2023-09-22 09:16:00
The war in Ukraine has upset the balance of international trade. At least this is what French grain producers have warned regarding, calling on the government to rethink the market approach.
« Thirty years ago we entered a system of global globalization, with futures markets in Chicago and a World Trade Organization sanctioning operators who do not respect the rules. », Explains Eric Thirouin, president of the General Association of Wheat and Other Cereal Producers (AGPB), to AFP. But ” the WTO has become much less active and globalization has fragmented while Russia has become much more active on the international scene, for example promising to deliver free grain to six African countries. ” Since then, “ the world market and globalization are becoming obsolete » he believes.
Also the cereal growers call on the French government to reconsider the situation and find solutions », Indicates the manager. “ We need to sit around a table and ask ourselves the question of how we adapt the rules of international trade and bring more agility to them. ” He adds : ” to succeed in transitions and continue to have influence in the concert of nations, we must truly give ourselves the means! The State must combine the ambition of the set course and the right resources to allocate. We demand visibility and coherence in agricultural policies to enable us to sustain our competitiveness. »
Russia’s sold-out wheat
With a harvest estimated at 89.6 million tonnes (Mt) for the next 2023-2024 campaign, which would be the second best in its history, “theRussia confirms its desire to make wheat a weapon of mass diplomacy », Points out the AGPB. “ In 2022-2023, it exported no less than 48.1 Mt, bypassing traditional markets to establish its influence with third countries. A cheap wheat which won all the first calls for tenders from third countries in the face of mechanically less competitive French wheat ».
The world’s leading wheat exporter, Russia might face competition from France in North Africa
In one year, the price of wheat fell from 410 euros per tonne to 225 euros at the end of May. “ Current prices will therefore not cover production costs, creating a potentially devastating jaws effect for many farms. », Says the organization in a press release. She also adds that cereal growers suffer “ increases in charges of more than 37% compared to the pre-war average 2018-2021 “. So, ” the cost of fertilizers, particularly eloquent because it is the first item responsible for this increase, jumped by €120/t compared to 2022. »
New ship loaded with wheat leaves Ukrainian port
A ship loaded with wheat left a Ukrainian port bound for Egypt, Ukrainian authorities announced this Friday, September 22, stressing that this is the second time this week that a boat has used a maritime corridor set up by Kiev to circumvent the Russian blockade and threats. “ The ship ‘Aroyat’ left the port of Chornomorsk loaded with 17,600 tonnes of Ukrainian wheat bound for Egypt », indicated the Ukrainian Minister of Infrastructure, Oleksandr Koubrakov, on X (ex-Twitter).
A first ship loaded with wheat had already left this same port without incident on September 19, while Ukraine wants to establish safe sea routes for its agricultural production, Moscow having slammed the door on an agreement allowing export by the Black Sea of Ukrainian agricultural products, essential for the country’s economy and global food security. These maritime corridors, running along the coasts of allied countries to the Bosphorus, defy Russian threats to sink ships entering and leaving Ukrainian ports.
(With AFP)
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