Bulk carrier ARGO I is docked at the grain terminal of the port of Odesa, Ukraine, on April 10, 2023, from where Ukraine ships wheat according to the grain agreement the country has had with Russia- Getty Image/AFP
Metropolis Desk-
Russia announced on Monday that it was pulling out of a critical agreement that permitted the sale of Ukrainian grain, causing new concerns about the world’s food supply and thwarting a rare diplomatic achievement that resulted from Moscow’s war in Ukraine.
The deal, which was mediated by Turkey and the UN in July 2022, was officially due to expire on Monday at 5 p.m. ET (midnight local time in Moscow, Kyiv, and Istanbul).
Dmitry Peskov, a spokesman for the Kremlin, told reporters on Monday that Russia will not immediately renew the agreement because it “has been terminated.”
Peskov cited Russia’s long-standing complaint that it is unable to sufficiently export its foodstuffs as the justification for withdrawing from the agreement. He told reporters, “The Russian side will return to the implementation of this deal promptly when the Russian component is finished.
The fundamental goal of the agreement, which was to provide grain to underdeveloped nations, “has not been realized,” according to Russian President Vladimir Putin, who also lamented the difficulties his country had in exporting its food.
When asked if the agreement may be revived in the future, Peskov responded that Russia will comply “as soon as the Russian part (of the deal) is completed.”
In a statement last week, US Secretary of State Antony Blinken charged that Russia was using the grain transaction “as a weapon.” The agreement allowed Ukraine to safely cross the strait to Turkey’s Bosphorus Strait and export grain from its Black Sea ports.
It proved vital for stabilizing global food prices and bringing relief to the developing countries which rely on Ukrainian exports. The impact of the war on global food markets was immediate and extremely painful, especially because Ukraine is a major supplier of grain to the World Food Programme (WFP).
According to the European Commission, Ukraine accounts for 10% of the world wheat market, 15% of the corn market, and 13% of the barley market. It is also a key global player in the market of sunflower oil. The Food and Agriculture Organization (FAO), a UN body, warned at the time that as many as 47 million people could be pushed into “acute food insecurity” because of the war.
When asked, Peskov denied that Russia’s decision to allow the deal to lapse was related to Ukraine’s claimed strike on the bridge connecting mainland Russia to occupied Crimea on Monday. “These are unrelated events,” he said.
Moscow had already threatened to renege on the agreement. When Russia suspended its participation in response to drone strikes on the city of Sevastopol in late October and early November 2022, the agreement was on the verge of disintegrating. Moscow, however, decided to change its path after mediation.
Although there are alternate train routes across Eastern Europe for the export of Ukrainian grains and oilseeds, these can’t easily handle the quantities that Ukraine wishes to export.
Source- CNN
