FERNANDO RAVSBERG*

Dilma Rousseff and Raul Castro opened Cuba's biggest project, possible thanks to an 800 million dollar loan from Brazil.
Dilma Rousseff and Raul Castro opened Cuba’s biggest project, possible thanks to an 800 million dollar loan from Brazil.

HAVANA TIMES — The presidents of Cuba and Brazil, Dilma Rousseff and Raul Castro, opened the container terminal at the Port of Mariel on Monday, the most ambitious and complex engineering work undertaken here in the last 50 years. Other leaders from the region were on hand to witness the ribbon cutting.

The project consists in building a port capable of receiving the Super-Post-Panama ships. The  container terminal is designed to meet the needs of Cuba and provide services to other countries of the area .

Alongside the port a gigantic Special Economic Development Zone opens for business, hoping to receive foreign investments, which will operate governed by special laws and different ways of contracting labor.

The inauguration took place in the midst of the Second Summit Meeting of the Community of Latin American and Caribbean States (CELAC) , which takes place in Havana on Tuesday and Wednesday with the presence of all the nations of the continent except the US and Canada.

Cuba will invest over US $ 1 billion

The project gives Cuba the first port capable of receiving vessels of 200,000 tons. Its four cranes can move 822,000 20-foot containers each year, double the current capacity of the port of Havana.

The terminal will be able to handle about 800 thousand containers per year, allowing Cuba to provide services to other countries in the area.
The terminal will be able to handle about 800 thousand containers per year, allowing Cuba to provide services to other countries in the area.

To make it all possible, a channel was dredged at Mariel with a depth of 17.9 meters, enough for the larger vessels to enter. Such a work was impossible at the entrance of Havana Bay because it is crossed by a tunnel.

The project administrators say that Mariel is the most modern terminal in Latin America and the Brazilian president explained that the project was carried out with credits from her country, some $802 million dollars, that will be expanded by 290 million more in the next 24 months.

Virtually all of the workers (99%) that will be employed at the port will be Cubans, many of whom were trained in Argentina and China. Charles Baker, the terminal’s general director, told reporters that to expedite the process the operations are digitalized.

The controls are very strict, the facility has a plant to measure radioactivity and the incoming and outgoing containers are recorded with video cameras to register which vehicle transports the container and even who is the driver of the truck.

The administration is in the hands of a Singapore company that runs terminals in 15 countries, moves 30 million containers a year, and employs 29,000 workers. It is one of the best operators in the world, said Raul Castro.

A Cuban Hong Kong

The Mariel Special Development Zone is located 50 km west of the capital. It covers an initial area of 45 sq. kilometers but with plans to continue growing to 400 km2. The foreign investors will receive advantages similar to that of a free trade zone.

The Argentine Marcelo Patat, who heads the operations, said it is the most modern container terminal in Latin America.
The Argentine Marcelo Patat, who heads the operations, said it is the most modern container terminal in Latin America.

It appears what Cuban authorities seek at Mariel is a space free of the legal limitations that exist in the rest of the country after 50 years of socialist legislation, which limits business activity and economic growth.

There are already many Brazilian companies interested in investing, especially in agribusiness and in pharmaceuticals, said Hipolito Rocha, director of the agency that promotes trade between Brazil and Cuba.

Brazil is increasing its presence in Cuba; the Mariel project alone has included the participation of more than 400 Brazilian companies. Trade between the two countries now reaches US $500 million a year and investments are growing in sectors such as agriculture, with the technical consulting and sale of Brazilian equipment.

Meanwhile, Havana sells the Latin American giant medicines and contracts out health services. There are already several thousand Cuban doctors working in Brazil and it was officially announced that their number will grow this year to 11,000. Cuba receives US $4,200 per month for each physician.
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(*) An HT translation of the original report published by BBC Mundo.


15 thoughts on “Cuba Opens Most Modern Port in the Region

  • Savannah port can only accept ships with a draft of 13,5 meters and a triple E vessel has a draft of 14.5 meters. Mariel can accept vessels up to 17.9 meters.

  • There are very few ports even in the US never mind South America that can handle the new triple E container vessels as they draw 14,5 meters. They are even too large to pass through the expanded Panama canal and barely pass through the Suez canal. They can carry 18000 20 ft containers, are much more efficient and can do 23 knots. Nicaragua has a big lake in the middle of it already and rivers from it that are navigable now. I think the only portion that needs building is from the Pacific to the Lake. The rest can be dredged were necessary.

  • The Chinese said 6 years, but why quibble? It is proposed to be 10 times longer than the Panama Canal and over terrain much more varied than the canal in Panama. Civil engineers who bid on the project say 6 years is impossible. But if you are in construction in year six and you are only halfway, so what? It is not like they can fire you at that point. What’s interesting is that Ortega says the small percentage of profits from the canal’s operation will make Nicaragua “financially independent”. From whom, you ask? From Venezuela. How’s that for solidarity and unity and all that bs. Ortega just got permission from his legislature to run for President forever so you see where this is going? Cuba 2.0.

  • Both China and the EU exceeded the US trade volume several years ago. So what? It stands to reason the a country like China of more than a billion people would engage in significant import/export trade. I understand the “dig” you were trying to inflict with the comment however. The “dig” is to divide that trade number by the total population to compute trade per person data. In this regard, the US remains the world leader. The Mariel Port is clearly dependent on the lifting of the embargo. Otherwise those large ‘container’ ships (thx by the way) would have to leave Cuba and not be able to call on US ports for 6 months. Even at #3 in total trade volume, the US market is impossible to avoid. The latest news is that the canal will not likely be finished, let alone in 5 years. Seems Ortega also has a problem with his indigenous population and their desire to preserve sacred lands, etc. http://www.bbc.co.uk/news/world-latin-america-25607757

  • Again, none of your points have any particular relevance for Mariel port and why it will be a commercial success.
    Unless & until the US lifts the embargo, owners of ships will have a major disincentive to dock their ships at Mariel, whatever canal they use.

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