U.S. coronavirus death projection lowered but official warns of ‘second wave’

By Peter Szekely and Maria Caspani

NEW YORK (Reuters) – An influential university model on the U.S. coronavirus pandemic on Wednesday scaled back its projected death toll by 26% to 60,000 but a federal health official warned of a second wave of infections if Americans relax “social distancing” practices.

The downward revision in the death toll in the University of Washington model – often cited by U.S. and state policymakers – coincides with comments by some political leaders that caseloads may have reached a plateau in certain areas.

Those assessments in recent days, including an apparent leveling out in hospitalizations in New York state – the U.S. epicenter of the pandemic – are tempered by a persistent climb in the U.S. death toll, which rose by more than 1,900 on Tuesday as some 30,000 new infections were reported.

New York Mayor Bill De Blasio told a briefing on Wednesday that coronavirus-related hospitalizations in the most populous U.S. city had stabilized and that the need for ventilators was lower than projected.

“In the last few days we’ve actually seen fewer ventilators needed that were projected,” the mayor said.

Even that revised forecast suggested months of pain ahead for the United States. All told, about 400,000 U.S. infections have been reported, along with roughly 13,000 deaths.

“What’s really important is that people don’t turn these early signs of hope into releasing from the 30 days to stop the spread – it’s really critical,” said Deborah Birx, the coordinator of the White House coronavirus task force, referring to guidelines aimed at reducing the spread of the virus.

“If people start going out again and socially interacting, we could see a really acute second wave,” Birx added.

The pandemic has upended American life, with 94% of the population ordered to stay at home and nearly 10 million people losing their jobs in the past two weeks.

Hospitals have been inundated with cases of COVID-19, the respiratory disease caused by the virus, resulting in shortages of medical equipment and protective garments.

The University of Washington’s Institute for Health Metrics and Evaluation model is one of several that the White House task force has cited. It now projects U.S. deaths at more than 60,000 by Aug. 4, down from the nearly 82,000 fatalities it had forecast on Tuesday.

The White House coronavirus task force has previously projected 100,000 to 240,000 Americans could die.

The institute also moved up its projected peak in the number to U.S. deaths to this Sunday, when it predicted 2,212 people will succumb to the disease. The revision moves forward the projected peak by four days, suggesting the strain on the country’s healthcare system will begin to abate a little sooner than previously expected.

AT-HOME DEATHS UNTRACKED

New York’s de Blasio estimated an undercount in the death toll of 100 to 200 people per day who are dying at home but excluded from the city’s rapidly growing coronavirus count. So far the city’s announced death toll has reflected only COVID-19 diagnoses confirmed in a laboratory.

But after a spike in the number of people dying at home, the city will now try to quantify how many of those died from coronavirus-related causes and add that to the its official death toll, New York’s health department said.

“Every single measure of this pandemic is an undercount. Every. Single. One,” Mark Levine, chairman of the City Council’s health committee, wrote on Twitter. “Confirmed cases? Skewed by lack of testing. Hospitalizations? Skewed by huge # of sick people we are sending home because there’s no room in ERs. Deaths? Massive undercount because of dying at home.”

The state of New York accounts for more than a third of U.S. confirmed coronavirus cases, and nearly half the cumulative death toll.

Authorities in various states in recent days have disclosed data showing that the pandemic was having a disproportionate impact on African Americans, reflecting longstanding racial inequities in health outcomes in the United States.

De Blasio said there were “clear inequalities” in how the coronavirus is affecting his city’s population.

In New York, long weeks of fighting the pandemic were taking a toll on hospital staff, some of whom are coming down with the disease they have been fighting.

One resident doctor at New York-Presbyterian Hospital said he had been surprised by the number of hospital workers infected.

“There are people around the hospital who are sick and now they’re showing up on our patient list. … It’s hard not to see yourself in them,” the resident said. “A lot of us feel like we are being put in harm’s way.”

(Reporting by Peter Szekely, Doina Chiacu, Susan Heavey and Gabriella Borter; Writing by Daniel Trotta and Will Dunham; Editing by Scott Malone and Alistair Bell)

White House to hold call with banks as hundreds struggle to access small business loans

By Pete Schroeder

WASHINGTON (Reuters) – The White House was due to speak with banks on Tuesday, as the administration’s $350 billion program to support ailing businesses continued to confront hurdles, with some of the nation’s largest lenders sitting on the sidelines and others unable to access the system.

As of Tuesday, Citibank  said it was still not accepting loan applications under the program, which began on Friday, while Wells Fargo & Co , which has capped lending under the program at $10 billion, said it had yet to distribute any funds to clients.

The Small Business Administration (SBA), which is jointly administering the program with the U.S. Treasury Department, had not yet launched a promised online system for taking on lenders that have never previously registered with the agency, according to the Independent Community Bankers of America (ICBA).

“That’s an issue if you’re a non-SBA lender, which is more than half of the lenders out there,” said Paul Merski, an executive vice president at the ICBA.

He said lenders are also still waiting for the administration to produce a compliant loan authorization form which would help speed up the distribution of funds, although he said guidance issued by the Treasury late on Monday night had helped to address some other issues with the program.

A top White House economic adviser, National Economic Council Director Larry Kudlow, said on Tuesday that $50 billion in loans had been originated. However, it remained unclear how much of that money has been distributed since paperwork issues are holding up disbursements at some banks, according to industry sources.

Representatives for the Treasury Department and the Small Business Administration did not respond to a request for comment. On Monday, the agency defended its progress, saying the program was unprecedented and pointing out that billions in loans had been authorized by the SBA in a very short time.

Launched on Friday as part of a $2.3 trillion congressionally approved economic relief package to combat the disruption caused by the novel coronavirus, the program got off to a rocky start as the administration rushed to get funds out the door in days without establishing key terms and paperwork.

Speed is critical, since half of small businesses have less than a two-week cash capital buffer. But the resulting confusion, bottlenecks and technology glitches have sparked widespread frustrations among bankers and businesses alike and left the U.S. Treasury and the SBA scrambling to fix the problems on the fly.

“You couldn’t have scripted a better #trainwreck for our nations community banks and the small biz customers we serve!” Brad Bolton, president and chief executive of Community Spirit Bank in Alabama, tweeted on Monday night.

The SBA overnight authorized 30 loans out of hundreds Bank of the West has been trying to process, Cynthia Blankenship, who runs the lender’s operation in Grapevine, Texas, told Reuters.

“We are continuing to be inundated with requests,” she said, adding that many of those are from companies turned away by their big lenders, including Wells Fargo, which has said it is constrained by a regulatory cap on its balance sheet.

Multiple small business owners took to Twitter over the past 24 hours to flag a document they had received from Wells, one of the biggest small business lenders in the country, advising potential applicants to reach out to other banks “to improve your chances of receiving a loan before the funds run out.”

Prominent lawmakers including Democratic Senators Elizabeth Warren, Ed Markey and Chris Van Hollen also jumped into the fray on Tuesday, raising worries that less savvy small businesses without existing bank lending relationships will be shut out of the program.

With banks and their trade groups warning that funds will run out way before the June 30 application deadline, and with worries over an unfair distribution of the cash, Senate Majority Leader Mitch McConnell, a Republican, said on Monday he hoped to quickly authorize a further $200 billion for the program.

Republican President Donald Trump was scheduled to talk with top executives of major banks, including JPMorgan & Co In  and Goldman Sachs Group Inc, and Independent Community Bankers of America members on Tuesday afternoon to discuss the program, according to industry sources.

“We’re calling to make the system more robust, and are supporting additional appropriations for this. … We want to make sure there’s a geographic dispersion to all areas of the program,” said the ICBA’s Merski.

(Reporting by Pete Schroeder; additional reporting by Imani Moise and Ann Saphir; Editing by Michelle Price, Bernadette Baum and Jonathan Oatis)

Small U.S. businesses were already struggling. Then coronavirus hit

By Jonnelle Marte

(Reuters) – Many small businesses were struggling with funding shortfalls and financial challenges even before the coronavirus pandemic hit, leaving them with little cash on hand to weather the slowdown caused by the virus, according to data released by the Federal Reserve on Tuesday.

Many small firms, particularly the smallest businesses and those owned by black and Hispanic entrepreneurs, also lack traditional banking relationships, which could make it more difficult for them to receive financial assistance during the crisis.

“Small businesses nationwide now face unprecedented challenges as the country grapples with the significant economic and social effects of the COVID-19 pandemic,” Claire Kramer Mills, assistant vice president at the New York Fed, said in a statement.

The majority of small employers reported growing revenue last year and more than a third even expanded their staffs, according to the 2019 survey report of more than 5,500 small firms issued by the 12 Federal Reserve Banks.

However, two-thirds of the businesses said they faced financial challenges last year, according to the report, which focused on businesses with fewer than 500 employees.

In a supplemental brief, researchers at the New York Federal Reserve assessed the ability for small businesses to cope with a substantial hit to revenue, categorizing firms according to their financial health – a metric based on their profitability, credit scores and earnings. Among the “healthy” firms, only about 20% had enough cash saved to continue operating as normal after losing two months’ worth of revenue.

Most small businesses surveyed by the Fed said they would have to shrink their staffs, delay payments or scale down operations after taking such a hit. Many firms would need to go into debt or turn to personal funds to close the gap.

That hypothetical scenario – two months without revenue – posed to businesses owners at the end of last year is now a reality for many firms, which closed down or substantially reduced their operations because of nationwide efforts to contain the spread of the coronavirus.

A new $349 billion small business bailout fund launched last week to shore up businesses with fewer than 500 employees got off to somewhat rocky roll out last week after some banks grappled with unclear rules and inconsistent government infrastructure. Some banks initially said they were prioritizing existing customers, putting some small business owners at a potential disadvantage for the first-come, first-served program.

Only 44% of small businesses had turned to a bank for a loan in the past five years and just 6% had turned to a credit union, according to the Fed survey. Businesses with more than $1 million in annual revenue and those with white owners were more likely to have used banks for funding, while smaller businesses and those with black or Hispanic owners were more likely to have used online lenders.

(Reporting by Jonnelle Marte; Editing by Chizu Nomiyama)

U.S. CDC reports 374,329 coronavirus cases, 12,064 deaths

(Reuters) – The U.S. Centers for Disease Control and Prevention (CDC) on Tuesday reported 374,329 cases of coronavirus, an increase of 43,438 cases from its previous count, and said that the number of deaths had risen by 3,154 to 12,064.

The CDC reported its tally of cases of the respiratory illness known as COVID-19, caused by a new coronavirus, as of 4 pm ET on April 6 compared to its count a day ago.

The CDC figures do not necessarily reflect cases reported by individual states.

(Reporting by Vishwadha Chander in Bengaluru; Editing by Aditya Soni)

New York suffers deadliest day in coronavirus crisis

By Nathan Layne and Maria Caspani

(Reuters) – New York has suffered its deadliest day in the novel coronavirus pandemic, with 731 fatalities in the last 24 hours, although Governor Andrew Cuomo said hospitalizations were reaching a plateau in a promising sign for the hardest-hit state.

Even as the total number of deaths reached 5,489 across New York, Cuomo told a daily briefing on Tuesday that he was working with governors in New Jersey and Connecticut on a plan to restart life once the crisis subsides.

Cuomo said that the closures of businesses and schools and other social distancing measures were having the intended impact and urged continued compliance, especially as New York City braces for the possible peak to hospitalizations this week.

“Our behavior affects the number of cases,” said Cuomo. “They are not descending on us from heaven.”

The 731 new deaths on Monday marked an increase from the prior day’s 599 new deaths, while new hospitalizations nearly doubled to 656, contradicting a trend of the past few days which Cuomo had touted as a possible “flattening of the curve”.

But Cuomo cautioned against reading too much into one day of data and stressed three-day averages, which still showed a downward trend in the stress on the state’s hospitals. The governor also pointed to a daily drop in admissions to intensive care units and a fall in intubations as encouraging signs.

Cuomo said health officials have developed an antibody testing regimen that was approved by the U.S. Department of Health and Human Services for use in the state, and said that regulators were working to bring it up to scale.

The test, Cuomo said, would determine whether a person has developed antibodies from contracting and resolving the virus, and would be part of a larger plan aimed at getting people back to work and to school.

“That’s why you would have the antibodies for the virus – that would mean that you are no longer contagious, and you can’t catch the virus because you have the antibodies in your system,” the governor said.

“You are not going to end the virus before you start restating life.”

(Reporting by Nathan Layne in Wilton, Connecticut and Maria Caspani and Stephanie Kelly in New York; Editing by Lisa Shumaker)

What you need to know about the coronavirus right now

(Reuters) – Here’s what you need to know about the coronavirus right now:

Who has the UK nuclear button? No comment

When the leader of a nuclear power falls ill, one of the first questions is: Who has their finger on the button? In the case of Britain, the current official answer is that the public doesn’t need to know.

Asked by the BBC if Foreign Secretary Dominic Raab had been handed the nuclear codes while Prime Minister Boris Johnson remains in intensive care with COVID-19 symptoms, Cabinet Office Minister Michael Gove said: “There are well developed protocols which are in place.”

“I just really cannot talk about national security issues,” Gove said.

Johnson has asked Raab to deputise for him “where necessary”.

Peer pressure

Japanese Prime Minister Shinzo Abe has declared a state of emergency with a difference: while it will give authorities more power to press people to stay at home and businesses to close, he said it would stop short of imposing a formal lockdown as seen in other countries and instead rely on peer pressure for its effect.

“If each of us can reduce contact with other people by at least 70%, and ideally by 80%, we should be able to see a peak in the number of infections in two weeks,” Abe said.

The state of emergency will last through May 6 and apply in the capital, Tokyo, and six other prefectures – accounting for about 44% of Japan’s population.

A city traumatized

You’d think the residents of Wuhan would be delighted with the prospect of an end to a lockdown that has trapped millions for more than two months. Not all are, however, underlining just how many are still coming to terms with the scars of once being the world epicentre of the outbreak.

“When I heard about the lifting of the lockdown, I didn’t feel particularly happy,” said Guo Jing, a resident who runs a hotline for women facing workplace discrimination.

“I actually felt very anxious. There are many issues that we are not sure can be resolved: employment, will patients continue to experience long-term effects, and for those who died, how will we remember them?”

Europe strives for solidarity

The finance ministers of the European Union will try again on Tuesday evening to overcome national differences over the type of economic support to be offered to those hit hardest by the pandemic.

The popularity of the EU in opinion polls has been ebbing in Italy and the leaders of Spain and France have expressed varying degrees of impatience; above all the EU does not want to be seen to come late to help, as many critics argued it did after the 2008/09 global financial crisis.

China marks a milestone – no new deaths

For the first time since the coronavirus outbreak began, China reported no new deaths on Tuesday. The total number of confirmed cases in mainland China stood at 81,740 as of Monday, while 3,331 people have died.

With mainland China well past the peak of infections in February, authorities have turned their attention to imported cases and asymptomatic patients, who show no symptoms but can still pass on the virus.

Chart of the day:

The governors of New York, New Jersey and Louisiana pointed to tentative signs on Monday that the coronavirus outbreak may be starting to plateau in their states, but warned against complacency as the U.S. death toll approached 11,000 nationwide.

For the global picture, click on the “daily cases” tab of the first graphic here to see why some are starting to hope that the epidemic is starting, finally, to peak.

 

(Compiled by Mark John and Karishma Singh; Editing by Gareth Jones)

UK PM Johnson ‘stable’ in intensive care, needed oxygen after COVID-19 symptoms worsened

By William James and Alistair Smout

LONDON (Reuters) – British Prime Minister Boris Johnson was stable in intensive care on Tuesday after receiving oxygen support to help him battle COVID-19, while his foreign minister led the government’s response to the outbreak.

The upheaval of Johnson’s personal battle with the virus has shaken the government just as the United Kingdom, now in its third week of virtual lockdown, enters what scientists say will be the most deadly phase of the pandemic which has already killed 5,373 people in the country.

A general view of police officers outside the St Thomas’ Hospital after British Prime Minister Boris Johnson was moved to intensive care while his coronavirus (COVID-19) symptoms worsened and has asked Secretary of State for Foreign affairs Dominic Raab to deputise, London, Britain, April 7, 2020. REUTERS/Henry Nicholls

Johnson, 55, was admitted to St Thomas’ Hospital across the River Thames from the House of Commons late on Sunday after suffering persistent coronavirus symptoms, including a high temperature and a cough, for more than 10 days.

But his condition rapidly deteriorated over the next 24 hours, and he was moved on Monday to an intensive care unit, where the most serious cases are treated, in case he needed to be put on a ventilator. He was still conscious, his office said.

“He is receiving standard oxygen treatment and breathing without any other assistance,” Johnson’s spokesman told reporters.

“The prime minister has been stable overnight and remains in good spirits,” the spokesman said. “He has not required mechanical ventilation, or non-invasive respiratory support.”

But the absence of Johnson, the first leader of a major power to be hospitalised after testing positive for the novel coronavirus, has raised questions about who is truly in charge of the world’s fifth largest economy at such a crucial time.

While Britain has no formal succession plan should a prime minister become incapacitated, Johnson asked Foreign Secretary Dominic Raab, 46, to deputise for him “where necessary”, Downing Street said..

Queen Elizabeth wished Johnson a “full and speedy recovery” and sent a message of support to his pregnant fiancée, Carrie Symonds, and his family.

WHO LEADS?

Raab on Tuesday chaired the government’s COVID-19 emergency response meeting, though ministers refused to say who had ultimate control over the United Kingdom’s nuclear weapons – a role held by the prime minister.

“There are well-developed protocols which are in place,” said Gove, who himself went into self-isolation on Tuesday after a family member displayed coronavirus symptoms.

British leaders do not traditionally publicise the results of their medical examinations as some U.S. presidents including Donald Trump have.

Raab, the son of a Czech-born Jewish refugee who fled the Nazis in 1938, takes the helm at a pivotal time. Government scientists see the death toll rising until at least April 12 and Britain must ultimately decide when to lift the lockdown.

Johnson’s move to intensive care added to the sense of upheaval that the coronavirus has wrought after its spread caused global panic, sowed chaos through financial markets and prompted the virtual shutdown of the world economy.

The United Kingdom is in a state of virtual lockdown, a situation due to be reviewed early next week, and some ministers have suggested it might need to be extended because some people were flouting the strict rules.

The pound dipped in Asian trading on news of Johnson’s intensive care treatment but then rallied in London trading. Against the dollar, sterling traded to a high of $1.2349, up 0.9% on the session.

CRITICISM

Even before coronavirus, Johnson had had a tumultuous year.

He won the top job in July 2019, renegotiated a Brexit deal with the European Union, fought a snap election in December which he won resoundingly and then led the United Kingdom out of the European Union on Jan 31 – promising to seal a Brexit trade deal by the end of this year.

The government has said it is not planning to seek an extension to that deadline in light of the epidemic.

Johnson has faced criticism for initially approving a much more modest response to the coronavirus outbreak than other major European leaders, though he then imposed a lockdown as projections showed half a million people could die.

He tested positive for the virus on March 26.

After 10 days of isolation in an apartment at Downing Street, he was admitted to hospital. He was last seen in a video message posted on Twitter on Friday when he looked weary.

James Gill, a doctor and a clinical lecturer at Warwick Medical School, said the news of Johnson’s admission to intensive care was “worrying” but not completely out of line with other people suffering complications.

(Additional reporting by Paul Sandle, Michael Holden, Costas Pitas, Kylie MacLellan, Alistair Smout and Kate Kelland; Writing by Kate Holton, Elizabeth Piper and Guy Faulconbridge; Editing by Angus MacSwan)

Long lines, face masks in Wisconsin as voters head to polls despite coronavirus

By John Whitesides and Joseph Ax

(Reuters) – Wisconsin voters faced long lines at limited polling locations on Tuesday, as the state’s presidential primary and local elections moved ahead despite mounting fears about the coronavirus outbreak.

Outside Riverside High School in Milwaukee – where officials were forced to close 175 of 180 normal voting sites due to a lack of poll workers – masked voters stood several feet apart in a line that stretched for several blocks early on Tuesday, according to video taken by onlookers and local news media.

More than half of Wisconsin’s municipalities reported shortages of poll workers, prompting the Midwestern state to call up 2,400 National Guard troops to assist.

The election took place even though Wisconsin, like most U.S. states, has imposed a stay-at-home order on its residents. More than a dozen other states have postponed their elections in the face of the COVID-19 pandemic, which has transformed Americans’ daily lives and plunged the economy into an apparent recession.

A flurry of 11th-hour legal wrangling failed to stop the balloting, as two late court rulings on Monday put the election, which will include Democratic and Republican presidential primaries and voting for thousands of state and local offices, back on track after days of uncertainty.

In deciding separate lawsuits brought by Republicans, the state Supreme Court blocked Democratic Governor Tony Evers’ order to delay the election until June and the U.S. Supreme Court overturned a federal judge’s decision extending absentee voting, instead ruling ballots must be postmarked by Tuesday to be counted.

“Now voters will be forced to choose between their health and their right to vote, an untenable choice that responsible public officials tried to avoid,” said Satya Rhodes-Conway, the Democratic mayor of Madison, Wisconsin.

The legal maneuvering overshadowed the Democratic presidential primary in Wisconsin, the first nominating contest held since March 17 in the race to pick a challenger to Republican President Donald Trump for the Nov. 3 election. The outbreak has pushed front-runner Joe Biden and rival Bernie Sanders off the campaign trail.

Former Vice President Biden has built a nearly insurmountable lead over Senator Sanders in the delegates who will pick the nominee at the national convention this summer. The convention, scheduled to be held in Milwaukee, Wisconsin, has been postponed to August from July by the pandemic.

After a late-night meeting on Monday, the Wisconsin Elections Commission said no results of Tuesday’s voting would be released until April 13, the deadline for absentee ballots postmarked by Tuesday to be received.

In Milwaukee, the health commissioner in Wisconsin’s biggest city, Jeanette Kowalik, asked voters to wear masks, avoid reusing pens and stand at least six feet apart.

“I’m sorry, I wish I had the authority to protect us from this,” she wrote on Twitter.

(Reporting by John Whitesides and Joseph Ax; Editing by Raju Gopalakrishnan and Jonathan Oatis)

U.S. health officials say death toll may fall short of most dire projections

By Doina Chiacu and Susan Heavey

WASHINGTON (Reuters) – Two senior U.S. health officials have said they now believe the coronavirus outbreak may kill fewer Americans than some recent projections, pointing to tentative signs that the death toll was starting to level off in New York and other hot spots.

U.S. Surgeon General Jerome Adams on Tuesday said he concurred with the director of the Centers for Disease Control and Prevention that some research models have projected death totals that may prove too high, though neither would offer an alternate estimate.

The White House coronavirus task force projected a death toll of 100,000 to 240,000 a week ago, saying containing deaths to that range was possible if strict social distances measures were respected, implying it could go even higher.

Adams on Tuesday told ABC’s “Good Morning America” that he was encouraged by recent data showing a possible “flattening” of the outbreak in some areas, referring to the shape of the curve when deaths are shown on a graph.

Asked if he believed the death toll would come in below the dire White House task force projection, Adams said, “That’s absolutely my expectation.”

“I feel a lot more optimistic, again, because I’m seeing mitigation work,” he said, adding that he agreed with CDC director Robert Redfield that deaths could fall short of totals that some computer models showed.

The governors of New York, New Jersey and Louisiana pointed to tentative signs on Monday that the coronavirus outbreak may be starting to plateau but warned against complacency.

The coronavirus death toll has surpassed 10,000 in the United States and confirmed cases have topped 367,000.

President Donald Trump, who previously said the coronavirus would miraculously disappear, responded to the recent White House projection by saying any death toll less than 100,000 would be considered a success.

Redfield on Monday told KVOI radio in Tucson, Arizona, that social distancing of the type ordered by nearly all state governors was effective.

“If we just social distance, we will see this virus and this outbreak basically decline, decline, decline. And I think that’s what you’re seeing,” Redfield said. “I think you’re going to see the numbers are, in fact, going to be much less than what would have been predicted by the models.”

A research model from the University of Washington – one of several cited by leading health authorities – forecasts 81,766 U.S. coronavirus fatalities by Aug. 4, down about 12,000 from a weekend projection.

The pandemic has upended daily life around the globe, killing more than 74,000 people and infecting at least 1.3 million.

American hospitals have been overwhelmed with sufferers of COVID-19, the respiratory illness caused by the novel coronavirus, reporting shortages of personnel, protective garments and other supplies while patients agonize alone, prohibited from receiving guests.

Even so, rates of growth and hospitalizations were slowing, possibly signaling a peak was at hand in three U.S. epicenters of the pandemic, the governors of New York and New Jersey said on Monday.

New York Governor Andrew Cuomo said statewide deaths from COVID-19 had leveled off around 600 per day in recent days, highest in the nation. But hospitalizations, admissions to intensive care units and the number of patients put on ventilator machines to keep them breathing had all declined, Cuomo said.

In neighboring New Jersey, the state with the second-highest number of cases and deaths, Governor Phil Murphy said efforts to reduce the spread “are starting to pay off.” Louisiana Governor John Bel Edwards likewise expressed cautious optimism, noting that new hospital admissions were trending down.

(Reporting by Doina Chiacu and Susan Heavey; Writing by Daniel Trotta; Editing by Howard Goller)

Canada, U.S. farms face crop losses due to foreign worker delays

By Rod Nickel and Christopher Walljasper

WINNIPEG, Manitoba/CHICAGO (Reuters) – Mandatory coronavirus quarantines of seasonal foreign workers in Canada could hurt that country’s fruit and vegetable output this year, and travel problems related to the pandemic could also leave U.S. farmers with fewer workers than usual.

Foreign labor is critical to farm production in both countries, where domestic workers shun the hard physical labor and low pay.

In Canada, where farms rely on 60,000 temporary foreign workers, their arrivals are delayed by initial border restrictions and grounded flights. Once they arrive, the federal government requires them to be isolated for 14 days with pay, unable to work.

In the United States, nearly 250,000 foreign guest workers, mostly from Mexico, help harvest fruit and vegetables each year. The State Department is processing H-2A visas for farm workers with reduced staffing, though some companies are still having a hard time getting workers in on time.

Watermelon and asparagus farmer Mike Chromczak, who is waiting for labourers to arrive and begin their mandatory quarantine against coronavirus disease (COVID-19), poses at Chromczak Farms in Brownsville, Ontario, Canada April 2, 2020. REUTERS/Carlos Osorio

Ontario farmer Mike Chromczak said he was afraid he might be unable to harvest his asparagus crop next month unless his 28 Jamaican workers start arriving by mid-April.

“It would be well over 50% of our farm’s revenue” lost, Chromczak said. “But I see it as a much bigger issue than me. This is a matter of food security for our country.”

Steve Bamford’s 35 Caribbean workers are just starting to trickle in to his Ontario apple orchards. Then they are isolated and paid for 40 hours per week during that period without touching a tree. Pruning work, a critical step to maximize yields, is now overdue.

“It’s an extreme cost. You don’t plan on bringing people in and not work for two weeks,” Bamford said.

Some Canadian farmers expect to reap smaller fruit and vegetable harvests this year if foreign labor is not available soon, said Scott Ross, director of farm policy at the Canadian Federation of Agriculture.

In the United States, “delays are potentially very hazardous to farmers who were counting on that workforce to show up at an exact period of time to harvest a perishable crop,” said Dave Puglia, CEO of Western Growers Association, which represents fruit and vegetable companies in states like California and Arizona.

He said workers in the United States do not have to wait 14 days before they start working, although more efforts are being made to space workers out on the farms.

Dannia Sanchez, president of D & J and Sons Harvesting in Florida, is awaiting approval to bring in some 200 temporary agriculture workers, while blueberries in Florida ripen and Michigan asparagus nears harvest.

Abad Hernandez Cruz, a Mexican farmworker harvesting onions in Georgia, said he is working 12 or more hours a day.

“A lot of people are missing,” he said, referring to farmworkers whose visas weren’t approved after the United States scaled back some consular activities in response to coronavirus.

“If the farm doesn’t produce, the city doesn’t eat.”

(Reporting by Rod Nickel in Winnipeg, Manitoba and Chris Walljasper in Chicago; Editing by David Gregorio)