Home » KSE explained why the grain export agreement is beneficial for Ukraine, but unprofitable for Russia

KSE explained why the grain export agreement is beneficial for Ukraine, but unprofitable for Russia

by alex

Nivievskiy about the grain agreement between Ukraine and Russia/Channel 24 collage

Ukraine and Russia have signed agreements with Turkey and the UN on grain exports. This will unlock three Ukrainian seaports. Why such a grain agreement is beneficial for Ukraine, unlike Russia, read in the article.

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Why Ukraine benefits from the grain agreement

KSE Vice President Oleg Nivevsky told Channel 24 about this. He assured that the grain agreement is very beneficial for Ukraine.

According to him, the unblocking of grain exports has been discussed since the beginning of the war. And there are two aspects to this.

First of all, this is the fate of the Ukrainian agricultural sector. After all, the survival of farmers depends on the export of grain. If the seaports are blocked, Ukrainian producers did not receive income, Nivevsky explained.

He says that this caused problems with liquidity and further production. Many farmers said they simply wouldn't plant winter crops because they weren't sure if they could get the grain out.

“The other aspect is global food security. We are now living in a period of low global stocks. So each ton of Ukrainian grain is worth a lot,” the expert said.

After all, countries dependent on grain supplies from Ukraine suffer greatly. According to the latest UN estimates, in the worst scenario, if the blocking of ports will continue, tens of millions of people will suffer from starvation. -markup” dir=”ltr”>Therefore, unblocking ports is beneficial to everyone except Russia. Since this situation occurred due to the fact that it is not profitable for the Russians to have a “healthy” economy of Ukraine and a stronger enemy, Nivevsky noted.

After all, unblocking ports means that Ukrainian producers receive higher incomes, the economy will be stronger, so it is not profitable for Russia. “That's why I doubted whether this grain agreement would be implemented,” he added.

The KSE vice-president stressed that since the beginning of Russian aggression against Ukraine, the invaders did not touch the ports.

“They simply hoped that they would capture the entire South and the ports would be theirs. But the Russians saw that they have little strength, and Ukraine “kicked in the teeth”, so they turned on a different tactic so that no one would get these ports and began to destroy them,” he summed up.

Oleg Nivevsky explained whether the grain agreement is beneficial for Ukraine: video dir=”ltr”>

  • Ukraine and Russia on July 22 signed grain agreements with Turkey and the UN in Istanbul. This provides for the unblocking of the Black Sea ports (“Odessa”, “Chernomorsk”, “Yuzhny”), and then the export of grain.
  • Under the auspices of the UN, a Joint Coordination Center will be created. It will include representatives of Turkey, Ukraine, the UN and Russia. They guarantee the safe movement of ships involved in the transportation of grain from Ukrainian ports.
  • Control over Ukrainian ports remains entirely with the Ukrainian side. There will be no movement of any other vessels, except for those who should ensure the export of grain. The document will be valid for 120 days from the date of signing. Then it can be extended for the same period if one of the parties does not want to break it.
  • The Minister of Infrastructure of Ukraine Oleksandr Kubrakov believes that the agreement on unblocking Ukrainian ports for the export of grain was signed on favorable terms for us conditions. First of all, it is necessary for the Ukrainian economy. More than 20 million tons of grain have already been in warehouses since last year. At the same time, the new crop is also waiting for export.
  • Nevertheless, less than a day has passed since the signing of the agreement, and the Russians have already shelled the Odessa seaport. On the morning of July 23, the military aggressors hit the port with 2 missiles, and 2 more shot down air defense systems. The Ukrainian Foreign Ministry called such actions by Moscow “a spit in the face of Erdogan and the UN Secretary General.”
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