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Extending grain deal can normalize global food inflation — Bank of Russia

In the short term, this will help normalize global food inflation, the statement said

MOSCOW, May 30. /TASS/. The extension of the grain deal may contribute to the normalization of food inflation around the world, the Bank of Russia said on Tuesday.

"The extension of the grain agreement until mid-July had a restraining effect on global agricultural prices. In the short term, this will help normalize global food inflation," the statement said.

Agreements on the export of food and fertilizers from Ukraine to the international markets were concluded on July 22, 2022, in Istanbul for 120 days. One of the agreements regulates the order of grain supplies from the Kiev-controlled ports of Odessa, Chernomorsk and Yuzhny controlled by Kiev.

Created by Russia, Turkey, Ukraine and the UN, the Joint Coordination Center in Istanbul is designed to inspect ships with grain to prevent smuggling of weapons and exclude provocations.

In addition, a memorandum was signed between Russia and the UN, which implies the obligations of the world organization to remove various restrictions on the export of Russian agricultural products and fertilizers to world markets. The grain deal has been repeatedly extended, the last time - on May 17 for 60 days.

The Russian Foreign Ministry previously stated that the Russian part of the agreement is not being implemented. Moscow insists on restoring the admission of Russian ships to foreign ports, normalizing the situation with dry cargo insurance, reconnecting the Russian Agricultural Bank to the SWIFT interbank payment system and launching the Togliatti-Odessa ammonia pipeline.

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