Moldova halves grain-transit fees for Ukraine as its own farmers threaten protests

Moldova has reduced the grain-transit fees it charges Ukraine to half price, providing a cheaper route for Ukrainian grain to pass through Romania. President Maia Sandu defended this decision, stating that helping a wartime neighbor maintain its export income is crucial for Moldova's own security. Sandu argued that if Ukraine cannot sell its products and lacks the means to defend itself, Moldova would face even greater problems.

However, this decision has sparked concerns among Moldovan farmers. The Farmers' Force association warned of potential mass protests unless the government addresses their concerns by August 21st. The farmers argue that they stand to lose from the reduced tariffs and demand a seat in overseeing the transit process.

The tariff cut took effect on August 10th and will remain in place until December 31st, 2026. This move could potentially earn Moldovan Railways several million euros and allow around 10% of Ukraine's expected 2026 grain cargo to be transported through Moldova's territory.

Moldova's decision comes in the wake of Russian attacks on Ukraine's Black Sea ports, which have made the sea route for grain transportation unreliable. Odesa's ports, handling about 90% of Ukraine's grain exports, were particularly affected by the attacks. In July alone, Russian strikes damaged 28 vessels at Greater Odesa's ports, resulting in the death of 21 sailors.

Moldova has historically maintained open transit routes for Ukrainian grain, even when it tried to shield its own market from Ukrainian grain imports. President Sandu emphasized that Ukraine's ongoing struggle and resistance against Russian attacks also contribute to Moldova's own peace and security.