Cuban trade no sure bet for Idaho goods

Cuban trade no sure bet for Idaho goods
By The Times-News editorial board

Gov. Butch Otter is taking the unconventional route in his first trade
mission as chief executive of Idaho, by setting his sights on Cuba.

For Otter to head into the lair of Presidente Fidel Castro, however, is
hardly a surprise. The only question is what's it really worth for Idaho?

In order for Idaho to begin trade ties with Cuba, Otter must first gain
clearance from the U.S. State Department. Cuba has been under a U.S.
trade and travel embargo for more than 40 years. That approval could
come as early as this week. Otter is hoping to make a trade trip to the
nation in the next month.

But Otter and Idaho Sen. Larry Craig established their diplomatic ties
with Castro and Cuba four years ago, to the disdain of President George
W. Bush. Since then, Otter campaigned and was elected to governor on a
platform that included stronger foreign trade in Idaho's economy. Otter
also served a record 14 years as lieutenant governor with duties largely
linked to economic development and trade.

Otter's initial trips to Cuba did bear some successful fruit. Last year,
Idaho exported $22,613 of frozen foods into that communist country.
That's only a drop in the bucket in the foreign trade game. Idaho's
largest foreign trade partner is China, which purchased $731.5 million
worth of Idaho commodities. Canada was second with $561.3 million.

Obviously, the consumers of Cuba don't have that much money to throw
around. But for Otter, bulking up trade ties represents a sort of new
Cuban revolution. In a 2003 meeting with the Times-News editorial board,
then-Congressman Otter called the U.S. trade embargo an impediment to
America's weapon of capitalism.

"If we wanted to bomb Cuba," he said. "We'd better off dropping Sears
Roebuck catalogs out of the back of a plane."

Perhaps that's the real ambition within this kind of trade mission — to
blaze a new path for free enterprise, not just spin potential profits
for Idaho.

"I think it's a little bit of both, but obviously he wants to open up
markets to Idaho products into that communist country," said Otter
spokesman Jon Hanian. "It's limited, and it's very tightly controlled.
Primarily we're looking at agricultural goods, timber products, and
medical supplies — anything from bandages to generic drugs."

Pushing for Cuban trade won't endear Otter to some arch-conservatives,
but it sounds like a reasonable move on political principle.

To make the connection a valuable one, however, Otter has to show that
Idaho will gain economic benefit. Ag groups may be doubtful about those
benefits, considering how Cuba may want to dump sugar into American
markets at sugar-beet producers' expense. And if Cuba does open up in
future years, it could be host to American companies wanting a location
to cheap labor.

Otter has the right idea by reinforcing the vitality of Idaho goods on a
global scale. But with Cuba's limited buying power, the governor's
mission seems more like a seed plan for the future.

http://www.agweekly.com/articles/2007/03/18/news/opinion/opin83.txt