Impact of the Embargo on Cuba’s Foreign Trade and Investments

September 28 at 11:11am ·

PRESS RELEASE
IMPACT OF THE EMBARGO ON CUBA’S FOREIGN TRADE AND INVESTMENTS

Photo: Jorge Luis González

Photo: Jorge Luis González

New York, September 27, 2016. The impact of the US economic, commercial and financial Embargo on Cuba’s foreign trade from April, 2015 to April, 2016 amounts to $4,106,878,558, which represents an increase of $255,962,129 if compared to that of the previous term.
On a yearly basis, Cuba can offer over 200 medical programs of international renowned quality, in 47 health institutions to approximately 15,000 foreign citizens. Nonetheless, the Embargo denies the possibility to access these programs to U.S. citizens, and in some cases citizens from third countries, thus infringing on their rights.

The Cuban Center for Genetic Engineering and Biotechnology has developed Heberprot-P, a new and unique medicine for therapy on severe diabetic foot ulcers. Statistics report the prevalence of diabetes in the United States at 9.3 percent (about 29.2 million people). According to US sources, 3.5 percent develops the diabetic foot ulcer. If only Heberprot-P were exported to benefit 5 percent of those U.S. citizens that develop complicated ulcers of the kind each year, Cuba’s biotechnological industry could also receive more than 122 million dollars annually. This would contribute to minimize the increased figure of over 70 thousand amputations performed yearly on diabetic patients in the United States.
Grupo Tabacuba lost revenues of $119,500,000 for not having access to the U.S. market. In 2015, Tabacuba sold 380 million units of Premium tobacco. If access were granted to the U.S. market, total sales of 50 million units are foreseen, just during the first year of exporting Cuban Premium tobacco.

Cuba could annually place 2.5 million boxes of the internationally renowned Havana Club Rum in the United States market, but the Embargo makes it impossible to sell this product in that country. Premium boxes are worth around 41 dollars in international markets. If there were no Embargo, Cuba could have revenues of approximately 105 million dollars for sales of Ron Havana Club in the U.S. market.

Although agreements reached between the Governments of Cuba and the United States have favored an increase in the number of visits by U.S. citizens to Cuba, the legislative prohibition for US citizens to travel as tourists to the Island fully remains in place, clearly violating their rights. Experts estimate that 15 percent of the 14.3 millions of U.S. citizens travelling to the Caribbean region in 2015 could have arrived in Cuba. Consequently, just in airport taxes the civil aviation sector of Cuba could have made revenues of $52,500,000.

(Permanent Mission of Cuba to the United Nations)