The governor of the US state of Maine, John Baldacci, has signed a multi-million dollar trade deal with Cuba's state-run food agency Alimport.
The agreement was signed in Havana
Under the deal, Alimport will buy Maine products worth $20m (£11.3m) by July 2007,including seed potatoes, fish and dairy cattle.
Mr Baldacci is due to meet Cuban President Fidel Castro later on Monday.
Food sales on a cash basis to Cuba are legal under a federal law from 2000 - an exception to the US trade embargo.
In 2001, Maine was the first US state to pass a resolution calling for a complete end to the trade and travel ban against the Caribbean nation.
Mr Baldacci said that, during his trip, he hoped to see his country's relations with Cuba normalised step-by-step.
"We are working within the existing framework, trying to show other states the ability to trade with Cuba," he told a news conference.
Mr Baldacci - the third state governor to travel to the island this year for trade talks - added that Maine farmers and businessmen supported his trip.
"All want to do business and build better relations with Cuba."
A US trade embargo on the Caribbean country has been in force for more than 40 years.
Correspondents say US farmers and politicians have become some of Cuba's top lobbyists, pushing for restrictions to be lifted.
Since food sales to Cuba on a cash basis were approved by Congress, Cuba has grown to become the 26th largest market for US agricultural exports.