`Council Predicts Second Biggest Year Ever for Olive Oil Production

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Council Predicts Second Biggest Year Ever for Olive Oil Production

May. 17, 2011
By Julie Butler

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This year is expected to be the world’s sec­ond-best for olive oil pro­duc­tion, thanks largely to increases in Alge­ria, Morocco, Syria and Turkey.

Accord­ing to Inter­na­tional Olive Coun­cil (IOC) fore­casts, the 2010/11 pro­duc­tion will stand at 3.08 mil­lion tons – the EU account­ing for 73 per­cent of this – up from 3.02 mil­lion tons in 2009-10 and close on the heels of the 2003/04 record of 3.17 mil­lion tons.

Spain is expected to weigh in with 1.37 mil­lion tons – 45 per­cent of world pro­duc­tion – fol­lowed by Italy (480,000 tons), Greece (300,000 tons), Por­tu­gal (71,800 tons) and France (5,600 tons).

In its April mar­ket newslet­ter, the IOC said the chief sources of this year’s rise in pro­duc­tion were Syria (set to achieve an all-time high of 180,000 tons), Turkey (160,000 tons), Morocco (where pro­duc­tion is tipped to dou­ble to 150,000 tons), and Alge­ria (50,000 tons).

Global olive oil pro­duc­tion has increased 89 per­cent in the last 20 years. It was just 1.45 mil­lion tons back in 1990 – 91.

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Imports

In the first three months of 2010-11 (Oct-Dec), com­bined imports into the EU, the USA, Brazil, Canada, Japan, and Aus­tralia were up 17 per­cent on the same period a year ago. The EU in par­tic­u­lar showed a big rise, 22 per­cent.

Looked at over the five month to Feb­ru­ary, imports into Japan had decreased by 6 per­cent but risen else­where: Aus­tralia (+2 per­cent), Brazil (+21 per­cent) Canada (+16 per­cent) and the USA (+9 per­cent).

Pro­ducer Prices

The IOC noted an increas­ing gap between pro­ducer prices in Italy and those paid in Spain and Greece. Com­pared with the same time last year, EVOO prices are 5 per­cent lower in both Greece (€1.94/kg) and Spain (€2.01/kg), while in Italy they are up 44 per­cent (€3.90/kg).

Recent weeks have seen a steep rise in prices in Italy, con­trast­ing with a small drop in Greece and sta­bil­ity in Spain. This tends to con­firm the grow­ing dis­tance between the prices paid to pro­duc­ers in Italy and those paid in Spain and Greece,” the IOC said.



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