Technological and enterprise upgrading of agro-chemicals and agricultural machinery production sector in Cuba

 

Context

Since the early 1990s, Cuba has been facing significant challenges in its agricultural industry and food security. Structural transformation started in 2011 has triggered positive developments in the Cuban economy, which, along with an increased level of tourism, has contributed to job generation and stimulated development of other industries. However, the tourism boom also puts pressure on the local production of agricultural products, which consequently relies on imported fertilizers and agricultural machinery.

To help address these challenges and take advantage of the favourable changes undergoing in the region, UNIDO support the Government’s efforts towards technological and enterprise upgrading in the industrial sectors of agro-chemicals and agricultural machinery production, thereby contributing to food security in Cuba.

Strategy

The UNIDO project on "Technological and enterprise upgrading of agro-chemicals and agricultural machinery production sectors in Cuba" (or IUMP in Cuba) aims to contribute to the inclusive and sustainable industrial development in Cuba and improve its food security through upgrading and modernizing the industrial sectors of fertilizers and agricultural machinery. The project consists of three main modules:

1. Assessing the current structure of the Cuban fertilizers and agricultural machinery sectors to meet the country’s agricultural development needs and follow the trend of international market. This will identify key product lines within the existing fertilizers and agricultural machinery industrial sectors.

2. Helping these pilot enterprises take comprehensive measures to enhance the industrial performance and competitiveness. The industrial upgrading package will focus on coaching local operators on developing and implementing action plans that will improve their technology cycle, operational performance, material and energy efficiency, financial management, and marketing practices, as well as their ability to produce cost-effective, safe and quality products in sufficient volumes and complying to international technical standards.

3. Strengthening the human and technical capacities of the national counterpart, technical support institutions and operational units so that they consolidate and develop business support services for local producers to enhance productivity and achieve competitiveness.

Impact

The UNIDO project will help supply fertilizers and agricultural machinery of enhanced quality to the agricultural sector of Cuba. This will help increase the competitiveness of Cuba's priority industries, and stimulate the development of better quality products and services with higher value added. The sustainable supply of food to the local market will ensure food self-sufficiency and address the need of the growing tourism sector. Overall, these developments are expected to contribute towards the inclusive and sustainable economic and industrial development in Cuba.

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