Russia Attacks Ukraine’s Danube Facilities Again; Wheat Gains

Russian drones struck Ukrainian grain infrastructure near the Danube River, the latest in a raft of attacks on the waterway that’s vital for getting Ukraine’s exports out to markets now its Black Sea ports are shut.

Several crop terminals at Izmail port on the Danube were damaged overnight, curbing its export capacity by 15%, according to Infrastructure Minister Oleksandr Kubrakov. Some 13,000 tons of grain bound for Romania and Egypt were ruined, he said, and it marked the eighth attack on Ukraine ports since Russia quit the grain deal.

Nine drones were shot down, the city council said earlier.

River channels have become increasingly important to shipping the nation’s crops following the collapse of the Black Sea pact last month. More than 60% of Ukraine’s crop exports are now flowing via the Danube, with rail and trucks accounting for most of the rest, according to a UkrAgroConsult report.

Wheat futures in Chicago gained for a second day. Still, large crops in other major shippers — including Russia itself — have kept the market under pressure this year, with prices down about 20% since the end of December.

Tags: markets, Black Sea ports, Ukraine, Danube River, Russia, grain infrastructure, exports, crop terminals, Egypt, Izmail port, grain, Romania, prices, wheat, futures