According to today's USDA Grain Transportation Report, as a major grain producer, Ukraine competes with U.S. grain exports in the global marketplace.
Russia’s ongoing war on Ukraine has severely disrupted all aspects of the Ukrainian grain supply chain—particularly, transportation.
Two new USDA reports, released in June, discuss the current transportation and export situation for Ukrainian grain. USDA’s Foreign Agricultural Service (FAS) released a report on the Black Sea Grain Initiative (BSGI).
According to FAS, since the BSGI began on July 27, 2022, over 32.1 million metric tons of grains and vegetable oils have shipped through Ukrainian ports to 46 countries.
China receives the most shipments through the BSGI— nearly a quarter of the total volume shipped.
Also, USDA’s Agricultural Marketing Service (AMS) released its latest Ukraine Grain Transportation report. In the report, AMS notes that transportation costs to ship corn from Ukraine to Shanghai, China, rose 58% from 2021 to 2022. However, total landed costs declined 15% because of a fall in farm prices.