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The Havana Fair: Hookers, Heat and Beer / Ivan Garcia

November 13, 2015 1 comment

Cuba-Feria-de-La-Habana-_ab-620x330Iván García, 12 November 2015 — Liudmila and Sheila are prostitutes and they don’t know about business or cutting-edge technology. But a colleague sent them a text message telling them, “Come here, the yumas (foreigners) are wild.”

They put on stunning high heels, tight clothing and perfume with an anesthetizing fragrance. Their plan was simple: to prowl around the stands for Canada, South Korea, France and Germany, and see how the fishing was at the International Fair of Havana.

“I can speak pretty good English. Let’s go to each pavilion and ask about the products on display or the possibility of working in a company. When we see some foreigner checking us out, we can go on the attack,” says Sheila, who has seven years of experience in prostitution.

They were in luck. Two Spanish businessmen invited them for drinks and disco dancing that night in Miramar.  “At the least the romance will be only a joke. But it could end in a courtship and a definitive exit from the country,” reflects Liudmila, while she drinks a Bucanero beer in a temporary bar at the recently-concluded Havana International Trade Fair (FIHAV) of November 2015.

Of course prostitutes are a minority among those who visited Expocuba, the site of commercial fairs since 1989 (the first one was celebrated in 1982 with a few exhibits from Spain, Panama and Cuba).

At the end of the ’80s, just as the almost-perpetual economic crisis was beginning, you might think it wasn’t a good idea to waste millions of dollars building a space for a fair 25 kilometers southeast of the center of the capital.

Excited by what he had seen on his trip to Pyongyang in 1986, Fidel Castro wanted Cuba to also have a permanent exposition, where it could exhibit the “achievements of the Revolutionary Process.” And on January 4, 1989, Castro inaugurated Expocuba, a space much too large for an economy that was shrinking.

The disintegration of the USSR caused the loss of millions in subsidies, which pointed out the deficiencies in local industry. Ricardo Ortiz, a retiree who for 10 years worked in a food import business, says that Expocuba was transformed into a children’s amusement park and a place where, in the hard years of the Special Period, people could find products.

“As transport was scarce, you had to go on bicycle, and when you got to Expocuba, they gave you the right to buy two packages of fried chicken, 10 breadfruits and flavored yogurt. This was in the same epoch when, for lack of fuel, oxen were used for plowing instead of tractors,” remembers Ortiz.

In the Cuban autumn of 2015, Expocuba shows an obvious deterioration. On one afternoon, a strong downpour obliged hundreds of people to seek refuge under the pavilion roofing. “It rained more inside than outside,” said a Spanish tourist. Visitors to the Fair complained about the lack of informative posters.

“Everything had been organized in a slapdash way. You walked around disoriented, not knowing where the exhibit you wanted to see was located,”  says Juliana, an English professor, who was looking for the South Korean stand to find the latest version of the Samsung Galaxy.

When the Havana Fair opened its doors to the public on Friday, throughout the neighborhood dozens of private and collective taxis were calling out their services. For Cubans, a round trip could cost 40 CUC (roughly $40 US).

“For a foreigner, 60 CUC or more,” points out Reinerio, the owner of a ramshackle Lada 2105 from the Soviet era. “But I offer a price of 20 CUC, since my car has a gas engine. Fewer people came to this fair than before.”

The suffocating heat invited people to drink cold beer in the bars, cafeterias and restaurants located in Expocuba. At a glance, it was apparent that a lot of attendees were lunching on Creole food or drinking beer, which ran through the pavilions.

According to Marcia, a Fair employee, “the most happening stands were those of South Korea, Canada and Japan. A few businessmen and book publishers from the U.S. exhibited their wares. For 2016 we expect an avalanche of American businessmen.” When you inquire from foreign businessmen about business prospects in Cuba, opinions go from optimism to prudence.

An official from a Swiss tourist agency explained that they now have a permanent office in Havana. “We might not make a big profit right now. But you have to open a way, occupy a space. I’m afraid that when the Americans arrive, the businesses of other countries are going to have to pack their bags.” An investor, also Swiss, is even more bold and claims he’s building a high-class hotel in the Cojimar district.

With more doubts than enthusiasm, Fabian Koppel and Jakub Brzokoupil, from the German firm Optimum, which specializes in industrial machinery, say that in 2012 they did business on the Island. “But because of various difficulties we had to leave. In Cuba everything is very complicated. But our company thinks that now there are better possibilities,” says Fabian.

The perception among businessmen is that 2016 could be a decisive year. A manager of Egyptian origin from Mercedes Benz hasn’t lost hope. In 2014 they sold only 30 multi-purpose trucks to Cuban companies, and in 2015 that went up to 110. As for luxury cars, from 25 in 2014, they hope to sell 200 in 2016.

This is timid growth, but unofficial calculations show that when the State floodgates open, sales can shoot up. Although a Cuban with an average monthly salary of 23 dollars could never buy a car valued at 70 or 80 thousand dollars.

Liudmila and Sheila, the prostitutes from Havana, didn’t lose the opportunity to take a selfie in front of three Mercedez Benz, as if they think it’s possible. “But we would never buy a car in Cuba,” they say, smiling.

Text and photo: Iván García

Translated by Regina Anavy

Cuba: Waiting and Hoping for the Cruise Ships / Ivan Garcia

November 13, 2015 1 comment

Crucero-académico-M.V-_ab-620x330Iván García, 9 November 2015 — One warm evening in September, a scrapping brigade arrived from Habaguanex* and, in a little more than two hours, dismantled the aluminum tubes and awnings of three open-air bars on the Avenida del Puerto, where habaneros and tourists drank beer or ate fried chicken among the ambling musicians and prostitutes on the hunt.

The smell of fritanga** combined with the street-sellers’ cries and the nauseating odors from the contaminated Havana Bay. The spillage of waste matter was the pretext for the mandarins, who control the strongbox in the old part of the city, to disassemble the gastronomic shed, a couple of outhouses and, in passing, put some three dozen workers out of work. But the real reasons were something else.

Let’s call him “Mario,” a bureaucrat from the Habaguanex corporation, and he says: “The businesses adjacent to the port are controlled by military companies, who receive rent and fees from the old warehouse of San José, which has been converted into a handicraft market and even hostels, cafes, restaurants and shops. There is a master plan*** for converting the port into a tourist plaza that would offer recreation facilities and services for the cruise ships.”

In 2014, another old market in the port zone was transformed into a beer hall. And the inauguration of a maritime esplanade just in front of the Alameda de Paula is imminent.

They also have repaired and expanded sections of the road, planted palm trees and put up modern lighting on the street median. The area where the mobile bars were has been cleared to have more space for future tourists.

“They’re going to relocate them to other sites. They don’t want the view of the Bay entrance and the Christ of Casablanca to be obscured. By 2016 they hope to have more than 70,000 tourists from the cruise ships,” pointed out Mario.

The Regime is betting a lot on cruise-ship tourism in Cuba. President Obama, according to his roadmap, is interested in empowering private entrepreneurs and regular Cubans. But to the autocracy, only those businesses where the State is the manager are important.

Or to be more exact, the military businesses. Luis Alberto Rodríguez López-Callejas, Raúl Castro’s son-in-law (although some rumors indicate that he separated from Raúl’s daughter, Deborah), is a kind of tropical Martin Bormann, who handles the treasure of the business network of the Army, which controls the holding company GAESA****.

There is no way to probe into or know the volume of money they handle and how these funds are used: It’s a State secret. The generals, now converted into businessmen, have substituted white guayaberas for their uniforms. Eighty percent of the Council of State and the principal posts in the national economy are controlled by the Armed Forces.

After the U.S. Department of Treasury granted licenses to authorized cruise companies so they can go into Cuban ports, the falcons rubbed their hands together.

Raúl Castro is an expert at camouflaging his intentions. He also has been clever in dismantling, stone by stone, his brother’s pernicious voluntarism. He has changed the furniture, but he keeps up the décor.

Like Fidel Castro, he has boosted parallel mechanisms in the economy and the private reserves where the budgets are not discussed in the docile local parliament.

Castro the First was a staunch enemy of cruise ships, and he prohibited them in 2005. He argued that a horde of drunken tourists with little money would dirty up the Bay (even more than it is) with beer bottles and other garbage.

But Commando Raúl Castro thinks differently. The mid-term plan is for U.S. tourists to become an engine of growth that will catapult Cuba into the greatest tourist spot in the Caribbean.

But the present hotel infrastructure isn’t satisfying demand. “Every time a cruise ship comes into port, the beer, rum and mineral water disappear from the shops in Old Havana. We’re hallucinating if we think that four or five million Americans will come to the island, when we haven’t invested enough in lodging or services,” points out Fernando, a tourism officer.

December 17, 2015 — the day the United States and Cuba announced a resumption of relations — left in shreds Castro’s propaganda apparatus. For decades, it sold the narrative that the Revolution was of the people, by the people and for the people.

But a group of measures dictated by Raúl Castro put it into question. If anyone has been the big loser from the timid economic reforms of the last eight years it’s been the most poor, especially the elderly.

Without blushing, the olive-green autocracy has implemented unpopular measures that harm the population.

The Customs tax rates, the stratospheric assessments on commodities sold in the dollar stores and the favoring of cruise-ship tourism over ferry transport between Havana and Florida, which would permit a large transfer of assets and alleviate the poverty of many Cuban families, are evidence that the Regime governs only by thinking about its corporate benefits.

The White House has issued more than 15 “specific licenses” for passenger ferry service to Cuba, but they can’t operate immediately because of a lack of infrastructure on the island, sources from the Ministry of Transport confirmed at the beginning of October.

In a clear stalling tactic, the authorities allege that they need time to create an adequate infrastructure to receive ferries. José Ignacio, an expert in port services, thinks differently.

“It’s a contradiction that the Government says it doesn’t have the infrastructure to receive ferries and jumps for joy at the future arrival of cruise ships. The reality is simple: the cruise ships constantly leave behind dollars in cash. The ferries, to be more economical and transport up to 200 pounds per passenger, would boost trips for Cubans located in Miami, who would benefit their relatives with their packages. The official strategy is that they send all the money they want, so that people are obligated to buy in the State shops,” says José Ignacio.

Quietly, a State mercantilism is being built in Cuba, governed by silence and the lack of transparency. The worst possible capitalism.

Photo: Academic cruise ship M.V. Explorer from the United States. After a journey through 17 countries, the final destination for the 624 students coming from 248 U.S. universities was the Port of Havana. Taken from Martí News.

Translated by Regina Anavy