Title: Cuba Agricultural Exports Act
Policy area: International Affairs

Summary:
Cuba Agricultural Exports Act
This bill amends the Trade Sanctions Reform and Export Enhancement Act of 2000 to exempt from prohibitions against U.S. assistance to Cuba: (1) any exports under the market access program, the export credit guarantee program, and the foreign market development cooperator program; or (2) any obligation or expenditure of funds to promote trade with Cuba by federal commodity promotion programs established in accordance with a commodity promotion law.
This exemption shall not apply if the U.S. assistance recipient would be an entity controlled by the Cuban government, including the armed forces, the Ministry of the Interior, or any subdivision of either governmental entity.
A person subject to U.S. jurisdiction may invest in the development of an agricultural business in Cuba if the Department of State and the Department of Agriculture jointly determine that the agricultural business:
Certain language limiting financing of agricultural sales to Cuba is repealed.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 525 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 525

To modify the prohibition on United States assistance and financing for 
  certain exports to Cuba under the Trade Sanctions Reform and Export 
            Enhancement Act of 2000, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 13, 2017

Mr. Crawford (for himself, Mr. Conaway, Mr. Abraham, Mr. Poe of Texas, 
Mr. Comer, Ms. Lee, Ms. Kelly of Illinois, Ms. DelBene, Mr. Farenthold, 
Mr. Thompson of Mississippi, Mr. Moulton, Mr. Emmer, Ms. McCollum, Ms. 
Castor of Florida, Mr. Harper, Mr. Westerman, Mr. Rokita, Mr. Marshall, 
 Mr. Smith of Missouri, Mr. Rodney Davis of Illinois, Mr. Palazzo, Mr. 
 Young of Alaska, Mr. Thompson of Pennsylvania, Mr. Banks of Indiana, 
 Mrs. Bustos, Mr. Beyer, and Mr. Jones) introduced the following bill; 
which was referred to the Committee on Foreign Affairs, and in addition 
to the Committees on Financial Services, and Agriculture, for a period 
    to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL


 
To modify the prohibition on United States assistance and financing for 
  certain exports to Cuba under the Trade Sanctions Reform and Export 
            Enhancement Act of 2000, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Cuba Agricultural Exports Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The United States has a long history of providing safe 
        and reliable exports. Close proximity to Cuba lends itself to 
        low transportation costs for United States goods exported to 
        Cuba. The United States is geographically poised to be a 
        significant trading partner in agricultural commodities.
            (2) Cuba imports approximately 80 percent of its food, with 
        global agricultural exports to Cuba doubling over the past 
        decade to $1,900,000,000.
            (3) In 2005, the United States Department of the Treasury 
        published a final rule narrowing the definition of ``cash in 
        advance'' for trading with Cuba, requiring that cash payments 
        must be made before United States products leave United States 
        ports, rather than the more customary payment upon delivery. 
        United States firms are precluded from offering credit to 
        ALIMPORT, a state-owned and state-controlled entity that makes 
        all decisions regarding United States exports to the Cuban 
        market, resulting in declining United States agricultural 
        exports to Cuba. Notably, rice exports fell from a value of 
        $64,000,000 in 2004 to essentially $0 in 2009 and subsequent 
        years.
            (4) Recent action by the Obama administration reversed that 
        change to the definition of cash in advance, but United States 
        agricultural exporters are still not permitted to extend credit 
        to Cuban buyers, a key disadvantage relative to other exporting 
        countries.
            (5) In addition, there is no opportunity for United States 
        agricultural businesses to trade directly with the Cuban people 
        and there is no Cuban market; United States businesses have 
        only one venue to trade with Cuba and that is through ALIMPORT, 
        the state-owned and state-controlled entity described in 
        paragraph (3).
            (6) Despite these restrictions, the United States has been 
        the largest exporter of agricultural goods to Cuba over the 
        last decade. However, the United States slipped to being the 
        second leading exporter of agricultural goods to Cuba in 2013 
        and the third leading exporter of agricultural goods to Cuba in 
        2014.
            (7) While trade opportunities exist, Cuba remains an 
        undemocratic autocracy that oppresses its own people and 
        restricts freedom.
            (8) With these cautionary factors in mind, it is important 
        to provide United States farmers and ranchers additional 
        opportunities to benefit from trade with Cuba.

SEC. 3. MODIFICATION OF PROHIBITION ON UNITED STATES ASSISTANCE AND 
              FINANCING FOR CERTAIN EXPORTS TO CUBA UNDER THE TRADE 
              SANCTIONS REFORM AND EXPORT ENHANCEMENT ACT OF 2000.

    Section 908 of the Trade Sanctions Reform and Export Enhancement 
Act of 2000 (22 U.S.C. 7207) is amended as follows:
            (1) In the section heading, by striking ``and financing''.
            (2) In subsection (a), by adding at the end the following:
            ``(4) Exception for certain programs.--
                    ``(A) In general.--Subject to subparagraph (B), 
                paragraph (1) shall not apply with respect to--
                            ``(i) exports to Cuba under section 202 of 
                        the Agricultural Trade Act of 1978 (7 U.S.C. 
                        5622), section 203 of the Agricultural Trade 
                        Act of 1978 (7 U.S.C. 5623), or section 702 of 
                        the Agricultural Trade Act of 1978 (7 U.S.C. 
                        5722); or
                            ``(ii) any obligation or expenditure of 
                        funds to promote trade with Cuba by Federal 
                        commodity promotion programs established in 
                        accordance with a commodity promotion law, as 
                        defined by section 501(a) of the Federal 
                        Agriculture Improvement and Reform Act of 1996 
                        (7 U.S.C. 7401(a)).
                    ``(B) Restriction on certain recipients.--The 
                exceptions under subparagraph (A) shall not apply if 
                the recipient of the United States assistance would be 
                an entity controlled by the Government of Cuba, 
                including the Revolutionary Armed Forces of Cuba, the 
                Ministry of the Interior of Cuba, and any subdivision 
                of either such governmental entity.''.
            (3) In subsection (b), to read as follows:
    ``(b) Financing of Sales of Agricultural Commodities to Cuba.--
            ``(1) In general.--A person subject to the jurisdiction of 
        the United States may provide payment or financing for sales of 
        agricultural commodities to Cuba or to an individual or entity 
        in Cuba.
            ``(2) Definitions.--In this section:
                    ``(A) Agricultural commodity.--The term 
                `agricultural commodity' has the meaning given that 
                term in section 102 of the Agricultural Trade Act of 
                1978 (7 U.S.C. 5602).
                    ``(B) Financing.--The term `financing' includes any 
                loan or extension of credit.''.

SEC. 4. AUTHORITY OF PERSONS SUBJECT TO THE JURISDICTION OF THE UNITED 
              STATES TO INVEST WITH RESPECT TO CERTAIN AGRICULTURAL 
              BUSINESS IN CUBA.

    (a) In General.--Notwithstanding any other provision of law, a 
person subject to the jurisdiction of the United States may make an 
investment with respect to the development of an agricultural business 
in Cuba if the Secretary of State and Secretary of Agriculture jointly 
determine that--
            (1) the agricultural business is not controlled by the 
        Government of Cuba, including the Revolutionary Armed Forces of 
        Cuba, the Ministry of the Interior of Cuba, or any subdivision 
        of either such governmental entity; and
            (2) the agricultural business does not traffic in the 
        property of persons subject to the jurisdiction of the United 
        States that was confiscated by the Cuban Government on or after 
        January 1, 1959.
    (b) Definitions.--In this section:
            (1) Agricultural business.--The term ``agricultural 
        business'' means any entity involved in the production, 
        manufacture, or distribution of agricultural products (as such 
        term is defined in section 207 of the Agricultural Marketing 
        Act of 1946 (7 U.S.C. 1626)).
            (2) Confiscated, cuban government, property, and traffic.--
        The terms ``confiscated'', ``Cuban Government'', ``property'', 
        and ``traffic'' have the meanings given such terms in section 4 
        of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act 
        of 1996 (22 U.S.C. 6023).
            (3) Investment.--The term ``investment'', with respect to 
        the development of an agricultural business in Cuba, means--
                    (A) entry into a contract involving the purchase of 
                a share of ownership, including an equity interest, in 
                the development of the agricultural business;
                    (B) entry into a contract providing for 
                participation in royalties, earnings, or profits in the 
                development of the agricultural business; or
                    (C) entry into, or performance or financing of, a 
                contract to sell goods, services, or technology 
                relating to the agricultural business.
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