‘Normal limits on duty and tax exemptions will apply’ on Cuban cigars and rum into the US from tomorrow (Monday 17 October) for the first time in more than 50 years, according to the US White House.

 

In an historic move, DF&TR retailers ‘throughout the world’ will be able to sell Cuban cigars and rum to US citizens and all other nationalities travelling into the United States, provided customers stay within the statutory volume limits.

 

This follows US President Barack Obama’s removal of the strict $100 limit on Cuban cigars and rum entering into the United States within hand luggage.

 

OBAMA BYPASSED CONGRESS WITH EXECUTIVE POWERS…

In what is a clear and deliberate use of his ‘executive powers’ [these override those of Congress-Ed], Obama has invoked this dramatic change – along with several others – in the full knowledge that once in place, they will be very difficult for any future administration to reverse.

 

This move is also consistent with the present US Government’s series of ongoing measures aimed at ending sanctions against Cuba – an ongoing policy that has began with wide-ranging concessions to tourism and new airline route connections/visitor allocations, as reported earlier.

 

[This latest new concession follows last month’s decision by the US Department of Transportation to select eight US airlines to begin scheduled flights to Havana and beyond in Cuba, so ending 50 years of closed airways. Click here: http://www.trbusiness.com/regional-news/the-americas/us-clears-eight-airlines-to-open-up-cuban-market/109327]

 

ALL DF&TR STORES CAN SELL CUBAN RUM CIGARS TO US VISITORS

Obama’s newly sanctioned regulations will not only allow visitors to Cuba to bring back an undetermined but reasonable amount of rum and cigars for personal consumption, but it will also permit those returning to the US to buy Cuban cigars and rum at other retail outlets outside of Cuba – including duty free shops. [Online sales will not be permitted to enter the US-Ed].

 

The new regulations are part of a bigger package of commercial reforms, which are aimed at relaxing the previous tight restrictions on trade in several areas between the two countries, including the key sectors of finance, agriculture, pharmaceuticals and civil aviation security.

 

These new measures have also been negotiated following the two years that have followed the historic ice-breaking talks between President Obama and Cuban President Raul Castro. These effectively paved the way for an eventual end to the economic trade embargo that has existed between the two countries for more than 50 years.

 

OBAMA: ‘…OPENING TO CUBA IRREVERSIBLE…’

Commenting on the development, US President Barack Obama said: “Today, I approved a Presidential Policy Directive that takes another major step forward in our efforts to normalize relations with Cuba. This Directive takes a comprehensive and whole-of-government approach to promote engagement with the Cuban government and people, and make our opening to Cuba irreversible.”

 

According to the Presidential Policy Directive on ‘normalising’ trade with Cuba, the US departments of Treasury and Commerce have already implemented six packages of regulatory amendments to the Cuba sanctions programme, easing restrictions on travel, trade, and financial transactions.

 

MORE TRANSPORT LINKS AND ROUTES WILL BE APPROVED

Following these initiatives, Obama also notes that authorised airline and cruise travel to Cuba has increased by more than 75% from 2014 to 2015 [albeit from a small base. See link above for details of routes, destinations and numbers-Ed].

 

In addition, Obama says that the US Department of Transportation (DOT) will continue to develop air and surface transportation links between the US and Cuba in support of transportation providers, authorised travellers, and commerce, while providing required regulatory and safety oversight of transportation providers and systems.