On the first day of March, Cubans woke up to see the price of gasoline more than four times higher than the previous day, after the Government chaired by Miguel Díaz-Canel implemented the increase announced last December, which aims to objective is to reduce shortages and heal the damaged Cuban economy. In unison, Havana contacted the UN food assistance agency (WFP) for the first time in its history to ask for help. All this in the midst of daily blackouts and the shortage of basic products in the Cuban basket, such as bread.
After three more years of an even deeper crisis, Cuba reaches an almost unsustainable point. The images of long lines at Cuban gas stations remained in the collective memory of the inhabitants since March 1, when the general increase in gasoline prices came into force, which rose 20 cents per gallon, to 1.10 Dollars. An increase of 428% on the original price.
Cuban gasoline, one of the cheapest in the world before the recent increase, is one of the many products and services that are the subject of the new monetary policy adopted by the Díaz-Canel Government for this year.
He Ministry of Economy has announced sustained increases in public transport prices, electricity and gas for Cuban homes. However, on March 1 only the increase in fuel came into force, without yet touching the existing subsidies for other services.
The ruling party argues that the increase in prices, although it will have an inflationary effect, will help the Government to clean up state accounts to be able to acquire more oil reserves abroad, reinforcing government reserves and thus combat the lack of fuel on the island. which causes widespread shortages and electrical 'blackouts' within the territory.
“The objective is to achieve fuel replenishment and savings for those who consume the most,” explained the Cuban Minister of Energy and Mines, Vicente de la O Levy, through a message on his X account on February 28.
On March 1, new retail fuel prices and a new electricity rate for consumers above 500 kWh.
Achieve fuel replenishment and cause savings in those who consume more, the main objectives of these measures. pic.twitter.com/hVrdYwVoh5— Vicente de la O Levy (@VicentedelaO2) February 28, 2024
The measure has divided Cubans. Some showed their discontent with the increase in prices, such as Giovanni García, a young resident of Havana, who says that he prefers to buy “a bicycle or some skates” rather than pay the new price of gasoline. Still others understand the logic behind the increase, although they are not entirely satisfied.
“Gasoline in Cuba was the cheapest in the world, we gave it away. But an increase (in the price of fuel) must be accompanied by a corresponding increase in salaries,” said Luis Collado, a Cuban civil engineer who was waiting his turn to fill up. the tank of your car.
Mexico comes to the aid of Cuba
Within the framework of the Cuban fuel crisis, Mexico, one of Havana's historical regional allies, jumps onto the scene to assist the island, although this may represent diplomatic differences with the United States.
A report published by the University of Texas revealed that the Mexican Government has sent 7 million barrels of oil to Cuba between 2023 and 2024, of which 2 million have been transferred only in the first two months of this year.
The Mexican oil sent to Cuba, brought from the coasts of Veracruz, Oaxaca and Tamaulipas, translates into an estimated value of about 537 million dollars, according to information from the University of Texas. In 2024 alone, Mexico has already exported some “146 million dollars” in barrels of crude oil to Cuba.
The researchers responsible for the tracking theorize that, under the current conditions of the island, it would be impossible for Cuba to afford the acquisition of Mexican oil, which is why they refer to the friendly history between both nations, where Mexico donates fuel or exchanges it for medicine. , vaccines or missions of Cuban doctors to their territory.
In addition, experts highlight the importance of Mexico to complete the necessary supply so that Havana does not suffer shortages, due to the economic crisis suffered by other of the island's regional allies, such as Venezuela.
“Cuba's current oil demand is around 125,000 barrels per day, of which they can produce approximately 40,000 barrels per day, while Venezuela still sends them between 55 and 57,000 barrels per day, so Mexican oil helps them complete their demand, with approximately 24,000 barrels per day,” said Jorge Piñón, a researcher at the University of Texas, for the local media 'El Financiero'.
Gasoline becomes more expensive and milk and bread are scarce
The economic storm that hits Cuba is intensifying with the shortage of basic basket items, in a country that imports 80% of the food it consumes, according to the United Nations. The executive directorate of the World Food Program (WFP), the arm of the United Nations for international food assistance, reported on February 28 that the Cuban Government sent a letter to the organization to request help in the food supply, specifically in the Powdered milk for children under 7 years of age.
“We confirm that the World Food Program (WFP) has received an official communication from the (Cuban) Government requesting support to continue the monthly delivery of 1 kilogram of milk for girls and boys under 7 years of age throughout the country,” said a statement from the United Nations agency.
Cuba's historic program to keep children within optimal nutrition standards for free is in danger. The Cuban Ministry of Food Industry explained that the shortage is due to problems in the “planned shipments” of strategic allies such as Russia, caused by the complexities caused by the war in Ukraine.
Meanwhile, the WFP affirms that, in coordination with the Cuban Government, “144 metric tons of skimmed milk powder” have been distributed in the month of February alone. The international organization has already contacted donors, an American nation and another European, to speed up and intensify the distribution of food, according to information from EFE.
The milk distribution program for children under 7 years of age is part of the universal feeding scheme materialized in the famous 'booklet', which includes various types of food that are subsidized by the Cuban State. Subsidized milk costs approximately 21 cents per kilo.
However, government finances are in crisis, ships with foreign assistance are being delayed and the lines to obtain a food ration in official stores are becoming longer and longer.
“The important thing is that we have the notebook, which is a minimum that we all have. And it is a priority of the revolution. Imagine if we don't have that…”, said Gabriela, a 65-year-old resident of the capital, while waiting in line at a bakery in Havana.
Added to this is the lack of bread, a basic food of the Cuban diet, which will be in short supply during March, as the Government itself has admitted. At least the one that can be obtained with the supply book.
The Ministry of the Food Industry (Minal) assures that this is due to “specific situations” with “planned shipments” from allied countries, such as Russia, without giving more details.
Added to the whole situation is the energy crisis: The Cuban electrical system presents frequent failures and breakdowns of its obsolete plants, due to the chronic lack of investments and maintenance.
Since the end of January 2024, service cuts have resumed and blackouts have reached between 20 and more than 30% of the territory daily in recent weeks.
The shadow of the 60 years of US embargo
The Cuban Government has admitted that it has assumed a great responsibility on its shoulders, referring to the questionable monetary and inflationary policies imposed by the Díaz-Canel Administration. However, the ghost of the embargo still haunts the island, 60 years later.
The controversial embargo was imposed in 1960, after the revolution led by Fidel Castro against the government of Fulgencio Batista, a close ally of the United States, and implies a regime of obstacles and sanctions promoted by Washington to private companies or States that want to carry out business with the island. A political order that was born as an instrument of coercion and containment of the communist regimes of the time.
Since its materialization, the international community had been divided, following the Manichean logic of the Cold War, over the nature of the embargo. Today, in 2024, most States in the world agree that the measure represents a serious violation of international law.
The United Nations General Assembly has been condemning the blockade of Cuba for 31 years, with the support of an abysmal majority of its members.
At the 2023 meeting, 187 of the 193 UN members voted to condemn the US embargo. Ukraine abstained, and only the United States and Israel voted against, as has been tradition for the last 60 years.
With EFE, Reuters and local media
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