MOSCOW: Wheat prices rose massively in global markets after Russia threatened to treat ships heading for Ukrainian ports as potential military targets.
Moscow pulled out of a United Nation (UN) agreement on Monday that ensured safe passage for grain consignmnents crossing the Black Sea.
Russia, for the past three nights, has attacked Ukraine’s grain facilities in Odesa and other cities, BBC reported.
Moscow also warned that from Thursday any vessels heading towards Ukraine’s ports would be deemed as siding with the Kyiv regime.
Adam Hodge, White House spokesperson, said that Russia was planning to target civilian ships and blame Ukraine.
He said that Moscow had laid more sea mines near Ukrainian ports, as part of a co-ordinated effort of Russia to justify attacking civilian vessels.
Meanwhile in a similar warning to Moscow’s, Ukraine has said vessels heading towards Russian or occupied ports on the Black Sea could be deemed as carrying military cargo.
Wheat rates on European stock exchange
Wheat rates on the European stock exchange went up by 8.2 per cent on Wednesday from the previous day, to 284 dollars per tonne, while corn prices were soared 5.4 per cent.
US wheat futures jumped 8.5 per cent – their highest daily surge since just after Russia’s invasion of Ukraine in February 2022.
Rates in shops will not immediately soar when market prices increase. But if the interruption in supplies resulted in a prolonged period of higher rates, the impact will make itself felt across the world in the coming months.
