Price of olive oil expected to rise again as European crops feel the heat
📰 source: theguardian_business · 💼 business
olive oil prices are set to rise again as european crops wilt under extreme heat, drought and wildfires. french vegetable growers warn of halved production for some crops like salad leaves, carrots and onions, while champagne expects its earliest-ever harvest around 15 august with yields 10% down.
the eu has slashed harvest forecasts: sunflowers down 7%, grain maize down 6%, potatoes and soya beans down 3%. spain's 2026-27 cereal crop is forecast to fall from 24m to 18.5m tonnes. uk stores already sell extra virgin olive oil at over £7 a bottle, and producers say prices will climb again this autumn.
not everyone is suffering: turkey had a strong year, and italy's wheat crop is resilient. but growers in greece, italy and portugal have seen groves burn, and pests and disease are spreading. as one olive oil executive put it, drought and earlier harvests could materially influence prices for next year.
why it matters: rising olive oil and food prices across europe add to inflationary pressure, hurting consumers and food importers.
source: theguardian_business
sentiment: -0.40 · impact: 0.40