Due to poor harvests, olive oil is becoming increasingly expensive in Germany. The producing countries are hoping for better weather and higher yields. To save money, experts recommend cheaper alternatives.
Consumers in Germany have to dig deeper into their pockets when shopping for olive oil. In July, the price was 45 percent higher than a year earlier, according to the Federal Statistical Office. The test buyers did not register a greater increase for any other food. Olive oil has recently recorded monthly price increases of 40 percent or more compared to the same month last year. Overall, however, food prices only rose by 1.3 percent in July.
According to statistics, the price of olive oil has more than doubled since 2020. An analysis by the price comparison portal Smhaggle shows that a 500-milliliter bottle of olive oil from a well-known brand manufacturer cost 5.49 euros in January 2022 and currently costs 9.99 euros. Meanwhile, the shelf price of a 750-milliliter own-brand product even climbed from 3.89 to 9.49 euros. “The reasons for the price increases are extreme weather in southern Europe, crop failures and increased production costs for cultivation and harvesting,” said food expert Jana Fischer from the Hamburg Consumer Advice Center.
Olive oils are pressed in countries such as Italy, Greece and Spain and imported into Germany. The situation is difficult for the main exporters. In the world’s largest olive oil producer, Spain, the harvest yield fell by more than half in the 2022/2023 season, and things were not much better in Italy and Greece. According to the producers, the main reason for this is the unfavorable weather conditions – too little rain in the winter months and too high temperatures. Experts and many of the olive farmers blame climate change for this.
Consumer advice centre recommends cheaper alternatives
In Spain, the largest olive producing country, the price of olive oil rose by 191 percent between January 2012 and June 2024, according to the national statistics office. The reason was crop failures due to drought and increased demand for the “liquid gold”.
But this year, producers are hoping for a better harvest. There was no damaging extreme heat in April and May during the olive blossom season, and thanks to abundant rain in the spring, water reserves are above average, wrote the newspaper “El País”. These two factors suggest that a return to normal harvest volumes will be expected next season. Luis Carlos Valero, spokesman for the young farmers’ association Asaja in Jaén, warns, however, that the real development will only become apparent in October, when the May harvest of next year is considered assured. Until then, the newspaper continued: “There is very little oil left, and in theory it should be even more expensive,” the newspaper quoted Valero as saying.
In Greece, this year’s production could be moderate to good, according to an estimate by the National Olive Oil Organization – provided the weather plays along.
When asked, the German food industry associations did not want to give any forecasts on possible further price increases for olive oil. To save money, consumers can turn to cheaper alternative products. The consumer advice center recommends rapeseed oil and sunflower oil, both types are good for heating, while linseed and walnut oil are suitable for cold dishes. Figures from the Federal Statistical Office show that sunflower oil and rapeseed oil were almost 9 percent cheaper in July 2024 than a year earlier.
Source: Stern
