Ukraine’s new agriculture minister Mykola Solskyi on Saturday said Ukraine’s ability to export grains was getting worse by the day and would only improve if the war with Russia ends.
In a televised briefing, Solskyi said Ukraine would normally be exporting 4-5 million tons of grain per month – a volume that has fallen to just a few hundred thousand tons.
Russia and Ukraine together supply over 25 percent of the world’s wheat, and are also key suppliers of barley, sunflower seed oil, and corn, among other products.
Since Russia’s invasion of Ukraine in late February, wheat exports from Ukraine and Russia, are being blocked by Russia’s navy from leaving the Black Sea, Germany’s largest agricultural trader BayWa said this week.
Up to 300 ships have been stopped by Russian forces from departing the Black Sea, leaving one of the key global trade routes for grain virtually blocked.
The naval blockade by Russia has done more than just halt ships from carrying grains from the Black Sea ports, according to Jörg-Simon Immerz, head of the grain trading at BayWa.
Noriel Arauz, the administrator for the Panamanian Maritime Authority, said that three Panamanian-flagged ships have come under Russian fire since the invasion of Ukraine started. One of the ships sank and two others were damaged, while no one was injured, reported US News.
The war in Ukraine has led to increased uncertainty in global markets on Thursday, according to the New York Times. S&P Global Platts temporarily suspended publishing trades, offers and other market values for commodities loading or delivering in the Black Sea.
Shipping traffic to the Sea of Azov, off Ukraine’s southeastern coast, appeared to be shut down Thursday morning, with dozens of vessels queuing at the inlet with the Black Sea, according to Lloyd’s List Intelligence, a maritime information service.
