Economist Elías Amor has raised concerns about the Cuban regime's strategy to push self-employed workers out of the import business to favor small and medium-sized enterprises (Mipymes). He argues that this move is detrimental to the private sector as it eliminates competition.
During an interview with Tania Costa, Amor elaborated on the implications of this regulatory change. “They now aim to dismantle the self-employed sector involved in importing food, clothing, and hygiene products that aren't commercial and want Mipymes to take over these activities,” he stated.
This decision directly impacts thousands of Cubans who have relied on international travel to procure goods for their families. “This means numerous self-employed Cubans, who traveled abroad as 'mules' to bring back merchandise to sell in Cuba, will lose their businesses,” the economist pointed out.
Amor is unequivocal in labeling the decision as a mistake. “It's truly unfortunate, in my opinion, because competition is precisely what benefits the market,” he remarked.
Regulatory Framework and Its Impacts
The legal framework supporting this shift is outlined in Decree 160/2026, published in the Official Gazette on July 28, 2026, which took effect on August 4. It prohibits individual self-employed workers from engaging in wholesale trade, while allowing private companies, Mipymes, and cooperatives to do so.
Additionally, Decree-Law 133/2026 permits Mipymes and cooperatives to directly import and export, albeit with prior approval from the Ministry of Foreign Trade. On August 28, the Ministry of Domestic Trade also relaxed wholesale commerce regulations for these entities, further widening the regulatory gap with independent workers.
The Role of 'Mules' Amid Scarcity
The phenomenon of 'mules' has become entrenched over decades of scarcity. Cubans travel to countries like Panama, Mexico, Spain, or the United States to buy clothes, food, and hygiene products, bringing them back to the island to sell. This practice has served as an escape valve in response to the state's inability to supply the domestic market.
Amor frames this decision within a broader pattern. In his view, the regime wants the private sector to produce but without relinquishing control, a stance he believes harms the private sector when such decisions are made.
A Call for Economic Transformation
The economist is critical of state-owned enterprises, describing them as burdens to be eventually converted into private entities. Instead, he champions Mipymes and self-employed workers as the true drivers of economic change.
Regarding the real independence of Mipymes from the regime, Amor acknowledges that Díaz-Canel warned the private sector about price gouging and tax evasion during an August 2026 meeting. However, he notes, “With over 10,000 Mipymes in Cuba, it's challenging for all of them to align with the regime's interests.”
Amor also highlights the pervasive distrust among private sector actors in Cuba, attributing it to the authoritarian regime. “In an authoritarian system like Cuba's, distrust is inherent because the trust networks found in democratic systems don't exist,” he explains.
He concludes with a political implication, stating, “Certainly, the economy can be a tool to weaken a regime. Absolutely. That's how it works.”
Understanding Cuba's Economic Policy Shift
What impact does the new regulation have on self-employed workers in Cuba?
The new regulation effectively pushes self-employed workers out of the wholesale import business, favoring small and medium-sized enterprises (Mipymes), which limits competition and affects their livelihoods.
Why is the phenomenon of 'mules' significant in Cuba?
The 'mules' practice has been a response to the state's failure to supply the domestic market, where individuals travel abroad to purchase goods and bring them back to Cuba for resale.
What is Elías Amor's stance on state-owned enterprises in Cuba?
Elías Amor is critical of state-owned enterprises, viewing them as liabilities that should eventually be transformed into private entities.