Venezuela proposed to cooperate in the transference of technology in the
energy sector, and to eliminate immediately all of the non-tariff-related
barriers for imports from Cuba. It will also cooperate in the financing of
infrastructure and production projects, including energy, the electricity
industry, road building and paving, development of ports, waterways and
sewage systems, agricultural industry, and services.
This agreement includes tax exemptions on all investments by the state and
by mixed Cuban-Venezuelan companies in the country during the period of
recovery of the investments (prior to the "break even"point). It also
establishes tax incentives to projects of strategic interest for the economy
Furthermore, it makes its air and sea travel infrastructure available to
Cuba, on a preferential basis, in order to support Cuba’s economic and
social development plans.
Likewise, Cuba will give the ships under the Venezuelan flag the same
treatment given to those of Cuba, in all their operations in Cuban ports.

Cuba will also grant Venezuelan airlines the same rights granted to its own
airlines, regarding passenger transportation to and from Cuba, as well as
the use air transportation facilities in Cuban territory.
On the energy issue, the agreement establishes that "the price of the oil
exported from Venezuela to Cuba shall be fixed according to that of the
international market, as established by the provisions of the current
Caracas agreement between both countries". Nevertheless, it points out that
"considering the traditional volatility of oil prices, which has caused the
price of Venezuelan oil to drop below 12 U$, Cuba guarantees a price not
lower than 27 U$ per barrel, always in conformity with the agreements
Venezuela subscribes within the Organization of Petroleum Exporting
Countries (OPEC)".

In the educational area, Cuba offers 2,000 higher education scholarships a
year for Venezuelan students in any area that might be of interest to
Venezuela, including scientific investigation. This assistance also covers
interchange in educational methods and programs of interest for Venezuela.

Cuba makes 15,000 of its professionals in the field of medicine (who are now
participating in the Barrio Adentro medicare program for the impoverished
sectors of the country) available for the Bolivarian University, in order to
train as many future doctors and health specialists Venezuela may need,
which could be tens of thousands within the next ten years.
Imports of goods and services from Cuba could be paid for with Venezuelan
products, in bolívares or in any other mutually accepted currency.
The integral health services offered by Cuba to the population attended by
the Barrio Adentro Mission, will be granted in highly preferential
conditions and economic terms.

Finally, Cuba will facilitate the consolidation of multi-destination
touristic products from Venezuela without tax charges or any other type of

Published in Quantum N.45