It is a flagship product of French consumption. Olive oil has seen its price rise in recent years, due to poor harvests in Spain after numerous droughts. Problem for the French consumer: a large majority of French consumption is produced in Spain, almost 80%. In three years, the average price of a liter of olive oil has increased by 77% according to INSEE. It even exceeded 11 euros per liter this year, which has turned off many buyers.
Olive oil is very popular everywhere in France: 70% of households buy it every year. According to FranceAgriMer, in 2022 France was the 6th largest consumer of olive oil in the world, with 2 liters on average per year. However, a far cry from the Spanish 11.4 liters, the first in this area!
Sharply increasing production
This price increase should be behind us by 2025. According to the International Olive Council (IOC), global olive oil production is expected to increase by 30% this year, reaching 3.35 million tonnes, of which 1 .5 million only for Spain, thanks to better weather this summer among our neighbors.
While the country produces 45% of the world’s olive oil and 70% of the European Union’s olive oil, a return to almost normal production (+60% compared to the year last) would allow consumers to make significant savings.
Decreases already visible in Spain
A drop in prices which has already been reflected on the shelves of Spanish supermarkets, since the liter of extra-virgin olive oil has already risen to 9 euros, one euro less than a few months ago. However, it should be noted that on the other side of the Pyrenees, the government removed VAT on olive oil in June in the face of rising prices. Internationally, prices per liter have also already started to fall, going from €7.5 on September 16 to €5.92 on November 4. A trend that is expected to continue. In the most optimistic cases, consumers could save up to €3 per liter. On the French side, you will still need a little patience, prices should fall on the shelves this winter.
