Russia Negotiating a 60-Day Extension of Black Sea Grain Agreement


The Black Sea Grain Initiative to allow Ukraine to export agricultural commodities from Black Sea ports negotiated in July 2022 will hopefully be extended after the March 18th expiration by an additional 60 days.


The United Nations and Turkey are, once again, involved in discussions.


Russia through Deputy Foreign Minister Alexander Grushko, is bargaining for the lifting of restrictions on specified products including fertilizer.  Sanctions are obviously impacting the economy of the Russian Federation.


Continuing the shipment of wheat, corn, oil seeds and vegetable oils from Ukraine will restore balance between world supply and demand and ultimately depress prices for U. S. commodities.  This will especially be the case if major importers including China reduce orders and if Brazil and Argentine have sufficient surplus from a bountiful season to supply markets in Asia and Africa.