Billing Code: 3510-33-P

DEPARTMENT OF COMMERCE

Bureau of Export Administration

Title 15, Chapter VII

Docket No. 980520134-8134-01

RIN 0694-AB49

Exports of Humanitarian goods and services to Cuba

AGENCY: Bureau of Export Administration, Commerce.

ACTION: Notice of policy.

SUMMARY: On March 20, 1998, the President announced three initiatives to increase the provision of humanitarian goods and services to Cuba. The Bureau of Export Administration (BXA) is streamlining procedures to facilitate the export of humanitarian goods consistent with recent legislation that provides support for the Cuban people.

FOR FURTHER INFORMATION CONTACT: James A. Lewis, Director, Office of Strategic Trade and Foreign Policy Controls, Bureau of Export Administration, telephone: (202) 482-4196.

SUPPLEMENTARY INFORMATION:

On March 20, President Clinton announced that the United States is taking a number of steps to expand the flow of humanitarian assistance to Cuba and to help strengthen independent civil society and increase religious freedom in that country. These included lifting the ban imposed in 1996 on direct humanitarian flights to Cuba, streamlining procedures for the sale of medicines and medical equipment to Cuba, and allowing family remittances of specified amounts to close relatives in Cuba. These measures are fully consistent with the Cuban Democracy Act of 1992 (CDA) which, in addition to sustaining economic sanctions, also enable and encourage the Administration to conduct a program of support for the Cuban people. The resumption of direct humanitarian cargo flights will enable humanitarian assistance to reach the Cuban people in less time and at less cost.

As a result of this decision, direct humanitarian cargo flights may resume under the Department of Commerce's Export Administration Regulations (EAR) (15 CFR parts 730-774). Aircraft on temporary sojourn to Cuba that are carrying humanitarian cargo and that satisfy all the requirements of License Exception AVS (§740.15 of the EAR) do not need a specific license from the Department of Commerce. Aircraft carrying humanitarian cargo to Cuba that do not satisfy all requirements of License Exception AVS will require a specific license from the Department of Commerce. License applications for aircraft on temporary sojourn carrying humanitarian cargo will be reviewed on a case-by-case basis and favorably considered. License applications involving aircraft flying for any other reason will be reviewed on a case-by-case basis. Cargo that is carried on such flights is subject to separate regulatory requirements. Certain donations may be eligible for a License Exception under §740.12 of the EAR. However, other donations, such as donations of medicines and medical items, and all sales of humanitarian items require a specific license from Commerce.

In addition, procedures for exporting medicines and medical equipment to Cuba, either for sale or donation are being streamlined and license processing time reduced. Agencies will strive to reduce license review time by 50 percent. The CDA provides for exports of medicines and medical equipment and supplies to Cuba either on a donative or commercial basis. The Administration is taking steps to facilitate compliance with the on-site verification and monitoring requirement that applies to medical sales and certain donations to Cuba. A variety of possible entities may conduct on-site verification and monitoring as required by the CDA. These entities include, but are not limited to, representatives of the license applicant, religious or charitable groups, western diplomats and international nongovernmental organizations.

Related regulatory requirements: The Department of the Treasury's Office of Foreign Assets Control (OFAC) licenses companies that provide direct charter flight service between Miami, Florida and Havana, Cuba. OFAC also is responsible for licensing family remittances and the financial transactions of persons travelling to Cuba, including persons that accompany cargo on humanitarian cargo flights licensed by the Department of Commerce.

DATED:

R. Roger Majak

Assistant Secretary

for Export Administration