A reduction of up to 40% has been recorded in the producer price of extra virgin olive oil recently.

Due to last year’s small harvest but also due to inflationary pressures, the price of olive oil for the producer had reached historic highs of up to 9.5 euros per kilo. This, as expected, has resulted in the price on the supermarket shelf having ‘rocketed’ over 15 euros per kilo last yearleading many consumers to turn to other oils to meet their daily needs. In fact, according to market estimates, the high price forced almost 4 out of ten consumers to choose other oils.

“This time we have a significant downward correction in the producer price, from the 9.5 euros it reached last time. In extra virgin olive oil, we are in the region of 5 euros,” he told the Athenian-Macedonian News Agency President of the Olive Oil Interprofessional Organization, Manolis Giannoulis.

And he added “on the shelf we see a slight decrease since the summer” which according to him is due to the increased production both in Greece and in other countries of the Mediterranean basin. “Overall the big picture is that we have a production increased by up to 50% compared to last year on a global level. We currently have overabundance of olive oil and this, combined with the reduced consumption, which is up to 40% due to the high prices of the previous period, pushes prices downboth to the producer, and the one that the consumer buys”.

Greece is second in production in the EU.

During the past year, Greece saw its production decrease to 120-130 thousand tons. Of course, this was not a “Greek phenomenon” since it was also observed in other olive-producing countries, such as Spain, which had a harvest of 850 thousand tons.

This year the picture is completely different though. “In terms of quantity, we are twice as much as last year. According to estimates, this year’s Greek olive oil production will reach 250 thousand tons,” said Mr. Giannoulis adding that “our country suffered from drought and lack of rain. There are some quality problems, mainly in terms of taste.”

Spanish production will be almost twice as much as it is expected to reach 1.5 million tons of olive oil, while in Portugal, which last year harvested 100 thousand tons, this year it expects a production of 180 thousand tons. On the contrary, Italy is expected to harvest about 230 thousand tons this year, the same as last year, mainly due to the drought and climatic conditions that prevailed in the country this year.

Thus, according to these estimates, our country is predicted to be the second country in terms of production volume, in the European Union.

From countries outside the EU Turkey is going for a historic record of 450 thousand tons while Tunisia is also expected to increase its production to between 300-330 thousand tons from last year’s harvest of 150-170 thousand tons.

“It is not possible to pay a kilo of oil as much as a coffee – Someone has to produce it”

In reference to what is heard that the price of olive oil is high, the president of the Interprofessional Olive Oil Organization speaks of “obsession with the price on the shelf” pointing out that “for there to be oil on the shelf, someone has to produce it”.

And he explains “we saw 3-4 years ago when the price of olive oil was at historic highs, that many were the producers who saw that the crop was unprofitable and chose to abandon the oil” stressing “We cannot want to pay for the oil as much as we pay for a coffee”.

“We want to have cheap food and this is not easily done, because in order to do it, someone will need to work without being adequately paid” he concluded.