Russia’s war on Ukraine has sparked food shortages around the globe
EXCLUSIVE: Turkey reached the framework of an agreement with Russia to get wheat stuck at ports in Ukraine out by ship before the end of this month, three sources confirmed to FOX Business.
The sources, one Republican, one Democrat, and one from the Biden administration, say the final agreement would allow the wheat in silos at port cities in Ukraine to sail out of the Black Sea for delivery around the globe. All three sources independently cautioned that Turkey is negotiating with Russia and the framework could still fall apart.
A combine harvests wheat in a field near the village of Hrebeni in Kyiv region, Ukraine July 17, 2020. (REUTERS/Valentyn Ogirenko/FILE / Reuters Photos)
United Nations Secretary-General Antonio Guterres said last week there was a long way to go. With food shortages popping up around the globe, it now appears a final agreement could be at hand with the wheat shipping out within the next two weeks.
United Nations Secretary-General Antonio Guterres addresses reporters during a news conference on June 8, 2022 at United Nations headquarters. (AP Photo/Mary Altaffer / AP Newsroom)
This negotiation is happening as the U.S. works to implement a price cap on the amount countries will pay for Russian oil.
|USO||UNITED STATES OIL FUND L.P.||76.81||+3.07||+4.16%|
|BNO||UNITED STS BRENT OIL FD LP UNIT||31.71||+1.44||+4.76%|
President Biden’s top energy security adviser Amos Hochstein told FOX Business that Europe plans to ban all Russian oil imports by sea before the end of this year. He added that Biden would, “want the price cap to be there by then.”
“I know there’s some skepticism about whether this can work. Skepticism is always there when something is new,” Hochstein added. “So we hope to continue to do two things at the same time, work on the mechanism and make sure it’s effective and efficient while at the same time working with our allies and consumers around the world to explain it.”
The Biden administration acknowledges that Russia is exporting about the same amount of oil as before any of the Russian oil bans went into place.