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Dissention in Eastern Europe Over Ukraine Grain Availability

09/24/2023

Since the Russian Federation effectively reduced exports of Ukrainian grain through the Black Sea, product has flooded neighboring eastern European nations to the detriment of local farmers but benefitting livestock producers.  Despite initial unity in the face of Russian aggression, concern in the farming community has become a major political issue, especially with the ruling party in Poland facing an election that will require the support of farmers. 

 

Poland, Hungary, Slovakia and Croatia have banned some Ukrainian commodities resulting in a complaint by Ukraine to the World Trade Organization.   Andrzej Duda, President of Poland, noted, “Ukraine is behaving like a drowning person clinging to everything he can but we have the right to defend ourselves against harm being done to us.”

The resolution of this problem will depend on restoration of grain shipments from Black Sea and Danube Delta terminals. This will relieve pressure on the neighbors of Ukraine. Some bulk shipments along a new sea-lane have commenced.