The Mariel Special Development Zone: A key project for the Cuban economy

For several months, disposable diapers and food products with labels reading: “Made in Mariel” have been available in the main chain stores in Cuba. In the perhaps not so far away future, the idea is that these labels appear on a wide range of products, originating from the main Cuban project to attract foreign investment: the Mariel Special Development Zone (ZED Mariel).

Six years after its creation, ZED Mariel already has 50 approved businesses, from 32 countries, with investments exceeding 2.3 billion dollars. Of those businesses, 26 are already operating, while the rest are in different phases of the investment process.

So far, the most widespread modality has been that of companies funded by totally foreign capital, representing 29 businesses. Meanwhile, there are 12 joint ventures, seven operating with purely Cuban capital, and two are International Economic Associations.

One of the most recently established projects is the Thai Binh Global Investment Corporation plant, financed by Vietnam. This corporation has been doing business in Cuba for more than two decades and decided to invest 9.3 million dollars to build, across 10,000 square meters, a plant that, thanks to its two modern production lines, can supply more than 120 million disposable diapers and 240 million sanitary towels annually. With these figures, the Vietnamese group could meet up to 70% of national demand.

Another of the businesses that has started operations is the Richmeat processing plant, with Mexican capital. Using Cuban raw materials, the plant has an installed production capacity of 400 tons and is currently operating at 45% capacity with a single production line (producing seasoned ground meat). Each month, the company supplies 180 tons of this product to the domestic market.

Meanwhile, the Spanish company Profood Service S.A. is another of those already operating at Mariel, producing food products, soft drinks and dispensing machines, for the hotel sector and the network of retail stores. Juices, cocktails, spirits, dried fruits, cereals and freeze-dried products, such as coffee and cocoa, are already being commercialized and becoming popular among many Cubans, while the aim is to establish a catalog of more than 300 products.

So far, ZED Mariel has a single concessionaire, the Parque Industrial de ViMariel, S.A, a subsidiary of the Vietnamese company Viglacera. This company was established in July 2019 and its objective is, within 50 years, “to plan, invest, build, manage and operate infrastructure and the Industrial Park.” The concessionaire has already begun working with its first user: the Portuguese company Ecoplast.

Among the most important plans in 2020 will be to continue the construction of the photovoltaic power station of the Mariel Solar company. In addition, more road, water and sewerage projects will be executed, contributing to the urban development and infrastructure of the Zone. Another objective will be to strengthen the Single-Window System, through a computerization process, which will simplify and digitalize the procedures.

The opening of a post office, an international law firm, a weather station, another service center and a catering facility capable of preparing up to 10,000 portions per day, are other projects planned for this year.