Russia suspends its cooperation with the agreement that will allow Ukraine to export grain through the Black Sea. The agreement was signed a year ago by the United Nations, Turkey, Ukraine and Russia. “But the deal is not dead,” says Europe journalist Geert Jan Hahn.
The wheat deal is expected to be extended again for the fourth time today, but the Kremlin is demanding that Russian conditions be met first. Russian food exporters are not subject to Western sanctions, but are suffering the consequences. For example, Russian banks have been cut off from the SWIFT international payment system, making it more difficult for farms to trade.
According to Hahn, the Russians are basically about this Not in consultation with Ukraine, because the wheat deal is between Ukraine, Turkey and the United Nations and between Russia, Turkey and the United Nations and Russia. ‘This actually puts pressure on the other partners in the deal.’
Doubt with insurers
Russia’s withdrawal from the deal has major implications for Ukraine’s marine grain and grain exports: Not only are the tankers a legitimate target in Russian eyes, but insurers aren’t even thinking about insuring Ukrainian vessels.
“Of course there are also many insurers who don’t want to take risks”
Asked to what extent the suspension of the wheat deal is linked to the attack on the Kerch bridge between Crimea and mainland Russia, Hahn said he believed the Russian decision had been in the pipeline for some time. The deal will feature prominently on the agenda when Russian President Putin meets with his Turkish counterpart Erdogan in August, the reporter said. “Because that means the deal won’t work for at least two or three weeks.”
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Source: BNR
Sharon Rock is an author and journalist who writes for 24 News Globe. She has a passion for learning about different cultures and understanding the complexities of the world. With a talent for explaining complex global issues in an accessible and engaging way, Sharon has become a respected voice in the field of world news journalism.
