The UN-backed deal which allowed Ukraine to export grain from its Black Sea ports has ended after Russia formally withdrew on Monday morning.

Initial market reaction has been a small jump in wheat prices on global markets.

A spokesperson for Russian president Vladimir Putin said that they would resume its participation as soon as agreements were made over Russia's own exports of agricultural and fertiliser products. The sticking point on those exports is how Russia can be paid for its exports as the country's banks have been cut off from the global payments system.

Flagged

The move from Russia has been well-flagged in recent weeks, so it is not a huge surprise for markets.

For Irish farmers the development is not great news as, while it probably doesn't mean a repeat of the crisis situation we saw last year, it does mean that hoped-for further price drops in feed and fertiliser costs are now very unlikely.