10/02/2014

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:00:00. > :00:00.Shepperton in Surrey. Now on BBC News - all the latest

:00:07. > :00:22.business news live from Singapore. Putting on a show. The region's

:00:23. > :00:23.biggest aviation event kicks off in Singapore.

:00:24. > :00:26.Doing business in India, the competition is heating up as more

:00:27. > :00:31.and more foreign firms enter the market.

:00:32. > :00:43.Thanks for joining us. We start off with the biggest aviation event, the

:00:44. > :00:47.Singapore Airshow, which begins on Tuesday. Aviation leaders around the

:00:48. > :00:51.globe have come to see this, hoping to do some major deals. More than a

:00:52. > :00:57.thousand companies from 20 nations will be here. The previous airshow

:00:58. > :01:02.in 2012, deals worth $31 billion were announced. One country with a

:01:03. > :01:06.strong presence is the US. It is the feature country this year. We spoke

:01:07. > :01:12.with the American ambassador to Singapore. We asked how important

:01:13. > :01:18.the air show is the US. It is crucial. We all know that Asia over

:01:19. > :01:26.the next 20 years is going to do more business with the rest of the

:01:27. > :01:29.world combined. We have 163 companies here which represent the

:01:30. > :01:36.largest companies to the small companies, commercial services. If

:01:37. > :01:42.there is a need in aerospace, we have a country to fill the bracket.

:01:43. > :01:49.Asia is a big pie right now where everybody wants to invest. In which

:01:50. > :01:55.countries and in which institutions? The beauty about the aerospace

:01:56. > :02:01.industry because it is so mobile by definition means that you can do a

:02:02. > :02:07.little here and there. This airshow allows us to talk to all the same

:02:08. > :02:13.people at the right time. And get deal done, as you say. Deals not

:02:14. > :02:20.only on the commercial side but also the military. How does this fit into

:02:21. > :02:25.the overall Asia policy of President Obama. We are seeing a real-life

:02:26. > :02:32.manifestation of rebalance and since before I got here. This is when we

:02:33. > :02:38.can show the world that we have over ten Admiral 's and generals with

:02:39. > :02:43.four stars above coming here, standing side by side with CEOs and

:02:44. > :02:49.regional leaders. They are working hand in glove. -- admirals. We can

:02:50. > :02:54.see economic potential in this part of the world but also frontier

:02:55. > :03:01.markets. There are challenges. We have poor safety record for some

:03:02. > :03:05.airlines, automation issues at some airports. Safety is a big concern

:03:06. > :03:09.for commercial airlines like Boeing. It must be the primary concern,

:03:10. > :03:14.safety. One thing we see from every country in the region is that they

:03:15. > :03:18.are working to improve. We want to be involved to help with that. To

:03:19. > :03:22.your point, we have the FA administrator here for the airshow,

:03:23. > :03:26.talking about some of the things that are going on in civil aviation.

:03:27. > :03:30.We just want to be part of the conversation. The companies want to

:03:31. > :03:37.be part of the solution. The US ambassador to Singapore.

:03:38. > :03:39.In relation to the airshow which begins tomorrow, Indonesian defence

:03:40. > :03:45.officials have pulled out amid a disagreement over the naming of an

:03:46. > :03:48.Indonesian warship. The spat between Singapore and Jakarta is over the

:03:49. > :03:54.decision to name a big frigate after two Marines executed for their

:03:55. > :03:58.involvement in a fatal bombing in an incident in Singapore in the 1960s.

:03:59. > :04:02.Get more information on the Singapore air fought -- airshow from

:04:03. > :04:08.the website including defence spending in Asia.

:04:09. > :04:09.Companies are facing pressure from international rivals as the

:04:10. > :04:15.government encourages more investment by foreign firms. Sectors

:04:16. > :04:18.like retail and aviation are opening up to overseas companies but doing

:04:19. > :04:23.business in India is difficult. We have more from the northern state

:04:24. > :04:30.on how multinational companies are coping.

:04:31. > :04:35.This is the home to some of the most well-known global giants. There are

:04:36. > :04:41.nearly 250 multinational companies here. More and more are setting up.

:04:42. > :04:46.India, with a middle-class the size of the US population, is not a

:04:47. > :04:49.country which most companies can ignore. The country was hailed as

:04:50. > :04:55.one of the most promising growth markets. Unpredictable regulation

:04:56. > :04:58.and bureaucracy along with slower economic growth have shaken the

:04:59. > :05:08.confidence of companies from making big investments here. This company

:05:09. > :05:12.makes industry software to help companies design and manufacture.

:05:13. > :05:16.They have been here for decades but the company says in India, you have

:05:17. > :05:21.got to be prepared for the unexpected. The basic surprise in

:05:22. > :05:25.the market is at the unpredictability. With customers,

:05:26. > :05:33.unpredictable business, unpredictable at the old and the

:05:34. > :05:36.operating environment. You may not be obligatory office because someone

:05:37. > :05:40.has died at the road. With the complicated market, global business

:05:41. > :05:43.comes here and tested people like these. Marketing to specialists,

:05:44. > :05:50.they guide companies through the process. They say that business has

:05:51. > :05:54.grown over 70% in the past year. What is the advice they give their

:05:55. > :05:58.clients? Planning for the longer term is key. Having expectation that

:05:59. > :06:06.it will take time to succeed and not expect results in the early stages.

:06:07. > :06:10.India remains a promising yet challenging market which many are

:06:11. > :06:14.trying to crack. Why must people feel that there is money to be made

:06:15. > :06:20.in India, there are plenty of question marks. The upcoming general

:06:21. > :06:24.elections brings another element of uncertainty. That is not conducive

:06:25. > :06:28.to investment. In other business News,

:06:29. > :06:34.investigations had been launched after the Newsday reported dozens of

:06:35. > :06:36.confidential files related to Berkeley 's bank customers were

:06:37. > :06:42.allegedly stolen and then sold to world brokers. Newspapers said that

:06:43. > :06:47.an anonymous whistleblower handed it a memory stick with personal data

:06:48. > :06:51.from 2000 Berkeley customers. Berkeley 's said it was still

:06:52. > :06:57.investigating the matter. The owners of the Bangladesh Garment factory

:06:58. > :07:02.where 112 workers died two years ago have turned themselves into

:07:03. > :07:05.authorities. The arrest warrants were issued to

:07:06. > :07:09.the pair in December. It is the first time that Bangladesh has

:07:10. > :07:12.sought to profit -- prosecute factory owners in the garment

:07:13. > :07:17.industry which is the world's second-largest after China, a vital

:07:18. > :07:22.part of the Bangladeshi economy. Japan has posted the deficit for

:07:23. > :07:27.December of $6.25 billion, slightly lower than forecast. The second

:07:28. > :07:30.largest economy in Asia is dealing with a weaker yen which had inflated

:07:31. > :07:37.the cost of energy imports. In recent years, Japan has bought

:07:38. > :07:40.fossil fuels to make up for energy lost from closed down nuclear power

:07:41. > :07:44.facilities. Moving to Indonesia, the dispute

:07:45. > :07:50.between the government and the mining industry continues. In the

:07:51. > :07:52.latest move, the plan is to force mining industries to make

:07:53. > :07:57.downpayments towards the cost of building new smelting facilities.

:07:58. > :08:01.The row began in 2009 when the law was passed which required companies

:08:02. > :08:07.to process mineral ores inside Indonesia and allowing only exports

:08:08. > :08:14.of processed minerals. The law was relaxed to a degree but finally

:08:15. > :08:18.implemented last month. A earlier spoke with an expert and are simple

:08:19. > :08:24.or detail on the law and how this is impacting the mining sector.

:08:25. > :08:33.It has been on the cards since 2009. It seemed very confused and ill

:08:34. > :08:36.formulated. In the lead up to the intimidation of this requirement

:08:37. > :08:43.that it be processed on shore, it turns out that the mining Minister

:08:44. > :08:48.was try to ratcheted down bit because... Job losses have very been

:08:49. > :08:53.there because of fluctuation in commodity prices. I relight it is

:08:54. > :09:01.the more of this job reduction as a result of this new law? It depends

:09:02. > :09:08.now on how it moves forward. The miners are trying to negotiate with

:09:09. > :09:12.the government to try to ratchet down. If they can, they will carry

:09:13. > :09:17.on with exports because they have installed. If that happens, jobs are

:09:18. > :09:23.preserved. If exports continue to stall, going forward, we will expect

:09:24. > :09:29.a job losses to persist. It is an election year. We will indeed see a

:09:30. > :09:38.new president come to power. Could he overturned this law to basically

:09:39. > :09:40.appease the mining industry? Not overturn the law. Leading up to

:09:41. > :09:46.elections, there is no way they would do that. After the elections,

:09:47. > :09:49.the President, the new president, will be limited in what he or she

:09:50. > :09:55.could do. They could try to tweak it a little more and appease some of

:09:56. > :09:58.what the mining is -- miners are demanding that the overall plan is

:09:59. > :10:00.to process the mineral or onshore, that is now part of the Indonesian

:10:01. > :10:07.landscape for. -- for miners. A quick look at the markets. Some

:10:08. > :10:24.volatility in some of these markets. The South Korean market is flat at

:10:25. > :10:32.the moment but we are seeing gains for some key markets.

:10:33. > :10:41.Thank you for investing your time with us. Sport today is up next.

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