Total shipments fell just 14 percent this quarter, and Russia’s wheat exports doubled in May, despite Russia’s claims that concerns about sanctions also hindered its grain exports, according to the Russian Grain Federation.People’s Vision Data Map
As the global food supply is affected by the conflict between Russia and Ukraine and prices are soaring, the United States is once again considering “bow to reality”. The U.S. government is secretly encouraging agricultural and shipping companies to buy and ship more Russian fertilizers, hoping to send a easing signal to resume Ukrainian grain exports, according to people familiar with the matter.
Negotiations on reviving grain exports have been complex and difficult, according to Bloomberg, with the aim of increasing the shipment and export of fertilizers, grain and other agricultural products from Russia and Ukraine. Since the outbreak of the Russian-Ukrainian conflict, the export of these grains and agricultural products has been blocked.
Earlier, U.S. and European officials accused the Kremlin of using grain as a weapon to prevent Ukrainian exports. Russia denies this and blames the disruptions on sanctions imposed on Russia by the United States and its allies.
However, the United States and its Western allies are gradually softening their hardline stance on Russia, given the current global food supply shortage. The report pointed out that the United States is currently secretly encouraging Russian food and agricultural trade, underscoring the challenge facing Washington and its allies: On the one hand, they seek to put pressure on Russian President Vladimir Putin to conduct military operations in Ukraine, on the other hand, they are trying to reduce the impact of sanctions on Russia on the global economy. collateral damage.
Indeed, the global economy relies heavily on Russian supplies of commodities, from natural gas and oil to fertilizers and grains, whose prices have surged since the conflict erupted in late February.
The U.S. sent a representative earlier in June to participate in U.N.-led talks on food supplies in Moscow in an attempt to reach some level of compromise with Russia, according to people familiar with the matter.
In response to the U.S. government’s signal of relief, the Kremlin called on the United States to provide assurances to Russian fertilizer and grain buyers and transporters that they would be exempt from sanctions. The Kremlin also said it was a precondition for the U.S. to lift restrictions on Ukrainian agricultural shipments.
“For Russia, the U.S. authorities should make it clear that it is in the interest of global food security to allow[buyers and transporters]to trade food and agricultural products with Russia,” said Timofeev, a sanctions expert at the Russian Council of International Affairs.
Total shipments fell just 14 percent this quarter, and Russia’s wheat exports doubled in May, despite Russia’s claims that concerns about sanctions also hindered its grain exports, according to the Russian Grain Federation.
In contrast, Ukrainian grain exports were more affected. More than 25 million tonnes of grains, sunflower oil and other commodities are stranded in Ukraine due to security concerns at Black Sea ports and shipping lanes traditionally used to transport food exports. Ukrainian officials have warned that the situation will become more dire as the new harvest season arrives.
However, if the U.S. eases restrictions on Russian grain exports, it remains to be seen whether it can return Ukraine to resume grain exports. At present, negotiations on the resumption of grain exports from Ukraine are progressing slowly. Russia blamed Ukraine, accusing Ukraine of laying mines for endangering the safety of navigation. The Ukrainian side said that Kyiv did not believe in Russia’s promise that it “will not launch an attack”, saying that the mines were mainly to defend against possible Russian attacks.
Due to the blocked shipping routes, Ukraine has established two grain export corridors via Poland and Romania, but the transportation conditions are not satisfactory. Due to factors such as different railway track spacing, the whole process is time-consuming and expensive, which greatly restricts grain exports. Data show that in April Ukraine exported only 638,000 tons of grain via the Polish route.
Russia and Ukraine are the world’s major grain exporters. The two countries together account for about 30% of the world’s wheat exports, about 20% of corn, and about 76% of sunflower oil.
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