Poland and Romania unwilling to expand transit of Ukrainian grain

Source:  Lb
зерно

Poland and Romania are not ready to significantly increase the transit and storage of Ukrainian agricultural products despite risks to global food security. Ukraine is asking EU countries to expand alternative export routes and estimates the additional transport costs at €1.1 billion.

At present, European rail, road and river routes can handle less than half of Ukraine’s required export volumes. If export disruptions persist, up to 35 mln tons of agricultural products could remain inside the country.

Romania says its position reflects limited port, rail and road capacity as well as the need to protect domestic farmers. Low water levels on the Danube and competition between Ukrainian and Romanian products for logistics capacity are adding further pressure.

Poland also does not plan changes aimed at increasing transit of Ukrainian agricultural products. Germany, meanwhile, is prepared to support alternative export routes, while Ukraine is considering German and Dutch ports as additional destinations.

According to Agriculture Minister Taras Vysotskyi, the accumulation of unsold grain and oilseeds is depriving farmers of funds needed for the next planting campaign. If export constraints remain in place until spring, planted area in Ukraine could decline by 35–40%.

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