
Uruguay consumer price inflation accelerated to 8.6% in 2011 from 6.93% the previous year, the government stats office, INE said on Tuesday.

Mercosur soybean production is expected to fall 2.9% after dry weather and heat damaged crops in Brazil and Paraguay and as conditions deteriorate in Argentina, Hamburg-based industry researcher Oil World said.

Uruguayan president Jose Mujica said he promotes good relations with the entire world but he is well aware of the significance of neighbouring Argentina for the Uruguayan economy and that “we must jump into the stirrup of Brazil”.

No changes are needed in current legislation to bar vessels flying the Malvinas flag from entering Uruguayan ports, but Uruguay also speculates that if the vessels change to the English flag there will be no problems, according to a report from the Foreign Affairs ministry.

Brazilian president Dilma Rousseff will be celebrating on Sunday her first of four years in office with a record public opinion support of 72%, based on a sober and firm style in running what has become the world’s sixth largest economy.

In its latest article on Argentina The Economist refers to the recent Mercosur decision to support President Cristina Fernandez in barring vessels flying the Falklands’ flag from docking in regional ports.
The magazine as the heading says (Argentina and the Falklands: rocking the boat) describes it as another diplomatic victory for Cristina and also argues that both the Falkland Islands and Britain have failed to explain their case to the rest of South America.

The location of a new deep water port for the Falkland Islands been narrowed down to three potential sites: Mare Harbour, Navy Point (north of the Camber) and Stanley harbour (FIPASS) it was confirmed at the Executive Council meeting last week following a discussion of the issue.

The British Ambassador to Chile, Jon Benjamin, expressed on Tuesday UK’s “concern” over “countries that have joined” the Mercosur bloc in their decision to support Argentina, by putting in place a ban on ships flying the Malvinas Islands’ flag from docking at their ports.

Students have voted to end occupations at two of the most symbolic institutes of Chile’s public education system, but have vowed to continue demonstrations after months of protests have failed to achieve significant reforms to the country highly privatized, class based education system.

Argentine president Cristina Fernandez has tested positive for papillary thyroid cancer and will undergo surgery next January 4. The Argentine leader will be taking a leave of absence until January 24th, announced on Tuesday the Executive spokesperson Alfredo Scoccimarro.