Bush praises Brazil's Lula despite differences

The leaders of Brazil and the United States, the two most populous countries in the Western Hemisphere, played down differences…

The leaders of Brazil and the United States, the two most populous countries in the Western Hemisphere, played down differences and sought common ground on issues from trade to democracy in Latin America today.

US President George W. Bush arrived in the Brazilian capital on Saturday night after a Summit of the Americas in Argentina which failed to resolve differences on setting up a regional free trade zone and was marked by violent anti-Bush protests.

There were small demonstrations against Mr Bush in Brasilia but he will also enjoy Brazilian hospitality at a barbecue thrown by President Luiz Inacio Lula da Silva at the presidential retreat Granja do Torto.

As Mr Bush's motorcade drove to the ranch, it passed a group of about 100 demonstrators who burned the American flag and chanted "Invader! Tyrant! Exploiter of the poor!"

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"Bush drops economic bombs on the region, he's hated in the whole world and Lula shows his subservience by throwing a barbecue for him," said Joao Batista Oliveira de Araujo of the left-wing Socialism and Freedom Party.

Some demonstrators waved Syrian and Palestinian flags to show opposition to Bush's Middle East policies. In downtown Brasilia, abut 30 protesters occupied a McDonalds fast food restaurant and began serving up traditional Brazilian food as bewildered staff looked on.

At his first function, a meeting with young Brazilian leaders, Bush called Brazil a friend and praised Mr Lula's economic policies, which have stabilized the economy and encouraged an investment and export boom.

"It's in our interest that our neighborhood be a prosperous neighborhood," said Bush. Lula and Bush's backgrounds could not be more different. Mr Lula is from a poor family whose politics were forged when he was a union leader in a Sao Paulo factory while Mr Bush is a pro-business conservative from a US political dynasty.

But both men's presidencies are in trouble. Mr Lula's popularity has been damaged by a scandal over vote-buying in Congress and illegal campaign funding. Bush is facing growing criticism over his handling of the Iraq War.