Ports in Odesa, which were idle due to the Russian blockade in the Black Sea, are returning to full operation.
Points of attention
- Ukraine broke through the blockade of the Russian Federation in the Black Sea, forcing the Black Sea Fleet to leave and restoring agricultural export routes.
- The end of the blockade led to a notable increase in ship movements and significant agricultural exports through Ukrainian ports on the Black Sea.
- Ukraine's victory over the Russian blockade influenced world markets, resulting in a 24.8% decrease in the food price index since its peak in March 2022.
- The recovery of Ukrainian grain exports through the Black Sea had a substantial impact on global markets, with analysts noting a decrease in the food price index compared to last year.
- The action by Ukraine to open shipping corridors and increase grain exports has put diplomatic pressure on Russia and reshaped agricultural trade dynamics in the region.
How Ukraine overcame the blockade of the Russian Federation in the Black Sea and resumed grain exports
The publication notes that after the criminal invasion of the Russian occupation army into Ukraine, the Kremlin tried to block the export of Ukrainian grain and other agricultural products through the Black Sea, provoking a global food crisis.
Journalists emphasize that this year the tonnage of ships arriving at Ukrainian ports in the Black Sea has recovered and is currently only 5% less than it was before the war.
The situation was changed thanks to the victory of Ukraine over the ships of the criminal army of the Russian Federation in the Black Sea.
With the help of missiles and UAVs, Ukraine forced the Black Sea Fleet of the Russian Federation to leave the Black Sea and restore export routes for agricultural products.
Before the start of the criminal war unleashed by Russia, Ukraine was in seventh place in the world in terms of wheat exports, fourth in barley exports, and one of the first in sunflower seed exports.
Nine tenths of Ukrainian agricultural exports passed through Black Sea ports.
Markets reacted with alarm to the loss of Ukrainian exports and the prospect that Russia's large agricultural exports may also be disrupted.
Wheat prices have risen sharply, and the food price index compiled by the UN Food and Agriculture Organization (FAO) has jumped 34% compared to the previous year.
Russia signed the Black Sea Grain Agreement, allowing ships to export products from Ukraine provided they were pre-inspected, but the relief proved short-lived.
Moscow withdrew from the agreement in July 2023, after about 33 million tons were supplied from Ukraine. Russia immediately tried to restore the blockade.
How the recovery of Ukrainian grain exports through the Black Sea affected world markets
In the absence of its own fleet, Ukraine forced the Black Sea Fleet of the Russian Federation to leave the occupied Crimea.
After that, Kyiv informed the UN about its intention to open the shipping corridor, which put diplomatic pressure on Russia.
As of the beginning of June this year, there were already about 1,300 ships heading along the coast of Romania to the ports of Odesa, Chornomorsk and Yuzhnoye.
These ports let through 50 million worth of goods - almost all of them are agricultural products.
According to analysts, it is difficult to assess how the end of the blockade by Ukraine affected world prices, since this indicator depends on many factors.
According to the FAO, the food price index is 2.1% lower than this time last year and has fallen 24.8% since its peak in March 2022.
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