30/03/2016 World Business Report

Those are the latest headlines from BBC World News.

Now for the latest financial news with Sally

Up for sale, with thousands of UK steel jobs at risk.

Tata is off-loading its loss making UK business, but who will buy it?

What would it mean for Indian businesses if the UK were to leave

Welcome to World Business Report. I'm Sally Bundock.

Also in the programme: What did Janet Yellen say that caused the US

Tata Steel has confirmed it's planning to sell its loss-making UK

business and has told its European holding company to "explore all

options for restructuring", including the partial or entire

The biggest UK steel plant affected by this decision is in Port Talbot,

South Wales, that currently employs 3,500 people.

Other UK plants include Rotherham, Corby and Shotton.

The Indian company held a board meeting in Mumbai on Tuesday

Union leaders travelled to Mumbai in a bid to persuade Tata to keep

making steel at plants, including Port Talbot.

The UK and Welsh governments say they are working

tirelessly to ensure the future of the British steel industry.

Labour MP Stephen Kinnock, whose constituency includes

the Port Talbot plant, accompanied the union delegation to Mumbai.

Indication was that the turnaround plan was not acceptable to the board

and so then you have to look at other options. Clearly the most

positive of the other options is the option of finding a buyer. That's

something that will move forward I think very rapidly, as we know the

lawn products part of the business in the UK has found a buyer. -- long

products. I think there's a lot of confidence that a buyer will be

found and all of the options are now being explored and the European

board of Tata Steel has been asked to take that forward. Clearly the

steelworks in Port Talbot plays an absolutely critical role for the

entire community. There isn't a single family or street or group of

people in the area that isn't directly connected to the

steelworks. So we will continue to fight to ensure that it continues to

make a steel -- EA still making place.

Simon Atkinson has been following events from our Mumbai bureau.

Hearing the determination to find a buyer to see a resolution for this.

Union leaders are now on their way home and some are calling for action

from the Prime Minister, aren't they? That's right. The head of the

community union representing a lot of the steel workers in Port

Talbot, one of the steel plant affected by this plan, says he wants

an urgent meeting with David Cameron to try to ensure that ultimately

this plant doesn't close and the steel industry does continue. They

say the outcome of this long meetings in more by could have been

worse. Perhaps Tata could have said they would close the plant is

outright. Instead they will put the UK operations up for sale. --

plants. So they are perhaps returning to the UK disappointed,

but not as angry as they could have been. Looking at the statement from

Tata Steel they explain that really they had little choice when looking

at the financial performance of the UK business. Yes, the UK business

has long been a problem for them. If you look at Tata Steel's overall

operations, in India it is actually doing fairly well. Profits are down

slightly but it is making money. Even Southeast Asia is picking up.

It has been in Europe where it has really seen problems and this is

largely caused by issues that are hitting the steel industry

worldwide, I got the supply and low prices. So you could argue that Tata

didn't have any option. That's something which the operators in the

UK reject. They say they've put together a strong turnaround plan.

Now that's being rejected and they just hope that a sale can be done, a

deal can be found, and the plants can be saved. Thanks so much.

Indian Prime Minister Narendra Modi is in Brussels to attend an India-EU

Hopes are running high they'll be able to relaunch stalled talks

But for many Indian firms, the road to Europe has traditionally

passed through the UK and with a referendum looming

on the UK's EU membership there's a growing debate in Delhi

Finishing off garments headed for the UK high street. The textiles

industry is India's second biggest employer. This firm alone employs

nearly 100,000 people and about one third of its business is with

Britain. And its boss worries that if UK exits the European Union the

company will suffer. Everybody I know is very afraid and anxious,

very concerned. We've seen the UK like a rock. If a rock starts to

move, where do you go? He is not alone. One of India's largest

industrial bodies has already said that a Brexit, Britain's exit from

the EU, could injure the flow of investment and people by diminishing

Britain's role in providing access to Europe. The Indian home minister

Narendra Modi says Britain is the gateway and entry point to the EU

for many Indian companies. Marks Spencer has gone the other way. A

famous British name now in India, with 54 stores, more than in any

country outside the UK. The boss of its Indeo joint ventures as

so-called Brexit is complex, at thinks it may be beneficial if the

UK could negotiate its own trade agreements. The relationship that

Britain has with India has definitely been one of the factors

which has helped us to grow our business and that will certainly

contribute to standards in good stead going forward as well. The UK

at tracks more Indian investment than the rest of European Union put

together. So would Brexit make a difference? India-UK trade over the

last few decades has stood apart anyway from the EU. It has largely

occurred on a trade investment side, on a bilateral level. That was

certain extent you could argue that it won't have a significant impact

either way, because that relationship is already there.

Whatever happens in late June, India, with its young population and

rising spending power, is a country that both the UK and EU will remain

key to do -- keen to do business with.

The US Federal Reserve chair Janet Yellen has been moving

In a speech Tuseday evening she said the Fed would proceed cautiously

in its return to a normal interest rate environment.

Ms Yellen said that one thing holding up future rate rises is the

The major thing that's changed between December and March that

affects the baseline outlook is a slightly weaker projected pace of

global growth. Ali Moore joins us from our Asia

business hub. One of the big reactions is the dollar on the

slide? Yes. But on the whole, if you look at markets, it has been music

to the ears of investors, because of course what they have been really --

what they have been interested in is the emphasis on proceeding

cautiously. That seems to have prompted a bit of a rethink on when

the Fed might move next. Most regional markets certainly earlier

today were higher, not by a lot, but they were in positive territory.

Hong Kong was up more than 1%. Australia was higher earlier in the

day, but has turned negative in the past half hour or so. What happening

is really about the exposure of the financial sector in Australia to the

mining industry. Japan is one exception to the positive movement

earlier today. They've been in negative territory since they

opened. That's more about the yen and anything else. The US dollar

fell after Janet Yellen's comments and that's meant a high yen, which

is bad for Japanese exporters. Thanks so much.

More trouble for Brazil's President Dilma Rousseff.

The PMDB, the largest party in the ruling coalition, has voted for an

The move could hasten impeachment proceedings against President

Rousseff, who the opposition want to remove over claims she manipulated

The embattled president has now cancelled a trip to attend a summit

That's all from me for the moment. See you for a review of the papers.

Save the Children say that every nursery in England

should have a qualified teacher to help children develop key

The charity says that failure to properly stimulate toddlers' brains