The Cuban government has announced a series of new measures to promote foreign investment in wholesale trade, including 100% foreign-owned companies, and through joint ventures in the country’s retail trade, as well as to stimulate exports, thus reversing the centralization of economic activities and in response to shortages.
In statements during their intervention this Monday in a program of Cuban public television, the First Deputy Minister of Foreign Trade, Ana Teresita González Fraga, and the Minister of Internal Trade, Betsy Díaz Velázquez, indicated the possibility of companies of majority foreign-owned wholesale trade, while in retail joint ventures will be encouraged.
“We propose the establishment of foreign investment entities for wholesale trade,” the deputy minister said, adding that another of the approved measures is to selectively promote the establishment of joint ventures to conduct trade activities. detail, which will allow for greater efficiency.
In this regard, Díaz Velázquez stressed that the intention is to develop wholesale and retail trade with foreign investment to attract financial resources, advanced management methods, technologies and marketing techniques.
Thus, the new measures aim to eliminate the exceptional nature of the participation of foreign investment in retail trade, in which a public market will prevail, so that “it will not be an open retail trade, but neither will it be restrictive as it has been established so far.
Likewise, with regard to wholesale trade, the Minister pointed out that now, in addition to the usual modalities of contracts of associations and international economic associations, pooled funds or by service, there will also be an assessment “of a participation of companies with totally foreign capital.
“We will also assess (provided that the objectives of the proposal are in line with the objectives we have set ourselves) companies with totally foreign capital”, he announced.
“We recommend that this wholesale business be a supplier of raw materials, equipment, inputs, technology to integrate renewable energies; in other words, a supplier who boosts and energizes the non-state and state sector”, she defended herself.
Thus, the Cuban Minister of Internal Trade summarized that in the field of wholesale trade, three forms of investment can exist: international economic associations, companies with 100% foreign capital and joint ventures, while in the case retail, it will be exclusively for joint ventures.
“Flexibility is that it was restricted, and today it is open to joint ventures. We are going to give priority to a group of countries and partners who have always accompanied us. It will be a trade that is not restrictive, but not open. What has been completely opened up is wholesale trade,” she added.
Likewise, the minister said that the Cuban government is already working on the business models sought, both in wholesale and retail, to immediately offer goods and services to the market in order to reverse the complex situation in the country.
“There are designs made, we conclude them, and all the entities and organizations that today do wholesale and retail trade in the country will participate with us; this is not limited to the trade sector,” he added, adding that all the joint ventures that exist today in the country are being studied, “all the joint ventures that can have a scope in the trade of big “.
“We will prioritize and offer these business proposals to companies that have remained in the country,” said Díaz Velázquez, stressing that companies that have been in Cuba for many years and that today have representations or branches will be the first to be listened to. to and move business forward so that companies can set up shop.