Wheat Prices Soar as Black Sea Disruptions Intensify

The price of wheat has surged to nearly three-year highs due to Russia and Ukraine's intense attacks on ports and commercial ships in the Black Sea, disrupting exports from two of the world's largest grain suppliers.

Russia and Ukraine account for approximately 30% of global wheat exports, and a significant portion of their infrastructure is now affected. The situation risks turning into a new problem for global food prices.

Financial Times reports that traders have started to react to the attacks on Ukrainian port Izmail and Russian terminals in Novorossiisk over the past two weeks.

According to Andrey Sizov, director of SovEcon, 'It's worse for the wheat market than the situation in the Strait of Hormuz was for oil.'