Cargo ship departs from Ukrainian port amidst Russian assault warnings

KYIV, Aug 16 – Despite Russia’s threats against shipping, a Hong-Kong-flagged container ship, the Joseph Schulte, sailed from Odesa, Ukraine’s Black Sea port, on Wednesday. This move is seen as a test of Russia’s warnings since abandoning an agreement last month that permitted Ukraine to export grain.

Joseph Schulte had been docked in Odesa since just before the Russian invasion began on Feb. 23, 2022. This departure followed Russia’s recent attack on Ukraine’s grain export framework, with air strikes damaging storage facilities at a Danube river port. Photos depict the destruction of storage spaces and dispersed grain piles.

Governor Oleh Kiper of the Odesa region identified the attacked port as Reni and stressed its significance for grain shipments. No official statement has been released from Moscow, though the port reportedly remains operational. Following this news, Chicago wheat futures saw a 1% increase on Wednesday.

Following their exit from a U.N.-endorsed deal in mid-July, Russia has repeatedly targeted Ukrainian ports and threatened departing ships. They’ve also fired warning shots at vessels heading to Ukraine. In response, Ukraine recently declared a “humanitarian corridor” in the Black Sea to ensure the safe passage of cargo ships, emphasizing that these vessels have no military intent.

Deputy Prime Minister Oleksandr Kubrakov confirmed that the Joseph Schulte was the first to utilize this corridor and was en route to Istanbul. Owned jointly by Bernhard Schulte Shipmanagement (BSM) and a Chinese bank, the ship was carrying over 30,000 metric tons of cargo.

Safety concerns persist as Moscow has not committed to honoring the shipping corridor.

Ukraine, a significant grain and oilseed exporter, plays a crucial role in addressing rising global hunger concerns, especially in developing nations.

On the battlefield, following Ukraine’s Western-supported counterattack in June, Ukrainian forces continue to challenge Russian positions. Despite the extensive defenses established by Russia, Ukraine recently announced the liberation of the village Urozhaine.

In terms of exports, after Russia’s exit from the Black Sea grain deal, Ukraine increasingly relied on its Danube river ports. These ports, contributing to about a quarter of grain exports, have become pivotal for Ukraine’s grain shipments. Russia’s recent aggressive stance, like the attack on the inland port of Izmail, has significantly impacted global food prices.

Over the weekend, a Russian warship fired at a cargo ship in the Black Sea, marking the first such incident since leaving the grain agreement. While Moscow claimed inspection non-compliance as the reason, Kyiv condemned this act as a violation of international law.

Turkey, initially mediating the grain agreement with the U.N., remains hopeful for Russia’s return to the deal this month.