politics
Cuba's Cigar Production Hit by Oil Shortages, Lower Planting Targets, and Export Declines
A Havana cigar shop has not received shipments in a month amid Cuba's oil shortages. Authorities suspended the annual cigar festival in February due to the economic situation. Tobacco planting targets for 2025-2026 were revised downward after heavy rains.
Apr 15, 4:08 PM·2m read1 source
Al JazeeraAudio version
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# Cuba's Cigar Industry Faces Supply Disruptions from Oil Shortages and Reduced Planting Targets A cigar shop in Old Havana stands silent with empty mahogany shelves behind a heavy glass door, as the store manager observes the lack of stock. " Before the COVID-19 pandemic, the shop received deliveries of premium Habanos cigars from brands like Romeo y Julieta, Montecristo, and Cohiba three times a month.
Over the last few years, shipments to the shop have slowed to once a month.
In recent weeks, the monthly shipment pace to the shop is not guaranteed. The country relies on foreign imports for nearly 60 percent of its total crude oil supply. In January, the US threatened tariffs against any country supplying fossil fuel to the island.
US authorities ordered Venezuela to stop oil shipments to the island. Since the start of the year, only a single Russian oil tanker has reached the island.
The Russian oil tanker delivered 730,000 barrels in March, according to analysts.
The 730,000 barrels from the Russian tanker would power the country for little over a week, analysts stated. The country has experienced three total collapses of the electricity grid this year. 50 percent of tobacco fields in Pinar del Río province rely on electrified irrigation systems, the government reported.
Dried tobacco leaves are driven to Havana for hand-rolling in state-run factories. In February, authorities in Havana announced the suspension of the city's annual cigar festival due to the oil blockade and complex economic situation.
In 2024, the government reported nearly $827 million in revenue from tobacco sales.
In 2024, the island exported 50 million cigars, according to Tabacuba. Elena Herrera, a 56-year-old cigar roller in Havana, has worked for 16 years and earns 6,000 Cuban pesos per month, roughly $12 on the informal market.
