Ukraine
After making it through the spring planting season, sometimes with the help of bulletproof vests and helmets, Ukraine’s farmers are facing another challenge – finding enough diesel for the harvest to come.
Russian wheat export prices rose last week following higher wheat prices in Paris, analysts said on Monday, adding that the country’s exports continued to slow down due to seasonal factors.
Ukraine reported a major drop in grain exports, threatening food security for millions worldwide. Grain exports are down 64% so far in May compared to last year, the country’s agriculture ministry said Thursday.
After just three weeks, Indonesia announced it’s lifting its ban on palm oil exports. The move was expected by S&P Global Commodity Insights, saying there was no shortage of palm oil supplies when the ban was announced.
U.S. wheat futures fell sharply on Wednesday following a report about efforts by the United Nations to restore Ukraine grain shipments along with news of potential Russian wheat exports.
When farmers or ranchers in the U.S. face tragedy others in the industry are quick to help. That same mentality, of farmers helping farmers, has reached Ukraine as support rolls in from across the globe.
“Right now, Ukraine’s grain silos are full,” says David Beasley, executive director of the World Food Programme. “At the same time, 44 million people around the world are marching towards starvation.”
Biden says Ukraine has 20 million tons of stored grain awaiting export to various countries. He says lack of port movement coupled with halted planting in Ukraine will ignite a global food crisis unless action is taken.
Diesel prices hit historic highs this week. Due to increased demand and a drop in production, a diesel shortage may be looming as the largest diesel distribution hub in the U.S. is sitting on supplies at a 30-year low.
Rail backlogs in the United States are delaying shipment of grains as well as processed flour and corn syrup, contributing to the national problem of inflation, food and grain companies said at a hearing this week.