In a recent statement released by the Director-General of the World Trade Organisation (WTO), Ngozi Okonjo-Iweala, it was revealed that the collapse of the Ukraine grain deal has had severe consequences for impoverished countries. Okonjo-Iweala expressed her disappointment, emphasizing that the termination of the deal would have the greatest impact on those already struggling economically.
The former Minister of Finance conveyed her concerns through an official statement on Monday, which has been verified and authenticated. Okonjo-Iweala criticized Russia for its decision to halt participation in the Black Sea Grain Initiative, which has been instrumental in facilitating the safe export of grain from Ukraine.
Expressing her deep disappointment at the termination of the Black Sea Grain Initiative and the subsequent disruption of the grain trade from Ukraine, the WTO DG echoed the regret and concern expressed by UN Secretary-General Antonio Guterres. She emphasized the significance of Black Sea trade in food, feed, and fertilizer, emphasizing that it plays a critical role in stabilizing global food prices.
Okonjo-Iweala highlighted the unfortunate reality that the poorest people and countries are bearing the brunt of the consequences resulting from the collapse of the deal. Recognizing the detrimental impact of the situation, she urged stakeholders to remain hopeful for a potential renewal of the initiative.
This setback follows Russia’s previous announcement that it would no longer cooperate with the agreement, which enabled the safe export of Ukraine’s grain via the Black Sea. The Black Sea Grain Initiative was initially brokered by the United Nations and Turkey, aiming to mitigate the global food crisis that emerged after Russia’s invasion of Ukraine—a neighboring country and a significant grain exporter.
Under the terms of the agreement, commercial exports of food and fertilizer, including ammonia, were permitted from three key Ukrainian ports situated in the Black Sea region: Odesa, Chornomorsk, and Yuzhny/Pivdennyi.
The collapse of the Ukraine grain deal has raised concerns about the immediate and long-term implications for impoverished nations heavily dependent on food imports and those relying on stable global food prices. The international community awaits further developments and potential efforts to revive the initiative in order to address these pressing challenges.
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