Cuba Agricultural Exports Act
This bill amends the Trade Sanctions Reform and Export Enhancement Act of 2000 to exempt from prohibitions against U.S. assistance to Cuba any exports under the market access program, the export credit guarantee program, and the foreign market development cooperator program, including any federal commodity promotion program obligations or expenditures of funds.
This exemption shall not apply if the U.S. assistance recipient would be an entity controlled by the Cuban government, including the armed forces, the Ministry of the Interior, or any subdivision of either governmental entity.
A person subject to U.S. jurisdiction may invest in the development of an agricultural business in Cuba if the Department of State and the Department of Agriculture jointly determine that the agricultural business:
Certain language limiting financing of agricultural sales to Cuba is repealed.
[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3687 Introduced in House (IH)]
<DOC>
114th CONGRESS
1st Session
H. R. 3687
To modify the prohibition on United States assistance and financing for
certain exports to Cuba under the Trade Sanctions Reform and Export
Enhancement Act of 2000, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
October 6, 2015
Mr. Crawford (for himself, Mr. Conaway, and Mr. Poe of Texas)
introduced the following bill; which was referred to the Committee on
Foreign Affairs, and in addition to the Committees on Financial
Services and Agriculture, for a period to be subsequently determined by
the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To modify the prohibition on United States assistance and financing for
certain exports to Cuba under the Trade Sanctions Reform and Export
Enhancement Act of 2000, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Cuba Agricultural Exports Act''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) The United States has a long history of providing safe
and reliable exports. Close proximity to Cuba further lends
itself to low transportation costs for United States goods
exported to Cuba. The United States is geographically poised to
be a significant trading partner in agricultural commodities.
United States and Cuban borders are less than 100 miles apart,
meaning lower shipping costs and shorter transit times compared
to our competitors.
(2) Cuba imports approximately 80 percent of its food, with
global agricultural exports to Cuba doubling over the past
decade to $1.9 billion.
(3) In 2005, the United States Department of the Treasury
published a final rule narrowing the definition of ``cash in
advance'' for trading with Cuba, requiring that cash payments
must be made before United States products leave United States
ports, rather than the more customary payment upon delivery.
United States firms are precluded from offering credit to
ALIMPORT, a state-owned and state-controlled entity that makes
all decisions regarding United States imports to the Cuban
market, resulting in declining United States agricultural
exports to Cuba. Notably, rice exports fell from a value of $64
million in 2004 to essentially $0 in 2009 and subsequent years.
Recent action by the Administration reverses that change to the
definition of cash in advance, but United States agricultural
exporters are still not permitted to extend credit to Cuban
buyers, a key disadvantage relative to other exporting nations.
(4) Despite these restrictions, the United States has been
the largest exporter of agricultural goods to Cuba over the
last decade. However, the United States slipped to being the
second leading exporter of agricultural goods to Cuba in 2013
and the third leading exporter of agricultural goods to Cuba in
2014.
(5) While trade opportunities exist, Cuba remains an
undemocratic autocracy that oppresses its own people and
restricts freedom.
(6) In addition, there is no opportunity for United States
agricultural businesses to trade directly with the Cuban people
and there is no Cuban market. At present, there is just one
opportunity for United States businesses to trade with Cuba and
that is through ALIMPORT, the state-owned and state-controlled
entity described in paragraph (3).
(7) With these cautionary factors in mind, it is important
to provide United States farmers and ranchers additional
opportunities to benefit from trade with Cuba.
SEC. 3. MODIFICATION OF PROHIBITION ON UNITED STATES ASSISTANCE AND
FINANCING FOR CERTAIN EXPORTS TO CUBA UNDER THE TRADE
SANCTIONS REFORM AND EXPORT ENHANCEMENT ACT OF 2000.
(a) Assistance for Exports to Cuba.--Section 908 of the Trade
Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7207) is
amended--
(1) in the section heading, by striking ``and financing'';
(2) by striking subsection (b);
(3) in subsection (a)--
(A) by redesignating paragraphs (2) and (3) as
subsections (b) and (c), respectively, and by moving
such subsections, as so redesignated, 2 ems to the
left; and
(B) by adding at the end of subsection (a) the
following:
``(2) Exception for certain programs.--
``(A) In general.--Subject to subparagraph (B),
paragraph (1) shall not apply with respect to exports
to Cuba under section 202 of the Agricultural Trade Act
of 1978 (7 U.S.C. 5622), section 203 of the
Agricultural Trade Act of 1978 (7 U.S.C. 5623), or
section 702 of the Agricultural Trade Act of 1978 (7
U.S.C. 5722), including any obligation or expenditure
of funds by Federal commodity promotion programs
established in accordance with a commodity promotion
law, as defined by section 501(a) of the Federal
Agriculture Improvement and Reform Act of 1996 (7
U.S.C. 7401(a)).
``(B) Restriction on certain recipients.--The
exception under subparagraph (A) shall not apply if the
recipient of the United States assistance would be an
entity controlled by the Government of Cuba, including
the Revolutionary Armed Forces of Cuba, the Ministry of
the Interior of Cuba, or any subdivision of either
governmental entity.'';
(4) in subsection (b), as so redesignated, by striking
``paragraph (1)'' and inserting ``subsection (a)''; and
(5) in subsection (c), as so redesignated, by striking
``paragraph (1)'' and inserting ``subsection (a)(1)''.
(b) Financing of Sales of Agricultural Commodities to Cuba.--
(1) In general.--Notwithstanding any other provision of law
(other than section 908 of the Trade Sanctions Reform and
Export Enhancement Act of 2000 (22 U.S.C. 7207), as amended by
subsection (a)), a person subject to the jurisdiction of the
United States may provide payment or financing terms for sales
of agricultural commodities to Cuba or an individual or entity
in Cuba.
(2) Definitions.--In this section:
(A) Agricultural commodity.--The term
``agricultural commodity'' has the meaning given the
term in section 102 of the Agricultural Trade Act of
1978 (7 U.S.C. 5602).
(B) Financing.--The term ``financing'' includes any
loan or extension of credit.
(c) Effective Date.--The amendments made by this section take
effect on the date of the enactment of this Act and apply with respect
to exports to Cuba on or after such date of enactment.
SEC. 4. AUTHORITY OF PERSONS SUBJECT TO THE JURISDICTION OF THE UNITED
STATES TO INVEST WITH RESPECT TO CERTAIN AGRICULTURAL
BUSINESS IN CUBA.
(a) In General.--Notwithstanding any other provision of law, a
person subject to the jurisdiction of the United States may make an
investment with respect to the development of an agricultural business
in Cuba if the Secretary of State and Secretary of Agriculture jointly
determine that--
(1) the agricultural business is not controlled by the
Government of Cuba, including the Revolutionary Armed Forces of
Cuba, the Ministry of the Interior of Cuba, or any subdivision
of either governmental entity; and
(2) the agricultural business does not traffic in property
of persons subject to the jurisdiction of the United States
which was confiscated by the Cuban Government on or after
January 1, 1959.
(b) Definitions.--In this section:
(1) Agricultural business.--The term ``agricultural
business'' means any entity involved in the production,
manufacture, or distribution of agricultural products (as such
term is defined in section 207 of the Agricultural Marketing
Act of 1946 (7 U.S.C. 1626)).
(2) Confiscated, cuban government, property, and traffic.--
The terms ``confiscated'', ``Cuban Government'', ``property'',
and ``traffic'' have the meaning given such terms in section 4
of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act
of 1996 (22 U.S.C. 6023).
(3) Investment.--The term ``investment'', with respect to
the development of an agricultural business in Cuba, means--
(A) entry into a contract involving the purchase of
a share of ownership, including an equity interest, in
the development of the agricultural business;
(B) entry into a contract providing for
participation in royalties, earnings, or profits in the
development of the agricultural business; or
(C) entry into, or performance or financing of, a
contract to sell goods, services, or technology
relating to the agricultural business.
<all>
Introduced in House
Introduced in House
Referred to the Committee on Foreign Affairs, and in addition to the Committees on Financial Services, and Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Foreign Affairs, and in addition to the Committees on Financial Services, and Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Foreign Affairs, and in addition to the Committees on Financial Services, and Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Foreign Affairs, and in addition to the Committees on Financial Services, and Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
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