19 de July de 2019

A plan to save the olive oil market

Leading producer Deoleo joins industry leaders, farm groups to restore viability

Convinced that the olive oil industry’s existing business model is not sustainable for the long term, some of the sector’s most prominent players have joined with major agricultural organizations to create a new association, PROValor, to revalue and transform the category, both in Spain and around the world.

Jaencoop, Almaliva (Subbetica), Viñaoliva, Interoleo, the Union of Small Farmers (UPA), the Spanish Association of Olive Tree Municipalities (AEMO), the Agrarian Association of Young Farmers (Asaja), the Coordinadora de Organizaciones de Agricultores y Ganaderos (COAG) and the world’s leading manufacturer and distributor of olive oil, Deoleo, have united behind the association. Together they represent 20% of all olive oil produced in Spain, and other companies that have similar transformative objectives are expected to join the campaign. Members of the association share a common concern about the sector’s viability, citing a dramatic decrease in olive oil prices at source – a 27% drop in Spain in 2019 – and the loss of value throughout the chain.

Their aim is thus to return value and quality to the product, revitalizing consumption. Objectives set out thus far include improving prices for farmers, establishing more-demanding quality standards, promoting legislation for olive oil appropriate to new cultivation and extraction techniques, and educating consumers in all markets.