Wheat Prices Surge Amid Strikes on Black Sea Ports

Global wheat prices have reached nearly three-year highs due to strikes on Black Sea ports. According to the Financial Times, disruptions in export logistics are causing the market to respond with rising prices.

The strikes have particularly affected Ukraine's largest port on the Danube and Russian terminals in Novorossiysk over the past two weeks. Russia is the world's largest grain exporter, while Ukraine ranks fifth, together accounting for around 30% of global wheat exports.

Disruptions to ports in the Sea of Azov and the Black Sea could reduce global grain supplies this year by 86 million tonnes, or about 17% of global exports. Of this, 52 million tonnes are accounted for by Russia, and a further 34 million tonnes by Ukraine.