Monday, October 31, 2022

Russia's Exit From Ukraine Grain Deal Puts World Food Supplies At Risk

FILE PHOTO: The Sierra Leone-flagged cargo ship Razoni, carrying Ukrainian grain, is seen in the Black Sea off Kilyos, near Istanbul

Reuters: World food supplies at risk as Russia withdraws from Black Sea deal 

SINGAPORE (Reuters) -Russia's weekend backtrack from a U.N.-brokered deal to export Black Sea grains is likely to hit shipments to import-dependent countries, deepening a global food crisis and sparking gains in prices. 

Hundreds of thousands of tonnes of wheat booked for delivery to Africa and the Middle East are at risk following Russia's withdrawal, while Ukrainian corn exports to Europe will get knocked lower, two Singapore-based traders said. 

Russia on Saturday suspended participation in the U.N. grain deal for an "indefinite term", after what it said was a major Ukrainian drone attack on its Black Sea fleet in Crimea. 

"If I have to replace a vessel which was due to come from Ukraine, what are the options? Not much really," said one Singapore-based grains trader who supplies wheat to buyers in Asia and the Middle East.

Read more ....  

Update #1: The World's Food Security Is at Stake as Russia Exits Grain Deal (Bloomberg)  

Update #2: Food shortage and inflation risks rise after Russia withdraws from Black Sea export deal (SKY News)  

WNU Editor: Not surprising. Global wheat prices are rising .... Wheat prices jump by nearly 6% after Russia withdraws from vital Ukrainian export deal (CNBC). 

This is where Ukraine's grain is being exported to (see tweet below). What is interesting is that most of Ukraine's grain is going to the West. Something tells me that a lot of middle men are making a lot of money right now, and they are probably irked that this revenue stream has now been interrupted.:

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1 comment:

  1. AnonymousOctober 31, 2022 at 6:32 PM

    At least the dems can blame global food inflation on this insignificant port again.

    ReplyDelete