The deal to resume grains export took 2 months to materialize and is set to last 120 days, raising hopes that the global food crisis caused by Russia’s invasion of Ukraine can be eased
The first ship carrying grain, under the United Nations (U.N.) brokered deal, has left from Black Sea Port of Odesa in Ukraine today, i.e., Monday, August 1, 2022, raising hopes that the global food crisis caused by Russia’s invasion of Ukraine can be eased.
Sierra Leone-flagged vessel – M/V Razoni is bound for the Port of Tripoli, Lebanon, and is carrying a cargo of around 26,500 metric tonnes (more than 29,000 U.S. tons) of corn. The ship will anchor off the coast of Istanbul at around 3:00 p.m. local time (8:00 a.m. ET) on Tuesday, August 2, 2022, where it will be inspected before proceeding to its final destination. Turkey, supported by the U.N., will inspect the ship, to allay Russian fears of weapons smuggling.
The deal to resume grains export took 2 months to materialize and is set to last 120 days. It can be renewed if both parties agree. Turkey had played a major role in getting the deal finalised. Even after the deal got agreed, the chances of resuming export were low as Russia launched 2 missiles at Odesa Port within 24 hours of the deal being signed.
Taking it to twitter, the Minister of Foreign Affairs of Ukraine – Dmytro Kuleba tweeted,
The day of relief for the world, especially for our friends in the Middle East, Asia, and Africa, as the first Ukrainian grain leaves Odesa after months of Russian blockade. Ukraine has always been a reliable partner and will remain one should Russia respect its part of the deal.
— Dmytro Kuleba (@DmytroKuleba) August 1, 2022
The Secretary General of U.N. – António Guterres welcomed the departure of the ship and hailed Turkey for its role in working to implement the agreement. The U.N. is expecting a monthly export of 5 million U.S. tons of grain each month. A total of 16 other ships are waiting to sail out of Ports in Southern Ukraine, with Odesa, Chornomorsk and Pivdenny expected to be the main places of export.
According to Joint Coordination Centre (JCC) in Istanbul, the dates and timings for further shipments are still being worked out and will likely only be finalized once the first shipment goes through inspection in Istanbul.
The blockade of Ukraine’s grain has contributed to a global food crisis with wheat-based products like bread and pasta becoming more expensive and led to cooking oils and fertiliser price rise. According to U.N., Russia and Ukraine jointly produce nearly a 1/3rd of global wheat supplies.
Around 90% of these exports were done by sea. In 2019, Ukraine accounted for 16% of the world’s corn supplies and 42% of sunflower oil. Ukraine’s Grain Traders’ Union has said it is expecting a grain and oilseed harvest of 69.4 million tons, marginally higher than previous forecasts but far below the 106 million tons harvested last year.
Russia has agreed not to target Ports while shipments are in transit and Ukraine has agreed that its naval vessels will guide cargo ships through waters that have been mined.
