Russia-Ukraine to sign a deal for grain trade today: Turkey
22 Jul 2022 14:31:34
Ankara, Jul 22: Ukraine and Russia are expected to sign a deal Friday to re-open Black Sea ports to export grain, raising hopes an international food crisis triggered by Moscow's invasion could be at an end.
Ukraine and Russia - both among the world's biggest exporters - did not immediately confirm an announcement made by Turkish President Tayyip Erdogan's office, but Ukraine leader Volodymyr Zelenskyy late last night hinted ports in the area could be unblocked.
The proposed 'package deal' - which also includes fertilizer shipments - has been facilitated by Turkey and the United Nations; UN secretary-general Antonio Guterres and Erdogan will be in attendance as the papers are signed in Istanbul. The signing ceremony is expected at 1.30 pm GMT (7 pm IST), Reuters reported. "The grain export agreement, critically important for global food security, will be signed in Istanbul tomorrow under the auspices of President Erdogan and UN secretary general Guterres, together with Ukrainian and Russian delegations," a spokesperson for the Turkish president tweeted. This - the first major accord since Russia invaded Ukraine in February - is the product of two months' negotiation led by the UN and Turkey and will be welcome news amid soaring global prices and millions in or near starvation. The United States has welcomed the deal, but state department spokesperson Ned Price said Washington would focus on Moscow's follow-through. Like the US, Ukraine has expressed caution over the deal. Its foreign ministry told Reuters another round of talks would take place today and that only decisions guaranteeing the safety of its southern regions will be backed. Up to 25 million tonnes of wheat and other grain have been blocked in Ukrainian ports by Russian warships and landmines laid by Kyiv. Russia, meanwhile, had insisted on its right to check all incoming ships for weapons. Russia previously also demanded the lifting of some sanctions.
Ukraine is still shipping some grain - via rail, road, and river routes across European Union neighbors but volumes are well below normal. During this grain supply crisis, India delivered nearly two million tonnes of wheat at the request of foreign governments. This is since the government banned overseas sales in May, a senior official said. More than a dozen countries have requested Indian wheat supply, including Oman and the United Arab Emirates. In more good news for global markets, Russia on Thursday restored critical gas supplies to Europe through Germany via the Nord Stream pipeline.