Despite agreement – EU still wants alternative routes for grain

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Although Ukrainian ships are again exporting grain through the ports on the Black Sea, the EU is sticking to alternative routes. It will be difficult to bring the export volume back to pre-war levels right away, explains an official of the responsible EU commission. Every tonne exported counts and can contribute to securing food supplies in poor partner countries in Africa, Asia and the Middle East.

Improvements are also possible in the implementation of the agreement between Russia and Ukraine, said Adina Vălean, the EU commissioner responsible for the transport sector. As an example, she mentions the fact that there were not enough freight wagons and barges available and that more capacity was needed for the temporary storage of exports. So any kind of help is welcome.

Export via Romania and Poland
Until the beginning of the war, Ukraine was the world’s largest exporter of sunflower oil, the third largest exporter of rapeseed and barley, the fourth largest exporter of maize and the fifth largest exporter of wheat, according to the European Commission. This export had been blocked for months now. That is why an initiative was launched in the spring to develop alternative logistics routes via countries of the European Union. About 2.6 million tons of agricultural products were able to leave the Ukraine in this way in July. In April that was only about 1.34 million tons. Transport routes to ports in Romania and Poland in particular were used intensively.

At the moment, however, the greatest hopes are pinned on the grain agreement concluded by the United Nations and Turkey. As reported, this should allow for a resumption of regular Ukrainian agricultural exports via the Black Sea. Before the war, about 90 percent of grain and oilseed exports went through the ports there. For grain, that was up to five million tons per month. The first ship to leave Odessa port on Monday since the deal had loaded about 26,000 tons of corn.

Ukraine expects higher harvest
The Ukraine now expects a higher harvest volume again. 65 to 67 million tons of grain and oilseeds are expected instead of the initial 60 million tons, said Agriculture Minister Mykola Solsky. “In total, we exported 3.2 million of the 5 million needed in June. Seaports will further expand these capacities and farmers will have new opportunities to sell their products,” added Prime Minister Denys Shmyhal of Ukraine.

Source: Krone

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