Due to global factors, the price of olive oil in Chile has skyrocketed by 42% in recent months

Published 2024년 7월 1일

Tridge summary

Global olive oil prices have surged due to a combination of climate change-induced droughts impacting major exporters like Spain and Australia. The price of olive oil has reached nearly $12,000 per liter, a 42.7% increase, causing concern about its affordability for consumers. The situation is further complicated by the potential economic repercussions in Chile, where a rise in electricity rates and the high cost of olive oil could negatively affect the economy. The decrease in other oils' prices, such as canola, offers a glimmer of hope for households. Meanwhile, the olive industry faces challenges due to extreme weather conditions, with production figures showing a significant decline from the previous year, leading to a steep rise in olive oil prices in Spain, prompting the government to exempt VAT on the product in an effort to lessen the financial burden.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Olive oil is experiencing a shortage process like never before seen on a global level. The drought and the factors produced by climate change have affected the production and distribution of the precious food, which has irreparably damaged the harvest of the two major exporters, Spain and Australia. According to information provided by the National Institute of Statistics (INE), the price of olive oil has skyrocketed in recent months, reaching an amount close to $12,000 per liter, which means an increase of 42.7% in its value. On the one hand, according to figures provided by Euromonitor, in our country around 184 thousand liters of oil are consumed per year, which is about 30 liters per home. The global olive crisis puts pressure on olive oil prices in Chile But on the other hand, Chile does not produce the most common oils such as marigold or soy oil in large quantities, so 90% of these are exported. Given this, the increase in the price of olive oil, added to the unfreezing of ...

Source: Biobiochile