UN chief concerned Russia may not extend Ukraine grain deal

UN chief concerned Russia may not extend Ukraine grain deal

The U.N. chief expressed concern about Russia not renewing the Black Sea Grain Initiative on July 17.

Moscow has been threatening to stroll away from the deal often called the Black Sea Grain Initiative – brokered by the United Nations and Türkiye in July final yr – if obstacles to its personal grain and fertilizer shipments are usually not eliminated.

“I am concerned, and we are working hard in order to make sure that it will be possible to maintain the Black Sea initiative and at the same time that we are able to proceed with our work to facilitate Russian exports,” Secretary-General Antonio Guterres instructed reporters on Monday.

To persuade Russia to conform to the Black Sea grain deal, a three-year memorandum of understanding was struck on the identical time beneath which U.N. officers agreed to assist Russia with its personal meals and fertilizer exports.

While Russian exports of meals and fertilizer are usually not topic to Western sanctions imposed after the February 2022 invasion of Ukraine, Moscow says restrictions on funds, logistics and insurance coverage have amounted to a barrier to shipments.

Deputy Foreign Minister Sergei Vershinin stated on Saturday that Russia “cannot be satisfied with how this memorandum is being implemented,” the TASS news company reported. He was talking after assembly the highest U.N. commerce official Rebeca Grynspan in Geneva on Friday.

Among the calls for put ahead by Russia are the resumption of its ammonia exports through a pipeline to Ukraine’s port of Pivdennyi, and the reconnection of the Russian Agricultural Bank (Rosselkhozbank) to the SWIFT worldwide cost system.

The United Nations has helped enhance Russian exports of meals and fertilizers, facilitating a gradual stream of ships to its ports and decrease freight and insurance coverage charges, a U.N. spokesperson stated on Friday.

U.N. officers and analysts warned {that a} failure to increase the Black Sea Grain Initiative might damage nations in Africa, the Middle East and components of Asia that depend on Ukrainian wheat, barley, vegetable oil and different inexpensive meals merchandise, particularly as drought takes a toll. The deal helped decrease costs of meals commodities like wheat during the last yr, however that reduction has not been mirrored on kitchen tables.

Ukraine can ship its meals by land by way of Europe in order that it would not be utterly reduce off from world markets, however these routes have a decrease capability than sea shipments and have stirred disunity within the European Union.

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