`Half the Spanish Olive Oil this Year, Twice the Greek

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Half the Spanish Olive Oil This Year, Twice the Greek as Prices Climb

Oct. 8, 2014
Olive Oil Times Staff

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Greece will bounce back from a dis­as­trous year, to more than dou­ble its pro­duc­tion, accord­ing to esti­mates by the Inter­na­tional Olive Coun­cil in Madrid.

The world pro­duced 3.164 mil­lion tons of olive oil dur­ing the 2013 – 14 crop year, accord­ing to the lat­est Inter­na­tional Olive Coun­cil (IOC) newslet­ter — an increase of 32 per­cent over the year before. Spain, which accounted for 57 per­cent of the global out­put had a record year, nearly dou­bling its pro­duc­tion and mak­ing up for lower totals from other pro­duc­ers, notably Greece which saw its yield drop by more than half to 135,000 tons.

But this year, as the har­vest sea­son in the North­ern hemi­sphere gets under­way, the IOC esti­mates world pro­duc­tion to recoil to 2.56 mil­lion tons — with Spain con­tribut­ing just half of last year’s record amount, while Greece will bounce back from a dis­as­trous year, to more than dou­ble its pro­duc­tion to 300,000 tons.
See more: Com­plete Cov­er­age of the 2014 Har­vest
While the world pro­duced 170,000 tons more than it con­sumed dur­ing the last sea­son, this year will be dif­fer­ent, the IOC says, as it pre­dicts demand to exceed sup­ply, which could explain ris­ing pro­ducer prices for olive oil. Ital­ian olive oil is fetch­ing 37 per­cent more than it did last year, sur­pass­ing the 4‑euro mark to €4.10/kg at the end of last month.

In fact, accord­ing to the lat­est Inter­na­tional Mon­e­tary Fund fig­ures for August, the aver­age ex-tanker price ($4.14/kg) for extra vir­gin olive oil reached its high­est level since July, 2008.

After a slow start, imports in the U.S., Canada, Aus­tralia and Japan ral­lied to show gains for the crop year through June, the IOC reported.
See more: IOC Sep­tem­ber, 2014 Newslet­ter

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