The Cuban government is opening retail and wholesale trade to foreign investment

The Cuban government has announced that it will open Wholesale trade and retailer Foreign investmentIn one more attempt to solve the acute shortage of all kinds of goods suffered by the people. For this, various foreign companies will be allowed to sell everything from raw materials to food and cleaning products and basic needs across the island.

According to Ana Teresita González Fraga, First Deputy Minister of Foreign Trade and Foreign Investment, the agency seeks to “select and encourage companies to carry out wholesale operations”, which are above all dedicated to the sale of raw materials, products, tools. and others “help national production.”

An appearance on a TV show round tableThe officer pointed out That measure includes “food, health, economic line”.Also electricity is generated from renewable sources.

Those businesses will trade Foreign money or freely convertible currency (MLC).

The officer insisted The measure is open to foreign companies and organizations that already have representations in Cuba, including foreign embassies.

According to him, the government will encourage these companies to pre-finance national manufacturers with conditions to become suppliers. A “Differential Financing Scheme” will be used for foreign investors, which includes authorization to sell in foreign currencies or MLC.

González Fraga acknowledged that the policy announced with great fanfare to authorize Cuban manufacturers to import raw materials and equipment through state-owned companies in 2020 “has not yielded the expected results.”

He said the revenue from the taxes generated by these new businesses “will be for the production of goods sold to the people in Cuban pesos.”

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He also pointed out that the authorization of companies to carry out this new type of business will be given through official institutions.He did not clarify how the bidding process should be allowed.

Minister Domestic tradeBetsy Díaz Velázquez added to the project that business in this sector is always in the form of joint ventures or international economic associations, and they are sold in foreign currency.

The objective of the activities is to achieve sustainable product supply to the peopleCitizens have essential goods and services.

Preference will be given to companies that have been doing business in the country for many years, have branches and offices on the island, and “a group of countries and partners that have been with us for so long,” he added. He pointed out Havana’s allies.

Gonzalez Fraga noted, Although the Cuban government will continue to have a monopoly on importing products, it will exceptionally allow some private companies to engage in this activity.

He also pointed out that the 11th new measures announced in less than two years to solve the severe economic crisis affecting the island are “to recover from the current situation of the country”.

Eden Hayes

"Wannabe gamer. Subtly charming beer buff. General pop culture trailblazer. Incurable thinker. Certified analyst."

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