The Cuban Minister of the Food Industry, Alberto López Díaz, recently justified the sale of products in U.S. dollars as a necessary strategy to sustain food production, asserting it "benefits the population." During a visit to various enterprises in Mayabeque, broadcasted by the Provincial Telecenter Telemayabeque, López Díaz acknowledged that the industry's utilization is "below its installed capacity" due to a lack of raw materials. However, he emphasized that foreign currency obtained through online markets and hard currency stores enables the purchase of supplies and keeps production ongoing.
"Companies must defend their foreign currency income. It's not our ideal scenario, but it's proven that these revenues allow us to buy raw materials and produce food for the population," stated López Díaz. His comments sharply contrast with the grievances voiced by citizens on social media, who highlight the difficulty of accessing basic goods in a country where the average salary barely reaches $20 in the informal market.
Just weeks ago, a Cuban woman from Guantánamo took to TikTok to showcase how a piece of beef could cost over $70, a price deemed "unpayable" for most families. "Cubans can't afford this," she exclaimed, capturing empty shelves and essential items priced at international levels.
In March, the government heralded the reopening of the 5th and 96 store in Havana as "good news," also in dollars, and in August, they launched a supermarket at the Focsa building, managed by GAESA, where payments are only accepted in U.S. currency. Access to these stores remains limited to those receiving remittances or handling foreign currencies, while markets in Cuban pesos continue to suffer from shortages.
Economists like Pedro Monreal have warned that this model does not solve the production crisis nor ensure stability. Instead, it exacerbates social inequality between those with access to dollars and those relying solely on the depreciated Cuban peso. The expansion of these exclusive currency stores, now exceeding 85 across the country, has been portrayed by authorities as a mechanism to fund the industry. Nevertheless, for millions of Cubans, it signifies a daily struggle with insufficient wages, unaffordable food, and an economic model that normalizes exclusion.
While the minister insists that selling in dollars "benefits the population," more and more families face the harsh reality of surviving in a nation where purchasing a pound of chicken or a liter of oil can equate to months of earnings.
Cuban Economic Challenges and Dollar Sales
Why does the Cuban government sell food products in dollars?
The Cuban government sells food products in dollars to generate foreign currency, which is used to purchase raw materials and sustain food production amid a lack of resources.
How does selling products in dollars affect Cuban citizens?
Selling products in dollars affects Cuban citizens by limiting access to essential goods, as many cannot afford these prices due to low wages, leading to increased social inequality.
What is the role of GAESA in the Cuban economy?
GAESA is a conglomerate that manages various businesses, including supermarkets where payments are only accepted in U.S. dollars, playing a significant role in the Cuban economy by controlling much of the retail sector.