Greek olive oil plunges in price by half

"Its more bad news for Greece as the front page of the Financial Times reports that the price of olive oil has fallen to an all time low.

The cost of the Mediterranean diet staple has plunged to a ten year low as consumption in the top producing southern European countries has fallen due to the economic crisis.

The prime of premium extra virgin olive oil in the wholesale market fell this month to $2,900 a tonne, the lowest since 2002, and down more than half from nearly $6,000 a tonne in 2005"









http://www.newstalk.ie/2012/featured-5-slideshow-homepage/greek-olive-oil-plunges-in-price-by-half/




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"(Financial Times) -- Spain, Italy and Greece, already fighting a financial and economic crisis, are now facing an oil crisis. Olive oil, that is.

The price of the Mediterranean diet staple has plunged to a 10-year low as domestic consumption in the top producing southern European countries has fallen because of the economic crisis. That fall has coincided with a bumper olive crop in Spain, the biggest grower, creating a glut that has forced the EU to intervene to reduce the surplus amid worries about rural incomes.

"The market is in serious crisis," said Pekka Pesonen, head of the Copa-Cogeca farming union in Brussels. "This crop is vital for the main producing countries in terms of maintaining employment in their rural areas."

Spain, Italy and Greece are by far the largest producers of the commodity, accounting for 70 per cent of the world's olive oil output. The crop is critical for some of the poorest areas of Spain, including top producing region Andalucia, where the unemployment rate last quarter surged to 33 per cent.

The EU has tried to deal with the surplus by paying companies to stockpile oil -- the commodities market version of the European Central Bank buying sovereign bonds of Spain, Italy and Greece. Farming trade union officials and other policy makers believe the EU's move has put a floor under prices.

The price of premium-quality extra virgin olive oil in the wholesale market fell this month to $2,900 a tonne, the lowest since 2002 and down more than half from nearly $6,000 a tonne in 2005, according to the International Monetary Fund.

Olive oil is suffering from strong competition from cheaper varieties of vegetable oil. Eroski, a popular supermarket chain in Spain, sells sunflower oil at 1.25 a litre, against average-quality olive oil at 1.99 and premium extra-virgin olive oil at 3.25.

Spain will consume as much olive oil this year as it did in 2002, according to the International Olive Oil Council, and Greece and Italy will see their domestic demand falling back to 1995 levels. The drop in Spanish, Italian and Greek demand has been only partially offset by higher consumption elsewhere.


© The Financial Times Limited 2012"

http://edition.cnn.com/2012/05/27/business/greece-italy-olives/index.html








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LOL, stop. Grikos can't take it anymore.

Maybe they should have taken note when the Germans were working their arses off to make somthing out of their war-torn country.

 

Olive oil is a commodity and this is where the price should be.

$6,000/tonne is ridiculous. The price in Turkey is even lower than $2,900/tonne. But of course the quality is garbage.

The price dropped because places like Australia, California, Argentina, Chile (and others) planted trees years ago that are now producing. So world supply is up. Also, demand in the US and other places decreased after 2008 and the great recession. As demand increases in Asia, Russia, Brazil etc, the price will slowly move up.

Yeah right, as if the price of the olive oil was high enough it would make any difference... Greece has other more important things to worry about: The upcoming elections!
If everything goes well and ND gets the majority, be prepared for a 12 nautical miles terittorial waters extension and an immediate declaration of EEZ. At least this is what they promised they will do once they get elected. Call me crazy but this time I believe them!
Then we can talk about oil, the one worth mentioning...

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Babybitch I will make sure to to put lots of oliveoil to lubricate your urbanturco punnani and open yoU U like acanthus of sardines

YOU HAVE TO STOP CRYING IN PAIN AND LUBRICATE YOUR LAZY AZZ AT FIRST.

"Babybitch I will make sure to to put lots of oliveoil to lubricate your urbanturco punnani and open yoU U like acanthus of sardines"


wonder why u cant get laid


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