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Wheat, Russia and Ukraine sign export agreement. The effects on Italy on the world

The agreement was signed with the mediation of Turkey and the UN who will monitor the passage of ships in the Black Sea. 25 million tons of wheat and cereals released

Wheat, Russia and Ukraine sign export agreement. The effects on Italy on the world

In Istanbul, Ukraine and Russia signed two separate but identical agreements that unblock the shipment of grain from Ukrainian ports. A fundamental step forward, arrived under the aegis of the United Nations, which averts a global food crisis and gives rise to a small hope that agreements on ceasefires may be signed in the near future.

The Wheat Agreement 

According to estimates, approx 25 million tons of wheat and other grains they are stuck in Ukrainian ports, which has already triggered a global food crisis. According to Coldiretti, the recovery of Ukrainian grain exports can save the 53 countries from famine where the population spends at least 60% of their income on food.

The agreement reached provides for theopening of three corridors of export of Ukrainian grain, stopped since February 24, i.e. since the war began. For three months, the grain currently present in the silos of the Ukrainian ports of Odessa, Chernomorsk and Yuzhny will finally be able to leave the Ukraine.

Turkey and the UN will have the task of monitoring the passage of ships through a mine-free passage in the Black Sea and to monitor compliance with procedures. There are no military vessel escorts. 

 “It is a historic day, we have resolved a global food crisis and avoided the nightmare of hunger in the world. This war will have neither winners nor losers,” the Turkish president said, Recep Tayyip Erdogan who worked to mediate between the two countries.

“It was exhausting negotiations, but this agreement is in the interest of the world and above all of developing countries put to the test by the non-arrival of wheat and cereals. This agreement is a beacon in the Black Sea,” said the UN secretary-general, Anthony Guterres.

“The agreements signed today in Istanbul by Ukraine, Russia, Turkey and the United Nations are excellent news for the entire international community. The release of millions of tons of grain stuck in Black Sea ports is essential to allow these loads to reach the citizens of many middle- and low-income countries and avoid a global food crisis." As Prime Minister Mario Draghi, in a statement released yesterday afternoon. “The success of this plan – continues Draghi – will depend on the rapid and full implementation of the agreements signed today. Italy has made a strong commitment in recent months to support Turkey's mediation initiative with the central role of the United Nations. We hope that these agreements represent a first step towards concrete prospects for peace, in terms that are acceptable to Ukraine”.

The effects of the agreement on Italy

According to Coldiretti estimates, the agreement gives the green light to thearrival in Italy of almost 1,2 billion grains of corn for animal feed, soft wheat for bread-making and sunflower oil.

“Ukraine – underlines Coldiretti – despite the decline in harvests remains one of the main producers and represents 10% of the world trade in soft wheat intended for bread-making but also 15% of corn for breeding”.

Italy, to date, it imports 62% of its needs of wheat for the production of bread and biscuits and 46% of the corn it needs to feed livestock. Ukraine is our second corn supplier with a share of just over 13% (785 million kilos), but it also guarantees 3% of the national import of wheat (122 million kilos) without forgetting the arrivals of 260 million kilos of sunflower oil.

"The release of shipments on the Black Sea is important for Italy in a situation in which - continues Coldiretti - without rainfall they risk cut national forage and corn crops in half intended for animal feed, of which Italy has a significant deficit, while the production of soft wheat is down by 20%”.

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