The Americas Security News.- President Fernandez de Kirchner in front of Falkland Malvinas Islands painted like the Argentine national flag

According to The Sunday Times, Argentina is developing missile technology that could threaten the Malvinas/Falkland Islands.

The british newspaper has learnt that military scientists in Argentina are building a rocket capable of being fired into space to an altitude of about 250 miles. Experts believe such technology could, in time, develop into a missile with a range of up to 372 miles.

This would put it easily within range of the Falklands, which are about 300 miles from the Argentine mainland, and could transform the balance of power in the south Atlantic.

Lord West, the former security minister and first sea lord, said he believed the only logical reason to develop such technology was to threaten the Malvinas/Falklands.

The Americas Post - The Argentine government seems to have forgotten about these guys

British Prime Minister David Cameron warned Argentina on Thursday that his nation stands ”ready and willing” to defend the Falkland Islands, 30 years after Britain recaptured the South Atlantic archipelago from Argentine occupiers.

In a speech to commemorate the 1982 British victory over Argentina, Cameron accused Argentina’s government of “aggression” and said there would be “absolutely no negotiation” over sovereignty of the tiny islands, about 300 miles off the Argentine coast.

Tensions have grown between the two countries in recent months, especially since British companies started to carry out offshore oil exploration. Argentine President Cristina Fernandez has reasserted claims to the scattered islands, known in Spanish as Las Malvinas.

“My message to the government of Argentina is this. The UK has no aggressive intentions towards you,” Cameron told an audience including British veterans of the two-month war to retake the Falklands, which resulted in the deaths of 255 British and about 650 Argentine soldiers.

“But do not underestimate our resolve. Threats will not work. Attempts to intimidate the islanders will not succeed. Because Britain stands ready and willing to stand up for the Falkland Islanders at any time.”

Britain says there could be talks on sovereignty only if the islanders wanted them. The islands’ government said on Tuesday it would hold a referendum, probably next year, of its 3,000 inhabitants to see if they wanted to stay part of Britain’s self-governing overseas territories.  Argentine Defense Minister Arturo Puricelli dismissed that idea out of hand.

“It’s a paradox to ask the usurpers to debate whether or not they want to continue usurping,” he said in a speech on Thursday marking the end of the war.  “Argentina has historic, legal and geographic arguments in favor of our sovereignty over the Malvinas,” he said.

Gavin Short, chairman of the Falklands Legislative Assembly, said he was certain the residents would back a continued link with London and Cameron said this would clarify the position “beyond any doubt”.

Argentina accuses Britain of colonialism over the archipelago London has controlled since 1833. Fernandez was due to attend a meeting of the U.N. Decolonisation Committee on Thursday to raise the issue and push for talks.

“Britain’s excuses for not negotiating are unfounded,” Alicia Castro, the Argentine ambassador to London, wrote in an article for the Independent newspaper.  ”They cannot hide behind the so-called self-determination of the islanders when no UN resolution has recognised such a right.”

In addition to stepping up its rhetoric, Argentina has been applying diplomatic and economic pressure.  In December, the South American trading bloc Mercosur – including associate member Chile – agreed that vessels sailing under a Falkland Islands flag would be banned from docking at any of its ports as an act of solidarity with Argentina.

Cameron said he wanted a sensible relationship with Buenos Aires and a partnership over issues such as fishing.

“There is only one shadow on the horizon. And that is the aggression from over the water,” Cameron said.  ”We’ve seen the (Argentine) president trying to restrict the movement of Falklands vessels, banning charter flights to and from Argentina and today, escalating the debate at the U.N.”

The Americas Post - Guess what the argument is really about? Photo Credit: Rockhopper

Britain denounced Argentina for intimidation against the people of the Falkland Islands on Friday, after Buenos Aires announced legal action against companies conducting oil exploration in the disputed South Atlantic protectorate.

Tensions between the two countries have increased approaching the thirtieth anniversary of the Argentine invasion in the Falklands, a conflict that killed 650 Argentines and 255 British soldiers.

The dispute has been revived by the discovery of oil in the islands, which analysts estimate could value 167 billion dollars.

Argentina said Thursday that it would present legal action against any company involved in oil exploration off the coast of the islands, in a bid to pressure London into discussing their claim of sovereignty.

A spokesman for Prime Minister David Cameron described Argentina’s decision as “regrettable” and the Foreign Ministry said that the Falklands had the right to develop its petroleum resources without interference.

“Argentina’s efforts to intimidate the Falklands are illegal, inappropriate and totally counterproductive,” said a ministry spokesman.  The Foreign Ministry will work with all affected companies to limit the impact of the Argentine legal measures, he added.

London has refused to discuss sovereignty of the islands unless required by its 3,000 inhabitants, who have shown no signs of wanting to do so.

The British explorer Rockhopper, who discovered the site north of Sea Lion Island in 2010, has sought a partner to invest in a project of 2,000 million dollars.  Meanwhile, Borders & Southern and Falkland Oil & Gas is preparing to drill wells south of the island this year.

An industry source in London said on Thursday that legal action against companies involved in oil exploration in the Falklands “will not impact Rockhopper operations”.

Argentina asserts that the exploration and drilling are illegal because it is a disputed area, but the government did not specify what type of legal action it had in mind.

Britain says that the recent decisions in Argentina are an attempt to impose an economic blockade on the remote archipelago. In December, South American trade bloc Mercosur agreed to block ships sailing under the flag of the islands from any of its ports, in solidarity with Argentina.

This month, Argentina said it wanted to renegotiate a 1999 agreement with Britain that allows weekly flights by Chilean airline Lan to the islands and suggested that the state Aerolineas Argentinas fly into the territory.

In February, Argentina filed a complaint at the United Nations for what it considers the “militarization” of the South Atlantic by Britain, after London announced plans to send a destroyer to the area.

Buenos Aires also criticized the mission of Prince William, second in line of succession to the throne, to the islands in his capacity as a search and rescue military pilot.

The Americas Post - New demand for undersea oil has made the Falklands a bone of contention again

Recent diplomatic tension between Argentina and Britain over the Falkland Islands may affect growing bilateral trade which last year totaled 1.4 billion dollars, a new report indicates.

Among Argentina’s 10 export markets under stress, the most significant is that of Great Britain, destination for 7.5 percent of Argentine sales to the European Union, says a study by International Business Development (DNI) in Buenos Aires.

“Exports to the UK are vulnerable to current diplomatic conflict over the sovereignty of the Falkland Islands,” the report states.

Argentine exports to the United Kingdom in 2011 reached approximately 805 million dollars while imports totaled 655 million, leaving a trade balance in favor of Argentina of about 150 million dollars, according to the report.

Unfriendly words between Argentina and Great Britain have been heard a lot recently, a few weeks before the 30th anniversary of the war for the Falklands, over which both nations claim sovereignty. Argentina’s President Cristina Fernandez last week accused Britain of “militarizing” the South Atlantic in response to British plans to move to a warship to the area. Fernandez denounced the plans to the United Nations.

Argentina’s main exports to Britain are soybean oil, soybean meal, wine, corn, seamless tubes, some chemicals and peanuts. Companies of British origin operating in Argentina directly or with partners include Shell, BP, Cadbury, Sweppes, Diageo, Nobility Picardo and HSBC, among others.

The main exporters to Britain from Argentina are the agribusiness firm Cargill, Minera Alumbrera, of Anglo Swiss Xstrata, Louis Dreyfus and Ford.

Credit Inphographics IMFdirect

“There’s no doubt that with the growth of China, we’ve seen a re-commoditization of Latin America,” said Colombia’s Mining Minister Mauricio Cárdenas, an economist and former Director of the Latin America program at the Brookings Institution in Washington DC.

In terms of economic development, Latin America did not take any advantage of the rising prices of  commodities -raw-materials-  , which prices nearly tripled from 2000 to 2010.

In that sense, Latin America’s share of global merchandise trade remained the same (5.7 %), and service exports  fell to 3.4 percent from 3.9 percent.

It is difficult to do business in Latin America.  The World Bank´s 2012 competitiveness ranked Brazil -the region’s biggest economy- as No. 126 out of 183 countries.

READ MORE HERE.

In short, the continent’s decade-long boom may be ending. According to the U.N.’s Economic Commission for Latin America and the Caribbean (ECLAC), Latin American growth, which topped 6% last year, will slow to 4.3% this year and 3.7% in 2012. Brazil’s economy, the region’s largest, actually flat-lined in the third quarter; Argentina’s scorching growth of 9% this year will be halved to 4.8% next year, and capital flight is expected to be robust. Mexico’s growth, meanwhile, will drop from 4% to 3.3%.

That’s hardly doomsday news, but it’s one reason the Montevideo summit’s main action was to raise protective import tariffs…READ MORE HERE

The IMF’s latest Regional Economic Outlook: Western Hemisphere sheds light on Latin America’s reliance on commodities from a historical perspective.  A study conducted by Gustavo Adler y Sebastián Sosa  also looks at the effect of a sharp decline in commodity prices on emerging market economies and on the policies that could shield countries from that shock. READ  MORE HERE

The Americas Post - This Spanish fishing boat outran the Argentine Coast Guard

This weekend a unique diplomatic standoff took place when a Spanish ship, authorized by Britain to fish in the Falkland Islands, was pursued by Argentine authorities but successfully fled to Uruguayan waters.

The incident began when the Spanish ship Villa Nores, having departed for the Falklands from Montevideo the previous Saturday, was challenged by the Argentine Coast Guard.  The captain of the Argentine ship GC24 Mantillas ordered the Spanish ship to stop and present documents authorizing final destination and right of passage, in accordance with an Argentine law passed last year requiring that nation’s permission to go to the Falklands.  Instead of stopping, the Spanish captain turned and ran for Uruguayan territorial waters, escorted by a Uruguayan naval aircraft.

Uruguayan naval commander Alberto Carames said that President Jose Mujica and Defense Minister Eleuterio Fernandez monitored the situation throughout.  The previous week, President Mujica had been caught up in a diplomatic tiff when, in solidarity with Argentina, Uruguay denied entry to a ship flying the flag of the Falkland Islands.

The ambassador of Spain in Uruguay, Aurora Diaz Rato, has lodged a protest in Montevideo against the Argentine action, claiming freedom of navigation in international waters.  It remains to be seen how the four countries involved will resolve this latest twist in the ongoing conflict which now spans many decades.

The Americas Post - The new club is open but the US and Canada are not invited.

A newly formed Latin American and Caribbean organization has issued statements in support of Argentina’s claim to sovereignty over the British-ruled Falkland Islands and against U.S. sanctions on Cuba at the end of its first two-day summit.

However, the 33-member Community of Latin American and Caribbean States, or CELAC, declined to engage in stronger anti-Western rhetoric as some had feared at a meeting hosted by Venezuelan leader Hugo Chavez.  Instead, its 22 final declarations spoke in general terms of the need to combat global ills like price speculation, drugs, terrorism, nuclear arms and cruelty to migrants.

“I don’t think we’re exaggerating if we call it a historic day,” said Chavez, 57.  ”United in our differences, we must demand respect,” he told the assembly. “No more interference; we’ve had enough.”

For Chavez the summit achieved two goals: setting up a regional body without the United States, and allowing him to showcase his recovery from cancer treatment.  He and other left-wing leaders like Raul Castro of Cuba, Daniel Ortega of Nicaragua, Evo Morales of Bolivia and Rafael Correa of Ecuador say the hemisphere-wide Organization of American States (OAS)  is a tool of Washington.

Conservative-led nations like Colombia, Chile and Mexico were able to keep CELAC from appearing overly radical however, with relatively mild final declarations  and next year’s meeting set for Santiago, Chile.  And the communiques over the Falklands – or Malvinas islands as they are known in Argentina – and the U.S. embargo on Cuba were already standard positions within the region.

The final declaration backed Argentina’s “legitimate rights” and urged Britain to resume negotiations.

“The Argentine government has shown a permanently constructive attitude and willingness to reach, via negotiations, a peaceful and definitive solution to this anachronistic, colonial situation on American soil”, it stated.

On Cuba, CELAC, whose countries total almost 600 million in population and  about $6 trillion in GDP, urged Washington to respect U.N. votes and lift trade sanctions in place for decades against the communist government.

Chavez, who survived cancer surgery in June, presided over lengthy sessions and speeches, frequently intervening to add his own anecdotes and opinions.

He plans to run for re-election in 2012, and his opponents used the summit to mount some protests in an attempt to embarrass him in front of his Latin American counterparts.  Activists beat pots and pans around the city on Saturday night in a traditional “cacerolazo” demonstration. Some banners were also briefly unfurled over roads saying “Welcome to Crime City” – before police removed them.

SEE ALL INFORMATION OF FALKLAND ISLANDS/MALVINAS HERE