That olive-oil production It is historically one of the leading sectors of production agri-food Italian. However, in recent years, operators have encountered a loss of profitability due to production decrease and to high costs. Based on Coi (International Olive Oil Council) data, olive oil production in Italy is, in fact, in structural decline: in recent years the average has been around 330 thousand tons compared to over 500 thousand in the three-year period 2010-2012.
Oil: Production in Italy is decreasing
According to the latest estimates, Italy closed 2024 with approximately 224 thousand tons of olive oil (-32%). In the rest of the producing countries and in particular in the Mediterranean basin, however, the trend is positive and global production will be 30% and 12% higher than the average of the last five years.
Despite the challenges of recent years, exports Made in Italy: recorded growth in value. According to the recent study by Nomisma, Italian olive oil exports exceeded 3 billion euros in 2024, marking a 45% increase compared to 2023. This increase was driven both by the growth in international demand and by the increase in average prices.
Oil, what are the problems?
However, the production capacity of the Italian olive-oil sector has been limited by repeated critical episodes in recent years. In particular, varieties of olives have spread widelyalien insects whose methods of interaction and impact with olive growing are not fully known, have come to lack of plant protection products widely tested, effective and low cost and are strongly increased costs for raw materials (fertilizers, pesticides, packaging) and energy (fuel, electricity).
Oil, where does it come from?
Globally, olive oil production is dominated by Spain, which holds about 28% of the global market. Of the 3.353 thousand tons of oil produced worldwide, 1.952 thousand tons are European, but 1.401 thousand tons are extra-European, the result of important investments:
• the Tunisia aims to become a leader in world marketing and to this end has intercepted significant foreign funding which has favoured the increase in production;
• theEgypt is a leader in the production of table olives, with important results such as to oust Spain from first place in the world in the production of this type of olive;
• in Turkey Over the last 15 years the number of trees has doubled, with new plantings, reaching 200 million olive trees.
And while consumption grows in the Non-U.S. countriesand, in Italy there is a decline in domestic consumption, a trend already observed in the last twenty years. Exports of Italian extra virgin olive oil (EVO) reach over 160 countries, but 65% of the value of sales is concentrated in five main markets:
• Usa (32% of total exports)
• Germany (15,5%)
• France (7,9%)
• Japan (5,3%)
• Canada (4,7%)
Furthermore, the sector faces several challenges, Including:
• theincrease in production costs, where energy and logistics increases have made Italian oil less competitive than Spanish and Greek products;
• trade tensions, with possible duties on olive oil imports into the US.
Oil, the government's plan
The Italian government has announced the issuing of a Olive plan that will see the activation of a specific working table for 2025, with the aim of supporting innovation and productivity. It is also recalled the need to activate specific information and educational campaigns on the peculiarities of Italian olive oil and to start guided consumption paths in the catering and in the organized distribution channels. Greater awareness of the quality of the Italian product will be an important lever to strengthen the sector. Investing in market diversification and innovation will then be fundamental to guarantee a solid future.
