Food shortage looms in Nigeria, others as Russia terminates Black Seal Grain Initiative with Ukraine

Shortage of grain may hit Nigeria, and other countries following the collapse of the Black Seal Grain Initiative agreed by warring Russia and Ukraine.

On Monday, July 17, 2023, the Russian government ended its participation in a deal allowing the export of Ukrainian grain via the Black Sea despite the war.

Ukraine had earlier announced its decision to send 25,000 tonnes of grain to Nigeria under the Grain from the Ukraine Initiative.

The development was announced by Mykola Solskyi, the Ukrainian minister of agrarian policy and food, during a meeting with Nigeria’s ministers of foreign affairs, Geoffrey Onyeama and agriculture and rural development, Mohammad Abubakar, the Ukraine government announced on its official website.

According to the statement, the meeting was held when the delegation visited the Ministry of Agrarian Policy and Food of Ukraine to Africa.

The Black Seal Grain Initiative brokered by the United Nations and Turkey, was established in July 2022 to reduce a global food crisis after Russia’s unprovoked invasion of Ukraine.

Ukraine is a significant and critical grain exporter alongside Russia, a neighboring country.

Decrying the collapse of the initiative, Director General  of the World Trade Organisation (WTO), Nigeria’s Ngozi Okonjo-Iweala expressed disappointment over the consequent ‘interruption of the grain trade from Ukraine.’

“Deeply disappointed at the termination of the Black Sea Grain Initiative & the interruption of the grain trade from Ukraine. I share UN SG @antonioguterres’ regret & concern.

“Black Sea trade in food, feed & fertilizer is critical to the stability of global food prices. Sad to say that poor people & poor countries are hardest hit. Let’s keep hope alive on renewal,” the WTO boss wrote via her Twitter handle (@NOIweala), Monday.

The Black Seal Grain Initiative guaranteed that ships would not be attacked while entering and leaving Ukrainian ports.

The Black Sea deal was essential to keeping the food from Ukraine to the rest of the world, especially African countries, the Middle East, and Asia.

Spokesman for the Russian President, Dmitry Peskov, said the deal has stopped and Russia would no longer cooperate with the agreement.

“The Black Sea agreements ceased to be valid today. As the President of the Russian Federation said earlier, the deadline is July 17. Unfortunately, the part relating to Russia in this Black Sea agreement has not been implemented so far. Therefore, its effect is terminated,” Peskov said.

According to Peskov, the deal would be suspended until the implementation of Russia’s conditions, which include lifting sanctions imposed against its agricultural bank and resuming the export of Russian grain and fertilizer.

“When the part of the Black Sea deal related to Russia is implemented, Russia will immediately return to the implementation of the deal,” he said.

Nigeria imported 51 per cent of its wheat from Russia, Lithuania, Latvia, and other Baltic countries in 2021.

Wheat from Russia and Ukraine, and other Black countries are reportedly the cheapest option for many milling companies in Nigeria.

The World Food Programme (FAO) said that at the beginning of the Black Sea deal, global food prices almost dropped 9%.