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Q
15th April 2011, 19:26
As reported by the Havana Times (http://www.havanatimes.org/?p=41579&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+havanatimes%2Fapge+%28Havana+ Times.org%29):


HAVANA TIMES, April 14 (IPS) — Cuba’s governing Communist Party (PCC) will meet over the weekend to decide on the direction and scope of far-reaching reforms aimed at modernizing the country’s socialist economy over the next few years.

The sixth congress of the PCC, Cuba’s only legal political party for the last five decades, will draw 1,000 delegates from around the nation, who will also select new members of the party’s central committee, which will in turn choose the party’s first and second secretaries.

The party congress was postponed in 2002 due to economic problems, and continued to be delayed after former President Fidel Castro fell ill in 2006, according to official sources.

The Apr. 16-19 gathering will be the first PCC congress to be held in 14 years. The party congress, the PCC’s top-level meeting, normally takes place behind closed doors.

Castro stepped down from the presidency when he fell ill in 2006. But he never officially resigned as first secretary of the PCC.

However, he clarified on Mar. 22, in one of his regular columns, that when he got sick he “resigned without hesitation all of (my) state and political positions, even that of first secretary of the party.”

It is widely assumed that Fidel’s 79-year-old younger brother Raul, who took over as acting president in July 2006 and officially succeeded his brother in February 2008, will be elected first secretary in this weekend’s congress, at least until the next congress, which would normally be held in five years time.

Raul’s battle to kick start the economy

In 2007, Raul Castro, who is now officially second secretary, said he would introduce “structural and conceptual” reforms needed to bolster the economy.

The president sees the “economic battle” as “the principal task and the key ideological work” of the PCC and the Young Communist League (UJC), “because on this depends the sustainability and preservation” of Cuba’s socialist system.

The discussions in the sixth congress will focus on a 32-page document called the Draft Guidelines for Economic and Social Policy, which was previously submitted to popular debates in which more than seven million of Cuba’s 11.2 million people reportedly took part.Suggestions expressed by ordinary Cubans in the nationwide neighborhood or workplace meetings led, according to official sources, to the modification of more than two-thirds of the 291 paragraphs in the draft guidelines.

The draft document, “enriched” by the popular debates, will serve as the basis for designing the party’s strategy and creating mechanisms and instruments to achieve the desired economic and social model, economist Armando Nova wrote in an article to which IPS had access.

Possible opening for more cooperatives

The draft guidelines will introduce sweeping changes, such as a much greater role for private enterprise. But the document clarifies that economic policy will be based on “the principle that only socialism is capable of overcoming the difficulties.”

Another expected change is the eventual expansion of the system of cooperatives, currently limited to agriculture, to the areas of industry and services.

There are also hopes that the possibility of self-employment, currently authorized for 178 private activities, will be expanded. As things stand now, university students cannot use their skills in private business, as none of the permitted occupations involve professional activities.

Self-employment was introduced in Cuba for some 150 occupations in 1993, at the height of the economic crisis that hit the country in the wake of the collapse of the Soviet Union and East European socialist bloc. It was expanded last year when the government announced massive lay-offs of public employees, potentially affecting one million people by the end of 2011.

Long awaited reform on home and car ownership

Many people are hoping for changes in the system of property ownership. Currently, people can own homes and cars but cannot freely sell them. They can only legally swap them for property of equal value. Cubans are also hoping for a loosening of restrictions on travelling abroad.

One worry is the announced elimination of the ration card system, which provides the entire population with staple foods at subsidized prices. The move will have a heavy impact on the lowest-income sectors.

Arturo López-Levy, a Cuban-born lecturer at the University of Denver, Colorado, said that what is most urgently needed, within the context of the reforms that have begun to be adopted, is for the government to stop treating the concepts of private property and the free market as “anathema.”

In his view, there is a need to “usher in a change of mentality among the PCC cadres, so they will become promoters of a mixed economy, with a minimum of coherence,” because the draft guidelines do not clearly outline a new form of economic organization.

“Progress by two parallel processes also announced as part of the reforms, decentralization and the downsizing of the state apparatus, depends on that change in mentality,” López-Levy told IPS in an email interview.

Congress begins with military parade

The congress will begin Saturday morning with a military parade in Havana’s Plaza de la Revolution, to commemorate the 50th anniversary of the proclamation that Cuba’s revolution was a socialist revolution.

According to unofficial figures, the PCC has some 800,000 members, and the UJC more than 600,000.

The Cuban constitution defines the PCC as “the highest leading force of society and of the state, which organizes and guides the common effort toward the goals of the construction of socialism and progress toward a communist society.”

RadioRaheem84
15th April 2011, 19:42
Is Cuba trying to be more like Venezuela or vice versa?

Are they trying to meet somewhere in the middle?

RedSonRising
15th April 2011, 19:48
The article first says private enterprise will be expanded, then it says that self employment is the only real departure. I have yet to see any actual introduction of exploitative ownership of capital and I hope it stays that way. The selling of homes and cars is interesting. I knew they could only swap their property, but many Cuban homes often have several families living in them. It's become a cultural norm that the family of a married couple moves in with the parents of the husband if I remember correctly. The question of the rationing system is odd; a lot of people complain about it but it ensures that everyone gets a minimum nutrition. Hopefully they improve it without reducing it.

I look at decentralization of the State positively. When the municipalized agriculture, this was a positive step in increasing food production. I think getting back to cooperatives as a plan, if done authentically, can help the country a lot. I know a lot of people are nervous and angry at these changes, but if you ask a lot of people in Cuba if Raul has made the place better, at least two years ago, a good amount would say yes.


Also just an interesting bit of information I found in the Museum of the Revolution when I went, this is a comparison of the number of nationalized vs cooperative style businesses and land right after and a few more years after the Revolution in 1959:

http://i1140.photobucket.com/albums/n571/Bogotazo/440.jpg?t=1302893270

flobdob
15th April 2011, 20:12
This is old news being restated in time for the new party congress. It's coming up again with a media barrage about "abandoning socialism" and other nonsense. For an analysis of the "reforms" and what they mean, I would suggest a series of good articles:

Cuba: the drive for efficiency within socialism (http://revolutionarycommunist.org/index.php/cuba/1934-cuba-the-drive-for-efficiency-within-socialism--frfi-217-octnov-2010) by Helen Yaffe analyses the reforms and contextualises them in Cuba's recent history and the process of developing socialism.

Sustaining the Revolution (http://www.cuba-solidarity.org.uk/cubasi_article.asp?ArticleID=126) by Steve Ludlum looks at the employment measures and deals with this myth of "Cuba is sacking 1 million workers".

Finally, Brian Becker (http://www2.pslweb.org/site/News2/1242993550?page=NewsArticle&id=14493&news_iv_ctrl=1261) gives a decent overview of the reforms.

I would suggest people look up the Draft Programme and give it a read, while at the same time looking at the debates and ideological strengthening of socialism which have been at the forefront of Cuban political culture in the last few months.

It's much better than hearing parroted stuff about the free market and capitalist restoration anyway.

Nothing Human Is Alien
15th April 2011, 20:21
Anyone who thinks this is anything but a retreat in the face of the continued encroachment of the world capitalist system is deluding themselves.


Cuba: the drive for efficiency within socialism by Helen Yaffe analyses the reforms and contextualises them in Cuba's recent history and the process of developing socialism.If I want to hear about "inefficiencies" and crisis caused by "parasitic" people "who can work but don't" living off of state subsidies I'll tune into Glenn Beck.

Thirsty Crow
15th April 2011, 20:26
Anyone who thinks this is anything but a retreat in the face of the continued encroachment of the world capitalist system is deluding themselves.

But, see, you don't understand. Socialism can flourish even if it's integrated, in one way or another, into the world capitalist system. Mixed economy, you know.

flobdob
15th April 2011, 20:26
Anyone who thinks this is anything but a retreat in the face of the continued encroachment of the world capitalist system is deluding themselves.

[URL="http://revolutionarycommunist.org/index.php/cuba/1934-cuba-the-drive-for-efficiency-within-socialism--frfi-217-octnov-2010"]

If I want to hear about "inefficiencies" and crisis caused by "parasitic" people "who can work but don't" living off of state subsidies I'll tune into Glenn Beck.

Except that is never said in the article you cite. The closest statement to this is related to the emergent "new rich" who developed with access to hard currency. You totally distort the entire article and argument without so much as clicking the link - not exactly the best footing is it!

Nothing Human Is Alien
15th April 2011, 20:28
Except that is never said in the article you cite."Highlighting the value of state subsidies for fuel, Fidel asserted: ‘No one knows the cost of electricity, no one knows the cost of petrol, no one knows its market value.’ Introducing efficiency saving and anti-corruption measures he set Cuba on the path to achieving what he called ‘the dream of everyone being able to live on their salary or on their adequate pension’. The long-term plan he revealed was to eliminate the ration book, undermining the parasitic layer in Cuban society, those who can work but won’t. The state would reduce its subsidy on energy consumption, inducing awareness of consumption levels and saving. ‘Subsidies and free services will be considered only in essentials. Medical services will be free, so will education and the like’."

flobdob
15th April 2011, 20:31
"Highlighting the value of state subsidies for fuel, Fidel asserted: ‘No one knows the cost of electricity, no one knows the cost of petrol, no one knows its market value.’ Introducing efficiency saving and anti-corruption measures he set Cuba on the path to achieving what he called ‘the dream of everyone being able to live on their salary or on their adequate pension’. The long-term plan he revealed was to eliminate the ration book, undermining the parasitic layer in Cuban society, those who can work but won’t. The state would reduce its subsidy on energy consumption, inducing awareness of consumption levels and saving. ‘Subsidies and free services will be considered only in essentials. Medical services will be free, so will education and the like’."

Which, if you read slightly above in the article, refers to those people which access to hard cash reserves who do literally live without working.

Y'know, the bit which says

"It is neither right nor practicable that a significant number of individuals in Cuba benefit from the socialist state provision without contributing to it. This was recognised by Fidel Castro, while still President of the Council of State, in November 2005, who lambasted Cuba’s ‘new rich’; a small percentage of the population with access to hard currency, who benefited from free universal welfare and education provision while refusing to contribute anything to society. ‘There are several dozens of thousands of parasites who produce nothing’, he said."

☭The Revolution☭
15th April 2011, 21:01
We need Che.

The Vegan Marxist
15th April 2011, 22:15
I have yet to see any actual introduction of exploitative ownership of capital and I hope it stays that way.

I as well. Fact of the matter is that the vast majority of Cuba's private sector is of self-employment. Here's a list that I remember reading up on back in November and even posted here on revleft that shows what all will be available for the private sector:

Activities

1. Tuner and repairer of musical instruments

2. Waterer

3. Bricklayer

4. Renter of animals

5. Renter of suits

6. Sharpener

7. Party host, clowns or magicians

8. Mule driver

9. Craftsman

10. Sawyer

11. Child care provider

12. Barber

13. Embroiderer, weaver

14. Cart driver

15. Singer

16. Carpenter

17. Fork-lift driver

18. Locksmith.

19. Automotive dent repairer

20. Collector/payer

21. Providing a cart pulled by animals for children

22. Buyer and seller of music

23. Buyer and seller of used books

24. Builder/seller or installer of radio and television antennas

25. Builder/seller or repairer of wicker items

26. Breeder/seller of pets

27. Window installer

28. Caretaker of animals

29. Caretaker of public bathrooms

30. Caretaker for the sick, the disabled, or the elderly

31. Caretaker of parks

32. Tanner (except cow leather)

33. Decorator

34. Trimmer of palmtrees

35. Producer/seller of food and drink by means of gastronomic service. (Paladares). Exercises the activity in their home, through the use of tables, stools and so on up to a capacity of twenty.

36. Producer/seller of food and non-alcoholic drink in one’s home

37. Producer/seller of food and non-alcoholic drink on a retail basis in one’s home or as a street vendor

38. Procuer/seller of food and non-alcoholic drink on a retail basis from a fixed place of sale. (Cafeteria).

39. Producer/seller of charcoal

40. Producer/seller of wines

41. Producer/seller of yokes, yokepads and ropes

42. Electrician

43. Automotive electrician

44. Caretaker, cleaner and “turbinero” of real estate [I could find no translation for the word turbinero.]

45. Bookbinder

46. Coiler of motors, electrical coils and other equipment

47. Animal trainer

48. Maker/seller of wreaths and flowers

49. Sower of buttons

50. Photographer

51. Washer/greaser of automotive equipment

52. Travel agent

53. Engraver/writer of objects

54. Blacksmith for animals or maker/seller of horseshoes and nails

55. Automotive body repair person

56. Driving instructor

57. Sports trainer (except martial arts)

58. Gardener

59. Washer or ironer

60. Woodcutter

61. Shoe shiner

62. Cleaner and tester of spark plugs

63. Cleaner and repairer of ditches

64. Manicurist

65. Make up worker

66. Masseuse

67. Putty worker

68. Mechanic for refrigeration equipment

69. Typist

70. Messenger

71. Dressmaker or taylor

72. Miller

73. Sound operator

74. Air compressor operator, operator or repairer of pneumatic drills

75. Operator of children’s recreation equipment

76. Valet, caretaker of automotive equipment, cycles and tricycles

77. Hairdresser

78. Hairdresser for pets

79. Domestic worker

80. Automotive painter

81. Painter of furniture or varnisher

82. Housepainter

83. Sign painter

84. Fish farmer

85. Sculptor

86. Plumber

87. Well digger

88. Maker/seller of articles for home use

89. Maker/seller of rubber accessories

90. Maker/seller of pottery

91. Maker/seller or collector/seller of things made of ceramics or other materials, with a constructive purpose.

92. Maker/seller of religious articles (except items which have a cultural value according to the Ministry of Culture) and seller of animals for these purposes

93. Curtain rods, curtains and mountings

94. Maker/seller of costume jewelry of metal and other natural resources

95. Maker/seller of footwear

96. Maker/seller of brooms, brushes and similar items

97. Maker/seller of plastic figurines

98. Producer/seller of flowers and ornamental plants

99. Producer/seller of piñatas and other similar articles for birthdays

100. Producer/collector/seller of plants for animal food or producer/collector/seller of medicinal herbs

101. Instructor in music and other arts

102. Instructor in shorthand, typing and languages

103. Computer programmer

104. Metal polisher

105. Collector/seller of natural resources

106. Collector/seller of raw materials

107. Watch repairer

108. Repairer of leather articles and similar things

109. Jewelry repairer

110. Repairer of bed frames

111. Repairer of automotive batteries

112. Bicycle repairer

113. Repairer of costume jewelry

114. Repairer of fences and paths

115. Repairer of kitchens

116. Repairer of mattresses

117. Repairer of small implements

118. Repairer of office equipment

119. Repairer of electrical and electronic equipment

120. Repairer of mechanical and combustion equipment

121. Repairer of looking glasses

122. Repairer of sewing machines

123. Repairer of saddles and tack

124. Repairer of umbrellas and parasols

125. Repairer and recharger of cigarette lighters

126. Tutor. Not including active teachers

127. Restorer of dolls and other toys

128. Art restorer

129. Doormen for residential buildings

130. Solderer

131. Saddler

132. Upholsterer

133. Roofer

134. Book keeper. (Accountants and middle technicians in accountancy with a work connection to the specialty are excepted)

135. Dyers of textiles

136. Lathe operator

137. Roaster

138. Temporary agricultural worker

139. Translator of documents

140. Sheep shearer

141. Thresher

142. Seller of agricultural products in points of sale or booths

143. Repair cobbler

144. Contract worker (hired by the official self-employed worker to work with him)

145. Leaser of housing, residences, and spaces which are an integral part of the housing

146. Producer/seller of food and drink through gastronomic services with special characteristics of the Chinese neighborhood.

147. Service of trips in the colonial carriages

148. Private contractors

Customary figures

149. Habanera dancers

150. Card-reading fortune teller

151. Folkloric dance artist

152. Musical group “Los Mambises”

153. Cartoonists

154. Sellers of artificial flowers

155. Street painters

156. Dandy [This word appears as "Dandy" in the original. From the context it seems to be some sort of street entertainer.]

157. Hair braiders

158. Peeler of natural fruits

159. Dance duo “Amor”

160. Dance partnership “Benny More”

161. Shower of trained dogs

162. Musical duo “Los amigos”

163. Walk ons

164. Traditional hairdresser

Transport of cargo and passengers

165. Trucks

166. Pick up trucks

167. Panel trucks

168. Bus

169. Microbus

170. Cars

171. Rail methods

172. Jeeps

173. Boats for passenger transportation

174. Motorcycles

175. Tricycles

Animal and human powered

176. Small carts

177. Coaches

178. Bicycles

http://www.cubadebate.cu/noticias/2010/09/24/amplian-en-cuba-trabajo-por-cuenta-propia/

Sperm-Doll Setsuna
15th April 2011, 22:19
nomnom capitalist reforms


Many people are hoping for changes in the system of property ownership. Currently, people can own homes and cars but cannot freely sell them. They can only legally swap them for property of equal value.

And the crucial fundamental foundations of the future capitalist restoration are laid. If this is done, there is no doubt about the direction of those vile reforms.

RedSonRising
15th April 2011, 22:54
nomnom capitalist reforms


Many people are hoping for changes in the system of property ownership. Currently, people can own homes and cars but cannot freely sell them. They can only legally swap them for property of equal value.

And the crucial fundamental foundations of the future capitalist restoration are laid. If this is done, there is no doubt about the direction of those vile reforms.


How exactly are homes and cars productive capital? If I own a car and figure it would be more cost effective in hard economic times to walk or bike to work, and someone else wants to be a private taxi driver (which many do for a supplemental income), I should be able to sell it to my fellow countryman. The working class doesn't need to be babied into strict conditions of ownership that have no basis for exploitative relationships.

Sperm-Doll Setsuna
15th April 2011, 23:02
How exactly are homes and cars productive capital? If I own a car and figure it would be more cost effective in hard economic times to walk or bike to work, and someone else wants to be a private taxi driver (which many do for a supplemental income), I should be able to sell it to my fellow countryman. The working class doesn't need to be babied into strict conditions of ownership that have no basis for exploitative relationships.

Because it is a form of capital accumulation? If homes can be bought and sold they turn into commodities that are exchanged for profit and thus creates a capital market, not to mention that there has to be some form of market to allow exchange of homes for money since they have to be valued and whatnot. This will lead to real estate agencies and so on so forth and there will be those buying and selling homes to make more money.

RedSonRising
15th April 2011, 23:09
Because it is a form of capital accumulation? If homes can be bought and sold they turn into commodities that are exchanged for profit and thus creates a capital market, not to mention that there has to be some form of market to allow exchange of homes for money since they have to be valued and whatnot. This will lead to real estate agencies and so on so forth and there will be those buying and selling homes to make more money.

I see your point, but I think that private accumulation on such a scale that would require a large real estate market and agencies and whatnot jumps over the probable regulations by the Cuban State. If this were to happen I could see the danger, but to assume buying and selling = a non-regulatory environment from which classes will develop would be an error of judgment in the context of Cuba.

Fulanito de Tal
15th April 2011, 23:24
Before anything, always remember that Cuba has declared itself a Marxist-Leninist state right under the nose of the world's only imperial capitalist superpower. This should ALWAYS be considered when discussing anything about Cuban politics and economy.

http://i62.photobucket.com/albums/h111/durancm/Museum%20of%20the%20Revolution/DSCF1158.jpg
"...what the imperialists cannot be forgive us for is that we have made a SOCIALIST REVOLUTION on the proper noses of the United States"



The reforms aim at empowering the population so they can perceive a vested interest in the social order and to reduce some of the corruption. In some sense, socialism in Cuba has for a while been administrated from the top-down. This was somewhat effective because the vast majority of the people were around during Batista, so they remember what it was like to be capitalist. However, with the older generation dying off, the percentage of the population that has lived under capitalism is reducing and will hopefully reach zero. All the younger generation knows about capitalism is what they hear from the older generation and books. That may not be enough if the US employs an effective propaganda campaign which it is very experienced at. Therefore, I speculate that the people in charge in Cuba understand that a way to avoid this is to spread the power of the economy throughout the population instead of it being administered by state. The result should be that Cubans will percieve American involvement as encroachment in their private and public systems and not be welcomed as a liberation. I posted a thread in which I outlined what the State of Florida says democracy in Cuba would look like. That includes returning property to Americans. With the reforms, the property would be in the hands of the population, which means that they would be more likely to defend it from American imperialism since they would see a direct connection between American imperialism and them losing the land.



There is a small amount of capitalism stemming from the corruption of a few. The reforms provides for a legal and supervised outlet for people to test their luck with the market. In this manner, exploitation of the proletariat can be limited and profits can be taxed in order to provide public services. The privatization of a few services is not a full out capitalist indoctrination. The production of major services and commodities are still nationalized.

Robocommie
16th April 2011, 01:48
7. Party host, clowns or magicians

...

150. Card-reading fortune teller

...

161. Shower of trained dogs


This is it. This is the means by which American hegemony will be restored to Cuba. ;)

In all seriousness though, I've always been in favor of decentralized control of the economy, even though I recognize the benefits of state planning in certain circumstances. If this really does result in more cooperatives given over to worker control, and if the state supports and assists these cooperatives, this could actually become a boon to the revolution, not a hindrance. It's a good thing after all, if the Cuban proletariat establish something that is their own without total reliance on the state.

Nothing Human Is Alien
16th April 2011, 14:38
Which, if you read slightly above in the article, refers to those people which access to hard cash reserves who do literally live without working.

Y'know, the bit which says

"It is neither right nor practicable that a significant number of individuals in Cuba benefit from the socialist state provision without contributing to it. This was recognised by Fidel Castro, while still President of the Council of State, in November 2005, who lambasted Cuba’s ‘new rich’; a small percentage of the population with access to hard currency, who benefited from free universal welfare and education provision while refusing to contribute anything to society. ‘There are several dozens of thousands of parasites who produce nothing’, he said."

So, let me get this straight. Because a minority of the population receives currency from abroad... ration cards must be eliminated for the entire population and a market must be created in housing and real estate. :confused:

Even if that were the case, it would still mean this was a retreat in the face of the continued encroachment of the world capitalist system.

Nothing Human Is Alien
16th April 2011, 19:31
http://news.bbcimg.co.uk/media/images/52199000/gif/_52199106_employment_cuba_464_2.gif

http://news.bbcimg.co.uk/media/images/52199000/gif/_52199104_new_licenses_304.gif

From the BBC:

Until now it has only been possible to survive thanks to food rationing and the heavy subsidies on housing, health and education.

But those handouts have bred a culture of dependency, with no incentives to work, and Cuba's struggling inefficient economy can no longer afford to be so generous.
The government has already launched a programme of allowing 250,000 extra people to become self-employed or set up small businesses with a limited number of employees.

Almost three-quarters of these licences have already been issued; there are small market stalls and cafes springing up across the island.

....

Phasing out subsidies is seen as a key element turning the debt ridden economy around. Some food and other items have already been taken off the universal monthly ration card. The whole system is expected to be abolished and replaced by some form of means tested benefit for those most in need.

Nothing Human Is Alien
16th April 2011, 19:38
More from the BBC:

Most recently, in February, the government said it would phase out subsidies that had kept down the prices of home-grown sugar and imported rice.

And earlier this month, the country's hard-currency convertible peso, used mainly by tourists and foreign firms, was devalued by about 8%.

Obviously, the purpose of all this is to make the country more productive and balance the budget, but also to pay off more of its burgeoning foreign debt.

Reliable figures are hard to come by, but estimates suggest that Cuba's debt runs into many billions of dollars.

The Paris Club of creditor nations lists Cuba as its second-biggest debtor, with $30.4bn outstanding as of the end of 2009.

....

Then Mr Castro struck lucky with China, which rapidly became Havana's lender of last resort as it racked up still more foreign debt - perhaps as much as $4bn, according to some Cuban sources.

But officials in Beijing now preside over an economy that exemplifies "socialism with Chinese characteristics" - in other words, a state-led, market-oriented system that is communist in name only.

They did not intend their loans to provide the Castros with the wherewithal to block similar changes at home.

As a result, China is now pushing for Cuba to modernise its economy and has offered the benefit of its experience, not least because Beijing is fed up with Cuba's failure to meet its loan repayments on time.

For their part, Cuban ministers have realised that their country's debt mountain has become too big to service - and they intend to use the party Congress to further the reform process.

Nothing Human Is Alien
16th April 2011, 19:42
It's a good thing after all, if the Cuban proletariat establish something that is their own without total reliance on the state.

What evidence is there that this is what's happening here? This is a retreat caused by the pressures of the global capitalist system.

Comrade Marxist Bro
16th April 2011, 21:04
And the crucial fundamental foundations of the future capitalist restoration are laid. If this is done, there is no doubt about the direction of those vile reforms.

I also think that this is a troublesome development. Actually, Cuba has been slowly moving in this direction since the "special period" of the 1990s, when the USSR completely imploded (partly because of its own reforms, the perestroika - which has condemned) in 1989-1991. These moves have always come with a great deal of reluctance, but each time they are presented as an inevitable compromise being made to cut down on inefficiency and foster the necessary conditions for economic growth.

So, according to a 1990s World Bank article entitled "Cuba's Small Businesses: Taking a Wild Ride":



By official estimates, 10,000-15,000 Cubans were self-employed in 1993, working as hairdressers, tailors, shoe repairmen, and in other home-based occupations. A September 1993 decree allowed self-employment in 117 new occupations. Initially, university graduates were not eligible, but that ban was lifted on July 1, 1995. As additional occupations were permitted, the number of licensed entrepreneurs reached 170,000 in June 1995 and peaked at 209,000 in January 1996.

By December 1996, principally due to the introduction of a personal income tax for the first time in thirty-seven years, the level dropped to about 180,000. Today it stands at 170,000, and officials say it is growing again.

(http://www.worldbank.org/html/prddr/trans/mayjun97/art11.htm)


According to the same article, the dissatisfactions were



• Lack of access to a legal wholesale supply system means that they have no predictable basis for calculating prices and profit margins. Many must resort to black market sources, a risky and time-consuming practice that exposes them to possible legal penalties.

• Some regulations are designed to limit competition with state enterprises. For example, the self-employed cannot hire employees unless they are in food service. Paladares are not permitted to offer beef or shellfish, they are limited to twelve seats, and they can only employ family members.

• There is concern that the government might reverse course and reduce the scope for self-employment.

• Cuba's new personal income tax, enacted to produce revenue and reduce income inequality, has led to widespread confusion and misunderstanding. Clearly, it has driven some entrepreneurs out of business and others underground. But last December, dozens could also be found in lines at local tax offices signing up to pay taxes. Their revenues made the tax payments affordable, and they wanted to end their risk of being fined for tax evasion.


More recently, The Economist noted that



China, Vietnam, Bolivia, and Singapore’s past experiences offer important lessons to the Cuban government. For small businesses to flourish, the Cuban government will likely need to simplify the business creation process, reduce tax burdens on entrepreneurs, revamp its regulatory frameworks and liberalize prices, similar to what occurred in China and Vietnam. The Cuban government should also adopt consistent pro-entrepreneur policies; take steps to guard against unexpected inflation; and promote access to foreign capital and technical know-how through multinational financial institutions, NGOs, development banks and other international partners. An orderly, market oriented economic reform process is decidedly in the best interests of Cuba, the United States and the region.

(http://thecubaneconomy.com/articles/2011/04/cuba-study-group-supporting-small-business-in-cuba-recommendations-for-private-and-public-sector-leaders/)


Cuba has already created a sizable number of small businessmen, and the more successful among these petty-bourgeois elements will naturally want to make it as bigger businessmen, so they are going to favor more deregulation and support privatization. The people who want to make a profit on the market aren't going to uphold socialism. The logic of this is pretty straightforward, and it's confirmed by reading the reports.

Cuba's reforms support the petty bourgeoisie. Historically, the bourgeoisie is formed out of this intermediate class.

So, even if seen as necessary to move forward economically at the present stage, we have a double-edged sword for the Cuban society's commitment to socialist ideology.

Nothing Human Is Alien
17th April 2011, 00:08
From the AP:

HAVANA – Raul Castro proposed term limits for Cuban politicians on Saturday — including himself — a remarkable gesture on an island ruled for 52 years by him and his brother. The 79-year-old president lamented the lack of young leaders in government, saying the country was paying the price for errors made in the past.

Castro told delegates to a crucial Communist Party summit that he would launch a "systematic rejuvenation" of the government. He said politicians and other important officials should be restricted to two, five-year terms, including "the current president of the Council of State and his ministers" — a reference to himself.

...

Castro said the country had ignored its problems for too long, and made clear Cuba had to make tough decisions if it wanted to survive.

"No country or person can spend more than they have," he said. "Two plus two is four. Never five, much less six or seven — as we have sometimes pretended."

Dressed in a white guayabera shirt, the Cuban leader alternated between reassurance that the economic changes were compatible with socialism, and a brutal assessment of what has not worked in the past.

Castro said the monthly ration book of basic foods, perhaps the most cherished of subsidies, represented an "unbearable burden ... and a disincentive for work."

ar734
17th April 2011, 00:28
More from the BBC:


But officials in Beijing now preside over an economy that exemplifies "socialism with Chinese characteristics" - in other words, a state-led, market-oriented system that is communist in name only.



China realized, from watching the Soviet Union, that a change from an only partially developed capitalism to fully developed socialism was simply not possible. So China moved to a part-capitalist, part socialist model, which Vietnam, Venezuela, and now Cuba have also begun using. The Chinese state owns the biggest sectors of the economy and allows the smaller parts to operate in a free market. China will probably become the biggest economy, in terms of GDP, in the world within 20 yrs.

In a hundred yrs do you really think China will have reverted to capitalism?

The Vegan Marxist
17th April 2011, 03:01
China realized, from watching the Soviet Union, that a change from an only partially developed capitalism to fully developed socialism was simply not possible. So China moved to a part-capitalist, part socialist model, which Vietnam, Venezuela, and now Cuba have also begun using. The Chinese state owns the biggest sectors of the economy and allows the smaller parts to operate in a free market. China will probably become the biggest economy, in terms of GDP, in the world within 20 yrs.

In a hundred yrs do you really think China will have reverted to capitalism?

China went about it the wrong way though through "market socialism". Vietnam also has a "market-like socialism", though not as bad as China's. Venezuela and Cuba are going about their own models of socialism and appear to be, overall, successful. And so is Laos, which is making some of the most remarkable successes I've seen lately. I have a lot of hope in Laos.

Red_Struggle
17th April 2011, 05:14
Can I offer anyone a steaming hot cup of revisionism?

RedSonRising
17th April 2011, 07:06
From the AP:

HAVANA – Raul Castro proposed term limits for Cuban politicians on Saturday — including himself — a remarkable gesture on an island ruled for 52 years by him and his brother. The 79-year-old president lamented the lack of young leaders in government, saying the country was paying the price for errors made in the past.

Castro told delegates to a crucial Communist Party summit that he would launch a "systematic rejuvenation" of the government. He said politicians and other important officials should be restricted to two, five-year terms, including "the current president of the Council of State and his ministers" — a reference to himself.

"


Term limits seem like a good thing, since most of the guard is older and the youth, many of which are dedicated socialists, are somewhat underrepresented in the process. I think that cycling in younger candidates could preserve the socialist ideal in policy and guard against potential abuses by long-time empowered policy makers, and allows a closer addressing of day-to-day issues. A lot of citizens feel the electoral voting process doesn't engage the population enough in terms of candidate familiarity.

Tavarisch_Mike
17th April 2011, 15:02
On the streets of Havana, capitalism is now a part of life, mostly connected in someway to turism like in the form of prostitution, selling of false ciggars, workers at brand clothes stores who steal stuff and sell it on the (big) black market. Unfortunatley i think this will just escalate, especialy after seeing all the things in this thread.

Sperm-Doll Setsuna
17th April 2011, 15:03
China realized, from watching the Soviet Union, that a change from an only partially developed capitalism to fully developed socialism was simply not possible. So China moved to a part-capitalist, part socialist model, which Vietnam, Venezuela, and now Cuba have also begun using. The Chinese state owns the biggest sectors of the economy and allows the smaller parts to operate in a free market. China will probably become the biggest economy, in terms of GDP, in the world within 20 yrs.

In a hundred yrs do you really think China will have reverted to capitalism?

Utter bloody nonsense. China has already reverted to capitalism. That the state maintains some quite limited control over the economy is no sign of socialism. Neither is the fact that the state is controlled by a party whose leadership is quite radically capitalist and fully embracing of IMF policies a sign of socialism just because that party happens to bear the name Communist. More like the Chinese Capitalist Party.

The whole idea of - as Raul put it, and Gorbachev before him, oh and Deng too - "revert to capitalism to save socialism", is absurd, and it is obvious where it leads to all but those who like to deny realities.

el_chavista
19th April 2011, 00:39
Some news from the 6th congress of the CP of Cuba:


Commission 1:

After discussion of the main report, members of Committee I, chaired by the delegate Marino Murillo Jorge, analysed the lines referring to the Model of Economic Management, from the actions arising from previous discussions of the delegations in their provinces, and to improve the coherence of the project yet.

Among other issues, discussed the urgency of a training process of all structures to facilitate changes in the business system, budgeted units and state administration in general. They were also clarified the terms referring to the separation of state and corporate functions, on which the company Lina Pedraza felt the need to strengthen the legal basis governing the demarcation of functions, process that now starts.
...
Rounding the idea, Murillo said the aspiration to link the town's development with the contribution that it be able to do with their products and services.


A Guantanamo delegate's doubt about the new figure of farming seller, who buys products directly to the cooperative and then sells the delegate, Marino Murillo said the state's interest to stimulate the production base, in the sense that once he/she fulfils an agreement, he/she can commercialize the surplus without intermediaries, thus enhancing his/her participation in the retail market with fair prices.


For many delegates the issue of preparation of the cadres and their stimulation was of interest, and according to Rachel Salabarría, it urges training many of them in business. She exemplified than in a hospital the director is usually a medic, and not all of them have all necessary knowledge of economics, accounting or audit to manage well.

Commission 2 Tribute solutions

We can not pretend that the guidelines include in detail everything you need to do to update our economic model, since many of the suggestions only will be taken into account in the implementation of decisions or policies designed, delegates agreed on the Commission 2 on global aspects of the economy.
...
One of the most enriching debates arose in the analysis of tax policy. The subject specialists explained the principles of generality and equity that should govern the application of taxes in the country, but the prevailing view is that it is also necessary to take into account the characteristics of the territories for its implementation, particularly when set monthly minimum payments to be paid by self-employed persons for the personal income tax.
...
Delegates also paid special attention to bank credit policy, aimed primarily at providing support for activities that encourage domestic production. This includes bank lending to the sector which operates under non state management formulas, such as self-employed workers and recipients of land, and for building and repairing houses, among other activities.Translated extracts from: http://www.pcc.cu/php/noticias/noti_ampliada.php?id_noti=4561

The Author
19th April 2011, 01:54
6th Party Congress Report from Granma:

Comrades all,

The opening of the 6th Congress of the Communist Party of Cuba this afternoon marks a date of extraordinary significance in our history, the 50th anniversary of the proclamation of the socialist nature of our Revolution by its Commander in Chief, Fidel Castro Ruz, on April 16, 1961, as we paid our last respects to those killed the day before during the bombings of the air bases. This action, which was the prelude to the Playa Girón (Bay of Pigs) mercenary invasion organized and funded by the United States government, was part of its plans to destroy the Revolution and restore its domination over Cuba in league with the Organization of American States (OAS).

On that occasion, Fidel said to the people already armed and inflamed with passion: “This is what they cannot forgive us…that we have made a Socialist Revolution right under the nose of the United States…” “Comrades, workers and farmers, this is the Socialist and democratic Revolution of the people, by the people and for the people. And for this Revolution of the people, by the people and for the people, we are willing to give our lives.”

The response to this appeal would not take long; in the fight against the aggressor a few hours later, the combatants of the Ejército Rebelde, police agents and militiamen shed their blood, for the first time, in defense of socialism and attained victory in less than 72 hours under the personal leadership of comrade Fidel.

The Military Parade that we watched this morning, dedicated to the young generations, and particularly the vigorous popular march that followed, are eloquent proof of the fortitude of the Revolution to follow the example of the heroic fighters of Playa Girón.

Next May 1st, on the occasion of the International Workers Day, we will do likewise throughout the country to show the unity of Cubans in defense of their independence and national sovereignty, which as proven by history, can only be conquered through Socialism.

This Congress, the supreme body of the Party, as set forth in article 20 of its Statutes, brings together today one thousand delegates representing nearly 800 thousand party members affiliated to over 61 thousand party cells. But, this Congress really started on November 9 last year, with the release of the Draft Guidelines of the Economic and Social Policy of the Party and the Revolution, a subject that, as previously indicated, will be at the center of the debates of this meeting that is regarded with great expectations by our people.

As of that moment, numerous seminars were organized to clarify and to delve into the content of the Guidelines in order to adequately train the cadres and officials who would lead the discussions of the material by the party members, mass organizations and the people in general.

The discussions extended for three months, from December 1, 2010 to February 28 of this year, with the participation of 8, 913,838 people in more than 163 thousand meetings held by the different organizations in which over three million people offered their contributions. I want to make clear that, although it has not been accurately determined yet, the total figure of participants includes tens of thousands of members of the Party and the Young Communist League who attended the meetings in their respective cells but also those convened in their work or study centers in addition to those of their communities. This is also the case of non-party members who took part in the meetings organized at their work centers and later at their communities.

Even the National Assembly of People’s Power dedicated nearly two work sessions in its latest Ordinary Meeting held this past December to analyze with the deputies the Draft Guidelines.

This process has exposed the capacity of the Party to conduct a serious and transparent dialogue with the people on any issue, regardless of how sensitive it might be, especially as we try to create a national consensus on the features that should characterize the country’s Social and Economic Model.

At the same time, the data collected from the results of the discussions become a formidable working tool for the government and Party leadership at all levels, like a popular referendum given the depth, scope and pace of the changes we must introduce.

In a truly extensive democratic exercise, the people freely stated their views, clarified their doubts, proposed amendments, expressed their dissatisfactions and discrepancies, and suggested that we work toward the solution of other problems not included in the document.

Once again the unity and confidence of most Cubans in the Party and the Revolution were put to the test; a unity that far from denying the difference of opinions is strengthened and consolidated by them. Every opinion, without exception, was incorporated to the analysis, which helped to enhance the Draft submitted to the consideration of the delegates to this Congress.

It would be fair to say that, in substance, the Congress was already held in that excellent debate with the people. Now, it is left to us as delegates to engage in the final discussion of the Draft and the election of the higher organs of party leadership.

The Economic Policy Commission of the 6th Party Congress first entrusted with the elaboration of the Draft Guidelines and then with the organization of the discussions has focused on the following five issues:

1. Reformulation of the guidelines bearing in mind the opinions gathered.

2. Organization, orientation and control of their implementation.

3. The thorough training of the cadres and other participants for the implementation of some of the measures already enforced.

4. Systematic oversight of the agencies and institutions in charge of enforcing the decisions stemming from the guidelines and evaluation of their results.

5. Leading the process of information to the people.

In compliance with the aforesaid, the Draft Guidelines were reformulated and then submitted to analysis by both the Political Bureau and the Executive Committee of the Council of Ministers, on March 19 and 20, respectively, with the participation of the Secretariat of the Party’s Central Committee and the top leaders of the Central Trade Union (CTC), the Young Communist League (UJC) and the other mass organizations, approved at that level –also as a draft—and then delivered to you for its examination during three days in every provincial delegation to the Congress and for its discussion at the five commissions of this party meeting for its subsequent approval.

Next, I will offer some data to illustrate our people on the results of the discussions of the Draft Guidelines, even though detailed information will be published later.

The original document contained 291 guidelines; 16 of them were moved to others; 94 preserved their phrasing; 181 had their content modified; and, 36 new guidelines were incorporated for a grand total of 311 guidelines in the current draft.

A simple arithmetic operation with these numbers avows the quality of the consultation process as a result of which approximately two thirds of the guidelines –68% to be exact—was reformulated.

The principle that guided this process was that the validity of a proposal would not depend on the number of opinions expressed about it. This is shown by the fact that several guidelines were either modified or removed based on the opinion of only one person or a small number of them.

It is also worth explaining that some opinions were not included at this stage either because the issue deserved a more exhaustive analysis for which the necessary conditions did not exist or because they openly contradicted the essence of socialism, as for example 45 proposals advocating the concentration of property.

I mean that, although the prevailing tendency was a general understanding of and support for the content of the Guidelines, there was no unanimity; and that is precisely what was needed for we really wanted this to be a democratic and serious consultation with the people.

For this reason, I can assure you that the Guidelines are an expression of our people’s will, contained in the policy of the Party, the Government and the State, to update the Economic and Social Model in order to secure the continuity and irreversibility of Socialism as well as the economic development of the country and the improvement of the living standard of our people combined with the indispensible formation of ethical and political values.

As expected, most of the proposals made during the discussion of the Draft Guidelines were focused on Chapter VI, “Social Policy” and Chapter II “Macroeconomic Policies”; both accounted for 50.9% of the total, followed, in descending order, by Chapter XI, “Construction, Housing and Water Resources Policy”; Chapter X, “Transportation Policy”; and, Chapter I, “Economic Management Model.” In fact, 75% of the opinions expressed focused on these five chapters out of a total of twelve.

On the other hand, 67% of the proposals referred to 33 guidelines, that is, 11% of the total. In fact, the highest number of proposals pertained to guidelines number 162, dealing with the removal of the ration book; 61 and 62, on the pricing policy; 262, on passengers’ transportation; 133, on education; 54, related to the establishment of a single currency; and, 143, on the quality of healthcare services.

Undoubtedly, the ration book and its removal spurred most of the contributions of the participants in the debates, and it is only natural. Two generations of Cubans have spent their lives under this rationing system that, despite its harmful egalitarian quality, has for four decades ensured every citizen access to basic food at highly subsidized derisory prices.

This distribution mechanism introduced in times of shortages during the 1960s, in the interest of providing equal protection to our people from those involved in speculation and hoarding with a lucrative spirit, has become in the course of the years an intolerable burden to the economy and discouraged work, in addition to eliciting various types of transgressions.

Since the ration book is designed to provide equal coverage to 11 million Cubans, there are more than a few examples of absurdities such as allocating a quota of coffee to the newborn. The same happened with cigarettes until September 2010 as they were supplied to smokers and non-smokers alike thus fostering the expansion of that unsafe habit in the population.

Regarding this sensitive issue, the span of opinions is very broad, from those who suggest dismissing it right away to others who categorically oppose its removal and propose to ration everything, the industrial goods included. Others are of the view that in order to successfully prevent hoarding and ensure everybody’s access to basic foods, it would be necessary, in a first stage, to keep the products rationed even if no longer subsidized. Quite a few have recommended depriving of the ration book those who neither study nor work or advised that the people with higher incomes relinquish that system voluntarily.

Certainly, the use of the ration book to distribute the basic foods, which was justified under concrete historic circumstances, has remained with us for too long even when it contradicts the substance of the distribution principle that should characterize Socialism, that is, “From each in accordance with his ability and to each in accordance with his labor,” and this situation should be resolved.

In this connection, it seems appropriate to recall what comrade Fidel indicated in his Central Report to the First Party Congress on December 17, 1975: “There is no doubt that in the organization of our economy we have erred on the side of idealism and sometimes even ignored the reality of the objective economic laws we should comply with.”

The problem we are facing has nothing to do with concepts, but rather with how to do it, when to do it, and at what pace. The removal of the ration book is not an end in itself, and it should not be perceived as an isolated decision but rather as one of the first indispensible measures aimed at the eradication of the deep distortions affecting the operation of the economy and society as a whole.

No member of the leadership of this country in their right mind would think of removing that system by decree, all at once, before creating the proper conditions to do so, which means undertaking other transformations of the Economic Model with a view to increasing labor efficiency and productivity in order to guarantee stable levels of production and supplies of basic goods and services accessible to all citizens but no longer subsidized.

Of course, this issue is closely related to pricing and to the establishment of a single currency, as well as to wages and to the “reversed pyramid” phenomenon which as spelled out at the Parliament last December 18, is expressed in the mismatch between salaries and the ranking or importance of the work performed. These problems came up often in the contributions made by the citizens.

In Cuba, under socialism, there will never be space for “shock therapies” that go against the neediest, who have traditionally been the staunchest supporters of the Revolution; as opposed to the packages of measures frequently applied on orders of the International Monetary Fund and other international economic organizations to the detriment of the Third World peoples and, lately enforced in the highly developed nations where students’ and workers’ demonstrations are violently suppressed.

The Revolution will not leave any Cuban helpless. The social welfare system is being reorganized to ensure a rational and deferential support to those who really need it. Instead of massively subsidizing products as we do now, we shall gradually provide for those people lacking other support.

This principle is absolutely valid for the restructuring of the work force, –an ongoing process-- streamlining the bloated payrolls in the public sector on the basis of a strict assessment of the workers’ demonstrated capacity. This process will continue slowly but uninterruptedly, its pace determined by our capacity to create the necessary conditions for its full implementation.

Other elements will have an impact on this process, including the expansion and easing of labor in the non-public sector. This modality of employment that over 200 thousand Cubans have adopted from October last year until today --twice as many as before-- make up an alternative endorsed by the current legislation, therefore, it should enlist the support, assistance and protection of the officials at all levels while demanding strict adherence to the ensuing obligations, including tax payment.

The growth of the non-public sector of the economy, far from an alleged privatization of the social property as some theoreticians would have us believe, is to become an active element facilitating the construction of socialism in Cuba since it will allow the State to focus on rising the efficiency of the basic means of production, which are the property of the entire people, while relieving itself from those management of activities that are not strategic for the country.

This, on the other hand, will make it easier for the State to continue ensuring healthcare and education services free of charge and on equal footing to all of the people and their adequate protection through the Social Welfare System; the promotion of physical education and sports; the defense of the national identity; and, the preservation of the cultural heritage, and the artistic, scientific and historic wealth of the nation.

Then, the Socialist State will have more possibilities to make a reality of the idea expressed by Martí that can be found heading our Constitution: “I want the first Law of our Republic to be the Cubans’ cult of the full dignity of man.”

It is the responsibility of the State to defend national independence and sovereignty, values in which the Cubans take pride, and to continue securing the public order and safety that make Cuba one of the safest and most peaceful nations of the world, without drug-trafficking or organized crime; without beggars or child labor; without the mounted police charging against workers, students and other segments of the population; without extrajudicial executions, clandestine jails or tortures, despite the groundless smear campaigns constantly orchestrated against us overlooking the fact that such realities are, foremost, basic human rights that most people on Earth can’t even aspire to.

Now, in order to guarantee all of these conquests of Socialism, without renouncing their quality and scope, the social programs should be characterized by greater rationality so that better and sustainable results can be obtained in the future with lower spending and keeping the balance with the general economic situation of the country.

As you can see in the Guidelines, these ideas do not contradict the significance we attach to the separate roles to be played in the economy by the state institutions, on the one hand, and the enterprises, on the other, an issue that for decades has been fraught with confusion and improvisations and that we are forced to resolve on a mid-term basis in the context of the strengthening and improvement of institutionalization.

A full understanding of these concepts will permit a solid advance while avoiding backward steps in the gradual decentralization of powers from the Central to the local governments, and from the ministries and other national agencies in favor of the increasing autonomy of the socialist State-funded companies.

The excessively centralized model characterizing our economy at the moment shall move in an orderly fashion, with discipline and the participation of all workers, toward a decentralized system where planning will prevail, as a socialist feature of management, albeit without ignoring the current market trends. This will contribute to the flexibility and constant updating of the plan.

The lesson taught by practical experience is that an excessive centralization inhibits the development of initiatives in the society and in the entire production line, where the cadres got used to having everything decided “at the top” and thus ceased feeling responsible for the outcome of the entities they headed.

Our entrepreneurs, with some exceptions, settled themselves comfortably safe and quiet “to wait” and developed an allergy to the risks involved in making decisions, that is, in being right or wrong. This mentality characterized by inertia should definitely be removed to be able to cut the knots that grip the development of the productive forces. This is a pursuit of strategic significance, thus it is no accident that it has been reflected one way or another in the 24 guidelines contained in Chapter I, “Economic Management Model.”

As far as this issue is concerned, we cannot indulge in improvisations or act hastily. In order to decentralize and change that mentality, it is indispensible to elaborate a framework of regulations clearly defining the powers of and functions at every level, from the national to the local, invariably accompanied by the corresponding accounting, financial and management oversight.

Progress is already being made in that direction. The studies began almost two years ago for improving the operation as well as the structure and makeup of the government at the different levels. These resulted in the enforcement of the Council of Ministers Regulation, the reorganization of the work system with the State and Government cadres, the introduction of a planning procedure for the most important activities, the establishment of the organizational bases to provide the Government with an accurate and timely information system supported by its own info-communications infrastructure, and the creation of the provinces of Artemisa and Mayabeque, on experimental basis and under a new structural and functional concept.

To begin decentralizing powers, it will be necessary for the cadres of the State and the companies to redeem the obvious role of contracts in the economy, as expressed in guideline number 10. This will also help bring back order and discipline to making and obtaining payments, a subject in which a good part of our economy has been getting poor grades.

As a no less important byproduct, the appropriate use of contracts as regulatory instruments of relations among the various economic actors will become an effective antidote against the extended habit of “reunionism,” that is, calling an excessive number of meetings and other collective functions, often presided by senior officials and uselessly attended by many others, only to enforce what the parties involved recognized as rights and obligations in the contract signed, and whose fulfillment they have failed to demand from those required to do so.

In this respect, it is worth emphasizing that 19 opinions, registered in 9 provinces, claimed for a reduction in the number of meetings and their duration to the minimum indispensible. This issue I intend to take up again when dealing with the functioning of the Party.

We are convinced that the mission ahead of us in connection with this and other issues related to the updating of the Economic Model is full of complexities and interrelations that, one way or another, touch on every aspect of the society as a whole. Therefore, we are aware that it is not something that can be solved overnight, not even in one year, and that it will take at least five years to implement it comprehensively and harmoniously. And, when this is achieved, it will be necessary to never stop and to continue working for its improvement in order to successfully face the new challenges brought up by development.

Metaphorically speaking, it might be said that every now and then, as the scenario changes, the country should make its own well-tailored suit.

We are not under the illusion that the Guidelines and the measures conducive to the implementation of the Economic Model will by themselves provide a universal remedy to all our evils. It will be required to simultaneously build a greater political awareness and common sense, and to be more intransigent with the lack of discipline and the violations committed by all, but primarily by the leading cadres.

This became all too evident a few months back in the flaws observed during the implementation of some specific measures --neither complex nor of great magnitude-- due to bureaucratic obstacles and the lack of preparation of the local governments for the expansion of self-employment.

It is worthwhile reiterating that our cadres must get used to working with the guiding documents issued by the institutions empowered to do so and abandon the irresponsible habit of putting them on ice. Life teaches that it is not enough to issue a good regulation, whether a law or simply a resolution. It is necessary to also train those in charge of its implementation, to monitor them and to check their practical knowledge of the issue. Let’s not forget that the worst law is that which is not enforced or respected.

The system of Party schools at the provincial and national level, along with the unavoidable reorientation of their syllabus, will play a protagonist role in the preparation and continuous recycling in these subjects of Party and government cadres as well as the company executives with the aid of the educational institutions specialized in this area of knowledge and the valuable input of the members of the National Association of Economists and Accountants, as it was the case with the discussion of the Guidelines.

At the same time, and with the purpose of effectively arranging in order of importance the introduction of the required changes, the Political Bureau agreed to bring to the Congress the proposal of establishing of a Standing Government Commission for Implementation and Development, subordinated to the President of the Council of State and Ministers which, without affecting in any way the powers invested in the corresponding Central Government Organs, will be responsible for monitoring, checking and coordinating the actions of everyone involved in this activity, and for proposing the insertion of new guidelines, something that will be indispensible in the future.

In this token, we feel it is advisable to remember the orientation included by comrade Fidel in his Central Report to the First Party Congress, nearly 36 years ago, about the Economy Management System that we intended to introduce back then and failed due to our lack of systematization, control and discipline. He said “…that the Party leaders but foremost the State leaders turn its implementation into a personal undertaking and a matter of honor as they grow more aware of its crucial importance and the need to make every effort to apply it consistently, always under the leadership of the National Commission created to that end…,” and he concluded: “…to widely disseminate information on the system, its principles and mechanisms through a kind of literature within reach of the masses so that the workers can master the issue. The success of the system will largely depend on the workers knowledge of the issue.”

I will not tire of repeating that in this Revolution everything has been said. The best example of this we have in Fidel’s ideas that Granma, the Official Party organ, has been running in the past few years.

Whatever we approve in this Congress cannot suffer the same fate as the previous agreements, most of them forgotten and unfulfilled. Whatever it is that we agree upon in this or future meetings must guide the behavior and action of Party members and leaders alike and its materialization must be ensured through the corresponding legal instruments produced by the National Assembly of People’s Power, the State Council or the Government, in accordance with their legislative powers and the Constitution.

It’s only fair to say very clearly, in order to avoid misinterpretations, that the agreements reached by congresses and other leading Party organs do not become law in themselves. They are orientations of a political and moral nature, and it is incumbent on the Government, which is the body in charge of management, to regulate their implementation.

This is why the Standing Commission for Implementation and Development will include a Judicial Subgroup made up by highly qualified specialists who will coordinate with the corresponding organs --with full respect for institutionalization— the legal amendments required to accompany the updating of the Economic and Social Model, simplifying and harmonizing the content of hundreds of ministerial resolutions, legislative decrees and legislations, and subsequently proposing, in due course, the introduction of the relevant adjustments to the Constitution of the Republic.

Without waiting to have everything worked out, progress has been made in the legal regulations associated with the purchase and sale of housing and cars, the modification of Legislative Decree No. 259 expanding the limits of fallow land to be awarded in usufruct to those agricultural producers with outstanding results and the granting of credits to self-employed workers and to the population at large.

Likewise, we consider it advisable to propose to this Congress that the first point of the agenda of every plenary meeting of the next Central Committee, to be held no less than twice a year, is a report on the status of the implementation of the agreements adopted in this Congress on the updating of the Economic Model, and that the second point is an analysis on the fulfillment of the economic plan, be it from the first semester or from the running year.

We also recommend the National Assembly of People’s Power to proceed in the same way during its ordinary sessions with the purpose of strengthening its protagonist role as the supreme organ of the State power.

Starting from the deep conviction that nothing that we do is perfect and that even if it seems so today it will not be tomorrow under new circumstances, the higher organs of the Party and the State and Government Powers should keep a systematic and close oversight on this process and be ready to timely introduce any adjustments called for to correct negative effects.

Comrades,

It’s a question of being alert, with our feet and ears to the ground, and when a practical problem arise, whatever the area or the place, the cadres at the different levels must act swiftly and deliberately avoiding the old approach of leaving its solution to time, since we have learned from experience that the problems grow more complicated as time goes by.

In the same token, we should cultivate and preserve a fluid relationship with the masses, devoid of formality, that would allow for an efficient feed-back of their concerns and dissatisfactions so that the masses can indicate the pace of the changes to be introduced.

The attention paid to a recent misunderstanding on the reorganization of some basic services shows that when the Party and the Government, each in its own role, with different methods and styles, act promptly and harmoniously on the concerns of the people providing clear and simple explanations, the people support the measure and their confidence in their leaders grows.

The Cuban media in its various formats should play a decisive role in the pursuit of this goal with clarifications and objective, continuous and critical reports on the progress of the updating of the Economic Model so that with profound and shrewd articles and reports written in terms accessible to all they can help building in our country a culture about these topics.

In this area of work it is also necessary to definitely banish the habit of describing the national reality in pretentious high-flown language or with excessive formality. Instead, written materials and television and radio programs should be produced that catch the attention of the audience with their content and style while encouraging public debate. But this demands from our journalists to increase their knowledge and become better professionals even if most of the time, despite the agreements adopted by the Party on the information policy, they cannot access the information timely nor contact the cadres and experts involved with the issues in question. The combination of these elements explains the rather common dissemination of boring, improvised or superficial reports.

Our media has an important contribution to make to the promotion of the national culture and the revival of the civic values of our society.

Another crucial issue very closely related to the updating of the Economic and Social Model of the country and that should help in its materialization is the celebration of a National Party Conference. This will reach conclusions on the modification of the Party working methods and style with a view to ensure, for today and for the future, the consistent application of article 5 of the Constitution of the Republic setting forth that the Party is the organized vanguard of the Cuban nation and the top leading force of the society and the State.

Initially, we had planned to call that Conference for December 2011; however, given the complications inherent to the last month of the year and the advisability of having a prudent reserve of time to adjust details, we are planning to hold that meeting at the end of January 2012.

Last December 18, I explained to the Parliament that due to the inefficiency of the Government Organs in the discharge of their functions, the Party had spent years involved in undertakings that were not its responsibility, and compromised and limited its role.

We are convinced that the only thing that can make the Revolution and Socialism fail in Cuba, risking the future of our nation, is our inability to overcome the mistakes we have been making for more than five decades and the new ones we could make.

The first thing we should do to correct a mistake is to consciously admit it in its full dimension but the fact is that, although from the early years of the Revolution Fidel made a clear distinction between the roles of the Party and the State, we were inconsistent in the follow-up of his instructions and simply improvised under the pressure of emergencies.

There can be no better example than what the leader of the Revolution said as early as March 26, 1962, by radio and television, explaining to the people the methods and functioning of the Organizaciones Revolucionarias Integradas (ORI), which preceded the Party. He said: “…the Party leads, it leads through the entire Party and it leads through the public administration. An official must have authority. A minister must have authority; a manager must have authority and discuss as much as necessary with the Advising Technical Council (today, the Board of Directors), discuss with the working masses, discuss with the Party cell, but it is the manager who makes the decision, because it is his responsibility…” This orientation dates back 49 years.

There are very well defined concepts that, in substance, remain completely valid regardless of the time that has passed since Lenin formulated them, almost 100 years ago, and they should be taken up again, bearing in mind the characteristics and experiences of our country.

In 1973, during the preparations of the First Party Congress, it was defined that the Party must lead and supervise with its own ways and means, which are different from the ways, means and resources available to the State for exercising its authority. The Party’s guidelines, resolutions and provisions are not legally binding for all citizens; it is the Party members who should abide by them as their conscience dictates since there is no apparatus to force or coerce them into complying. This is a major difference about the role and methods of the Party and the State.

The fortitude of the Party basically lies in its moral authority, its influence on the masses and the trust of the people. The action of the Party is based, above all, on the honesty of its motives and the justice of its political line.

The fortitude of the State lies in its material authority, which consists of the strength of the institutions responsible for demanding from everyone to comply with the legal regulations it enacts.

The damage caused by the confusion of these two concepts is manifested, firstly, in the deterioration of the Party’s political work and, secondly, in the decline of the authority of the State and the Government as the officials cease feeling responsible for their decisions.

Comrades,

The idea is to forever relieve the Party of activities completely alien to its nature as a political organization; in short, to get rid of managing activities and to have each one do what they are meant to do.

These misconceptions are closely linked to the flaws of the Party’s policy with the cadres, which will also be analyzed by the abovementioned National Conference. More than a few bitter lessons are the legacy of the mistakes made in this area due to the lack of rigorous criteria and vision which opened the way to the hasty promotion of inexperienced and immature cadres, pretending otherwise through simulation and opportunism, attitudes fostered by the wrong idea that an unspoken premise to occupy a leading position was to be a member of the Party or the Young Communist League.

We must decidedly abandon such practice and leave it only for responsibilities in the political organizations. Membership in a political organization should not be a precondition for holding a leading position with the State or the Government. What the cadres need are adequate training and the willingness to recognize as their own the Party policy and program.

The true leaders do simply not crop up in schools or from favoritism; they are forged at the grassroots level, working in the profession they studied in contact with the workers and rising gradually to leadership by setting an example in terms of sacrifices and results.

In this regard, I think that the Party leadership, at all levels, should be self-critical and adopt the necessary measures to prevent the reemergence of such tendencies. This is also applicable to the lack of systematic work and political will to secure the promotion of women, black people and people of mixed race, and youths to decision-making positions on the basis of their merits and personal qualifications.

It’s really embarrassing that we have not solved this problem in more than half a century. This shall weight heavily on our consciences for many years because we have simply been inconsistent with the countless orientations given by Fidel from the early days of the revolutionary victory and throughout the years, and also because the solution to this disproportion was contained in the agreements adopted by the transcendental First Party Congress and the four congresses that followed. Still, we have failed to ensure its realization.

The solution of such issues that define the future will never again be left to spontaneity but rather to foresight and to the unwavering political intention of preserving and perfecting socialism in Cuba.

Although we kept on trying to promote young people to senior positions, life proved that we did not always make the best choice. Today, we are faced with the consequences of not having a reserve of well-trained replacements with sufficient experience and maturity to undertake the new and complex leadership responsibilities in the Party, the State and the Government, a problem we should solve gradually, in the course of five years, avoiding hasty actions and improvisations but starting as soon as the Congress is over.

This will advance further with the strengthening of the democratic spirit and collective work of the leading Party, State and Government organs as we guarantee the systematic rejuvenation of all of the Party and management positions, from the grassroots to the comrades with the highest responsibilities, including the current President of the Council of State and Ministers and the First Secretary of the Central Committee elected in this Congress.

In this regard, we have reached the conclusion that it is advisable to recommend limiting the time of service in high political and State positions to a maximum of two five-year terms. This is possible and necessary under the present circumstances, quite different from those prevailing in the first decades of the Revolution that was not yet consolidated when it had already become the target of continuous threats and aggressions.

The systematic strengthening of our institutions will be both a premise and an indispensible guarantee to prevent this cadre renovation policy from ever jeopardizing the continuation of Socialism in Cuba.

The first step we are taking in this direction is the substantial reduction of the list of leading positions that required approval from the municipal, provincial and national levels of the Party while empowering senior leaders in the ministries and companies to appoint, replace and apply disciplinary measures to a large part of their subordinated cadres with the assistance of the corresponding Cadres Commissions, where the Party is represented and has a voice but which are presided by the manager who makes the final decision. The view of the Party organization is appreciated but the single determining element is the manager, and we should preserve and enhance their authority in harmony with the Party.

As to the internal functioning of the Party, which will also be examined at the National Conference, we think it is worthwhile reflecting on the self-defeating effects of old habits completely alien to the Party’s vanguard role in our society. These include the superficiality and excessive formality characterizing the political-ideological work; the use of obsolete methods and terminology that ignore the instruction level of the Party members; holding excessively long meetings and often during working hours --which should be sacred, especially for the communists-- sometimes with inflexible agendas dictated by the higher level in disregard of the context where the Party members develop their activities; the frequent calls to formal commemorations where still more formal speeches are made; and, the organization of voluntary works on holydays without a real content or adequate coordination that cause spending and have an upsetting and discouraging effect on our comrades.

These criteria also apply to emulation, a movement that lost through the years its capacity to mobilize the workers’ collectives and became an alternative mechanism for distribution of moral and material incentives not always justified with concrete results, and in more than a few occasions gave rise to fraudulent information.

Additionally, the Conference will analyze the Party’s relations with the Young Communist League and the mass organizations to break with routine and schematic approaches and to allow each of them to recover their raison d’être under the present conditions.

To sum up, comrades, the National Conference will focus on enhancing the role of the Party as the main advocate of the interests of the Cuban people.

The realization of this objective definitely requires a change of mentality, avoiding formality and fanfare both in ideas and in action; that is, to do away with the resistance to change based on empty dogma and slogans and reach for the core of things as the children of La Colmenita Theater Company brilliantly show in the playwright “Abracadabra.”

It’s the only way in which the Communist Party of Cuba can become, for all times, the worthy heir to the authority and unlimited confidence of the people in their Revolution and their only Commander in Chief, comrade Fidel Castro Ruz, whose moral contribution and undisputable leadership do not depend on any position and that as a soldier of ideas has not ceased to fight and help with his enlightening Reflections and other actions the revolutionary cause and the defense of Humanity from menacing dangers.

With respect to the international situation, we shall use a few minutes to assess the predicament of the world at this point in time.

There is no end in sight to the global economic crisis affecting every nation because it is a systemic crisis. The powerful have directed their remedies to protecting the institutions and procedures that originated it and to depositing the terrible burden of its consequences on the workers of their own countries, and particularly of the underdeveloped countries. Meanwhile, the climbing prices of foods and oil are pushing hundreds of millions of people into destitute poverty.

The effects of climate change are already devastating and the lack of political will of the industrial nations prevents the adoption of urgent and indispensible action to avoid the catastrophe.

We live in a convulsive world where natural disasters follow one another like the earthquakes in Haiti, Chile and Japan while the United States wages wars of conquest in Iraq and Afghanistan that have taken the lives of more than one million civilians.

Popular movements in Arab nations are uprising against corrupted and oppressive governments allied with the United States and the European Union. The unfortunate conflict in Libya, a nation subjected to a brutal military intervention by NATO, has given that organization a new pretext to go beyond its originally defensive limits and expand worldwide the threats and war actions undertaken to safeguard its geostrategic interests and access to petroleum. Likewise, imperialism and the domestic reactionary forces connive to destabilize other countries while Israel oppresses and massacres the Palestinian people with complete impunity.

The United States and NATO include in their doctrines the aggressive interventionism against the Third World countries aimed at plundering their resources. They also impose to the United Nations a double standard and use the media consortia in an increasingly coordinated way to conceal or distort the events, as it befits the world power centers, in a hypocritical mockery intended to deceive the public opinion.

Despite its complex economic situation, our country maintains its cooperation with 101 Third World nations. In Haiti, after 12 years of intensive work saving lives, the Cuban healthcare personnel have been working with admirable generosity, since January 2010, alongside collaborators from other countries facing the situation created by the earthquake and the cholera epidemic that ensued.

To the Bolivarian Revolution, and to comrade Hugo Chávez Frías, we express our resolute solidarity and commitment, conscious of the significance of the process undertaken by the fraternal Venezuelan people for Our America, in the Bicentennial of its Independence.

We also share the hopes of the transformation movements in various Latin American countries, headed by prestigious leaders who represent the interests of the oppressed majorities.

We shall continue helping the integrationist processes of the Bolivarian Alliance for the Peoples of Our America (ALBA), the South Union (UNASUR) and the Community of Latin American and Caribbean States (CLACS) currently involved in arrangements for the celebration of its foundational summit on July this year, in Caracas. The establishment of this entity was the most extraordinary institutional event in our hemisphere during the past century, since for the first time all of the countries south of the Rio Bravo were meeting on our own.

We are encouraged by this increasingly united and independent Latin America and the Caribbean, whose solidarity we appreciate.

We shall continue advocating International Law and supporting the principle of sovereign equality among the States as well as the right of the peoples to self-determination. We reject the use of force and aggression, the wars of conquest, the plundering of the natural resources and the exploitation of man.

We condemn every form of terrorism, particularly State terrorism. We shall defend peace and development for all peoples and fight for the future of humanity.

The US Administration has not changed its traditional policy aimed at discrediting and ousting the Revolution. On the contrary, it has continued to fund projects designed to directly promote subversion, foster destabilization and interfere in our domestic affairs. The current administration has taken some positive but extremely limited actions.

The US economic, commercial and financial blockade against Cuba remains in force and intensifies under the current administration, particularly with respect to financial transactions. It ignores the almost unanimous condemnation of the blockade by the international community that for 19 consecutive years has advocated its removal.

Although apparently, as evidenced in the recent visit to the Palacio de La Moneda in Santiago de Chile, the United States leaders do not like to remember history when dealing with the present and the future, it is worthwhile indicating that the Cuba blockade is not something of the past. Therefore, it is our obligation to recall the content of a secret memorandum, declassified in 1991, where Deputy Undersecretary of State for Inter American Affairs Lester D. Mallory wrote on April 6, 1960: “Most Cubans support Castro…There is no effective political opposition (…) The only possible way to make the government lose domestic support is by provoking disappointment and discouragement through economic dissatisfaction and hardships (…) Every possible means should be immediately used to weaken the economic life (…) denying Cuba funds and supplies to reduce nominal and real salaries with the objective of provoking hunger, desperation and the overthrow of the government.”

Mark the date of the memorandum: April 6, 1960, almost an exact year to the day of the Playa Girón invasion.

This memorandum was not an initiative of that official. It was part of the policy aimed at overthrowing the Revolution, like the “Covert Action Program against the Castro Regime,” approved by President Eisenhower on March 17, 1960, using all the available means, from the creation of a unified opposition, psychological warfare and covert intelligence operations to the training in third countries of paramilitary forces with the capacity to invade the Island.

The United States fostered terrorism in the cities, and that same year, before the Playa Girón attack, promoted the establishment of counterrevolutionary armed-gangs, supplied by air and sea, that robbed and murdered peasants, workers and young teachers, until they were finally annihilated in 1965.

In Cuba, we will never forget the 3,478 dead and 2,099 incapacitated by the policy of State terrorism.

Half a century of hardships and suffering have gone by in which our people have put up a resistance and defended their Revolution, unwilling to surrender or to besmirch the memory of the fallen in the past 150 years, from the onset of our struggles for independence.

The US government has not ceased to give sanctuary and to protect notorious terrorists while extending the suffering and unfair incarceration of the heroic Cuban Five antiterrorist fighters.

Its Cuba policy lacks credibility and moral basis. In order to justify it, baseless pretexts are used, which grow obsolete and then change depending on Washington’s interests.

The US government should not have doubts that the Cuban Revolution will be stronger after this Congress. If they want to cling on to their policy of hostility, blockade and subversion we are prepared to continue to face it.

We reiterate our willingness to engage in a dialogue and to take on the challenge of having normal relations with the United States as well as to coexist in a civilized manner, our differences notwithstanding, on the basis of mutual respect and non-interference in the internal affairs.

At the same time, we will permanently give a priority to defense, following Fidel’s instructions as expressed in his Central Report to the First Congress, when he said: “While imperialism exists, the Party, the State and the people will pay utmost attention to defense. The revolutionary guard will never be careless. History teaches with too much eloquence that those who forget this principle do not survive the mistake.”

In the present scenario and predictable future, the strategic conception of “the Popular War” remains absolutely valid, thus it is constantly enriched and improved. Its commanding and leadership system has been reinforced and its capacity to react to various exceptional situations has increased.

The defensive capacity of the country has reached a higher dimension, both quantitatively and qualitatively. Using our own available resources, we have improved the technical condition and maintenance as well as the preservation of the armament and carried on the production effort and especially the modernization of the military technology taking into account its prohibitive world market prices. In this area, it is fair to recognize the contribution of scores of military and civilian institutions, proof of the enormous scientific, technological and productive potential created by the Revolution.

The degree of preparation of the national territory as the theater of military operations has been significantly boosted; the fundamental armament is protected, the same as a substantial part of the troops, the commanding organs and the people.

A communication infrastructure has been established to ensure the steady functioning of the commanding posts at all levels. All of the material reserves have been raised with better distribution and protection.

The Revolutionary Armed Forces, or put another way, the people in uniform shall continue to constantly improve and preserve the authority and prestige earned with their discipline and order in the defense of the people and of Socialism.

We shall now deal with another no less significant issue of our times.

The Party must be convinced that beyond material needs and cultural interests our people hold a diversity of concepts and ideas about their own spiritual necessities.

Our National Hero José Martí, a man who synthesized that convergence of spirituality and revolutionary sentiments, wrote many pages about this subject.

Fidel addressed this topic quite early, in 1954, when still in jail he evoked Renato Guitart, one of the martyrs of the Moncada: “Physical life is ephemeral; it inexorably passes; the same as many and many generations of men have passed, as our own lives will shortly pass. This truth should teach every human being that the immortal values of the spirit stand above them. What is the meaning of life without the spirit? What is life then? How can death take those that understand this and still generously sacrifice their lives to good and justice!”

These values have always been present in his ideas, and so he insisted on them in 1971, at a meeting with catholic priests in Santiago de Chile: “I tell you that there are ten thousand times more coincidences of Christianity with Communism than there might be with Capitalism.”

And, he returned to this idea as he addressed the members of the Christian churches in Jamaica in 1977. He said: “We must work together so that when the political idea succeeds the religious idea is not separate and does not appear as the enemy of changes. There are no contradictions between the purposes of religion and the purposes of socialism.”

The unity of the revolutionary doctrine and ideas with regards to faith and its followers is rooted in the basis of the nation, which in asserting its secular nature promoted as an unwavering principle the unity of the spirituality with the Homeland bequeathed by Father Felix Varela and the teachings of Luz y Caballero, who categorically said: “I would chose to see the fall of not only the institutions created by man –kings and emperors—but even the stars from the firmament rather than see falling from the human breast the sentiment of justice; that sun of the moral world.”

In 1991, the 4th Party Congress agreed to modify the interpretation of the statutes that limited the admission to our organization of revolutionaries with religious beliefs.

The justice of this decision has been confirmed by the role of leaders and representatives of various religious institutions in the different facets of the national life, including the struggle for the return to our Homeland of the child Elián, in which the Cuba Council of Churches played a particularly outstanding role.

However, it is necessary to continue eradicating any prejudice that prevents bringing all Cubans together, like brothers and sisters, in virtue and in the defense of our Revolution, be them believers or not, members of Christian churches; including the Catholic Church, the Russian and Greek Orthodox Churches, the evangelicals and protestant churches; the same as the Cuban religions originated in Africa, the Spiritualist, Jewish, Islamic and Buddhist communities, and fraternal associations, among others. The Revolution has had gestures of appreciation and concord with each of them.

The unforgettable Cintio Vitier, that great poet and writer, who was a deputy to our National Assembly, used the force of his pen and of his Christian and deeply revolutionary ethic, so profoundly rooted in Martí’s, to leave us warnings for the present and the future that we should always remember.

Cintio wrote: “What is in danger, we know it, is the nation itself. The nation is by now inseparable from the Revolution that has been a part of it since October 10, 1868, and it has no other alternative: it is either independent or it is no more.

“If the Revolution were defeated, we would fall in the historic vacuum that the enemy wants for us and prepares for us, and that even the most basic people perceive as an abyss.

“It is possible to arrive at defeat, we know, through the intervention of the blockade, of internal decay, and the temptations imposed by the new hegemonic situation in the world.”

After stating that “We are at the most challenging time of our history,” he admonished: “Forced to fight the irrationality of the world to which it fatally belongs; always threatened by the sequels of dark age-old blights; implacably harassed by the most powerful nation on Earth; and also a victim of imported or indigenous blunders that history shows have never gone unpunished, our small island constricts and dilates, systole and diastole, as a glimmering of hope to itself and to others.”

Now, we should address the recently concluded process of releasing counterrevolutionary prisoners, those that in challenging and distressing times for our Homeland have conspired against it at the service of a foreign power.

By sovereign decision of our Government, they were released before fully serving their sentences. We could have done it directly and take credit for a decision that we made conscious of the fortitude of the Revolution. However, we did it in the framework of a dialogue based on mutual respect, loyalty and transparency with the senior leadership of the Catholic Church, which contributed with its humanitarian labors to the completion of this action in harmony; in any case, the laurels correspond to that religious institution.

The representatives of the Catholic Church expressed their viewpoints, not always coincidental with ours, but certainly constructive. This is at least our perception after lengthy talks with Cardinal Jaime Ortega and the Chairman of the Episcopalian Conference Monsignor Dionisio García.

With this action, we have favored the consolidation of the most precious legacy of our history and the revolutionary process: the unity of our nation.

In the same token, we should mention the contribution of the former minister of Foreign Affairs and Cooperation of Spain, Miguel Angel Moratinos, who facilitated the humanitarian efforts of the Church so that those who wished to travel abroad or accepted the idea could do so with their families. Others decided to remain in Cuba.

We have patiently endured the implacable smear campaigns on human rights, coordinated from the United States and some countries of the European Union that demand from us no less than unconditional surrender and the immediate dismantling of our socialist regime while encouraging, orienting and assisting the domestic mercenaries to break the law.

In this regard, it is necessary to make clear that we will never deny our people the right to defend their Revolution. The defense of the independence, of the conquests of Socialism and of our streets and plazas will still be the first duty of every Cuban patriot.

Days and years of intensive work and great responsibilities lie before us to preserve and develop, on solid and sustainable basis, the independent and socialist future of our Homeland.

So far, the Central Report to the 6th Party Congress

Thank you, very much.

http://www.granma.cu/ingles/cuba-i/16-abril-central.html

My comments.


The opening of the 6th Congress of the Communist Party of Cuba this afternoon marks a date of extraordinary significance in our history, the 50th anniversary of the proclamation of the socialist nature of our Revolution by its Commander in Chief, Fidel Castro Ruz, on April 16, 1961, Emphasis placed on the personality cult of Fidel Castro in the 6th Party Congress Report.


police agents and militiamen shed their blood, for the first time, in defense of socialism and attained victory in less than 72 hours under the personal leadership of comrade Fidel.Emphasis again on the personality cult.


especially as we try to create a national consensus on the features that should characterize the country’s Social and Economic Model. Is this like the New Economic Model? Or New Economic Mechanism? Or Goulash Communism? Workers' Self-Management? Market Socialism? Socialism with Chinese Characteristics? Or Lenin's worst mistake- an act of carelessness and poor planning- ever made in his political career: the New Economic Policy?

Yeah, the world has had its share of these "models" in the Socialist Countries, and they all failed miserably. When you don't have scientific planning and you rely on markets, your socialism is doomed to fail.


the data collected from the results of the discussions become a formidable working tool for the government and Party leadership at all levels, like a popular referendum given the depth, scope and pace of the changes we must introduce.

In a truly extensive democratic exercise, the people freely stated their views, clarified their doubts, proposed amendments, expressed their dissatisfactions and discrepancies, and suggested that we work toward the solution of other problems not included in the document.So, we must "seek truth from facts," like Deng Xiaoping said?


I can assure you that the Guidelines are an expression of our people’s will, contained in the policy of the Party, the Government and the State, to update the Economic and Social Model in order to secure the continuity and irreversibility of Socialism as well as the economic development of the country and the improvement of the living standard of our people combined with the indispensible formation of ethical and political values.Yeah, they said this in the Socialist Bloc 40 years ago. The same semantics, the same words, the same promises. Take a good look at where those countries are now.


Undoubtedly, the ration book and its removal spurred most of the contributions of the participants in the debates, and it is only natural. Two generations of Cubans have spent their lives under this rationing system that, despite its harmful egalitarian quality, has for four decades ensured every citizen access to basic food at highly subsidized derisory prices.
Certainly, the use of the ration book to distribute the basic foods, which was justified under concrete historic circumstances, has remained with us for too long even when it contradicts the substance of the distribution principle that should characterize Socialism, that is, “From each in accordance with his ability and to each in accordance with his labor,” and this situation should be resolved.Here a correct decision was made. Getting rid of the ration-book and its "egalitarianism" is a big step forward in socialism. This is more in line with the ideals of scientific planning. People need access to their goods, and rationing is a very good way to turn people off to the ideals of socialism.


In this connection, it seems appropriate to recall what comrade Fidel indicated in his Central Report to the First Party Congress on December 17, 1975: “There is no doubt that in the organization of our economy we have erred on the side of idealism and sometimes even ignored the reality of the objective economic laws we should comply with.”Besides the personality cult reference, the remarks of Fidel Castro are correct in this regard.


In Cuba, under socialism, there will never be space for “shock therapies” that go against the neediest"Shock therapy" wasn't used in China or Vietnam, either. But take a good look at them and consider how they changed. Then think twice before making such a comment.


The growth of the non-public sector of the economy, far from an alleged privatization of the social property as some theoreticians would have us believe, is to become an active element facilitating the construction of socialism in Cuba since it will allow the State to focus on rising the efficiency of the basic means of production, which are the property of the entire people, while relieving itself from those management of activities that are not strategic for the country."Facilitating"?! Quite the opposite! The State is supposed to be involved in ALL management of activities. This is how, through an integrated, scientifically planned economy, you progress through socialism and reach communism. You take planning out of the equation and what do you get? "Democratization"? No, you get markets. "Democratization" is an idealist phrase that never worked in practice, never accounting for competition, never accounting for the contradictions throughout the country, the material conditions. It means self-management but it has no impetus to strive towards a desired goal of a higher economic system.


A full understanding of these concepts will permit a solid advance while avoiding backward steps in the gradual decentralization of powers from the Central to the local governments, and from the ministries and other national agencies in favor of the increasing autonomy of the socialist State-funded companies.

The excessively centralized model characterizing our economy at the moment shall move in an orderly fashion, with discipline and the participation of all workers, toward a decentralized system where planning will prevail, as a socialist feature of management, albeit without ignoring the current market trends. This will contribute to the flexibility and constant updating of the plan. Decentralization was tried in the USSR throughout the 1950s and 1960s, and it was tried in Yugoslavia, and in varying degrees in the Eastern Bloc throughout its history. It was a terrible flop.


The lesson taught by practical experience is that an excessive centralization inhibits the development of initiatives in the society and in the entire production line, where the cadres got used to having everything decided “at the top” and thus ceased feeling responsible for the outcome of the entities they headed.The lesson taught by practical experience is that when you have a society which does not practice incorporating material and moral incentives, does not successfully raise the political and ideological consciousness of its people, when you have a society that does not have strict laws clamping down on laziness and ineptitude and mismanagement by the cadres which hurts the workforce, a society that does not follow planning and take it seriously, then your "centralization" fails because it was never practiced properly to begin with. It is not centralization which failed, it is the failure of the apparatus, the management, the bureaucracy in not taking responsibility for managing the country correctly which is what caused problems for five decades and counting on the island of Cuba. That management never had any experience when it came to economic planning. Che Guevara had a good sense of economics, but unfortunately he proved to be in the minority when it came to management. Cuba paid the price, and through these wonderful slogans and "resilience" in the face of Yankee imperialism, socialism has not marched too far on this island thanks to its leadership.


we feel it is advisable to remember the orientation included by comrade Fidel in his Central Report to the First Party Congress, nearly 36 years ago, about the Economy Management System that we intended to introduce back then and failed due to our lack of systematization, control and discipline. He said “…that the Party leaders but foremost the State leaders turn its implementation into a personal undertaking and a matter of honor as they grow more aware of its crucial importance and the need to make every effort to apply it consistently, always under the leadership of the National Commission created to that end…,” and he concluded: “…to widely disseminate information on the system, its principles and mechanisms through a kind of literature within reach of the masses so that the workers can master the issue. The success of the system will largely depend on the workers knowledge of the issue.” No kidding. And you want to "decentralize," the antithesis of what had been planned back at that time. You didn't implement the system back then, and now you want to deconstruct the system and create a mess. Well done. We're really marching on the path towards the triumph of communism now...


The Cuban media in its various formats should play a decisive role in the pursuit of this goal with clarifications and objective, continuous and critical reports on the progress of the updating of the Economic Model so that with profound and shrewd articles and reports written in terms accessible to all they can help building in our country a culture about these topics.


In this area of work it is also necessary to definitely banish the habit of describing the national reality in pretentious high-flown language or with excessive formality. Instead, written materials and television and radio programs should be produced that catch the attention of the audience with their content and style while encouraging public debate. But this demands from our journalists to increase their knowledge and become better professionals even if most of the time, despite the agreements adopted by the Party on the information policy, they cannot access the information timely nor contact the cadres and experts involved with the issues in question. The combination of these elements explains the rather common dissemination of boring, improvised or superficial reports.
This is a very smart move. I've read my share of "reports" and "data" and "figures" for years from several media outlets from the Socialist Countries, and they certainly were fluff. In this regard, the Party made a correct decision in this measure.


celebration of a National Party Conference. This will reach conclusions on the modification of the Party working methods and style with a view to ensure, for today and for the future, the consistent application of article 5 of the Constitution of the Republic setting forth that the Party is the organized vanguard of the Cuban nation and the top leading force of the society and the State.Which is what the Party has always supposed to be, and should have been from the beginning.


We are convinced that the only thing that can make the Revolution and Socialism fail in Cuba, risking the future of our nation, is our inability to overcome the mistakes we have been making for more than five decades and the new ones we could make.This is the best statement ever made in the report. Admitting that Cuba made a series of royal fuck-ups throughout its entire history under socialism. It is good to admit this, to disperse with the mythology that it was this wonderful socialist paradise. Better to admit its problems, and go forward and improve. That is the Marxist-Leninist way.


In 1973, during the preparations of the First Party Congress, it was defined that the Party must lead and supervise with its own ways and means, which are different from the ways, means and resources available to the State for exercising its authority. The Party’s guidelines, resolutions and provisions are not legally binding for all citizens; it is the Party members who should abide by them as their conscience dictates since there is no apparatus to force or coerce them into complying. This is a major difference about the role and methods of the Party and the State.

The fortitude of the Party basically lies in its moral authority, its influence on the masses and the trust of the people. The action of the Party is based, above all, on the honesty of its motives and the justice of its political line.

The fortitude of the State lies in its material authority, which consists of the strength of the institutions responsible for demanding from everyone to comply with the legal regulations it enacts.

The damage caused by the confusion of these two concepts is manifested, firstly, in the deterioration of the Party’s political work and, secondly, in the decline of the authority of the State and the Government as the officials cease feeling responsible for their decisions.Separating the Party from the State is also an important direction in constructing socialism. The Party is the vanguard and guide to the State, but it cannot become the power of the State. They have to be separate. This was also a wise move.

Good coverage of the international events and struggles, showing that the Cuban Communist Party does have an interest in world affairs and the world working class struggle, and the dangers of Yankee imperialism.

While the Party is taking correct steps in recognizing that there are problems in Cuba, some of the economic solutions are much to be desired.

sunfarstar
19th April 2011, 01:58
We need Che.
CHE LIVES!:rolleyes::lol::cool::):mad:

Vladimir Innit Lenin
19th April 2011, 09:04
It's amazing the lengths people on here will go to defend what are non-Socialist reforms.

I can deal with changes to ration cards, state/co-op employment and so on, but what really gets me is the re-introduction of a property market, essentially. I mean, we do not know the details yet, so I do not want to pre-empt anything, but that is a pillar of Capitalist restoration and I cannot believe somebody on page 1 said that it wasn't an important issue. It is they key issue.

I know that it is hard for people from Cuba to purchase a house. They have to work for 10-15 years to purchase even a decent house (so it's not so different, and in some ways better, than our western system of doing things!). That needs changing. However, the answer is not to retreat to capitalistic property relations. If something as such goes through, it should be condemned, not simply defended using a borrowed copy of 'Socialist academic gymnastics' from The Vegan Marxist, who seems happy to defend any dengist retreat from a Socialist nation.

I love Cuba, I have a special affinity for it, but if the class of Raul Castro promote such reforms, they should be opposed and removed. I hope (but doubt) that there are Cuban comrades reading this. I know Fidel and his age of comrades are genuinely revered and respected, but this is no time for nostalgia about Fidel, rum, cigars and romanticised revolutions.

This really worries me. More and more I am suspecting the PCC of a dengist retreat.

Sperm-Doll Setsuna
19th April 2011, 13:06
I know that it is hard for people from Cuba to purchase a house. They have to work for 10-15 years to purchase even a decent house (so it's not so different, and in some ways better, than our western system of doing things!). .

Did Cuba never even appropriate the Soviet model of near-free housing allocation?

Nothing Human Is Alien
19th April 2011, 15:50
Did Cuba never even appropriate the Soviet model of near-free housing allocation?

After the revolution, those who had been paying rent to landlords started paying it to the state instead. After 5-10 years the place became theirs. Similarly, servants who lived in the houses of those they served paid rent to the state for a short period then gained ownership of the place. New homes were sold by the state for around $5,000 on 20-30 year mortgages with ~3% interest. The max mortgage payment was 10% of income.

Nothing Human Is Alien
19th April 2011, 18:54
Report on the recent Party Congress from the AP:

"The Congress also approved 300 economic proposals, though details have still not emerged. Apparently included in the measures was a recommendation to legalize the buying and selling of private property, which has been heavily restricted since the revolution.

"Also on the table was a proposal to eventually eliminate the monthly ration book, which provides Cubans with a basic basket of heavily subsidized food and other goods. Other measures envision providing seed capital for would-be entrepreneurs and eliminating the island's unique dual-currency system."

Sperm-Doll Setsuna
19th April 2011, 19:03
Bourgie media seem happy with the new reforms and speaks of a "new era" and paradigm shifts. Fancy a slice of Porka- I mean Gorbachev?

chegitz guevara
19th April 2011, 19:06
In a hundred yrs do you really think China will have reverted to capitalism?

They're capitalist now.

Vladimir Innit Lenin
19th April 2011, 22:51
Report on the recent Party Congress from the AP:

"The Congress also approved 300 economic proposals, though details have still not emerged. Apparently included in the measures was a recommendation to legalize the buying and selling of private property, which has been heavily restricted since the revolution.

"Also on the table was a proposal to eventually eliminate the monthly ration book, which provides Cubans with a basic basket of heavily subsidized food and other goods. Other measures envision providing seed capital for would-be entrepreneurs and eliminating the island's unique dual-currency system."

Ding Deng here comes the bourgeois counter-revolution.

I'm surprised that Raul Castro will put his name to such proposals. 1993 was a retreat, but reverting to bourgeois property is not a retreat, it's full on betrayal.

If the private property thing is true, then it changes a lot of what I thought about Cuba.