The Economy of Cuba
The Fall of Sugar
Cuba was once the world's sugar bowl, but output has collapsed, with many mills closed and the crop no longer a main earner.
An industry in ruins.
History
Sugar dominated Cuba’s economy for centuries.
Decline
Output fell from around 8 million tonnes in the late 1980s to under a million tonnes in recent years.
Causes
Ageing machinery, lack of fuel and fertiliser, low prices and inefficient state control.
Effects
Rural areas lost jobs, and Cuba now imports some sugar.
A closed mill
A once busy mill town lies quiet after the sugar plant shut down.
Assuming a natural resource guarantees continued success
Management and investment matter.
Key takeaways
- Sugar once dominated.
- Output collapsed.
- Poor management and low investment were causes.
- Cuba imports some sugar.
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