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November 16, 2001



Cuba News

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Cuba Seeks U.S. Food, Medical Supplies

By George Gedda, Associated Press Writer

WASHINGTON, 15 (AP) - Reeling from Hurricane Michelle, Cuba has opened talks with the United States for the purchase of millions of dollars worth of food and medicine, administration and congressional sources said Thursday.

Although the U.S. embargo against Cuba has been in effect for 40 years, purchases of medical supplies have been legal since 1992. Exports of food to Cuba were authorized by Congress last year.

Cuban President Fidel Castro (news - web sites) had ruled out food purchases because no American financing is permitted. But Castro has made an exception because of the devastation of Hurricane Michelle, which destroyed hundreds of thousands of houses and vast tracts of farmland.

Cuba's problems have been aggravated by economic problems resulting partly from a tourism decline dating from the Sept. 11 terrorist attacks in the United States. The attacks have led to a tourism slump worldwide.

Cuban officials have presented a list of goods for examination by U.S. officials and also have been in contact with 15 agricultural companies and 15 firms that produce either pharmaceuticals or medical supplies, the sources said.

The U.S.-Cuba Trade and Economic Council, Inc., which follows economic developments in Cuba for U.S. corporations, said Cuba is seeking wheat, soy, flour, corn, and rice and may also be in the market for wood products, baby food, powdered milk, poultry, cooking oil, beans, antibiotics and vaccines.

Estimates of the total value of the products requested range from $3 million to $10 million. If approved, the goods will be shipped on U.S. or third-country vessels. The United States rejected a Cuban request that the goods be transported on Cuban ships.

Pamela Falk, a law professor and consultant to several grain and producer groups, said Cuba made an exception to its ban on U.S. food imports shortly after the hurricane by making modest deals with smaller U.S. agriculture producers. It is now looking for purchases on a much larger scale.

Falk said the hurricane provided Cuba with a face-saving way of getting a foot in the door of the U.S. market. But Cuban diplomats have told State Department officials they don't expect the current round of purchases to be repeated.

Sally Grooms Cowal, president of the anti-embargo Cuba Policy Foundation, said she hopes the prospective transactions are just the beginning.

The Cuban initiative "is a breaking of the logjam that enables us to move forward,'' she said.

Dennis Hays, executive vice president of the pro-embargo Cuban-American National Foundation, noted that Cuba had rejected a recent U.S. offer of assistance channeled directly to the Cuban people through international and other intermediaries.

Hays said it was surprising that "cash-starved Cuba'' would rebuff the gesture and wind up paying cash for the same products the U.S. was offering.

Cuban-born Rep. Lincoln Diaz-Balart (news - bio - voting record), R-Fl., said, "Despite his repeated prior declarations that he would never make such a purchase agricultural products from the U.S. unless the embargo was lifted, the abrupt turnaround by Castro shows extreme desperation and a desire to divert attention, in the wake of Sept. 11, from Cuba's links to the global terrorist network.''

Cuba, U.S. Open Talks for Supplies

By George Gedda, Associated Press Writer

WASHINGTON, 15 (AP) - Cuba has opened talks with the United States for a one-time cash purchase of food and health care products to help replenish stocks depleted by Hurricane Michelle, administration and congressional sources said Thursday.

Cuban officials have presented a list of goods for examination by U.S. officials and also have contacted 15 agricultural companies and 15 companies that produce either pharmaceuticals or medical supplies, the sources said.

Estimates of the total value of the products requested range from $3 million to $10 million. If approved, the goods would be shipped on U.S. or third-country vessels.

The U.S.-Cuba Trade and Economic Council Inc., which follows economic developments in Cuba for U.S. corporations, said Cuba is seeking wheat, soy, flour, corn, and rice. Cuba also may be in the market for wood products, baby food, powdered milk, poultry, cooking oil, beans, antibiotics and vaccines, the group said.

Hurricane Michelle devastated Cuba last month, destroying hundreds of thousands of homes and vast areas of farm land.

A year ago, Congress softened the U.S. embargo against Cuba, permitting the sale of food to the island nation but barring U.S. government financing of any such sales. Cuban President Fidel Castro (news - web sites) reacted angrily to the restriction and ruled out any purchases from U.S. markets.

Pamela Falk, a law professor and consultant to several grain and producer groups, said Cuba made an exception to the policy shortly after Hurricane Michelle by making modest deals with smaller U.S. agriculture producers. It is now looking for purchases on a much larger scale.

"This is a toe in the door,'' Falk said. She predicted that sales could reach a $1 billion a year if political conditions improve.

Sally Grooms Cowal, president of the anti-embargo Cuba Policy Foundation, agreed with Falk. She said the Cuban initiative "is a breaking of the logjam that enables us to move forward.''

Dennis Hays, executive vice president of the pro-embargo Cuban-American National Foundation, noted that Cuba had rejected a recent U.S. offer of assistance channeled directly to the Cuban people through international and other intermediaries.

Hays said it was surprising that "cash-starved Cuba'' would rebuff the gesture and wind up paying cash for the same products that the United States was offering.

Man Had 44 Birds in His Pants

By ABCNEWS.com. November 16, 2001.

MIAMI— Forty-four birds in the pants could cost a Miami man 10 years in a cell and $500,000.

Carlos Rodriguez Avila is facing federal charges of attempting smuggle 44 songbirds into the United States by hiding them in his pants.

He was netted on Oct. 31, when a suspicious U.S. Customs agent at Miami International Airport asked Avila — who had just arrived on a charter flight from Havana — to raise his pants, and the agent found the birds strapped to his legs.

Avila was charged with unlawful importation and possession of the birds and making a false statement by lying on his U.S. Customs form. If convicted, Avila could be sentenced to a maximum of five years in prison and a $250,000 fine on each of the two counts.

The birds Avila allegedly tried to smuggle in were Cuban melodious finches, which are popular pet songbirds and can fetch as much as $350 apiece. The birds are not endangered, but international treaties require export permits to remove the birds from Cuba.

Ornithologists also say the birds can become stressed if they are removed from their natural habitat, and being strapped to a man's legs under his pants couldn't help.

Not all of the birds survived the trip.

Congress Farmers Glance

By The Associated Press. November 15, 2001.

Highlights of the farm bill approved Thursday by the Senate Agriculture Committee:

-Provides fixed annual payments to farms that grow grain, cotton, soybeans and peanuts. Creates a new "countercyclical'' program with payments that would be triggered when prices for those crops are below certain levels.

-Under a third program, increases subsidies for grain, cotton and soybeans and provides new subsidies for honey, wool, mohair, peanuts, dry peas, lentils and chickpeas.

-Sets up new subsidy program for dairy farmers, using fees levied on milk processors.

-Creates a new "conservation security'' program that would reward farmers for reductions in erosion and environmental improvements.

-The Conservation Reserve Program, which pays farmers to idle environmentally sensitive land, could be expanded from 34 million to 40 million acres.

-Increases the Environmental Quality Incentives Program, from $300 million in 2002 to $1.25 billion in 2006, and allows large hog and cattle operations to qualify for assistance in controlling manure.

-Food stamps would be restored to thousands of legal immigrants, including children who entered the country since the 1996 welfare overhaul.

-Permits private financing of food sales to Cuba.

-Establishes new grant programs to finance rural businesses and development of fuels made from crops.

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