Ukraine Proposes Ceasefire in Black Sea Amid Disrupted Food Supplies
Ukraine has proposed a ceasefire to Russia in the Black Sea, but Moscow has yet to respond. The proposal was conveyed through a third party and aims to stop attacks on civilian facilities in the region. Both countries have been warning of a threat to global food supplies after intensified strikes on vessels and ports. According to Reuters, Ukraine's wheat exports decreased by 76% year-on-year in August due to Russia's blockade of Black Sea ports.
Russian Deputy Foreign Minister Alexander Grushko stated that Moscow had not received an official proposal for a ceasefire. Before the report was published, Kyiv was forced to turn to alternative shipping routes after many shipowners stopped calling at ports in the Odesa region due to fears of Russian strikes on foreign-flagged vessels and port infrastructure.
September wheat futures on Euronext fell after Reuters reported on Ukraine's proposal. This season, Ukraine reduced wheat exports but increased corn exports. The agricultural sector warns of large-scale consequences for the economy if the situation continues.