Not enough EVOO

Not enough EVOO in Italy

The Italian olive industry fears that there is not enough EVOO to supply the market. The Italian Olive Industry Association (Assitol) has warned of the crisis situation facing the extra virgin olive oil sector due to the “catastrophic” olive oil campaign, which has been affected by drought and extreme weather events, and the rise in crude oil prices.

“What we feared at the beginning of the campaign due to low production is now happening. Our sector risks not having enough extra virgin olive oil to supply the market in the coming months,” said Andrea Carrassi, general director of the association.

According to Assitol, Italy recorded a sharp decline in olive oil production, estimated to be 30% lower. However, he added that the situation in Spain, the world’s leading producer, is weighing on the markets, as its production has been halved to around 700,000 tons due to the ongoing drought.

In his opinion, “this record-breaking decline has led to an increase in raw material costs, to which has also been added the rise in energy and packaging prices.” Therefore, “the availability of oil has increased minimally, both in Italy and abroad.” Furthermore, according to initial forecasts for the next campaign, the situation is expected to worsen, as the drought continues in Spain and much of the Mediterranean.”

For the Italian association, the future scenario will continue to be characterized by raw material scarcity and rising production costs, with significant repercussions for consumption. However, it assured that the reduced availability of oil and the resulting price increases “have not stopped promotional sales and jeopardized the already scarce quantities of available EVOO.”

“Olive oil has become a precious commodity in recent months, and using sales below cost could prevent the depletion of our products. Therefore, we demand responsibility from the entire supply chain, from production to the industry, which we represent, so that it is possible to guarantee EVOO on Italian tables,” Carrassi reflected.