Genoa – The price of wheat flies on international markets after Russia has suspended the agreement with Ukraine for the passage of the grain of Kiev through the Black Sea following the attacks suffered by his fleet in Sevastopol.
Soft wheat futures jumped 5.6% to $ 8,762.5 a bushel, after hitting a high of 7.7%, while durum wheat futures jumped 4.8% to $ 9,645 a bushel, after a peak by + 6.2%, on fears of a new block on the export of Ukrainian wheat, one of the main international producers of wheat. Among the food goods corn also overheats (+ 2.3% to $ 696.7) and palm oil.
But the eyes of the world are on the grain that Russian should be exported.
The Secretary General of the United Nations, Antonio Guterres, is working to get Moscow back to being part of the Black Sea Grain Initiative: the office of Guterres announced yesterday, as reported by Interfax. “The Secretary General continues to engage in intense contacts to end the suspension of Russian participation in the Black Sea Initiative,” the statement read. The consultations aim to resume exports of food and fertilizer products from Ukraine and to lift the remaining restrictions on exports of similar products from Russia. Yesterday, the EU High Representative for Foreign Policy, Josep Borrell, had a telephone conversation with Guterres «to discuss the Black Sea agreement and coordinate actions to guarantee the export of grain and fertilizers from Ukraine. Russia must return to the agreement to allow a maritime corridor that allows food to reach the world. The EU will do its part to counter the global food crisis, ”Borrell himself wrote in a tweet.
As of this morning, however, twelve ships loaded with grain have left Ukraine, despite Russia having withdrawn from the grain agreement brokered by Turkey and the UN. He announces it Ukrainian Minister of Infrastructure Oleksandr Kubrakov on Twitter. «Today 12 ships left the Ukrainian ports. The UN and Turkish delegations have made available ten inspection teams to check 40 ships in order to meet the Black Sea Grain Initiative. The inspection plan was accepted by the Ukrainian delegation. The Russian delegation has been informed, ”said the minister. And immediately Erdogan, the release of the situation took place. “Thanks to the mechanism we created in Istanbul, we have offered 9.3 million tons of Ukrainian wheat to the world” said the Turkish president speaking of the agreement between Turkey, Russia, Ukraine and the UN that allowed the export of wheat from Ukrainian ports and from which Moscow parade yesterday. “Turkey has ensured that the food crisis has been relatively reduced” thanks to the agreement, the Turkish president added.
What is certain is that the price of wheat has skyrocketed. With Ukraine alone accounting for 10% of world trade in wheat, the closure of the peace corridors for exports upsets the market with effects on prices and food supplies in rich and especially poor countries. This was stated by Coldiretti in underlining that wheat and corn prices jumped immediately at the weekly reopening of the Chicago Board of Trade (Chicago), a reference point for agricultural commodities, after Russia’s decision to terminate the agreement reached with the United Nations. Turkey and Ukraine to ensure commercial traffic in the Black Sea ports.
“A situation aggravated – underlines Coldiretti – by the strong downsizing of the sowing of winter cereals in Ukraine which drop to just 3.8 million hectares compared to 6 million in 2021 according to the local ministry of agriculture. A situation that fuels the interest in the agricultural raw materials market of speculation which – Coldiretti continues – shifts from financial markets to precious metals ”.
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