'Lady Zehma', a cargo ship carrying corn from Ukraine, is grounded and anchored after a rudder failure in the Bosphorus in Istanbul, Turkey, on Thursday. Reuters
'Lady Zehma', a cargo ship carrying corn from Ukraine, is grounded and anchored after a rudder failure in the Bosphorus in Istanbul, Turkey, on Thursday. Reuters
'Lady Zehma', a cargo ship carrying corn from Ukraine, is grounded and anchored after a rudder failure in the Bosphorus in Istanbul, Turkey, on Thursday. Reuters
'Lady Zehma', a cargo ship carrying corn from Ukraine, is grounded and anchored after a rudder failure in the Bosphorus in Istanbul, Turkey, on Thursday. Reuters

Grain ship from Ukraine runs aground in Istanbul, halting traffic


Soraya Ebrahimi
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A cargo ship carrying more than 3,000 tonnes of corn from Ukraine drifted aground in Istanbul on Thursday, halting shipping on Turkey's Bosphorus strait.

The 173-metre Lady Zehma was safely grounded and anchored after a rudder failure about 6pm, said the Istanbul governor's office and a shipping company.

The office said no one was hurt and coastguards were attending.

The ship's bow was about 150 metres from shore in the busy Bebek neighbourhood, according to a witness and Refinitiv Eikon data.

Ukraine's grain exports slumped after Russia invaded the country on February 24 and blockaded its Black Sea ports, driving up global food prices and prompting fears of shortages in Africa and the Middle East.

Three ports were unblocked under the deal signed on July 22 by Moscow and Kyiv, and brokered by the UN and Turkey.

Ukraine and Russia sign grains deal - in pictures

  • UN Secretary General Antonio Guterres, Ukrainian Infrastructure Minister Oleksandr Kubrakov, Turkish President Recep Tayyip Erdogan and Turkish Defence Minister Hulusi Akar attend a signing ceremony in Istanbul, Turkey. Reuters
    UN Secretary General Antonio Guterres, Ukrainian Infrastructure Minister Oleksandr Kubrakov, Turkish President Recep Tayyip Erdogan and Turkish Defence Minister Hulusi Akar attend a signing ceremony in Istanbul, Turkey. Reuters
  • Ukrainian Infrastructure Minister Oleksandr Kubrakov, seated, at the signing ceremony. Reuters
    Ukrainian Infrastructure Minister Oleksandr Kubrakov, seated, at the signing ceremony. Reuters
  • UN Secretary General Antonio Guterres, left, Russia's Defence Minister Sergei Shoigu, second left, Turkish President Recep Tayyip Erdogan, seated, second right, and Turkish Defence Minister Hulusi Akar at the signing ceremony. Reuters
    UN Secretary General Antonio Guterres, left, Russia's Defence Minister Sergei Shoigu, second left, Turkish President Recep Tayyip Erdogan, seated, second right, and Turkish Defence Minister Hulusi Akar at the signing ceremony. Reuters
  • Mr Guterres speaks during the signing ceremony. Reuters
    Mr Guterres speaks during the signing ceremony. Reuters
  • Mr Guterres and Mr Erdogan sit at the start of the signature ceremony for an agreement on the safe transportation of grain and foodstuffs from Ukrainian ports. AFP
    Mr Guterres and Mr Erdogan sit at the start of the signature ceremony for an agreement on the safe transportation of grain and foodstuffs from Ukrainian ports. AFP
  • Mr Erdogan speaks at the signing ceremony. Reuters
    Mr Erdogan speaks at the signing ceremony. Reuters
  • Mr Guterres and Turkish Foreign Minister Mevlut Cavusoglu stand together on the day of the deal signing in Istanbul. Reuters
    Mr Guterres and Turkish Foreign Minister Mevlut Cavusoglu stand together on the day of the deal signing in Istanbul. Reuters
  • Roman Abramovich attends the ceremony in Istanbul. Reuters
    Roman Abramovich attends the ceremony in Istanbul. Reuters
  • Mr Guterres said the deal would clear the way for grain shipments from three Ukrainian ports; Odesa, Chernomorsk and Yuzhny, stabilising runaway prices on the global market. Reuters
    Mr Guterres said the deal would clear the way for grain shipments from three Ukrainian ports; Odesa, Chernomorsk and Yuzhny, stabilising runaway prices on the global market. Reuters
  • The UN chief said a co-ordination centre would be set up in Istanbul to manage Black Sea traffic. Reuters
    The UN chief said a co-ordination centre would be set up in Istanbul to manage Black Sea traffic. Reuters
  • A Turkish national flag, a Russian national flag, a United Nations flag and a Ukrainian national flag in Istanbul, before the deal was signed. AFP
    A Turkish national flag, a Russian national flag, a United Nations flag and a Ukrainian national flag in Istanbul, before the deal was signed. AFP

The Joint Co-ordination Centre in Istanbul, which oversees the agreement and comprises UN, Russian, Ukrainian and Turkish officials, told Reuters the ship was "stranded during her passage from the strait and an emergency boarding operation is under way" by Turkish authorities.

This week the co-ordination centre said the Lady Zehma was cleared to depart Ukraine's Chornomorsk port for Ravenna, Italy, with 3,000 tonnes of corn.

Turkey's Tribeca shipping company said it contained 30,274 tonnes of corn.

Three ships with grain leave Ukraine under landmark deal - video

As of Wednesday, about 1.55 million tonnes of grain and other foodstuffs had been exported from Ukraine under the deal, while 139 inbound and outbound voyages had been enabled, the centre said.

Such incidents are rare on the picturesque Bosphorus, which divides Turkey's largest city and connects the Black Sea to the Marmara Sea and beyond to the Mediterranean.

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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Company Profile

Name: Thndr
Started: 2019
Co-founders: Ahmad Hammouda and Seif Amr
Sector: FinTech
Headquarters: Egypt
UAE base: Hub71, Abu Dhabi
Current number of staff: More than 150
Funds raised: $22 million

Guide to intelligent investing
Investing success often hinges on discipline and perspective. As markets fluctuate, remember these guiding principles:
  • Stay invested: Time in the market, not timing the market, is critical to long-term gains.
  • Rational thinking: Breathe and avoid emotional decision-making; let logic and planning guide your actions.
  • Strategic patience: Understand why you’re investing and allow time for your strategies to unfold.
 
 
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Updated: September 02, 2022, 12:37 AM