Miguel Díaz-Canel defended that the Cuban sugar industry is undergoing a process of "reconversion" and not abandonment, despite the historic collapse of its production.
The leader appointed in 2018 by Raúl Castro even proposed to implement power generation plants, even if they are not processing sugar cane, as part of the measures to revitalize the sector.
During a meeting held on Thursday at the Palace of Conventions in Havana, dedicated to the implementation of the 176 economic and social transformations, Díaz-Canel acknowledged the decline in productivity and the low levels of planting, but emphasized that the future of the industry lies in diversifying its activities.
The challenge for the sector is not to produce sugar at any cost, but to convert the industrial park of the mills by leveraging their capabilities in electricity generation, the production of molasses, and other products derived from sugarcane, she stated, according to the Cuban Presidency.
The also first secretary of the Communist Party went further by stating that “we must start up as many mills as possible, even if it’s not for processing in the context of the sugar harvest. The priority must be to generate energy.”
The proposal aims to leverage industrial facilities to generate electricity, primarily through cogeneration from sugarcane bagasse. However, the official report did not specify which plants could be included, how much energy they would contribute, or how the fuel for operation without milling would be ensured, since bagasse is obtained precisely from the processing of sugarcane.
The announced reconversion comes after decades of declining production. The 2024-2025 sugar harvest produced less than 150,000 tons of sugar, according to calculations by the EFE agency based on partial official reports, marking the worst result in over a century. In 1989, Cuba produced about eight million tons annually.
The 2025-2026 campaign was also marked by the energy crisis. In March, the Melanio Hernández sugar mill in Sancti Spíritus had to suspend its operations due to a lack of fuel when it was the only mill operating in the country. A definitive national report on that harvest has not been released.
In light of that situation, Díaz-Canel acknowledged that “without planting, there is no harvest, and without a harvest, there is no industry” and maintained that “it is not about normalizing unacceptable figures, but about using them as a starting point for an honest analysis.”
Although he attributed significant difficulties to the U.S. embargo and the so-called energy blockade, the leader also acknowledged internal responsibilities. “One cannot attribute everything to the blockade and the macroeconomy without assessing internal management,” he stated, while assuring that “the blockade is not an excuse.”
Her criticisms targeted the executives of the sector directly. "Bureaucracy and administrative passivity should be penalized as a serious offense," she warned, and demanded the removal of those who demonstrate "incompetence, bureaucratism, or resistance."
He also acknowledged issues with payments to producers and workers: “The debts owed to producers and unpaid wages have names and responsible parties.” However, the official report from the meeting did not specify the amount of those debts nor identify those responsible for the noncompliance.
Regarding the 176 economic and social transformations, Díaz-Canel demanded that they be clearly communicated to businesses and cooperatives, with each agreement having defined responsibilities and deadlines. "Transformation is measured in results, not in documents," he stated.
The demand arises when, according to recent official reports, 172 out of 176 measures already had approved policies and 231 legal norms had been generated, without this regulatory progress yet translating into a demonstrable recovery of sugar production.
When summarizing his new priorities, Díaz-Canel established another criterion for evaluating Azcuba's activity: “The sugar sector will be measured by the energy it generates, the molasses it produces, the debt it pays, and the salary it provides.”
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