Business and Economics

Olive oil prices rise due to bacteria and drought

Arid summers and dangerous bacteria had a big impact on the amount of the crop, which negatively affected the prices of olive oil: in just a few weeks they rose from 2.40 to 2.70 euros per kilogram.

This year, Italian olive groves were infected with very dangerous viruses for plants, including a microbe called Xylella Fastidiosa, which literally “attacked” the Puglia region. "Olive oil prices will rise by 30-40 percent, as due to a lack of olives, less oil will be produced," explains a farmer from an infected Italian region, Raffaele Piano. - "But this will in no way affect the quality of the products." The farmer also complains that it is impossible to cure groves from a dangerous bacterium. "There is simply no cure for it. The only thing left is to burn infected trees to prevent the further spread of the virus."

 

It is worth noting that the dangerous microbe Xylella Fastidiosa first appeared in America, but has never been seen in Europe before. At the moment, more than 8,000 trees have been infected in Italian olive groves. Local authorities have already turned to American scientists for help. As biologists explain, high air temperatures contribute to further damage to trees. The problem lies in the fact that the authorities did not take any action also because in August they went on vacation.

This year, a significant increase in olive oil prices is expected due to the protracted drought, which attacked one of the largest olive producing centers in the world in Spain, and also because of the dangerous bacteria that hit the crop in Apulia. Experts estimate that due to the constant lack of rain in Spanish olive groves this year, only about 60 percent of the expected amount of fruit will be harvested.

“Even in the best case scenario, we won’t be able to collect even a million tons of olives,” said David Erice, spokesman for Spain's Small Farmers Union www.ugt.es. "We expect about the same result as in 2012, that is, about 700,000 tons."

This year, Spain bypassed Italy in the struggle for the status of the largest producer. Today, Spanish olive groves account for about 50% of olive oil of the total world turnover, with 73% of olives growing in the province of Andalusia (Andalusia), and 16% - in Catalonia (Catalonia). In 2013, Spanish olive oil producers earned about 1.5 billion euros.

Overall, global demand for liquid gold has grown 60 percent over the past twenty years, especially in countries such as China, the USA, Canada, and Australia. Also, one cannot fail to notice that earlier this month the Russian authorities decided to ban the supply of olive oil produced in the EU countries under sanctions. Experts say that manufacturers of this product will also suffer losses due to the embargo on the part of Russia.

Watch the video: Toxic storm of unseasonal weather and pests pushing up olive oil prices (November 2024).

Popular Posts

Category Business and Economics, Next Article

Children come up with a name for the main mascot of the Expo 2015 exhibition in Milan
Business and Economics

Children come up with a name for the main mascot of the Expo 2015 exhibition in Milan

The competition was attended by children from all over Italy. Soon, the names of the remaining ten characters-mascots of the Milan Expo will be announced. The competition, launched in December last year by the organizers of Expo 2015 Milan, will be announced. All Italian children were tasked with coming up with names for the characters (vegetables and fruits) that make up the face of the main mascot of the 2015 world exhibition.
Read More
Multinationals buy Italian companies
Business and Economics

Multinationals buy Italian companies

More work, profit and productivity: if Italian production emigrates, it starts to earn. Brands that have moved abroad do not lose their national identity. According to the study, Italian companies, acquired by multinational corporations, begin to develop much more actively.
Read More
Fiat bought back 100% of Chrysler's assets
Business and Economics

Fiat bought back 100% of Chrysler's assets

The announcement of Fiat’s purchase of all Chrysler shares has stirred the public. Elkann: "I have been waiting for this day since 2009" The Italian concern Fiat has gained full control over the American automaker Chrysler. This event caused a lot of controversy, but Fiat CEO Sergio Marchionne is right in saying that it will go down in history.
Read More
Metro stations in Milan will be called the names of sponsors
Business and Economics

Metro stations in Milan will be called the names of sponsors

“We won’t survive on tickets only” The municipality of Milan is preparing a decree: large companies will have the opportunity to add their name to the name of the metro station in exchange for investments and assistance with modifications. But not everyone agrees with this decision. Basilio Rizzo, President of the Municipal Council: “The city is not for sale” The project is designed for all one hundred stations of the Milan metro.
Read More