Obama administration removes limits on bringing in Cuban rum, cigars

Obama administration lifts limit on Cuban goods
Posted at 9:09 PM, Oct 14, 2016
and last updated 2016-10-14 21:42:15-04

The Obama administration announced Friday it is eliminating a $100 limit on the value of Cuban rum and cigars that American travelers can bring back from the island.

The administration is also lifting limits on cargo ship travel between the U.S. and Cuba and easing U.S. and Cuban researchers' ability to conduct joint medical research. The measures are contained in a package of relatively small-scale regulatory changes meant to ease U.S. trade with Cuba.

Cuban rum and cigars will now be subject to the same duties as alcohol and tobacco from other countries, meaning most travelers will be able to bring back as many as 100 cigars and several bottles of rum.

Because high-end Cuban cigars can sell for more than $100 apiece outside Cuba, every U.S. traveler can now legally bring back many thousands of dollars of Cuban products, potentially generating hundreds of millions of dollars in new annual revenue for the Cuban state.

The previous limit restricted travelers to a combined value of $100 in rum and cigars, although enforcement of the limit notably declined after President Barack Obama declared detente with Cuba in December 2014.

"Challenges remain - and very real differences between our governments persist on issues of democracy and human rights - but I believe that engagement is the best way to address those differences and make progress on behalf of our interests and values," Obama said in a statement announcing the changes.

Rum and cigar production is entirely government-run under Cuba's centrally planned communist economy.

However, these sweeping changes are getting some mixed reactions in Miami.

Gomez, an author and expert on Cuba, shared his thoughts on new amendments to Cuba sanction regulations.

"We have diplomatic relations and that's good, but the reconciliation, I don't see it happening any time soon," Gomez said. "No matter what we do, politically they're not going to change and I think we realize that and we begin then to define the Cuban government in one pocket and the Cuban people in the other."

Politicians opposing the thawing of relations continue to come out against the President and his plans.

"After two years of President Obama's Cuba policy, the Castro regime has made out like bandits and received numerous concessions from the U.S. without lifting a finger to return the fugitives it is harboring from American justice, pay Americans for their stolen property, or allow the Cuban people to exercise their God-given freedoms," Senator Marco Rubio from Florida said in a statement. "Today's announcement reaffirms the fact that President Obama's Cuba policy puts the Castro regime's interests first, profits ahead of America's national security, and the Cuban people's rights and dignity dead last."

"This reconciliation process is gonna take years," said Andy Gomez.

More than 160,000 American travelers visited Cuba last year and that figure is expected to double this year. Hundreds of thousands of Cuban-Americans visit family on the island each year and will also be able to take advantage of the new measure, which comes a month and a half before the restart of commercial flights to Havana after more than 50 years.

The first commercial flight between the United States and Cuba landed in the central city of Santa Clara on Aug. 31 after departing from Fort Lauderdale/Hollywood International Airport.

The package of regulatory changes announced Friday also allows cargo ships to visit U.S. ports directly after docking in Cuba. They had been barred from U.S. ports for 180 days after visiting Cuba. Cuba blamed that measure for harming its ability to import and export and dampening hopes that a new military-run port in the city of Mariel could serve as a major link in the regional cargo shipping system.

The new rules also will allow for more partnerships in the world of pharmaceuticals between the two nations.

As a reminder, the embargo is still in effect and only congress can lift it. These new changes will begin on October 17 of this year.

Courtesy of our news partner at NBC Miami