Trinidad and Tobago reviews trade with Ukraine, Russia

Goods imported by Trinidad and Tobago from Ukraine and Russia such as condensed milk, split peas, newsprint and sulphur can be sourced from other markets, according to the Ministry of Trade.

In a statement on Saturday, the ministry said TT's total average annual exports to Ukraine and Russia from 2016 to 2021 were approximately $3.9 million and $6.3 million respectively.

Over the same period, TT's total average annual imports from Ukraine were approximately $6.4 million. Imports from Russia significantly declined since 2010 from $1.4 billion to $24 million in 2021.

In light of the ongoing Russian invasion of Ukraine, the ministry has begun a review of the trade between the countries, especially as it relates to food security.

"Based on preliminary findings, trade with both countries is relatively small," the ministry said.

The main items currently imported from Ukraine are condensed milk and split peas. In the case of the former, this item, the ministry said, is now being produced in Jamaica and can easily be sourced regionally. Split peas are also imported from several other markets by local importers.

The non-energy items exported from TT to Russia in 2021 were machinery and metal parts, while the main imports were sulphur (used in water treatment) and newsprint. Both imported items are also sourced in other markets by importers.

The ministry said while items directly imported from Ukraine and Russia are small, "the ongoing conflict can have a wider impact on global trade and all countries integrated into the international trading system will be affected."

For the last 30 years, the Black Sea region (which is now the epicentre of the ongoing conflict) has emerged as an important global supplier of grains and oilseeds, including vegetable oils.

Today, Russia and Ukraine are among the top five global exporters of many important cereals and oilseeds, including barley, sunflower and maize.

Ukraine is also an important source of sunflower-seed oil, supplying about 50 per cent of the global market. Russia is also the world’s top wheat exporter. Together, Russia and Ukraine account for roughly 30 per cent of the global wheat export market.

Both countries are also big suppliers of metals and other commodities.

The ministry said it is forecast that the global fertilizer market (already reeling from record-high prices before the conflict) will be negatively affected if natural gas shortages occur in Europe.

Russia currently supplies Europe with approximately 40 per cent of its natural gas needs.

"Further price shocks in the fertiliser market, as well as supply-chain disruptions due to port closures, will negatively impact global commodity markets resulting in increased food inflation in all countries globally."

The ministry said it will continue to monitor actively developments in the international trading system affected by the Ukraine-Russia conflict.

The ministry will work with all relevant stakeholders as appropriate "to ensure food security by mitigating as far as is possible any negative impacts associated with commodity shortages and price increases."