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Losers ... and winners
While some hunker down for El Niño, others ramp up
(CNN) -- El Niño is preying on the nerves of just about everyone whose livelihood depends on Mother Nature -- farmers in Uganda, ski resort owners in Calgary, coffee growers in South America and commodities traders in New York.
The last big El Niño in 1982-1983 caused an estimated $13 billion in damage worldwide.
Many experts believe the current El Niño pattern, the 13th since 1950, will rival the last. The weather phenomenon is already being blamed for economic turmoil.
In Peru, economic forecasters are predicting a slowdown in economic growth to 5 percent in 1998 from 6 percent in 1997 because of likely flooding along the northern coast, droughts in the southern highlands and reduced fish catches.
In Indonesia, drought has already arrived, fueling costly wildfires and posing a fresh threat to a region already hit by reeling currencies and stock markets.
South African authorities fear the onset of the El Niño drought could halve the country's corn crop, while farmers in Africa are appealing for aid to make up for crop shortages caused by lack of rain.
"No one is able to identify the global effects, but the basic picture is that prices will go up, incomes will go down and trade balances will be hit," said David Lubin, an economic adviser based in London.
Weather troubles pay off for some
Not everyone living under the dark clouds of El Niño is suffering.
Officials in Redondo Beach, California, and other coastal cities are spending thousands of dollars for a product called The Sandbagger, which the manufacturer says can fill sandbags 40 times faster than by hand.
Fear of El Niño is flooding the company with orders.
"It's probably increased our sales 500 percent," said Stacey Kanzler, president of the company that makes The Sandbagger. Business is so good Kanzler says she's considering taking the company public next year.
The insurance industry is also gaining business from El Niño's return.
Carl Ferraro, an insurance agent in Huntington Beach, California, says he's writing more policies as the bitter memories of the last El Niño sink in with homeowners.
"We probably will write 100 in the month of October, if it continues this way," Ferraro said.
Also benefiting from El Niño is the roofing industry.
Construction companies in California report strong business as homeowners start dealing with annoying leaks that could become more troublesome if El Niño's torrential rains come.
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