The extension of the grain agreement announced on May 18 will help normalize world food inflation in the short term. This is specified bulletin Research and Forecasting Department of the Central Bank of the Russian Federation “What Trends Say”.
“The extension of the grain agreement until mid-July has had a restrictive effect on world agricultural product prices. In the short term, this will contribute to the normalization of food inflation in the world.
The circle’s view may not coincide with the editor’s position.
In January, Deputy Prime Minister of the Russian Federation Victoria Abramchenko discretion The level of food inflation in the world is around 30%. According to him, this level is recorded for the second year in a row.
The Black Sea Grain Initiative or Grain Agreement was signed on 22 July 2022 by representatives of Russia, Turkey, Ukraine and the UN. The agreement includes the export of grain, foodstuffs and fertilizers from Ukraine via the Black Sea from three ports, including Odessa. The joint coordination center in Istanbul coordinates the movement of the ships.
The grain deal has been extended until July 17 with no changes. According to Russian Foreign Minister Sergei Lavrov, the next two months of the Black Sea initiative will be decisive for its future. As stated in the ministry, to further expand the Black Sea initiative, it is necessary to reconnect Rosselkhozbank to SWIFT, unblock transport logistics and insurance, supply spare parts, revitalize the Togliatti-Odessa ammonia pipeline and dissolve the assets of Russian companies.
On May 30, Lavrov described the grain deal as ineffective. According to him, less than 3% of the 30 million tons exported went to the poor countries of Africa. He added that the Russia-UN agreement has never been implemented.
Source: Gazeta
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