Honey From Cuba Could Be Imported To The U.S.; Thus Far Cuba Says No

In 2016, The Obama Administration expanded the variety of products that were authorized to be directly imported from the Republic of Cuba to the United States for commercial use. The first products authorized were textiles, coffee and charcoal. The government of the Republic of Cuba has thus far resisted permitting other products, including honey and dried fruit, to be directly exported to the United States. Note: The government of the Republic of Cuba has thus far not permitted the direct export of coffee; only the indirect import to the United States.

The State Department's Section 515.582 List

Bureau of Economic and Business Affairs

April 22, 2016

Goods and Services Eligible for Importation

In accordance with the policy changes announced by the President on December 17, 2014, to further engage and empower the Cuban people, Section 515.582 of the Cuban Assets Control Regulations (31 CFR Part 515 – the CACR) authorizes the importation into the United States of certain goods and services produced by independent Cuban entrepreneurs as determined by the State Department as set forth on the Section 515.582 List, below.

Goods

The goods whose import is authorized by Section 515.582 are goods produced by independent Cuban entrepreneurs, as demonstrated by documentary evidence, that are imported into the United States, except for goods specified in the following sections/chapters of the Harmonized Tariff Schedule of the United States (HTS):

LINK: https://static1.squarespace.com/static/563a4585e4b00d0211e8dd7e/t/571a83d4b6aa608067034e42/1461355477041/WhatMayBeImportedFromCubaEntrepreneurs.pdf

Worker bee’s paradise Cuba’s thriving honey business

Agricultural backwardness makes for healthy hives

The Economist

The Americas

20 September 2018

ARTEMISA

ALBERTO QUESADA loads a flatbed lorry in a field in the middle of the night for a two-hour drive to the dense mangrove swamps on the Gulf of Batabanó. “It’s important that they wake up in their new habitat,” he says of his cargo of bees. In the summer his 30,000 hive-dwellers feast on coastal flowers; in the autumn they forage on milkweed and morning glories further north. Around October it is off to the mountains, as Cuba’s trees reach their prime, before he brings the bees back to his farm about an hour’s drive from Havana. There, they have their pick of palm, mango and avocado trees, fresh vegetables—an uncommon luxury in Cuba—and a garden teeming with sunflowers, lilies and bougainvilleas. The diets of these well-travelled insects are more diverse than that of most Cubans.

It is good to be a bee in Cuba. Beekeepers elsewhere lose around 20% of their colony in the winter. Climate change, parasites, the intensification of pesticide use, urbanisation and an obsession with tidiness are causing colonies to collapse. “We mow our lawns and trim our hedges so much that there are now fewer places even for wild bees to nest,” says Norman Carreck of the British-based International Bee Research Association.

Communism has done Cuba few favours but it has proved a boon for its bees. Impoverished farmers cannot afford pesticides. A lack of modern equipment and little economic incentive to farm mean much of the island’s vegetation is wild in a way that keeps bees well nourished and produces high-quality honey.

While honey production in most countries has taken a hit along with hives, Cuba’s healthy bees have been busy. The population is growing by an average of 7,000 hives a year, each yielding around 52kg of honey in 2017, double the average from American hives. Although nine-tenths of total production, around 10,000 tonnes last year, is managed by private farmers like Mr Quesada, they are obliged to sell it to the government at a little over $600 a tonne. It is then exported, mostly to Europe, where it fetches $4,600 a tonne for ordinary honey and $14,000 for the 16% that counts as organic. Were a costly certification process not required, much more could fetch such a premium.

Cuba’s honey industry is tiny compared with that of world leaders (bees in China, the biggest producer, make over 500,000 tonnes a year) but it is a valuable agricultural export. And despite the state reaping most of the rewards, farmers, who profit from selling some honey to fellow Cubans, are keen to expand.

In anticipation the government has opened a new bottling facility that will increase production capacity to 15,000 tonnes a year, and plans to sell more organic honey and by-products such as beeswax. But high-quality hives need to be mobile. Cuba’s terrible roads and scarce fuel do not help. Even the wood and netting required to build hives are hard to come by. All these will need to improve to keep the business abuzz.

Radio Angulo

28 September 2018

Holguin, Republic of Cuba

Successful Honey Harvest Predicted in Holguin, Cuba

Beekeepers from the northeastern Cuban province of Holguin expect to increase beehoney production by more than 470 tons in plan for export before 2018 closes.

The beekeepers of the eastern Cuban territory expected to collect some 107 t by that date; however, they already produced 332 tons, which shows the expertise reached in honey production in the territory, where some 12 thousand 700 beehives are in operation, 800 more than in a similar stage to 2017.

Other derivatives of honey are wax and propolis, with an overproduction of 309 percent and 140, respectively, according to information from the provincial delegation of the Ministry of Agriculture (MINAG).

In recent visit to the province, Gustavo Rodríguez Rollero, Minister of Agriculture, called to start the production of pollen and royal jelly, highly coveted in the international market for its high nutritional values used in the naturopathic pharmaceutical industry as well as in cosmetics.

Rodriguez Rollero expressed the need to promote the wax not only in its pure state, but also processed in ornamental and utilitarian items, which gives added value and increases its selling price.

In the European market, main recipient of this product, its value exceeds 3 thousand euros, hence the importance of implementing techniques for its production, which will contribute the 500 tonnes set for export in this year. / By Luly Legra Pichs - Ahora.

RELATED LINKS:

https://www.cubatrade.org/blog/2017/1/5/charcoal-joins-coal-to-become-second-commodity-exported-from-cuba-to-the-united-states?rq=charcoal

https://www.cubatrade.org/blog/2016/6/20/nespresso-to-indirectly-import-coffee-from-cuba-to-usa?rq=coffee

https://www.cubatrade.org/blog/2016/6/10/obama-administration-could-open-us-markets-to-all-agriculturalfood-products-from-cuba?rq=charcoal

https://www.economist.com/the-americas/2018/09/22/cubas-thriving-honey-business

https://www.cubatrade.org/blog/2017/5/12/n6fras0d0v3uri8jlx8w0s1t2vx6vh?rq=charcoal

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Cuba Will Require Long-Term Financing For Agricultural Equipment Purchases From Belarus

Cuba interested in Belarusian agricultural machines Economy 27.09.2018 | 13:23

MINSK, 27 September (BelTA) – Cuba is interested in buying Belarusian agricultural machines and is getting ready to sign the contracts, representatives of the Applied Research Center for Agriculture Mechanization of the National Academy of Sciences of Belarus told BelTA.

“We are genuinely interested in Belarusian products for Cuban agriculture. Your machines have worked successfully in complicated climatic conditions in Cuba for many years. It is time to take our relations to the next level. We would like to buy even more of the latest samples of industrial products,” said Jose Suarez Leon, Director General of the Agricultural Engineering Office of the Cuban Agriculture Ministry.

The Cuban delegation is staying in Belarus on 23-30 September. The Applied Research Center for Agriculture Mechanization of the National Academy of Sciences of Belarus is the receiving organization. Signing a bilateral agreement on R&D cooperation is one of the items on the itinerary.

“The Cubans have shown a live interest in our applied research center. They've decided to borrow our organizational practices and assimilate them in the relevant organizations in Cuba,” noted representatives of the NASB Applied Research Center for Agriculture Mechanization.

The Cuban delegation visited the center's experimental manufacturing branch. The sides reached an agreement that a specialist of the enterprise will be sent to Cuba to prepare the delivery of a lineup of potato harvesters, machines for calibrating, polishing, and washing potatoes and packing them into sacks.

The Cuban delegation has also decided to buy everything necessary in Belarus in order to arrange a soil box just like the one used by the NASB Applied Research Center for Agriculture Mechanization for the sake of cheaply testing agricultural machines at any time of the year.

The Cuban delegation also visited some other branches of the NASB Applied Research Center for Agriculture Mechanization, including a hot zinc plating plant in Lida and the Zazerye facility with its biogas plant, a grain drying complex, and a dairy farm.

The Cuban delegation demonstrated interest in a lot of Belarusian industrial products ranging from Motovelo motorcycles to utility vehicles made by Amkodor, Gomselmash harvesters, MTZ tractors, and MAZ trucks. The delegation visits four to five enterprises in different cities every day, said the source.

President Responds During His Press Conference To Two Questions About Cuba

President Donald Trump Discusses the Republic Of Cuba in response to two questions at press conference on 26 September 2018:

LINK To Video

https://www.cnbc.com/video/2018/09/26/ive-been-very-proactive-on-cuba-trump.html

THE WHITE HOUSE

Office of the Press Secretary

September 26, 2018

PRESS CONFERENCE BY PRESIDENT TRUMP

Lotte New York Palace

New York, New York

Q Yes, Mr. President. My name is Tomás Regalado from Radio and TV Marti. Mr. President, yesterday at the speech at the U.N., you spoke about how Venezuela's problem was because of Cuba and the Castros -- how they went in there and they brought socialism and communism to Venezuela, and now to Nicaragua as well.

Mr. President, are you going to be more proactive now against Cuba as well?

THE PRESIDENT: I've been very proactive against Cuba. I don't like what's happening in Cuba. As you know, President Obama gave them a pass and I didn't like it. Neither do Cuban people based in Miami and based in our country that came from Cuba and suffered in Cuba.

I don't like what he did. I've ended much of it -- most of it. I don't like what's happening in Cuba, and I certainly don’t like what's happening in Venezuela.

Yes, please.

Q Mr. President.

THE PRESIDENT: Go ahead.

Q Mr. President, just to finish really fast. You said also that you had a call-to-action to ask the leaders around the world to also end socialism. Would you like to be recognized as --

THE PRESIDENT: Well, I wouldn't say that socialism has bene working really well around the world, okay. You can take a look at Venezuela as your number one -- your number one -- I guess, the one that is most obvious. But you take a look around the world, socialism is not exactly riding high.

Please.

Q Thank you, Mr. President.

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Roswell Park Announces Joint Venture In Cuba For Healthcare Product Development

Excerpts From Media Rlease: 

26 September 2018

Buffalo, New York: This joint venture biotech company, Innovative Immunotherapy Alliance S.A., will be based in Cuba and will be operated jointly by CIM’s commercial affiliate, CIMAB S.A., and by a Roswell Park subsidiary, GBCT II LLC. The company will: 

Focus on conducting additional U.S. research studies on CIMAvax and the other products over the first five years; 

Seek U.S. FDA approval upon demonstration of successful outcomes in advanced-phase clinical testing for the products; 

Seek patent protection for discoveries arising from development of the four cancer drugs, seek sub-licensing opportunities for the entity’s intellectual property rights, collaborate on research and share improvements on the intellectual property on a reciprocal basis with CIM and CIMAB; and

In the long term, facilitate the import and distribution of products into the U.S., either directly or through sublicensing arrangements, upon regulatory approval to benefit U.S. patients. 

This initiative will move forward in accordance with permissions issued by the Office of Foreign Assets Control of the Department of Treasury, the Bureau of Industry and Security of the U.S. Department of Commerce and the U.S. FDA. Clinical studies are the first step toward FDA approval of new therapies. With the access to additional treatments under this joint venture, Roswell Park expects to initiate additional clinical trials, enrolling more than 100 patients in the U.S. within the next three years with plans for additional clinical studies to follow. 

Aside from CIMAvax, these cancer drugs have never been studied before in U.S. patients. The Cuban phase II and phase III clinical trials of CIMAvax have shown increased overall survival and improvement in quality of life for patients with non-small cell lung cancer. 

This new joint venture gives Roswell Park access to CIMAvax-EGF and three additional cancer drugs — unique approaches to treating some of the most deadly and burdensome cancer types both in the U.S. and globally — for U.S. patients and researchers. The milestone marks another step toward researching, developing and eventually commercializing promising cancer drugs for the benefit of patients in the U.S. 

Nearly $4 million in donations is funding Roswell Park’s initial CIMAvax clinical trials.

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U.S. Companies May Be Required To Directly Pay Convertible Currency To Cuban Nationals Who Work For Them

Trump Administration Encouraged To Require U.S. Companies Operating In Cuba To Directly Pay Cuban Employees In Convertible Currency 

If implemented, Equipment Distributors, Airlines, Cruise Lines, Travel Agents & Hotel Management Companies Would Be Impacted 

Would Cuba Suspend U.S. Companies- And Hundreds Of Millions Of Dollars In Revenue? 

Members of the United States Congress and officials within the Trump Administration are discussing whether to require United States companies who directly or indirectly employ Republic of Cuba nationals in the Republic of Cuba to make salary payments in convertible currency directly to those individuals rather than through a Republic of Cuba government-operated entity.   

The primary reasoning is if the companies earn convertible currency, their employees should earn convertible currency.  Among United States companies with a presence in the Republic of Cuba who could be impacted include:  

ABC Charters (Miami, Florida)

American Airlines (Chicago, Illinois)

Carnival Cruise Lines (Miami, Florida)

Cuba Travel Services (Cypress, California)

Delta Air Lines (Atlanta, Georgia)

JetBlue Airways (Long Island City, New York)

Marriott International (Bethesda, Maryland)

Norwegian Cruise Lines (Miami, Florida)

RIMCO (San Juan, Puerto Rico; Caterpillar distributor)

Royal Caribbean Cruise Lines (Miami, Florida)

United Airlines (Chicago, Illinois) 

The government of the Republic of Cuba has experience with not directly first receiving payments to Republic of Cuba nationals.  Owners of properties in the Republic of Cuba registered with San Francisco, California-based Airbnb receive U.S. Dollars, Euros, CUCs (Convertible Pesos) and other currencies directly, without the government of the Republic of Cuba first receiving the funds and then distributing the funds to the owners of the properties, although the government of the Republic of Cuba has considered implementing a first-capture mechanism.   

There is confidence by advocates for the policy change that they can withstand any pressure from United States companies with a presence in the Republic of Cuba.  According to one advocate, “If we can shift even one company to making payments directly, that could permit other governments to pressure their companies operating in Cuba to do the same; a desired result would be squeezing out the military from what should be a civilian-led economy to empowering Cuban employees to demand salaries in the same currencies earned by the companies.” 

Another advocate added, “American, United, Jet Blue, Delta, Caterpillar, Marriott and the cruise lines all receive U.S. Dollars or other convertible currencies as revenue.  Why shouldn’t Cubans working as ticket agents, baggage handlers, salesmen and saleswomen, service technicians, tour guides, tour bus drivers, housekeepers and front desk workers also earn U.S. Dollars or convertible currencies… and be paid directly by those multinational companies?  Isn’t that setting a better example?  Wouldn’t the companies benefit by a better-paid workforce and a happier workforce?”  

United States companies will submit they are abiding by the laws and regulations of the government of the Republic of Cuba, contracting with Republic of Cuba government-operated entities for the employment of Republic of Cuba nationals.  They will submit they make fair-market payments in convertible currency for the monthly salaries of Republic of Cuba nationals they directly and/or indirectly employ.  They will submit they have received licenses from the Office of Foreign Assets Control (OFAC) of the United States Department of Treasury and/or the Bureau of Industry and Security (BIS) of the United States Department of Commerce and/or approval from the Office of the Legal Advisor (OLA) at the United States Department of State to engage in their respective operations- and have done so under the Obama Administration and thus far under the Trump Administration. 

NOTE: Licenses from the OFAC and BIS and approval from the OLA may be reviewed and altered at any time if the license is deemed no longer consistent with United States policy.   

Currently, companies with operations in the Republic of Cuba who employ a Republic of Cuba national generally make payment to a Republic of Cuba government-operated entity in convertible currency and the Republic of Cuba national receives a non-convertible Peso. 

An example: a company wants to employ a Republic of Cuba national and the position would pay US$500.00 per month, the company would pay a Republic of Cuba government-operated entity US$500.00 (or 500.00 CUCs- Convertible Pesos with or without a 10% currency exchange fee implemented in 2004) which would then pay the Republic of Cuba national 1,000 Pesos.  One CUC is worth approximately 25 Pesos, so 500 Pesos is worth approximately US$20.00.  The government of the Republic of Cuba retains approximately US$480.00.  Within the Mariel Special Economic Development Zone (ZED Mariel) companies have increased salary flexibility; the US$500.00 per month could equate to 5,000 Pesos to the Republic of Cuba national.  Joint Ventures also have increased salary flexibility. 

Marriott International would be the most impacted company as it has a management contract (since 2016) for the 186-room Four Points By Sheraton Havana.   

The property is owned by Republic of Cuba government-operated Gaviota which is a subsidiary of the Enterprise Administration Group (GAESA) which is controlled by the Revolutionary Armed Forces of the Republic of Cuba (FAR).  GAESA has a substantial role throughout the economy of the Republic of Cuba with a specific focus upon hospitality, transportation and infrastructure. 

Marriott International previously announced that the company would commence in December 2019 (delayed without reason from December 2016) management of the 83-room Hotel Inglaterra, also owned by Gaviota. Link To Blog Post

The Four Points By Sheraton Havana reportedly has approximately 300 employees who are Republic of Cuba nationals.  The Hotel Inglaterra reportedly has approximately 150 employees who are Republic of Cuba nationals. 

United States airlines would also be substantially impacted as they contract for ticket agents (through Republic of Cuba government-operated Havanatur) at five (5) ticket offices within the city of Havana, Republic of Cuba and gate agents, ground handlers, and aircraft maintenance personnel at airports throughout the Republic of Cuba through Republic of Cuba government-operated Empresa Cubana de Aeropuertos y Servicios Aeronauticos (ECASA). 

United States cruise lines would be impacted as they contract for ground transportation and tour guides with Havanatur and Gaviota for hundreds of thousands of passengers who visit the Republic of Cuba.  

Caterpillar dealer RIMCO is located in ZED Mariel, so Republic of Cuba nationals employed by the company may have a higher monthly salary than Republic of Cuba nationals employed by companies outside of the ZED Mariel.

LINK: Complete Analysis In PDF Format

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President Trump Mentions Cuba In Remarks To United Nations General Assembly

THE WHITE HOUSE

Office of the Press Secretary

For Immediate Release

September 25, 2018

REMARKS BY PRESIDENT TRUMP TO THE 73RD SESSION OF THE UNITED NATIONS GENERAL ASSEMBLY

United Nations Headquarters

New York, New York

10:38 A.M. EDT

EXCERPTS…..

“Currently, we are witnessing a human tragedy, as an example, in Venezuela.  More than 2 million people have fled the anguish inflicted by the socialist Maduro regime and its Cuban sponsors.    

Not long ago, Venezuela was one of the richest countries on Earth.  Today, socialism has bankrupted the oil-rich nation and driven its people into abject poverty.

Virtually everywhere socialism or communism has been tried, it has produced suffering, corruption, and decay.  Socialism’s thirst for power leads to expansion, incursion, and oppression.  All nations of the world should resist socialism and the misery that it brings to everyone.  

In that spirit, we ask the nations gathered here to join us in calling for the restoration of democracy in Venezuela.  Today, we are announcing additional sanctions against the repressive regime, targeting Maduro’s inner circle and close advisors.”

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Update To List Of U.S. Companies With A Presence In Cuba

U.S. Companies With A Presence In Cuba Since 17 December 2014

Eight Sales Offices

One Hotel Management Contract

One Healthcare Joint Venture

No Manufacturing/Assembly Operations

Licenses/Authorizations Issued By OFAC/BIS/OLA Not Yet Disclosed & Implemented

LINK To Complete List

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Port of Wilmington, North Carolina Reports First Export To Cuba

First reported shipment from Port at Wilmington, North Carolina, of 1,243 metric tons of poultry valued at US$358,047.00 to the Republic of Cuba.  

Exporters were Little Rock, Arkansas-based Mountaire Farms (poultry) and Atlanta, Georgia-based Intervision Foods (poultry); and sourcing reportedly included from Laurel, Mississippi-based Sanderson Farms, the third-largest poultry producer in the United States.

LINK TO PORT DATA

U.S. Department Of State May Expand List Of Prohibited Entities

U.S. Department Of State May Update Cuba Military List

Expand To Include All subsidiaries & Subsidiaries-Of-Subsidiaries

Exclude Indirect Payments

Expect Monthly Updates

The Trump Administration, with encouragement from members of the United States Congress and individuals with interests in certified and non-certified claims against the government of the Republic of Cuba, is considering changes to the “List of Restricted Entities and Subentities Associates with Cuba (Cuba Restricted List)” published by the United States Department of State which identifies entities in the Republic of Cuba with whom individuals (and companies) subject to United States jurisdiction are prohibited (unless authorized) from engagement.

The current list is designed to discourage and prohibit individuals (and companies) from engagement with entities within the Republic of Cuba that are controlled by and/or affiliated with the Revolutionary Armed Forces of the Republic of Cuba (FAR) with a specific focus upon the Enterprise Administration Group (GAESA) which through its Gaviota subsidiary, among others, has a substantial role throughout the economy of the Republic of Cuba with a specific focus upon hospitality, transportation and infrastructure.

There are at least five (5) primary goals of the considered changes: 1) Increase uncertainty, and thus cause hesitancy for any transaction with a Republic of Cuba government-operated entity 2) Highlight the (illegitimate they argue) role of the military throughout the commercial and economic infrastructure of the Republic of Cuba with a belief that United States companies can be influenced through scrutiny by members of the United States Congress, specifically using the hearing process (increased significance if the Republican Party retains control of the United States Congress resulting from the 6 November 2018 elections) 3) Persuade the government of the Republic of Cuba to enhance the role of the private sector throughout the Republic of Cuba 4) Belief that an anti-military message is attractive and sustainable to individuals of Cuban descent who reside in the United States- including those who support further United States commercial, economic and political engagement with the Republic of Cuba and 5) Publicizing that the list may be updated monthly will require individuals and companies to devote greater resources to monitoring; with an expectation for fewer individuals and companies believing that the effort is worth the desired result.  

The challenge for the Trump Administration to achieve the goals is multifold; there are too many competing foreign policy priorities that excessively burden those United States government employees who must execute policies created by the goals.

With far fewer staff in 2018 than in 2017 at the United States Embassy in the city of Havana, Republic of Cuba, there are fewer human resources (regardless of agency/department affiliation) to identify military-linked entities.

With the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury tasked with enforcing sanctions policies towards priority countries including North Korea, Iran, Russia, China and Venezuela, there are not the resources to increase a focus toward the Republic of Cuba absent of additional budgetary allocations from the United States Congress.

Lacking an increase in number of United States government employees, re-tasking existing United States government employees or adding to individual United States government employee portfolios, the remaining sources of information to expand the list maintained by the United States Department of State are from media reporting and from individuals of Cuban descent which are likely require thorough vetting.     

U.S. Department Of State List:

https://static1.squarespace.com/static/563a4585e4b00d0211e8dd7e/t/5a0315a80d92976e482769a7/1510151593500/2017-24449.pdf

November 2017 Regulation Changes:

https://www.cubatrade.org/blog/2017/11/8/treasury-commerce-and-state-implement-changes-to-the-cuba-sanctions-rules?rq=Department%20of%20State

Understanding GAESA:

https://www.cubatrade.org/blog/2017/6/11/want-to-plan-for-the-impact-of-trump-administration-decision-about-cuba-understand-gaesa?rq=GAESA

Direct Versus Indirect Payments:

https://www.cubatrade.org/blog/2018/3/10/2b05qodxrf4d2m8qego70oflydtezl?rq=GAESA

Certified Claims:

https://www.cubatrade.org/blog/2016/12/1/zigs56x0gme3a9rqg7aecx9vf2gqgk?rq=certified%20claims

LINK: COMPLETE ANALYSIS IN PDF FORMAT

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Weber Shandwick Obtained OFAC License, But Two Years Later No Office In Havana

Media Release:

Weber Shandwick Receives U.S. Treasury License to Pursue Opening Operations in Cuba

03.18.2016

NEW YORK – March 18, 2016 – Weber Shandwick, one of the world’s leading global communications and engagement firms and part of Interpublic Group (NYSE: IPG), has been granted a specific license by the U.S. Department of the Treasury authorizing the company to pursue opening operations on-the-ground in Cuba. The license opens the door for Weber Shandwick to proceed with discussions with the Cuban government to secure the permissions necessary to be among the first marketing services and global public relations firms to establish an office in Havana.

With operations already extending to 81 countries around the world, Weber Shandwick is seeking to establish a presence in Havana to provide counsel to clients that can do business legally in Cuba.

“We are delighted to be one important step closer to our goal of opening an office in Havana,” said Jack Leslie, Chairman, Weber Shandwick. “Communications is the currency for change, and for a global firm such as ours, this is a unique opportunity to facilitate engagement at this historic pivot point in U.S.-Cuba relations.”

The license granted by the Office of Foreign Assets Control of the U.S. Treasury Department gives permission for Weber Shandwick to “engage in all transactions necessary to establish and maintain” an office in Cuba, including marketing its services, employing professionals, and opening and maintaining an account at a financial institution in Cuba. Weber Shandwick has submitted an application to the Cuban government, and is awaiting an invitation for an official visit with Cuban authorities.

“President Obama’s leadership in reestablishing U.S. diplomatic relations with Cuba has created a high level of interest from U.S. companies and organizations wanting to engage with the Cuban people,” said Micho Spring, a Cuban-American and chair of Weber Shandwick’s Global Corporate practice. “Our goal is to open an office to help our clients do this as soon as it is legally permissible.”

###

About Weber Shandwick

Weber Shandwick is a leading global communications and engagement firm in 78 cities across 34 countries and operations extending to 126 cities in 81 countries. The firm’s diverse team of strategists, analysts, producers, designers, developers and campaign activators has won the most prestigious awards in the world for innovative, creative approaches and impactful work, including being honored as an Ad Age A-List Agency in 2014 and 2015, The Holmes Report’s Global Agency of the Year in 2014 and 2015 and PRWeek’s 2015 Global Agency of the Year. Weber Shandwick and its Prime unit have won a combined 25 Cannes Lions since 2009. Weber Shandwick was also named a Best Place to Work by Ad Age in 2014 and 2015 and PRWeek in 2013 and 2014. The firm deploys deep expertise across sectors and specialty areas, including consumer marketing, corporate reputation, healthcare, technology, public affairs, financial services, corporate social responsibility, financial communications and crisis management, using proprietary social, digital and analytics methodologies. Weber Shandwick is part of the Interpublic Group (NYSE: IPG). For more information, visit www.webershandwick.com

Adweek Article: 

https://www.adweek.com/digital/interview-micho-spring-discusses-weber-shandwicks-growth-into-cuba/

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President Diaz-Canel Could Have A Provacative Schedule If He Attends UN General Assembly

There is consensus among senior-level executives of United States-based companies who conduct transactions with and/or provide services to and within the Republic of Cuba that His Excellency Miguel Diaz-Canel, President of the Republic of Cuba, will attend the United Nations General Assembly in New York City which commences on 18 September 2018 to deliver remarks on behalf of the Republic of Cuba, which joined the United Nations in October 1945 as one of the original fifty-one (51) founding members.  

As this will be the first United Nations General Assembly since his inauguration on 19 April 2018, important that the Republic of Cuba be represented by its new Head of State rather than Minister of Foreign Affairs. 

A visit to New York City will also permit President Diaz-Canel to meet (and be seen and photographed) with heads of state and/or heads of government of countries of commercial, economic and political importance to the Republic of Cuba (and to the United States). 

A focus would include: Members of the European Union (EU)- France (President Emmanuel Macron), Germany (Chancellor Angela Merkel), Spain (Prime Minister Pedro Sanchez) and United Kingdom (Prime Minister Theresa May); and Argentina (President Mauricio Macri), Brazil (President Michel Temer), Canada (Prime Minister Justin Trudeau), China (President Xi Jinping), Colombia (President Ivan Duque), Iran (President Hassan Rouhani), North Korea (Chairman Kim Jong-un), Russia (President Vladimir Putin), Turkey (President Recip Tayyip Erdogan) and Venezuela (President Nicolas Maduro). 

While generally risk-adverse, some senior-level executives believe given statements by The Honorable Donald J. Trump, President of the United States, of his willingness to meet with those with whom he agrees and to meet with those with whom he has disagreements, an opportunity, while uncertain, of a brief discussion between or a handshake by President Diaz-Canel with President Trump should not be dismissed and perhaps be privately requested, perhaps, if required, through a third-party. 

There is no consensus by senior-level executives with respect to their meeting privately or attending a group meeting with President Diaz-Canel at the Permanent Mission of the Republic of Cuba to the United Nations located on Lexington Avenue in New York City. 

Senior-level executives of sector/category trade organizations are generally positive, often enthusiastic as to opportunities for dialogue with heads-of-state and heads-of-government 

The often-cited reason for not proactively requesting a meeting or not desirous of receiving an invitation to a meeting is concern of scrutiny from the Trump Administration; this is particularly valid with providers of financial services who are subject to scrutiny from the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury. 

There are senior-level executives of United States-based companies who remain welcoming of an opportunity to meet with President Diaz-Canel.  The companies tend to be travel-related: airlines, cruise lines, and hotel management, particularly those with a presence in the State of Florida.   

Those companies engaged in the export of agricultural commodities and food products to the Republic of Cuba are circumspect about meeting at this time with President Diaz-Canel given the sensitivity of a desired Republic of Cuba-related provision in the “Farm Bill” under consideration by the United States Congress with a vote expected by the end of September 2018.

LINK To Analysis

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The White House Continues Authority Of Trading With The Enemy Act Relating To Cuba

MEMORANDUM FOR THE SECRETARY OF STATE
THE SECRETARY OF THE TREASURY

SUBJECT: Continuation of the Exercise of Certain Authorities under the Trading With the Enemy Act

Under section 101(b) of Public Law 95-223 (91 Stat. 1625; 50 U.S.C. 4305 note), and a previous determination on September 8, 2017 (82 FR 42927, September 13, 2017), the exercise of certain authorities under the Trading With the Enemy Act is scheduled to expire on September 14, 2018.

I hereby determine that the continuation of the exercise of those authorities with respect to Cuba for 1 year is in the national interest of the United States.

Therefore, consistent with the authority vested in me by section 101(b) of Public Law 95-223, I continue for 1 year, until September 14, 2019, the exercise of those authorities with respect to Cuba, as implemented by the Cuban Assets Control Regulations, 31 C.F.R. Part 515.

The Secretary of the Treasury is authorized and directed to publish this determination in the Federal Register.

DONALD J. TRUMP

LINK To Text Of Trading With The Enemy Act

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USDOT Awards Southwest Airlines A New Route From Tampa To Havana

"By this order, the U.S. Department of Transportation tentatively allocates one available weekly frequency to Southwest Airlines Co. (Southwest) for Saturday-only scheduled service between Tampa, Florida, and Havana, Cuba."

LINK To DOT Order

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Monthly Food/Ag Exports Decrease 36.1%; Year Remains Up 2.8%

ECONOMIC EYE ON CUBA©
September 2018

July 2018 Food/Ag Exports To Cuba Decrease 36.1%- 1
2.8% Increase Year-To-Year-5
Cuba Ranks 51st Of 229 U.S. Food/Ag Export Markets- 2
July 2018 Healthcare Product Exports US$77,781- 2
July 2018 Humanitarian Donations US$656,682.00- 3
Obama Administration Initiatives Exports Continue To Increase- 3
U.S. Port Export Data- 15

JULY 2018 FOOD/AG EXPORTS TO CUBA DECREASE 36.1%- Exports of food products & agricultural commodities from the United States to the Republic of Cuba in July 2018 were US$15,569,938.00 compared to US$24,379,155.00 in July 2017 and US$20,227,854.00 in July 2016.

Link To Complete Report.

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OFAC Reports On Licenses Sought And Granted During Obama/Trump November-January Transition

27 July 2018

This letter is our final response to your February 18, 2017 Freedom of Information Act (FOIA), 5 U.S.C. § 552, request to the Department of the Treasury, seeking the following:

1) The total number of Cuba-related licenses issued by the Office of Foreign Assets Control (OFAC) from November 8, 2016 to 12:00 PM on January 20, 2017; and

2) The total number of Cuba-related license applications received by OFAC from November 8, 2016 to 12:00PM on January 20, 2017.

Treasury referred your FOIA request to OFAC for processing on February 22, 2017.

OFAC is experiencing a substantial backlog of FOIA requests that has adversely affected its response time.

OFAC has searched its records and found 2,112 responsive to your request. We are releasing those 2,112 records in Excel spreadsheet format with redactions made pursuant to exemptions (b)(4) and (b)(6) of the FOIA.

OFAC used FOIA exemption (b)(4) to withhold financial information the release of which will cause substantial competitive harm to the submitter of the information and impair OFAC’s ability to obtain the information in the future. OFAC used this exemption to withhold information such as transaction information provided to OFAC.

FOIA exemption (b)(6) protects from disclosure personal privacy information, the release of which would constitute a clearly unwarranted invasion of personal privacy. OFAC used a balancing test to determine that the individuals’ right to personal privacy outweighed the public’s right to release of the information. In this case, OFAC withheld information such as names of individuals and their addresses.

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Trump Administration Appoints New Senior Director For Western Hemisphere Affairs At National Security Council

https://www.miamiherald.com/news/nation-world/world/article217597830.html

The Miami Herald
Miami, Florida
30 August 2018

Cuba hardliner to be elevated to key White House post on Latin America

By Franco Ordoñez
WASHINGTON

The Trump administration is expected to name Mauricio Claver-Carone, one of the most outspoken opponents of the Obama administration’s rapprochement with Cuba, as the new senior director of the National Security Council’s Western Hemisphere Affairs, according to two U.S. officials familiar with the decision. 

Claver-Carone will take over the influential White House department for Juan Cruz, who led the department since the early months of the Trump administration and was a key architect of Trump’s policies to pressure the Venezuelan government. 

The Miami native, raised in Spain and Orlando, will take over the coordination of Latin American policies among the White House, State Department, Treasury and other agencies.

He is expected to turn up the pressure even more on Venezuela as well as Cuba and Nicaragua, which have become a primary focus of the Trump administration policies on fighting for democracy in the region. He is part of a group of new hires at the National Security Council after John Bolton took over the department.

“If anyone can jump-start a more rigorous, purposeful policy, it’s Mauricio,” said Ambassador Roger Noriega, who served as assistant secretary of state for Western Hemisphere affairs under George W. Bush. “He has the political smarts. He has his own political credibility. He has the confidence of the administration. He has his head screwed on right as to the root of important problems in this hemisphere.”

Noriega said Claver-Carone also has the experience working in the Trump bureaucracy since the beginning of the administration and understands how to get policies to move.

The former Treasury department official and current U.S. executive director at the International Monetary Fund is also expected to bring over aspects of his policy work at Treasury, where he pushed economic partnerships with regional allies, energy infrastructure assistance and U.S. investment in the region.

The posting is likely to win praise from hardline Cuban-Americans and Venezuelan-Americans who Claver-Carone have followed his rise from the George W. Bush administration where he first worked in Treasury to advocate for Cuban democracy and then back to government as a member of Trump’s transition team.

Claver-Carone also has plenty of detractors, particularly in Cuba and the Obama administration, as he was one of the harshest critics of Obama’s efforts to improve U.S. relations with the island nation.

Groups like CubaNow, an organization that pushes for warmer U.S. relations with Havana, have been critical of Claver-Carone’s work for years arguing he defended interests of “politicians who support a failed embargo policy.”

A lawyer, Claver-Carone has taught law at the George Washington and Catholic Universities. He has testified frequently before Congress.

During his time between government stints, he also wrote an influential blog, Capital Hill Cubans, and lead the Washington-based U.S. Cuba Democracy PAC and Cuba Democracy Advocates, a non-profit that promoted democracy and human rights in Cuba.

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