CubaHeadlines

Guantánamo Leader Praises Neighborhood Markets but Cubans Struggle with High Prices

Thursday, October 8, 2026 by Aaron Delgado

While the Cuban government continues to promote the development of neighborhood markets as a means to improve food accessibility, consumer feedback paints a starkly different picture. These markets are plagued by unaffordable prices, persistent shortages, and little hope for improvement, rendering them ineffective for many residents living on modest wages and pensions.

José Ángel Calviño Pérez, the general director of the Guantánamo Commerce Group, defended these market initiatives during a segment on Radio Guantánamo’s program, "En Frecuencia con el Pueblo."

"In our province, we have successfully established seven neighborhood markets: three in Baracoa, two in Maisí, and two in Yateras," Calviño stated.

Calviño outlined that Guantánamo is home to 630 stores, of which 197 have been designated to serve vulnerable populations by distributing essential goods. This initiative is part of a nationwide reorganization of state commerce, which includes a total of 1,913 bodegas aimed at supporting these communities.

Additionally, he highlighted that two of the new markets are operated by state-run enterprises: the Agroforestal del Coco in Baracoa and the Agroindustrial de Maisí.

Challenging Economic Reality for Consumers

According to Calviño, these markets aim to sell staples like rice, beans, sugar, oil, milk, and hygiene products. They also benefit from tax incentives, such as exemption from the 5% retail sales tax and the implementation of electronic payment systems, as per the Ministry of Domestic Trade's Resolution 16/2026.

Despite these intentions, the main concern for consumers is not the proximity of these markets but rather their purchasing power.

"It’s nearly impossible to shop at these neighborhood markets," one initiative participant lamented. Initially launched with 24 locations, the initiative has reportedly expanded to 47 markets across different provinces, according to government sources.

Authorities originally promised prices 15% to 30% lower than private sector rates. However, in some market openings, the announced discounts were a mere 10% to 15%.

An AFP report highlights the struggles faced by those attempting to shop at these markets. "I’m 82, and my pension is 3,000 pesos. Coming here just means buying a bottle of oil and that's it," expressed América Guillén, a pensioner from Havana.

Paula Sonia Santiago, a homemaker, summed up the issue succinctly: "It’s almost impossible to shop at these neighborhood markets."

Price Disparities and Economic Strain

The reported prices underscore the complaints. In Santiago de Cuba, neighborhood markets have seen rice priced at 350 pesos per kilo, eggs at 150 pesos each, and powdered milk at 4,000 pesos per package.

With a minimum monthly salary of 3,210 pesos, purchasing ten eggs would consume nearly half of a person’s income. This disparity is even more concerning when compared to estimates from June 2026, which placed the cost of basic needs at approximately 96,000 pesos monthly—nearly 30 times the minimum wage.

These challenges unfold in an environment of growing poverty. According to the Cuban Observatory for Human Rights (OCDH), 94% of their study participants were classified as living in extreme poverty, with eight out of ten forgoing at least one meal daily due to lack of food or funds.

The Future of Traditional Bodegas and Ration Booklets

The proliferation of neighborhood markets coincides with changes in the traditional bodega network, which for decades has distributed goods through ration booklets.

The Ministry of Domestic Trade recently announced the selection of 1,913 bodegas from a national network of over 12,000 to serve vulnerable populations. However, it remains unclear what will happen to the remaining establishments and how the new distribution system will be implemented.

Activist Radimir Galán warned Martí Noticias that these transformed locations would operate under a commercial logic different from the old subsidized distribution centers.

"Prices there will be subject to supply and demand. There won’t be any subsidized prices at these new places," Galán noted.

Although these changes have raised concerns about the future of the ration booklet, the Cuban government has not formally announced its elimination.

Criticism also reached the official portal Cubadebate, where a public consultation on neighborhood markets elicited numerous negative responses.

Some users complained about prices similar to private micro-enterprises, while others claimed these markets did not even exist in their municipalities.

One of the most shared comments summed up the discontent with irony: "I want to shop at the neighborhood market where Díaz-Canel and Marrero do."

For Rafael García, a 75-year-old retiree interviewed by AFP after buying eggs at the Doña Luisa market in Havana, the gap between official promises and reality is summed up in one phrase:

"It’s not that it’s cheaper, it’s just less expensive."

Understanding Cuba's Economic Challenges

What are the main issues with Cuba's neighborhood markets?

The primary issues include unaffordable prices, product shortages, and limited purchasing power for many consumers.

How are neighborhood markets affecting traditional bodegas in Cuba?

The expansion of neighborhood markets coincides with a transformation of the traditional bodega network, raising concerns about the future of the ration booklet system and the availability of subsidized goods.

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