Spanish Olive Oil Producers Face Crisis as Prices Plummet

Spain's olive oil producers are facing a crisis as prices continue to fall. The Union of Unions, an agrarian organization, has demanded maximum transparency in the olive oil market to protect the profitability of Spanish olive groves. According to the Union, production is down 9% compared to last year, commercialization is reduced by 2.6%, and final stocks barely grew by 6%. This means that prices do not reflect the true balance between supply and demand.

The organization blames strong increases in purchases from abroad, which are 16% above the average of the last four campaigns, as well as early dissemination of high harvest forecasts for 2026-2027. These factors put pressure on the market, leading to downward pressure on prices, speculation, and a high volume of stocks at the national level.

The Union warns that the flow of imports can place Spanish producers in a situation of unfair competition due to differences in production costs and phytosanitary requirements within the European Union compared to outside it. The price of extra virgin olive oil has fallen more than 8% in the last week, accumulating a decline of over 15% since the beginning of the campaign and is more than 33% below the average recorded in the last analyzed campaigns.

The organization emphasizes that around 75% of the Spanish olive grove is entering into losses due to rising production costs and falling prices at origin. The Union demands greater transparency in data related to imports, stocks, commercial operations, and harvest forecasts to avoid distortions in the market and guarantee the profitability of olive oil producers.