`World Olive Oil Production Predicted to Top 3.2 Million Tons

Business

World Olive Oil Production Predicted to Top 3.2 Million Tons

Nov. 11, 2013
Julie Butler

Recent News

Global olive oil pro­duc­tion is likely to total at least 3.2 mil­lion tons in 2013/14, accord­ing to a new, higher esti­mate from the Inter­na­tional Olive Coun­cil.

And world con­sump­tion is likely to stay at about 3 mil­lion tons, the IOC says, despite its lat­est fig­ures show­ing a fall in exports to the United States, Canada, China and Aus­tralia.

IOC tips pro­duc­tion of 1.5 mil­lion tons in Spain, 500,000 in Italy, and 230,000 in Greece

The IOC last month made a pro­vi­sional pro­duc­tion fore­cast of 3 mil­lion tons but said in its Octo­ber newslet­ter, just pub­lished, that in light of new data received, world pro­duc­tion in 2013/14 looks set to top 3.2 mil­lion tons.”

Advertisement

Although we are still work­ing with fore­casts, this increase is becom­ing more tan­gi­ble since the 2013/14 sea­son, run­ning from Octo­ber 2013 to Sep­tem­ber 2014, is now in swing in most of the pro­duc­ing coun­tries except those in the south­ern hemi­sphere,” it said.

The E.U. is expected to pro­vide 2.3 mil­lion tons of global out­put, with Spain alone tipped to deliver 1.5 mil­lion, Italy 500,000, and Greece 230,000 tons.

Late last month the Andalu­sian gov­ern­ment released its fore­cast that Andalu­sia would make more than 1.3 mil­lion tons of olive oil in 2013/14 and Spain about 1.6 mil­lion tons — fig­ures some agri­cul­tural unions said were too opti­mistic.

Mean­while, the GEA West­falia Sep­a­ra­tor Group’s Inter­na­tional Cen­ter for Olive Oil Excel­lence pre­dicted Spain would make just 1.35 mil­lion tons and global out­put reach 2.76 mil­lion tons.

Global trade: up 21 per­cent in Japan but down in the U.S. Canada, Aus­tralia and China

With fig­ures now in for 11 months of the last sea­son — thus cov­er­ing Octo­ber 2012 to August 2013 — the IOC said imports of olive oil and olive pomace oil were up 21 per­cent in Japan, 8 per­cent in Rus­sia and 2 per­cent in Brazil on the same period a sea­son ago.

But they fell 15 per­cent in Aus­tralia, 4 per­cent in the United States and 5 per­cent each in Canada and China.

Fig­ures for the first ten months of the crop year (those for August were not yet avail­able) show olive oil imports into the E.U. rose 65 per­cent, obvi­ously linked to the low level of EU olive oil pro­duc­tion in 2012/2013,” the IOC said.

Pro­ducer prices for extra vir­gin olive oil

- Spain: Stand­ing at around €2.36/kg, the prices paid to pro­duc­ers in Spain in late Octo­ber were 5 per­cent lower than the same time a sea­son ear­lier as mar­kets reacted to the announce­ment of a good crop in the 2013/14 sea­son, which opened on 1 Octo­ber 2013, and the like­li­hood of olive oil stor­age being emp­tied as much as pos­si­ble to make way for new sea­son pro­duc­tion.

Even so, it should be remem­bered that prices had begun mov­ing down­wards already at the begin­ning of April 2013,” the IOC said.

- Italy: After falling in the first weeks of Octo­ber, prices in Italy switched direc­tion and rose to €3.04/kg in the last week of the month, up by 7 per­cent on the same time the year before. Pre­vi­ously, they had risen from a low of €2.61/kg in the last week of Novem­ber 2012 to €3.23/kg in the last week of April 2013, at which point they pro­gres­sively dipped to €3.12/kg (-3 pc) where they held steady.”

- Greece: Prices have dropped in recent weeks, reach­ing the same level as in Spain in the last week of

Octo­ber (€2.36/kg). Despite this decline, prices are still 7pc higher than the same period a year ear­lier.

The dif­fer­ence between the price of refined olive oil and extra vir­gin olive oil cur­rently lies at around €0.20/kg in Spain and €0.68/kg in Italy.



Related News