Cuba buys $32 million in U.S. food products
"Since February 20, 2002, (Cuba's state-run food importer) has contracted
for
more than 210,000 metric tons of agricultural commodities valued at more
than $32
million," the U.S.-Cuba Trade and Economic Council said in its weekly publication,
Economic Eye on Cuba.
As part of the deal, agribusiness giant Archer Daniels Midland sold Cuba
$17.5
million in corn, wheat, soy products and rice for delivery through May,
the council
said.
The Caribbean island's importer, Alimport "is also contracting with other
United
States-based companies for corn, wheat, rice, soy, poultry, and other agricultural
commodities," according to the New York-based group's weekly report on
Cuban-related commercial activity.
In 1959, the United States slapped an embargo on trade with Cuba after
Castro
came to power. Congress passed legislation in 2000 that altered the trade
embargo
to allow heavily regulated cash sales of food to the island. In December,
Cuba
purchased $35 million in food products from American businesses -- the
first such
deal in about 40 years.
Cuba said the deal was a one-time purchase, designed to replenish its emergency
supplies in the wake of Hurricane Michelle. But in early February, Cuban
President
Fidel Castro hinted new purchases were under consideration.
"We could still buy for cash an amount similar to what we already bought,"
the
Cuban president told journalists. "If the exporters get a guarantee that
the sales will
be authorized within a reasonable amount of time, like up to now."
Cuba's purchase of food from the United States last year, cooperation over
the
detention of al Qaeda and Taliban captives at the U.S. Naval Base at Guantanamo
Bay, and conciliatory statements by Cuban officials have sparked speculation
of a
thaw in relations after 43 years of mutual hostility.
However, President Bush's administration has insisted there will be no
change in
U.S. policy toward the communist-run island until internal political reforms
are
under way and there is an improvement of the human rights situation.
The trade deals have strengthened interest among U.S. business groups,
in
particular the agricultural sector, an d in Congress to soften sanctions,
despite
Bush's avowed support for them and opposition from U.S.-based Cuban exile
groups.
Around a dozen members of the Senate and House have met with Castro in
Havana
so far this year, as have many U.S. business executives.
Various measures pending in the U.S. Congress would make trade with Cuba
easier, in some cases by providing financing or eliminating cumbersome
licensing
procedures.
With an apparent eye on helping to get those measures passed, Castro said
in
February, "Next year will depend on whether there is financing or not.
Next year,
we could double or triple our purchases, let's say to around 20 percent
to 25
percent of our food imports."
Cuba imports around $1 billion in food annually, mainly from Asia, Europe,
and
Canada.
Copyright 2002 Reuters.