Canadian Prime Minister Justin Trudeau. Source: Reuters
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • Canada is set to help Ukraine export the millions of tonnes of grain currently stranded in the Eastern European country as Russia’s military invasion continues
  • It’s a move that could potentially help not only ease soaring food prices but also get food to those who rely on Ukraine’s imports
  • Ukraine, which is one of the world’s largest maize and wheat exporters, is allegedly sitting on some 25 million tonnes of grain that it can’t export due to Russia’s invasion
  • Prime Minister Trudeau says the Russia-Ukraine war is “preventing grain that the world needs from getting out to the world”
  • Canada is providing $25 million to the UN World Food Programme as part of its efforts to help Ukraine, and it will remove tariffs on all Ukrainian imports to Canada for the next year

Canada is set to help Ukraine export the millions of tonnes of grain currently stranded in the Eastern European country as Russia’s military invasion continues.

Canada’s Prime Minister, Justin Trudeau, this week said his country will help Ukraine work out options on how to get the grain to other countries around the world.

It’s a move that could potentially help not only ease soaring food prices but also get food to those who rely on Ukraine’s imports.

Ukraine is allegedly sitting on some 25 million tonnes of grain that it can’t export due to infrastructure challenges and blocked Black Sea ports from Russia’s invasion.

Over the 2020/21 season, Ukraine was the world’s fourth-largest exporter of maize and sixth-largest exporter of wheat, according to International Grains Council data. As such, the inability to export its agricultural products — along with grim forecasts of Ukraine’s 2021/22 wheat harvest, also due to the war — is impacting already-rising food prices.

Prime Minister Trudeau said in an interview with Reuters the Russia-Ukraine war was “preventing grain that the world needs from getting out to the world”.

“We know people around the world are going to be starving because of the actions of Russia,” Mr Trudeau said.

“We’re just looking to solve a very direct problem.

As it stands, Ukraine has been forced to export grain via train over its western border since Russia launched its invasion in late-February.

Kyiv has allegedly also been looking to use ports on the Danube river in southern Ukraine to help with exports.

While Canada’s Prime Minister did not reveal details of the country’s plans to help, he said shipments via Danube river ports were one of several options being considered as part of the solution to the stranded grain.

Canada is providing $25 million to the United Nations’ World Food Programme as part of its efforts to assist Ukraine, and Mr Trudeau said Canada would also remove tariffs on all Ukrainian imports to Canada for the next year.

Today’s news follows the analysis of satellite images of Ukraine that suggest the country’s 2021/22 wheat harvest may fall by as much as 35 per cent compared to normal years.

Fighting between Russian and Ukrainian forces is largely concentrated in Ukraine’s east, where its main wheat-growing regions are found.

More From The Market Online

Well below US$5K/oz, gold’s surefire status as a safe haven has shifted

In the post-COVID-19 world, it’s almost definitely news to nobody reading this that gold prices have staged a fairly historic run.
The Market Online Video

From the Wire: Why did the RBA cut last year just to walk it all back 12 months later?

The Reserve Bank of Australia made the call to hike interest rates again in CY26, using its second board meeting to bring them
ASX concept

ASX 200 reacts to an RBA 25bps rate hike by… closing somewhat firmly in the green?

Colour me surprised – the ASX200 successfully priced something in for once, with today’s RBA rate hike not scaring the market down into
India Russia flag

Not just AUKUS indexes: USA’s war on Iran visible on India’s NIFTY; Russia’s MOEX

While the Australian market is busy watching Wall Street, gold, and oil prices – and the prices of relevant stocks exposed to those