Olive oil to get more expensive in New Zealand thanks to Mediterranean drought

Published May 15, 2023

Tridge summary

The global price of olive oil has reached a 26-year-high due to a poor season caused by heat and drought in the Mediterranean, particularly in Spain. This has resulted in a 50% decrease in the usual output, driving the price up to nearly US$6000 per metric ton. The situation is expected to increase costs for companies importing olive oil, with some New Zealand producers experiencing challenges in their harvest. The price hike comes as the harvest season is just starting in New Zealand, with variations in reports from different regions. The war in Ukraine has also contributed to an increase in sunflower oil prices.

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

Original content

Olive oil is set to get more expensive after a poor season in the Mediterranean led to the highest global prices in 26 years. Emma Glover, executive officer of Olives NZ, said New Zealand only produced about 10% of the olive oil that was consumed in the country each year. Companies that imported olive oil from the Mediterranean would see their costs increase, she said. Heat and drought in the Mediterranean, particularly in Spain, had caused global olive oil prices to reach a 26-year-high. The recent olive harvest from October to February produced 50% less than the usual output, forcing prices up to almost US$6000 (NZ$9677) per metric ton, according to the International Monetary Fund (IMF). This was the highest since 1997 when it was US$6225. Sunflower oil had also risen in price due to the war in Ukraine. The price of Olivani extra-virgin olive oil was $1.28 per 100ml in February 2022 according to a Consumer NZ study. It was now $2 at Countdown. Harvest extra virgin olive oil was ...

Source: Stuff NZ