Russia-Ukraine crisis

Ukraine guarantees insurance payouts for vessels damaged at its Danube ports

Reuters
Ukraine guarantees insurance payouts for vessels damaged at its Danube ports

VESSEL. Cargo ship Ocean Grand, carrying two refitted former US Coast Guard patrol boats intended to bolster the Ukrainian navy, arrives at the Black Sea port of Odessa, Ukraine, November 23, 2021.

Sergey Smolentsev/Reuters

The Danube, the second longest river in Europe, flows through eight countries from the mountains of western Germany to Ukraine and the Black Sea

LVIV, Ukraine – Ukraine, a major producer of grain, oilseeds, and steel products, will guarantee insurance payments to cargo vessels damaged in hostilities on its stretch of the Danube, according to the government decision published on Friday, April 1.

Ukraine exports almost all its commodities through Black Sea ports now blocked due to the Russian invasion.

The Danube, the second longest river in Europe, flows through eight countries from the mountains of western Germany to Ukraine and the Black Sea.

“We are talking about the possibility of full-fledged work at only three Ukrainian sea ports: Reni, Izmail, Ust-Dunaysk. Their role takes precedence,” the Ukrainian infrastructure ministry said on social media.

The government did not provide details of the insurance system, but instructed the infrastructure ministry to develop a plan.

Ukrainian agriculture analysts have said the country, which exported 43 million tons in the peace period of 2021-2022 July-June season, could export only around 1 million tons of grain in the next three months, due to logistics difficulties.

Before the war, the government said the grain exports could reach 65 million tons this season.

Ukraine was the world’s fourth largest grain exporter in the 2020-2021 season, International Grains Council data shows.

Russia sent troops into Ukraine on February 24 in what it calls a “special military operation” to demilitarize the country. Western countries call it an unprovoked war of aggression. – Rappler.com

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