US-Cuba Trade Exchange Could Reach 4 Billion Dollars if Blockade is Lifted

HAVANA, Cuba, Dec 22 (acn) Experts with the Peterson International Economy Institute in the U.S. estimate that US exports to Cuba could reach 4.3 billion dollars annually, if commercial relations between the two countries are reestablished.

The experts said that if the executive decision by President Obama is implemented, Cuban exports of good to the United States could reach 5.8 billion dollars up from zero in this minute.

This is big news, Cuba is a virgin market, said Seth Kaplowitz, lawyer and lecturer on finnaces at the San Diego State University, cited by PL news agency.

Bilateral trade exchange between Havana and Washington were cut in 1962 following the unilateral US decision to impose an economic, commercial and financial blockade against Cuba, whose damage has been calculated at more than one trillion, 112 billion dollars over the past 52 years.

According to the experts, the lifting of the US blockade could benefit US farmers, manufacturers, airliners, hotel companies, telecommunication entities among others.

At present, Washington authorizes US sales of foods like corn, rice, soybeans and frozen chicken at about 350 million dollars annually, but in anticipated cash payment, no credits are allowed for the island.

One of the companies interested in doing business with Cuba is Cargill, dedicated to the sale, purchase, processing and distribution of grains and other produce, as well as animal feed and pharmaceutical raw materials.

Cargill´s vicepresident Devry Boughner described Obama´s decision as the first big step towards the reestablishment of relations with Cuba, and he noted that financial restrictions are the major obstacle.

Other US entities that have expressed interest in the Cuban market include Delta Airlines and Jet Blue Airway, as well as hotel companies like Hilton Worldwide, Marriot International and Carnival Cruise Ship Corporation.

And according to the experts, US oil companies could find a new market for their fuels and refining technology in Cuba, if the blockade is lifted.