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Sky-High Prices at New Hardware Store in Havana

Friday, June 20, 2025 by Isabella Rojas

A new private hardware store has emerged on Monte Street in Old Havana, amidst a cityscape characterized by neglect, filth, and poverty. The store, named La Valía, is nestled between Ángeles and Águila streets. It stands out due to its expansive size, cleanliness, air-conditioning, and a diverse range of products, including tools, plumbing supplies, furniture, appliances, and imported beauty items.

However, the aspect that has truly left Cubans astounded is the pricing in this store, which seems entirely out of touch with the purchasing power of the average citizen.

La Valía's Price Tags

At La Valía, washing machines are priced at 65,000 CUP, televisions exceed 150,000 CUP, and kitchen cookware goes for over 20,000 CUP. An industrial fan is tagged at 550,000 CUP, while a simple mobile charger costs 10,000 CUP, and a rechargeable flashlight is priced at 36,000 CUP.

Also available are items like a faucet for 1,800 CUP, headphones for 6,600 CUP, and a dining set for 152,000 CUP. The store also carries watches and cosmetics from Asian brands such as O’ujiashi and Roushun.

Ownership Mystery of This Havana Store

Little public information is available about the ownership of this enterprise, but it operates on a retail model as advertised in a WhatsApp group, despite initially being touted as a "wholesale" outlet during its construction phase.

La Valía is not listed in the official registry of small and medium-sized enterprises (mipymes) by the Ministry of Economy and Planning and lacks a website, a common trait among many newly established private businesses. It maintains a Facebook page and the aforementioned messaging group as communication channels.

For months, locals and passersby observed the rapid progress of the building's renovation, a stark contrast to the usual sluggish pace of projects in Havana. The transformation of this space—from a dilapidated area to a modern, well-stocked store—has raised eyebrows, particularly due to the lack of transparency regarding its ownership and operations.

Prices vs. Salaries in Cuba

While the prices at La Valía are slightly lower than those offered by resellers or on platforms like Revolico, they remain out of reach for the average Cuban. Since 2021, the minimum wage in Cuba has been set at 2,100 CUP, as per the Ministry of Labor and Social Security. Pensions range between 1,528 and 1,733 CUP, and the average monthly salary in 2024 was only 5,839 CUP, according to the National Office of Statistics and Information (ONEI).

Even in Havana, where the highest average income was recorded at 6,449 CUP, purchasing most of the store's products is beyond reach. Moreover, the official exchange rate of 24 CUP per dollar is rarely met in practice. On Friday, the informal market valued the dollar at 378 CUP, making the prices at La Valía even more absurd.

In a city where survival becomes increasingly challenging, the emergence of such opulent and well-stocked stores, disconnected from the economic reality of the populace, highlights the growing inequalities deepening daily in Cuba.

Understanding Cuba's Economic Disparities

Why are prices so high at La Valía?

The prices at La Valía are high due to several factors, including import costs, economic inflation, and a possible disconnect from the average Cuban's financial reality.

What is the average income in Cuba?

As of 2024, the average monthly income in Cuba is 5,839 CUP, with minimum wages starting at 2,100 CUP.

How does the informal exchange rate affect purchasing power?

The informal exchange rate significantly reduces purchasing power, as the dollar is valued much higher in the informal market compared to the official rate, making imported goods even more expensive.

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