6-26-05, 9:07 am
Cuba this year already spent $300 million USD in markets other than the United States due to Washington´s restrictions hindering free exchange between the two countries. Pedro Alvarez, president of the Cuban food importing company Alimport, denounced the latest measures introduced last February by the Office of Foreign Assets Control (OFAC) during a meeting with US farm producers and traders.
The OFAC established this year the obligation for Cuba to pay cash in advance for its acquisitions before ships leave US ports, raising the price of products and creating uneasiness and distrust.
Since 2001 when food sales began, payments were made after the ships left port or within 72 hours of the shipment arriving on the Island.
Alvarez said Cuba will this year purchase up to one million tons of rice, and some 300 to 500,000 tons could be purchased from the US while still keeping its traditional business partners, but imports have remained at a minimum rate.
'If restrictions were lifted, Cuban food purchases could range from $750 to $800 million USD, but that sum will be spent elsewhere. We truly regret the damage that OFAC restrictions inflict on the Cuban people but also in the mid and long range on small US companies,' said Alvarez.
He reaffirmed Alimport’s commitment to fulfill its obligations, and its willingness to arrange for deals with US businessmen in other spheres, as Cuba favors free trade and unrestrained travel.
He said that the meeting is aimed at working out options and actions by both Cuban and US officials, hence there will be contacts with the Foreign Ministry, Foreign Trade Ministry and the Central Bank of Cuba.
Jones noted that this is the best time to expand exchange and prevent losing the Cuban market. This is the first time ever that a community of producers has been affected by OFAC measures.
Even taking into account the pressure groups that favor the blockade, Jones announced the introduction this year of important amendments that could eliminate limitations on bilateral commerce and travel.
In that respect he mentioned a letter sent to four members of the House of Representatives, signed by executives of some 40 businesses and export organizations supporting Congress action to avoid the loss of Cuba as a customer, which represents $450 million a year in agribusiness.
The document also highlights that US farming sales to Cuba in 2004 totaled $474 million USD.
