Saturday, November 21, 2009 11:46 PM

LATEST NEWS:

News

Cuba cuts back on rationed products

Potatoes, peas dropped from list

AP

Saturday, November 07, 2009

HAVANA (AP) - Cuba has cut two staple foods from the monthly ration books that most islanders depend on, edging closer to a risky full elimination of the decades-old subsidies.

Potatoes and peas were dropped from the list of rationed foods this week, meaning Cubans can buy as much of the products as they want - as long as they are willing to pay as much as 20 times more than they used to.

The move comes amid efforts by Raul Castro's government to scale back Cuba's subsidy-rich, cash-poor economy. Nearly-free lunches were eliminated from some state-cafeterias in September. In October, the Communist Party's Granma newspaper published a full-page editorial saying the time had come to do away with the ration books altogether.

Authorities say their goal is to encourage more productivity and free the state from a crushing economic burden. Critics - including some on the streets of Havana - argue that the moves break with what had been a sacred covenant of the revolution Fidel Castro led in 1959; That socialism would not make people rich, but would provide all Cubans with at least the basics.

Even with the changes, the state pays for or heavily subsidises nearly everything, from education to health care, housing to transportation. But many Cubans see the ration book - or "libreta" in Spanish - as a flawed but fundamental right, and shoppers yesterday bristled at the new changes

"This is crazy. They should be adding products to the ration book, not taking away from it," said Roberto Rodriguez, a 55-year-old delivery man buying rice, sugar and coffee at an official store in Havana's Vedado neighbourhood. "If they don't produce enough, people will start to hoard products and things will get even worse."

He said he worried that Cubans with access to money sent by relatives abroad would buy up all the potatoes and peas they could, leaving ordinary people in the lurch if there are shortages.

Previously, Cubans were entitled to buy up to four pounds of potatoes and 10 ounces of peas a month, with the price set at about a penny per pound for potatoes and just under a penny per pound for peas. Both were available only in state-owned ration stores or on the black market.

Now, official buying limits are gone, but Cubans must pay five cents a pound for potatoes and 17 cents a pound for peas at the same ration shops.

That may not sound like much, but it's significant in a country where the average salary is about $20 a month.

Mass police transfers

 

New BOJ governor takes office a week early

 

Teenage girl questioned about murder of 93-y-o man

 

Shopping stimulus for 'Downtown'

 

Gov't moves to save $300m in health-care costs

 

Secrecy legislation being used to circumvent ATI

 

Stern gets back his job

 

Rhodes Scholar

 

Corporals get training

 

Popcorn horror!

 

Police send warning to event promoters

 

Man who killed wife in his sleep freed

 

Today's Cartoon

Poll

Should user fees at public health facilities be reinstated?
 
Yes
No
View Results
Results published weekly in Sunday Finance

Username:
Password: