Olive Oil Prices Are Skyrocketing - Producer Insights
Here's Why The Prices are Rising and How to Make Sure You Get Your Money's Worth in 2024
If you've perused the olive oil aisle at the grocery store lately, you may have noticed something concerning - the olive oil prices are rising, and not just at the normal rate of inflation. As an olive oil producer, I understand these problems first-hand. So why are the prices rising and how can you be sure that your money is well spent when buying extra virgin olive oil this year?
Why are the prices of olive oil rising?
The year of 2024 has been a particularly tough year for most olive oil producers and they simply cannot keep up with the supply and demand of the industry. Making olive oil is a once per year event, the olive harvesting occurs in the Fall for the Northern Hemisphere and during the Spring in the newer industry of the Southern hemisphere. Olives are a sensitive fruit and the yearly bounty of the trees greatly depends upon the weather and climate, and this year was not a great year weather-wise for the production and quality of the olive fruit.
The region of Puglia, which is Italy’s largest producer of olive oil and accounts for 15% of the worldwide production, has been facing a devastating olive tree plague. Xylella, a bacterial disease, is responsible for killing millions of olive trees in this region, which has a type of olive tree particularly sensitive to this strain of bacteria. Luckily, other cultivars of olives are resistant to this disease and the region of Puglia has been replacing many of their historical trees with these more resistant strain so the future is optimistic. Unfortunately, however, this disease has greatly affected the olive oil production in Italy.
Meanwhile Spain, which accounts for over 40% of worldwide olive oil production, was faced with catastrophic droughts in the year of 2023 - greatly diminishing the quality and quantity of this year’s harvest. The price of olive oil in Spain alone has increased by over 60% this year because of these droughts.
How to make sure you’re buying real olive oil in 2024
When supply cannot meet demands - the large companies typically only have one option. Deceitful tactics are not new to the olive oil industry, as you can find constant news articles about various companies throughout the Mediterranean getting caught mixing, blending, or forging documents to sell something advertised as “Extra Virgin Olive Oil” that really isn’t.
As an olive oil producer, here’s what I think are the best things to look for when purchasing olive oil, to make sure that you’re getting real high-quality extra virgin olive oil:
Single-Estate
And I don’t just mean one country. When you start outsourcing and blending olive oil from multiple different locations, the likelihood that some of that olive oil is either fake or low-quality greatly increases. Single-Estate means that the olive oil is made only from the trees in one location, all from the same owner and they are not later blended or mixed with olive oil from various places.
Photo by Elisabeth Jurenka on Unsplash Traceability
I’m personally suspicious of any brand of olive oil that doesn’t show you their trees, their groves, or the GPS locations of their sourcing. Ideally, you should be able to trace your olive oil back to the location of which it was produced. Look for a brand of olive oil that shows you exactly where it came from.
Transparency
Take the time to research a brand’s history, values, and production practices. Visit the brand’s website and read about their sourcing, production methods, and quality standards. Look for brands that prioritize transparency and accountability.
Small-Batch
As stated in the article - the olive is a sensitive fruit and harvest occurs only once per year, so when a company is able to provide massive amounts of olive oil all year-round at a low price, something has got to give. By purchasing from a brand that only produces a small-batch you can ensure that they are maintaining meticulous quality control throughout the production process.
Harvest Year
Olive oil is better the fresher it is and the closer it is to the harvest date and is lasts up to 2 years in ideal conditions. The most reputable brands sell and advertise their olive oil exclusively based on the harvest year. At the very least - ensure that the olive oil your purchasing clearly lists the harvest date and look for harvests from the year of 2023 if sourcing from the Mediterranean.
Lab Certification
In order to advertise your olive oil as “extra virgin olive oil” in most countries - you must have your olive oil independently lab-tested to ensure that it meets the standards of olive oil. Look for brands that share their lab results, particularly the free-fatty acid level, which has a maximum level of 0.80%, but the closer to 0.00 it is, the better. These results can verify the authenticity and quality of the olive oil by confirming the aciditiy levels, freshness and purity.
In conclusion, as we navigate the complexities of the olive oil market in 2024, it's clear that informed consumer choices play a vital role in ensuring the integrity and sustainability of the industry. By seeking out brands that prioritize transparency, traceability, and small-batch production, we can support ethical producers and enjoy the unparalleled flavor and health benefits of real extra virgin olive oil. Let's continue to celebrate the rich tradition and artistry of olive oil production while championing honesty, quality, and authenticity in every bottle we choose.
Really interesting! Morocco faces the same issues as Spain, we are now several years into the drought, the change in weather patterns are significant and the production is definitely suffering. The price increase has been crazy, difficult in a country where olive oil is a staple in most homes. Morocco also placed restrictions on exports last year to try and control the prices. We did have better rainfall this year, so let's hope for a better harvest this year!
So helpful! All these reasons are why we choose Obìa oil for our table