It is noted that the incident in Derince may eventually prompt market players to think about problems surrounding the storage of grain and transportation infrastructure
ANKARA, August 8. /TASS/. The loss of 15,000 metric tons of grain as a result of an explosion in the Turkish port of Derince will not affect global grain prices by itself but may cause a panic due to further risks, Professor Haluk Gedikoglu from the Konya Food and Agriculture University told TASS.
“The loss of fifteen thousand metric tons of grain in Derince elevators is not a serious problem for the international market and will not affect prices by itself. However, it should be understood that this incident, albeit a minor one in terms of the scale, demonstrated the presence of risks to infrastructure. This is likely to create a sentiment of panic among producers and among supply chain participants, and this could influence global prices,” the expert said.
The incident in Derince may eventually prompt market players to think about problems surrounding the storage of grain and transportation infrastructure, Gedikoglu noted. “The incident with the loss of the small grain quantity in Turkey can be perceived in such an environment as the appearance of new and tangible risks, which will ultimately affect prices. To give a simpler example for understanding, this is like when there is an explosion at a store of a certain chain. People will try not to visit the store’s other locations after that incident because of fear,” he added.
The explosion occurred in the port of Derince on Monday. At least thirteen individuals were wounded. According to preliminary accounts, grain dust exploded while it was being loaded into the elevator. No vessels in the port were damaged. Twenty percent or about 15,000 metric tons of grain were damaged out of 75,000 metric tons of grain loaded into silos, the Turkish presidential administration said.