Sharp Rise in Global Wheat Prices

Wheat prices have sharply increased in global markets following Russia's announcement that it would treat ships heading to Ukrainian ports as military targets. Wheat prices on the European exchange rose by 8.2 percent, bringing the price of a ton to 253.75 euros, while corn prices increased by 5.4 percent. Additionally, the value of U.S. wheat futures surged by 8.5 percent on Wednesday, marking the highest one-day increase since the onset of the Russian military operation in Ukraine on February 24, 2022. This rise follows Russia's withdrawal this week from a treaty ensuring the safe passage of grain shipments across the Black Sea, as well as its declaration that it would consider any ship sailing towards Ukrainian ports as a potential carrier of military cargo and a party to the conflict. Meanwhile, Ukrainian Agriculture Minister Mykola Solskyi reported that recent Russian airstrikes destroyed 60,000 tons of grain and caused significant damage to large portions of the infrastructure for its export.