Europe's olive oil price skyrocketed when Brussels refused Indonesian palm oil due to deforestation regulations

RBD Palm Oil

Published Mar 6, 2024

Tridge summary

Olive oil prices in the European Union have seen a significant increase of 50% due to the EU's refusal to accept crude palm oil from Indonesia over deforestation concerns, coupled with adverse weather conditions that have impacted harvests. The most substantial price hikes were observed in Portugal (69.1%), Greece (67%), and Spain (62.9%), the latter being the world's leading producer and exporter of olive oil. This has coincided with an 11.6% decrease in Indonesian palm oil exports to Europe, dropping from 4.13 million tons in 2022 to 3.70 million tons in 2023.

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Original content

Jakarta, CNBC Indonesia - Olive oil prices have skyrocketed throughout the European Union (EU). This happened when Brussels refused to accept a number of crude palm oil (CPO) from Indonesia because of deforestation regulations. According to data from Eurostat, the bloc's statistical office, olive oil prices jumped by 50% on an annual basis in January. This follows increases throughout the second half of 2023, with a 37% jump in August and a surprising 51% increase in November 2022. Quoting RT, this report of price increases is in line with the surge in prices of basic commodities on the continent. Data shows that olive oil inflation is very high, especially in Southern European countries, where it is produced. Prices in Portugal, for example, jumped by 69.1% in January compared to last year. The biggest increase across the bloc, followed by Greece with a rise of 67%. In Spain, prices jumped by 62.9%. Even though the country is the largest producer and exporter of olive oil in the ...

Source: Cnbcindonesia