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Home International Customs Cuba

Cuba struggles to achieve rice production target

byCustoms Today Report
31/10/2015
in Cuba
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HAVANA: While U.S. consumers may want cigars, Cubans crave rice. From the congri to the arroz imperial, rice remains a staple of Cuban cuisine. But Cubans struggle to deal with a deficit in production.
Before Fidel Castro took power, Cuba was the largest commercial market for U.S. long-grain rice exports. Now, Cuba imports about half of its rice, mostly from Vietnam and Brazil, according to industry experts. The Japanese have also donated millions in equipment.
Although nearly 50 percent of the island’s production is in Villa Clara, Sancti Spiritus, Ciego de Avila, Camaguey and Cienfuegos, there were workers processing rice on the road in Matanzas.
“We do this every morning,” said Osmany, a worker who wanted to be identified only by his first name.
U.S. rice growers said the U.S. embargo represents the loss of a lucrative export opportunity, since Cuba has the highest per capita rice consumption of any country in the Western Hemisphere, according to the U.S. Department of Agriculture.
As of late May 2015, U.S. prices were about 36 percent above prices for comparable grades of Vietnamese rice, but about $65 below Brazil’s prices, according to the USDA. Because the U.S. is able to ship many smaller-sized cargoes throughout the island, Cubans may reduce distribution costs.
With tourism expected to rise, so is rice consumption. Cuba produced about 423,000 tons of rice from 2013 to 2014. Cooperative farms, producers with use privileges on state-owned land and small-scale farmers account for production, according to official Cuban data.
If Cuba imported the same amount of rice today as it did then, it would be the seventh leading destination for U.S. rice exports, despite changes in consumption, a USDA expert said.
During 2012 to 2014, Cuba’s five leading agricultural imports in terms of value were wheat, corn, chicken meat, nonfat dried milk and rice, which made up 10 percent.

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