Russia invading Ukraine is having an impact on grain exports worldwide
DELMARVA – While the invasion of Ukraine started weeks ago, its impacts are still being felt here in the United States.
We can see this with our farmers and how agricultural exports and imports have become challenging. 47 ABC spoke with a local farmer who said right now grain production is a world grain supply issue.
Ukraine is number three in exports in corn and is also are a big producer of wheat.
Now, with the disruptions of ports closing and sanctions some farmers aren’t getting the supplies they need. Here, in the United States, and even locally on the Eastern Shore, companies need that grain to feed chicken, and when you have a backup of getting supplies we are told prices increase.
“When you get these fluctuations that you got from a month ago to today, a dollar higher on a bushel for corn, two dollars higher on bushels soybeans that’s not good for anybody, it’s not good for the poultry companies, it’s not good for the farmers,” Virgil Shockley, a Worcester County farmer, said.
We are told it’s not just impacting farmers. These prices will ultimately hurt consumers as well that are buying certain products.
But, going forward we’re told there are a few things that could improve this situation.
“If we have a good spring, we get everything planted, in the United States the weather cooperates you’ll have a decent year, you’ll see a price drop because of the production that we will have,” Shockley said.
We are told it also comes down to the grain production in the United States, the grain that we need to make here is what’s going to make up the market.
Shockley said along with the invasion of Ukraine, the estimated production of grain exports in Brazil has decreased due to weather. This is also having an impact on farming.