Global olive oil production will be lower than consumption in the 2020 season, reported Olive Oil Times on October 27 from the Spanish news agency coverage COPE of a webinar about the sector.
Current estimates suggest that production will be around 3.11 million tons of olive oil, with expected consumption of 3.14 million tons, said international consultant Juan Vilar, from COPE , in the Andalusia webinar.
“ Furthermore, there were price increases in all categories and this shows that although a change in strategy is necessary, it is a breath of oxygen for the traditional olive grove, which accounts for 70% of the harvest and which, without a doubt, has gone through some difficult times,” said Vilar.
Vilar noted that there is also a growing role around the world for 'modern olive groves', which he said now accounts for 40% of all olive oil produced. These numbers revealed a 'change in trend and a reality in constant growth'.
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The growing popularity of olive farming across five continents has led to a total of 11.5 million hectares dedicated to olive trees, he added, and these numbers have led to global production exceeding 3 million tonnes.
World production for the current season would be 3.4% lower than last year, a drop he said was mainly due to reduced production in several Mediterranean countries including Italy (270,000 tonnes), Greece (240,000), Morocco (140,000) , Tunisia (130,000) and Portugal (120,000).
According to Vilar, the decline in production in some Mediterranean countries was due to the typical alternation of seasons.
The only exception to the downward trend was Spain, where production was estimated at 1.6-1.7 million tonnes, as reported by local magazine Agronomist .
Spain's ability to strengthen its position is due to strong investments in modern agriculture and specific new technologies, according to Vilar.
“Spain has managed to adequately combine its traditional cultural knowledge with new technologies, becoming the world's largest producer of olive oils, as more than half – 52% – of the olive oils produced on the five continents will be of Spanish origin,” he he said.
The consultant explained how olive oil prices, which had been falling recently, now seemed close to a change in trend.
Source: OFI International
