Consumerism gaining foothold in communist Cuba

CUBA: The decision by high-end retailer Victorinox to open a store in Havana left many people scratching their heads.

Who, in cash-strapped Cuba, would be able to afford the pricey Swiss emporium's deluxe cutlery, sleek luggage items and precision watches? Lots of folks, it would seem.

"We sell to tourists from Russia, China, Mexico and Venezuela -- they say the prices here are cheaper than in other countries," an employee at the store, which opened a little more than a year ago, told AFP.

And it's not just foreigners: Growing numbers of Cubans with access to dollars also have the wherewithal to go shopping there, as it turns out. Some get their income from "paladares" the privately-run restaurants where tourists pay for their meals in hard currency. Others get cash thanks to the largesse of relatives from overseas who send money from time to time.

In short, 14 months after its grand opening, business is brisk at Victorinox and other Western stores with outlets on one of Marxist capitalism's last outposts.

In a sign that communism is slowly giving way to consumerism, other stores are locating here, with names familiar in shopping malls around the world, such as Mango, Benetton, and Adidas.

It is what one Cuban official told AFP is a "restructuring" of what a relatively short time ago was still a classless society.

"There is a slow redistribution of wealth," said the government economist who asked not to be named.

In a country where anyone who receives a government paycheck is rarely able to make ends meet, business nevertheless is booming at Western stores such as Victorinox.

Even the least expensive of Victorinox's wares is costly for most in Cuba, where the monthly pay -- the same for all salaried workers on this communist island -- is around 18 dollars per month. And yet, a shopping spree at a store is no longer off-limits to many Cubans, said Ariel Terrero, a leading economist, who also noted the marked realignment in Cuban society. Terrero in remarks on state television last week identified four distinct strata in Cuban society today: Low income, middle income, upper middle income and high income. AFP