PanamaTimes

Tuesday, Jul 01, 2025

Cuba's Sugar Industry on the Brink of Collapse

Cuba's sugar industry, once the core of its economy, is nearing collapse due to inflation, shortages, and mismanagement. Production has dropped drastically, and workers like Miguel Guzmán struggle with poor wages as Cuba now imports sugar. The shift to tourism and recent fuel price hikes highlight broader economic challenges, while issues of corruption further strain the nation's economic stability.
For hundreds of years, sugar was the mainstay of Cuba's economy, forming the backbone of its export and rum industries.

Families like the Guzmáns, working in the Yumurí Sugar Co-operative near Cienfuegos, have dedicated their lives to sugarcane farming.

Miguel Guzmán, a seasoned cutter, now sees the industry broken by spiraling inflation, shortages, and US economic embargoes.

Production plummeted to 350,000 tonnes last season, a stark contrast to 1.3 million tonnes in 2019.

Despite hard work, workers like Guzmán receive inadequate wages, and Cuba now imports sugar to meet domestic demand.

Chronic underinvestment and the shift towards tourism have compounded these issues.

Only two dozen sugar mills, including Ciudad Caracas, are operational, with others at a standstill.

Entrepreneur Martin Nizarane, who imports sugar for his yogurt and ice cream business, highlights a shift towards private enterprise.

This collapse not only affects sugar and rum exports but reflects broader economic woes, exacerbated by recent fuel price hikes and allegations of governmental corruption.

Economist Juan Triana notes that the once-central sugar industry is losing its role, challenging Cuba's identity and economic stability.
Newsletter

Related Articles

PanamaTimes
0:00
0:00
Close
OpenAI Secures Multimillion-Dollar AI Contracts with Pentagon, India, and Grab
Brazilian Congress Rejects Lula's Proposed Tax Increase on Financial Transactions
Landslide in Bello, Colombia, Results in Multiple Casualties
Papa Johns pizza surge near the Pentagon tipped off social media before Trump's decisive Iran strike
Juncker Criticizes EU Inaction on Trump Tariffs
Minnesota Lawmaker Melissa Hortman and Husband Killed in Targeted Attack; Senator John Hoffman and Wife Injured
Wreck of $17 Billion San José Galleon Identified Off Colombia After 300 Years
Sole Survivor of Air India Crash Recounts Escape
Coinbase CEO Warns Bitcoin Could Supplant US Dollar Amid Mounting National Debt
UK and EU Reach Agreement on Gibraltar's Schengen Integration
Israeli Finance Minister Imposes Banking Penalties on Palestinians
U.S. Inflation Rises to 2.4% in May Amid Trade Tensions
Trump's Policies Prompt Decline in Chinese Student Enrollment in U.S.
Global Oceans Near Record Temperatures as CO₂ Levels Climb
Trump Announces U.S.-China Trade Deal Covering Rare Earths
Smuggled U.S. Fuel Funds Mexican Cartels Amid Crackdown
Protests Erupt in Los Angeles with Symbolic Flag Burning
Trump Administration Issues New Travel Ban Targeting 12 Countries
Man Group Mandates Full-Time Office Return for Quantitative Analysts
JPMorgan Warns Analysts Against Accepting Future-Dated Job Offers
Builder.ai Faces Legal Scrutiny Amid Financial Misreporting Allegations
Japan Grapples with Rice Shortage Amid Soaring Prices
Goldman Sachs Reduces Risk Exposure Amid Market Volatility
HSBC Chairman Mark Tucker to Return to AIA as Non-Executive Chair
Israel Confirms Arming Gaza Clan to Counter Hamas Influence
Judge Blocks Trump's Ban on International Students at Harvard
Trump Proposes Travel Ban on 'Uncontrolled' Countries
Panama Port Owner Balances US-China Pressures
Trump Administration Accused of Obstructing Deportation Cases
Trump’s China Strategy Remains a Geopolitical Puzzle
Eurozone Inflation Falls Below ECB Target to 1.9%
Call for a New Chapter in Globalisation Emerges
Blackstone and Rivals Diverge on Private Equity Strategy
Mayor’s Security Officer Implicated | Shocking New Details Emerge in NYC Kidnapping Case
Bangkok Ranked World's Top City for Remote Work in 2025
Denmark Increases Retirement Age to 70, Setting a European Precedent
Netanyahu Accuses Western Leaders of 'Emboldening Hamas'
Escalating Trade Tensions and Market Reactions
OnlyFans Reportedly in Talks for $8 Billion Sale
JBS Gains Shareholder Approval for U.S. Stock Listing
Booz Allen Hamilton to Cut 2,500 Jobs Amid Federal Spending Reductions
Trump Signs Executive Orders to Accelerate Nuclear Energy Development
Harvard Temporarily Blocks Trump Administration's International Student Ban
Nippon Steel Forms Partnership with U.S. Steel, Headquarters to Remain in Pittsburgh
Trump Expands Tariff Threats to Apple and Samsung Devices
Oracle and OpenAI Plan $40 Billion Nvidia Chip Purchase for AI Data Center
Trump Threatens 50% Tariff on EU Goods, Markets React
The Daily Debate: The Fall of the Dollar — Strategic Reset or Economic Self-Destruction?
Former FBI Director James Comey Questioned by Secret Service Over Social Media Post
Mexican Influencer Valeria Márquez Killed During Livestream in Suspected Femicide
×