BLACK SEA GRAIN DEAL - INTERNATIONAL RELATIONS

News: G7 meeting calls for extending Ukraine’s Black Sea grain deal

 

What's in the news?

       The Group of Seven (G7) economic powers called on Sunday for the “extension, full implementation and expansion” of a critical deal to export Ukrainian grain through the Black Sea, the group’s agriculture ministers said in a communique.

 

Key takeaways:

       Brokered by the United Nations and Turkey, the deal was signed in Istanbul last July, allowing Ukraine to export more than 27 million tonnes of grain from several of its Black Sea ports.

 

Black Sea Grain Deal:

       The deal was to provide for a safe maritime humanitarian corridor for Ukrainian exports (particularly for food grains) from three of its key ports, namely, Chornomorsk, Odesa and Yuzhny/Pivdennyi in the Black Sea.

       It aims to tackle rising food prices due to the geopolitical conflict.


Significance of the deal:

       Approximately 9.8 million tonnes of grains have been shipped so far since the deal was brokered.

       People hoarding the grain in the hope of selling it for a sizable profit owing to the supply crunch were now obligated to sell.

       The initiative has also been credited for having made a huge difference to the global cost of living crisis.


Go back to basics:

Black Sea:

       The famed water body is bound by Ukraine to the north and northwest, Russia and Georgia to the east, Turkey to the south, and Bulgaria and Romania to the west.

       It links to the Sea of Marmara through the Bosphorus and then to the Aegean through the Dardanelles.