Senator pushes credit for Cuba

but who will pay back?

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arkansasonline

Cuba would be able to use credit to buy U.S. agricultural products such as rice and chicken under legislation introduced Wednesday by U.S. Sens. John Boozman, R-Ark., and Heidi Heitkamp, D-N.D.

U.S. rules require Alimport, the state-owned firm that controls Cuba's agricultural imports, to pay cash for its purchases. The legislation offered by Boozman and Heitkamp would allow private banks and companies to offer credit terms for agricultural exports to Cuba.

Boozman said that even though Arkansas farmers would benefit by being able to export to Cuba, they must first deal with commercial barriers that resulted from federal laws restricting trade and financing, as well as tourism and other commercial activities, with the island nation.

"Cuba represents a remarkable opportunity for American farmers, and it's also an opportunity for Cubans to gain access to safe, affordable and high quality agriculture products from the United States," Boozman said in a release about the legislation.

Heitkamp said U.S. growers should be allowed to enter the Cuban market and compete on an equal footing with producers from other countries.

"The biggest obstacle in that effort involves private companies and banks not being able to provide credit to export agricultural commodities to Cuba where these crops are in high demand," Heitkamp said.

The legislation, titled the Agricultural Export Expansion Act, comes one day after a hearing before the Senate Agriculture, Nutrition and Forestry Committee on how easing the trade embargo would help U.S. farmers and ranchers.

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