Pakistanis angry over detentions in Times Sq. case Monday, May 24, 2010
ISLAMABAD – Relatives of three men detained by Pakistan for alleged links to the suspect in the attempted Times Square bombing say the men are innocent.
They
AFP - Thursday, August 6TAIPEI (AFP) - - Taiwan's Beijing-friendly government on Wednesday denied boycotting an Australian film festival amid a row over the e
BERLIN (Reuters) - Chancellor Angela Merkel suffered a double blow on Thursday as a senior party ally in east German
Minister seeks closure of anti-Berlusconi websites Wednesday, December 16, 2009
ROME (AFP) - – The Italian government moved Tuesday to close down Internet sites encouraging further violence against Prime Minister Silvio Berlusconi, who
By ELAINE KURTENBACH,AP Business Writer AP - Wednesday, March 18SHANGHAI - Asia's stock market rally seemed to be running out of steam Wednesday, despite an
Edition:
U.S.
Africa
Arabic
Argentina
Brazil
Canada
China
France
Germany
India
Italy
Japan
Latin America
Mexico
Russia
Spain
United Kingdom
Home
Business
Business Home
Economy
Technology
Media
Small Business
Legal
Deals
Earnings
Social Pulse
Business Video
The Freeland File
Aerospace & Defense
Markets
Markets Home
U.S. Markets
European Markets
Asian Markets
Global Market Data
Indices
M&A
Stocks
Bonds
Currencies
Commodities
Futures
Funds
peHUB
World
World Home
U.S.
Brazil
China
Euro Zone
Japan
Mexico
Russia
India Insight
World Video
Reuters Investigates
Decoder
Politics
Politics Home
Election 2012
Campaign Polling
Tales from the Trail
Political Punchlines
Supreme Court
Politics Video
Tech
Technology Home
MediaFile
Science
Tech Video
Tech Tonic
Social Pulse
Opinion
Opinion Home
Chrystia Freeland
John Lloyd
Felix Salmon
Jack Shafer
David Rohde
Bernd Debusmann
Nader Mousavizadeh
Lucy P. Marcus
David Cay Johnston
Bethany McLean
Anatole Kaletsky
Edward Hadas
Hugo Dixon
Ian Bremmer
Lawrence Summers
Susan Glasser
The Great Debate
Steven Brill
Jack & Suzy Welch
Frederick Kempe
Christopher Papagianis
Mark Leonard
Breakingviews
Equities
Credit
Private Equity
M&A
Macro & Markets
Politics
Breakingviews Video
Money
Money Home
Tax Break
Lipper Awards 2012
Global Investing
MuniLand
Unstructured Finance
Linda Stern
Mark Miller
John Wasik
James Saft
Analyst Research
Alerts
Watchlist
Portfolio
Stock Screener
Fund Screener
Personal Finance Video
Money Clip
Investing 201
Life
Health
Sports
Olympics
Arts
Faithworld
Business Traveler
Entertainment
Oddly Enough
Lifestyle Video
Pictures
Pictures Home
Reuters Photographers
Full Focus
Video
Reuters TV
Reuters News
Article
Comments (0)
Full Focus
Editor's choice
A selection of our best photos from the past 24 hours. See more
Images of June
Follow Reuters
Facebook
Twitter
RSS
YouTube
Read
Actor Fred Willard arrested for lewd conduct in LA
3:32pm EDT
Agriculture Secretary tells White House drought getting worse
18 Jul 2012
Consumer agency fines Capital One for card marketing
18 Jul 2012
Battles in Damascus, rebels claim Syria borders
|
5:05pm EDT
Morgan Stanley plans further staff cuts on weak outlook
2:06pm EDT
Discussed
127
Obama allies tell Romney to ”quit whining” about Bain attacks
118
Syrian battles rage in capital, Russia pressed
86
World outrage at Syria ”massacre”, but no action
Watched
Swimming robot limbers up to make a splash
Wed, Jul 18 2012
London theatres fear Olympics impact
6:22am EDT
Nokia posts steep Q2 loss
10:51am EDT
Pictures
Reuters Photojournalism
Our day's top images, in-depth photo essays and offbeat slices of life. See the best of Reuters photography. See more | Photo caption
Bulgaria bus bombing
Several people were killed and more than 20 injured in an explosion on a bus carrying Israeli tourists in Bulgaria. Slideshow
Best of Tour de France
Highlights from the 99th Tour de France. Slideshow
Steep hike in customs fees leaves many Cubans fuming
Tweet
Share this
Email
Print
Related News
REFILE-Cuba gets first maritime shipment from Miami in 50 years
Fri, Jul 13 2012
In Cuba, an opera singer builds an empire
Wed, Jul 11 2012
Analysis & Opinion
Learn the compliance lessons from an epic fail in correspondent banking and trade finance
Home sweet (furtive) home
Related Topics
World »
Cuba »
By Marc Frank
HAVANA |
Thu Jul 19, 2012 4:43pm EDT
HAVANA (Reuters) - A sharp increase in customs duties has angered many Cubans and cast a shadow over market-oriented reforms on the communist-ruled island advocated by President Raul Castro.
The move, which raises fees many times over in some cases, is expected to ratchet up prices and decrease the availability of imported merchandise. It also threaten to bankrupt some of the tens of thousands of mom-and-pop businesses that have sprung up in recent years.
"After all the good things the Revolution has accomplished, it is a shame that they are now ruining the country and making people's lives miserable," said Carmen, a nurse who boosts her salary of 500 pesos per month by selling linens and towels from Ecuador and Miami.
Maria, who uses her Spanish passport to travel to the United States several times a year to buy goods for resale at her home in Santiago de Cuba, said the measure would make her family's life much more difficult.
"This always happens. Every time there is an opening for any kind of business they look for a way to close it," she said in a telephone interview.
Since taking over for his ailing brother Fidel in 2008, Raul Castro has pushed for the "modernization" of the state-monopolized economy, promoted small business and farming and lifted some onerous restrictions on daily life in the Caribbean nation.
The customs regime beginning in August appears headed in the opposite direction, protecting state-run "dollar stores" from a growing flow of merchandise imported informally by small businesses and residents who hawk clothing and other items door to door.
Decrees establishing the duties were quietly published in the Official Gazette this month without explanation. The official media remained largely mum on the new duties until this week.
SHORT-SIGHTED
Economist Juan Triana, during his weekly Thursday spot on Cuba's Radio Taino, termed the measure short-sighted.
"For a few months customs revenues may increase, but in the long-term I think they will decrease," he said.
Triana said the new duties would drastically reduce the availability of goods and increase prices for a population that is already hard-pressed to make ends meet.
The new duties not only increase fees but also stipulate Cubans traveling abroad more than once a year will have to pay them in a local dollar equivalent called the Convertible Peso (CUC), worth 24 times the pesos they earn from the state.
"If you have to pay customs in CUCs you have to sell at a gold standard to make a profit. You are going to see even higher prices now," said Carmen Perez, a woman in her 40s who sells odds and ends like batteries and minor plumbing fixtures, along with clothing, from her front door in a Havana neighborhood.
"This is going to affect us a lot because we are going to have to increase prices, and our clients aren't rich, they are workers," said Joel Hernandez, who sells clothing and other merchandise from his front yard near a state-run shopping center in Havana's Vedado district.
One measure that takes effect next month slaps a 100-percent to 200-percent duty on all new electronic and other big-ticket items valued at more than $50, with the exception of medicines, regardless of whether they are brought in by Cubans, foreign residents or tourists.
Another steep duty applies to "miscellaneous" goods shipped in through airports, ports and the mail by Cubans living at home or abroad, for example clothing, food, personal hygiene products, makeup and bedding.
A $4.50-per-pound duty goes into effect in September for all shipments weighing more than about seven pounds (3 kg), compared with the current equivalent of $0.25 per pound charged Cubans and the $2 that non-resident Cubans and foreigners pay.
The measure also applies to excess baggage at the airport.
MIAMI CONNECTION
Cubans, trapped in a state-run system that pays them in pesos and charges for imported goods in CUCs, have for years coordinated with family and friends abroad to bring in relatively small amounts of merchandise for sale on the informal market.
A minimum 240-percent markup at the "dollar stores," a lack of diversity, poor quality and peso-priced customs fees drive the "non-state" import trade and a vast network of mainly women who sell clothing and other merchandise door to door.
"If people spontaneously develop a more efficient and diverse import system, the answer is obviously for the state to do a better job and compete, not shut it down," a local economist said, asking that his name not be used.
"They are not taking one step backward. They are taking many steps backward. This is the sort of old thinking the government says it wants to change," he said.
U.S. President Barack Obama's lifting of all restrictions on Cuban-Americans traveling home in 2009, and on what they can bring or send to relatives, has combined with Castro's policies to greatly increase the flow of goods from Miami over the last few years.
"This is not a positive signal," Arturo Lopez-Levy, a Cuba expert at the University of Denver, said. "It comes at a moment when what's needed is dialogue and making Cuban-Americans comfortable with participating in the island's economy."
(Additional reporting By Rosa Tanya Valdes; Editing by Tom Brown and Xavier Briand)
World
Cuba
Related Quotes and News
Company
Price
Related News
Tweet this
Link this
Share this
Digg this
Email
Reprints
We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
Comments (0)
Be the first to comment on reuters.com.
Add yours using the box above.
Edition:
U.S.
Africa
Arabic
Argentina
Brazil
Canada
China
France
Germany
India
Italy
Japan
Latin America
Mexico
Russia
Spain
United Kingdom
Back to top
Reuters.com
Business
Markets
World
Politics
Technology
Opinion
Money
Pictures
Videos
Site Index
Legal
Bankruptcy Law
California Legal
New York Legal
Securities Law
Support & Contact
Support
Corrections
Connect with Reuters
Twitter
Facebook
LinkedIn
RSS
Podcast
Newsletters
Mobile
About
Privacy Policy
Terms of Use
AdChoices
Copyright
Our Flagship financial information platform incorporating Reuters Insider
An ultra-low latency infrastructure for electronic trading and data distribution
A connected approach to governance, risk and compliance
Our next generation legal research platform
Our global tax workstation
Thomsonreuters.com
About Thomson Reuters
Investor Relations
Careers
Contact Us
Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests.
NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.