Photo by: Bloomberg
Industry body the Agricultural Business Chamber (Agbiz) has voiced concern about the human loss and disruptions being experienced in the global supply chain, owing to the conflict prevailing in Ukraine.
Both Russia and Ukraine are notable players in the global agricultural product and agricultural input markets.
In South Africa’s case, its agribusinesses, particularly in the fruit industry, have strong ties with the Black Sea region, as it is a major export destination for horticultural products.
The Black Sea is a marginal Mediterranean sea of the Atlantic Ocean lying between Europe and Asia. It lies off the coast of both Russia and Ukraine.
Agbiz chairperson Francois Strydom says the effects of the war will be felt across the globe as a spillover effect will likely lead to disruption of energy prices, global payment systems, shipping lines and agricultural inputs such as fertiliser.
He adds that there is also pressure on businesses that import grains and farming inputs from the Black Sea region.
Agbiz hopes for a diplomatic solution to arise soon.