With Only One Company Registered in Mariel, Russians Resist Investing in Cuba

At the Havana International Fair, Brazilians and Iranians also offer their products and services

Tatiana Mashkova, president of the National Committee of Russia for Cooperation with Latin America / Prensa Latina

14ymedio bigger14ymedio, Madrid, November 5, 2024 — Behind the scenes of the Havana International Fair, which began this Monday at Expocuba, the Cuban authorities try to convince the Russia-Cuba Business Forum to get more involved in Cuba’s economy.

The official press said that the strong presence of Russian companies at the Fair “evidences the mutual commitment to strengthen commercial and logistical relations between Russia and Cuba, opening up new opportunities for collaboration in various areas.” But beyond the words, what was evident was exactly the opposite.

Tatiana Mashkova, director of the Committee for Economic Cooperation with Latin American Countries and Vice President of the Russia-Cuba Business Council, admitted that there is only one Russian company registered in the Mariel Special Development Zone. “This is a challenge and a request to Russian companies: think about the possibilities offered by Mariel,” she invited.

Mashkova cited companies from Russia that collaborate with those of the Island: Polar Trans, Artis Logistics, Nordline Logistics and Unigroup

The grandiloquence about the potential of the port of Mariel to become “a logistics hub” for the entire continent contrasts with the facts. However, Mashkova cited companies from her country that collaborate with those of the Island: Polar Trans, Artis Logistics, Nordline Logistics and Unigroup.

“Although today we aren’t solving all the problems, it is crucial that we work on these issues,” she said, with the idea of promoting businesses that for now are largely limited to tourism. “There are direct flights between Cuba and Russia, as well as routes that connect with Venezuela, but maritime transport, especially through Istanbul, is not always convenient,” she added.

Therefore, she clarified that “a great effort is being made together with the Ministry of Industry and Commerce of Russia to develop a subsidy system that facilitates the transport of cargo to Latin America and Africa. “Cuba could play a key role,” she added, regarding the importance of organizing subsidized maritime lines between the Island and Russia.

Mashkova welcomed the fact that Cuba has joined the BRICS group as an associate member, “where the use of electronic money in transactions is discussed.” She called for the creation of a binational bank, which would join the Russian Novikombank. This entity, which belongs to the Russian state corporation Rostec, opened its first branch in Havana this June with the idea of supporting Russian companies on the Island, one of the biggest milestones in the financial cooperation of the two partners, along with the implementation of the MIR card.

The logistics of payments in national currency, rubles to Cuban pesos, was also a topic of discussion

The official also talked about tourism, one of the areas of greatest interest to the Island, but one which is not going well in general terms. The logistics of payments in national currency, rubles to Cuban pesos, was also a topic of discussion. “We are seeing an increase in the tourist flow to Cuba, which is fundamental. This generates a large sum of rubles on the Island,” she said.

According to the most recent data, from January 1 to September 30, 141,615 travelers from Russia arrived in Cuba, 11.9% more than in the same period of the previous year, being one of the few countries bringing a growing number of tourists (ahead of Mexico, 5.4%; and Argentina, 1.4%).

Cuba’s sales to Russia are not going smoothly either. “Recently, we have received the first batches of Cuban avocados and mangos through a private company, the first in 35 years, and we can say that the Cuban avocado is the best in the world,” she said, encouraging the increase in collaboration between MSMEs of both countries, “an area in which there is still much progress to be made.”

However, everything points to the fact that the aforementioned “private company” is Cítricos Arimao, a State-owned business in Cienfuegos – created in 1967 by order of Fidel Castro – which two years ago began to announce the export to Russia of several products, including fresh mango, avocado, cassava and dehydrated pineapple pulp.

On the 8th, the Vice President of the Government of the Russian Federation, Dimitri Chernyshenko, will visit the exhibition

On the 8th, the vice president of the Government of the Russian Federation, Dimitri Chernyshenko, will visit the exhibition. He is expected to announce other cooperation agreements, although in everything outlined this Monday by the ambassador, Victor V. Koronelli, there were many words but few specifics.

Something similar happened during Miguel Díaz-Canel’s walk through the Iranian pavilion, where Seyed Sattar Hashemi, Minister of Communication and Information Technology of Iran, said he felt “at home” and brought the leader a “warm greeting” on behalf of his president.

The senior official came from Venezuela, where this Sunday he talked with his counterpart in Caracas, Gabriela Jiménez, about “new agendas of scientific and technological cooperation in telecommunications, digital transformation and AI (artificial intelligence).” The visit coincided with the signing of the Iranian company MDC to begin “adaptation work” to install a fiber optics factory in the state of La Guaira.

Its manager, Marcos Meléndez, explained that “the work of architecture, engineering and adaptation is beginning,” and that, by the middle of next year, the country is expected to have “a new technological company with an export vocation,” from which Cuba could benefit, as Cuba and Venezuela are both allies.

Brazil is another important ally, in this case in agriculture and, therefore, in food. Ydael Pérez Brito, Minister of Agriculture, talked with Ambassador Christian Varga at the exhibition and asked him to promote collaboration in this area.

Pérez Brito assured that the regime is focused on “guaranteeing the energy and food security of the people”

“We open our doors to the new Brazilian entrepreneurs who have joined and give our deepest gratitude to those with whom we have consolidated business relationships,” he said.

Pérez Brito assured that the regime is focused on “guaranteeing the energy and food security of the people, evaluating solutions that help reduce the negative effect of the unilateral measures imposed by the United States.”

Vargas, for his part, explained that Brazil has made “humanitarian donations, food, medicines and solar panels” in recent weeks and added that it is the intention of his Government to continue helping the Island. “We are aware of the importance of supporting the Cuban economy, which has not yet managed to recover dynamism in its tourism sector, due to the rise in international food and energy prices caused by the unilateral sanctions, which in turn harms the trade relationship between Cuba and Brazil,” he said.

Translated by Regina Anavy

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