Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Ukraine grain export deal back on track as Russia resumes participation

Ukraine grain export deal back on track as Russia resumes participation

Russia said on Wednesday it would resume its participation in a deal freeing up grain exports from war-torn Ukraine, reversing a move that world leaders had said threatened to exacerbate global hunger.

Moscow announced the sudden reversal after Turkiye and the United Nations helped keep Ukrainian grain flowing for several days without a Russian role in inspections.

The Russian defense ministry justified the change by saying it had received guarantees from Kyiv not to use the Black Sea grain corridor for military operations against Russia. Kyiv did not immediately comment on that, but has denied in the past using the agreed shipping corridor as cover for attacks.

“The Russian Federation considers that the guarantees received at the moment appear sufficient, and resumes the implementation of the agreement,” a defense ministry statement said.

The grain deal, originally reached three months ago, had alleviated a global food crisis by lifting a de facto Russian blockade on Ukraine, one of the world’s biggest grain suppliers. The prospect that it could fall apart this week had revived fears of global hunger and pushed up prices.

Eight months into Russia’s invasion of Ukraine, Ukrainian counterattacks have wrested back territory in the east and south, and Moscow has sought to slow Kyiv’s momentum with stepped up missile and drone strikes targeting its energy grid.

On Wednesday, authorities in the Kyiv region began emergency shutdowns of the power generating system after a spike in consumption, the regional administration said.

In a statement, it said the move was necessary to “avoid major accidents with power equipment,” after Russian drone and missile attacks that have badly damaged the grid in and around the capital.

GRAIN FLOW ‘WILL CONTINUE’


Russia suspended its involvement in the grain deal on Saturday, saying it could not guarantee safety for civilian ships crossing the Black Sea after an attack on its fleet. Ukraine and Western countries called that a false pretext for “blackmail,” using threats to the global food supply.

But Russia’s suspension failed to stop shipments, which resumed on Monday without Russian participation, in a program that was brokered by Turkiye and the United Nations. Turkish President Tayyip Erdogan said Russian Defense Minister Sergei Shoigu had told his Turkish counterpart the deal would resume.

The prices of wheat, soybeans, corn and rapeseed fell sharply on global markets after the announcement, which allayed concerns about the growing unaffordability of food.

Insurance companies had paused issuing new contracts, raising the prospect that shipments could stop within days, industry sources said. But Lloyds of London insurer Ascot told Reuters after Wednesday’s resumption announcement that it had resumed writing cover for new shipments.

FUTURE STILL IN DOUBT


“This is clearly a positive development for grain users and consumers which will please the food industry and provide some reassurances as prices should ease,” said Mark Lynch, partner at Oghma Partners, a finance advisory firm for consumer industries.

“We do however envisage that some risk premium is likely to be sustained due to the fragile nature of the agreement and the ongoing war in Ukraine,” Lynch said.

Andrey Sizov, head of Russia-focused Sovecon agriculture consultancy, said Moscow’s decision was “quite an unexpected turnaround” but the deal remained shaky given uncertainty about whether it would be extended past its Nov. 19 expiry.

.”..The discussion around this topic will apparently continue,” Sizov said.

A European diplomat briefed on the grain talks told Reuters that Russian President Vladimir Putin was likely to use the need for an extension as a way to gain leverage and dominate the Nov. 13-16 G20 summit in Indonesia.

Putin said on Wednesday that Russia reserved the right to withdraw from the grain pact if Ukraine violated its guarantees. But, in a nod to Turkey’s influence, as well as what he called its “neutrality” in Russia’s conflict with Ukraine, Putin said that if Moscow did pull out it would not impede grain supplies from Ukraine to Turkey.

A senior Ukrainian official who declined to be identified told Reuters that Moscow’s decision was mainly the result of Turkish pressure on Russia.

Ukrainian presidential adviser Mykhailo Podolyak said Moscow had miscalculated. “When you want to play blackmail, it is important not to outplay yourself,” he said.

The United Nations said Secretary-General Antonio Guterres “warmly welcomes” the deal and would continue working toward its renewal.

FOOD SHORTAGES


The Russian blockade of Ukrainian exports through the Black Sea since its invasion of Ukraine on Feb. 24 has worsened food shortages and a cost of living crisis in many countries.

Ukrainian President Volodymyr Zelensky credited Turkiye and the United Nations for making it possible for ships to continue moving out of Ukrainian ports with cargoes.

“But a reliable and long-term defense is needed for the grain corridor,” Zelensky said in a video address on Tuesday night. “At issue here clearly are the lives of tens of millions of people.”

The grains deal aimed to help avert famine in poorer countries by injecting more wheat, sunflower oil and fertilizer into world markets.

Turkish Foreign Minister Mevlu Cavusoglu said earlier Russia was concerned about its fertilizer and grain exports, echoing Russian officials in saying ships carrying them could not dock even though the exports were not included in Western sanctions.

There was no mention of any concessions on those issues in the Russian statement on the resumption, but the UN statement said Guterres would work to get those obstacles removed.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Mayor in western Germany in intensive care after stabbing
Australian government pays Deloitte nearly half a million dollars for a report built on fabricated quotes, fake citations, and AI-generated nonsense.
BYD’s UK Sales Soar Nearly Nine-Fold, Making Britain Its Biggest Market Outside China
Latvia to Bar Tourist and Occasional Buses to Russia and Belarus Until 2026
Wave of Complaints Against Apple Over iPhone 17 Pro’s Scratch Sensitivity
Munich Airport Reopens After Second Drone Shutdown
Pro Europe and Anti-War Babiš Poised to Return to Power After Czech Parliamentary Vote
Sean ‘Diddy’ Combs Sentenced to Fifty Months in Prison Following Prostitution Conviction
Altman Says GPT-5 Already Outpaces Him, Warns AI Could Automate 40% of Work
Russian Research Vessel 'Yantar' Tracked Mapping Europe’s Subsea Cables, Raising Security Alarms
Global Cruise Industry Posts Dramatic Comeback with 34.6 Million Passengers in 2024
U.S. Demands Brussels Scrutinize Digital Rules to Prevent Bias Against American Tech
Private Equity’s Fundraising Surge Triggers Concern of European Market Shake-Out
Tokyo’s Jimbōchō Named World’s Coolest Neighbourhood for 2025
European Officials Fear Trump May Shift Blame for Ukraine War onto EU
The Personality Rights Challenge in India’s AI Era
Italy Considers Freezing Retirement Age at 67 to Avert Scheduled Hike
Italian City to Impose Tax on Visiting Dogs Starting in 2026
Study Finds No Safe Level of Alcohol for Dementia Risk
Trump Says Ukraine Can Fully Restore Borders with NATO Backing
Europe Signals Stronger Support for Taiwan at Major Taipei Defence Show
Germany Weighs Excluding France from Key European Fighter Jet Programme
Cyberattack Disrupts Check-in and Boarding Systems at Major European Airports
Björn Borg Breaks Silence: Memoir Reveals Addiction, Shame and Cancer Battle
When Extremism Hijacks Idealism: How the Baader-Meinhof Gang Emerged and Fell
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
Trump Orders $100,000 Fee on H-1B Visas and Launches ‘Gold Card’ Immigration Pathway
France’s Looming Budget Crisis and Political Fracture Raise Fears of Becoming Europe’s “Sick Man”
Three Russian MiG-31 Jets Breach Estonian Airspace in ‘Unprecedentedly Brazen’ NATO Incident
European manufacturers against ban on polluting cars: "The industry may collapse"
Turkish car manufacturer Togg Enters German Market with 5-Star Electric Sedan and SUV to Challenge European EV Brands
Christian Brueckner Released from German Prison after Serving Unrelated Sentence
World’s Longest Direct Flight China Eastern to Launch 29-Hour Shanghai–Buenos Aires Direct Flight via Auckland in December
New OpenAI Study Finds Majority of ChatGPT Use Is Personal, Not Professional
The conservative right spreads westward: a huge achievement for 'Alternative for Germany' in local elections
Pope Leo Warns of Societal Crisis Over Mega-CEO Pay, Citing Tesla’s Proposed Trillion-Dollar Package
Poland Green-Lights NATO Deployment in Response to Major Russian Drone Incursion
U.S. and China Agree on Framework to Shift TikTok to American Ownership
Le Pen Tightens the Pressure on Macron as France Edges Toward Political Breakdown
Czech Republic signs €1.34 billion contract for Leopard 2A8 main battle tanks with delivery from 2028
Penske Media Sues Google Over “AI Overviews,” Claiming It Uses Journalism Without Consent and Destroys Traffic
Indian Student Engineers Propose “Project REBIRTH” to Protect Aircraft from Crashes Using AI, Airbags and Smart Materials
One in Three Europeans Now Uses TikTok, According to the Chinese Tech Giant
Could AI Nursing Robots Help Healthcare Staffing Shortages?
NATO Deploys ‘Eastern Sentry’ After Russian Drones Violate Polish Airspace
The New Life of Novak Djokovic
German police raid AfD lawmaker’s offices in inquiry over Chinese payments
Volkswagen launches aggressive strategy to fend off Chinese challenge in Europe’s EV market
France Erupts in Mass ‘Block Everything’ Protests on New PM’s First Day
Poland Shoots Down Russian Drones in Airspace Violation During Ukraine Attack
×