It will not be compensated by the increase in other producing countries
The company highlights the reduction in production caused by the worrying lack of rain, but expects there to be an increase in global consumption, which could mark a positive trend.
![[Img # 33953]](https://empresaexterior.com/upload/images/10_2019/4070_aforo-interoleo.jpg)
Interoleo Group warns that Spain will lose 600.000 tons of olive oil compared to last campaign. The capacity presented by the counselor of Agriculture, Carmen Crespo, places the production forecast at Jaen at 455.070 tons, 31,7% less than last season; in Andalucía, at 983.680, 32,7% less; and in Spain, at 1.250.000. With these forecasts it can be established that it will be a campaign below the average, which at the national level is estimated at 1,3 million tons. Furthermore, it is estimated that the loss of oil will not be compensated by the increase in the other producing countries and that Spanish availabilities will remain below last season by nearly 200.000 tons. Despite these data, Interoleo Group He is confident that the low prices at the source of the oil will return to the path of increases and the critical situation that the olive sector is going through, especially the traditional olive grove, which bears higher costs, can be definitively reversed.
With these quantities we can speak of an average harvest, motivated by the scarce rains that have been recorded both in spring and autumn, together with the high temperatures suffered in the summer months. The olive trees suffer from water stress that has not been alleviated by the recent rainfall, very little in the opinion of the Interoleo Group.
This reduction in harvest in Spain contrasts with the productive increase in the rest of the countries of the Mediterranean Basin, since in Italy, Greece and TunisiaFor example, increases in production are expected. This would not compensate for the national loss, which would allow us to draw a global scenario of availability similar to the previous campaign. In this sense, the most notable thing for the sector are the forecasts for increased consumption in the world, which could clearly mark a very positive trend in the balance of prices.
Interoleo Group is very concerned about the uncertainty in the quality of the oils that are going to be produced in Spain and in Italy due to the abundance of the olive pest that is alarmingly affecting Spanish farms. In this sense, it is worth highlighting the possible decrease in extra virgin olive oils on the market.
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