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Black Sea grain deal extension talks continue

An ag economist says he’s optimistic the Black Sea Grain Initiative will be extended despite some complaints from Russia.

Greg McBride is Director of Brokerage with Allendale.

“A lot of what we’ve heard over the last few weeks was Russia complaining about the idea that they are not getting enough of a chance to ship their own products,” he said. “It doesn’t sound like that’s becoming a big issue when it comes to extending this deal.”

Turkey and the United Nations helped broker the agreement last July, and it allows Ukraine to export millions of tons of grain through the Black Sea.

McBride tells Brownfield the negotiations have been a question mark for the wheat market.

“It continues to put pressure into our wheat market,” he said. “At this point it does take away the ability for us to find some of that overflow of demand.”

The current deal expires March 18th.