…for the “cash in advance” requirement placed on the Cuban dictatorship by the US government means they don’t have to wait years to get paid.
U.S. Rice Farmers Are Blessed
According to U.S. law, agricultural products can be sold to the Castro regime on a “cash in advance” basis.
This means that the Castro regime must either pay American farmers before the commodity leaves U.S. port (Bush interpretation) or upon delivery in Havana (Obama interpretation).
Some farm groups — particularly rice farmers — constantly argue that, regardless of the interpretation of “cash in advance,” this requirement is making them lose Cuban market share to other rice exporters — namely Vietnam.
Yet, ironically, an article in last week’s Viet Nam News (on Castro’s desire to lure Vietnamese investors) contained the following important fact:
Dang Xuan Cuong, from the Viet Nam Food Industries Company, said his company was looking into Cuba, which was a new market for his firm.
Last month, the Viet Nam Northern Food Corporation signed a contract to sell 200,000 tonnes of rice to Cuba.
Every year, Cuba imports about 400,000 tonnes of rice from Viet Nam.
Despite the latest trade incentives, exporters were still facing difficulties, such as late payment, Cuong said.
He said his firm often received payment 300-500 days after the goods were delivered.
Therefore, U.S. rice farmers should perhaps count their twisted “blessings”:
They’re profiting from repression and getting paid on time.