Global Wheat Prices Surge After Black Sea Port Disruptions Shake Food Markets

Global grain and sunflower oil markets have recorded a sharp increase in prices after military strikes disrupted key transport hubs and logistics infrastructure across the Black Sea and the Sea of Azov, affecting exports from both Russia and Ukraine. Following large-scale Russian airstrikes during the night of July 12, Ukrainian agricultural holding Kernel suspended operations at its export terminal in Chornomorsk, in Ukraine's Odesa region. The attacks damaged critical cargo-handling infrastructure, including loading and unloading systems, power supply networks, grain storage silos, and vegetable oil storage facilities. Kernel reported the loss of approximately 45,000 tonnes of wheat and 9,000 tonnes of sunflower oil. Russia's Ministry of Defence stated that the strikes targeted facilities used to store military fuel and other military cargo. Market analysts, however, linked the attack to recent Ukrainian drone operations in the Sea of Azov region.