Russia Views Black Sea Grain Deal Exit, Citing West's Unfulfilled Promises

At a gathering of Russian war reporters and military bloggers, Putin stated, “We are thinking about getting out of this grain deal right now.”

Russia Views Black Sea Grain Deal Exit, Citing West's Unfulfilled Promises

Vladimir Putin, the president of Russia, stated on Tuesday that his country was thinking about pulling out of the Black Sea grain deal because the West had defrauded Moscow by failing to fulfill any of its promises to introduce Russian agricultural products to the international market.

The United Nations and Turkey mediated the agreement allowing Ukraine to resume seaborne grain exports in July of last year to help address a global food crisis that the U.N. claimed had been made worse by Europe’s deadliest conflict since World War Two.

A three-year agreement was reached at the same time under which U.N. representatives agreed to assist Russia with its own exports of food and fertiliser in an effort to persuade Moscow to approve the agreement, which diplomats refer to as the Black Sea Grain Initiative.

But according to Putin, the West’s treachery prevented that from being implemented.

At a gathering of Russian war reporters and military bloggers, Putin stated, “We are thinking about getting out of this grain deal right now.

“Unfortunately, we were taken advantage of once more because nothing was done to liberalise the supply of our grain to international markets. Under the direction of the U.N., there were many requirements that the Westerners had to meet. Putin added, “Nothing has been done.

Due to Russia’s full-scale war in Ukraine that began on February 24, 2022, Western powers have imposed what they claim to be the toughest sanctions ever.

Despite the fact that Russia’s exports of food and fertiliser are not prohibited, Moscow and significant Russian grain and fertiliser exporters claim that Western restrictions on payments, logistics, and insurance make shipments more difficult.

The agricultural markets for wheat, barley, maize, rapeseed, rapeseed oil, sunflower seeds, and sunflower oil are dominated by Russia and Ukraine, two of the world’s top producers of agricultural products. Russia is a market leader for fertilisers as well.

United Nations Secretary-General Antonio Guterres said on Monday he was concerned Russia would on July 17 quit the grain deal.

“We are working hard in order to make sure that it will be possible to maintain the Black Sea initiative and at the same time that we are able to go on in our work to facilitate Russian exports,” Guterres told reporters.

Putin made it absolutely clear that Russia is considering stopping participation in the grain deal.

He said he would discuss its future with some African leaders expected to visit Russia soon, adding that Moscow was ready to supply grain for free to the world’s poorest countries.

Regarding the current situation, Putin stated that “almost nothing goes to African countries,” adding that Moscow had repeatedly agreed to extend the agreement but had nothing to show for it.

In the absence of a Russian extension, the current agreement will end on July 17.

Russia’s specific demands include the reconnection of the Russian Agricultural Bank (Rosselkhozbank) to the SWIFT payment system, the restoration of agricultural equipment and component supplies to Russia, and the removal of insurance and reinsurance restrictions.

Other demands include the opening of the Togliatti-Odesa ammonia pipeline, which allows Russia to ship the chemical to the main Black Sea port in Ukraine, as well as the release of Russian export-related companies’ assets and accounts.