Ukrmetalurgprom called on UN, EU, USA, UK and Turkey to support the unblocking of Ukrainian seaports more decisively
Association Ukrmetalurgprom on behalf of thousands of mining and metallurgical complex workers appealed to the administration and authorized representatives of UN, EU, USA, UK and Turkey with a call of the complete Ukrainian seaports unblocking and resumption of a free shipping in the Black Sea.
The call was sent to the UN Secretary-General António Guterres, US Secretary of State Antony Blinken, US Secretary of Defence Lloyd J. Austin III, US Secretary of Commerce Gina M. Raimondo, EC President Ursula von der Leyen, UK Secretary of State for Foreign James Cleverly, UK Secretary of State of Defence Grant Shapps, Minister of National Defence of Turkey Yaşar Güler, US Ambassador to Ukraine Bridget Ann Brink, UK Ambassador to Ukraine Melinda Simmons, EU Ambassador to Ukraine Matti Maasikas and Ambassador of Turkey to Ukraine Yağmur A. Güldere
Since the beginning of the full-scale invasion of Ukraine by the Russian army, the Black Sea ports, Ukraine’s main export and import gateway, have been blocked, causing the actual shutdown of the seaports. Subsequently, the “Grain Agreement” allowed the export of foodstuffs, which accounted for about 40% of the pre-war cargo base of ports. The rest of the industries were effectively deprived of access to maritime transport, causing a slump in Ukraine’s industrial production.
Unfortunately this Agreement was temporary and this summer the aggressor pulled out of it single-handedly and renewed the total blockade of Ukrainian Black Sea ports again,
“To date, Ukraine’s maritime trade has been virtually destroyed by the aggressor country, affecting not only Ukraine that is suffering enormous economic losses, but also a significant number of countries around the world that are experiencing food shortages”, stated in the call.
Nowadays, Russia continues to blatantly violate international law and strengthen its presence and economic activity in the Black Sea region. In other words, the “Grain Deal” has turned out to be a compromise with the terrorist and the pirate that has been doing everything in its power to stifle Ukraine’s economy, while it continues to gain billions in revenue from shipping trade, allowing it ti finance the war against our people.
Before the war, the share of seaports throughput capacity for mining and metallurgical goods was around 38% of the all-Ukrainian seaport throughput capacity, and the Russian blockade of Ukrainian Black Sea ports hurts the leading industry: the current capacity utilization of Ukrainian steelworks does not exceed 55%, and of mining and processing plants 35% of the production level in 2021; the pipe industry has cut production by almost 40%; exports of titanium and zirconium ore and concentrate fell by 43% in 2022, and imports of bauxite for aluminum production have decreased by almost 82%.
“In view of the above, as it said in the call, it is in the interests of Ukraine and all partner countries to do everything possible to reinstate Ukraine’s right to free maritime trade, since in the current conditions it is the full opening of seaports for all types of cargo that will create preconditions for the rapid recovery of industrial production in Ukraine, strengthening our ability to resist Russian aggression”
Therefore, with the purpose of completely unblocking the Ukrainian seaports, Association Ukrmetalurgprom proposes to all partner countries to abandon the idea of returning to the format of the «Grain Deal», which is massively disadvantageous for Ukraine, and insisting on the restoration of free navigation to the Ukrainian ports, to help strengthen the defense of port infrastructure and ensure the security of ships in the Black Sea region, to facilitate the creation of a mechanism for commercial insurance / reinsurance of risks for ships in partnership with international organizations and insurance funds and to increase sanctions pressure on Russia significantly to thwart terrorism and piracy in the Black Sea region.
“The complete unblocking of Ukrainian Black Sea ports with the resumption of free navigation through the Ukrainian ports is an important task of national importance, as it will revitalize industrial production and ensure the growth of Ukrainian GDP by 10%, provide approximately $ 4 billion in additional tax revenues for the Ukrainian budget (at the expense of which Ukraine’s defense sector is financed) and additional 18 billion US dollars per year in foreign exchange earnings, and save/bring back almost 500 thousand jobs”, stressed in the call.
