Obstacles In Cuba For Caterpillar And John Deere Continue As Cuba Promotes Sale Of Tractors From Other Countries To Cuba Farmers

El Nuevo Herald (11 March 2021) Excerpts:  The Cuban government began selling tractors for dollars to peasants in different cities of the country. Herminio Martínez Gens, the first peasant from Villa Clara to buy a tractor in hard currency -in cash- thanked “the Revolution” for allowing him to purchase the valuable device for US$27,000.00.  The tractor, of Belarusian origin, costs between US$8,227.00 and US$21,706.00 in different markets around the world.  The Ministry of Agriculture sells the tractors in seven establishments located in some provincial capitals such as Santa Clara, Santiago de Cuba and Havana, and expects that eight new stores will be opened in the coming months, according to the official press. 

MTW will increase the delivery of tractors to Cuba 8 times (18 March 2015) 

“Minsk Tractor Plant has been reached substantial agreements on cooperation with the Cuban side, the implementation of which is planned for the near future.  A discussion of interaction vectors in the supply of "Belarus" tractors to “Island of Freedom” was held at MTW during a visit of representatives of the Cuban company “Transimport”. It will be recalled that this company is a traditional partner of our company in the Latin American State. As is reported in the Department of promotion and sales of products to foreign countries of Marketing-center, MTW exported 57 "Belarus" tractors to Cuba last year. During the meeting on the MTW, there was a talk about the ways of interaction in 2015. Representatives of the parties have agreed the terms and purchase amount of tractors by Cuban partner for this year. It should be noted that "Transimport" is a state company that provides central purchasing of agricultural machinery for the needs of public sector of the Cuban economy. Partner of MTW expressed an intention to purchase about 450 Belarusian tractors in 2015. In order to implement these plans during the negotiations that took place at our enterprise there was a discussion about mechanism and timing of deliveries using the credit resources of the Belarus Development Bank within the framework of the Decree No. 534 providing for support of exports of the domestic goods.  Source- Belarus MTW Review”

500 «Belarus» tractors will be sent to Cuba (15 June 2015) 

“During the visit to this Latin American country the management team of MTW agreed on delivery of Belarusian machinery. The contract for 13 million USD was signed. The Parties agreed to continue a close cooperation in the field of machine manufacturing. Signing of the next set of documents in the amount of 7 million USD is under preparation in the near-term prospect.  Alexander Kazakevitch, Deputy Marketing Director for Commerce in International Markets - Head of the Department of "Minsk Tractor Works":  There is an interest to the countries of Latin America and Eastern Asia, in other words to those countries where the presence of "Belarus" tractors is a single nature or negligible. Therefore our enterprise sets the task to enter new markets or secure those where our share is negligible.  We work hard to be worthy of delivery.  Our experts often visit Latin America to fulfill in full those agreements that were reached at the distance. Face-to-face contact has not been canceled.  Countries of Africa can be prospective regions for us. Egypt is traditional market for us, where we have opened the Trading House this year. We try to enter into sufficiently new markets for us: Nigeria, South Africa and Zimbabwe.  Today MTW supplies its machinery to more than 80 countries of the world. Minsk Tractor Works also has long-standing relations and annual contracts with Cuba. In this case the matter is to consolidate the market of Latin America and enhance cooperation with a number of states of the region. Among constant partners of MTW are Venezuela, Nicaragua, Peru and Chile.”  

NOTE: On 13 May 2021, the U.S.-Cuba Trade and Economic Council received the following: "The company "Veragodna" has been a reliable supplier to farms and organizations, clusters of Belarusian agricultural machinery and spare parts for five years. We invite you to consider the supply of the following equipment on FCA terms: Minsk, Republic of Belarus. 1. Tractor BELARUS 82.1 - 16800 $" The company estimated at approximately US$3,000.00 as the cost for shipping one tractor to the Republic of Cuba. LINK To Offer (English) In PDF Format. LINK To 2021 Catalog (Russian)

About Holding “MTW-HOLDING”  Minsk tractor works was founded on May 29, 1946. Today the works, which employs more than 16000 people, has turned into one of the largest manufacturers of agricultural machinery not only in CIS countries, but also worldwide. And the famous trademark “Belarus” is of great value to us — not only commercial, but also to a certain extent patriotic.  The works was approaching the producing of world famous tractors step by step. The starting engine was the first product of the works, the production of tractors started with track-type vehicles. And in 1953 the production of air-tired tractors started, which determined further specialization of the enterprise. And in 1958 Minsk Tractor Works produced its one hundred thousandth tractor.  Developing foreign markets MTW was the first among tractor manufacturers in the CIS to certify all the produced tractors for compliance with European Union standards at Silsoe institution (UK). In early May 2000 our enterprise (has- удалить) obtained an ISO-9001 certificate of conformity for tractor design and manufacture. And it means that the quality system, established at MTW, meets the requirements of international standards. It was also confirmed by the results of certification audit, performed by TUV-Thuringia (Germany). Today customers are offered more than a hundred models of tractors, in more than two hundred assembly options for all climatic and operational conditions. New models have vast unitizing opportunities with agricultural machines of different manufacturers. All the traded tractors have international certificates confirming their compliance with the European Union standards and homologation tests in the largest test centers of Western countries. OJSC “MTW” designs, manufactures and exports wheeled tractors and spare parts for them, launches their production under a license abroad, establishes and conducts service of delivered machines, provides training on operation and maintenance of produced machinery. 

Background Analysis For Caterpillar And John Deere 

Will Caterpillar And Deere Disclose Use Of Payment Terms And Financing For Exports To Cuba? (29 January 2021) 

Might Caterpillar/RIMCO Be Next Defendants In Title III Lawsuit? Cuba Distributor In Area As Crowley And Seaboard? (7 January 2021) 

John Deere Could Provide US$30 Million In Financing For U.S. Exports To Cuba (3 November 2017)