Relations between Cuba and Russia are warming up. Russian First Deputy Prime Minister Boris Nemtsov, on a tour of Latin America, discussed the resumption of the traditional oil for sugar deal that had been in place under the Soviet regime but which had dropped to dangerously low levels— from the Cuban point of view—since the collapse of communism. The key discussions were not held in Havana but in Caracas. The Russians claimed that Venezuela is the key to Russian trade with Cuba. During the 1980s, Cuba shipped sugar to the Soviet Union. Venezuela shipped oil to Cuba to fulfill the Russian end of the bargain. The Soviets then filled Venezuelan contracts in Europe on matching basis. As a result, the Soviets were able to save on transportation costs, making a losing proposition bearable.