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Ukrainian Grain Exports Are Slowing Down

Mintec Global
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Exports of Ukrainian grain began to slow down, despite the continuation of the Initiative for the safe transportation of grain and products from Ukrainian ports according to UN data. It is noted that no more than five vessels leave the ports of Ukraine daily, compared to previous weeks and months, when about ten vessels left.

Bad weather conditions

Ismini Palla, spokeswoman for the Black Sea Grain Initiative in Istanbul from the UN, said the movement of the Ukrainian grain vessels was affected by past uncertainty about the extension of the agreement, bad weather conditions in Istanbul for inspections and the rotation of new personnel and inspectors at the Joint Coordination Centre (JCC).

It also notes that traffic slowed this month, in part due to uncertainty among shippers and insurers about whether Russia would agree to extend the deal.

In total, in the seven days before November 23, 27 vessels departed Ukraine, compared to 36 in the previous week and 38 in the period from October 27 to November 2. Only 8 vessels departed between November 3 and 9, immediately after Russia briefly suspended its participation in the agreement, limiting the movement of ships in Ukraine.

Inspections are not fast

Ship inspections have also slowed in recent weeks. About 112 vessels are awaiting inspections in waters near Istanbul, including some of them standing for more than a month, the SCC said, adding that ways to increase inspections are being discussed.

Ambassador of Ukraine to Turkey Vasyl Bodnar noted that the slowdown was due to the uncertainty last week regarding the renewal of the agreement, as well as due to Russia’s refusal to speed up inspections and increase the number of teams.

“One major problem is that the Russians are slowing down inspections, probably intentionally,” Bodnar said.

For seven days until November 23, from zero to six checks were carried out daily, compared with 5-8 on the day of the previous week and up to 11 a week earlier. In addition, bad weather suspended some inspections last week.

The spokeswoman of the Black Sea Grain Initiative in Istanbul added that three inspection teams have been working over the past two weeks. The JCC continues to discuss how to adjust the planning of inspections for the winter and deploy sufficient capacity,” concluded Ismini Palla.

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