Black Sea Grain Deal Faces Delays and Challenges as Full Operations Remain Hindered

Sat May 27 2023
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UNITED NATIONS: The resumption of full operations under the Black Sea Grain Initiative, a deal aimed at facilitating the safe wartime export of grain and fertilizer from Ukrainian Black Sea ports, has faced setbacks and hurdles, according to the United Nations.

The agreement, brokered by the UN and Turkiye last July with Russia and Ukraine, has not seen any ships authorized to travel to the Pivdennyi (Yuzhny) port since April 29, despite Russia’s recent decision to extend the pact.

The UN and Turkiye are working closely with all parties involved to address the obstacles and lift the limitations that have impeded the initiative, as stated in a UN statement on Friday.

The deal covers three ports but has been hampered by Russia’s inability to export ammonia via a pipeline to Pivdennyi, prompting Ukraine to accuse Russia of effectively excluding the port from the agreement.

Black Sea Deal Encompasses Export of Fertilizer

Furthermore, the Black Sea deal encompasses the export of fertilizer, including ammonia, but no such exports have occurred thus far, according to the UN. The Joint Coordination Center (JCC) in Istanbul, composed of officials from Ukraine, Russia, Turkiye, and the UN, is responsible for authorizing ships and conducting inspections.

As per the information provided by the Ukrainian delegation, there are currently 54 vessels awaiting clearance to move to Ukrainian ports, with 11 applications shared for registration with the JCC, the UN reported. However, no new ships were registered on Thursday, though two were approved on Friday. Currently, 13 vessels are being loaded in Ukrainian ports, with six in Chornomorsk and seven in Odesa.

The average number of daily inbound and outbound inspections in May has dropped to 3.2, the lowest level since operations began in August. Russia has signaled that it may not extend the deal beyond July 17 if its demands regarding grain and fertilizer exports are not met.

The demands include restarting the pipeline for Russian ammonia transportation to Pivdennyi port and reconnecting Russia’s agricultural bank to the SWIFT international payment network.

In an effort to persuade Russia to allow the resumption of Black Sea grain exports, a separate three-year agreement was reached in July last year, where the UN agreed to assist Russia in its food and fertilizer shipments.

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