One of the most painful issues in the implementation of foreign economic contracts for the sale of agricultural products is their transportation to the counterparty, write Margarita Bryanskaya and Bogdan Yaskiv in the article “War does not automatically cancel the fulfillment of previously taken business obligations”.

The main problem in this case is the blockade of Ukrainian seaports, from which almost 90% of exports were carried out.. To date, the logistics structure shows that about 60% of the volume is carried out by rail, 25% - by road, and the rest - in a combined way with the involvement of the logistics system of neighboring countries (Romania, Poland, Slovakia, etc..

As you know, in the field of international trade, the most common frame is the Incoterms rules.. The updated Incoterms 2020 rules no longer provide for the possibility of self-delivery by the buyer of the goods, which is irrelevant for agribusiness in general.

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But the option of delivery to the terminal or to the carrier’s ship in the conditions of the blockade of Ukrainian ports is impossible to implement, unless we are talking about the ports of Reni and Izmail with a limited throughput of transshipment volumes.

In fact, Ukrainian agrarians, who are a party to foreign economic contracts, are forced, in the conditions of the blockade of ports and the destruction of production capacities or stocks as a result of hostilities, to initiate changes in the terms of previously signed contracts in terms of the method and / or timing of the supply of agricultural products, or to terminate such obligations due to the impossibility of fulfilling them..