Ukraine could export annually up to 35 mln tonnes of grain via Danube - grain association head

MOSCOW. July 11 (Interfax) - The organization of offshore transshipment of Ukrainian grain in Romanian territorial waters, the arrangement of round-the-clock operations of the Sulina Canal, and the development of Ukraine's Bystroye Estuary would enable Ukraine to export annually from 30 million to 35 million tonnes of grain via the Danube route, Ukrainian Grain Association President Nikolai Gorbachev said.

"While Ukraine exported 58 million tonnes of grain in the past season, exports in this season could amount to only 44.8 million tonnes, which is due both to a lower harvest this year and expensive logistics, which in fact inflicts damage on Ukrainian producers," Ukrainian media quoted Gorbachev as saying at a Food and Agriculture Organization (FAO) conference dealing with the Black Sea Grain Initiative.

Gorbachev insisted on developing the Danube route through organizing anchorage in Romanian territorial waters to transship grain onto large vessels, which, as he said, would considerably lower the cost of logistics and promote a route alternative to the Grain Corridor.

The slump in the production of grains and legumes from 106 million tonnes before the crisis to 69 million tonnes this year "has played a huge role in prompting prices on the global market to grow and accelerating food inflation, which has reached 15% and more even in EU countries," Gorbachev said.