India, the world’s biggest edible-oil importer, bought a 10-month high of about 1.5 million tons of vegetable oil in July, up roughly a third from June, as refiners restocked for the August-to-November festival season.

The jump was led by palm oil, up by half, and soybean oil, up about a third, data compiled by UkrAgroConsult. Sunflower oil rose just 4%, the weakest of the three, and India buys most of it from Ukraine and Russia, the world’s leading exporters.

Now the sunflower supply is the one going into reverse. India’s sunflower-oil imports are set to fall in August to their lowest since February, with about 150,000 tons of cargo delayed at Black Sea ports and buyers in the south switching to soybean, four traders told Reuters.

The switch is only partly about the war. Soybean and palm oil are cheap, and India’s own mills are pressing less oil from a smaller domestic harvest, leaving refiners leaning on imports, Rajesh Patel told OFI. The GGN Research partner expects soybean oil imports to top 500,000 tons a month into the autumn.

Russia’s strikes close Ukraine’s window

Ukraine is in no position to capture that demand. Russian strikes on Chornomorsk in mid-July forced Kernel, its largest exporter, to halt its terminals there, and the country’s farmers’ union reckons the summer attacks have cost a third of its capacity to ship grain by sea.

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Russia’s port strikes leave Ukraine’s grain with almost nowhere else to go

Vegetable oil and meal earn more than 15% of Ukraine’s foreign currency, among its largest sources of the hard cash that funds the war, the industry association Ukroliyaprom has said.

The squeeze runs through geography Ukraine cannot change: almost all its farm exports leave by sea, through a handful of Odesa ports now under regular fire, with no land route at anything near the scale.

Kyiv now expects to export barely half the harvest it had planned to sell abroad this season, and is arranging emergency loans so farmers can plant the next crop. Since the start of August, grain leaving by rail has dropped by more than three-quarters year-on-year, according to Ukrzaliznytsia data.

Ukraine’s Agriculture Ministry has cut its forecast for agricultural exports in 2026–2027 by 54% as Russian attacks disrupt shipping through Odesa’s ports, Bloomberg reported.

The ministry now expects 29.6 million tons of agricultural exports, down from 64.4 million. Its wheat export forecast fell by 53%, from 17.6 million tons to 8.3 million tons.

Ukraine grows far more grain than it consumes, exporting 65%–70% of its agricultural output. Bloomberg said the sector generated more than half of Ukraine’s export revenue last year. But Russia’s summer attacks have stalled the sea corridor as the harvest arrives, driving some wheat prices below production costs. Land and river routes cannot match the Black Sea shipping capacity, while sales through neighboring EU states remain politically contested. That leaves farmers with less money for the next sowing and further reduces Ukraine’s export income.

Ukraine has about 59 million tons of grain storage. That storage could be full by early November, leaving the country 11 million tons short of space by the end of fall 2026. 

Wheat sells below cost as the silos fill up

Ukraine’s export bottleneck is already hitting its farmers. Port prices fell by another 12-15% in one week, while some farmers sold wheat below production cost. When ships stop, traders either stop buying or pass the higher cost of alternative routes on to producers. That leaves farmers with less cash for fall sowing.

To ease the pressure, the government has approved subsidized loans for agricultural producers. President Volodymyr Zelenskyy said Kyiv would expand storage. Ukraine's Agriculture Ministry has also asked the European Commission for €220 million to help cover interest for small and medium-sized farms.

Ukraine and Moldova are discussing a rail route to Romania’s Constanța port. According to the report, grain was already being redirected through Romania, Slovakia, and Hungary, but these routes cannot replace Odesa’s capacity.

Now the ports and the ships are Russia's targets

The export bottleneck is only part of the problem. Russia’s bombardment also threatens the ports, civilian ships, and crews needed to keep the corridor operating. 

The port of Odesa normally handles about 90% of Ukraine’s grain shipments. Russia intensified attacks on terminals and civilian ships in July 2026 as the harvest reached the coast.

On 19 July, three Russian missiles struck the foreign-flagged Golden Leo as it left Odesa carrying corn, killing 10 people, including a Ukrainian sea pilot. Three days later, no vessel passed through the corridor.

Alternative routes offer little relief, as record-low Danube levels were restricting river traffic. Poland continues to bar Ukrainian grain from its domestic market. Those constraints leave more of the harvest inside Ukraine and farmers with less money to plant the next crop.