A Russian company exported over 20,000 tons of wheat to Egypt last month after re-routing from Syria, the Organized Crime and Corruption Reporting Project (OCCRP) revealed.

Pallada LLC, is a Russian company and the exporter, has been previously accused of selling grain from occupied regions of Ukraine.

Export quota documents show that Pallada received permission to export thousands of tons of wheat, barley, and meslin from occupied regions in 2023.

Russian occupation of southern and eastern Ukraine, which began in 2014 and escalated with the full-scale invasion in February 2022, has involved systematic efforts to seize control over agricultural resources, particularly grain. Russia is strategically leveraging Ukrainian grain exports to exert influence over countries in the Global East and Africa, particularly in the context of its ongoing war with Ukraine. 

The vessel Mikhail Nenashev, which is under the flag of Russia, was initially bound for Syria with 27,000 tons of wheat. After the collapse of President Bashar al-Assad’s regime in December, the ship anchored in Alexandria, Egypt, carrying a cargo destined for Mostakbal Misr, a military agency responsible for importing strategic commodities.

“Russia has committed a triple crime: it bombed out Syria, temporarily occupied a part of Ukraine, and is currently selling Ukrainian grain it has stolen there to Syria,” the Ukrainian foreign ministry said in May 2022.

Export documents show Pallada received wheat from occupied districts of Zaporizhzhia in the months before the shipment.

The New York Times previously reported the vessel was among three suspected of shipping “stolen Ukrainian grain.”

Vladyslav Vlasiuk, an advisor to Ukraine’s president, highlighted several “red flags” in the shipment.

“Dealing with Russians and having these red flags before your eyes, that would probably raise some grounds for some more thorough due diligence or compliance procedure,” he said.

Tracking grain origins remains challenging, according to Mike Lee, an agronomist specializing in Black Sea crop yields. “We know from experience that the grain trade is a murky business at the best of times and suitcases full of cash can be transferred,” he said.

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