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What is the Ukraine grain deal and what good has it done? What is the Ukraine grain deal?
(2 months later)
A grain ship in the port of Chornomorsk on Ukraine's Black Sea coastA grain ship in the port of Chornomorsk on Ukraine's Black Sea coast
Russia is asking Western nations to soften their sanctions in exchange for renewing a deal to let Ukraine export its grain. The deal that allows Ukraine to export grain across the Black Sea has been extended for two months.
The deal has enabled Ukraine to transport millions of tonnes of food through the Black Sea despite the ongoing conflict. Thanks to the agreement, more than 30 million tonnes of grain and other foodstuffs have been shipped out of the Black Sea through a safe corridor.
Russia had been threatening to pull out of the deal, saying Western sanctions were hampering its own agricultural exports.
Why was the grain deal needed?Why was the grain deal needed?
Ukraine is a major global exporter of sunflower, maize, wheat and barley. Ukraine is a major exporter of sunflower, maize, wheat and barley.
When Russia invaded in February 2022, its naval vessels blockaded Ukraine's ports, trapping some 20 million tonnes of grain.When Russia invaded in February 2022, its naval vessels blockaded Ukraine's ports, trapping some 20 million tonnes of grain.
That forced global food prices to all-time highs. That sent global food prices soaring.
Food supplies were particularly threatened in Middle Eastern and African countries which rely heavily on Ukrainian grain, and the UN says prices of staple foods rose across these regions by an average of 30%. Food supplies were particularly threatened in Middle Eastern and African countries, which rely heavily on Ukrainian grain.
UN secretary general António Guterres said 44 million people in 38 countries were facing "emergency levels of hunger". The UN says prices of staple foods rose across these regions by an average of 30%. It warned that 44 million people in 38 countries were facing "emergency levels of hunger".
"UN officials were worried about the Horn of Africa, where drought was already pushing countries towards famine conditions, and a lack of grain was making things worse," says Richard Gowan from The International Crisis Group, which works to prevent conflict."UN officials were worried about the Horn of Africa, where drought was already pushing countries towards famine conditions, and a lack of grain was making things worse," says Richard Gowan from The International Crisis Group, which works to prevent conflict.
Will the grain deal be extended? Ukraine grain deal needed to feed world WFP head
The deal is meant to be extended for 120 days at a time, and the next renewal is due on 18 March. How can the deal be extended?
However, Russia is only offering another 60 days. The arrangement between Ukraine and Russia is meant to be extended for 120 days at a time.
It wants Russian producers to be able to export more food and fertiliser to the rest of the world, but says Western sanctions mean they can't. But in March, Russia agreed to extend it by 60 days only, and it did the same in May.
There are no specific Western sanctions on Russia's agricultural exports, but Moscow argues that other restrictions in place mean international banks, insurers and shippers are reluctant to do business with its exporters. It wants its own producers to be able to export more food and fertiliser to the rest of the world, but says Western sanctions are hampering them.
Russia is the biggest exporter of wheat in the world, with a 19% share of the global market. Its wheat exports have increased over the past year, according to agricultural consultancy Sovecon. There are no specific sanctions against Russian agricultural exports, but Moscow argues other restrictions mean international banks, insurers and shippers are reluctant to do business with its exporters.
The country pulled out of the Black Sea grain deal in November last year, accusing Ukraine of launching a "massive" drone attack on its fleet in Crimea from vessels in the safe shipping corridor. Russia previously withdrew from the deal in November 2022, accusing Ukraine of launching a "massive" drone attack on its fleet in Crimea from vessels in the safe shipping corridor.
However, it rejoined a few days later.However, it rejoined a few days later.
How does the grain corridor work?How does the grain corridor work?
On 22 July last year, Russia and Ukraine signed the Black Sea Grain Initiative, with the support of the UN and Turkey. On 22 July 2022, Russia and Ukraine signed the Black Sea Grain Initiative, with the support of the UN and Turkey.
It let cargo ships pass safely through the Black Sea to and from the ports of Odesa, Chornomorsk and Yuzhny/Pivdennyi.It let cargo ships pass safely through the Black Sea to and from the ports of Odesa, Chornomorsk and Yuzhny/Pivdennyi.
The first grain shipments started in early August, using a corridor 310 nautical miles long and three nautical miles wide.The first grain shipments started in early August, using a corridor 310 nautical miles long and three nautical miles wide.
According to the UN's Joint Coordination Centre (JCC), which oversees the scheme, over 800 ships have left Ukraine's ports in the past eight months, carrying more than 23 million tonnes of grain and other foodstuffs, as well as fertiliser. According to the UN's Joint Coordination Centre (JCC), which oversees the scheme, more than 30 million tonnes of grain and other foodstuffs have been shipped from Ukraine, as well as fertiliser.
These extra supplies were a major factor in lowering world food prices.These extra supplies were a major factor in lowering world food prices.
Prices started falling in spring 2022, as markets anticipated a grain deal being signed, and are now lower than they were before Russia's invasion. Prices started falling in spring 2022, ahead of an expected deal, and are now lower than they were before Russia's invasion.
How much grain is being exported?How much grain is being exported?
Ukraine is exporting 30% less food that it did before the Russian invasion, according to its agriculture ministry.Ukraine is exporting 30% less food that it did before the Russian invasion, according to its agriculture ministry.
This is partly because farmers are producing less, due to the fighting across large parts of the country.This is partly because farmers are producing less, due to the fighting across large parts of the country.
Ukraine is producing 30% less grain because of the Russian invasion
However, Ukraine's government says Russia has been delaying cargo ships heading to ports to pick up produce.However, Ukraine's government says Russia has been delaying cargo ships heading to ports to pick up produce.
Under the deal, Russia has the right to inspect ships to make sure they aren't bringing cargo into Ukraine, such as weapons.Under the deal, Russia has the right to inspect ships to make sure they aren't bringing cargo into Ukraine, such as weapons.
"Ukraine has accused it of being overly picky with the inspections," says Bridget Diakun, from the shipping journal Lloyds List."Ukraine has accused it of being overly picky with the inspections," says Bridget Diakun, from the shipping journal Lloyds List.
"There is usually a queue of about 100 ships in the entrance to the Black Sea.""There is usually a queue of about 100 ships in the entrance to the Black Sea."
Where are Ukraine's exports going?Where are Ukraine's exports going?
Only about a quarter of Ukraine's food exports have been going to the world's poorest countries, according to UN figures:Only about a quarter of Ukraine's food exports have been going to the world's poorest countries, according to UN figures:
47% has gone to "high-income countries" including Spain, Italy and the Netherlands47% has gone to "high-income countries" including Spain, Italy and the Netherlands
26% has gone to "upper-middle income countries" such as Turkey and China26% has gone to "upper-middle income countries" such as Turkey and China
27% has gone to "low and lower-middle income countries" like Egypt, Kenya and Sudan27% has gone to "low and lower-middle income countries" like Egypt, Kenya and Sudan
Russian president Vladimir Putin has criticised Ukraine for not exporting more of its foodstuffs to developing countries.Russian president Vladimir Putin has criticised Ukraine for not exporting more of its foodstuffs to developing countries.
However, the UN says the exports have benefited needy people around the world because they calmed international food markets, bringing food prices under control.However, the UN says the exports have benefited needy people around the world because they calmed international food markets, bringing food prices under control.
In 2022, more of half of the wheat grain procured by the United Nations World Food Programme came from Ukraine. In 2022, more than half of the wheat grain procured by the United Nations World Food Programme came from Ukraine.
Between August 2022 and the end of the year, it sent 13 ships from Ukraine carrying a total of over 380,000 tonnes of wheat to Ethiopia, Yemen, Djibouti, Somalia and Afghanistan.Between August 2022 and the end of the year, it sent 13 ships from Ukraine carrying a total of over 380,000 tonnes of wheat to Ethiopia, Yemen, Djibouti, Somalia and Afghanistan.
Pictures provide evidence of Russian grain theftPictures provide evidence of Russian grain theft
Correction 17 March 2023: A reference to the volume of the WFP's wheat grain procurement was amended.Correction 17 March 2023: A reference to the volume of the WFP's wheat grain procurement was amended.
Related TopicsRelated Topics
Russia-Ukraine warRussia-Ukraine war
TurkeyTurkey
FoodFood