:00:14. > :00:21.Flirting with the bears following Tuesday's sharp drop - we have the
:00:22. > :00:26.latest on the Japanese sharemarket. And we find out how low prices and
:00:27. > :00:38.the spirit of giving has been good for one Hong Kong restaurant. Good
:00:39. > :00:45.morning Asia, hello world. Glad you can join us. We start with the
:00:46. > :00:51.Japanese stock market. We are 1.5 hours into the trading day,
:00:52. > :00:58.monitoring movements in the Nikkei. We see a continuation of
:00:59. > :01:06.yesterday's fall. It is down 1%, adding up to the 5.4% loss
:01:07. > :01:10.yesterday. 6.5% down in two trading days for the Japanese stock market.
:01:11. > :01:19.In Australia, the all ordinaries index giving back 1.6%. So, more bad
:01:20. > :01:22.news, or will the market turnaround? I put that question to
:01:23. > :01:28.Shane all of us got on let worries about global growth will linger for
:01:29. > :01:35.longer -- I put that question to Shane Oliver. I figure there could
:01:36. > :01:40.be a downturn of five to 10%. Mind you, Japanese shares are down 23%
:01:41. > :01:44.from last year. It is the US sharemarket that has had a much
:01:45. > :01:47.smaller fall. This could be much more concentrated on the US shares,
:01:48. > :01:52.rather than Japanese or Asian shares going forward. Many regional stock
:01:53. > :01:57.markets are flirting with their market territory, or if not they are
:01:58. > :02:04.in it already, which means a 20% stock plunge from its highs. As a
:02:05. > :02:09.market strategist, how can you deal with this volatility and the steep
:02:10. > :02:13.downside of the markets? That is a good question. I guess it is a case
:02:14. > :02:17.of your portfolio. You have to try to avoid getting too short term. You
:02:18. > :02:22.don't want to take on too much risk because the volatility is still
:02:23. > :02:31.there. By the same token, when sharemarket fall 20% or so you can
:02:32. > :02:37.see value re-emerge. It is 20% fell -- better value in Japan. Likewise
:02:38. > :02:41.in Asia, 27% lower than last year's highs. You have to look at long-term
:02:42. > :02:44.and that's what we try to do, we have to look at opportunities which
:02:45. > :02:49.will emerge in a couple of months. For we let you go we spoke with a
:02:50. > :02:57.couple of experts in Feng Shui, in this year of the fire monkey, and
:02:58. > :03:02.they said they light -- like the metal related industries. Those have
:03:03. > :03:07.been sold aggressively. If you are going for value, better performance
:03:08. > :03:10.to the end of the year, you would be looking at those value stocks. I
:03:11. > :03:15.would add in energy stocks and machinery. That is where a lot of
:03:16. > :03:20.the carnage has come from. That is where the value is starting to
:03:21. > :03:25.emerge. Shane Oliver in Sydney. In other news making headlines, despite
:03:26. > :03:28.the blockbuster release of the latest Star Wars film, Disney
:03:29. > :03:33.reports a fall in profits for the last three months of 2015. Shares
:03:34. > :03:39.were down nearly 4.5% in after-hours trading forced Japanese airlines
:03:40. > :03:44.announces it will cancel surcharges on international flights in April
:03:45. > :03:50.and May due to falling oil prices, the first such move in sequence five
:03:51. > :03:56.years. It is rival, Nipon, is expected to follow suit. Shares in
:03:57. > :04:01.Australia's stock market lender Commonwealth Bank rising 4% after
:04:02. > :04:05.reporting strong profit. This is the biggest jump in stock because they
:04:06. > :04:08.had been under pressure due to rising bad debt charges. British
:04:09. > :04:15.luxury fashion brand Burberry is suing JCPenney, accusing the
:04:16. > :04:21.retailer of trademark infringement, selling clothes with the same exact
:04:22. > :04:25.copy of the Burberry pattern. Yesterday we looked at the
:04:26. > :04:30.challenges faced by Rice farmers in the Philippines and how technology
:04:31. > :04:34.might protect them against Typhoons -- rice farmers. Today we look at
:04:35. > :04:40.insuring. Only 5% of Filipino farmers cover their crops. The
:04:41. > :04:42.German insurer Alliance hopes to change that. Along with partners,
:04:43. > :04:47.they are using satellite to provide the missing information
:04:48. > :04:51.which previously made it difficult to ensure small farmers. I asked
:04:52. > :04:57.Thomas Hines from Alliance how this would help. Crop insurance work that
:04:58. > :05:02.the insurer guarantees a yield but in order for him to be able to do
:05:03. > :05:06.so, we need to know a lot of out the yield of a farmer and the history in
:05:07. > :05:11.order to make a sensible proposal -- Allianz. And to come up with a
:05:12. > :05:17.tariff. The insurer has to have the means to also adjust the losses. In
:05:18. > :05:20.many markets, like in South East Asia in general, where you have
:05:21. > :05:24.hundreds of millions of smallholders, it has been a huge
:05:25. > :05:29.operational hurdle to serve every farmer down to the village level,
:05:30. > :05:33.and the economies of scale didn't stack up. How soon do you think will
:05:34. > :05:39.crop insurance be introduced in the Philippines and when will the
:05:40. > :05:48.Filipino farmers benefit from it? The rice project we are undertaking
:05:49. > :05:53.is backed by the International Rice Research Centre, funded by donors
:05:54. > :05:58.like the Swiss Development Agency. We are feeling the data gap with
:05:59. > :06:07.their satellite technology. And that data gap was the major bottleneck to
:06:08. > :06:11.this delivery system of this remote sensing -based insurance system.
:06:12. > :06:16.Isn't this at a disadvantage when Filipino farmers are hit by more
:06:17. > :06:22.than 20 Typhoons and storms every year? Obviously, the frequency of
:06:23. > :06:29.the claims is also translating into the price of the insurance. And what
:06:30. > :06:33.we are only considering with this technology, it enables us to deliver
:06:34. > :06:38.a product with the right price, and we would be able to adjust their
:06:39. > :06:42.losses quickly. What benefits can be Filipino father gain from crop
:06:43. > :06:48.insurance? It would be a game changer, in the sense that if
:06:49. > :06:53.disaster strikes tomorrow, one week later we could really map out what
:06:54. > :07:00.is the extent of damage and pay outs would be much quicker than it
:07:01. > :07:04.once was. What is the potential, Mr Heinz, of expanding this insurance
:07:05. > :07:10.to other rice growing areas in the region? We are running pilots at the
:07:11. > :07:16.moment in seven countries - Thailand, Cambodia, the Philippines,
:07:17. > :07:20.Indonesia, southern India, Bangladesh and Vietnam and the
:07:21. > :07:23.technology is globally applicable. So, what we are learning in the
:07:24. > :07:28.project in the Philippines is a learning curve for us that, as a
:07:29. > :07:35.global player, we want to apply globally. In the restaurant
:07:36. > :07:40.business, owners generally raise vices when the costs rise, namely
:07:41. > :07:45.rent and ingredients. -- raise prices. One man has kept the pricing
:07:46. > :07:49.at his eatery and changed for around seven years. He tells us why he is
:07:50. > :08:23.in the business of giving. TRANSLATION: Our business wasn't
:08:24. > :08:30.doing too well in 2008. To supplement our income I started
:08:31. > :08:34.working with a charity to supply meal boxes. They cost of less than
:08:35. > :08:38.$3 US. A private company covered most of the cost. Four years later
:08:39. > :08:41.the game ended and so it was a difficult time financially. At the
:08:42. > :08:46.group of young people heard about us and found out we were having a tough
:08:47. > :08:50.time and so they put their money together for us to continue making
:08:51. > :08:52.meal boxes -- but the group. They spread word and more people joined
:08:53. > :08:58.them. After that my business improved a lot. I may be promised -
:08:59. > :09:02.because society has helped me to survive, I would contribute to
:09:03. > :09:08.society. As long as I can cover my cost, I will not raise my prices. We
:09:09. > :09:12.started out by helping homeless people, and then the elderly, and
:09:13. > :09:32.now also ethnic minorities, including refugees.
:09:33. > :09:41.When I was still a child, living in China, I had to work to support my
:09:42. > :09:46.family to pay the rent and to buy rice. There was no money for
:09:47. > :09:52.anything else, so we ate only plain rice. I know what it's like to live
:09:53. > :09:56.in poverty. I've been a business owner for a long time but found it
:09:57. > :10:03.hard to make money. After taking part in charity work, I figured out
:10:04. > :10:07.it was because I am just not a hardhearted businessman. I will
:10:08. > :10:10.always stay in this district. We will carry on, no matter what, no
:10:11. > :10:21.matter if it's cold or stormy, we will never stop. The business of
:10:22. > :10:24.giving in Hong Kong. Let's have a recap of the markets. Mounting
:10:25. > :10:30.losses for the Japanese stock market, down another 1% on top of
:10:31. > :10:31.the 4.5% loss yesterday. Thank you so much for interesting your time
:10:32. > :10:32.with us.