Russia quit Grain Deal with Ukraine

On 17 July 2023. the Russian government announced that it was pulling out of a deal to facilitate the export of millions of tons of grain from Ukrainian ports (Grain Deal). The arrangement had been in place since July 2022  and mitigated a global food crisis. Russia’s exit could again threaten food prices, and food insecurity, worldwide. On Wednesday, 19 July, wheat prices surged to some of the highest levels since the invasion in February 2022.

The Grain Deal allowed for exports of commercial food and fertilizer from three Ukrainian Black Sea ports: Odesa, Chornomorsk, and Pivdennyi (previously called Yuzhny). Teams representing all parties to the deal (Ukraine, Russia, Turkey, and the UN) would inspect ships going in and out of these ports, and once loaded with cargo, ships would take an established route, avoiding mined areas, through the Black Sea toward Istanbul (source: Vox.com).

Russia’s exit has triggered a lot of attention around the globe, also focussing on the question which options Ukraine still has. Further reading comprises, but is certainly not limited to:

Railfreight.com, citing Andrii Dykun, chairman of the Ukrainian Agri Council, reported in a news post (for premium members) that “rail via Moldova and barge services in the Danube will be the main export arteries for Ukrainian products. From September on, Ukraine-Poland rail services could also assist.