Despite official reports indicating positive financial outcomes for numerous state-owned enterprises in Las Tunas province, only a third of the anticipated physical production targets were met in the first quarter of 2025. This revelation surfaced during a review of the local economy's performance over this period.
Osbel Lorenzo Rodríguez, the first secretary of the Communist Party in the province, expressed his frustration by stating, "People can't eat explanations," as he criticized state enterprise leaders for failing to meet production goals. This criticism comes amid a situation where financial figures may appear favorable, yet actual production falls short of satisfying the population's needs.
While the analysis once again attributed issues to the U.S. "blockade," it also acknowledged internal shortcomings and blockades. Lorenzo emphasized, "No one is authorized to fall short due to subjective reasons," according to a report from the provincial newspaper 26.
Economic Recovery and Production Shortcomings
Lorenzo also described the pace of economic recovery in the region as sluggish. Agricultural production, along with sheep, rabbit meat, and charcoal production, lagged behind planned targets. He pointed out the disconnect between management practices and the actual demands of the population, particularly in rural areas.
As of the end of March, only a third of the forecasted physical production had been achieved. However, retail sales and commercial circulation remained stable, which, according to officials, indicates a troubling trend: positive financial balances sustained by high prices, boosting enterprise revenues but perpetuating inflation and supply shortages, as highlighted by the newspaper.
Sugar Industry Challenges
The sugar industry serves as a prime example of this contradiction. It is expected to hit historical lows in sugar production, although income from by-products like molasses may cushion financial results. Nonetheless, this scenario could necessitate sugar imports, undermining self-sufficiency goals, especially since Las Tunas had the country's largest sugar plan, though specific data was not provided.
Governor Yelenys Tornet Menéndez emphasized, "Physical production is the key indicator." She also highlighted other critical issues, such as delays in payments to farmers, inefficiencies in investments, and illegalities in land and livestock management.
Private Sector and Social Assistance
There is also a delay in the disbursement of the social assistance budget, with 4% remaining unutilized in the first quarter of the year. Lorenzo stressed the importance of using this money efficiently and promptly, as it benefits the most vulnerable citizens.
In contrast, the private sector exceeded its contribution estimates to the government budget, although its economic performance is typically excluded from official reviews. However, the sector's interactions with the state apparatus came under scrutiny, resulting in about 50 administrative measures and nearly 90 political sanctions following the discovery of various violations.
Although some financial balances present encouraging signs, government authorities acknowledge that the economy continues to fall short in meeting the population's most basic needs.
Government Responsibility and Agricultural Struggles
In June 2024, during a visit to Las Tunas, leader Miguel Díaz-Canel urged Cubans to "fight" for food self-sufficiency rather than "relying on the basket." He also emphasized that local governments, rather than central authorities, bear responsibility for ensuring citizens' basic needs are met.
Authorities have acknowledged the neglect facing Las Tunas' agricultural sector, characterized by a lack of animal feed, unpaid producers, livestock malnutrition, insufficient institutional support, and frequent cattle thefts.
Additionally, there are significant delays in the processes to expand land for those already owning more than ten cows, limiting growth and sustainability prospects for farms. Due to ongoing shortages and low productivity nationwide, tariff exemptions have been repeatedly extended as a temporary relief measure for the population, without implementing long-term structural solutions.
Understanding Las Tunas' Economic Challenges
What are the main criticisms made by Osbel Lorenzo Rodríguez?
Osbel Lorenzo Rodríguez criticized state enterprise leaders for failing to meet production targets, emphasizing that the population cannot be fed with mere explanations. He also pointed out the disconnect between management and actual population needs.
How is the sugar industry affecting Las Tunas' economy?
The sugar industry in Las Tunas is expected to reach historic lows in production, despite financial cushioning from by-products. This situation may require importing sugar, challenging the goal of self-sufficiency.
What issues are affecting the agricultural sector in Las Tunas?
The agricultural sector faces neglect, with issues such as lack of animal feed, delayed payments to producers, livestock malnutrition, lack of institutional support, and frequent thefts.
What measures have been taken to address economic challenges in Las Tunas?
Authorities have extended tariff exemptions as a temporary relief measure, although no long-term structural solutions have been implemented to address the ongoing shortages and low productivity.