Bill Introduced to Change Cuban Payment Rule

Through legislation he has introduced in the House, representative Jerry Moran wants to improve the ability of U.S. agriculture producers to market their products to Cuba. H.R. 1737, the Agricultural Export Facilitation Act of 2009, removes barriers to present and future sales of U.S. agricultural products to Cuba under the Trade Sanctions Reform and Export Enhancement Act of 2000. He called this - an opportune time to encourage the United States to change its trade policies toward Cuba.

Moran said, - Cuba is an important market for U.S. agriculture, as well as for manufacturers and distributors of food products. But the actions of our own government have created a climate of uncertainty and have inhibited the sale of agricultural goods. Our unreliable and uncertain trade policies are sending the signal to Cuba that it is easier to purchase its products elsewhere. Moran said, - we are only hurting ourselves.

The passage of TSREEA in 2000 allowed for the export of agriculture products to Cuba for the first time in 38 years. In 2005, however, a change by the Treasury Department to the cash payment in advance rule caused payments for agriculture exports to be made before ships leave U.S. ports rather than upon delivery, making it more difficult for American farmers to sell their products to Cuba.