Cuba's Potential to Develop Its Own Franchises Highlighted by MINCIN Advisor

A consultant for Cuba's Ministry of Domestic Trade (MINCIN) has emphasized that the country possesses the potential to create its own commercial franchises. He referenced the historical example of the DiTú café chain during remarks made on the state-run TV program "Cuadrando la Caja" last Tuesday.

Arturo Vázquez Hernández, serving as an advisor to MINCIN, elaborated on the concept during the televised segment: "The DiTú brand was consistent across regions, from Granma to Pinar del Río, even down to the product offerings. This consistency in branding and operations constitutes a franchise."

The official highlighted that the newly-approved commercial policy of 2026 formally acknowledges this business model. Vázquez Hernández noted that the franchise concept could be effectively implemented within state-run, private, or foreign-invested sectors: "Often, when we think of a franchise, we think of foreign examples. However, Cuba can certainly develop this commercial concept domestically because the potential is there."

Commercial Reform and Economic Challenges

These statements are part of a broader set of 176 economic and social reforms endorsed by the National Assembly in June 2026, with the 19th focus area covering commerce, gastronomy, and services.

The legal framework for these changes is primarily outlined in Decree 167 "On Domestic Trade," sanctioned on August 7 and effective from September 4, 2026. This decree authorizes the establishment of retail and restaurant chains, acknowledges e-commerce, and formalizes sales in both Cuban pesos and foreign currencies.

Vázquez Hernández also acknowledged significant challenges within the sector: "There are numerous operational irregularities tied to indiscipline, poor practices, and inefficiencies, which are apparent not only in state operations but also in non-state activities."

Management Versus Ownership

On the topic of management versus ownership—a subject of public confusion—the advisor clarified: "We're discussing management, not ownership. Though they might seem similar, they are distinct. Ownership remains state-held."

He admitted to ongoing tensions, stating, "Unfortunately, we've lost the ability to sell essential goods in Cuban pesos in recent years," which is a frequent grievance among Cubans as the economy becomes increasingly dollarized.

Efforts to Revitalize Trade and Commerce

Rosa María Rizo Constantén, vice president of MINCIN's wholesale food group, also participated in the program. She disclosed that Cuba consumes 40,000 tons of rice monthly to supply nine million people and social needs, with the market price per ton ranging from $800 to $900.

Rizo Constantén mentioned that MINCIN is working on opening Havana's first wholesale market, where various economic players can sell in both Cuban pesos and foreign currencies, free from financial prerequisites.

Despite these initiatives, the reopening of DiTú venues has already exposed contradictions. For instance, in July 2026, a location in Sancti Spíritus launched with prices unaffordable for most Cubans—espresso at 200 pesos, croquettes starting at 1,000, and the "DiTú Platter" at 4,500 pesos—highlighting the gap between official announcements and economic realities.