October 16, 2006


Ukraine's railway suspends grain delivery to ports



Ukraine's railway authority Ukrzaliznitsa Friday (Oct 13) said it suspended the delivery of export wheat and barley to the sea ports of Ilyichevsk and Yuzhny as of Oct 10.


Ukrzaliznitsa also intends to stop the transportation of export wheat and barley the ports of Odessa and Kherson as of Oct 15.


The suspension is being imposed at the request of the port storage facilities, which have been overloaded since the Ukrainian government introduced licensing of grain export Oct 3, with no licenses having been issued to exporters as yet.


The government has also imposing a quota of 1.1 million metric tons on the export of grain in the next two months.


According to the agriculture ministry, currently 2 million tonnes of contracted export grain has accumulated in Ukraine with little chance of its being exported in the foreseeable future.