The drop to two-month lows comes after the Russian president’s statement on Ukrainian exports
Global grain prices have fallen to April levels following Russian President Vladimir Putin’s promise to ensure the safe export of Ukrainian grain through Black Sea ports controlled by Russia.
Wheat was trading at $10.4 per bushel (27.2kg) on Friday, data from the Chicago Board of Trade shows. That was its lowest price since April 7, when it was quoted at $10.2 per bushel, and a 10% drop from its peak price in mid-May.
Prices of corn for animal fodder were also down this week, falling to $7.27 per bushel.
Grain prices rose last month on fears that Russia’s ongoing military operation would prevent Ukraine’s grain exports from reaching buyers. Western countries accused Russia of impeding exports, but Moscow has repeatedly stated that it is not to blame and that the ships carrying Ukrainian grain are unable to leave ports due to mines placed in the area by Kiev’s forces. Putin on Friday once again said that Russia is in no way responsible for holding up shipments and promised to assist in the ships’ passage.
“As for the export of Ukrainian grain, we do not interfere with this… It was not we who mined the passages to the ports. Ukraine mined them. I have already told all of our colleagues many times: [Ukraine] should clear the mines and allow the ships with grain leave the ports. We guarantee peaceful passage without any problems,” Putin said during an interview with the Rossiya 24 TV channel. He also noted that there are several other ways to export grain, including via the ports of Berdyansk and Mariupol, which are under Russia’s control, or via the Danube River, through Hungary, Poland or Belarus.
Fears over the fate of Ukrainian grain have led to warnings of food insecurity and hunger in the past weeks, especially in poorer nations. According to Coldiretti, Italy’s association representing agricultural producers, Ukrainian ships must be allowed to move from ports as soon as possible, especially as the country’s warehouses will soon need to accommodate the new harvest.
“The departure of ships from the ports of the Black Sea means the emptying of Ukrainian warehouses where over 20 million tons of grain including wheat, barley and corn destined for exports are stored… The [ship] blockade raises risks of riots and famine,” Coldiretti said in a statement published on its website on Friday.
Ukraine ranks sixth among the world’s wheat exporters. Together, Russia and Ukraine supply nearly 30% of the wheat exported globally. According to Coldiretti, countries such as Egypt, Turkey, Bangladesh and Iran buy more than 60% of their wheat from Russia and Ukraine, while Lebanon, Tunisia, Yemen, Libya and Pakistan are also heavily dependent on supplies from the two countries.
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
Cookie
Duration
Description
cookielawinfo-checkbox-analytics
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional
11 months
The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance
11 months
This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy
11 months
The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.