Agri-food market in Cuba

Cuba is Canada’s main trading partner in the Caribbean. In 2024, bilateral trade of goods between both countries was CAD 910 million, with Canada exporting CAD 278 million and importing CAD 632 million. Despite Cuba’s ongoing economic crisis and cash constraints, exports from Canada averaged $282 million per year from 2020 to 2024. Canada is one of Cuba’s main agri-food suppliers, accounting for 4% of Cuba’s total food imports in 2024. In 2025, Canadian exports of agricultural products reached CAD 135 million, accounting for 49% of total Canadian merchandise exports to Cuba. Canada is Cuba’s top wheat supplier, with CAD 71 million in sales controlling 53% of the Cuban market. Canada also accounts for 32% of Cuban market for peas, with exports for CAD $23 million. 

State-run importers depending on the government’s budget

Sales to state companies depend on Cuban government’s funding. This has tightened significantly in the last five years due to much lower revenue from exports of goods and services.

State-run companies in sectors with relative autonomy

Tourism is one of the few sectors where the Cuban government allows companies to use some of their own hard currency revenues to pay for the imports they need to operate.

At the same time, the government is accelerating a partial dollarization of the economy. This shift may improve the credit risk profile of state-run companies in sectors such as wholesaling and retailing, which are largely dominated by two state-owned store chains.

Some foreign companies allowed to carry out imports and wholesaling

In some cases, foreign companies have found business models where payment takes place abroad (such as online sales platforms), and some have been allowed by the Cuban Government to carry out imports and local wholesaling. A few foreign companies, in association with Cuban state-run companies, have set up warehouses under customs deposit regime. This allows them to have inventories on the island and collect payments as they sell. There are business models where a foreign partner’s control over assets allows them to collect revenue directly from the business’ proceeds.  Sales to these categories of businesses have a lower risk if the appropriate banking instruments are used.

Private sector importers and wholesalers

Since 2021, several private sector businesses have been operating as importers and wholesalers of a wide scope of goods. The private sector has now become the most dynamic in the Cuban economy. By the end of 2024, 9,236 small and middle-sized companies (MIPYMEs) and 5,132 cooperatives were operational, compared to 2,692 state-run companies. In 2025, the private sector imported goods for more than USD 2 billion, accounting for 25% of Cuba’s total purchases abroad. Most of these imports were food and beverages.

The emergence of Cuba’s private sector opened new business opportunities but also brought new challenges and risks. Private companies have greater autonomy and flexibility for their decisions about products and suppliers. However, their imports are usually smaller than those from state-owned companies and much less concentrated, forcing exporters to identify and work with a larger number of counterparts.

Payment procedures are also different. Private businesses are usually more solvent than state companies. They usually pay from bank accounts abroad, often partially or fully advanced transfers. However, the payments often come from financial intermediaries like expatriated relatives and friends, creating transparency and compliance challenges.  By contrast, state companies mostly operate through letters of credit. This is more secure, although they usually request long-term financing ranging from one to two years.

The private sector cannot carry out imports directly. Their imports need to go through state-run specialized foreign trade companies that currently operate mostly as customs agents. While there are over 2,500 state-run companies in Cuba, only around 240 of them are allowed to carry out foreign trade transactions, and only around 70  can intermediate in imports purchased by the private sector.

Credit and credit insurance

There are opportunities to secure credit lines from the National Bank of Canada backed by Export Development Canada (EDC) for Cuba’s .

Learn more: www.edc.ca

Strict import controls and approval processes are required for some products, especially “raw products” such as:

• meats
• cereals
• pulses, seafood, vegetables fruits

All processed foods must be registered with the Departamento de Higiene de los Alimentos of the Instituto Nacional de Higiene, Epidemiología y Microbiología (INHEM). The sanitary and/or registration processes must be handled by a local authorized importer. 

While Cuba is not part of any major free trade agreement, companies from several countries activelymany international companies compete in its food market. This includes, but is not limited to, companies from:

• the U.S.
• Brazil
• Argentina
• Spain
• Vietnam
• Thailand
• France
• Mexico
• New Zealand
• Russia
• Belarus
• Türkiye

For more information on the Cuban agri-food market, contact havantd@international.gc.ca.