Putin Criticises Grain Deal

RUSSIAN president Vladimir Putin criticises the grain deal for only benefiting “big American and European companies”.

Putin Criticises US and Europe

Putin made a statement on Sunday, July 23, stating that the Ukrainian grain deal allowing Ukraine to export its grain to worldwide markets at a third of their normal export rate, only benefited big companies in the US and Europe, while leaving countries such as Ethiopia, Sudan, Somalia, Yemen and Afghanistan with less than one million tons of the total of nearly 33 million tonnes, less than 3 per cent of the total amount.

He declared that the grain deal, which was presented by the West to help Africa, was used to enrich big companies in the US and Europe that exported and resold the grain received from Ukraine.

Putin stated, “in almost a year of the grain pact, a total of 32.8 million tonnes of cargo was exported from Ukraine, more than 70 per cent of which went to high- and upper-middle-income countries, including the European Union, while countries like Ethiopia, Sudan and Somalia, and also Yemen and Afghanistan, received less than 3 per cent of the total volume, that is, less than one million tons.”

Russia Attacks Odesa Port

Russia has been accused of creating obstacles for grain exports via the Black Sea, using naval blockades and lengthy inspections.

Now, Russia has been accused of launching missile strikes on ports in Odesa over the past week, destroying over 60,000 tonnes of grain as well as a grain terminal owned by one of Ukraine’s major producers, Kernel.

This attack will have a significant impact on the cost of grain and oil. Kernel’s CEO, Yevhen Osypov, predicts that the damaged ports will lead to a further 50 per cent drop in Ukraine’s grain export capacity, causing prices to spike.

Russia Plans to Replace Ukrainian Grain

On the Kremlin’s website, Putin claims Russia “is capable of replacing the Ukrainian grain both on a commercial and free-of-charge basis, especially as we expect another record harvest this year” and reiterated his commitment to “provide supplies of grain, food products, fertilisers and other goods to Africa”. Putin said that Russia has managed to export 11.5 million tonnes of cereal in 2022 to the continent, and in 2023, the figure has increased to 10 million tonnes.

Putin states that he will no longer support the grain pact, as “none of the conditions were met” regarding the lifting of sanctions on grain and fertiliser exports.