The US is quietly encouraging shipping companies and agricultural companies to purchase and transport more Russian fertilizer to lower global food costs as Western sanctions have disrupted supplies, Bloomberg reported on Monday.
US and EU sanctions on Russia technically have exemptions for fertilizer, but the sanctions discourage shipping firms, insurance companies, and banks from doing business with Russia altogether. As a result, Russia’s fertilizer exports are down 24% this year.
Citing people familiar with the matter, the Bloomberg report said the US officials were surprised by the caution companies were taking over the sanctions. But history shows, even if there are built-in exemptions, sanctions still cause shortages of food and humanitarian goods. For example, US sanctions on Iran technically have exemptions for medical goods but still have caused medicine shortages in the country.
The effort to boost Russian fertilizer exports is part of negotiations involving the UN to increase deliveries of fertilizer, grain, and other agricultural goods from Ukraine and Russia. The West has blamed Russia for blocking Ukrainian grain exports, while Moscow is pointing the finger at Kyiv for mining its ports and not allowing ships to leave.
Russia has been in talks with Turkey on how to get Ukrainian grain shipments moving again. The two countries agree that Ukraine must de-mine its ports, including Odesa. But Kyiv wants security guarantees from Moscow that it won’t attack if the mines are removed.
The fact that Western sanctions are raising global food costs is not a surprise as President Biden warned the sanctions campaign would lead to “real” food shortages and hurt the US and Europe.
33 thoughts on “US Quietly Encouraging More Russian Fertilizer Deals to Ease Food Costs”
US continues to buy oil, diesel, uranium, fertilizer and what not from Russia but the EU aren’t allowed to do that.. .
Yes, everything about this power play, this Neocon gambit, is cold-eyed contrivance, a manifold of falsity from top to bottom and sideways, …except the mass slaughter, suffering, the shameful exploitation in blood and treasure of humble ignorant unsuspecting millions, … and profits for the plutocrats. …What species of devil is capable of such an enormity of malice?
What species of devil is capable of such an enormity of malice?
The Neocon species. (AW.C moderation rules prohibit me from being more precise than that.)
Sure, if by “being more precise,” you mean “pretending that that species is uniquely the project of a particular ethnic group.”
Well, we’re making progress.
Since the bulk of AW.C readers can probably figure out what I meant by “being more precise”, and yet you haven’t removed the comment — despite being Johnny-on-the-spot at finding it mere seconds after I posted it — well then, I consider that success.
Well, the bulk of AW.C readers don’t participate in comments.
And the bulk of those who do participate in comments are presumably well aware that you’re just trying to put your toe right up to, but not over, the line that gets Jew-haters banned when they slime the comments that stuff openly. So if your goal is to dog-whistle to your fellow Jew-haters without violating our guidelines, mission accomplished, I guess.
I believe all groups should be denigrated equally. Well, OK, maybe the neocons more. But not because they’re disproportionately Jewish but because they’re lying warmonger trash, though it’s not like they have the market cornered on that. But they’re better at it. It’s a complex issue.
One thing the overfed US people do NOT need is extra food production,. Stop the disgusting GMO’s, cornfed cattle, ethanol for fuel for cars, and let the countries you have forced into needing to import food by IMF “austerity” have some choice.
Your analysis is too broad. It’s the poor who will be hurt the most by rising wheat/ flour, bread, pasta, etc. prices. The hardest hit will probably be those in Africa. US Farmers could make a difference.
The same is true of corn. The problem is worsened for corn because of the tradeoff between using it for food and using it for ethanol.
While I agree with the majority of your statement, I must point out that there are dependent countries that 30 years ago were self sufficient or exporters of food (Zimbabwe, South Africa, etc) that due to the promise of socialism and overpopulation have become welfare nations and will never survive without handouts
I find it hilarious that people blame socialism for actions that are clearly the cause of capitalism.
Not surprising that a Libertarian website can’t fathom that capitalism is the problem.
What “Libertarian website” would you be referring to.
Antiwar.com is neither a Libertarian website (the capital L indicates a partisan affiliation which doesn’t exist) nor a libertarian website. It’s an antiwar website that happens to be (mostly) run by libertarians (most of whom are not affiliated with the Libertarian Party).
In Zimbabwe, when you steal productive farms from “rich” whites and hand them over to “poor” blacks and these farms then fail, and everyone starves, it ain’t capitalism.
Only the whites had training. I dunno that it was about which were “poor;” it was just anti-colonialism.
Socialism, capitalism, whateverism, can’t have farms without trained workers. And if you mention this today, mention that the transformation didn’t go well, “experts” will flip out. “You can’t say that!”
And look at Africa today: China is moving in. Is their “colonialism” going to be any more benevolent? I have no desire to get involved in any part of the world; I’m just pointing out the contradiction. The difference, as I understand it, is just that China doesn’t want to move to Africa, also doesn’t wish to send missionaries, which are pretty important differences.
It’s neitherism, with regard to Zimbabwe. Look up what actually happened. It was the “breadbasket of Africa” prior to the US and UK helping.
Ideologies are for the masses. If you destroy a system that is working, replace skilled workers with workers completely unfamiliar with farming, the result won’t be positive.
Whatever the system, someone has to actually work for work to be done.
When Europeans visit I take them to The Golden Corral to watch the world’s fattest humans stuff their faces at the trough. The best time for the show is Sunday afternoon, after the families have gotten out of church.
It rather begs the question: Who is the Bozo on this bus?…
food shortages, medicine shortages, even clean drinking water shortages.
way to go people.
Russia was the largest exporter of fertilizer and after India we were the greatest importers of Russian fertilizer.
The only reason it is being done “quietly” is not to show, they are not in control. The Vice President of Lukoil had it correct, Russia can make more money by supplying less at higher price. Not good for G-20 nations.
Шовинизм от англоговорящих.
Russia should refuse unless ALL sanctions are dropped. The hypocrisy of Biden and Co is revolting; Biden would chuckle gleefully if Russia’s economy collapsed and Russians faced food shortages and bread queues. just as the evil b!tch Jeanne Kirkpatrick chortled when Iraqi children died from the effects of US sanctions; but now that WE are suffering from the pinch, the senile old goat is “concerned” and wants to selectively lift “some” sanctions to allow “some” trade – but only to the extent it benefits us. Just for giggles, Russia should refuse all overtures UNLESS Biden agrees to pay Russia reparations for the economic damage inflicted so far. What the heck; if Biden can bribe Saudi Arabia, and the UAE, and is willing to give $54 Billion to Ukraine, Russia should put their hand out too. Biden is stupid enough to pay.
“…to give $54 Billion to Ukraine.”
This is a common misstatement. Which has become so widespread as to cement the misperception: that — according to some reports I’ve read — only 17% of that $40B — $6.8B — goes to Ukraine.
[Clearly, I’m using the $40B number rather than $54B. Though it it reasonable to assume that the grift extends to the additional $14B.]
Which means that the balance –$33.2B — goes to US Defense contractors, the Pentagon, and other MIC grifters.
Yes, I’m aware of the nuance here; a lot of it is intended to replace the “war stocks” of older munitions and equipment already “donated” to Ukraine with newer, much more expensive munitions. Just speaking broadly; the $40 BN was passed as an “aid to Ukraine” bill, so I refer to it that way, even though the Ukrainians won’t see most of it.
I’m betting that Putin turns off the gas to Europe right before winter kicks in. The EU nations wanted sanctions – he’ll give them sanctions.
Russia should tell the Biden criminals to eat their dollars!
Wow, this thing is a cluster fuck even for the government.
Sanction Russian fertiliziers -> world food shortage -> inflation and starvation -> pssst, we don’t really mean the sanctions…?
How does our foreign policy make any sense at all?
When you switch from production to consumption, you no longer have any bargaining power, even when you hold the most deadliest weapon.
“US officials were surprised by the caution companies were taking over the sanctions. ”
Exhibit 1,110 demonstrating their stupidity. We just did this to Iran. We stopped Iran from exporting fertilizer in exchange for corn. Also, when we decide to add more sanctions, we do it without warning and start seizing property.
How about those same officials declare, ‘we will never sanction Russian fertilizer / food exports’. They would never say that.
This reason for this war is to drive a wedge between Europe and Russia. Ukraine is the tool the US is using. Remember before Russia even invaded Ukraine, Biden vowed to shut Nord Stream 2 down. So Biden/the US thinks it makes economic policy for Germany.
Washington fears the pipeline will increase Europe’s dependency on
Russia, already the source of most of the natural gas fueling Europe. The war is all about driving a wedge between Europe and Russia and Ukraine is the tool the US is using. Of course the US will do what ever it wants, but the EU is under the US thumb. Destroying the German economy seems to be the aim of the US as Germany drives the EU economy.
The West Doesn’t Want The World To Know That Russia Just Saved Brazil’s Crop This Year.
I’m assuming that BRICS will flourish this year because of US and EU sanctions.
More windfall profits for Russia since the price of fertilizer is now two-and-a-half times higher than in 2021.
It now appears that the longer the war in Ukraine continues, the richer Russia becomes (and the poorer the US/EU.) So Russia is motivated to go slowly and carefully, which also has the advantage of reducing Russian casualties.
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