Tag: U.S. economic blockade of Cuba

UN Condemns US Blockade as Crisis Builds in Cuba / by W. T. Whitney Jr

Cuba thanks universal support against the US blockade | Image: Prensa Latina

A long-running show played out in the United Nations General Assembly once more on November 3 as nations of the world for the thirtieth year voted overwhelming to approve a Cuban resolution calling for an end to the U.S. economic blockade of Cuba. The vote was 185 nations favoring the resolution, two nations opposing (The United States and Israel, as usual), and Ukraine and Brazil abstaining.

Cuba has withstood the blockade for 60 years, so long as to equal one fourth of the years of U.S. national existence.  In that time, Cuba has lacked the resources and powerful allies that might have forced the U.S. government to backtrack. 

Cuba instead has had to rely on ideals, high principles, and widespread consensus in its favor, epitomized by the yearly votes in the General Assembly The blockade is cruel, immoral, unfair, and illegal the under international law. Even so, an opportunistic and powerful U.S. ruling class has not budged. 

The U.S. blockade will not end soon inasmuch as U.S. law assigns that task to the Congress. Another way for the blockade to go is for outcomes  envisioned by U.S. State Department official Lester Mallory in April 1960 to have worked their way. The U.S. government, through the blockade, was seeking “economic dissatisfaction and hardship,” “hunger,” “desperation,” and “overthrow of government.”

Except for the last one, these policy goals are far advanced in being realized and a crisis may be at hand in Cuba.

Disruption

At a press conference on October 19, Cuban foreign minister Bruno Rodriguez explained how the workings of the blockade led to those results. He noted that Cuba had suffered the loss between August 2021 and February 2022 of $3.8 billion, which “is a historical record for such a short time.”  Losses over six decades amount to $154 billion. With inflation, that’s $1.391 trillion.

The U.S. government designates Cuba as a terrorist-sponsoring nation. That means foreign companies and financial institutions face severe U. S. penalties if they handle dollars in transactions with Cuba. Dollars are the principal currency used in international monetary transactions. As a result, Cuba’s income from exports is reduced and international loans are largely unavailable. 

Without much money to pay for imports, Cuba experiences shortages of food, spare parts, raw materials for drug manufacture, and all kinds of supplies and equipment. Rodriguez mentioned long lines and “anxiety among the population.” The blockade affects “every Cuban family” and the government cannot “guarantee medicines that an ill person requires.”

“Cuba can in no way … buy technologies, equipment, spare parts, digital technologies or software containing more than 10 per cent US components.” The blockade has aggravated difficulties caused by “international crises,” inflation, and lingering effects of the Covid-19 pandemic.

Blockade restrictions “gravely hinder our fuel purchases by making them … [up to] 50 percent more expensive.” Electrical power generation “is going through an extremely serious situation” because of unavailable replacement parts. Blackouts bedevil Cubans every day and restoration of electrical power in hurricane-damaged Pinar del Rio has been slow.

First hand report

Richard Grassl, friend and political colleague, visited Cuba recently with his wife, who is Cuban. He recalls conversations touching on shortages, distress, and uncertainty as to who is to blame. 

10/16      Talked to first cousin of wife …  He told me I will learn the real Cuba this time.  He says not to believe what the Cuban government says about the US blockade.  There are many lies.  My wife’s nephew says the economy is “nothing. Many Cubans think the blockade [itself] is secondary to issues of daily living like [shortages of] food, medicine, water and lack of opportunity because there is no money. 

10/17     I asked him from where most food for Cubans comes from and about food imports.  He said most food comes from Miami.  [President] Diaz-Canel gets some blame for the situation.

10/18    There is not much social distancing as the times are urgent.  Food, consumer goods, fuel, construction materials are very expensive.  Eggs are $8USD / dozen.  The exchange rate is 80 CUP / USD which is 4x higher than before Covid-19.   No one talks about the blockade.  The problem is scarcity of money. 

10/19     I talked with a friend.  He says the US has so much and we have so little.  He asks why cannot there be trade?  …  At several bodegas and public markets, many people, perhaps hundreds, waited all day for cooking oil, rice, beans, chicken etc. at prices subsidized by government. 

10/20     I talked to another cousin from Matanzas who said the economy is “on the floor”.  It is very hard with little money.  A round trip from Matanzas to Havana (500 km) was $500 CUP/person one way or $2000 round trip for both persons by bus.

Corruption and blockade

Former Cuban President Fidel Castro delivered wide-ranging speech on November 17, 2005 notable for his highlighting of corruption: “This country can self-destruct; this Revolution can destroy itself, but they can never destroy us; we can destroy ourselves, and it would be our fault.”

Similarly, President Miguel Díaz-Canel on October 26 convoked a meeting of Cuba’s Council of Ministers at which a plan was unveiled with “more than 40 directives aimed at confronting crime, corruption, and lack of social discipline.” The report appearing on the presidential website characterized the President’s remarks as “a forthright analysis of illegalities, stealing and price-gouging imposed on a population with no economic means.”

Both earlier and now, the toxic mixture of shortages of goods and money has led to stealing and lawlessness. The progression suggests that shortages of both are sufficient to exert a destabilizing effect on society. That evolution of blockade effects, which have reached crisis proportions, is consistent with how the blockade was supposed to operate.

President Díaz-Canel explained to the Council that, “neither the Party or the government can remain on the sidelines of what’s happening in society.” Therefore, “we must not allow those who neither work nor contribute, and are beyond the law, to acquire more and have more possibilities for life than do those who actually contribute. We have it backwards now and are breaking with the ideas of socialism.”

He pointed out that, “Many of these things are the result of us not attending to the powers and responsibilities assigned to our institutions.” [Corrupt activities] “take place in full view of the Party centers, the administrative institutions, and leadership bodies.”

The President asserted that anyone able to work who is not doing so is not so vulnerable as to require “welfare assistance.” In fact, “the building of socialism does not depend upon a welfare system. What we have to seek out, instead, is social transformation.” 

Díaz-Canel observed that, “We don’t do away with taxes here so that the rich get richer and poorer people have less. Here, we do have taxes so that those who have more give something up so that those who have less are better off.”  “That’s socialism,” he explained. 

While celebrating another Cuban victory in the UN General Assembly, supporters of revolutionary Cuba, we think, ought to recognize that

the survival of Cuba’s government is now at unprecedented risk, thanks to the U.S. blockade. U.S. supporters of Cuba’s revolutionary project would do well to elevate actions of resistance against their own government to a new level, with new intensity. That’s because realities in Cuba appear to have altered, ominously so. 

Already new mobilization may be underway. In the days prior to the General Assembly’s vote on November 3, dozens of rallies for ending the blockade took place in cities and towns throughout the United States (two of them in Maine, the author’s home state), with particularly big ones in Los Angeles, Portland Oregon; and New York. There, an impressive march took place between Times Square and the United Nations Plaza.    

W.T. Whitney Jr. is a political journalist whose focus is on Latin America, health care, and anti-racism. A Cuba solidarity activist, he formerly worked as a pediatrician, lives in rural Maine. W.T. Whitney Jr. es un periodista político cuyo enfoque está en América Latina, la atención médica y el antirracismo. Activista solidario con Cuba, anteriormente trabajó como pediatra, vive en la zona rural de Maine.

Crisis in Cuba Requires End of US Blockade Now / by W. T. Whitney Jr.

Cuban Flag | Museum of the Revolution, Havana, Cuba, 2012. (Photo: Terry Feuerborn / Flickr)

Friends of socialist Cuba like good news about that country. Now bad news has its use. Grief and hardship currently are such that, clearly, the U.S. economic blockade of Cuba must end at once. The harsh details, appearing below, testify to potential destabilization in Cuba, danger to Cuba’s socialist project, and the nefarious role of the blockade. A major mobilization against the blockade is due. The need for action is obvious. 

The blockade, a 60-year-old relic of history, places few heavy demands on the U.S. public. No governmental funding is required. The Treasury Department issues fines and presidents make ritualistic declarations. People dodge travel restrictions. It’s a slow-motion affair. Distracted pro-Cuba activists may lose track of harassment details. Here they get a refresher course, for motivation toward action. It emphasizes blockade effects on people’s lives.

In the Beginning

Cuba’s vulnerability is the result mainly of U.S. policies directed at “denying money and supplies to Cuba … to bring about hunger, desperation, and overthrow of government.” The words are those of a State Department memorandum of April 6, 1960.

The flow of money to Cuba – international loans and export income –has long been feeble. International banks, financial institutions, and corporations handling dollars on Cuba’s behalf risk big U.S. Treasury Department fines. U.S. legislation blocks Cuba from importing the products of multi-national companies with branches in the United States – even food and medical supplies. For almost 30 years third-country ships docking in Cuba have been prohibited from entering a U.S. port for the following six months. Since 2019 the U.S. government has sanctioned Venezuelan ships carrying oil to Cuba.

The U.S. government harasses Cuba’s tourism industry, the source of most of Cuba’s foreign currency. Restrictions, variably regulated, operate against U.S citizens’ travel to the island. Why? They would spend money there. To discourage potential investors, U.S. legislation enables the heirs of properties nationalized in Cuba to take legal action in U.S. courts against investors who make use of such properties.

Cuba’s commerce with the United States has been nil for 60 years, except for heavily regulated Cuban agricultural exports. The northern neighbor used to be and still could be Cuba’s most convenient trading partner.

People are hurting

The U.S. blockade constitutes the main impediment to Cuba’s industrial production and overall economic development. Soviet Bloc nations formerly provided relief. Since then, strictures placed on imports have caused shortages of raw materials, replacement parts, consumer goods, new tools and machines, and reagents for drug and vaccine manufacture.

The blockade recently has complicated lives already beleaguered by the Covid-19 pandemic and an 11 percent economic recession resulting from the pandemic.

An Associated Press report of June 22 highlights a lack of new housing and impediments to repairing houses.  In 2019, 44,000 homes were built, in 2000, 32,000 homes, and in 2021,18,000. Building materials are in short supply. Hurricanes and the pandemic aggravated the situation.

Elderly Cubans experienced isolation and lack of supplies during the pandemic. For two years they’ve experienced weakened cultural and support services and reduced housing options. Fuel shortages in late 2021 led to fewer bus-runs in Havana. Wait-times were even longer.  Pharmacies in 2020 had available only 35 percent of their normal stock.

In recent times, infant death rates in Cuba matched the favorable rates of well-resourced countries, and were lower than U.S. rates. Astoundingly, Cuba’s infant mortality rate in 2021 was 7.6 infant deaths per 1000 births, up from 4.9 in 2000 and 5.0 in 2019. Cuba’s 2021 rate of mothers dying from pregnancy and childbirth difficulties was 176.6 – out of 100,000 mothers giving birth – up from 40.0 mothers in 2000 and 37.4 in 2019.

The increases stem from Covid-19 infection mortality added to deaths in non-Covid times. Experts say the deaths of children and mothers can reflect social factors – mothers’ low educational levels, reduced access to healthcare and other services, and poor nutrition. Therefore, the U.S. blockade, which does affect social well-being, may have taken a toll in this area too.

Cuba’s food supply is unstable what with reduced food production, inefficient distribution, marketing based on income levels, and quality variations.  At an annual cost of $2 billion, Cuba’s government still must import 60-70 percent of the food consumed in Cuba.

Production levels remain low despite reforms introduced after 2008, among them: land distribution, allowances for farmers’ permanent use of land, marketing reforms, governmental assistance to individual farmers and agricultural cooperatives, new distribution systems, local decision-making on assistance and policies, and ecologically sustainable methods.

The U.S. economic blockade is not responsible for soil deficiencies, officials’ inaction, drought conditions, overgrowth of invasive plants, and the appeal of urban life for rural youth. Blockade effects do show up in farmers’ reduced access to credit and lack of funds for fertilizer, seeds, breeding stock, spare parts, new equipment, and fuel.

Inflation holds sway in Cuba now. Prices, rising for two years, are up now by 70 percent and more. Access to essential goods is impaired. Frustration at high prices and shortages helped trigger island-wide protests on July 11, 2021 and has contributed to record emigration.

The U.S. blockade set the stage for inflation. After losing its commercial partnership with the Soviet Bloc, which disappeared in 1991, Cuba was in trouble.  The blockade blocked access to international loans and interfered with income derived from exports, the latter effect stemming from export restrictions. Consequently, funds have been short for importing essential products and for developing the economy.

Cuba desperately needed foreign currency and therefore brought tourists to the island to spend money that would end up with the government. From 1993 on, their money was captured via a new currency called the Cuban convertible peso (CUC). Tourists surrendered their own currencies in exchange for the CUCs.

Cubans, not all of them, acquired CUCs and were able to buy goods and dollars unavailable to Cubans without CUCs. Inequalities emerged. Responding, the government gradually withdrew CUCs from circulation, beginning in January 2021. Anticipating hardships, it raised salaries and pensions payable in Cuba’s “national peso.”

New money in circulation stimulates inflation, especially when goods for sale are in short supply, as in Cuba. The national currency lost value. Tourists, excluded during the pandemic, returned in late 2021. Their money, circulating, added to inflationary pressures. CUCs with a prominent role in Cuba’s informal economy, and still circulating, did likewise. The role of CUCs suggests the blockade’s indirect contribution to inflation.

Persevering

Those defenders of Cuba worried about diminished Cuban-government commitment to bettering people’s lives may need reassurance. Of note:

·        Cuban president Miguel Díaz-Canel Bermúdez on June 21 addressed a meeting which elevated the role of social work. Discussion centered on mothers living in cities in “situations of vulnerability.”

·         Support programs are in place for elderly Cubans experiencing isolation, for example, the “Accompany Me (Acompáñame) project of telephone assistance and the National Program for Comprehensive Attention to Elders.

·        As of 2021, 423 so-called Projects of Local Development promoted food production, small workplaces, and tourism along with socio-cultural, environmental, and research programs.

·        The government promotes its program known as “micro, small, and medium [size] businesses.” These mostly privately owned enterprises, numbering 1,188 last year, produce food products, building materials, furniture, textile products, footwear, cleaning supplies, computer accessories, recycling serves, and more.

·        The government in April 2021 approved 43 measures directed at increased agricultural production and food availability. Results are far from ideal, an observer notes.

The blockade, a 60-year-old relic of history, places few heavy demands on the U.S. public.

·        Prime Minister Manuel Marrero Cruz, on June 24 visited a district in Cardenas to assess progress toward “improvements of roads, water supply, housing construction and social work.”

What to do

Resistance to the U.S. blockade within the United States has been constant for decades, but to no avail. Thanks to the Helms-Burton Law of 1996, the hurdle now is forcing the Congress to act. For that to happen, masses of people must stand up together and weigh in.

But that won’t happen, it seems, as long as activists continue to view the blockade as an isolated issue. What’s needed is collective action on many issues toward changing the direction of the U.S. government itself. The common ground would be justice and decent lives for all people everywhere, Cubans among them.

Also required would be new understanding that U.S. assault on Cuba happens as part of the larger U.S. project of capitalism worldwide and imperialist domination. The big mobilization to end the blockade would be part of a larger mission to take apart that U.S. project. Oppressed and plundered nations would be rescued, Cuba among them.

One adjustment: U.S. progressives ought to reject that old dictum that “Politics stops at the water’s edge.” It sends the message that solidarity with and struggle for oppressed peoples overseas doesn’t matter. That’s not so.

By no means will these suggestions bear fruit in time to end the blockade soon. Hope and struggle will remain. U.S. public opinion favors ending the blockade. People in the United States now fighting the blockade are experienced and want to enlarge the movement. Maybe chaos attending capitalism’s failures, new wars, and international divisions will distract the U.S. government from bothering with Cuba. Maybe international solidarity with Cuba will continue growing. Revolutionary Cuba, with unity and effective leadership, is known for overcoming challenges.  

W. T. Whitney Jr. is a political journalist whose focus is on Latin America, health care, and anti-racism. A Cuba solidarity activist, he formerly worked as a pediatrician, lives in rural Maine. W.T. Whitney Jr. es un periodista político cuyo enfoque está en América Latina, la atención médica y el antirracismo. Activista solidario con Cuba, anteriormente trabajó como pediatra, vive en la zona rural de Maine.