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Market prices in Somalia rise after Black Sea grain deal terminated

August 7, 2023 at 8:22 pm

A shop keeper at Ansaloti food market in Mogadishu on 21, 2022 in Mogadishu, Somalia [Jonathan Torgovnik/Getty Images]

Market prices in Somalia increased after Russia suspended its participation in the Black Sea grain deal, reports Anadolu Agency.

In Africa, 25 countries currently rely on Russia and Ukraine for over one-third of their imported wheat.

In some countries, the dependency on external sources for grain has surpassed 90%.

During the Russia-Africa Summit on July 27, Russian President Vladimir Putin announced that his country will provide free grain to six African countries in the next three to four months.

“We will be ready in the coming months, in the next three to four months, to provide Burkina Faso, Zimbabwe, Mali, Somalia, the Central African Republic, and Eritrea with 25,000-50,000 tons of grain free of charge. We will also provide free delivery of this product to consumers,” Putin said during his opening speech at the Russia-Africa Summit in St. Petersburg.

READ: Russia criticises UN chief for calling proposal to supply grain to Africa ‘handful of donations’

On July 17, Russia suspended its participation in the Black Sea grain deal, saying the Russian part of the agreement was not implemented. It sought the loosening of banking restrictions and the ability to ship its fertilizer before returning to the agreement.

The agreement, signed in July 2022 in Istanbul by Turkiye, the UN, Russia, and Ukraine, was aimed at resuming grain exports from Ukrainian ports halted due to the Russia-Ukraine war, which began in February 2022.

Turkiye has said that Western countries should try to address Russia’s complaints and that it hopes Russia returns to the deal.