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International Trade
Newsletter - April 12, 2002
 
In this Issue...
Cuba Update
 
April 12, 2002
 

  • U.S. Revocation of Visas Threatens Food Sales to Cuba. Assistant Secretary of State for Western Hemisphere Affairs Otto Reich, has directed that visas for travel to the United States, previously approved and delivered, be revoked for Pedro Alvarez Borrego, the president of Alimport, the Cuban food import agency, and several other Cuban officials and technicians. Future applications by individuals working for the Cuban government are to be considered on a case-by-case basis. This action puts at risk the future of U.S. sales of agricultural products to Cuba. Cuba has signed contracts totaling $73 million to import foods from the United States since the passage of the Trade Sanctions Reform and Export Enhancement Act of 2000. At least 15 U.S.-based exporters have been involved in shipping the goods bought from producers in 25 states.

  • U.S. Companies Begin Push for Relaxation of Cuban Embargo. USA*Engage, which represents approximately 700 U.S. companies opposed to unilateral sanctions, has launched a major lobbying offensive designed to persuade Congress to ease the trade embargo against Cuba. USA*Engage will focus on ending the ban on travel to Cuba, obtaining private financing of agricultural and medical sales to Cuba, and repealing Section 211 of the 1999 Omnibus Appropriations Act. That provision nullifies any Cuban-owned trademarks obtained without the consent of the former Cuban owners, and has been found by the WTO Appellate Body to violate WTO rules. The group’s efforts are bolstered by independent polls, which find that 52 percent of Americans want the embargo lifted, and that even 52 percent of Cuban-Americans in Miami-Dade County support some business activity between U.S. companies and Cuba. On the other hand, the Bush Administration is strongly opposed to easing the embargo, and has vowed to veto the farm bill if it contains the Senate provision that would lift the current prohibitions against sales to Cuba of agricultural products on credit. Farm-state legislators have, in turn, promised to put pressure on the President to sign the farm bill, if the “only thing wrong with it,” is the Cuba provision.