Alternative routes are unlikely to equal grain export capacities across Black Sea – UK Intelligence

Friday, 8 September 2023, 14:19

UK intelligence noted the vital importance of agricultural trade for Ukraine, saying that alternative routes are unlikely to match the capacity of exports across the Black Sea. 

Source: UK Defence Intelligence review on 8 September, as European Pravda reported

Details: The agency noted that the successful export of Ukrainian grain in the framework of the Black Sea Grain Initiative helped to reduce world prices and food insecurity.

During the initiative, more than 32 million tonnes of food have entered the global market, and the food price index has fallen 23% from its peak in March 2022.

Developing countries especially benefited from lower prices as well as from direct grain imports from Ukraine.

Quote: "Russia’s withdrawal from the BSGI has reduced Ukraine’s exports, a clear effort to degrade the Ukrainian economy and its ability to support the war effort," the review states.

The UK Ministry of Defence recalled that the agricultural sector accounted for 40% of Ukrainian exports before the war and remains vital, with food exports bringing in US$28 billion in 2021.

"Ukraine has found success using alternative methods like river, rail and road to export its grain; however, it is unlikely that this will match the capacity of the Black Sea export routes," the British intelligence said.

Background:

Read also: Russian Defeat for Erdoğan. How Turkish Leader Failed to Secure Ukraine Grain Deal with Putin

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