The wheat situation in Ukraine is more dire than we thought


Russia and Ukraine have agreed on a deal to export millions of tons of grain trapped in Ukrainian ports due to the ongoing war. Cargo ships began leaving Ukraine’s Black Sea ports this week carrying tons of wheat for the first time in months, thanks to the U.N.-brokered agreement. Experts said this will help with global food shortages and soaring grain costs in the short term. But Straight Arrow News contributor Peter Zeihan warns that the wheat situation in Ukraine is more dire than we thought, and could have a major impact worldwide for years to come.

Excerpted from Peter’s Aug. 4 “Zeihan on Geopolitics” newsletter:

Turkish and U.N. diplomats have spent the last several weeks trying to forge a deal between Ukraine and Russia that would see Kyiv’s embargoed wheat be able to reach ports around the world. There have been several challenges facing Ukraine’s exports, not the least of which is the fact that Kyiv mined many of its own seaways in an attempt to stymie hostile Russian naval activity in the region. This week marked the first shipment of grain under a newly forged agreement between Russia and Ukraine, and while many are hopeful the deal will facilitate greater global grain supplies, there are a few reasons to remain skeptical.