Russia is purposefully attacking warehouses and food logistics. A significant part of modern storage facilities has already been destroyed, in some places up to 90%. It is important to understand: Ukrainians will not be left without food. This was announced by the Minister of Agrarian Policy and Food of Ukraine Taras Vysotsky during his weekly communication with media representatives.
“Retail and suppliers are restructuring logistics, moving stocks, changing storage routes and formats. It is more complicated, longer and more expensive, but the system is adapting. There is no threat of a systemic physical shortage of basic products today. There may be changes in the assortment or availability of individual products in specific stores, but the country’s food supply is preserved,” Taras Vysotsky emphasized.
According to him, there is currently a question of covering losses for products destroyed as a result of Russian attacks. The supply and sale of products are economic and contractual relations between manufacturers, distributors and retail chains.
“A fair approach would be a parity distribution of risks between all parties. It is not necessarily 50 to 50. Different products have different margins, different terms of cooperation and different economic results. Therefore, the mechanism should be determined separately for each product category and take into account how the profit is distributed between the parties,” Taras Vysotsky noted.
Additional costs for new logistics, which are currently being rebuilt in real time, should be distributed in the same way.
The minister emphasized that the state was working in parallel on systemic mechanisms for insurance of military risks. But until such a system can fully operate, it is important for business to find a fair model for distributing losses and additional costs between all participants in the chain. (Agrarian Ministry)