Don’t miss the latest developments in business and finance.

Cuba launches widespread rationing in face of crisis

Image
AP Havana
Last Updated : May 11 2019 | 11:11 AM IST

The Cuban government announced Friday that it is launching widespread rationing of chicken, eggs, rice, beans, soap and other basic products in the face of a grave economic crisis.

Commerce Minister Betsy Daz Velzquez told the state-run Cuban News Agency that various forms of rationing would be employed in order to deal with shortages of staple foods. She blamed the hardening of the U.S. trade embargo by the Trump administration.

Economists give equal or greater blame to a plunge in aid from Venezuela, where the collapse of the state-run oil company has led to a nearly two-thirds cut in shipments of subsidized fuel that Cuba used for power and to earn hard currency on the open market.

"We're calling for calm," Daz said, adding that Cubans should feel reassured that at least cooking oil would be in ample supply. "It's not a product that will be absent from the market in any way."
The latest shortages and rationing appear to mark the end of a phase of relative prosperity but conditions are nowhere close to the deprivation of what is known as Cuba's "special period."

Disclaimer: No Business Standard Journalist was involved in creation of this content

More From This Section

First Published: May 11 2019 | 11:11 AM IST

Next Story