Andalusia expects 32.7% less oil production this campaign

The Andalusian capacity provides for a production of 983,600 tons of olive oil, 32.7% less than last season, according to data provided by the Minister of Agriculture, Livestock, Fisheries and Sustainable Development, Carmen Crespo.

The Minister of Agriculture, Livestock, Fisheries and Sustainable Development, Carmen Crespo, has presented in Jaén the first production capacity of olive groves in Andalusia for the 2019-2020 campaign, which provides that more than 4.8 million tons of olives will be collected to grind, of which more than 983,600 tons of olive oil can be obtained. The representative of the Andalusian Government stressed that “these data point to a reduction compared to 2018-2019 of 32.7% and 6.9% lower than the average of the last five years, so it would be an average production after a year that was historical in productivity ”.

Crespo has pointed out that this situation should allow “prices to be traced” because “we have many challenges ahead such as Brexit or US tariffs.”

Among other circumstances that have conditioned the campaign, the counselor has pointed to the crop success (lower production that usually follows a year of high harvest) and a “considerable” water deficit. In any case, Carmen Crespo has stressed that these data are estimates of production and the evolution of the weather in the coming months could lead to variations with respect to this first capacity.

Regarding employment, forecasts estimate that the production of olive oil could generate around 16.4 million wages in work related to the cultivation and harvest of olives, 19.2% less than the 2018-19 campaign. Of this total wages, more than 7.4 million correspond to collection work.

Based on the oil mills active in Andalusia, the capacity of the Ministry provides that in the 2019-2020 campaign the 851 facilities will be reached, 325 of them located in the province of Jaén (38%).

Main producers

According to the estimates of the Andalusian Government, especially the production of 2019-2020 in the province of Jaén, which would amount to 2.1 million tons of olives for oil mills and just over 455,000 tons of olive oil. These data would represent a reduction of 31.6% compared to the last campaign in this territory, a drop of one point less than the average of the entire capacity. Regarding employment, 6.7 million wages are expected in this province, which account for 41% of Andalusia’s total.

A reduction of 37.1% is expected for Córdoba, placing the volume of olives to grind at 1.1 million tons and olive oil at 230,000 tons.

Ascent in other countries

During his speech, Carmen Crespo explained that, contrary to estimates for Andalusia, the forecast of oil production in the rest of the world points to an increase. In the European Union, a production of 2.1 million tons of olive oil is expected, a volume that represents an increase of 3% compared to the average of the last five years.

Specifically, and according to sources from the European Union, Italy expects a growth of almost 20% on the average of the last five campaigns to reach 350,000 tons of oil; in Greece, a rise of 60% compared to 2018-2019 and 11% with respect to the average, since 300,000 tons are expected; and in Portugal the estimates point to a harvest of 140,000 tons of olive oil, about 50% more than the average.

Despite the price crisis, the Andalusian sector has managed to balance the value of exports. “Until August, we export 700,000 tons of olive oil for € 2,037 M (-3%), which represents 48% of production. The Andalusian sector must continue betting more hard if possible for quality as a hallmark that distinguishes it from the rest ”.

Organic oil

The area of ​​ecological olive groves has increased by more than 35,400 hectares in the last decade. In 2018, in particular, it has risen to touch the 77,000 hectares, which represent 5% of the total olive grove area in Andalusia

In 2019-2020, the capacity of the Ministry estimates a production exceeding 15,600 tons of organic olive oil and a reduction of 38.6% compared to the data of the last campaign (25,519 tons).

In this case, Córdoba stands out as the main producer with 6,221 tons (40% Andalusia), although this amount would mean a reduction of more than half of the total volume of the province compared to 2018-2019.

The counselor has appealed to the “unity” of the olive sector in the face of the challenges they face, betting on “diversification”, “modernization” and “technification”. “We find the tariffs imposed by the US totally unfair taking olive oil hostage on issues that have nothing to do with the agrolimentario.

We ask from here to the EU to defend our product for what it is, a very important quality product that has been in US lines for a long time, ”added Crespo.

The Ministry has been requesting private storage, now approved, since last March, on the occasion of the price crisis. Likewise, the Board is committed to self-regulation and to adopt promotional measures for national and international consumption. Crespo has announced that it will address with the sector the possibility of adding “an additional label to products that highlight its healthy character” and be another claim for emerging markets.

The counselor recalled the line of financing provided with 300 million RDP, announced by President Juanma Moreno in Parliament, and that will give farmers greater possibilities against Brexit, tariffs and drought, regardless of continuing with the plans Inspection of refillable containers.

Finally, and in concrete reference to the province of Jiennense, the head of Agriculture recalled that the laboratory modernization plan will allow Jaén to have an olive oil reference center. In addition, he said that the Ministry will expand the line of additional support to olive groves with more difficulty (traditional, ecological and mountain) that will have a budget in the 2020 budgets of 44 million euros.

More capacity data 2019-2020

For more information, the capacity developed by the Ministry of Agriculture, Livestock, Fisheries and Sustainable Development is available to those interested in the website of this Department (http://lajunta.es/1xttb).