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Selected Article:
Should Mississippi farmers
support possible trade with Cuba?
by David Waide

PRO


The 1996 Farm Bill was designed to make agriculture competitive in all aspects of international trade. The farm community depends greatly on exporting commodities and accessing markets by exporting those commodities in a manner that will be profitable to commodity production. It is important we do not allow our government to be part of embargoes against foreign countries.

We are concerned about whether or not we need to trade with Cuba. Arguments exist that Cuba is most unfriendly toward the U.S. In addition, it is a country that perhaps has one of the worst human rights policies of any nation. I think that we should legitimately question whether or not we need to punish American producers of good and services with the boycott of Cuba.

Logistics as far as transportation are most important to access the Cuba market. It is the lowest transportation rate we would have regarding export to some country not adjacent to the boundaries of the U.S. In most instances Cuba is closer to the production area of many commodities than most of our states. That aspect alone can make Cuba a very viable market for American agriculture.

As we examine embargoes that are placed on any country, my most vivid memory of a political embargo is when Russia invaded Afghanistan. At the time, we were selling soybeans at record high prices. President Carter decided that he would place a grain embargo on soybeans going to Russia because of the invasion. As a result, we saw prices plummet from $12 a bushel on soybeans to less than $6. Twenty-three straight days the soybean market declined the limit. The individuals punished were the soybean farmers. There are no winners when it comes to political embargoes of this type.

We all want to impose American social and economic policies on other nations. We believe the capitalistic system is the very best system that exists. Without a question we have proven that in this industrialized nation. We stress that individuals should be rewarded on the basis of their productivity, not on any other basis. That is true of the capitalistic system. If we are going to be successful in getting other countries to improve their standard of living and their human rights policies, how could we better accomplish that task than by allowing our commodities to be exported into their markets? As we develop foreign policy in the future, our government needs to be aware that all segments of the American economy can benefit by trade with other nations.

If we are going to be a player in world markets, certainly we need to be sure that our environmental standards are not violated. We also need to be aware that our public policy is directed in a manner that would cause those countries to readily accept our products. As trade with these countries continues, individuals who are attempting to produce products in those countries will realize that the capitalistic way is a better way of production than anything their government offers.

Cuba can become one of our best markets for U.S. products. My hope is that in the future we will realize the tremendous export potential in Cuba and take advantage of that market to the best advantage of those individuals who are U.S. producers. DBJ

(David Waide is president of Mississippi Farm Bureau.)

CON

Let’s face the facts: Fidel Castro is still a Communist. I realize it is not politically fashionable or correct to say the word, but that’s what the despot is. What has wrecked Cuba’s economy is not a lack of trade with America, but Communism.

We must understand that doing business with Cuba means, plain and simple, doing business with Castro. He clearly wants us to end our embargo with the country he rules over with his censorship and terror camps: it would be a propaganda victory as well as enable him to receive the U.S. dollars he wants so badly. It would do nothing for the Cuban people, however, and we should we be more morally concerned with whom and what we trade with.

Therein lies the rub: to those who argue that our trading with Cuba would somehow modernize and “Westernize” that island, a critical point is being missed. Our free market and way of life is based on more than just Levi’s jeans, McDonald’s hamburgers, and soybean trading. The free market is based on the recognition of individual liberty and the right to trade freely, which is a moral issue. Castro’s Communism denies this freedom. Do we really want to earn profits at the expense of propping up a dictator who denies rights to and routinely brutalizes his own countrymen?

If we were to end the embargo, not only would we risk the real possibility of Castro nationalizing any investments we make, the U.S. would also have to deal directly with the Commandanté. We could not hire Cuban workers directly—a government agency would do that for us. We would also have to pay Castro very well—in hard currency—for each worker; that worker, in turn, gets paid a fraction of the amount, in the next-to-worthless peso. After all, under Communism, the state is God.

A quick look at non-moral factors involving trade with Cuba reveal some interesting facts: Several nations that now do trade with Castro, including France, Spain, Italy and Venezuela—have suspended credits to him because Castro has failed to make payments on its debt, including debt incurred on agricultural purchases. Still want to trade with Cuba?
In addition, after all this time, Castro remains a firm hater of the U.S. while simultaneously craving our money. On May 10, 2001, Castro was quoted in a speech at the University of Tehran saying, “Iran and Cuba, in cooperation with each other, can bring America to its knees.” He’s made literally thousands of similar anti-American comments.

One of the great advantages of our embargo is that it has saved U.S. taxpayers millions of dollars in unappropriated export insurance and subsidies, while France, Spain and Canada are still waiting to be paid what they are owed. I imagine it will be a long wait.

This nation’s taxpayers should not be forced to subsidize a Communist tyrant. Whatever small benefits we might get economically (and those are questionable) aren’t worth the moral sell-out we’d be making. Don’t trade with Castro. Keep the embargo going. Canadians and Europeans have flooded Castro’s economy and absolutely nothing has changed. Why should we join the charade? DBJ

(Kirk Fordice is the former governor of Mississippi.)


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