The deal, brokered by the UN and Turkey, was set to expire on Saturday, and will now continue for at least another 120 days.
Oleksandr Kubrakov, Ukraine's infrastructure minister, said the renewal of the initiative was “another important step in the global fight against the food crisis.”
UN secretary-general, Antonio Guterres, welcomed the agreement, saying it would facilitate the safe navigation of export of grain, foodstuffs, and fertilizers from Ukraine.
The extension illustrated the importance of “discreet diplomacy” in the context of finding multilateral solutions, he said.
Guterres added that it was also important to remove the remaining obstacles to exporting food and fertilizers from the Russian Federation.
Ukraine has reportedly exported around 11.1m tons of agricultural products since July, under the grain deal, including 4.5m tons of corn and 3.2m tons of wheat, as per Reuters data.
Welcome news indeed. The Black Sea Corridor has been important for global #FoodSecurity, and this extension will help further alleviate shortages.— COCERAL (@COCERAL_EU) November 17, 2022
Our members have seen the difficulties caused by the situation first-hand, and multilateral solutions like this are essential. https://t.co/mKeCYI6ige
Prior to the conflict, over the past several years, Ukraine and Russia were responsible for roughly 30% of global wheat exports and around 20% of corn exports. Moreover, they also accounted for nearly 80% of all sunflower seed and oil exports—sunflowers make up about 13% of the global vegetable oil market, noted CRM Agri analysts.
More turmoil and risks to global food supply chains will remain in place in 2023, according to a review by those oilseed and grain market specialists. They do see potential easing, however, coming from weaker consumer demand as high prices and lower incomes drag heavily on spending levels.