Ukraine Grain Strain: Almost 25 Million Tonnes Blocked From Export

UN’s Food and Agriculture Organization survey estimates a 20% drop in global wheat production this year due to the ongoing Ukraine conflict.

A massive backlog of grain shipments is piling up in Ukraine towards the tune of nearly twenty five million tonnes  due to ‘ infrastructure challenges’ and blocked ports in the Black Ocean, including Mariupol, Reuters   reports, citing a UN food agency standard.

Ukraine was the fourth-largest exporter associated with maize (corn) in the 2020/21 season, and the sixth-largest whole wheat exporter in the world, according to the Global Grains Council.

It’s an almost grotesque situation we discover at the moment in Ukraine   with nearly 25 mln tonnes of materials that could be exported but that will cannot leave the country simply because of lack of infrastructure, the blockade of the ports, ” mentioned FAO Deputy Director Josef Schmidhuber during a Geneva push briefing via Zoom.

According to Schmidhuber, the full silos could result in  storage shortages for this year’s July and Aug harvests .

“ Despite the war the particular harvest conditions don’t seem that dire. That could really mean there’s not enough storage space capacity in Ukraine, particularly if there’s no wheat corridor opening up for export from Ukraine. ”

He alluded to  ruined grain storage  as a result of the Russian invasion, without elaborating.

CNN , however , reviews from ‘ multiple sources’ that Russian forces have  allegedly plundered plantation equipment and hundreds of thousands of tonnes of grains from Ukraine,   using the Ministry of Defense estimating on Thursday that 400, 000 tonnes of hemp had been stolen to date.

[And given the source(s), the usual ‘grain of salt’ disclaimer applies as to the extent and accuracy of claims.]

Oleg Nivievskyi at the Kyiv School of Economics told  CNN   the thefts of farm equipment, for example tractors and harvesters, simply by Russian forces have been certainly devastating for Ukrainian maqui berry farmers.  

“ Even if these regions are liberated tomorrow, it  will take time for you to restart the production cycle, ” perhaps two to three years . Buying fertilizer and products and hiring workers would be tough for  maqui berry farmers who have been cleaned out by the Russians   — because their grain is their working capital for the next season, ”   Nivievskyi said.  

Footage continues to be posted online of lengthy Russian convoys of plantation equipment on flat-bed trucks leaving Melitopol, a town in southeastern Ukraine.  

Olga Trofimtseva, former agriculture minister within Ukraine, said farm products thefts were also seen in Donetsk and Kharkiv.   “ Their machines was simply stolen plus pulled across the border — new tractors, harvesters, ”   she said.  

Prior to the invasion, there were 6 mil tons of wheat and 15 million tons of corn looking forward to export.  

Farmers in top growing areas in the southern part of the country, such as Kherson and Zaporizhzhia, have  stopped sowing operations   due to the  insufficient farm equipment, shortage associated with diesel , fertilizer, and seed as the disruptions brought on by the conflict.  

CNN   reported one example where a large grain storage space complex located in the eastern part of the country was bombed.  

The ussr has also reportedly intensified strikes on infrastructure, destroying roads, bridges, rail hubs, ports, electrical power stations, and gas facilities, in a bid in order to disrupt the West’s deliveries of weapons to resupply the Ukrainian Armed Forces.  

The mixture of thefts of tractors and grains, sowing disruptions, and blown-up ag facilities plus infrastructure will  severely impact food production   in one of the  world’s largest materials exporters .  

Ukraine’s deputy farming minister Taras Vysotskiy mentioned Thursday the  country only has enough stocks and shares to feed its population . This means that  Ukraine might not be able to foreign trade grains to other countries . Even though farmers were to plant, harm to highways, ports, and train systems could make the  flow of farm items out of the country near difficult .  

The latest Food and Agriculture Company of the United Nations report estimated a  20% decline in global wheat manufacturing this  year due to the ongoing situation in Ukraine, where the Ministry of Farming recently warned  a 3rd of the country’s farmland is certainly occupied or unsafe.

The worst   of the global food crisis could be ahead   (well, at least the  Rockefeller Foundations   thinks so… )  since the North Hemisphere planting season has just begun, and commodity traders will have a more accurate harvest production estimate by summer season, which may result in even increased food prices.


https://www.zerohedge.com/commodities/ukraine-grain-strain-almost-25-million-tonnes-blocked-export

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