Olive oil prices are rising rapidly. A 0.5 litre bottle of extra virgin olive oil in a shop now costs at least ten euros, and soon more. :format(webp)/nginx/o/2024/08/13/16287565t1h3338.jpg)
Olive oil. Illustrative photo. Photo: Shutterstock
Olive oil prices are rising rapidly. A 0.5 litre bottle of extra virgin olive oil in a shop now costs at least ten euros, and soon more.
Translation: Sergey Svetlov
The rise in olive oil prices is due to a number of factors, such as demand, labor costs, climate change, etc. The world produces about three million tons of olive oil annually. The European Union accounts for the vast majority of this production, averaging between 1.9 and 2.5 million tons per year.
The main countries from which we get olive oil are Spain, Italy and Greece. It is no longer uncommon to pay ten euros or more for a 0.5 liter bottle.
"The rise in prices is due to a number of factors, including climate change, which has led to a significant reduction in yields, especially in key countries such as Spain," olive industry spokesman Dieter Oberg explains in an interview with Bild.
Production in Spain, the world's largest olive oil producer, has almost halved from 1.23 million tonnes to 780,000 tonnes, with climate change the main reason.
"The drought has reduced the pulp in the olives, which affects the yield and quality," adds Oberg. Even if more trees are planted now, the problem will not be solved quickly. It takes three to five years for a new olive tree to start bearing fruit.
Around 67 percent of the world's olive oil production comes from the EU. Italy and Greece can partly compensate for the shortfall caused by the decline in Spanish production. In addition, non-EU countries such as Turkey and Tunisia are increasingly able to produce quality oils. However, fluctuations in Spanish production are noticeable.
Labor costs have increased
“The biggest costs are related to tree care and harvesting, which account for about 75 percent of the total costs,” explains olive expert Oberg.
"If 20 years ago a harvester in Spain earned around 20 euros a day, now it's more than 60 euros. Add to that the increased costs of energy and transport," says Oberg, and he doesn't see an end to the rising costs yet.
