Will the Black Sea grain export agreement continue to be extended? Russian side: No way! Grain | Russia | Export
According to Reuters, the Russian Ministry of Foreign Affairs stated on July 4th that Russia believes there is no reason to continue extending the Black Sea grain export agreement, which will expire in two weeks.
The Russian Ministry of Foreign Affairs said in a statement that Russia is taking all measures to ensure that all ships covered by the agreement can leave the Black Sea before the expiration of the agreement on July 17th.
According to reports, the Russian side has repeatedly expressed its intention to withdraw from the agreement called the Black Sea Grain Initiative, citing that the promise to lift obstacles to Russian grain and fertilizer exports has never been fulfilled.
The Russian Ministry of Foreign Affairs stated in a statement that the Black Sea Grain Initiative has allowed Ukrainian food to be transported to countries that do not lack food, but has not helped the countries in Africa, Asia, and Latin America that are most in need of food.
The statement stated that five poor countries only received 2.6% of the food exported through black sea transportation, while Russia's export situation of food and fertilizers continued to deteriorate.
The statement said, "In this situation, there is clearly no reason to continue extending the Black Sea Grain Initiative, which will expire on July 17th."
▲ Data picture: On October 31, 2022, a grain ship was waiting to pass through the Bosporus Strait in Türkiye.
Russian Foreign Ministry spokesperson Maria Zakharova said that some media have suggested that the EU is considering setting up a subsidiary of Agricultural Bank of Russia to connect with the Global Interbank Financial Communications Association, which is "not feasible".
Russia and Ukraine are two major agricultural producing countries in the world, and are also major participants in the wheat, barley, corn, rapeseed, rapeseed oil, sunflower seeds, and sunflower seed oil markets.
With the promotion of the United Nations and Türkiye, on July 22, 2022, the United Nations, Russia, Türkiye and Ukraine reached the Black Sea Grain Initiative in Istanbul, aiming to restore Ukraine's grain, food and fertilizer exports through a safe maritime humanitarian corridor. Russia and the United Nations have both signed a memorandum of understanding to ensure that Russia's food and fertilizers can also enter the international market. The two documents are a package agreement.
The Black Sea Grain Initiative was extended by 120 days in November 2022, and by 60 days in March and May 2023, respectively.
The Russian side has repeatedly stated that the agreement on the normalization of Russian food and fertilizer exports has not been fulfilled yet, and the implementation of this agreement will determine whether the Russian side will continue to participate in the Black Sea Grain Initiative. Russian Deputy Foreign Minister Vershinin has pointed out that the normalization of Russian agricultural product exports includes bank payments, transportation logistics, insurance, financial activities, and the normalization of ammonia transportation through the Taoriati Odessa pipeline.
