The Zhitong Finance App learned that Chicago wheat futures, which are the global benchmark, once soared 9% and hit a standstill, the biggest increase since 2012. The reason is that Russia issued a safety warning for ships going to Ukraine, increasing the risk of transporting food from the Black Sea region. Paris wheat closed up 8.2%, the biggest increase since February 2022.
The Russian Ministry of Defense said on Wednesday local time that starting Thursday, all ships sailing to Ukrainian ports in the Black Sea will be treated as potential carriers of military cargo. The countries represented by these vessels flying their flags will be seen as participating in the conflict in Ukraine.
Just a few days ago, Russia announced the termination of the Black Sea food export agreement. The escalation of the conflict on Wednesday increased the risk of war in the region, could further slim Ukraine's hopes of resuming food exports, and heightened uncertainty about global food supplies.
According to information, in recent years, Russia and Ukraine have exported a large amount of wheat, corn, sunflower oil and other foodstuffs, which is equivalent to more than one-tenth of the total global trade.