U.S. wants more purchases of Russian Fertilizer as Commodities prices Soar

So how are things working out with our Ukraine adventure? Sure sounds like Russia is making out just fine. Three months into this war, Ukraine is ravaged. Russia controls major parts of E. Ukraine. Russia’s oil profits are higher than ever. Ruble is strong. Much of the world rejected US/NATO policy. Billions in US funds: gone, who knows where. Untraced weapons are flooding the region.

We sure are teaching the Russian oligarchs a lesson now  aren’t we? Snagging all of those big boats. A couple of their big mansions. It is working swell. By the way, all of these food processing plants biting the dust by fire? Anyone wonder if there could be any cause and effect? Just thinking out loud.

And now? A looming food shortage on the horizon. Not to worry, the Biden savants have a plan. Buy more Russian fertilizer. Yes.

The US wants companies to buy Russian fertilizer as agricultural commodities markets spiral and a global food crisis looms: report

The US wants companies to ramp up purchases of Russian fertilizer as global food costs rise and shortages loom, according to a Monday Bloomberg report.

The EU and the US have built exemptions into their restrictions on doing business with Russia to allow trade in fertilizer, of which Moscow is a key global supplier. But many shippers, banks and insurers have been staying away from the trade out of fear they could inadvertently fall afoul of the rules. Russian fertilizer exports are down 24% this year. US officials, surprised by the extent of the caution, are in the seemingly paradoxical position of looking for ways to boost them.

Sources told Bloomberg that the government is quietly pushing companies to buy and carry more Russian fertilizer. Sanctions fears have created a supply shortage and have fueled a global food crisis, and the US is moving to alleviate pressure with the United Nations by boosting  deliveries of fertilizer, grain, and other supplies from Russia.

This year, Russian fertilizer exports have dropped 24%, per Bloomberg data. Russia and Ukraine together account for a quarter of global grains trade.

According to Russia’s Grain Union, wheat exports doubled in May. At the same time, Bloomberg reports that over 25 million tons of grain, sunflower oil, and other goods are stuck in Ukraine due to security concerns.

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Breadbasket to the World

Russia and Ukraine account for a quarter of global grains trade

Source: International Grains Council

And will the U.S. be able to pitch in and help out with the shortage of grain and  energy? Not so much. Actually the U.S. is burning up its food supply in order to keep our massive amount of energy resources in the ground.

Biden Mandates Increased Ethanol in Gas – Raises Corn Prices by 30 Percent

June 7, 2022 — bunkerville

Smart. Burning your food to make “renewable” fuels that will raise the price of corn by 30 percent when there is a looming food shortage. Better, it will requirer more fertilizer which is in short supply and that price too is soaring. Best? Probably put smaller refineries out of business. And the coup de grace? Causes engine wear and damages your car. All this to force the issue of EV’s.

The EPA, after gathering comments since releasing it proposed blending requirements in December, said Friday it will require refiners to blend 20.77 billion gallons of ethanol, biodiesel and other renewable fuel this year.

Additionally, the oil industry must blend 250 million more gallons of renewable fuel, both this year and next, after a federal court found the Obama administration inappropriately reduced the 2016 blending requirements.

The agency also denied roughly 70 exemptions for small refineries, many of which had been granted under former President Donald Trump.

Everything just fine in the swamp today.

BONUS:  Ukraine Demands Everyone Else Boycott Russia While Still Raking In Billions From Russian Gas