CUBANET ... CUBANEWS

June 28, 2000



House deal eases curbs against Cuba

By William Neikirk. Chicago Tribune. Washington Bureau . June 28, 2000

WASHINGTON -- In an agreement to permit cash sales of food and medicine to Cuba, House leaders on Tuesday took a politically symbolic but potentially important step toward ending the 40-year-old economic embargo against Fidel Castro's communist island.

The agreement was seen as a breakthrough in U.S.-Cuban relations that, while it permits only a modest step-up in food and medicine commerce in the short run, could lead to a greater relaxation of the embargo.

"We're getting our foot in the door," said Rep. Jay Dickey (R-Ark.), one of supporters of the amendment pushed principally by Rep. George Nethercutt (R-Wash.).

The early-morning agreement struck among House leaders, supporters of relaxing the embargo and congressional critics of Castro illustrated the growing power of American commercial interests in the rocky relationship between the Castro regime and the U.S. government.

The measure, which will be attached to a bill expected to pass this year, would also clear the way for food and medicine sales to other "states of conflict," Iran, North Korea, Libya and Sudan.

But the agreement denies U.S. government-sponsored and American private funding to Cuba and Iran, meaning both countries will have to find other sources for cash to pay for their food and medicine. The restrictions reflect compromises.

President Clinton has expressed opposition to a provision that would call for unilateral food and medicine embargoes to be approved by Congress, except in wartime or emergencies. A spokesman said Clinton believed it restricted his ability to conduct foreign policy.

Nethercutt said he believed Clinton would still sign the bill.

House Speaker Dennis Hastert (R-Ill.) supported the move and was joined by those from agricultural districts or with pharmaceutical firms who lobbied hard for it.

Negative public opinion over the Elian Gonzalez custody battle appears to have weakened the anti-Castro Cuban-American community's sway over Congress.

Last year, the Senate overwhelmingly approved allowing food and medicine sales to Cuba. Similar legislation never made any headway in the House. This year, with American companies, including Decatur-based Archer Daniels Midland, pushing the bill, GOP leaders and rank-and-file members felt the pressure to step back from absolutist positions on the embargo's prohibitions.

"I don't think it's morally defensible to deny food and medicine we produce here to anyone on the face of the earth," said Rep. John Boehner (R-Ohio).

Illinois Gov. George Ryan praised Congress' action Tuesday as a move that will open needy Cuban markets to state farmers and businesses. But Ryan, who became the first sitting governor to visit the communist nation when he made a humanitarian trip there last October, said Congress should also lift its ban on trading medicine.

"When we were in Havana, we talked to doctors who were unable to perform surgery on children because they did not have the necessary drugs," Ryan said. "In this day and age, we shouldn't allow that to happen."

Seeing the popularity of the measure on the House floor, congressional representatives and supporters of anti-Castro Cuban-Americans in the end largely yielded their objections to any dealings with the Cuban government. Anti-Castro members of Congress said they succeeded in negotiating restrictions that will force the Cuban government to pay cash for U.S. food and medicine by denying access to U.S. credit programs or subsidies as well as private U.S. financing.

Also, they said, for the first time, U.S. tourism to Cuba would be explicitly prohibited by law. "Closing off Clinton's tourism option for Castro is our most important achievement in years," said Rep. Lincoln Diaz-Balart (R-Fla.), referring to concern that Clinton could, by executive order, allow more Americans to tour Cuba.

Also, by barring Castro from obtaining U.S. public or private financing, he would either have to use what little hard currency he has or borrow it from other sources, such as other governments or private banks in other countries.

Rep. Ileana Ros-Lehtinen(R-Fla.) said: "This agreement is much better for us than current law. No credits for Castro, and no tourism, either."

Foreign policy experts said, however, that over time they expect commerce in food and medicine would rise and create pressure for other changes embargo.

"I think over the medium term that trade is going to expand," said William LeoGrande, government professor at American University. "Other business leaders are going to see the opportunities in Cuba increasing. ... I think indeed it will be the first of many cracks" in the embargo.

Richard Haass, foreign policy expert at the Brookings Institution and former national security assistant to President George Bush, said more trade with Cuba will help open up the country and possibly lead to more economic and political reforms.

Debate in recent weeks has indicated that lawmakers expect Castro to change his record on human rights and install more free-market reforms before they are willing to eliminate the embargo.

With the French and Chinese as important suppliers and financiers of the Cuban economy, John Kavulich, president of the U.S.-Cuba Trade and Economic Council Inc. in New York, said that the short-term impact of the U.S. measure will largely be symbolic. "The U.S.-Cuba relationship is a series of substantial moments," said Kavulich. "This is a substantial moment. There will be other substantial moments."

Kavulich said he expected the U.S. to sell between $24 million and $45 million in food to Cuba over the next 12 months.

Soybean farmers in Illinois could be one of the beneficiaries. Deal permits sale of food and medicine but blocks any outright cash aid.

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