Specifically, the USDA forecasts that exports will total $56 billion in 2005, down from the record $62.3 billion set in fiscal 2004, which ended September 30.
The government blamed the lower export forecast on record crop production, which pushed down prices on grains, oilseeds, and cotton, as well as increased foreign competition.
The U.S. has for years relied on global grain sales to sustain exports while offsetting its huge volume of imports, especially manufactured goods.
In the meantime, the Trade Sanctions and Reform Export Enhancement Act of 2000 allows U.S. companies to export agricultural products and food to Cuba on a cash-only basis, and business is up. However, the inadequacy of Cuba's seaports is now more evident to shippers.
Havana is a fairly modern port, but it caters mostly to tourists. Cargo is increasingly destined for the seaports of Mariel and Santiago de Cuba.
In fact, Mariel, located 35 miles west of Havana, is emerging as the port of choice for cargo. But, the port will have to be dredged in order to meet the requirements for very large vessels.


More




