Farm sales to Cuba rose but future's hazy

Farm sales to Cuba rose but future's hazy

U.S. farm exports to Cuba rose to $715 million in 2008 despite the
global economic crisis, a Texas economist says. Parr Rosson, director of
the Center for North American Studies at Texas A&M, attributes the rise
to a weaker dollar, lower commodity prices and a series of hurricanes
that forced Cuba to import more agricultural goods.
"It's a market that has grown surprisingly fast, given the economic
conditions in that country," Rosson told The High Plains Journal. And
the impact on U.S. traders is "quite widespread since everything in Cuba
is all on a cash basis," he told the Kansas newspaper.
Nevertheless, the economist sees the future as "very cloudy." Cuba
bought only $67 million worth of farm goods from the U.S. in the first
quarter of this year. "The nickel market has crashed, so that means less
money" for Cuba and "a projected downturn in the number of [tourists]
visiting the country is expected to further impact the economy," Rosson
said. Also, Cuba is now buying its rice from Vietnam, which sells it
cheaper than the U.S.
Still, Texas farmers are hoping for a firmer foothold in the future. A
workshop on exporting to the island will be held May 14 in Houston. Its
purpose: to help service providers, food processors and distributors
succeed in the Cuban market.
---Renato Pérez Pizarro.

Cuban Colada | Farm sales to Cuba rose but future's hazy (4 May 2009)

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