Grain deal to give short-term bailouts, experts warn while the world needs a more diverse food system (Sputnik International)
Sputnik International published an article writing the Istanbul grain deal is only a temporary solution to the global food crisis exacerbated by the conflict in Ukraine, and a new, more decentralized, and diverse global food system is needed, experts told Sputnik. On Friday, Ukrainian and Russian representatives signed a deal brokered by Turkey and the UN in Istanbul on lifting restrictions on the supply of Russian products for export and Moscow’s assistance in the export of Ukrainian grain via the Black Sea.
Rob Vos, director of Markets, Trade, and Institutions warned that food security is affected by many factors and the grain deal alone will not be enough. At the same time, he admitted that the deal will help reduce global food prices, while prices for wheat and corn have already decreased. “The deal is important because there is no good alternative for salvaging all grains and oil seeds stored in silos. Exporting Ukrainian grains over land and through Europe could never replace the Black Sea as such logistics capacity is very limited,” Vos said. “The implementation of this deal in the second half of the year is important since that is the period when Ukraine exports the most grain.” “Storage capacity constraints will become extreme by this fall unless more grain can be exported. So, it is important that the deal lasts.” Republished in World Akkam.