Posted on 03/17/2022 10:56:10 AM PDT by blam
There’s no question in our minds a global food crisis is emerging. The last example is Russia’s freeze on fertilizer exports will complicate agricultural production in Brazil.
Fertilizer costs before Russia invaded Ukraine were already high. The invasion made everything worse as Moscow’s protectionism has crimped exports of the nutrients critical for growing all sorts of farm goods.
No other nation in the world relies on foreign fertilizer than Brazil. According to Bloomberg, the South American country imports more than 85% of its fertilizer demand. Russia is its top supplier, and Belarus provides 28% of the total.
“Restraining fertilizer consumption may hurt crop yields, boost inflation and threaten food security,” Brazilian Agriculture Minister Tereza Cristina said this week.
For some context, Brazil has transformed into an agricultural powerhouse over the last two decades. It has become a leading exporter of coffee, sugar, soybeans, manioc, rice, maize, cotton, edible beans, and wheat. The bigger problem is how the fertilizer disruption and soaring prices may result in future harvest declines.
Dwindling food supplies in Brazil may only act as an inflationary pressure for global food prices, possibly rocketing prices to new heights.
Sanctioned Russian fertilizer billionaire, Andrey Melnichenko, warned the Ukraine conflict would result in a world food crisis.
“The events in Ukraine are truly tragic. We urgently need peace. As Russian by nationality, Belarusian by birth, and Ukrainian by blood, I feel great pain and disbelief witnessing the brotherly peoples are fighting and dying,” Melnichenko told Bussiness Insider.
“One of the victims of this crisis will be agriculture and food,” Melnichenko said, adding that the conflict has “already led to soaring prices in fertilizers which are no longer affordable to farmers.”
Melnichenko said global food supply chains were already under pressure from COVID impacts, and “now this will lead to even higher food inflation in Europe and likely food shortages in the world’s poorest countries.”
The fallout from the conflict is rippling worldwide as Brazil could be the latest causality that will only worsen the global food crisis.
Food inflation is not transitory. Before you know, we’ll all be eating cricket burgers at McDonald’s.
Brazil has been having freezing and drought problems too.
I think Brazil has all the resources to make their own fertilizer, anyone know why they don't?
Brazilian land area is about the same size as the 48 US states.
With a population of about 200 million, 50% self identified as Black.
Well Brazil can just buy the fertilizer from Russia or is Russia not allowing it?
Story is Not true. Just before the Invasion, Brazil President Jair Bolsonaro visited Russia to confirm Brazil’s fertilizer shipments.
(BRIICS)
who said Brazil is not getting fertilizer? I could see perhaps some ITAR style regulation to ensure America does not benefit directly, but what is the reasoning behind Russia punishing Brazil?
Perhaps the title speculates that Biden's Economic Sanctions will be used to destroy any nation or leader that trades with Russia, thus negating world trade with Brazil.
The Democrats can supply all the manure they need.
It's not as though the components are rare or isolated.
Sky could fall too.
Russia Continues To Supply Fertilizers To Brazil Despite War, Says Agriculture Ministry
For the government, this shipment shows that despite the difficulties in the departure of ships from Russia, the sale of fertilizers is not suspended.
By Latin America News -March 9, 2022
RIO DE JANEIRO, BRAZIL - Despite restrictions on the supply of fertilizers, Russia has not stopped deliveries to Brazil, according to the Ministry of Agriculture.
However, as a result of the war, there are difficulties in transporting and paying for the products, as Russian banks have been excluded from the Swift system, the world's main financial system.
Nevertheless, last Friday (4) a ship of the Russian company Acron was sent to Brazil with a new cargo of fertilizer, according to the brochure.
When asked about the amount of fertilizer shipped, the Ministry of Agriculture did not provide an answer.
I suspect Russia will cut a deal with them - but payment will be something other than US Dollars.
They are cutting deals China and India - including Brazil would be all the “BRICS”
Maybe they don’t have the right raw materials?
Food shortages are just one season away.
*** Story is Not true. Just before the Invasion, Brazil President Jair Bolsonaro visited Russia to confirm Brazil’s fertilizer shipments. ***
Before reading comments, I went searching for BRICS and fertilizer. Of course, it is not to be found in any English print media, but Portuguese, Spanish. Russian, Chinese..you get the picture.
It seems BRICS is looking for ways to supply each other, support each other economically, and use the US Sanctions to their benefit. Petrobas and Brazil have fertilizer production partnerships, and short of the US physically impeding or seizing shipments like we did in Venezuela with fuel, I think Brazil will not feel the impact of this.
BRICS Countries just had a meeting today to affirm their mutual support for each other.
The purchase for residential or golf course use of fertilizer could be outlawed.
American lawns may not be so green, but food production could be maintained.
A meeting today? I did not hear of that. Interesting.
We need to learn to walk and chew gum at the same time. One of our greatest weaknesses
I told my husband as soon as the word sanction come out of bidens mouth that Russia already had a strategy for that. I thought it would just be China which would be enough.
The sanctions are just virtue signalling kabuki.
Now, if Soros, obama and co were just seeking regine change or crashing.. oops i meant cashing in on a failed Russia.. thats my second scenario.
India finalized the deal for 3 million barrels of Russian Urals oil for May delivery. I think also to buy arms. So hard to find timely info on Western sites.
UAE FM meets with Lavrov today to discuss energy security (UAE abstained at UN Security Council condemning Ukraine invasion)
Arab States disturbed by Iran ?
Paradigm shift?
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