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 NEWS
updated by 8:00 a.m. CST each day

Costa Rica Leaves Trade Talks
The Bush administration's drive to reach a free trade agreement with five Central American countries suffered a setback Tuesday when Costa Rica balked at U.S. demands and said it needed more time before it would be ready to complete a deal.

At issue, in large part, was U.S. access to Costa Rica's telecommunications and insurance market.

Costa Rica's trade negotiators abruptly left talks yesterday, saying they hoped to return to the talks in January after consulting with political leaders in San Jose.

U.S. trade officials said efforts would continue to reach agreement with the other four countries. The president of one of those nations, Nicaragua, told reporters that his nation was ready to proceed without Costa Rica.

"One country is dragging its feet," Nicaraguan President Enrique Bolaños told reporters, referring to Costa Rica.

Bolaños said although Costa Rica may decide to stay outside of the pact for a time, it was his view that the rest of the countries should move ahead because "Central America cannot wait for more time. Central America needs to advance rapidly."

President Abel Pacheco, told reporters in San Jose that "we are not in a hurry to close negotiations." He said he expected to return to the negotiating table in January.

Trade officials working on the proposed Central American Free Trade Agreement, or CAFTA, worked late into the night Tuesday, trying to resolve sticking points to completing an agreement.

Carlos Sequeira, chief trade negotiator for Nicaragua, said an agreement was within reach, but he said discussions were continuing in two of the most sensitive areas, agriculture and textiles.

The Bush administration hopes to use a successful free trade deal with Central America to re-energize discussions over a bigger goal -- creation of the world's largest free trade area covering the 34 democracies in the Western Hemisphere. Those talks have snagged over disputes between Brazil and the United States on how comprehensive the free trade agreement should be.

The Central American negotiations have raised concerns among various politically powerful forces in the United States including textile makers, sugar growers and unions. They fear a free trade deal with the region would subject them to unfair foreign competition.

Costa Rica withdrew from the bargaining Tuesday over U.S. demands that it open up various service sectors, including telecommunications and insurance, to foreign competition.

"Obviously services is a critical issue for us," Richard Mills, a spokesman for U.S. Trade Representative Robert Zoellick, told reporters. "Costa Rica has a monopoly in telecommunications and insurance ... so these issues have to be addressed."

Mills said he did not want to speculate on whether the United States would go ahead with a free trade agreement for Central America that did not include Costa Rica, the region's second largest economy. He said Zoellick planned to hold further discussions with Alberto Trejos, the country's trade minister, next week.

The other countries involved in the CAFTA talks are Guatemala, the region's largest economy, Nicaragua, El Salvador and Honduras.

A free trade agreement would remove virtually all trade barriers among the nations over the next decade.
 


U.S. Tries to Combat Sexual Abuse of Kids
It's the seamier side of the rise in international tourism: the sexual abuse of children, some as young as five. Many of the predators are American.

The United States and other governments worldwide are taking increased notice of the phenomenon.

A law enacted this year makes it a crime for any person to enter the United States or for any citizen to travel abroad for the purpose of sex tourism involving children.

The first indictment under the law occurred in September in U.S. District Court in Seattle. Michael L. Clark, 69, was charged with having sexual contact with young boys in Cambodia. If convicted, he could be sentenced to up to 30 years in prison.

Last month, a federal grand jury in Seattle handed down an indictment against Gary Evans Jackson, 56. He was accused of having sex with three Cambodian boys, between the ages of 10 to 15.

The State Department is granting $500,000 to World Vision, a Christian humanitarian organization, to assist the group's efforts to combat the practice in Cambodia, Thailand and Costa Rica.

World Vision cited statistics to show that more than 1 million children are recruited annually into commercial sex slavery.

The highest concentrations of child prostitutes are found in Asia and South America, it says. The figures, it adds, have increased enormously in the recent past in Russia, Poland, Romania, Hungary and the Czech Republic.

Many sex tourists are born pedophiles but the majority are "situational offenders" driven by curiosity or other reasons, World Vision says.
 


Dole Food Buys Costa Rican Pineapple Farms
US fresh fruit and vegetable producer Dole Food has announced that it has purchased Costa Rican pineapple farms and other assets from an affiliate of Maui Land & Pineapple Company for approximately US$15.3 Million.

"This acquisition will enable Dole to better serve our customers, primarily in the Central and Eastern United States, as well as Europe, with increased supplies of Dole's Tropical Gold sweet pineapple from Costa Rica," said David H Murdock, chairman and chief executive of Dole.

Dole Food had 2002 revenues of $4.4 Billion. The company produces fresh fruit, fresh vegetables and fresh-cut flowers as well as marketing a growing line of packaged foods.
 


Confused? The Old 500 Colones Coins Are Still Good!
Currently in there are two types of 500 colones coins - the new ones and the old ones, which are commonly mistaken for 100 colones.

The Banco Central de Costa Rica introduced the new 500 colones coins to avoid the confusion shared by many and has announced that of January 1st, the old coins will lose their legal value.

ARESEP, the government agency that regulates public service prices, has recieved complaints of merchants and several bus companies not accepting the old coins.

The Central Bank says there are 5.000.000 coins in circulation and that the moment it only10% of the circulation back.

Ricardo Rodríguez, Treasurer for the Banco Central, has issued a note to all banks to accept old coins for exchange and retain them for the removal from the market.

 


 


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Colombian vice president lauds capture of guerrilla leader
Colombian Vice President Francisco Santos Tuesday described the capture of Wilmer Marin, one of the major leaders of the Revolutionary Armed Forces of Colombia (FARC),as a "forceful" blow against the guerrillas.

Members of the secret police, or DAS, recaptured Marin on Tuesday on a highway in Bogota after trailing him for several months.

"It is not easy to capture such an individual who will not easily be replaced, as he has been in the organization (FARC) for many years," Santos said.

The vice president announced that Marin, known as the commander of Front 22 of FARC, would be moved with utmost care to the Combita Jail, in Boyaca, to prevent him from escaping again.

The police had captured Marin in August 2000, and put him in the Picota Penitentiary, Bogota. But he managed to escape from that prison on Sept. 18, 2001.

The 17,000-strong FARC is the largest rebel group in the country.

On Monday, the police captured Ivan Diaz, who is a leader of the far-right paramilitary group United Self-Defense Forces of Colombia (AUC), in the northwestern Colombian state of Antioquia.

Colombia has suffered a four-decade-old civil war involving government forces, leftist guerrillas and far-right paramilitaries. About 3,500 people are killed in the armed conflicts each year.
 


Argentine judge bans ex-president from leaving country
Argentine Federal Judge Rodolfo Canicoba Corral has banned former President Fernando de laRua and all those involved in a case of corruption from leaving the country "without judicial authorization," justice sources said on Tuesday.

The sources said that besides De la Rua who served as president from 1999-2001, former intelligence minister Fernando de Santibales and former minister of labor Alberto Flamarique were involved in the case.

Judge Canicoba said the travel ban would apply to 11 others including two powerful provincial governors and a central bank director.

A judicial spokesmen pointed out that more names could be included in the list.

Argentine justice authorities are investigating whether the government of De la Rua paid five million US dollars to several senators for approving the so-called "Labor Flexibility Law" which demanded that the International Monetary Fund (IMF) grant new credits to Argentina.

The ex-president, who resigned amid a serious social and economic crisis in December 2001, has denied his participation in negotiation on the law, and claimed he was a victim of persecution.
 


China's bank grants loan for Venezuela railway repair
China's Export and Import Bank (Eximbank) will grant a 150 million US dollar loan for repair work on a railroad in Venezuela.

The 11-year credit, with a two-year grace period and a six-percent annual interest, amounts to 80 percent of the cost of the Railroad System Rehabilitation Project of Venezuela, said a statement released by the Venezuelan Finance Ministry on Tuesday.

Venezuelan Finance Minister Tobias Nobrega and representatives of Eximbank signed the agreement on Monday.

Under the agreement, the Chinese Yankuang Group will take on the repair work of the 244-kilometer-long railroad linking the cities of Puerto Cabello, Yaritagua, Barquisimeto and Acarigua in two years and a half.

Economic and political relations between Venezuela, which is the world's fifth largest crude exporter, and China have been greatly strengthened in recent years, especially since Venezuelan President Hugo Chavez took office in 1998.
 


Poll shows most Venezuelans expect presidential recall referendum
A poll by the local firm, Consultores 21, shows that 54.3 percent of Venezuelans look forward to a presidential recall referendum before August 2004.

According to the survey, quoted on Tuesday by the local daily, El Nacional, 44.7 percent of those polled considered it would be President Hugo Chavez's fault if there was not a referendum, while35.3 percent attributed this to the opposition.

The poll also indicated that 26.8 percent of those polled believe a consultation will take place between January and March next year; 17.3 percent, between April and June; 5.9 percent, in July, and 4.3 percent did not specify.

The poll claimed that 18 percent of those consulted said they were capable of defending their political ideas with arms; 12 percent appeared ready to back a coup, and another 12 percent claimed they could march with violence.

In a scenario with Chavez contending against a single opposition candidate, the poll revealed that 48 percent would back the opposition, while 39.8 percent would favor the president.

A total of 700 people were polled. They were from different social classes in Caracas, Valencia, Maracay, Maracaibo, Barquisimeto, Puerto la Cruz, Guayana and San Cristobal. There wasa margin of error of 3.78 percent.

The adversaries of Chavez announced on Dec. 2 that they had collected 3,602,051 signatures, 1.2 million signatures more than needed under the constitution to call a revocation referendum.

The National Electoral Council (CNE) of Venezuela is verifying the signatures and will decide by early January whether a consultation is called.

Once the total number of the necessary signatures is confirmed, the referendum would take place in the first quarter of 2004. In case Chavez was revoked, there would be new general elections in the following months.

In 2000, the Venezuelan leader obtained 3,757,773 votes in presidential elections and was re-elected for a second term.



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