The United Nations has agreed to extend a Black Sea grain deal between Russia and Ukraine for 120 days, allowing the two countries to continue trading grain on favourable terms.
The deal, which was due to expire at the end of February, was extended after representatives from the two countries met with UN mediators in Geneva to discuss the situation.
Under the agreement, Ukraine will export grain to Russia at a reduced tariff of 10% while Russia will export grain to Ukraine at a reduced tariff of 25%. This is far lower than the tariffs imposed by the World Trade Organisation, which would otherwise be around 55% for exports from Ukraine to Russia and around 75% for exports from Russia to Ukraine.
The extension of the deal is a major victory for both countries, as it will allow them to continue trading grain on favourable terms for the foreseeable future and help stabilize their economies. It is also seen as a sign of goodwill between the two countries, which have been at odds since the 2014 Russian annexation of Crimea.