U.S. Agricultural Coalition for Cuba Sends Delegation to the Island

On March 1-4, the United States Agricultural Coalition for Cuba sent a delegation of 90-plus agricultural leaders to Cuba to meet with Cuban officials and farmers. [1]

In announcing the visit, the Coalition’s Chair, Devry Boughner Vorwerk of Minnesota-headquartered Cargill Incorporated, said it would be a “learning journey” to expand knowledge of Cuban agriculture. It will include meetings with Cuban business and government leaders, as well as interaction with Cuban farmers and agricultural cooperatives. The idea is to expand understanding of the Cuban agricultural economy. During the trip she said, “”The message we hope will get back to Washington is that we are a unifying voice that would like to see Congress act in 2015 and end the embargo.”

She also expressed a desire for a bilateral agricultural trading relationship with the U.S. importing such things as Cuban snuff, rum, cigars, coffee, sugar, seafood (lobster and shrimp) and encouraged a Cuban delegation of officials and farmers to visit the U.S. to explore those opportunities. Indeed, some believe that Cuba’s warm winter climate could enable Cuba to export tomatoes and other vegetables all across the eastern U.S. during the cold-weather months, along with its traditional crops.

On Monday the U.S. delegation met with Cuba’s Foreign Minister, Bruno Rodriguez; Agriculture Minister, Julian González; Azcuba Business Group; the National Association of Small Farmers; and directors of other companies and agricultural cooperatives.

The next day the Americans visited farms and agricultural businesses in four provinces near Havana, including the El Trigal wholesale market, on the outskirts of the capital; the 30 de Noviembre Sugar Mill (Artemisa); the Heroes de Yaguajay Fruit and Vegetable Cooperative (Alquizar), and the tobacco cooperatives of Consolacion del Sur and Los Palacios (Pinar del Rio).

Significant U.S.-Cuba trade growth appears likely to come fastest in agriculture, the sector of the Cuban economy that has the deepest ties to the U.S. and that has been undergoing market-oriented reforms longer than any other on the island. After years of declining sales, the U.S. and mostly Republican states sold nearly $300 million of food to the island last year, primarily frozen chicken and soybean products, under a long-standing humanitarian exception to the U.S. embargo.

Such U.S. exports, however, have been hampered by U.S. sanctions limiting sales to a cash-only and barring U.S. banks from financing the sales. American trade officials and farmers are dreaming of dominating a food import market that could grow to $3 billion in coming years if Cuba’s economy improves.

The delegation included two former U.S. Secretaries of Agriculture (Democrat Mike Espy and Republican John Block); the marketing and development director for the Virginia Department of Agriculture; Missouri’s agriculture director and the spouse of its Governor, Jay Nixon, who was unable to go. Another member was Thomas Marten, an Illinois soybean farmer and the Zanesville Township GOP Committeeman. He observed, “As a Republican, I believe in trade for the betterment of all people. Prohibiting it is something that hurts us all.”

Afterwards, a Cuban researcher at the Center for Hemispheric Studies, University of Havana, Luis René Fernández, said that open trade with the U.S. is a matter of justice. Care, however, must be taken that the changes are not chaotic or overwhelmed by the U.S. interests.

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[1] A previous post described the January 8, 2015, launch of the Coalition. This post about their visit to the island is based upon the following sources: Thomas, Ag Coalition to lead trade trip to Cuba in March, Farm Futures (Feb. 20, 2015); Reuters, U.S. Agricultural Delegation Visits Cuba, Protests Embargo, N.Y. Times (Mar. 2, 2015); Cuba Hosts Delegation of 96 US Farm Sector Businesspeople, Havana Times (Mar. 2, 2015); Sosa, US farmers promote lifting the blockade on Cuba, Granma (Mar. 3, 2015); Miroff, Why Midwestern farmers want to break the Cuban embargo, Wash. Post (Mar. 3, 2015); U.S. agribusinessmen visiting Cuba call for end to embargo, FoxNewsLatino (Mar. 3, 2015); US Agriculture Organization Looks for Business Opportunities in Cuba, Escambray (Mar. 3, 2015); Weissenstein, Cuba looks north to US farmers for help with food crisis, Assoc. Press (Mar. 4, 2015); Sosa & Gomez, The fertile field for trade between US and Cuba, Granma (Mar. 5, 2015).