Innovative measures in the agricultural sector stimulate food production in Cuba

One of the main novelties of the measures approved in Cuba to boost food production lies in the possibility for small livestock producers to directly commercialize meat in the retail network, in national or foreign currency, without the intervention of a state-owned enterprise.

The package of 63 regulations, 30 of which are considered a priority and the rest for immediate application, also includes the reduction of electricity and water rates for farmers, as well as the price of animal feed, which is a mixture of raw materials.

In the case of electric power services, although they vary according to fuel costs, a fixed rate will be established for this sector, due to its significance for the country, regardless of changes in global oil prices and the structure of internal electricity generation.    

The regulations include the guarantee of the sale of beef and buffalo meat, and self-consumption by sector workers, once they comply with supply commitments to  the state. Likewise, the producer is authorized to directly purchase supplies and machinery and to freely sell milk and its by-products.

During the announcement of the new regulations, sector executives acknowledged that the measures will favor the elimination of intermediaries, the quality of supplies, the autonomy of each territory and self-sufficiency; in addition to the promotion of the development strategy through 2030 and the monetary restructuring process underway in the country.

The decisions define the marketing policy of agricultural producers and cooperatives as a priority, either independently or jointly, based on the leasing of premises for retail sales and the expansion of the range of authorized products to be marketed to the tourism sector.

Currently, the main problems facing the agricultural sector are the “excessive bureaucracy” in the procedures for the usufruct of idle land; lack of control in its use; and unnecessary price increases as a result of the intermediaries between the  producer and the final customer.

Other difficulties mentioned are: low productivity and the limited application of the results of science and innovation to these activities. Official data also reveal that the country has more than 10 million hectares of land, of which 6 million are agricultural and only half are cultivated.