Two Floridian ports changed plans on inking deals with the Cuban government after Florida Gov. Rick Scott said he would recommend restricting state funds for ports that work with Cuba.
Port Everglades and the Port of Palm Beach changed plans on inking deals with the Cuban government after Florida Gov. Rick Scott on Wednesday threatened to withdraw support to ports if they work with the Caribbean island nation.
The controversy erupted as two containers of charcoal from Cuba, the first commercial shipment imported from the island in 50 years, arrived at Port Everglades Tuesday aboard Crowley Maritime’s K Storm.
In response to the two ports’ plans to each sign agreements with Cuba’s National Port Administration, Gov. Scott said on Twitter Wednesday he’s “disappointed some Florida ports would enter into any agreement with Cuban dictatorship. I will recommend restricting state funds for ports that work with Cuba in my budget. We cannot condone Raul Castro’s oppressive behavior. There are serious concerns about security and human rights. We cannot condone a brutal dictatorship in Cuba.”
In response to a Port Everglades’ statement that the Crowley shipment was “historical,” Florida Lieutenant Governor Carlos Lopez-Cantera waded into the controversy, posting on Twitter, “Those imports are a product of forced labor that generates revenue for a brutal dictatorship.”
Port Everglades arranged to give officials from Cuba a tour of the port and to host a business panel presentation on Thursday to discuss trade opportunities with Cuba. In conjunction with the seminar, the port had planned to sign a memorandum of understanding (MOU) with Cuba’s National Port Administration that would allow it to exchange information. The port has similar MOUs with foreign ports and agencies like the Panama Canal Authority.
Port Everglades CEO and Port Director Steve M. Cernak said he had spoken to the governor’s office in advance of the meeting and did not think the MOU would present a problem. However, after the governor’s statements, Cuba’s National Port Administration and Port Everglades deferred the MOU, but went forward with the meeting that allowed local businesses and the Cubans to hold discussions.
The Cuban delegation also visited the Port of Palm Beach on Friday to meet with local businesses. However, the Port of Palm Beach also agreed to Gov. Scott’s request that Florida ports “stop short of signing any formal economic development MOUs.”
Port Everglades is owned by Broward County, and as a landlord port, does not do any business directly with Cuba.
Gov. Scott has been supportive of ports in Florida, and Cernak said the port is expecting $125 million in support from the state over the next five years as it deepens and widens its channels, expands a turning basin and makes improvements to terminals – including the addition of cranes to handle larger ships. The cranes will have low profile designs because the port is near the Fort Lauderdale-Hollywood International Airport.
Gov. Scott’s office did not immediately, provide information beyond the statements that he and his lieutenant governor posted on Twitter, but Cernak said his office indicated he was not seeking to interfere with the decisions of private businesses that are tenants of the port.
Crowley described the two containers of charcoal that arrived on Tuesday as an “artisanal” product that will reportedly be used in restaurant ovens to make pizzas or other dishes.
The Miami Herald reported the charcoal is made with “Cuban Marabú, an invasive woody species from Africa that is considered a nuisance on the island.”
The newspaper and the Associated Press reported that the charcoal is produced by private worker-owned cooperatives, which are legal under a trade deal that loosened a 55-year trade embargo on exports from Cuba.
Crowley Vice President of Government and Cuba Services Jay Brickman noted that while the import of charcoal from Cuba is new, Crowley has carried permitted U.S. products – agricultural commodities, including frozen poultry, medicine and medical devices – to be shipped to Cuba since 2001. Crowley has also moved equipment for major events and projects, such as sporting events and concerts.
Since 2001, he said Crowley’s liner and logistics teams have been “operating within the framework of regulations of both the U.S. and Cuban governments to transport U.S. exports to the island. Crowley was the first U.S. carrier to obtain a license from the Office of Foreign Assets Control (OFAC) of the U.S. Department of the Treasury to provide regularly scheduled common carrier services for licensed cargo from the United States to the Republic of Cuba.”
Florida Ports Council President and CEO Doug Wheeler said, “We have a long-standing policy on trade with Cuba: Florida ports are currently the main conduit for the shipping of consumer goods to nations in the Caribbean Basin, and we continuously monitor new trade opportunities. However, serious political and social challenges need to be addressed before Florida can participate in free and open trade with Cuba.”
Cruise companies are ramping up service to Cuba. A subsidiary of Carnival Cruises called Fathom began offering cruises to Cuba last year, and on Friday, a cruise ship operated by Pearl Seas Cruises returned from a trip to Cuba. Royal Caribbean plans to start cruises from Miami and Tampa to Cuba later this year, and Viking Ocean Cruises has also scheduled cruises from Miami that include stops in Cuba, Mexico and Belize.
Florida ports scuttle agreements with Cuba
