a tough corruption problem that nips at the Southeast Asian country’s explosive economic growth.

The Vietnamese Ministry of Public Security last week began investigating three companies under state-owned gas and oil giant PetroVietnam on suspicion of trying to divert $5.2 million from OceanBank, a domestic financial institution.

Widespread corruption

The case, analysts say, points to widespread corruption Vietnam. They point to construction, land use contracts and government procurement as particular sore spots. People are also asked for side payments to process official paperwork or get out of traffic violations.

“In terms of corruption in Vietnam, I do think it’s a serious problem here and I think the government recognizes that,” said Frederick Burke, partner with the international law firm Baker McKenzie in Ho Chi Minh City.

Corruption, known to cause waste in business, could hobble economic growth.

Growth driven by export manufacturing makes Vietnam a darling in Asia among foreign investors. The economy grew between 5.2 percent and 6.68 percent each year from 2012 to 2016.

The nonprofit advocacy group Transparency International placed Vietnam at 113th out of 176 countries and regions that it evaluated in 2016 for perceptions of corruption.

“It doesn’t constrain growth. It’s just an added cost of business,” said Song Seng Wun, Southeast Asia-specialized economist with the private banking unit of CIMB in Singapore. “When it’s corrupt, that’s just wastage without any addition to capacity or contribution to productive economic activities.”

New York-based business compliance consultancy Gan Integrity calls corruption “pervasive” in Vietnam. It says companies are likely to face bribery, political interference and “facilitation payments” across industries. Land development and construction fall especially to corruption, the consultancy says.

Reasons for the corruption

Inadequate salaries for government workers, some of whom need extra money to provide for their families, causes a lot of the corruption, said Trung Nguyen, international relations dean at Ho Chih Minh University of Social Sciences and Humanities.

Complex regulations have also pushed companies to seek permitting shortcuts, another source of corruption.

People with capital sometimes hold back expansion to avoid getting enmeshed in graft, adding to a large underground economy, Nguyen said.

He added Vietnamese also face graft when they ask government offices for documents and if police stop them in traffic, eroding overall public confidence in government services.

“I think it’s very bad,” he said. “I have so many friends and they don’t want to open big businesses in Vietnam because they think that they will have to deal with the government and they have to bribe them, and it violates their ethics and their principles.”

PetroVietnam probe

The PetroVietnam probe, as described in Vietnam’s English-language media, fits into a bigger issue at OceanBank.

Reports say more than 50,000 people and 400 organizations benefited from what prosecutors call illegal interest payments worth $70.4 million.

From 2010 to 2014, bank executives offered loans and set deposit rates, above state-approved limits to key customers, including PetroVietnam, local media have reported.

The Vietnamese news website VnExpress calls this case one of the biggest bank fraud flaps ever brought to court in Vietnam.

Some legal cases start with allegations brought by unhappy company employees, Burke said. Only “squeaky clean” firms can build reputations strong enough to eliminate solicitations for graft, he said.

“We do see from time to time perfectly good businesses get disrupted completely by some allegation of corruption,” he said. “Often our employment disputes turn into compliance cases and they trigger full investigations. People lose their jobs. It’s quite traumatic.”

Multinationals get used to graft as a cost of business in emerging economies, Song said, but countries that try to stop corruption grab more sympathy.

Around Asia, investors face similar barriers in Indonesia, the Philippines and China.

Most countries around the Asia Pacific ranked in the lower half of the 2016 corruption perceptions index.

Anti-corruption efforts

Government attention to the issue has surfaced in Vietnam with the roll-out of the Anti-Corruption Law in 2005, a 2009 law on government procurement and the National Strategy on Anti-Corruption, which is due to run through 2020. Domestic media may be widely reporting the OceanBank case to discourage others from graft, Burke said.

In October 2016, the government gave an unusually candid report to the legislature, saying numerous officials had been “neglecting their duties and failing to uphold moral standards and political virtues,” VnExpress reported.

Gan Integrity says sentences for graft in Vietnam range from fines to capital punishment, but that enforcement is lacking.

Vietnam’s anti-graft work, Song believes, is a “work in progress.”

But Transparency International says it sees little public information about the outcomes of anti-corruption work.

“Vietnam’s “top leaders…are not united in stopping the problem,” Nguyen said. “I don’t think they have political will to end corruption.”

Virtual Reality Therapy to Treat the World’s Most Common Vision Problem

Amblyopia or Lazy Eye, as it is called, is a vision problem in which the brain doesn’t receive or process signals from the affected eye. It can be caused by any number of physical issues, but the real problem is that it can’t be fixed with glasses. But it can be fixed, through therapy, and that therapy is now getting a high tech makeover using VR technology. Kevin Enochs reports

Coffee Rivals Square Off in Italy Ahead of Starbucks Invasion

Two of Italy’s biggest coffee houses are reinforcing their brands with flagship cafes in Milan near the spot where U.S. rival Starbucks is set to begin operations next year.

Lavazza opens its first flagship cafe in the coffee-obsessed city on Tuesday, not far from the renovated 19th century palazzo where Starbucks will open its first Italian store, a ‘Reserve Roasteries’ outlet offering specialty blends and fine food.

Another top Italian brand, illycaffe, opened its own luxury cafe close to the Starbucks site in May, in a cozy courtyard in Milan’s most fashionable street.

Lavazza, which is opening near the city’s famous La Scala opera house, and illycaffe both deny their moves are a response to a global rival’s impending arrival, a first step in what may become a 200-store expansion.

Industry experts suspect it is no coincidence.

“Lavazza and illycaffe are the purists of coffee, they want to show they are there when Starbucks arrives,” says Jean-Paul Gaillard, who ran Nespresso for 10 years before founding the Ethical Coffee Company, a Swiss firm selling coffee pods.

Milan’s battle of the coffee palaces reflects global competition among major brands to capture a growing market for people who are prepared to pay a premium for quality espresso coffees in upmarket boutique cafes.

Nestle last week bought California-based Blue Bottle Coffee, one of the top boutique U.S. chains whose single-origin and cold-brewed coffees have proven popular with hipsters and have made inroads into the Starbucks franchise.

JAB Holdings, the investment vehicle of Germany’s Reimann family, has also been buying up independent start-ups selling premium brews around the world, from Europe to the Americas.

Starbucks Chief Executive Howard Schultz hopes his company’s arrival in Milan, which he calls the home of the “perfect espresso”, and the inspiration for his Starbucks vision, will show discerning Italian coffee-lovers that “we got it right.”

“We are happy to hear about Lavazza’s growth,” said a Starbucks spokesman when asked to comment on Lavazza’s opening.

The U.S. chain will open its 2,400-square-meter cafe in late 2018, seeking to attract tourists, young Italians and the business crowd. If the Milan experiment succeeds, Starbucks and its local partner, Antonio Percassi, could open more than 200 stores in Italy over six years, according to Percassi.

Some analysts are skeptical that Starbucks can crack a market where espresso typically sells for just one euro ($1.20), a fraction of the price of a Starbucks coffee.

But the local brands are also gambling Italians will spend much more than one euro for a restaurant-style experience: illycaffe charges around three times that for coffee brought to the table.

Nestle, JAB Holdings and Starbucks are the three largest players in the global coffee market, followed by several mid-tier players including Lavazza and illycaffe.

“As the biggest get bigger, mid-tier companies are in a position where they must either expand or risk being left behind or swallowed up by their massive rivals,” said Matthew Barry, an analyst at market research firm Euromonitor International.

Lavazza’s chief executive and some of its family owners will cut a ribbon to launch their cafe, where customers can sip a blend of coffee specifically crafted for the store, taste gourmet food and buy single-origin coffees.

“The opening of the new flagship store has nothing to do with Starbucks,” a Lavazza spokeswoman said, adding that it was solely aimed at giving people an exclusive Lavazza experience.

The group is primarily a roaster and supplier to independent cafes and restaurants rather than a retailer and its new store is a way of boosting brand visibility on the high street.

Lavazza went on an acquisition spree three years ago, buying up three coffee suppliers in Europe and Canada, boosting sales to nearly 2 billion euros last year. It has overtaken Starbucks in supermarket sales, Euromonitor International says.

Illycaffe sells its coffee both through independent cafes and 230 mono-brand stores, some of them directly owned, in 43 countries, and says it wants to develop the network further, though not via major acquisitions.

“The new store wants to be a landmark for the global nomad in search for the real Italian lifestyle experience,” illycaffe said, without commenting on the arrival of Starbucks.

Milanese coffee society is divided on whether Starbucks can make its name at the high-end of Italian market, the world’s fourth-largest coffee consumer.

“I am curious about Starbucks, I will give it a try when it arrives in Milan,” office worker Giuseppe Gaggiano, 55, said at a small, upmarket independent cafe close to the Starbucks site.

However, another customer there, Alberto Paparusso, 31, said he wouldn’t abandon his usual cafe: “I don’t like Starbucks coffee. It’s not worth going there.”

($1 = 0.8371 euros)

Economy Minister: Mexico Sees ‘Elephants in the Room’ in NAFTA Talks

Mexico’s economy minister said on Monday a successful retool of the North American Free Trade Agreement (NAFTA) would hinge on two or three complex areas that he called “elephants in the room,” just days before the next round of treaty talks in Canada.

Speaking at an event in Mexico City, Ildefonso Guajardo said four chapters in the agreement could be renegotiated in the third round of talks, due to take place Sept. 23-27 in Ottawa.

The areas cover smaller companies, transparency and food safety.

The “elephants,” such as the U.S. trade deficit with Mexico and rules of origin, will determine the success of the trade treaty’s renegotiation, he said. Rules of origin specify the percentage of components in a product that must be from the three NAFTA nations for it to qualify as duty free.

“This challenge of resolving two or three un-traditional topics at the trade negotiation tables is what is going to determine if, at the end of the day, we’re going to have an agreement or not,” Guajardo said in a Forbes Mexico talk.

In addition, Guajardo added that as many as 13 other chapters would also be tough to negotiate.

Asked by journalists if Mexico would accept national content rules that would require a portion of products to be made in the United States, the minister said the topic had yet to reach the negotiating table.

“We would analyze it, but I believe as of today there is no trade agreement that contains this type of clause,” he said.

Guajardo reiterated that Mexico was ready to modernize the agreement, which U.S. President Donald Trump has threatened to scrap, and to find solutions with the United States and Canada.

US Trade Envoy says WTO Dispute Settlement ‘Deficient’

The WTO dispute settlement system is “deficient” and has often ruled in favor of free trade that overlooks details of a trade agreement, U.S. trade envoy Robert Lighthizer said on Monday.

Speaking at the Center for Strategic and International Studies, Lighthizer, a trade lawyer, made clear that the administration was poised to push for major changes to the global trade system during upcoming meetings of the Geneva-based trade body. WTO member countries will meet in Buenos Aires on Dec 10.

U.S. President Donald Trump called the World Trade Organization a “disaster” during his presidential campaign and his administration has sought to unilaterally go after countries like China that it thinks is breaking trade rules.

“There are a number of issues on which there is pretty broad agreement that the WTO dispute settlement understanding is deficient,” said Lighthizer, highlighting problems with WTO staffing and transparency.

“The United States sees numerous examples where the dispute settlement process over the years has really diminished what we’ve bargained for or imposed obligations that we do not believe we agree to,” he said.

He added: “There have been a lot of cases in the trade remedies laws where in my opinion the decisions are really indefensible.”

Since its launch in 1995 the WTO has become the main venue for resolving trade disputes between countries. The Trump administration has begun to launch trade investigations under statutes seldom used in the WTO era, including a “Section 301” probe of China’s intellectual property practices.

Lighthizer did not threaten a U.S. withdrawal from the WTO, but emphasized his own dissatisfaction with some of its rulings.

In a letter in March, the Trump administration made clear that U.S. law supersedes WTO rules — a view that could be invoked should Congress adopt policies that are later challenged by other member countries as violating WTO rules.

“We’ve had tax laws struck down, we’ve had other provisions where the WTO has taken…the decision they were going to strike down something they thought shouldn’t happen, rather than

looking at the agreement as a contract,” he said.

Lighthizer emphasized that the Trump administration was reviewing all trade agreements and would seek to renegotiate those that did not benefit U.S. workers and businesses.

“I believe, and I think the president believes, that we must be proactive,” he said, “We must demand reciprocity in home and international markets. So expect change, expect new approaches and expect action.”

Peru’s PM: New Cabinet to Revive Slumping Public Investments

Peru’s prime minister said on Monday that the country’s new Cabinet will focus on reviving public investments as it seeks to mend fences with the opposition party that forced President Pedro Pablo Kuczynski to form a new government.

Congress ousted the former Cabinet last week following a dispute over education reforms, fueling fears that political fighting might hurt economic growth that has already slowed sharply this year due to floods and a graft scandal.

Mercedes Araoz, Peru’s new prime minister, said on local broadcaster RPP that she was optimistic about rebuilding a working relationship with the opposition. A key test will be efforts to rapidly rebuild parts of Peru hit by flooding, Araoz said.

Congress will likely vote on whether to give Araoz’ Cabinet a vote of confidence in the first week of October, she added.

Araoz is a ruling party lawmaker and former finance minister in the 2006-2011 term of former President Alan Garcia.

Forecasts for an economic recovery in Peru hinge on the government increasing public investments that fell 10.4 percent year-on-year in the first half of 2017.

“Now’s the time. We can’t fall behind in this process” of increasing public investments, Araoz said.

President Kuczynski, a center-right politician and former Wall Street banker, vowed to work to modernize Peru and strengthen the economy of the world’s second-biggest copper producer.

But his first year in office has been marked by slowing economic growth and clashes with Congress, where the right-wing populist party of his former rival Keiko Fujimori has a majority.

Fujimori welcomed the new Cabinet on Twitter after it was sworn in on Sunday and said Kuczynski’s government still has four years to “mend its ways and make progress.”

Similar remarks from opposition lawmakers signaled Congress would likely give the new Cabinet a vote of confidence. But after previous efforts to reset relations failed, it was unclear how long the new truce might last.

Verisk Maplecroft, a global risk analysis company, said Peru has a score of 4.44 out of 10 – a “high risk” ranking – on its government effectiveness index.

Despite Fujimori’s support for the new Cabinet, “the re-tooled team will remain hostage to the Fujimorista-controlled Congress, with Kuczynski’s political credibility continuing to ebb,” said Maplecroft analyst Eileen Gavin.

If Congress fails to approve of the new Cabinet, Kuczynski can summon new legislative elections.

Federal Reserve Expected to Hold US Interest Rates Steady

U.S. central bank leaders are expected to hold the key interest rate steady this week, but they may begin trimming a huge bond-buying program that was intended to boost economic growth.

Federal Reserve Chair Janet Yellen is scheduled to speak with reporters about those decisions Wednesday afternoon, following a two-day strategy meeting in the U.S. capital. Surveys of economists show they do not expect the Fed to raise interest rates at this time.

During the 2008 financial crisis, Washington slashed the key interest rate nearly to zero in a bid to boost growth and jobs. Over the years, it has worked well enough to help cut the unemployment rate to its current low of 4.4 percent. As the jobless rate improved, interest rates have been raised, but remain below historic averages. 

An additional effort to boost growth involved purchasing trillions of dollars’ worth of bonds. The Fed is expected to gradually reduce this program over the next few years. 

Some experts worry that cutting back stimulus efforts too sharply or too soon could cause the economy to stumble back into recession. But continuing ultra-low interest rates or bond-purchase programs for too long could spark a sudden and sharp increase in prices. That inflation could also damage the economy.

Sources: Google Offers to Display Rival Sites Via Auction

Alphabet unit Google has offered to display rival comparison shopping sites via an auction as part of an EU compliance order following a landmark fine for favoring its own service, four people familiar with

the matter said on Monday.

The proposal, submitted to the European Commission on August 29 following a record 2.4-billion-euro ($2.87 billion) penalty, would allow competitors to bid for any spot in its shopping section known as Product Listing Ads, the people said.

Three years ago, the world’s most popular internet search engine made a similar offer in an attempt to settle a long-running investigation by the European Commission and stave off a fine. The offer was ultimately rejected following negative feedback from rivals and discord within the EU executive.

Under this earlier proposal, Google had reserved the first two places for its own ads. The new offer would also see Google set a floor price with its own bids minus operating costs. The company has sought feedback from competitors.

The offer does not address the issues set out by EU competition regulators, the people said. The Commission had ordered Google to treat rivals and its own service equally.

“This is worse than the commitments,” one of the people said, declining to be named because of the sensitivity of the matter.

The Commission was not immediately available for comment.

Google did not respond to a request for comment. Google has until September 28 to stop its anti-competitive practices or its parent company Alphabet could be fined up to 5 percent of its average daily worldwide turnover.

WHO: Too Many People Dying Prematurely From Non-communicable Diseases

The World Health Organization reports some progress is being made in reducing premature deaths from non-communicable diseases.  But it says much more needs to be done to save the lives of nearly 40 million people who die every year from preventable causes.

In this latest global assessment, the World Health Organization reports cardiovascular and chronic respiratory diseases, cancers and diabetes continue to be the world’s biggest killers.  Every year, it says 15 million adults in the most productive period of their lives, between the age of 30 and 70, will die prematurely.  

The biggest risk factors are tobacco, the harmful use of alcohol, unhealthy diets and lack of physical activity.  WHO director for the prevention of non-communicable diseases, Douglas Bettcher, said the world is not on track to meet the Sustainable Development Goal of cutting premature NCD deaths by one third by 2030.   

“The window of opportunity to save lives is closing.  This is playing out before our eyes in many ways, including increasing numbers of people, particularly children and adolescents suffering from obesity, overweight and diabetes.  If we do not take action now to protect people from NCDs, we will condemn today’s and tomorrow’s youth to lives of ill health and reduced economic opportunities,”  Bettcher said.

Despite common perceptions, Bettcher told VOA premature deaths from non-communicable diseases are not just a rich country problem.

“Eighty percent of the deaths are in countries that are already often stressed, their health systems are stressed with the usual, the conventional burdens of disease, communicable diseases, maternal-child health problems.  And, then this is an added, extremely large burden for the health system,” Bettcher said.

WHO reports Costa Rica and Iran lead the 10 best performing countries in reducing deaths from non-communicable diseases.  It says six countries have achieved no progress at all.  Five are in Africa: Angola, Equatorial Guinea, Guinea Bissau, Sao Tome Principe and South Sudan.  The sixth country is Micronesia in the western Pacific.

Urgent Action Under Way to Prevent Spread of Cholera in West Africa

An emergency vaccination campaign is getting under way in northeastern Nigeria to prevent a deadly cholera outbreak from spreading to other countries.

The World Health Organization reports the potentially devastating cholera situation is emerging in Borno State in northeastern Nigeria. During the past few months, it says 2,600 suspected cases of this fatal disease, including 48 deaths, have occurred in this former stronghold of Boko Haram. The militant group has been waging war to establish an Islamic state in northeast Nigeria.

Dominique Legros is cholera coordinator for WHO’s department for pandemic and epidemic diseases. He says the outbreak, which is centered in camps for internally displaced people, is spreading to other areas of northeastern Nigeria, toward Chad and northern Cameroon.

He says 900,000 people in the state will receive the oral cholera vaccine to quickly contain the spread of the disease.

“Once it is out of the box, once it has spread, it is very, very difficult to contain and we have a huge number of cases and deaths,” he said. “So, this outbreak in Nigeria, hopefully, will not reach Chad, because in Chad already, we have an alert in the eastern part of the country towards the border with Sudan, 344 cases, 49 deaths.”

Legros says this comes to a 14 percent case fatality. He notes this is very high for a cholera outbreak, which usually has a case fatality rate of less than one percent.

WHO estimates the global cholera disease burden at around 2.9 million suspected cases, including 95,000 deaths. It reports Yemen has the world’s worst cholera epidemic, with nearly 690,000 suspected cases and more than 2,000 deaths.

The agency expresses concern about the situation in Africa, where it reports tens of thousands of suspected cases and thousands of deaths in, among others; Somalia, South Sudan, Sudan, eastern Democratic Republic of Congo, Kenya and Tanzania.

 

 

 

Countries Racing to Develop Warfare Robots

With air drones now being a fixture in nearly every army’s arsenal, defense industries are hard at work developing ground and underwater robotic vehicles, trying not to fall behind others. Most of the technology has already been developed for industrial robots, and the rapidly expanding self-driving vehicle segment of the automotive industry. VOA’s George Putic looks at the state of warfare robots.

An Eye In the Sky May Help Resolve Hurricane Insurance Claims

The hurricanes that brought howling winds and destructive floods to the Houston area and much of Florida are now swamping insurance companies with a multi-billion dollar wave of claims. Some insurance firms are using aerial photography to gather facts to help settle claims. Aerospace firm Airbus is offering free access to one of the world’s largest libraries of satellite images to speed the claims process — and build its business. As VOA’s Jim Randle reports, speed can save money.

Harvey Recovery Czar Faces Limits to ‘Future-proofing’ Texas

The man tasked with overseeing Texas’ Hurricane Harvey rebuilding efforts sees his job as “future-proofing” before the next disaster, but he isn’t empowered on his own to reshape flood-prone Houston or the state’s vulnerable coastline, which has been walloped by three major hurricanes since 2006.

 

Texas A&M Chancellor John Sharp will face the same political and bureaucratic challenges that have long stalled meaningful improvements in storm protections, and some doubt that even Harvey’s record flooding and huge price tag will bring about real change.

 

“It doesn’t give me very much confidence at all,” Houston resident Steve Sacks said of the prospects that the government will get the recovery right. Sacks’s home has flooded four times since 2012, and even before Harvey’s floodwaters near the rooftops in his Meyerland neighborhood, he was frustrated by delays and what he believes is the mismanagement of a government project to elevate homes in the city.

 

“It’s all spur of the moment and not thought out. It’s just, ‘Let’s go ahead and react now to make it look good,”’ said the 46-year-old Sacks.

 

Sharp, who was appointed by Republican Gov. Greg Abbott, follows a line of fix-it men charged with picking up the pieces following major storms in recent years, including Hurricane Katrina in 2005 and Superstorm Sandy in 2012. He has won early bipartisan praise as a practical choice to preside over the efforts to recover from Harvey, which killed more than 70 people and damaged or destroyed more than 200,000 homes.

Sharp is the rare Democrat with sustained relevance in Republican-controlled Texas. He is former lawmaker and state comptroller who was U.S. Energy Secretary Rick Perry’s college roommate at Texas A&M, which Sharp has led since 2011 and will continue to lead while overseeing the rebuilding effort. Abbott joked that he’s now getting calls, texts and emails from Sharp “up to and sometimes well after midnight.”

 

Sharp hasn’t laid out a long-term rebuilding plan yet and most of his public comments so far have been aimed at reassuring hard-hit communities that he won’t be a bureaucratic cog. But he has indicated that he’s thinking about the next disaster, saying “one of the guiding principles will be to future-proof what is being rebuilt so as to mitigate future risks as much as possible.”

 

Abbott spokesman John Wittman said Sharp will be involved in developing a rebuilding plan to “minimize the impact” of future natural disasters and will advocate for funding.

 

But Sharp is constrained in how far he can go in reimagining a more resilient Texas coast. His mandate only pertains to public infrastructure, and not housing, which experts say is crucial to any comprehensive mitigation plan, including buying out particularly flood-prone neighborhoods.

Sharp’s mandate also doesn’t mention zoning changes — Houston is the largest U.S. city with no zoning laws — or how much money the state will put up to deliver on his eventual recommendations. Abbott, who has estimated that the recovery could cost more than $150 billion, has suggested the state will dip into its $10 billion rainy day fund, but not by how much.

 

“When you’re dealing with a limited amount of funds, there are always trade-offs that have to be made,” said Marc Williams, deputy executive director of the Texas Department of Transportation. His agency will work closely with Sharp’s commission, which could recommend elevating certain roads that flooded during Harvey.

 

All rebuilding czars are eventually tested by political and financial realities. Donald Powell, who left his role as chairman of the Federal Deposit Insurance Corporation to be the federal coordinator of Gulf Coast recovery efforts after Katrina, expressed frustration over not being able to speed up the rebuilding.

 

Marc Ferzan, who was appointed by Gov. Chris Christie to oversee New Jersey’s recovery after Sandy, said his biggest struggle was jumping from agency to agency to get funding.

 

“Whether it’s Katrina or Sandy or any major event you’re going to hear the same story. It’s just the way disaster aid is administered. It’s a slow, cumbersome process that is too bureaucratic to respond to the urgency of the situation,” he said.

 

After Hurricane Andrew caused $26 billion in damage to the Miami area in 1992, Florida installed the most stringent building codes in the country. Since 2001, structures throughout the state must be built to withstand winds of at least 111 mph (178 kph), and new codes also require shatterproof windows, fortified roofs and reinforced concrete pillars, among other things.

 

Sam Brody, an environmental planning expert and director of the Center for Texas Beaches and Shores at Texas A&M University, said drainage is among the “low-hanging fruit” that could be addressed immediately to begin future-proofing the coast for the next major storm. But he said the funds and the political determination must be solved.

 

“In terms of will, there hasn’t been the will in the past. Maybe this is a wake-up call, and maybe with his leadership and personality, he can change the way we can think and act,” Brody said of Sharp.

This week, Houston Mayor Sylvester Turner endorsed long-stalled plans for a sweeping reservoir project that might have spared parts of the city from Harvey’s flooding. He also has joined some top Texas Republicans in urging Congress to approve billions to build a coastal seawall that could protect Houston and other areas from deadly storm surges that Harvey didn’t unleash but that future storms could.

 

Turner said Houston “cannot talk about rebuilding” if “we do not build the coastal spine.”

 

How active the federal government will be in making the Texas coast more resilient is unclear. Following Sandy, the Obama administration commissioned a design competition that ultimately resulted in nearly $1 billion in federal funding to kickstart projects that include turning the low-lying Meadowlands into a flood-protected public park and installing bulkheads and seawalls along the Hudson River.

 

The project, known as Rebuild by Design, was just a one-time initiative. And even when things go right, such enormous undertakings are slow to materialize: the first projects aren’t scheduled to break ground until 2019, seven years after Sandy.

 

“You are receptive when you feel like something ripped the heart out of your city,” said Amy Chester, managing director of Rebuild by Design. “Everyone is going to need to say, ‘We’ve had enough.”’