Ukraine defies Russia, sends 12 ships loaded with grain into Black Sea

Ukraine defies Russia and sends 12 ships loaded with grain from its ports days after Putin ‘weaponized food’ and pulled out of export agreement in revenge for Black Sea drone attack

  • 12 vessels loaded with Ukrainian grain headed into the Black Sea this morning 
  • Convoy set out despite Russia saying it could ‘no longer guarantee’ their safety 
  • Turkey and UN inspected the vessels and are helping to protect them 
  • Russia withdrew from grain agreement after Black Sea fleet was hit Saturday 

Twelve ships loaded with grain have departed Ukraine’s ports this morning despite Russia withdrawing from a pact granting them safe passage through the Black Sea. 

Tracking data showed the vessels departing ports around Odesa, in southern Ukraine, and heading out across a stretch of heavily-mined sea towards the Bosphorus Strait and onwards to the Mediterranean Sea.

Turkey and the United Nations said teams had inspected the vessels and were watching over them after Russia withdrew from a pact allowing grain shipments out of Ukraine, saying it could ‘no longer guarantee’ their safety.

It came after a fleet of drones attacked Russia’s Black Sea fleet on Saturday in an attack which it said targeted warships involved in protecting the grain convoys, which it blamed on Ukraine.

Ukrainian ships carrying grain destined to feed some of the world’s poorest departed the country Monday, in defiance of Russia pulling out of a deal granting them safe passage

Twelve ships were inspected by Turkey and the UN early Monday before setting out across the heavily-mined Black Sea, as the UN vowed ‘cargo ships can never be held hostage’

Hero Briton praised by Zelensky after training base hit by Russia 

A British veteran now serving with the Ukrainian armed forces has been praised for his bravery after Russia missiles blew up a training base.

Dan Ridley, 27, a former private in The Princess of Wales’s Royal Regiment, told how five Russian S-300 missiles struck the base at the weekend.

Mr Ridley told The Sun how he and six other Britons were training Ukrainian troops at the base when it was struck.

Despite the terrifying ordeal, nobody was injured and Mr Ridley has vowed to keep on working in Ukraine.

That earned him the praise of President Zelensky, who said that ‘neither rain nor even missiles get in the way’ of the training drills.

‘Civilian cargo ships can never be a military target or held hostage. The food must flow,’ tweeted Amir M. Abdulla, UN coordinator for the Black Sea Grain Initiative.

Turkish President Recep Tayyip Erdogan vowed on Monday that his country will continue to provide security to the ships – which provide vital food for developing countries, many of them in the Middle East.

The last time there were widespread food shortages in the region, it helped sparked the Arab Spring which caused widespread unrest and saw millions of refugees end up fleeing into Turkey.

‘Even if Russia behaves hesitantly because it didn’t receive the same benefits, we will continue decisively our efforts to serve humanity,’ Erdogan said in a speech. 

The UN and Turkey say they plan to inspect a total of 40 vessels scheduled to depart on Monday. 

Hundreds of thousands of tonnes of wheat booked for delivery to Africa and the Middle East are at risk following Russia’s withdrawal, while Ukrainian corn exports to Europe will get knocked lower, two Singapore-based traders said.

‘If I have to replace a vessel which was due to come from Ukraine, what are the options? Not much really,’ said one Singapore-based grains trader who supplies wheat to buyers in Asia and the Middle East.

Chicago wheat futures on Monday jumped more than 5% and corn rose over 2% from the fears over supplies.

Earlier this year global wheat prices jumped to an all-time high and corn hit a 10-year top as Russia’s invasion of Ukraine added fuel to a rally set off by adverse weather and COVID-19 supply disruptions.

Australia, a key wheat supplier to Asia, is unlikely to be able to fill any supply gap, with shipping slots booked right up to February, traders said.

Shares in Australia’s Graincorp – which posted a five-fold jump in H1 profit due to supply constraints arising from the Russia-Ukraine conflict – rose more than 7%.

No ships moved through the established maritime humanitarian corridor on Sunday. The United Nations, Turkey and Ukraine, however, pressed ahead to implement the Black Sea grain deal and agreed on a transit plan for Monday for 16 vessels to move forward, despite the withdrawal of Russia.

Ukraine produces millions of tons of grain annually that provides food for the likes of the UN’s World Food Programme (file image)

‘We have to see how the situation unfolds. It is not clear if Ukraine will continue to ship grains and what happens to Russian exports,’ said the Singapore-based grains trader.

Asian buyers booking Ukrainian wheat cargoes include Indonesia, the world’s second-largest importer of the grain, although the region typically relies on Australia and North America.

In recent deals, Indonesian millers bought four cargoes or around 200,000 tonnes of Ukrainian wheat for November shipment in deals signed over the last few weeks, traders said. Some Vietnamese feed mills that bought Ukrainian wheat are also likely to suffer.

Last week, a government agency in Pakistan bought about 385,000 tonnes of wheat in a tender likely to be sourced from Russia and Ukraine.

‘We are not sure if Russia will continue to export wheat or it will be safe for vessels carrying Russian wheat to ship from the Black Sea even as Ukrainian exports remain blocked,’ said a second Singapore-based trader at an international company.

Ukraine’s corn exports to Europe booked for November are likely to be hit as well.

Plumes of smoke were visible after Ukrainian drone strikes in the middle of the night – Russia say they had to destroy nine drones and seven maritime drones

‘As far as Europe is concerned, corn is a bigger issue than wheat as we are getting into peak season for Ukrainian corn in November,’ said the second trader.

Russia’s decision is expected to support world vegetable oil prices as it threatens Ukraine’s sunflower oil exports to key destinations, including top edible oil importer India.

Malaysian palm oil futures jumped more than 4% on Monday.

Under the U.N.-brokered grains deal, a Joint Coordination Centre (JCC) made up of U.N., Turkish, Russian and Ukrainian officials agrees on the movement of ships and inspects the vessels. More than 9.5 million tonnes of corn, wheat, sunflower products, barley, rapeseed and soy have been exported from the Black Sea since July.

Although global agricultural commodity prices have come off record highs in recent months, local retail food prices remain high and now face further upside.

‘Typically, it takes about two months for higher grain prices to filter through the supply chain and impact consumers at the retail level,’ said a Sydney-based analyst.

‘But food processors do not have much forward coverage, so it is likely to be a lot quicker.’

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