Ukraine Update - February/March 2022
As the horrifying situation in Ukraine continues to evolve, we are starting to see the negative impact on the supply chain and markets already.
All ports throughout the Black Sea region are seeing containers originally destined for Ukraine being unloaded with their voyage being called complete, thus impacting the already congested ports further and delaying vessel departures as there’s more to unload then scheduled. Couple this with the fact that containers will then sit on dock for an undetermined amount of time, before either somehow making it to Ukraine or being diverted elsewhere, we’re expecting another issue with available empty containers for export throughout the region.
As the largest producing country in the World of Sunflower Kernels, the pricing of Sunflower Seeds and Oil was always going to have a huge spike upwards, this will only continue to rise as buyers seek alternative options.
There are certainly challenging times ahead for the industry but putting it into perspective against what the Ukrainian people are going through it pales into insignificance.
The thoughts and prayers of all of Chelmer Foods are with all of those affected and we hope for a swift peaceful resolution.