After two years of disastrous harvests, which were well below average, olive oil producers are convinced that things will change next season. This will be thanks to the rains that fell this spring (a providence above all for rain-fed crops) and the fact that there are more and more areas planted with olive trees in Spain. In this case, if everything continues as it is, it is very likely that a new “normal average” oil campaign will begin in September and the industry will finally think about lowering its selling prices to the public.
For this reason, it is also important that, despite the high prices, “consumers show loyalty to the product, among other reasons because they saw it as difficult to replace,” notes Teresa Pérez, Director of Interprofessional de l'Oli at Spanish Olives.
Since the launch of this campaign last October, local consumption of olive oil of its various types has recorded a cumulative increase of 12.2% compared to the same period of the 2022-2023 fiscal year, according to data published by the Ministry last week. Agriculture and food. In the first six months of the 2023-2024 campaign, the Spaniards have already consumed 208,500 tons of this product, compared to 185,800 tons in the previous season.
“Although the accumulated global data, which also includes exports, are similar to those for 2023, there is a positive development in the local market, which leads us to believe that the consumer still wants olive oil, contrary to what the sector believes,” says Perez. “I think the demand was too elastic and it would lose the market to other oils or other fats. Yes, consumers reduced their consumption last year, but they did not turn their backs and in April, the price of a liter of olive oil reached 13.45 euros on average.” Supermarkets analyzed by the Vacua Association.
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