Economic crisis in Cuba drives the emergence of Mipymes in Luyanó.

In a context where the economic crisis has led many Cubans to struggle with shortages of food and basic products, the emergence of micro, small, and medium enterprises (Mipymes) presents itself as a phenomenon that, despite its limitations, seeks to offer alternatives in an increasingly under-supplied market. Mercatoria, a business located in Luyanó, Havana, is at the forefront of this new reality. Its owner, Aldo Álvarez, has managed to take advantage of the changes in the country’s economic policy, which allowed for the creation of Mipymes in an attempt to revitalize a stagnated economy. The shelves of Mercatoria showcase products that were previously considered exclusive: from María cookies to Hunts tomato sauce, and Goya beans. However, this diversity of products contrasts with the harsh reality faced by many Cubans, who often lack the financial resources to make a purchase. The duality of having imported products while the population suffers from hunger reflects the tensions of an economy trying to open up but still facing deep structural limitations. Mercatoria started with a modest group of five people who ventured into distributing products to restaurants and cafeterias during a period of scarcity. Álvarez's experience, having moved to Spain and returned to Cuba in 2018, allowed him to identify opportunities amid the crisis. Today, his company not only supplies points of sale but has also created its own café and bakery, a symbol of the resilience of Cuban entrepreneurs in a hostile environment. Despite the progress, Álvarez is aware of the uncertainty surrounding Mipymes. The Díaz-Canel government has shown a history of ups and downs in its relationship with the private sector, creating a climate of distrust. The historical experience of self-employed workers, who have sometimes been stripped of their licenses, weighs heavily on the decisions of current entrepreneurs. Nevertheless, Álvarez and other entrepreneurs are willing to take risks, convinced that there is space for economic development amid adversity. The arrival of Mipymes has also brought a new narrative to the Cuban Constitution, which for the first time recognizes "private property." This change, while significant, raises more questions than answers about the future of the private sector and its relationship with a state that has maintained tight control over the economy for decades. With over 11,000 registered Mipymes in the country, many operate in fields ranging from gastronomy to technology. However, the restrictions imposed by the government, which limit businesses to 100 employees and prohibit foreign investment, pose obstacles to the growth of these companies. Engineer Yulieta Hernández, founder of a construction company, points out that these limitations severely restrict the potential for development and expansion they could achieve. The private sector in Cuba has come to be seen as a solution to the shortcomings of the state, especially in a context of prolonged crisis. However, the official narrative often blames Mipymes for high prices, diverting attention from the structural failures of the state economy. Private enterprises, which in many cases are fulfilling the functions of the state, thus become scapegoats for a complex situation. The government, for its part, has emphasized that it does not seek to dismantle the private sector. However, the perception of a latent threat to the private economy persists among entrepreneurs. The government’s change in discourse, which sometimes seems to depend on the political context, has generated an atmosphere of distrust that could affect the sustainability of Mipymes. As the political and economic environment continues to evolve, Cuban entrepreneurs face additional challenges. The uncertainty caused by changing policies from the United States and internal economic instability has led many to question the viability of their businesses. Despite the reforms, the path to a more open and dynamic economy appears long and fraught with obstacles. The experiences of individuals like Aldo Álvarez and Yulieta Hernández highlight the complexity of the Cuban situation. While some have managed to establish successful businesses in an adverse environment, others find themselves trapped in a reality where the prices of basic products continue to rise, and social inequality becomes increasingly evident. In this island where scarcity and hunger coexist with the emergence of luxury products, the future of Mipymes and their role in the Cuban economy remains a topic of debate and analysis. Hopes for significant change will depend on the government's ability to balance economic openness with state control, and on the entrepreneurs' ability to navigate an increasingly complicated landscape.