MercoPress. South Atlantic News Agency

Brazil props the Real

Chilean beef exports; Rhino tracheal bovine infection in Magallanes; English artist exhibit in Antarctica; More complaints about Lan Chile

Brazil props the Real

Brazil's Central Bank raised the basic reference interest rate three points, from 18 to 21%, to prop the local currency, Real that has been under strong pressure since the current presidential campaign began earlier this year and has heightened as the final run off next October 27th becomes closer. Prospects of a landslide victory by opposition candidate Luiz Inacio Lula da Silva in less than two weeks time, rocketed fears about Brazil's future capacity to honour its mounting foreign debt of 260 billion US dollars. The Central Bank said the rise was necessary because of rising prices and worsening expectations regarding inflation due to an accentuated depreciation of the Real. The Brazilian currency has lost 40% of its value since the beginning of the year and reached a record low last week when it fell below four Reales to the US dollar. Even when Lula anticipated he would respect many of the free market reforms sponsored by the current government, it's known that the former radical union leader is note entirely convinced of limiting the government's participation in the economy. The Brazilian currency's depreciation has pushed inflation above the twelve months target, possibly slowing even further a sluggish economy that is expected to grow a meagre 1%. National unemployment in Brazil stands at 8,2% almost double when the current open market reforms were launched eight years ago.

Chilean beef exports

Chile expects to more than double beef sales overseas in 2003 that this year reached five million US dollars. Agriculture and Livestock Undersecretary Arturo Barrera made the optimistic announcement during a forum held in Santiago. Of the five million US dollars of 2002, half were shipped to Israel and the rest mostly to Cuba and Central America. In 2003 Chile expects to begin shipments to the European Union and Mexico plus five million US dollars to Israel. Chile has a 1,000 tons quota in the European Union. Mr. Barrera also announced that Chilean sanitary authorities certified the first local abattoir to begin operating with the European Union.

Rhino tracheal bovine infection in Magallanes

Magallanes Agriculture and Livestock regional office is demanding a sanitary barrier for the region given reports of an outbreak of a new bovine viral infection. Carlos Rowland head of the regional office that keeps track of agriculture and livestock sanitary conditions said that the recent discovery of an outbreak of infectious bovine rhino tracheal infection in Ultima Esperanza was evidence that "more strict regulations are needed including a sanitary barrier for the whole Region". Blood samples sent to Santiago de Chile proved the existence of three cases of rhino tracheal bovine infection that has a viral origin and attacks in three stages, respiratory, diarrheic and abortive. "We immediately quarantined the farm and began collecting epidemiological data to check what is happening in other farms and how the outbreak originated", said Mr. Rowland. "It's vital for us to determine whether the disease is new to the area or it's been around for years", stressed Mr. Rowland, adding that having a permanent sanitary barrier in Magallanes would be of great help to preserve the area's privileged conditions for livestock breeding.

English artist exhibit in Antarctica

Chilean icebreaker "Oscar Viel" left this week for Antarctica with an itinerant exhibit of paintings from English artist Marianne North. The exhibit that includes 32 paintings will be officially inaugurated at the end of the month in the Chilean Navy Antarctic station "Arturo Prat", where it will remain open to the public until the end of March 2003. Marianne North, (1830-1890) considered an outstanding English painter travelled and visited extensively Chile in 1884, painting exotic Chilean fauna and flora of the XIX century that became part of the country's heritage. Ms. North paintings are not very well known in Chile but have an outstanding international recognition because of their artistic quality and contribution to botanical science.

More complaints about Lan Chile

Following on Chilean Congressman Zarko Luksic's recent remarks regarding Lan Chile's monopoly situation in flights to Magallanes Region, two other Deputies complained about regulators "lack of diligence" in responding to the carrier's privileged position in the domestic air travel market. Congressmen Pedro Muñoz and Francisco Encina recalled that on March 15th 2001, after Avant Airlines ceased flights to Punta Arenas, they met with Attorney General in Economic Affairs Francisco Fernández demanding action given "Lan Chile's dominating position in the domestic air market". Further more, when Aerocontinente was banned from operating, Lan Chile consolidated its market position in flights to Punta Arenas, "and we again contacted the Attorney General on Economic Affairs, Mr. Pedro Mattar, via an official request from the Lower House to the Ministry of Economy", said Mr. Muñoz. The second request took place July 31st this year pointing out that in "Magallanes and Coquimbo, Lan Chile has become the only operator", and "we therefore insisted in adequate regulations for such market situations".