81R7192 BPG-D
By: Chavez H.C.R. No. 166
CONCURRENT RESOLUTION
WHEREAS, Since 1960, the relationship between the United
States and Cuba has been one of tension and conflict, most notably
marked by the longest-standing trade embargo in modern history; but
with the collapse of the Soviet Union and the recent resignation of
Fidel Castro, Cuba today is far less a threat than a potentially
significant trade partner for American businesses; and
WHEREAS, According to the United States International Trade
Commission (USITC), Cuba imports up to two-thirds of its
agricultural staples, much of it from the United States; even with
current trade restrictions, United States agriculture accounts for
24 percent of Cuba's imported rice, 65 percent of its imported
poultry, 42 percent of its imported pork, and 100 percent of its
imported soybeans; however, while Cuba is the largest single grain
market in the Caribbean, annually importing an estimated 2.5
million metric tons of corn, rice, and wheat, much of this imported
grain comes from producing countries other than the United States;
and
WHEREAS, Despite clear advantages to trading with the United
States, such as lower freight costs and better shipping schedules,
the trade embargo has forced Cuba to import many of the products it
needs from other sources; in recent years, the European Union has
supplied Cuba with virtually all of the country's wheat and
wheat-based products while Vietnam delivered the majority of Cuba's
rice, and Cuba's trade with China doubled in only one year, between
2005 and 2006; and
WHEREAS, The likely outcome of unfettered trade with Cuba is
evidenced by the dramatic increase in exports from American
agricultural producers after congress adopted the Trade Sanctions
Reform and Export Enhancement Act in 2000 to expand the list of
products eligible to be sold to the island nation; since the act
took effect in February 2001, Cuba has moved from the bottom 20th
percentile to the top 20th percentile of United States grain export
markets; and
WHEREAS, In fact, in the seven years since the changes in law
took effect, Cuba consistently has ranked among the top 10 export
markets for United States soybean oil, dry peas, lentils, dry
beans, powdered milk, and poultry meat; moreover, between 2004 and
2006, United States agricultural exports to Cuba averaged more than
$350 million, and the USITC estimates that American agricultural
sales to Cuba would double if the embargo were lifted; and
WHEREAS, Even under the current rules, the Lone Star State
already has factored significantly in the increased trade between
the United States and Cuba with more than $90 million in
agricultural goods shipping from Texas and through Texas ports in
2007; clearly, the State of Texas would profit greatly from
unrestricted trade with Cuba; and
WHEREAS, Agriculture is the second-largest resource-based
industry in Texas, employing one of every seven working Texans, and
the food, fiber, and horticulture industry generates approximately
$103 billion for the state's economy; Texas also ranks second in the
nation for market value of agricultural products sold, according to
the 2007 United States Department of Agriculture Census of
Agriculture; and
WHEREAS, Indeed, before the trade embargo took effect, Texas
was the lead exporter of rice to Cuba; seeking to renew that
economic partnership, Texas Agriculture Commissioner Todd Staples
recently led a 24-member delegation of ranchers, farmers, port
officials, and entrepreneurs to Cuba to discuss contracts with
Texas producers; and
WHEREAS, While the trade embargo may have once been a
political and security necessity, it now serves only to drive Cuba
to trade with competitors in countries that have no such
restrictions and hinder American businesses from gaining access to
a lucrative market; now, therefore, be it
RESOLVED, That the 81st Legislature of the State of Texas
hereby respectfully urge the Congress of the United States to
prioritize diplomatic relations with Cuba leading to an end of the
embargo and normalized trade relations; and, be it further
RESOLVED, That the Texas secretary of state forward official
copies of this resolution to the president of the United States, to
the speaker of the house of representatives and the president of the
senate of the United States Congress, and to all the members of the
Texas delegation to the congress with the request that this
resolution be officially entered in the Congressional Record as a
memorial to the Congress of the United States of America.