Trade Regulations

Russia, Ukraine formalize grain export deal

Jul, 22, 2022 Posted by Gabriel Malheiros

Week 202229

Authorities from Russia, Ukraine, and the United Nations (UN) signed Friday, July 22, a deal for the resumption of Ukrainian grain exports through the Black Sea. Turkish authorities and UN representatives confirmed the agreement.

UN Secretary-General António Guterres had planned to fly to Istanbul on the evening of the 21st. A UN official said the parties involved had reached an agreement but warned that last-minute problems could still arise before the signing – which did not occur.

Turkish Presidents Recep Tayyip Erdogan and Russian President Vladimir Putin both recently sounded upbeat about the talks, as did a senior Ukrainian official. “We will take the first step to resolve the current food crisis with the UN Secretary-General, Ukrainian and Russian delegations,” Turkish Foreign Minister Mevlut Cavusoglu said in a Twitter post on the eve of the signing of the agreement. After the pact, he went to the same social network to celebrate: “it will contribute to the solution of the world food crisis.”

Grain talks amid war

A deal could free up about 18 million tonnes of wheat, corn, and other grains that Ukraine stopped exporting because of the war, which contributed to a rise in global food prices that – according to US officials – sparked protests in 17 countries. However, in recent days, there were still substantial differences between the warring parties, Western officials said.

Even as governments reach an agreement, private ships, insurers, and maritime crews may be hesitant to move cargo from Odessa and other warzone ports, given the threat of further attacks, according to officials, grain traders, and other industry experts. In addition, both and Ukraine have placed sea mines in the Black Sea that pose a danger to any ship in the area.

A US official said that military delegations from Russia and Ukraine haven’t closed a deal over the past few weeks about how these mines ought to be removed. Ukraine has also increased the number of mines near its ports in recent weeks to fend off potential Russian attacks, the official said. Safe passage for ships carrying food and procedures to search private vessels to ensure they are not carrying military equipment are among the topics to be resolved. In addition, Ukraine has demanded international security guarantees to prevent a Russian attack once the mines are cleared.

Ukraine exported about 2 million tonnes of grain in June overland and via smaller ships from the Danube River to the Black Sea, according to Ukrainian officials. In addition to the grains currently held back in Ukraine as a result of the invasion, there is the challenge of how to store or export the country’s next summer crop, estimated at 65 million tonnes.

Source: Canal Rural

To read the full original article, please go to: https://www.canalrural.com.br/noticias/agricultura/russia-e-ucrania-assinam-acordo-para-a-exportacoes-de-graos/

Sharing is caring!

Leave a Reply

Your email address will not be published. Required fields are marked *


The reCAPTCHA verification period has expired. Please reload the page.