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Food

Cuba Doesn’t Want Any Filthy American Food

Our capitalist politicians are learning the hard way that just because we suddenly want to rub shoulders with communist-run Cuba doesn’t mean they want to do the same.
Photo via Flickr user savannahgrandfather

America may have finally cracked open the rusted doors to cross-national trade relations with Cuba, but our capitalist politicians are learning the hard way that just because we suddenly want to rub shoulders with the communist-run island nation doesn't mean they want to do the same.

As we're sure you know, the Obama administration, as of late, has been making some long-due strides towards the reinstatement of trade relations between the US and the Caribbean nation of guayaberas and guava that is Cuba. In fact, Secretary of Commerce Penny Pritzker just today left for Havana in the hopes of warming relations after 53 icy years of American embargos. The only problem is that trade between the US and Cuba—at least as far as food is concerned—is actually decreasing.

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READ: Why Cubans Won't Be Drinking Frappuccinos Anytime Soon

That's right, a little-known loophole has long allowed for American corporations to sell food and medical supplies to Cuba—even during the embargo years. Unfortunately for said corporations, that trade has pretty much all but dried up since diplomatic relations began to sweeten once again. Between the years 2007 and 2014, agricultural exports declined from $710 million to $291 million USD. But that's not all: Trade has actually dropped an additional 41 percent in just seven months this year to the low figure of $122 million.

So, what on Earth is America still actually exporting to Cuba? Well, according to the US Cuba Trade and Economic Council, the only agricultural product that was imported by Cuba from America this July was chicken.

Why is this happening? There are plenty of theories about that.

Trade numbers could be down because of falling commodity prices and lots of global competition. Sure, America is close—like within-90-miles close—to Cuba. But we are competing with the rest of the world for Cuba's business, and some of our regulations—for example, one that forbids selling agricultural goods on credit to Cuba—put us at a disadvantage.

Many experts, however, are saying that the decline in American exports of food to Cuba is due to one thing: politics. Cuba's state-owned import company, Alimport, controls all agricultural goods that come into that country. It's pretty much a given that the Castro regime controls Alimport and uses it to exert political pressure on trade partners.

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Michael Gershberg, a trade lawyer, told Politico that "Alimport can certainly make decisions on imports that aren't purely economic. If they receive orders from the government to make decisions based on political reasons, that can certainly have an effect [on purchases]."

Cuba appears to be using the "stick" rather than the "carrot" approach to influence ongoing trade relations with the US. In July, sales of US food to Cuba fell to less than $4 million, one of the lowest monthly numbers since 2001.

Sure, the diplomats are making nice. John Kerry, the Secretary of State, reopened the US embassy in Havana two months ago. Telecom restrictions are loosening. But maybe what's going on in the food trade business is an indication that the powers that be in Cuba aren't so keen on playing a civil game of tennis with us.

David Salmonsen of the American Farm Bureau Federation points out, "The US can do what it can do …but the focus at the same time is on what does Cuba want to do."

And what does Cuba want to do? It seems that they'd like to refrain from buying much of our food. At least not right now.