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Information about Crowley and Cuba

2001-03-28

(Update March 27, 2001) — The Foreign Agricultural Service (FAS) of the United States Department of Agriculture in Washington, D.C., has published a 36-page list of agricultural products eligible for export to the Republic of Cuba under Section 902(1) of the Trade Sanctions Reform and Export Enhancement Act of 2000 (Public Law 106-387) and federal regulations promulgated by the U.S. Departments of Commerce and Treasury. This list, published March 14, 2001, corresponds to the term agricultural commodity in section 102 of the Agricultural Trade Act of 1978 (7 U.S.C. 5602). It is sorted according to the Harmonized Tariff Schedule of the United States (HTS) at the six-digit level, with accompanying long-form description. To view the list, please visit: http://www.fas.usda.gov/itp/sanctions.html

(Update March 26, 2001) Crowley Liner Services has begun to accept bookings for LICENSED cargo moving from the United States to Cuba. Bookings may be made through www.crowley.com/cubaexpress

(Update March 9, 2001) Crowley Liner Services has obtained authorization (a license) from the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury in Washington, D.C., to provide regularly scheduled common carrier services for licensed cargo from the United States to the Republic of Cuba.

This service is made possible by the Trade Sanctions Reform and Export Enhancement Act of 2000 signed into law on October 28, 2000 by William J. Clinton, President of the United States of America. The act did not nullify Section 6 (b) of the Cuban Democracy Act (CDA) signed into law in 1992 by George H. W. Bush, President of the United States of America. That 1992 act authorized the OFAC to license vessels (with no distinction between United States-flagged vessels or non-United States-flagged vessels) to operate between the United States and the Republic of Cuba. The CDA states that a vessel which enters a port or place in Cuba to engage in the trade of goods or services may not, within 180 days after departure from such port or place in Cuba, load or unload any freight at any place in the United States, except pursuant to a license by the Secretary of the Treasury.

The Trade Sanctions Reform and Export Enhancement Act of 2000, authorizes OFAC to license the transport of agricultural commodities, medicine, medical devices or other products directly from the United States to the Republic of Cuba. Since 1992, the OFAC has authorized licenses for direct shipping from the United States to the Republic of Cuba.

Crowleys license from the OFAC permits certain Crowley executives to travel to Cuba to make whatever arrangements are necessary to ship licensed cargo to Cuba. This includes authorization to enter into contracts with and pay fees to Cuban port authorities, agents, stevedores and similar entities provided such contracts are required in order for the Crowley to provide authorized services.

Presently, Crowley plans to operate regularly-scheduled common carrier services that include the Republic of Cuba in existing multi-destination routings, or if demand requires, direct common carrier services between the United States and the Republic of Cuba.

Crowley would like to begin such service on or about April 18, 2001. The actual start date is contingent upon many things, including the ability of shippers to acquire their necessary licenses and finding buyers for their goods in Cuba. In addition, Crowley must ensure that all other requirements are met and that all parties involved in the service, including U.S. Customs, understand and interpret the law, rules and other regulations the same.

Additional information may be found by clicking the links below:

1. From the Dept of Commerce and BXA:

Licensing policy regarding medical exports to Cuba

The export of food and agricultural products to Cuba.

The “Do’s and Don’ts” of Exporting Food for Sale to Cuba