06/09/2016 World Business Report

Now for the latest financial news with Sally Bundock

The flags are ready but tough talk awaits President Obama

at the meeting of south-east Asia's leaders.

And following the rockstar governor, Urjit Patel takes up his role as

governor of India's central bank can he win the war on inflation where

his predecessor failed? We will be looking at the market

reaction today as the oil price starts to to dip again but the

Indian rupee is rocketing. First of all, with the G20 done and that dust

another major global pow wow with a confusing acronym.

The US-ASEAN Summit gets under way in Laos today.

While the leaders of the ten South East Asian nations

will of course be there, the meeting is also being attended

by President Obama and the leaders of Japan, Russia and India.

The TPP - or Trans-Pacific Partnership will take centre

stage at the meeting, with Obama desperate to get

the controversial trade deal signed before he leaves office in January.

The deal covers 12 nations and 40% of world commerce.

Its supporters say it could boost global growth by close to half

The other big financial talking point at the summit is the ongoing

An estimated $5 trillion worth of global trade passes

In July an international tribunal ruled against Chinese claims

to rights over the majority of the Sea, backing a case

China is standing firm on its claim though,

while the US has been flexing its military might

by sailing warships through the disputed waters.

Karishma Vaswani is in the Laotion capital Vientiane and Karishma,

yes, indeed. Just in the last few minutes we have received a statement

from President Duterte, the president of the Philippines. His

spokesperson and the delegation read out a statement to the press here

basically saying that the President regretted the statement that he

made, the comments that he had made that caused such a turmoil

diplomatically between the United States and the Philippines. I will

read you what that statement said. The meeting between the United

States and the Philippines has been hugely agreed upon to be moved to a

later date. This was the meeting that was cancelled, remember, sale,

after the Philippines President back in a conversation with a reporter in

Manila called the American President the son of a poor and he also

continues to stay in the statement that while the immediate cause for

cancelling that meeting were strong comments were also regret that came

across as a personal attack on the US President. So, very much an

apology mode here. The Philippines President, Rodrigo Duterte has been

known to make these sorts of comments in the past. President

Obama is not the first high-profile leader he has said these sort of

things about. Many of the Philippine media amongst the Philippine media

expressed concerns about how he will end up appearing in front of many of

his counterparts at the ASEAN meeting over the next couple of

days. As it is, his first it international debuts since he became

president in May. We'll keep a close eye on that. In in the meantime,

what are the hopes about the progress on the Trans-Pacific

Partnership? So many acronyms. So many options. Certainly that is the

big agenda, the big thing on the agenda for the American President

Barack Obama. He is trying to push through the partnership. It is his

last chance because this is his final trip to the region and this is

the last chance he has to tell the members of ASEAN that this is a good

idea and if we all sign up to this end we'll take part in these it will

have a massive impact on global trade. It is not merely about

lowering tariffs in it is about upping standards and that has been

his pitch throughout the entire time he has been trying to push the

Trans-Pacific Partnership. But of course, it is not really up to us.

It is up to the US Congress. And given the current mood in the United

States, it is an election year in both candidates gunning for the top

job have come out against the Trans-Pacific Partnership and many

here in Asia will be looking to President Obama to hear some kind of

reassurance that he still has the ability to push this through, that

the US is still invested in this region because, remember, over the

previous eight years and that the President has been in power he has

come with a real push towards Asia. A foreign policy pivot towards Asia

and many he will be waiting to see of the United States still has that

kind of pool and credibility that he believes it does. It is missing out

China, isn't it? That has been a controversial element from the

beginning. Indeed. And we often speak about this in lots of our

discussions where we look at the US and its attempts to increase

engagement, not only politically but economically in the region and the

rising power that is China because do not forget, it is the major

investor in many of the Southeast Asian Nations. Look at Laos for

example, it would be fair to say that up until recently, Laos was

living in the shadow of China and many south-east Asian countries have

seen their economies grow over the last decade as a result of selling

the commodities to China. Indonesia is a case in point. But being in

between these sort of established superpower and this rising

superpower, it is rare that ASEAN has found itself over the last

couple of years. And that is why the issue of the South China Sea will be

an interesting one, as it always is in every summit, and we will be

watching that in the days to come. Thank you very much. Good to see

you. Now, chocolate. I must say I am a fan of chocolate. If you follow me

on Twitter you will know that because you will see me tweeting

chocolate cakes and all sorts of things.

The Philippines produces less than one% of the global

But with its equatorial climate it has perfect growing conditions

and entrepreneurs want to increase this ten-fold within three years.

We caught up with one farmer who's cashing in.

I am a farmer, a retired government employee of the Philippines. I

decided to plant a Carl because I have six children and if you rely

just on our salary, my wife is a classroom school teacher, and I am a

mailman, I could not imagine sending six children to college. At the

beginning it was my passion to love farming is. During my off days and

holidays I go to my farm and started planting cacao little by little. 50

trees, 100 trees, 200 trees. The only sort of tree that will bear

fruit 24 months from fainting. It is now 140 or 100 pesos per kilo. I

have a better income from my cacao farm. 50 times my salary. I am proud

to say that I have even have a daughter who has graduated from a

medical college. I did not think I could have this happen. I do not

have experience in farming. My parents are not farmers. There were

many failures but it interests me because if you fail you have to do

something to overcome the failure. Today is a big day for the man

behind me, the new boss of the India Central bank. Urjit Patel starts a

three-year term and his in tray is full to overflowing. Among many

other tasks, he needs to finish in an finished agenda of his

predecessor. He also needs to win the war on inflation. Later here on

the BBC we will go live to Mumbai to speak to our correspondent who is

outside the central bank for his take on what Patel will go on day

one. Other stories- the South Korean government will reportedly stepped

in to help the embattled shipping not lion Hanjin. The government will

provide with $91 million of long-term loans. It applied for

bankruptcy. The world is seventh-largest container line has

been unprofitable for four of the last five years. In the markets

today it has been a funny week because the US was closed on Monday

as was India so many market that did not close. In Asia you can see these

markets are opening and the price of oil is edging up again. We saw a

massive bounce in the price of oil on Monday. That was on the news that

Russia and Saudi Arabia may collude on prices. That is how

A BBC investigation has found out that drugs are used to be