Stores in Belgium could face shortage and a huge spike in cost price of olive oil, as the prolonged heat and drought are threatening the olive harvest in Spain and Italy this year.
In the recent months, southern Europe has not been able to escape intense heat waves and prolonged drought, which have had a major impact on Spanish olive production: the harvest, which normally takes place just after the summer months, may be smaller and of lower quality than in the previous years.
As per the Spanish Agriculture Minister, “If there is no temperature relief or rains in the coming weeks, this year’s olive harvest could be notably lower than earlier one’s. The olive sector is very concerned about oil productions.”
As per reports, “He did not give an output estimate, but price analyst at market research group Mintec, Kyle Holland, estimated that it could be a drop of 25% to 30%.”
Spain is the world’s largest olive oil producer, accounting for half of the global production. The reduced harvest, combined with the continued disrupted supply of sunflower oil from Ukraine due to Russia’s invasion, means that the prices of vegetable oils “are expected to skyrocket,” said Planas.
In the centre of the Spanish olive industry Jaén, prices for extra virgin and refined olive oil have already increased by 2.2% and 8.3%, respectively, compared to last year, as per the latest figures from the International Olive Council.