Ukraine wants to continue delivering grain even without Russian guarantees

As of: 07/17/2023 6:32 p.m

Russia’s withdrawal from the grain agreement has caused outraged reactions internationally. Ukraine meanwhile announced that it would continue deliveries across the Black Sea – even without security guarantees.

The grain deal was negotiated almost a year ago and was intended to ensure that agricultural goods could be safely shipped across the Black Sea. After two extensions, Russia has now announced its exit from the agreement – it officially expires in the evening. Ukraine now wants to continue without Russian security guarantees. This was announced by Ukrainian President Volodymyr Zelenskyy, according to his press spokesman.

“Even without Russia, everything must be done so that we can use this Black Sea corridor,” Zelenskyy told African journalists, according to a Facebook statement.

Ship owners are ready to call at Ukrainian ports for grain deliveries. The agreement between Ukraine, Turkey and the United Nations is still in force without Moscow. Only the separate agreement between Russia, Turkey and the UN was terminated. Zelensky did not say how the ships and their goods should be insured in the war zone.

Thousands of tons of grain from Ukraine

So far, more than 32 million tons of agricultural goods have been exported from Ukraine to 45 countries as part of the initiative, according to the UN. More than 1,000 ships have left Ukrainian ports. The amount of agricultural goods exported has declined in recent months. Ukraine accused Russia of delaying the agreed inspections.

The Food and Agriculture Organization (FAO) emphasized that the initiative lowers world market prices for food and contributes to the fight against hunger. With the help of the agreement, the UN World Food Program WFP was also able to bring 725,000 tons of wheat to crisis countries such as Afghanistan or Somalia. The initiative also had a political dimension: it was considered the only long-term agreement between the warring parties Russia and Ukraine.

Germany demands continuation of the agreement

Germany asked Russia to extend the agreement. The federal government “continues to appeal to Russia (…) to make a further extension of the grain agreement possible and not to settle this dispute on the backs of the poorest on this planet,” said deputy government spokeswoman Christiane Hoffmann in Berlin.

Federal Foreign Minister Annalena Baerbock also called for the grain agreement to be reinstated immediately. Addressing Russian President Vladimir Putin, during a visit to New York “in the interests of peace in the world” she called for hunger not to be used as a weapon. The exit from the agreement makes it clear that Putin shows no regard for the weakest in the world. Baerbock advocated continuing to work on other delivery routes, regardless of the sea route, “straight through the European Union” so that “the grain comes into the world”.

Chancellor Olaf Scholz made a similar statement on the sidelines of an EU meeting in Brussels. The fact that Russia does not want to extend the grain deal is “bad news”. “And for a country that attacked its neighbor with such aggression, that’s bad news for the rest of the world,” Scholz continued.

UN chief: “Lifeline for global food security”

UN Secretary-General António Guterres was deeply disappointed. The agreement was a “lifeline for global food security and a beacon of hope in a troubled world,” Guterres told journalists in New York. “One has a choice to participate in such agreements. But suffering people everywhere and developing countries have no choice.”

Guterres had written a letter to Putin last week with proposals to save the agreement. “I am deeply disappointed that my suggestions went unheeded,” he said. Nevertheless, the United Nations would continue to work in this regard, Guterres said. “Our goal must remain to advance food security and global price stability.”

The US ambassador to the United Nations, Linda Thomas-Greenfield, described the Russian actions as an “act of cruelty”. “While Russia plays political games, real people will suffer,” she told reporters.

Bottlenecks expected in Arab countries, Africa and Asia

The effects of the failed deal are not yet foreseeable. However, rising prices and supply bottlenecks are feared.

The German Farmers’ Association sees no bottlenecks on the German and European market for the time being after the temporary stop of the agreement for Ukrainian grain exports via the Black Sea. Deputy Secretary General Udo Hemmerling told the dpa news agency: “Should there be a longer interruption to the Black Sea route for grain, oilseeds and fertilizers, there could be supply bottlenecks and price increases in global agricultural trade again.” This is primarily at the expense of importers of bread grain in Arab countries, Africa and Asia. “In Central Europe, on the other hand, no supply bottlenecks are to be expected, since the local harvest is available here.”

Russia sees promises not fulfilled

In the morning, the Kremlin had declared the grain agreement “de facto” over. The parts of the agreement affecting Russia have not been fulfilled, said Russian government spokesman Dmitry Peskov in Moscow. But it will be reinstated as soon as the Russian conditions are met. At its core, it is about Western sanctions that, from a Russian perspective, prevent payments for Russian agricultural exports from being processed. Moscow had been threatening to let the agreement expire for several weeks.

Turkish President Recep Tayyip Erdogan announced further talks with Putin. An extension of the agreement could be possible before the Russian President’s visit to Turkey, which is planned for August, he said. Negotiations in this regard are already underway.

Agreement came about in July 2022

After the start of its war of aggression against Ukraine in February 2022, Russia blocked the neighboring country’s sea exports. In July 2022, Ukraine, Russia and Turkey agreed as parties in Istanbul on the Black Sea Grains Initiative. The UN acted as mediator. The agreement has been extended several times. A second agreement was reached in Istanbul between the United Nations and Russia.

In a “Memorandum of Understanding”, the UN agreed to support the unimpeded export of Russian food and fertilizers to world markets. Russia repeatedly complained about the lack of implementation of the memorandum. For example, the Putin government has demanded that Russia’s agricultural bank be reconnected to the SWIFT international payment system.

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