Ukraine's grain exports stall as Russian attacks cripple Black Sea ports

Ukraine's vital grain exports are grinding to a halt due to Russian attacks on Black Sea ports, which handled 90% of the country's agricultural trade. The government is exploring alternative routes via rail, road, and waterways, including a potential new corridor through Moldova.

However, experts caution that these alternatives cannot replace the efficiency of sea routes. The current blockade is seen as a more severe economic threat than the 2022 disruption. Farmers are already struggling, with millions of tons of grain harvested but unsold. This lack of capital jeopardizes the completion of the current harvest and the crucial autumn sowing.

Denis Marchuk, deputy chairman of the All-Ukrainian Agrarian Council, described the dire situation: "We can hardly sell our products at the moment. Instead, stocks are being stored, if there is enough storage capacity at all. At the same time, the question arises what we will do because we need money, especially for autumn sowing."

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We can hardly sell our products at the moment. Instead, stocks are being stored, if there is enough storage capacity at all. At the same time, the question arises what we will do because we need money, especially for autumn sowing.

With storage facilities already strained, the situation is expected to worsen as later harvests, including an estimated 33 million tons of corn, add to the existing stored quantities. Regions near the front lines are particularly affected, with many grain silos destroyed by the war. Some farmers are considering leaving corn in the fields until spring, a costly option requiring significant electricity for drying, which they cannot afford.

Analysts predict a further 50% drop in grain exports for August compared to July's 2.7 million tons. Domestic prices are also under pressure, with the price of wheat for consumption falling significantly. The struggle for survival is acute for Ukrainian farmers.

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Farmers want to leave the corn in the fields and harvest it only in the spring. It needs to dry, and that requires a lot of electricity, which is very expensive. There is no money for that. There are no sufficient sales opportunities, nor reasonable prices, so it is better to leave it now in the field because it is cheaper.