Russian shipowners ask authorities to recognize halt to Azov Sea shipping as force majeure

Russian shipping companies have asked the Ministry of Transport, the Ministry of Agriculture and the Russian Union of Industrialists and Entrepreneurs to recognize the suspension of shipping in the Azov Sea as a force majeure event. Restrictions have been in place since July 10, 2026, and such recognition would allow companies to avoid penalties for failing to fulfill contracts and costs associated with forced vessel downtime.

According to market participants, damaged vessels currently occupy up to 85% of available port berths, restricting infrastructure operations. Nearly half of the damaged fleet remains at sea with cargo on board, totaling around 300 thsd tons of export products.

The situation is directly affecting agricultural exports. Smaller ports in Azov, Rostov-on-Don, Taganrog and Yeysk are used to ship pulses, meals, oilcakes and molasses, including to Turkey and Mediterranean countries. Market participants consider rerouting these cargoes through ports in northwestern Russia economically unviable.

Direct costs related to vessel downtime, maintenance and upcoming repairs are estimated at RUB 6.7 billion (about $77 mln), while restoring the fleet could require another $50–75 mln. Shipowners also warn that the lack of revenue from agricultural product sales could create difficulties in servicing loans and financing the next production cycle.

In addition to recognizing the situation as force majeure, the companies are proposing a moratorium on vessel parking fees and port infrastructure rent for the duration of the restrictions and for another three months after they are lifted. They are also calling for an interagency task force to coordinate port recovery, warning that restoring exports to normal levels could take several months even after shipping resumes.

Tags: Black Sea region