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Poor season for Australian olive growers
- Food For Sale
Poor season for Australian olive growers
A poor season for Australian olive growers is causing a shortage of olives. Australian growers have experienced a difficult olive season. Consequently, olive oil prices are likely to remain high. It is contributing to a tight olive oil market throughout the country.
Poor weather has affected growers in South Australia and parts of NSW. In Victoria, insects have caused a wipe out of several olive groves. There is a shortage of imported olive oil too. Thus far, the poor seasonal results come at a wrong time for the industry. According to the Australian Olive Association it had been a hard for many farmers. In fact, it has been disappointing for many growers. It has been a bad year. It has been a very bad season for growers in South Australia and the Hunter Valley. However, other parts of NSW and Victoria have achieved reasonably good results.
Olive oil shortage
It appears to be one of those mixed seasons for olive growers. Despite the industry challenges there should be adequate supply of olive oil in the market. It is due to reasonable yields from some of the country’s largest producers. However, olive oil may be in short supply in the next 12 months. Perhaps, Australia may be heading for an olive oil shortage.
Luckily, the bigger producers have had some reasonable production. Thus far, there is a huge impact on supplies because there are so little imports of olive oil in the market. It is causing a few concerns.
Turning away consumers
There are reports that some olive oil manufacturers are turning away customers. It is due to lower yields and production. For example, South Australia’s Pendleton Olive Estate were impacted by poor weather early in the season. As such, the business would have to turn away any new customers over the next year. Furthermore, they had to put on limits on their existing clients. This action would ensure that they can supply through to the next harvest. The company claims it is perhaps one of the highest demand times they have seen. Unfortunately, they do not have enough supply to meet those inquiries. Thus, it has been frustrating for the company and customers.
Oil prices
There have been large price increases for olive oil in recent years. Particularly, for imported extra virgin olive oil. The Australian cost of living crisis has reached olive oil. However, there are some alternatives that may provide some savings. Thus far, only time will tell if the tough market may increase prices even more. While the industry believes prices may not go up further, it will remain high.
The industry states they want to see industry produce good quality olive oil at affordable prices. So that people can buy it. Their intent is not to price the product out of the market. They believe a lot of producers are aware of this fact. According to the industry association, despite high prices and low supplies, they recommend consumers should not rush out to buy in bulk. This is perhaps the worst thing they could do.
