:quality(85)/cloudfront-us-east-1.images.arcpublishing.com/infobae/E3O3XCN42ZZDRKUS2URDWCM7BA.jpg "Russia Threatens to End Black Sea Grain Deal Unless Demands Are Met")
Title: Moscow Threatens to End Black Sea Grain Agreement Unless Demands Are Met
Subtitle: President Putin expresses discontent over unmet conditions in a phone call with South African counterpart
Moscow, Russia – The Black Sea grain agreement, which is set to expire on Monday, is at risk of termination as Moscow demands the removal of restrictions on Russian exports of food and fertilizers. Russian President Vladimir Putin voiced his dissatisfaction during a telephone conversation with South African President Cyril Ramaphosa, stating that the conditions necessary for extending the agreement have not been met.
The Kremlin, in an official statement released on Saturday, emphasized the need for its agricultural shipments to face no obstacles before it agrees to extend the deal. While the current terms are set to expire in two days, the agreement may be provisionally suspended until Russia’s demands are fulfilled.
In contrast, Turkish President Recep Tayyip Erdogan had recently announced that Putin had agreed to extend the international agreement on the export of grain from Ukrainian ports, only days before it was set to expire. However, Kremlin spokesperson Dimitri Peskov clarified that no decision has been made regarding the extension, stating, “We have not made any statement in this regard.”
The agreement, facilitated by Turkey and the United Nations in July last year, has been considered a significant diplomatic achievement between Russia and Ukraine. It allows for the export of Ukrainian cereals and Russian agricultural products through the ports of the Black Sea and the Bosphorus Strait. The pact has been vital in delivering humanitarian aid to countries in need in Africa and Southeast Asia.
During the call with Ramaphosa, Putin also expressed disappointment over the agreement’s failure to achieve its main objective of supplying African nations in need. The restrictive measures imposed on the state-owned Russian Agricultural Bank have impeded Russian grain and fertilizer exports.
The Istanbul Joint Coordination Center, responsible for overseeing the agreement’s terms, clarified that there has been no export of Russian ammonia fertilizers as per the pact. The agreement stipulates that the export of ammonia fertilizers depends on the restoration of the damaged pipeline from Tolyatti, Russia, to Yuzhne, Ukraine.
The potential termination of the Black Sea Grain Agreement has raised concerns over soaring food prices and increased food insecurity worldwide. The agreement has allowed for the exportation of over 32.8 million metric tons (36.2 million tons) of food from Ukraine since August last year, benefitting developing countries, including recipients of aid from the Food World Program.
Máximo Torero, the chief economist of the Food and Agriculture Organization of the United Nations, warned that the non-renewal of the agreement would likely lead to a spike in food prices, with the duration of the impact dependent on market responses.
International organizations such as the International Rescue Committee have considered the grain deal crucial in addressing food insecurity. The organization refers to it as a “lifeline” for 79 countries and 349 million individuals on the front lines of food insecurity.
If the agreement is not renewed, countries reliant on importing food from the Black Sea region may be forced to seek suppliers elsewhere, leading to increased costs. The weakened currencies and rising debt levels of these countries, especially in the wake of paying for food shipments in dollars, would exacerbate the financial burden.
Arif Husain, the World Food Program’s chief economist, highlighted that the affordability of food would decline for low-income countries and individuals if the grain deal is not extended.
Despite the pressing need for an extension, Moscow has yet to make a definitive decision, leaving many nations on edge and hoping for a resolution that secures the continuation of the crucial agreement.
In related news, President Putin’s attendance at the BRICS summit is in doubt, with South Africa aiming to prevent his travel to avoid potential arrest due to an imminent international warrant against him.