Olive Oil Consumption Drop in Greece and Italy

Olive oil is losing ground to cheaper vegetable oils in its heartland, the major producing countries Greece and Italy. Reported by the British Independent newspaper, The International Olive Council reports that olive oil consumption in these two countries is down to 1995 levels while Spain is holding steady. The consumption drop is attributed to consumers switching to cheaper vegetable oils.

Wholesale Olive Oil Prices Lowest in Years

According to the International Monetary Fund, wholesale extra virgin olive oil prices in Europe have halved since 2005 and are back to 2002 levels. The price drop is caused by bumper harvests in Spain and reduced consumption in Europe. In an attempt to stop the price slide EU producers have been assisted in storing the surplus olive oil.

Time to Test Olive Oils against Other Vegetable Oils

One must question the logic of the continuous assault on imported olive oils that is taking place in Australia, New Zealand and the United States. While the main reason promulgated for this New World campaign is to increase the quality of olive oil supplied to consumers, many see it as a thinly disguised attempt to increase the sales of locally produced extra virgin olive oils. 

With the global access to local news and commentary, the danger of this approach is that the global brand of olive oil is permanently damaged and it will take more than a few new producing countries to repair the damage. The sales of olive oil are very price sensitive as we are seeing in Greece and Italy.

It is time we as an industry encouraged the comparison of the positive attributes olive oil – refined and extra virgin – with other vegetable oils, and in doing so, boost the global olive oil brand rather than tainting it.

Large importer of olive oil into the US first to join quality programme.

Pompeian Inc, one of the largest importers of olive oil into the United States, has become the first company to participate in the USDA quality programme for olive oil.

Reported in the Olive Oil Times, the move is the first direct response to efforts to improve the quality of olive oil available to consumers in the US.

Interestingly the first company to join the voluntary standard regime is an importer and the comment facility which follows the article in the Olive Oil Times is empty. Usually there is a lot of chatter following reports on quality – ironically this perceived win has failed to attract any accolades.

Read the article: http://www.oliveoiltimes.com/olive-oil-basics/pompeian-usda-olive-oil-monitoring/25740

Olive oil imports into Australia back up again.

Imports of olive oil into Australia in January 2012 increased by almost 1200 tonnes
compared with the same month in 2011. This follows substantial dips in imports in November and December.

Overall imports into Australia dropped by 10% in the four months to January 2012. Canada showed an 18% decrease in imports and the USA a 10% increase over the same period.
(Source IOC)

Spanish olive oil production at record levels as prices hit record lows

The Spanish Olive Oil Agency reports that Spanish olive oil production during 2011/2012 has all previous levels and is 185,000 tonnes above the level of the previous year. Spain produces approximately 50% of the world’s olive oil.

Prices for extra virgin olive oil are down 13% in Spain (€1.75/kg) and 28% in Italy (€2.35/kg).
(Source IOC)

Sharp Decline in Olive Oil Imports into Australia

Olive oil imports into Australia declined sharply in the last two months of 2011 according to data released by the International Olive Council.

In November 2011 imports declined by 14% with an even sharper decline of 55% in December 2011. No explanation was offered for the sharp decline. Imports also declined by 7% in Canada during the same period.

China and Russia showed substantial increases in imports, with Japan, Brazil and the United States showed smaller increases.