The Washington Post
Sunday, December 16, 2001

U.S. Food Arrives in Cuba;1st Trade Since 1962

By Marc Frank
Reuters

HAVANA, Dec 16—A ship carrying U.S. chicken arrived in Cuba on Sunday, completing the first direct food trade between the two politically estranged countries
since the United States slapped an embargo on the Communist-run island in 1962.

The historic sales, prompted by Hurricane Michelle, which devastated the Caribbean island's crops last month, were the result of a year-old law that exempts food
and medicine from U.S. trade sanctions.

The M.V. Express, a container vessel owned by Florida-based Crowley Liner Services, glided into Havana Bay with 500 tonnes of frozen chicken sold by a U.S.
subsidiary of the French firm Louis Dreyfus Corp.

A second ship carrying 24,000 tonnes of corn sold by U.S. agribusiness giant Archer Daniels Midland arrived later in the day.

"It is our hope that these initial sales to Cuba will serve the purpose of proving the point that it is a logical thing for Cuba and the United States to trade with one
another," ADM executive Larry Cunningham said as the Crowley ship docked across Havana Bay.

"It is our feeling the best way to build relations between countries is to have them become trading partners," Cunningham added.

Both vessels left the United States on Friday, with more shipments expected in the coming weeks as ADM and others make good on about $30 million in contracts
for 200,000 tonnes of U.S. wheat, corn, soybeans, rice and chicken.

The sales come despite Cuban President Fidel Castro's pledge not to buy "a single grain of U.S. rice or aspirin" soon after the new law was signed.

He claimed that it discriminated against Cuba because the United States still prohibited private and government financing, as well as the import of Cuban products.

But Castro apparently changed his mind after Hurricane Michelle ripped across Cuba.

SALES FUEL U.S. EMBARGO DEBATE

The sales were expected to heighten debate in the United States between farmers and others who want the embargo lifted, and Cuban exile groups who demand
even tougher sanctions.

Pedro Alvarez, president of state-run Alimport, which made the purchases, seemed to hope they would do just that.

"U.S. producers do not have markets for all their products and Cuba is a secure market," Alvarez said.

"This has an impact. American food producers are learning a Cuban market exists, that it is a market that wants products, and a market they are losing because of
U.S. laws," he added.

President George W. Bush has said he strongly supports the U.S. trade embargo against its neighbor 100 miles (160 km) south of Florida, but moves are under way
in the U.S. Congress to further loosen the sanctions.

U.S. agribusinesses have voiced hope for additional sales to Cuba, which purchases some $800 million in food commodities each year.

But Castro last week attributed the sales to damage caused by Hurricane Michelle, saying he wanted further changes to the embargo before engaging in more trade.

"It's a one-off sale," the veteran Cuban leader told reporters on the Venezuelan tourist island of Margarita during a summit of Caribbean leaders.

Castro said it was impossible for Cuba to accept the idea of what he called "unilateral trade" in only one direction.

"But we don't want to pronounce the last word on this," Castro said.

"If there are gestures from their side, there will be gestures from us in this business of trade," he added.

                                                        © 2001 Reuters