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No More War: Cuba Sends Mds, Not Guns, to Africa's Most Impoverished

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Vol. 13, No. 6 July 2005 www.cubanews.com In the News From strawberry daiquiri mix to soymilk, OFAC overruled Florida firm sees huge potential in Cuba House panel votes to roll back restrictions BY LARRY LUXNER out of a nondescript industrial park that also houses companies like Lucent Technologies, B- on U.S. food sales to Cuba ...........Page 2 wo gregarious New Yorkers with a back- ground in food service think they’ve dis- Link Florida Ltd. and Sea Aerospace Group. T covered how to make it big in Cuba. The two men met around 15 years ago, while they were running separate restaurants within Accor takes over Brooklyn-born Richard Waltzer, 36, and his the Ritz Carlton Hotel in Naples, Fla. They French hotel giant to manage the legen- business partner, 42-year-old Craig Jacobs, ori- decided to start a business in logistical procure- dary Riviera, Capri hotels .............Page 3 ginally from Queens, both drive Hummers and ment for hotels throughout the Caribbean. they’re both certified executive chefs. “If you have eight or ten hotels and they’re all They’re also co-owners of Fort Lauderdale- using a separate olive oil, the hotels have no real May 20th memories based Splash Tropical Drinks, which has sold at value to a manufacturer,” explained Jacobs, a Dissidents’ Havana meeting makes head- least $1 million worth of commodities to Cuban graduate of the New England Culinary Institute. lines, though not in Cuba .............Page 4 state entity Alimport since late 2002. “But if you get them to all use the same olive oil, That makes Splash one of the very few South then they present a value to the manufacturer, Florida companies already profiting from a 2000 giving you — the hotelier — better leverage.” Political briefs law which allows U.S. food exports to Cuba on a Waltzer, who attended New York’s Culinary Radio, TV Martí broadcasts questioned; cash-only basis. Institute of America, said “we followed the EU nixes sanctions for now ..........Page 5 “Cuba is the best-paying customer for us,” McDonald’s system of giving customers exactly says Jacobs. “They pay faster than any other what they expect every time, predictable quality country we do business with in the Caribbean.” and consistency.” Newsmakers CubaNews interviewed Waltzer and Jacobs Especially when it comes to fruity drinks. Vicki Huddleston, former top diplomat in last month at their warehouse, which operates See Splash, page 6 Havana, warns that current U.S. policy to- ward Cuba is a big mistake ..........Page 8 No more war: Cuba sends MDs, not guns, Spain tries again Politics aside, Spanish firms try to recov- to Africa’s most impoverished countries er lost ground in Cuba ................Page 10 BY OUR HAVANA CORRESPONDENT entific and technological expertise already fter nearly four decades of engagement working throughout the continent. 14 little songs with Africa, Cuba’s health and education- In South Africa alone, for example, there are U.S., Cuba wage legal war over ownership A al services are more in demand than ever 500-odd Cuban doctors, architects and engi- neers. According to South Africa’s Public Ser- of melodies from the 1930s ........Page 11 by Africa’s poorest nations. At the moment, some 4,000 Cubans are work- vice Commission, one of the most sought-after ing on various technical and scientific missions specialties is clinical engineering in medical in over 20 African countries. equipment — a rare specialization that requires Business briefs more training than electrical engineering. Cuentapropista permits revoked; U.S. law In the first half of 2005 alone, Havana has received visits from several heads of state and Louis Pienaar, economic counselor at the fails to stem remittances .............Page 12 ministers, resulting in the signing of trade and South African Embassy in Havana, said his cooperation accords with Swaziland, Rwanda, See Africa, page 14 Cape Verde, Guinea-Bissau and Angola. Holes in the embargo DEAR SUBSCRIBER: Due to serious and un- U.S. investors help fund public companies In addition, the vice-president of Cuba’s State Council, Esteban Lazo, recently toured Kenya, foreseen computer software problems that would doing business in Cuba ..............Page 15 Sudan and Namibia, meeting presidents and have further delayed the printing and distribution government ministers along the way. of CubaNews via e-mail, we’ve had no choice but CubaNews (ISSN 1073-7715) is published monthly This boost in Afro-Cuban relations seems to to skip our June issue and mail out the current by Luxner News Inc. © 2005. All rights reserved. be marked by emphasis on diversification of July issue as soon as possible. As compensation, Subscriptions: $429/year. For subscription or edito- Cuban exports, above all in biotechnology and we have automatically extended all paid subscrip- rial inquiries, call us at (301) 365-1745, send a fax to tions by two months for free. We deeply regret any (301) 365-1829 or e-mail us at [email protected]. pharmaceuticals, as well as the “knowledge industry” led by thousands of specialists in sci- inconvenience this problem may have caused you. 2 CubaNews O July 2005 POLITICS House panel votes to defund enforcement of OFAC ruling House of Representatives panel has vot- organizations (see box below for complete list of in 2005 unless Congress can find a way to ed to strip the Treasury Department of co-signers) complained that the new OFAC quickly overturn this change in the payment A money to enforce a new Bush adminis- rule threatens $450 million in annual U.S. requirements and facilitate easier travel,” the tration ruling that opponents say threatens food exports to Cuba. letter to lawmakers warned. continued U.S. food exports to Cuba. The letter, citing USDA figures, says sales “The Congressional intent expressed in The House Appropriations Committee, by of agricultural products to Cuba for the first passage of the Trade Sanctions Reform and voice vote, on Jun. 21 approved an amend- four months of 2005 are 26% below the year- Export Enhancement Act to allow normal ment sponsored by Rep. Jo Ann Emerson (R- ago period. This includes a 65.8% drop in sales cash sales of U.S. agricultural products to MO) that would effectively prevent the of soybean oil. Other commodities with lower Cuba must be restored.” Treasury Department’s Office of Foreign sales include soybeans (-15.4%); corn (-14.5%); Last month, Pedro Alvarez, chairman of Assets Control from enforcing a rule passed concentrated milk (-38%); pasta (-92%); grapes Cuban state purchasing agency Alimport, told in February that requires Cuba to pay for U.S. (-56%); spices (-219%) and cotton (-22.7%). the US-Cuba Trade Association in a video food purchases before they leave port. hookup from Havana that due to the bureau- Under the original rule, ships bound for USCTA TO OFAC: YOU UNDERESTIMATED US cracy and expense caused by the new rules, Cuba could be dispatched while U.S. compa- The USA Rice Federation says U.S. rice his entity has been forced to buy $300 million nies awaited payment. sales to Cuba in 2005 have dropped 52% by in wheat, corn, soybeans, rice, poultry and That amendment, which must be approved volume from the same period in 2004, as Cuba pork from other nations that it otherwise by the full House and Senate, is attached to a turns back to its traditional rice suppliers — would have sourced from the United States. bill funding Treasury and other federal agen- Vietnam and China — for purchases. “If those who put in place the latest OFAC cies for fiscal 2006. It’s likely that a similar In addition, reports USDA, sales of several regulations on trade with Cuba thought the amendment will be attached to the Senate bill. commodities to Cuba came to a complete halt voice of U.S. agribusiness would be silenced, In a letter to Emerson and three of her col- during the first four months of 2005, including they were wrong,” Kirby Jones, president of leagues — Bill Delahunt (D-MA), Jeff Flake logs and wood chips, fruit and vegetable the US-Cuba Trade Association, told Cuba- (R-AZ) and Jerry Moran (R-KS) — more than juices, cheese, soups and fresh tomatoes. News Jun. 23 during a visit to Havana. “In fact, 40 companies, state agencies and industry “Sales will continue to decline dramatically I think they have served to mobilize us.” K FC Stone (IA) Perfected Foods Co. (FL) Entities protesting OFAC rule Kaehler’s Homedale Farms (MN) Port Manatee Commerce Center (FL) Ag BioTech Inc. (NY) Louis Dreyfus Corp. (CT) Port of Corpus Christi (TX) AlaCaribe Initiative Inc. (AL) Molimar Export Consultants (PA) Port of Mobile (AL) American Farm Bureau Federation (DC) National Ass’n of State Departments of Agriculture Sunlight Foods Inc. (FL) American Meat Institute National Association of Wheat Growers The Rice Company (CA) Buffalo Hills Bison Co. (MN) National Chicken Council (DC) The Scheye Group Ltd. (IL) Buffalo International (FL) National Foreign Trade Council (DC) United Americas Shipping Services (FL) National Milk Producers Federation (DC) U.S. Apple Association Cattleman’s Meat Co. (MI) National Pork Producers Council (DC) U.S.-Cuba Trade Association (DC) Ciervo de Oro Foods (CA) Navarretta Group (CA) U.S. Dairy Export Council Crowley Liner Services (FL) North Dakota Farm Bureau U.S. Rice Producers Association Cuba Trade Coalition (AL) North East Food Distribution Co. (MA) U.S. Wheat Associates Dolphin Shipping & Trading Co. (GA) Northern Gulf Trading Group (AL) USA Rice Federation FAR Trading Consultants (GA) PS International (NC) Virginia Apple Trading Co. (VA) Louisiana state officials plan 2nd trade mission to Cuba ouisiana officials will return to Cuba this ject of our exclusive interview with Gov.
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