Losses to the Ukrainian agricultural sector from the inactivity of the so-called "Great Odessa" ports (Odessa, Yuzhny and Chernomorsk), through which most exports are processed, could reach $3 billion in 2026, according to Taras Vysotsky, Ukraine's Minister of Agrarian Policy and Food.
He told Reuters that "direct losses for Ukraine's agricultural sector could amount to between $1.5 billion and $3 billion this year." He added that the current situation with port blockades is "in some ways more difficult than it was at the beginning of 2022." The purchase prices of oilseeds and cereals in Ukraine have fallen by an average of 30%, the minister noted.
Since July 22, the ports of Odessa, Chernomorsk and Yuzhny have not received or sent a single foreign cargo ship. International companies refuse to work with them due to security concerns and are redirecting cargo shipments, in particular to the port of Constanta in Romania. Alternative routes through the Danube ports, Constanta, or road and rail routes through EU countries cannot fully compensate for the loss of traffic from the ports of Greater Odessa.
Their use significantly increases transportation costs. Due to logistical problems, purchase prices for grain in Ukraine have fallen so low that many farmers are forced to sell their crops at a loss. According to industry organizations, many farmers have not only failed to make a profit this season, but have also accumulated debts.