WAR-TORN ukraine finds itself crippled in getting its grain to market, finding seaports closed and having to resort to more costly rail and river transport, reports Bloomberg.
Meanwhile, its Russian rival is about to reap one of its biggest-ever harvests, though war-related logistical and financial constraints remain key questions about how much it can sell.
The sales pace from the Black Sea - which accounts for a quarter of global trade grain trade may be in focus more than ever, said the report.
Despite slumping recently, wheat prices are much higher than normal for the time of year. That's contributing to food inflation and prompting world leaders to pledge to do more to fight hunger.
'We in grains have never traded a war market before, so this is all new,' said Dan Basse, president of Chicago-based AgResource. 'The Russians are going to have a situation where they're going to export wheat, but it's not going to be as easy.'
Wheat shipments from top exporter in Russia have remained largely normal since it invaded Ukraine, going to traditional customers. With new crops rolling in, the coming months will show whether it can sell the big volumes usually seen when exports peak.
Ukrainian export prospects remain bleak. There has been little progress toward restarting seaborne trade, terminal closures threaten to limit grain shipments to less than half their potential and Russian strikes have damaged crop facilities at ports. Volumes in June were 44 per cent below last year.
Despite Russia having lots of wheat, its exports face challenges. Its agriculture sector hasn't been targeted by sanctions, but unofficial measures have seen some banks and shipping companies cut bank credit lines and services.
SeaNews Turkey
Meanwhile, its Russian rival is about to reap one of its biggest-ever harvests, though war-related logistical and financial constraints remain key questions about how much it can sell.
The sales pace from the Black Sea - which accounts for a quarter of global trade grain trade may be in focus more than ever, said the report.
Despite slumping recently, wheat prices are much higher than normal for the time of year. That's contributing to food inflation and prompting world leaders to pledge to do more to fight hunger.
'We in grains have never traded a war market before, so this is all new,' said Dan Basse, president of Chicago-based AgResource. 'The Russians are going to have a situation where they're going to export wheat, but it's not going to be as easy.'
Wheat shipments from top exporter in Russia have remained largely normal since it invaded Ukraine, going to traditional customers. With new crops rolling in, the coming months will show whether it can sell the big volumes usually seen when exports peak.
Ukrainian export prospects remain bleak. There has been little progress toward restarting seaborne trade, terminal closures threaten to limit grain shipments to less than half their potential and Russian strikes have damaged crop facilities at ports. Volumes in June were 44 per cent below last year.
Despite Russia having lots of wheat, its exports face challenges. Its agriculture sector hasn't been targeted by sanctions, but unofficial measures have seen some banks and shipping companies cut bank credit lines and services.
SeaNews Turkey
