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April 20, 2001



First US cargo service to Cuba

BBC News Online. Friday, 20 April, 2001, 02:45 GMT 03:45 UK

A United States cargo vessel has left Florida for Cuba, on the first regular service since the United States imposed economic sanctions on the Communist island in 1962.

It's scheduled to arrive in Havana on Saturday en route to Mexico.

The operating company said the Cuba service would continue, provided that there was a demand for it.

A BBC correspondent in Miami says there are real doubts about whether that will be the case.

Although the US Congress passed a law last year allowing the sale of some food and medicine to Cuba, there are tight restrictions on how such sales may be financed.

Cuba for its part says it won't buy goods from the US. It's estimated that if it were not for the embargo, the United States would provide up to a quarter of Cuba's imports, worth up to a billion dollars a year.

From the newsroom of the BBC World Service

US-Cuba shipping route re-opens

Friday, 20 April, 2001, 04:40 GMT 05:40 UK

A United States cargo vessel has left Florida for Cuba, on the first regular service since the US imposed economic sanctions on the island in 1962.

It is scheduled to arrive in Havana on Saturday en route to Mexico.

The operating company said the Cuba service would continue, provided that there was a demand for it.

BBC Miami correspondent Malcolm Brabant says there are real doubts about whether that will be the case.

Although the US Congress passed a law last year allowing the sale of some food and medicine to Cuba, there are tight restrictions on how such sales may be financed.

Cuba for its part says it will not buy goods from the US.

It is estimated that if it were not for the embargo, the US would provide up to a quarter of Cuba's imports, worth up to $1bn a year.

Cargo doubts

This maiden voyage is seen as an important symbolic first step by US companies which want to end the 40-year-old trade embargo and start doing serious business with Cuba.

"It's clearly precedent-setting. It's an important visual moment in the bilateral relationship," John Kavulich, president of the US-Cuba Trade and Economic Council said.

But it is not clear if there will be enough cargo to justify continuing the planned weekly service to Havana.

A spokesman for the shipping company said its future was dependent on exporters having licences, cargo and buyers in Cuba.

But despite efforts by US congressmen to persuade the communist regime to start purchasing American goods, Fidel Castro has said Cuba will not buy a single US-made pill or kernel of grain because American financing and tourism are banned.

Embargo to remain

Despite the enthusiasm of the American business community for breaking down the barriers, the Bush administration has made it plain that there will be no further relaxation of the embargo which, it is estimated, is costing the US up to $1bn in lost sales.

The Florida-based shipping company refused to disclose what this inaugural run was taking to Cuba, nor would it say whether there were firm orders for future voyages.

Initially it looks as though the chief beneficiaries will be humanitarian organisations that are giving food and other items to Cuba.

Until now, donations have had to be taken by road to Canada or Mexico before being transported by sea.

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