Russia’s invasion of Ukraine has driven up food prices around the world and overloaded silos of grain stuck in Ukraine.
Turkish President Recep Tayyip Erdogan and U.N. Secretary General Antonio Guterres lead a signing ceremony at Dolmabahce Palace in Istanbul, Turkey, Friday, July 22, 2022. U.N.
“Today, there is a beacon on the Black Sea,” Guterres said. “A beacon of hope, a beacon of possibility, a beacon of relief in a world that needs it more than ever.” African leaders, whose countries import food and fertilizer from Ukraine and Russia, also welcomed the deal, with South African President Cyril Ramaphosa saying “it has taken much too long.”
The agreement, obtained by the AP, says a U.N.-led joint coordination center will be set up in Istanbul staffed by officials from Ukraine, Russia, Turkey to run the plan, including scheduling cargo ships’ arrivals and departures. Guterres believes grain shipments could start “within the next two weeks,” according to U.N. deputy spokesman Farhan Haq. A senior U.N. official said Ukraine needs about 10 days to prepare the ports and needs time to “identify and be clear about those safe corridors.” The aim is to export 5 million tons of grains per month to empty Ukraine’s silos in time for this year’s harvest.
Traders anticipated a deal for the past several weeks, he said, so its effect might already have shown up in grain prices. And the agreement only covers the 2021 crop. There’s still considerable uncertainty about Ukrainian production this year and even next, Meyer said.
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