Ukraine is preparing a Plan B in case the ports remain blocked
WEDNESDAY, 15 JUNE 2022, 13:53 - DANA GORDIICHUK
Ukraine has an alternative grain storage plan in case no agreement can be reached on the unblocking of ports.
This was stated by Taras Vysotskyi, first deputy minister for agricultural policy, speaking live on "Yedyni novyny" (United News).
Regarding the unblocking of the sea, Vysotskyi noted that the Ukrainian authorities are continuing to work together with the UN on this. He pointed out that without ports, Ukraine will not be able to realise its full export potential.
"And, of course, this requires several factors: enough anti-ship weapons and guaranteed military support. So work is continuing in this area. When the final details are agreed on by Ukraine, we can let you know," he said.
According to Vysotskyi, it is still difficult to predict how long it will take to clear the mines from the coast. The timing will depend on what stage the war is at.
"If we win, the speed will be completely different. If the fighting continues, there are other risks. So everything will vary depending on external factors. There are mechanisms for fairly rapid demining, and for the reverse. So the horizon is difficult to delineate."
In case exports cannot go through the ports, Ukraine is already getting additional storage facilities ready that can store both last year's remaining stock and the new harvest, which will be gathered in a month’s time, the deputy minister said.
Given last year's carryover and this year's yield forecast, there may be a 10-15 million-tonne shortfall in storage capacity. Therefore, mobile elevators and hoses are currently being imported as a Plan B for grain storage in case rapid export is impossible, in order to have potential equipment for storing these additional tonnes in reserve.
Reminder:
As of 1 July, Ukraine will have 20 million tonnes of carryover stock of agricultural produce, and potentially another 30 million tonnes from the new harvest may be added to the exports.
Bloomberg previously reported that Turkey and Russia have apparently reached a preliminary agreement on ensuring the export of Ukrainian grain by sea corridor from the Port of Odesa.
