:00:00. > :00:00.BBC World News. Now for the latest financial news
:00:00. > :00:14.with Sally Bundock in World Business Report.
:00:15. > :00:20.Going the long haul. Norwegian is launching budget flights from Europe
:00:21. > :00:27.to the US, but will it succeed where other low cost carriers have failed?
:00:28. > :00:30.Use by, sell by or best before? Are supermarkets guilty of causing
:00:31. > :00:36.unnecessary food waste on a grand scale?
:00:37. > :00:44.Welcome to World Business Report. I'm Sally Bundock. Also in the
:00:45. > :00:47.programme: As Indonesia gears up for elections, we hear what its Finance
:00:48. > :00:54.Minister says about the challenges ahead.
:00:55. > :00:56.In a few hours, a Boeing 787 Dreamliner will take off from
:00:57. > :01:00.London's Gatwick Airport, heading across the Atlantic to Los Angeles.
:01:01. > :01:03.The plane will be in the colours of the budget airline Norwegian. But
:01:04. > :01:04.the flight represents more than just another new route for the
:01:05. > :01:10.fast`growing Scandinavian carrier. It marks the return of lower`cost
:01:11. > :01:13.long`haul travel. After success within Europe, Norwegian has done
:01:14. > :01:16.its sums and believes it will succeed where many other carriers
:01:17. > :01:18.have so far failed in cutting fares on much longer hops. Our European
:01:19. > :01:32.business correspondent, Nigel Cassidy, reports.
:01:33. > :01:38.Cheap and cheerful, no`frills flights across the Atlantic are not
:01:39. > :01:41.new. It is more than 30 years since Britain's sir Freddie later took the
:01:42. > :01:49.industry giants and failed in the attempt. Inventory 1982 his airways
:01:50. > :01:53.was granted for good, if skytrain couldn't cope with skyhigh oil
:01:54. > :02:02.prices and half empty planes in winter `` Laker. More recently,
:02:03. > :02:05.one`time Malaysian music executive, Tony Fernandez, tried to get the
:02:06. > :02:09.long haul low`cost flights started, though his plans were too thirsty to
:02:10. > :02:13.make the economics work, flying routes from Asia to Europe. 2.5
:02:14. > :02:21.years ago, he ended services to London and Paris. Now, Norwegian
:02:22. > :02:26.hopes the Boeing 787 Dreamliner will allow it to succeed where its
:02:27. > :02:30.predecessors failed. This week, it is flying to Los Angeles, New York
:02:31. > :02:35.and Florida with London Gatwick. Fares won't be as low as air Asia
:02:36. > :02:44.was aiming for. It believes that lower cost transatlantic travel,
:02:45. > :02:49.with its trial from Oslo, could be sustainable `` Air Asia. US airline
:02:50. > :02:52.pilot oppose the way the airline sets up subsidiaries in other
:02:53. > :02:57.countries to recruit staff under local employment conditions.
:02:58. > :03:02.Washington seems in no move `` mood for a train trade war. You can
:03:03. > :03:12.expect more competitors to use the latest plans to cut fares between
:03:13. > :03:20.continents. `` trade war. With me is Toby Nicol from the World Travel and
:03:21. > :03:25.Tourism Council. He also worked for easyJet. They are offering a flight
:03:26. > :03:32.from London to New York for ?150, $260. How good is it? It is a fair
:03:33. > :03:37.deal. If you double that to make a return you get to ?300, $500. When
:03:38. > :03:43.you add other bits and pieces, baggage, food and taxes of course,
:03:44. > :03:51.you get relatively close to the cheapest available fares.
:03:52. > :03:54.Particularly Virgin Atlantic, reddish airways, united American and
:03:55. > :04:02.so on. It will depend on how many seats they have available `` British
:04:03. > :04:06.Airways. As was outlined, others have tried this and they haven't
:04:07. > :04:11.pulled it off. Will this business model succeed? They have every
:04:12. > :04:16.chance for the reason that technology is now available to do
:04:17. > :04:22.it. Starting with Freddie Laker in the 70s and everyone since then, the
:04:23. > :04:27.planes have been too thirsty. The arrival of the Boeing 787
:04:28. > :04:31.Dreamliner, in the industry, it is changing the economic of the
:04:32. > :04:37.industry. If it can be 20% cheaper on fuel burn, that is a huge saving.
:04:38. > :04:42.That is what will underpin the success or not. When you are at
:04:43. > :04:46.easyJet, were they trying to make this happen? We never looked at it.
:04:47. > :04:51.None of the major European airlines have looked at it. One of the things
:04:52. > :04:55.keeping costs low in the low`cost airline is sticking to your
:04:56. > :04:59.knitting. If you operate within Europe on flights up to 3.5 hours,
:05:00. > :05:04.stick to that and don't change, don't get distracted by flying long
:05:05. > :05:11.haul. That was what we always said. Norwegian frigate have cracked it.
:05:12. > :05:14.We will watch with interest. All this week we're looking at the
:05:15. > :05:18.food that gets wasted around the world and what can be done to stop
:05:19. > :05:21.it. In the developed world, the biggest wasters of food is us, the
:05:22. > :05:24.consumer at home. In Europe alone, we throw away millions of tons of
:05:25. > :05:27.fresh produce a year, the average household in Europe wastes over
:05:28. > :05:31.$1000 a year on food that is thrown away. Nearly 15% of this food waste
:05:32. > :05:33.has been untouched and unopened because it has passed its sell by
:05:34. > :05:37.date. Currently confusion over food date labelling is the root cause of
:05:38. > :05:40.the majority of our household waste. So what can the consumer need to do
:05:41. > :05:56.so it wastes less food? Chloe Hayward reports.
:05:57. > :06:03.What would you like? Lunchtime in this household. Carrots? She tries
:06:04. > :06:10.hard to not waste fruit and vegetables. Once it is past its sell
:06:11. > :06:16.by date, it ends up in the bin. It has gone soggy and is past its sell
:06:17. > :06:20.by date. Since having children, I am more cautious about what I see
:06:21. > :06:26.them. I wouldn't want to get the kids seek. If you are past a sell by
:06:27. > :06:33.date, it's so is a seed of doubt and with children you will obviously be
:06:34. > :06:37.a little more cautious. Currently in the EU, 100 million tons of food is
:06:38. > :06:41.thrown out every year. 15 million tons of that comes from households
:06:42. > :06:44.that have thrown away goods past their best before date. Now, the
:06:45. > :06:49.European Commission is trying to do something about that, cabling plans
:06:50. > :06:53.to scrap compulsory best before dates on dried goods such as pastor
:06:54. > :06:57.and rice and spread as well as condiments like these. They think
:06:58. > :07:02.that without the best before date, food waste will be reduced
:07:03. > :07:07.dramatically `` pasta. Despite the plans, supermarkets say that date
:07:08. > :07:11.labels are important. Display until dates, use by date and best before
:07:12. > :07:15.dates are subject to a level of confusion. We have to rotate stock,
:07:16. > :07:19.so this is about stock rotation. Best before is to protect quality.
:07:20. > :07:27.Use by Easter protector safety of the product. `` use by is to
:07:28. > :07:31.protect. At this campaign, love food, hate waste, it is that
:07:32. > :07:36.packaging should not confuse consumers but offer advice on how to
:07:37. > :07:39.food better. Some of the work we have done is look at improved
:07:40. > :07:45.storage advice on the pack. We store food by habit, we take our apples
:07:46. > :07:49.out of the bag and put it in the fruit bowl, which is the worst thing
:07:50. > :07:53.you can do. Having some information saying to keep it in the fridge in
:07:54. > :07:58.its original packaging, it will mean you get two more weeks to use the
:07:59. > :08:04.food. In the bid to avoid waste, Tara says planning is the name of
:08:05. > :08:07.the game. On Monday, the children had sweet potato. She decides what
:08:08. > :08:12.she will cook each week and adapt the menu depending on what will go
:08:13. > :08:14.out of date. With a joint of ham nearing its best before date, it
:08:15. > :08:22.looks like a healthy dinner for this boy tonight.
:08:23. > :08:27.Very organised. Envy. A week from today, Indonesia goes to
:08:28. > :08:30.the polls. A resource boom has begun to transform the country, making it
:08:31. > :08:33.one of the next tier of developing economies expected to emerge onto
:08:34. > :08:36.the world stage much as China and India did 20 years ago. It's got the
:08:37. > :08:40.largest economy in southeast Asia, which grew at 5.8% in 2013, that
:08:41. > :08:42.sounds a lot, but apparently it's not enough.Our Chief Business
:08:43. > :08:48.Correspondent Linda Yueh is in Jakarta.
:08:49. > :08:56.Nice to see you. Tell us more about the week ahead and the challenges
:08:57. > :09:01.facing Indonesia. Behind me in Jakarta you can see the
:09:02. > :09:06.business district, the mass of traffic jams, a big challenge for
:09:07. > :09:11.the country. We spoke a moment ago about a 5.8% growth rate last year,
:09:12. > :09:16.the slowest since 2009. You recall last year, Indonesia was considered
:09:17. > :09:22.one of the fragile five economies at risk a potential crisis once the Fed
:09:23. > :09:27.cuts back on cheap money. What that points to is that this is an economy
:09:28. > :09:32.without the infrastructure or the support to all our bit to grow and
:09:33. > :09:34.sustain a large middle class, which is the challenge for the
:09:35. > :09:40.presidential contenders in the week ahead. Whoever wins this election,
:09:41. > :09:46.when they go to the polls next week, they will have to do quite a lot to
:09:47. > :09:49.transform an economy which has institutional problems, has relied
:09:50. > :09:52.on a resource burden, investors have been waiting on the sidelines
:09:53. > :09:58.because they see this fragility. On the other hand, Indonesia has the
:09:59. > :10:01.fourth largest population in the world, smaller than the United
:10:02. > :10:05.States, giving it a massive potential. To realise that, it will
:10:06. > :10:09.take a transformation of the way that the government runs the country
:10:10. > :10:13.and that is why there is a great deal at stake in these presidential
:10:14. > :10:20.elections coming up next week. Back to you in London.
:10:21. > :10:24.Thanks very much. She is with us throughout the morning from there.
:10:25. > :10:39.That is all from World Business Report. See you soon. Thank you
:10:40. > :10:43.Sally. We will look at the papers in a moment. Now though, Councils are
:10:44. > :10:45.warning that financial pressures and growing demand are combining to make
:10:46. > :10:47.social care services unsustainable. Here's our social affairs
:10:48. > :10:48.correspondent, Alison