“Russia and Ukraine Negotiate Grain Deal Extension Amid Demands for Sanctions Relief”

Russia and Ukraine are negotiating again on the extension of the grain deal, which expires tomorrow. The talks are progressing slowly because Russia has made a series of demands. These are the pain points:

• Agricultural bank Rosselkhozbank should be allowed back into the international financial communication system Swift. As part of the sanctions, Russia has been cut off from Swift since last year.

• The supply of agricultural equipment and spare parts should be resumed.

• The sanctions on insurance and access to foreign ports for Russian ships and goods must disappear.

• The ammonia pipeline between the Ukrainian port city of Odesa and the Russian city of Togliatti must be restarted.

• The bank accounts and financial activities of Russian fertilizer companies must be unblocked.

The grain deal has transported more than thirty million tons of grain from Ukrainian Black Sea ports since last summer. Ukrainian grain is of great importance for the international food supply. The agreement includes the following terms and conditions:

• Russia, Ukraine, Turkey and the UN have set up a coordination center with representatives from all parties involved. This center inspects grain ships sailing to and from Ukraine near Istanbul.

• Ukraine is allowed to export grain from three ports.

• Russia and Ukraine vow not to attack civilian shipping and ports.

• The agreement is valid for 120 days and is then automatically extended, unless either party indicates that it wishes to terminate or amend the deal.

Dan de Vries