Pompeian Group, a leading US olive oil brand, and a subsidiary of Spain’s Dcoop Group, the world’s top olive oil producer, have entered into a partnership through an exchange of shares with the goal to meet the growing demand for olive oil in the US.
Olive oil consumption in the United States, which currently sits at 1.1 liters of olive oil a year per person, has tripled in the last two decades. If such growth continues, the US will become the world’s top consumer of olive oil.
“We want to continue growing, and to do so in the US we need a local partner,” explained Dcoop CEO Antonio Luque at this week’s press conference in Washington D.C.See Also: Former Rivals, Deoleo and Hojiblanca, Create ‘Global Olive Oil Giant’
While Dcoop already holds the position as the world’s largest olive oil producer, they believe there is room to grow in the US — particularly since they speculate US consumption could double in the years to come.
Dcoop brings to the partnership its 110 cooperatives located throughout southern Spain. The company produces other goods as well, ranging from table olives to goat milk, and wine (of which it is also the world’s top producer). In 2014, Dcoop’s sales reached € 754.9 million ($821.1 million), and will rise to a projected €900 ($978.9 million) million in 2015.
According to the Baltimore Sun, sales of the Pompeian branded products rose 25 percent to $212 million last year, during which the company imported 30 million liters (8 million gallons) of olive oil from Argentina, Chile, Greece, Morocco and Spain.
This year, Pompeian said it expects total sales of $405 million, including its branded products, private label, bulk trading and sales under the Sunset Olive Oil brand, according to the Sun report.
Pompeian offers the commercial capacity to package and sell in bulk in the US, where it bills itself as the country’s largest national olive oil brand. Pompeian also sells other products, including vinegars and cooking wines.
Pompeian’s own quality lab was on a short list of tasting panels accredited by the America Oil Chemists’ Society. In 2012, the company became the first and so far only company to participate in the United States Department of Agriculture fee-based Quality Monitoring Program for olive oil products.