Insurance programmes

The British insurance marketplace Lloyd's of London announced on Friday it has set up an insurance programme for food cargo to be exported from Ukraine via safe sea corridors.

Insurance company Ascot and brokerage firm Marsh, both Lloyd's market participants, have acted as founders of the programme, which will provide up to $50m worth of risk coverage.

Patrick Tiernan, head of Lloyd's Markets, stressed that British insurers were helping the international community deal with the aftermath of the conflict in Ukraine.

As Reuters points out, citing industry sources, insurance premiums for shipowners are expected to be very high.

It is worth noting that a package of documents was signed in Istanbul on 22 July to solve the problem of food and fertilizer supplies to global markets. The memorandum between Russia and the UN records that the world organisation is joining the effort to lift anti-Russian restrictions hindering exports of agricultural products and fertilizers.

Hulusi Akar, head of Turkey's Ministry of Defence, said on Wednesday that more than 25 million tonnes of grain were to be exported from Ukraine as part of the arrangements. According to him, preparations and planning for the first vessels with grain to leave Ukrainian ports are currently underway. Earlier, Turkish authorities said that the export of Ukrainian grain will start in the next few days.