The world’s largest olive oil producer outside of the European Union is looking for a fresh start. A renewed focus on communication, culture and exports will be fueling new initiatives in Tunisia, say officials.
The goal is to push some of the country’s olive oil brands into new international markets. The core of the project is to give the world a new image of Tunisian olive oil and its production practices.
A few months ago we could count on the commitment of large companies, now it is all gone… They (the government) tell us it will get better with the new initiatives, so we hope for the best.- Mohammed Mahgub
Given the collapse of olive oil prices and the shrinking profitability of producing oils for growers, it could be a tough battle.
Add in the political turmoil that is shaking the country and tariffs, and the challenge seems even more daunting. Still, Tunisian officials are optimistic about the future.
See Also:The Best Oils from Tunisia“We are going to make national companies able to position themselves in the most relevant international markets for packaged oil and to effectively compete in new markets,” Youseff Neji, the president of Tunisia’s Export Promotion Center (Cepex), said.
China, Japan, Russia, Finland, Sweden, Saudi Arabia and Brazil are the main markets that officials from Cepex are aiming for.
In a press briefing, Neji explained that exports currently face several hurdles that may easily be removed. He cited the bureaucratic process Tunisian companies have to undergo to be listed as registered exporters as one of the main hurdles.
However, with the new plan in place, exporters will be able to register with the customs authority more quickly and easily.
Tunisian olive production in 2019 was quite good, with a yield of 300,000 tons, according to the International Olive Council, the country’s third-highest yield on record. Overall, the olive oil sector accounts for a large share of the total agricultural output of the country.
“The Tunisian olive sector is of great importance in the revitalization of the national economy since it represents a real source of income in foreign currency for the country,” Neji said.
However, olive oil prices have collapsed in Tunisia as well as elsewhere in the Mediterranean and do not show any sign of recovery.
Growing olives in some areas of the country is becoming increasingly difficult. In those areas, many of which operate using traditional farming and harvesting methods, low olive oil prices are leaving farmers and producers with little if any profits.
“A big share of our production this year is going to be wasted,” Mohammed Mahgub, from the eastern Tunisian region of Mahdia, told Olive Oil Times. “A few months ago we could count on the commitment of large companies, now it is all gone.”
Olive oil prices are now so low in the area that some companies have retracted their earlier commitments and will not invest in harvesting olives.
“In Mahdia, olive oil prices are now set to three Dinars ($1.07) per kilogram,” Mahgub said.
A new narrative alone will not be enough to bring Tunisian olive oil to new international markets, but officials at Cepex believe optimism and a new vision mark the beginning of a drive to bring in much-needed investors, technology and dynamism.
“They tell us it will get better with the new initiatives, so we hope for the best,” Mahgub said.
More articles on: import/export, prices, Tunisia
Nov. 27, 2023
Two Greek PDO Olive Oils Receive Protection in India
Kalamata and Sitia Lasithiou Kritis extra virgin olive oils have been registered as in India to protect them from imitations.
Feb. 1, 2024
Tunisia's Olive Oil Price Cap Gets Mixed Response from Consumers
The government capped the price of olive oil to keep household costs down, but locals question the efficacy of the plan.
Jul. 20, 2024
Trade Commission Extends Tariffs on Spanish Black Olives
The decision came two months after the U.S. Court of Appeals ruled in favor of the Commerce Department’s tariffs.
May. 7, 2024
Olive Oil Export Ban Sours Table Olive Sales in Turkey
While table olive exports soared in the first five months of the 2023/24 campaign, the ban on olive oil exports is blamed for holding the sector back.
Jun. 12, 2024
Deoleo North America CEO Says Sustainability is Key to Growing Olive Oil Sector
Thierry Moyroud views Deoleo as guardians of the industry, prioritizing quality production and sustainable practices above all else.
Jan. 29, 2024
Production in Spain Expected to Fall Short of Initial Estimates
Production estimates range from 680,000 to 755,000 tons for the 2023/24 crop year, below expectations at the start of the harvest.
Apr. 11, 2024
Turkish Producers Pray Export Ban Ends with Ramadan
While the prohibition on bulk exports has helped control domestic prices, producers worry it has hurt their credibility with international partners.
Feb. 7, 2024
Acesur CEO Highlights Andalusia's Key Role in Sector's Future
Gonzalo Guillén believes production capacity is the limiting factor to increase olive oil consumption and Andalusia remains best positioned to expand the market.