On the eve of the negotiations on the grain agreement, Ukraine received the support of China and provided insurance for ships entering Ukrainian ports

Ukraine continues negotiations with the UN and Turkey regarding the extension of the “grain agreement” after March 19 for at least a year, and not for 120 days, as before, and uses all possible levers of pressure on the Russian Federation. In addition, Ukraine proposes to include in the agreement the possibility of exporting from Mykolayiv ports, and to the list of products shipped through the corridor – ore and metal.

On February 24, China published its plan for the settlement of the “Ukrainian issue”, in which a separate point emphasized the need for all parties to comply with the grain agreement on the export of grain through the Black Sea, signed by Ukraine, Turkey, the United Nations and the Russian Federation. It is noted that the initiative of international cooperation in the field of food security proposed by China will solve the problem of the global food crisis.

On February 24, the Verkhovna Rada of Ukraine adopted amendments to the State Budget for 2023, which provided for compensation (insurance) for the owners of sea vessels and those moving inland waters, in case of their damage or destruction by the Russians. The estimated amount of compensation is UAH 20 billion, and the funds will be allowed to be used from the Road Fund.

The Russian Federation hopes that insurance cases will not occur, but the adopted norm will reduce the risks of stopping agricultural exports if the Russian Federation sabotages the work of the grain corridor. In addition, the guaranteed compensation will reduce the cost of transportation not only through the grain corridor, but also through the Danube.

For a year now, Ukraine has been resisting the open aggression of the Russian Federation, and with the help of the Western countries, it has strengthened the army and liberated part of the occupied territories, in particular Kherson, which allowed the hostilities to be moved away from Mykolaiv.

The Commander of the Navy of the Ukrainian Armed Forces, Vice Admiral O. Neizhpapa, believes that only thanks to the displacement of enemy ships to a distance of 100-150 nautical miles from the coast of Ukraine, the Russian Federation was forced to agree to the operation of the “grain corridor” in the Black Sea.

Therefore, Ukraine’s position in the negotiations is quite strong, and the law adopted by the BP on guaranteed payments to shipowners in the event of damage to ships shows that Ukraine is ready to continue exports even if the Russian Federation withdraws from the grain agreement.