The bad weather in May and June and the drought in the summer months are putting a strain on olive oil production in Italy. Production of Italy’s “golden oil” is at risk of falling by half compared to 2022. This has a negative impact on prices.
“For the next olive growing season we expect a price increase of 30 to 40 percent at the wholesale level, we producers will sell a liter of oil for 9 euros per kilo and on the shelves the Italian oil will cost 10 to 11 euros per liter, which for the end consumer an increase of 30 percent compared to last year,” reported Gennaro Sicolo, president of Italia Olivicola, the largest national organization of olive producers, which includes 47 cooperatives in all Italian provinces.
The increase in prices is also due to the fact that production costs have increased due to the drought and low production across the Mediterranean. The price of olive oil will not fall at least in the next two years, Sicolo said, according to media reports. The olive harvest began in Sicily at the end of September, and is now also starting in Calabria and Apulia. Especially in central Italy, production is not that high because the rains in May and June affected the pollination of olive trees during the flowering period. Demand in Italy is one million tonnes.
Fear of adulterated oil
Therefore, a large part of the demand must be met from abroad. Italy holds the world record for domestic olive oil consumption. Italian producers fear that the decline in production could increase trade in adulterated oil. Experts complain that food safety standards are lower outside the EU.
