Minnesota takes second trade mission to Cuba

It’s a debate that is guaranteed to incite emotions, both for and against. Increasing trade opportunities with Cuba is a hot button topic in Washington D.C., but it’s an important topic for agriculture. Minnesota is one state in the Union that recognizes the opportunities in Cuba. Several state officials and Ag groups took part in a recent June trade mission to our neighbors 90 miles to the south of Florida.

The timing felt a little ironic. Minnesota Lieutenant Governor Tina Smith put the trip together months ago as a follow-up to a recent state trip to Cuba last December. The Friday before the delegation arrived in Cuba on the most trade mission, President Donald Trump decided to roll back some of the Obama-era regulatory moves that opened up opportunities for the countries to do business. That made the trip a little more important in the minds of Minnesota officials and Ag groups.

trade opportunities Cuba

Minnesota Farm Bureau President Kevin Paap was a member of the recent Minnesota delegation to travel to Cuba to talk about increasing trade opportunities between the state and the island nation 90 miles south of Cuba. (contributed photo)

“It (Trump’s announcement) didn’t change any of our goals going down there,” said Minnesota Farm Bureau President Kevin Paap, a member of the delegation, “but it certainly ratcheted up the importance of our being there. We were the first Ag trade team down there after the Trump announcement, so everybody down there was aware of it.”

Paap said it was a vital opportunity for Minnesota to highlight the importance for agriculture that the countries continue to work together to become better neighbors and trading partners. It was also an opportunity to do what they could politically to help change the situation.

That was vital because Minnesota and Cuba have been doing business for some time, dating back to 2002 when then-Governor Jesse Ventura hosted the first big trade mission to Cuba. That’s where things began to really take off with trade reaching a high water mark between Cuba and Minnesota, but things have been tailing off for the last few years. The potential is there for things to improve.

“We have to understand,” Paap said, “they aren’t the biggest market, but it is an important market and a close market. It’s important to remember when dealing with perishable goods, in terms of quality and price, distance has a negative effect on all that. We should be able to beat everyone else on quality, price, and transportation.”

Despite some of the rhetoric people may hear when talking about Cuba, it’s important to note that the people of Cuba are enthusiastic about possibly trading with America.

 

The opportunities are there in Cuba for commodities like corn, soy products, black beans, dried beans, and some livestock opportunities too. He said there are things Cuba just can’t produce on their own.

“They have a lot of silt in their soils with not much in the way of organic matter,” Paap said. “They really haven’t put down a lot of nutrients into the soil in the last 50 years or so. There are some tillable acres in the country but it’s just not high quality.”

It’s not just the soils. Farmers in Cuba are working with a lack of modern equipment that American farmers are used to. A Cuban farmer used a one-bottom plow and two oxen to work one of the fields Paap saw during the trip. He says it seems like the country is locked in time decades in the past.

A trade mission like this always has two goals at the top of mind. Obviously, one goal is to do business but the other, and more important, goal is to build relationships.

“When you deal with an international trade mission, it’s always about building relationships before doing business,” Paap said. “We (Americans) probably aren’t as aware of that when you talk about dealing with other countries. You have to have a relationship. There has to be a reason for doing business besides dollars and cents.”

That’s hugely important and not just in Cuba. It’s the same if you’re talking trade with Asian countries or anyplace else in the world. The trip was a big opportunity to make sure the Cuban people understood the importance America placed on the relationship in light of the Trump announcement.

“It was a chance for us to say agriculture worked hard to make sure it wasn’t affected by the Trump announcement,” Paap stressed. “When it comes to the changes by President Trump, we weren’t as affected by those as others were and we wanted the Cubans to see that as a good sign.”

It was a chance for Minnesota to also point out they have two “champions” for trade with Cuba in Senator Amy Klobuchar and Representative Tom Emmer, working in a bipartisan manner on the topic for a long time.

The delegation went face-to-face with a lot of different people while they were in the country and Paap said it ran the gamut.

 

 

One of the most interesting changes in Cuba has to do with how they deal with foreigners. As recently as the mid-1990s, Cuban farmers weren’t allowed by law to even talk to people from outside the country, even those on a trade mission. Now, everyday people in Cuba told the delegation members that they’re hoping to get some help from the USA.

 

 

It’s not the biggest market but there are opportunities there. Paap and the American delegation were walking into the Ministry of Agriculture to meet with Cuban officials and a Chinese trade delegation was walking out at the same time.

“If we’re going to choose not to be there and involved in infrastructure upgrades, that doesn’t mean it won’t happen,” Paap said. “There’s a lot of countries putting some money into the country. Even Minnesota Ag Commissioner Dave Fredrickson (who was on the first trade mission) said it was amazing how much the country had changed, even since last December.”

There’s a lot of work to do to improve the lives of the average Cuban who earns between 20 and 24 dollars a month. Paap is a farmer in Blue Earth County and his Cuban counterparts have lots of questions for the American farmers on the trip.

“I always make sure and bring along a picture book,” Paap said, “especially when there’s a language barrier. There was a lot of interest in that. They had a lot of livestock questions about pigs and what we feed them and how heavy they are. They had a lot of questions about things like rainfall and crop yields. We had a lot of great farmer-to-farmer conversations.”

Cubans understand there are things they can’t grow in their fields. Paap wants to know why wouldn’t we want to sell Ag commodities to a country that’s only 90 miles south of America. After all, farmers understand logistics and travel better than most. Farmers realized a long time ago the value of working together, and that the people you work the best with are likely those closest to you.

The biggest obstacle for agriculture to overcome in order to improve trade with Cuba is the financing mechanism. In order for America to sell agricultural products to Cuba, the buyers have to come up with all the cash up front through a third party. That’s a big disadvantage when America’s competitors are more than happy to offer financing.

“That’s where the work of Senator Klobuchar and Congressman Emmer comes in to help try to get rid of some of those requirements,” Paap says. “That would make us a more desirable trading partner as well as the closest.”

Third-party response to the presidential debate

Did you even notice there’s a third-party candidate for President? I thought you might find this interesting, especially if you’re one of what appears to be a growing number of people who aren’t happy with the two major-party candidates for president. Here’ s the response of another presidential candidate in case you were looking at other options. Let me know if he’s on the right track or if they guy is one can short of a six-pack? I honestly do wish there was one perfect candidate we can all agree on, but….

MY STATEMENT ON THE FIRST PRESIDENTIAL DEBATE:

I heard Donald Trump describing a country I don’t recognize, and I heard Hillary Clinton writing checks we can’t possibly cash.

third party

Gary Johnson is a former Governor of New Mexico and a Libertarian third-party candidate for president. (photo from gofundme.com)

I suspect a great many of the millions who watched the debate did so in the hope that they would be inspired. With the possible exception of partisans on the extremes, I also suspect they were disappointed.

Americans don’t want their children and grandchildren to inherit a $20 trillion debt, and they didn’t hear anything [last night] that will keep that from happening. Ms. Clinton and Mr. Trump are afraid to tell the truth about spending. It’s easier to just promise more of it and send the next generation the tab.

Americans believe in the Constitution and the protections it’s supposed to provide. Mr. Trump appears willing to ‘frisk’ those protections away if they get in the way of his version of fixing things. There was a time when Republicans believed in free trade and creating jobs through growth, not protectionism. What happened to that?

Our military men and women and their families deserve leadership they can trust to not send them into harm’s way to intervene in conflicts they can’t possibly resolve and which may or may not have a clear U.S. interest. They didn’t get any reassurance [last night]. Americans want our military to protect us, not put their lives on the line to chase someone’s agenda.

We deserve better, but what we saw [last night] was a promise that the bickering, the pandering and the polarization will continue. America is already great. It’s great leaders we are lacking, and I don’t think we found them on the stage [last night].

Maybe that’s why Google searches for Gary Johnson are off the charts right now.

-Gov. Gary Johnson

CHIP IN to help put a third podium on the stage in October: https://www.johnsonweld.com/debate_day

There’s also a third-party (fourth party?) candidate named Jill Stein. When did we as a country decide that we should only have two political parties in Washington? Why can’t we have more than two? How has choosing the “lesser of two evils?”

Put Independence in Independence Day

Happy Birthday America:

Interesting as I sit scrolling through various news feeds. We’re celebrating our nation’s birthday, but it’s not without some angst. There are stories floating in the news about potential ISIS strikes against America (including the Twin Cities, which I’m only an hour south of), a court system that fined an Oregon bakery over $100,000 because they wouldn’t bake a cake for a gay “wedding,” and states that seem to be rebelling against the man we elected President of the country.

Independence Day

Let’s put the INDEPENDENCE back in Independence Day! (Photo from east countymagazine.org)

How did things get so unstable? What happened to our Democracy?

I can hear it now: We ARE a democracy. What the heck are you talking about?

Who’s democracy are we talking about here? It used to be okay for you and I to disagree with each other. I offer, as an example, my grandfather, John Gerhold, a staunch Republican, and a good friend named Bob Ching, a serious Democrat (I may actually have their party affiliations backwards. It’s been a really long time). The point is, they used to have some rousing political policy debates, but when they finished up, they were still FRIENDS! One didn’t “hate and fear” the other because they disagreed. They agreed to disagree, and then moved on and acted like adults!

Now, if I say to someone I don’t believe in gay marriage (and the reason really doesn’t matter why, either) then obviously I must hate all gay people! How do you make that jump without talking to me, and without even KNOWING who I am and what I actually believe? Instead, I’ll get shouted down and called ignorant, and a bigot. But who’s really the bigot here?

You are ASSUMING I don’t like gay people here because I don’t agree with gay marriage? It used to be my right to disagree with you. It doesn’t mean I hate you, and it doesn’t mean I will bully you or pick on you in any way. You go ahead and believe what you want to believe, and I’ll do the same. Why the need to bully people into agreeing with you? What are you afraid of? It doesn’t mean I respect you any less as a fellow human being, because when you boil it down, we all bleed red when you cut our skin, don’t we?

So, when I see people being shouted down for the things they believe just because they don’t agree with you, who’s the intolerant one? The one going on with their lives quietly, or the ones we see shouting on television?  The ones preaching “tolerance” fit the very definition of the “intolerance” they’re accusing others of.  That is just not logical.

Please don’t shout me down just because I don’t believe in the same things you do.  We can still be friends.  It is possible.  (photo from talkingpointsmemo.com)

Please don’t shout me down just because I don’t believe in the same things you do. We can still be friends. It is possible. (photo from talkingpointsmemo.com)

People, we are going down the wrong path. You know where this starts? It’s starting at the top. We’ve got career politicians who’ve grown fat off their hands being in the proverbial cookie jar. “Oh, how bad things are, and how unfair things are,” they say. They make promises of how much better things will be if we give them our vote, and then they turn around and forget whom they actually work for. And we don’t do a damn thing about it but keep reelecting them! Why? Can someone explain this to me? We’re being played like fiddles, and we follow them blindly, just like sheep following a shepherd.

Don’t follow the crowd. Do your own thinking. I see too many college-age kids that don’t seem to be able to think for themselves, and it’s heart breaking. We are encouraging groupthink in our schools, when we should be encouraging individual-think. Individual thinking and personal initiative were what made this country great.

Our nation wasn’t founded on groupthink.  It was founded on independence.  We can all get along, even if we disagree once in awhile.  That’s called behaving like adults!  (Photo from blog.acton.org)

Our nation wasn’t founded on groupthink. It was founded on independence. We can all get along, even if we disagree once in awhile. That’s called behaving like adults! (Photo from blog.acton.org)

Our forefathers didn’t sit and follow the edicts of the “ruling class” blindly. They stepped up and did something about the unfairness in society. We hear so much about how things “aren’t fair” today. Why are we doing the same? Why are we following so blindly? I’d love to see this country put the “Independence” back in Independence Day.