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This Report Finds Huge Trade Benefits from End to Cuban Embargo

Today, Engage Cuba and the US Agriculture Coalition for Cuba released a comprehensive report on the benefits that increased agriculture trade between the US and Cuba.engage cuba

Engage Cuba and the US Agriculture Coalition for Cuba are the he two leading groups working to end the embargo on Cuba.

The report finds that six state have significant room to increase exports if changes in US policies open opportunities for agricultural trade with Cuba and allow US exporters to extend private credit to Cuba. These are: Alabama, Indiana, Iowa, Mississippi, Missouri, and North Dakota

US agricultural exports to Cuba have declined in recent years due to a US law that prevents US exporters from extending private credit to Cuba. The attached report highlights agricultural products exported by states, including rice, poultry, soy, corn, and wheat that could experience significant growth should the embargo with the Island be lifted.

“The latest report shows that US agribusiness is continuing to lose market share in Cuba due to our own policies that prevent US businesses from extending credit to Cuba for agricultural goods. US farmers and agribusiness are at a competitive disadvantage, and as a result, the US has slipped in its ranking to the 5th supplier of agriculture exports to Cuba,” said President of Engage Cuba, James Williams. “This report shows, yet again, how congressional failure to act is not only hurting US farmers who are unable to compete in Cuba’s growing market, but also Cubans who rely on imports for up to 80% of their agricultural needs.”

Key findings from the report include:

  • Alabama:Alabama is the number two US exporter of poultry, with broiler meat exports making up almost one-third of the state’s total agricultural export value. As a top exporter, Alabama stands to gain from the increasing trend since 2000 in Cuba’s poultry imports.
  • Indiana: Indianais the number three soybean exporter among US states, totaling more than $2 billion in FY2014—35% of the state’s agricultural exports. Soybeans and soybean meal will be increasingly important for Cuba’s agricultural imports as its livestock sector develops in the longer term.
  • Iowa: Iowa is the second largest exporter of US agricultural products in the country. With increases in tourism and large demand from Cubans for these products, Iowan agribusiness and its top exports of soybeans, soybean meal, and feed grains stands to gain millions in increased exports.
  • Mississippi: Mississippi is the fifth-largest poultry exporter and stands to gain from the increasing trend in Cuba’s poultry imports. Lifting the embargo with Cuba would allow Mississippi to take back market share in poultry exports from international competitors such
  • Missouri: Missouri’s top export, soybeans, is in high demand in Cuba. The Island imports more than $250 million in soybean products, which could come from Missouri if the embargo were lifted.
  • North Dakota: North Dakota is the top exporter of US wheat, which was one of the top agricultural exports to Cuba prior to the embargo.

The first Engage Cuba agricultural report, released in March in conjunction with USACC, detailed the benefits of expanded agriculture trade for Arkansas, Georgia, Illinois, Kansas, Louisiana, Minnesota, Nebraska, Ohio, Tennessee, and Texas.

This Report Finds Huge Trade Benefits from End to Cuban Embargo was last modified: May 17th, 2016 by Cuba Journal