-DATE- 19911017 -YEAR- 1991 -DOCUMENT TYPE- -AUTHOR- -HEADLINE- Castro Speaks at Santiago Hotel Dedication -PLACE- CARIBBEAN / Cuba -SOURCE- Havana Cuba Vision Network -REPORT NO.- FBIS-LAT-91-202 -REPORT DATE- 19911018 -HEADER- ********************* Report Type: Daily Report AFS Number: FL1710205091 Report Number: FBIS-LAT-91-202 Report Date: 18 Oct 91 Report Series: Daily Report Start Page: 4 Report Division: CARIBBEAN End Page: 8 Report Subdivision: Cuba AG File Flag: Classification: UNCLASSIFIED Language: Spanish Document Date: 17 Oct 91 Report Volume: Friday Vol VI No 202 Dissemination: City/Source of Document: Havana Cuba Vision Network Report Name: Latin America Headline: Castro Speaks at Santiago Hotel Dedication Author(s): Cuban President Fidel Castro at the dedication of the Santiago Hotel in Santiago de Cuba on 15 October-recorded] Source Line: FL1710205091 Havana Cuba Vision Network in Spanish 0212 GMT 17 Oct 91 Subslug: [Speech by Cuban President Fidel Castro at the dedication of the Santiago Hotel in Santiago de Cuba on 15 October-recorded] -TEXT- FULL TEXT OF ARTICLE: 1. [Speech by Cuban President Fidel Castro at the dedication of the Santiago Hotel in Santiago de Cuba on 15 October-recorded] 2. [Text] Dear Comrades: It was not on the schedule for me to make a speech here, because there have been all kinds of speeches in recent days. But, in any case, I feel I have a duty to say a few words. Dedicating a hotel like this one can be very simple and take only a few minutes, but building it takes years of work and millions and millions of hours of effort. I can imagine when you came here for the first time and there was nothing but an empty lot where you had to begin to prepare the ground for construction. I can imagine the architects drawing up the first plans, working out ideas. I remember very well the concerns we had about the hotel, whether it could be built in the required time, whether it would cost more, the materials that were needed, where we were going to get them, what each of them would cost, etc. 3. We have followed the hotel's progress closely. We asked how the hotel was going, and told you when it was behind schedule, that the hotel was at 5 percent, or 10 percent, or 15 percent of completion. This really became a great challenge for the construction workers of Santiago de Cuba Province. This hotel had two objectives. It was going to be used partly for the congress, then for the Pan-American Games, and mainly for tourism. 4. But obviously all the difficulties were overcome. As the chief of the contingent said, one of the most notable things is the fact that those who came to build this hotel had no experience in construction. There were not that many construction workers in Santiago. There were many Santiago residents building things elsewhere. Therefore, we had to train the personnel. A hotel like this was not just any old thing. A hotel like this was not a simple thing like the buildings the minibrigades make, or a two-star or three-star hotel. This was a five-star hotel. 5. I am going to tell you the truth: I did not know what a five-star hotel was. [laughter] A short time ago when I traveled to the inauguration of a Latin American president, I stayed at a five-star hotel. I looked around, and looked again, to see what a famous hotel was like, what the elevators, the rooms, the furniture, the construction, and the landscape were like. But we had never had a five-star hotel in Cuba. This is the first five-star hotel in Cuba. 6. Now, how does it look to me? I find it more beautiful than any hotel I have ever seen. [applause] I remember a few months ago I came here and it was in the middle of being built. Many of these facilities ...[rephrases] they said here is such-and-such, the pool is over there, something else is over there. But you could not get an idea of what the hotel would be like, until I came here on the eve of the congress. I went up to the terrace, or the observation place they have up there. I observed the landscape. I toured several rooms and facilities, and really it seems to me to be a marvelous thing. 7. I was able to see the furniture, which was built in our country, and it is extremely beautiful. I felt proud that our country could make that furniture. I was able to observe the concept, the organization, and it also seemed marvelous. My attention was especially drawn to the hotel workers, and I saw a whole generation of young Santiago residents, who are well-trained and well-educated. They made a wonderful impression. They give one a feeling of confidence that this hotel will have excellent service, that this hotel will operate as it should. 8. This hotel will operate as it should. I found out that the hotel was going to be dedicated during these days, and the first people who were going to enjoy this hotel would be 150 couples of outstanding workers. [applause] So although it is for international tourists, Cubans are going to dedicate the hotel, and they will be the Cubans who most deserve it. 9. [Audience member says: We are here.] I am glad, and I hope you enjoy it, as you deserve to. [applause] 10. These hotels have been built mostly for tourism, for reasons you understand. The country has great natural resources, but there is no easy oil. It is not a matter of drilling a well and seeing the oil spout. We have spent many years drilling wells, and we intend to continue drilling wherever there is a chance until we find a little more oil. It is said that even around in the ocean there may be some reserves, and we are negotiating with some companies that have technology, machinery, and experience in that kind of work to see how we can exploit the reserves in a partnership, as we cannot do it ourselves. We do not have the machinery, the experience, or the ability, and if the oil is there, we need it for our development. 11. We do not have those easy resources. We have to earn our daily bread by harvesting sugarcane, cutting sugarcane, producing sugar. Which of you does not know how much work it takes to prepare the soil, plant the cane, harvest it, cut it, take it to the mills, get the sugar from it, transport it to the ports, and export it, many times at ridiculous prices. The prices for the products of Third World countries are ridiculous, which is the opposite of the prices for the products of the rich countries. When they sell a pane of window glass like those, they demand a very high price. They pay wages of 1,000 pesos or more. We have to pay all this every time we have to import that kind of materials, and we have to pay them by cutting cane. 12. We need resources, because we have to buy a lot of materials. We have to buy manufactured goods; we have to buy food that cannot be produced here. You know that here we are not producers of [word indistinct] for bread. We do not produce malt, or barley. Our population is increasing; the need for food is increasing. We are not a cotton-producing country. Our climate is not suited for that. We have to buy cotton and cloth. We must buy all kinds of raw materials to do anything. We need money to be able to ensure the supply of basic goods for the people. We need medicines, because although we are developing many new types of medicines, and they are going to become an important source of income for the country, we do not have all the medicines we need. No country has everything. Some of the medicines have to be imported. We have to import medical equipment, because although we are producing more and more medical equipment, we do not have all we need. 13. We have to buy all kinds of equipment-transportation vehicles, agricultural machinery, lathes-in short, all of you know we have to buy things. 14. A lot of that used to come from the socialist bloc. We cannot talk about the socialist bloc today. In the socialist bloc, they paid us fair prices for our products. Such prices do not exist today. The deliveries were certain. Today deliveries are not certain. Before, there were deliveries of galvanized steel pipe for building housing or anything. There were deliveries of steel that was rolled for... [changes thought] today, none of that is deliveried. In fact, even when it has been agreed on, we are left here waiting for the ships with the goods and they do not arrive. 15. I am telling you this to explain to you that we need to find resources. What we would like most is for everyone to enjoy these hotels, but we have to choose between hotels and food, between hotels and clothes, between hotels and raw materials for domestic use, between hotels and medicines, between hotels and many things. Tourism is not always understood by the people as well as it should be. In some places, especially in Havana, they look at tourism as something that is taking something away from them. If a new hotel is built that did not exist before, and the hotel is for foreign tourists, they think that the foreigners are taking it away from them. It is the same as if people thought that the nickel we produce for export was being taken away from them, or if people thought the sugar we produce for export was being taken away from them. It is not as well understood everywhere. 16. In the country's provinces there is generally a lot of understanding, and people are glad to have new centers, new jobs, well-paid jobs. They have jobs that, for better or for worse, are easier than going down in a mine or pulling weeds in the summer or cutting cane, with the heat and humidity in our country. I have observed that generally, development for tourism is well received in all the provinces, and there is more understanding, and there are benefits. We are building some of these hotels in partnership with foreign companies. We are building others with our own capital. We always prefer the hotels that are ours, because we can manage them better. We have more freedom in using them, so that when there is extra capacity, we can use it in the summer for our people, because we want our people to enjoy all these things as much as possible. If the hotel is a joint enterprise, what we pay in pesos is converted into hard currency, and we have to pay for the rooms partly in hard currency. 17. For our part, we are building all the entirely Cuban-owned hotels we can. We have to build other hotels in partnership with some company. We put up the work force, the construction, a lot of materials-cement, stones, sand-but we must buy other things, such as elevators, air-conditioning units, and that kind of equipment. We have to buy them with hard currency. In any case, the hotels are good business. The capitalists who invest quickly recoup their money, and we also recoup our money, everything we have done on the hotel, in the same period of time. 18. It could become a great source of income for the country. It could one day become a source of income as important as sugar. Think of the more than 500,000 workers in the sugar industry: in agriculture, industry, transportation, and all that. Through such exploitation of our natural resources-which are our sun, our climate, our waters- we can develop great wealth. We can create hundreds of thousands of jobs, good jobs, well-paid jobs, for our workers. We can also create jobs that are pleasant, jobs in which you work not only with your hands, but also with your mind, jobs that require a high level of education, jobs that are easier than many other jobs we know. 19. We are now thinking about all kinds of business deals. We built this hotel ourselves. There are some who say it will be difficult to sell the 300 new rooms, because a hotel at a beach elsewhere would be easier. Now we have to market the hotel. There are some businessmen who have proposed a deal to us. They say: We are willing to put up the capital to build three more hotels, and we will go into partnership with you in this hotel. We are studying it, because if we are going to use 40 percent of the hotel, and a partner comes along and says he will go into partnership with us and build three or four hotels, or five or six more hotels with us, we can make a deal. That is what they say, that they can ensure greater use of the hotel. We are studying it. We do not like to go into partnership in hotels we have already built. It would have to be something very useful and very suitable for us to accept it. 20. This is one of the operations we are studying. Santiago is something new. It is not Varadero. Everyone wants to go to Varadero. A lot of people even want to go to Havana, but there is not a lot of demand yet for Santiago. This tourist center is not so well known, although I think it is one of the best. I think the combination of the ocean and the mountains is wonderful, and the hospitality of the Santiago residents cannot be beat. [applause] 21. But we are inventing things, with these joint enterprise hotels. In Havana we built a hotel called Viejo Caribe. That hotel was for some so-called scientists who were going to cooperate with us in developing genetic engineering, but when we saw we were building that center and it was not going to be done through international cooperation, and that Cubans were able to solve the problems, we kept the hotel for ourselves. We said: Let us make a few changes, alter it, and turn it into a tourist hotel also. 22. It is there near the research center, and it turned out very well. A lot of doctors, a lot of scientists, who come here for international events, stay there. But there are also some rooms, and many of the scientists who work there-workers at the scientific and technical complex- go there for a weekend, a few days, or a week. In this case, the hotel has a double use. It is an incentive for all those workers. It has to be controlled, and it must be controlled because of the issue of who will be given the opportunity to stay there. Imagine if the manager put an ad in the newspaper, saying we are opening the hotel, we have 150 rooms, and whoever wants to can come. 23. It would surely not be the workers who participated in building it who would come. It would surely not be the outstanding workers. Those who would come would be those who have the most money, one of those black-market sellers who have a lot of money, one of those who steal a bottle of beer and sell it for 40 pesos, one of those who deal in cigarettes. They are the ones who have money. Who would come? The vagrants, those who do not contribute anything to society. It would be better to have controlled tourism, like the controlled tourism that has been done with the 150 couples who are going to be the first to stay at this hotel. [applause] 24. That is why we want hotels that are 100-percent Cuban. We can manage them better. Part of the year, at some time, we can also use them for Cuban tourists. Of course, that costs us money, because if you have Cuban tourists it is different. There may be a little hard currency store in a corner somewhere. We do not have money to be buying those things and selling them to anyone who has money. Many people have money today. If we sell the things at high prices, the tourists will not buy them. If we sell them at low prices, they will be sold out in five minutes. So there may be a little store somewhere, out of necessity, out of painful economic necessity. 25. But we are thinking about our hotels in those months when they are not full, especially in the summer months, about giving them some use so our fellow countrymen can enjoy them, even if it costs us some money. It will cost us something. It will even cost us something in hard currency, because some of the food that is distributed at the hotels and everywhere always cost a little hard currency. With a joint enterprise hotel it will take a little more work, but we are improvising things. So we are improvising so that if there are 15, 20, or 25 rooms somewhere, even in a joint enterprise hotel, we can make some arrangement with our partner, and reserve some rooms for controlled, Cuban tourism. 26. But that must be earned, by good workers, good scientists, good teachers. In any case, Santiago residents should also receive their part, not just tourists. [applause] We are improvising. We do not know if we will make a deal. If we do business with this beautiful hotel, we will begin by asking for the hard currency we have spent here on this hotel. If it is 20, then 20; if it is 25, then 25; if it is 27, then 27, for our part. The rest is by halves. It is just that we built everything here. We would be partners. We would take our 25 million [currency not specified], shall we say-or whatever it is, because that would have to be discussed-and we would build another hotel like this one. Or we would build two more. Wherever we could get a dollar, we would build a hotel. 27. So we would not lose anything by going into partnership with the Spanish, in this case. 28. [Audience member says: Since it is in the heroic city, it has greater value.] Of course, we have to charge for that, also. [laughter] 29. We said: Well, how many hotels are you going to build and where? Bring in the capital and we will build several more hotels in partnership. But with our little bit of money-which is ours, which is what they will give us for this, what we have spent to buy many materials-we are going to build two hotels somewhere. Maybe they will not be five-star hotels, but they will be four-star hotels, in different places. We may build 500 or 600 rooms more, which will be ours. 30. Because, I repeat, there will be two kinds of hotels: hotels that are entirely owned by Cuban organizations, and hotels that are held in partnership. Today most of the ones we are building are Cuban-owned. But of course, to build all the hotels that could fit in this country, we need billions of dollars. About 200,000 rooms could be built in this country. We would need about 700 hotels like this one, or as big as this one, in this country, to be able to exploit the fabulous resources our island has. We have sun, clean air, clean water, and clean people. 31. Because Europe is poisoned. Thousands of factories pour their wastes into the Mediterranean. There is no oxygen there, even. In addition, it is cold in winter. They have spoiled all the beaches because they built on the beaches. 32. The capitalists with their ambitions have no order. They have spoiled many of the beaches, while each of the beaches we have are virgin, like the beaches we have reached with the causeways. They have a guiding plan, an area for beaches and sand, and an area where the buildings are. So things are done well. Maybe we will not have as many rooms, but they will be more expensive rooms, because you can build 200,000 at one price, or 100,000 for twice the price. Because you should know that these days many tourists do not like high-rise buildings. They feel as if they are in a cage. 33. They prefer two-story or three-story buildings. They are a little more human, and they cost less, because you do not have to pay for elevators and a million other things. If you have to spend $50,000 or $60,000 or $100,000 on one of these [high-rise buildings]-in hard currency; I am talking about hard currency, foreign exchange-we can build those [low-rise buildings] for $20,000 or $25,000 or $30,000. Of course, they take up a little more room, but you can charge more for them. We have to think about all these things. We are thinking very seriously about them. 34. We have other deals, which are better than the hotels. We are putting our money there. We are not forming partnerships. Where we cannot do anything, and there is no alternative, then the partners can come in. If they do not, what would we do? Just leave it there? But above all, almost all of our money is in scientific research and biotechnology work. 35. So under the leadership of the party and the socialist state, under the leadership of our working class, we are developing our country, even if there is no alternative but to accept some foreign capital. As long as it is in the investor's interest, and in our interest, either because the investor brings the technology, or the market-because often a market is needed-or the capital, we will make some of these deals. There are already some of these joint enterprise hotels in operation. They are providing great results. They have a 90-percent occupancy rate. The partners have taught us how to run the hotels, because really we did not know how to run a hotel. Sometimes we did not know how to run a cider-making machine. You know how things are. 36. They have their sciences, their organization, their style, their methods, and their systems. There are now joint enterprise hotels that are involved in the emulation campaigns, our hotels as well as the joint enterprise hotels. There are now new hotels that are operating as well as or better then the joint enterprise hotels. This kind of competition we have created has worked well for us. The efficiency of hotel work can be measured by the amount of repeat business. If you observe that 100 people have come, and of the 100 no one wants to return, things are going very badly. They had soup spilled on them, the food was bad, the room was not clean, things were stolen from their suitcases, or any of those things that can happen. 37. That is why the people who work at the hotels must be well chosen. They must be well trained. They should have good wages, naturally. They must be people with a lot of political awareness, because they are the first thing the tourists see. The tourists are going to judge our country by the workers there, by the workers' manners, the quality of service of those workers. Fortunately there are a lot of new people, people who are starting for the first time. There are always some who have experience and who teach them, but there are new people who do not have the old vices. We must make an effort so that those old vices do not reappear. By taking advantage of natural resources we can get as much as we get from sugar, when tourism is fully developed. You know that there are almost 160 sugar mills, that there are almost 150 caballerias [number as heard] of sugarcane, that there are hundreds of thousands of sugar workers. The work is hard. If we can get money through tourism, it would help our country so much. 38. It is the same with biotechnology, the medical industry, the pharmaceutical industry, and medical equipment. They should give the country a lot of funds, perhaps as much as sugarcane, perhaps more than sugarcane. That is the development we are promoting now, at a rapid pace. We think that Santiago is becoming a great tourist center. As you see, we already have a Tropicana Cabaret. When you take people to the Tropicana, they say this one is as good as the one in Havana. Some say that it is going to be better than the one in Havana. Who has more musical spirit than the people of Santiago? [laughter] 39. Who has these coasts and mountains? How many things we can do here, in this beautiful countryside, where the ocean and the mountains are combined! What other industries could be developed, here in Baconao, here in this historic city, one of the oldest in America, here with this hospitable population? Many of the things we sell to the tourists, the handicrafts-how many jobs could we create around that? You can see that in addition to being partners and sharing in the profits, the work force is made up of Cuban workers. The water we serve is ours. For many of the products we serve, it is as if we were exporting them to this hotel. So there are many advantages. This is something that is inseparable from the country's development. 40. If we had great oil reserves, we would not have to be so concerned about tourism. But we are not going to be contaminated. The tourism that comes to our country is healthy tourism. It is not gambling, drugs, or prostitution. We are already getting hundreds of thousands of tourists a year, and they have not corrupted us. On the contrary; our country can exert a positive influence on the tourists. Our country can gain a lot of prestige, and the prestige a country gains in one field helps in other fields. It creates confidence in the country. It helps in many other types of economic development [words indistinct]. This has to do with the quality of service provided by the excellent young people working at this hotel. This hotel no longer has an extremely inflated payroll. Before, this hotel would have had about 700 workers. Now I think it has about 309. If they continue to study hard, and with the ability to do several jobs, and all that, [words indistinct] If not, there would not be enough people in this country to look after the hotels, if we had to double or triple staffing. 41. The service of the tourism workers must be excellent, and the management work must be excellent. There must be discipline. There is special discipline for the hotels. There must be rigorous standards. There must be talent. There must be education. No one learns on his own. We must educate each of the young workers in how things should be done. We must be demanding. We must teach them discipline. There is nothing as beautiful as discipline. There is nothing people like better than discipline. Our workers like discipline. Our workers do not like disorder. Our workers reject disorder. You know that it is with discipline that we do great things. You can see what we are achieving with the discipline of the contingents. It used to cost 2 or 2.5 pesos to produce something worth 1 peso. Now it costs 80, 70, or 60 centavos. You can see what is being saved in fuel, what is being saved in chemicals, what is being achieved in quality, with this conscious worker discipline, this discipline that the workers themselves impose. 42. That is how we have to work. We do not get anywhere with paternalistic discipline. We create chaos; we create disorder; we corrupt people. There is no country that can develop itself without discipline. Capitalism has its discipline, which is the discipline of hunger, the discipline of unemployment, the disciplines imposed by the shortage of everything: medical services, educational services. People die because a doctor will not care for them, or they have to spend millions to pay a private doctor. 43. We have all these things in our society, and they do not cost us one cent. In socialism, discipline has to be conscious. In socialism, the workers themselves have to apply discipline, and I think that rectification is yielding very good results. 44. We must congratulate those who built the hotel. [applause] They have built the prettiest hotel in Cuba. They have built the first five-star hotel in our country. We must congratulate the construction workers and the architects for the wonderful ideas they came up with for the construction of this hotel, for the quality of this hotel. Now we must maintain it. Now we must conserve it, so that everyone who comes here will take away an unforgettable memory, so that they will return, if not to here, then to Varadero or other places. I have already said that efficiency in hotel service is measured by return visits. 45. This is a healthy country. This is a country where the population has a high level of education. This is country with a health system that few countries in the world have. This country has many attractive things. This country has a history. This country has universal prestige. Many people want to see our country, and the number is increasing. Next year, we will receive from $500 million to $600 million from one source or another. You can see how much that has grown, and in such a short time. But we must continue to build without respite. There is a group of people from Santiago who worked on this hotel, who are now helping to complete hotels in Havana or Varadero. 46. Now we have to build a lot here-hotels, the biotechnology industry, and other things-because now all the efforts, 100 percent, are concentrated on economics, things that will bring us funds, things that will help us overcome the special period, things that will contribute to enriching our country. You know we are experiencing difficult times, for all the reasons you know about. Things may get even more difficult, but we must have our spirits prepared to overcome the problems. You must be like Maceo's soldiers. 47. You must be like Agramonte's soldiers. You must be like the soldiers who fought in Cuba's wars for independence. You must be like the soldiers who brought about the definitive liberation of our country in the mountains. You must be like our glorious and heroic internationalist combatants, ready to continue to do things in the midst of whatever difficulties there may be. We will always seek the best for you. We will always seek the best possible food, within our capabilities, for the vanguard workers, as you are. We will try to have the best care for the workers. But you are the generation of construction workers who must fill this country with hotels like this one. You must fill this country with factories. You must fill this country with buildings. You must develop the country. 48. That is why, while I congratulate you for what you have done and the excellent quality of what you have done, I urge you, your chiefs, and the architects, to continue to work with the same spirit. I express to you my pride in knowing that we have today, in Santiago de Cuba, the best construction workers in the country. [applause] 49. I thank you, in the name of the people, for the work you have done. 50. Socialism or death, fatherland or death, we will win! [applause] -END-