MADRID, Nov 6 (Reuters) – Spain on Friday ordered olive oil producers to hold back 12% of their production for the 2026/27 season to control prices following estimates for a bumper harvest, the Agriculture Ministry said in a statement.
• Olive oil producers were ordered to store 12% of production until September 30, 2027 starting on Friday
• The order implies removal of 188,000 tonnes from the market
• “The aim is to regulate supply in order to improve and stabilise the functioning of the market and the sector,” the Agriculture Ministry said in a statement
• The Agriculture Ministry estimates production for the 2026/27 season of 1.6 million tonnes, 23% bigger than last season
• Mild temperatures and abundant rain during spring created conditions for what Spain expects to be its fourth best harvest on record
• The olive oil market has recovered from a period of low production caused by drought and heatwaves in the 2022/23 and 2023/24 seasons when prices hit record levels, leading households to buy more sunflower oil instead
(Reporting by Charlie Devereux; Editing by Susan Fenton)
